Partnerships Set to Improve, Prepare Organic Industrial Bases for Future

A January meeting organized to discuss U.S. Army Corps of Engineers performance contracting solutions is expected to produce higher energy efficiency savings at Organic Installation Bases (OIB) and assist the Army with their plan to modernize OIB facilities.

The OIB manufactures, resets and maintains Army equipment, providing critical materiel and sustainment support to warfighters across the Joint Force. The Army’s industrial base comprises of 23 depots, arsenals, and ammunition plants across the nation.

The Army’s OIB Modernization Implementation Plan prioritizes and synchronizes resources toward critical facilities and capabilities to build the necessary capacity to sustain the Army’s enduring and future systems produced at the bases.

The planning meetings, held at the USACE Learning Center on Redstone Arsenal, were attended by personnel from Army Materiel Command (AMC), and Offices of the Deputy Assistants Secretary of the Army for Energy Installations and Environment, Energy and Sustainability (ODASA EI&E, E&S), Department of the Army Chief of Staff (DCS G-9), Installation Management Command Headquarters (IMCOM HQ), Joint Munitions Command (JMC), Joint Program Executive Office for Armaments & Ammunition (JPEO AA).

Attending the meetings were Col. Sebastian Joly, Huntsville Center commander, Col. Daniel Bidetti, Army Materiel Command Organic Industrial Base Modernization Task Force military deputy, and Christine Ploschke, Deputy Assistant Secretary of the Army for Installation Energy and Environment.

Huntsville Center Energy Division’s personnel executed and facilitated the meetings attended by more than 80 people involved in planning and executing Energy Savings Performance Contracts (ESPCs) and Utility Energy Service Contracts (UESCs) through strategic direction, development, or implementation.

Huntsville Center is considered the Army’s expert in ESPCs and UESCs,  tools used to support the Army’s Installation Energy and Water Resilience Policy. These third-party financed contracts projects encompass a broad range of energy conservation measures (ECM), including system upgrades and recommissioning, deep retrofit projects, renewable energy, cogeneration plants and microgrids.

In fiscal 2023, the UESC Program executed 24 contract actions with $3.6 million in obligations and $134.8 million in capital investments and ESPC Program executed 306 contract actions totaling $159.4 million in fiscal 2023 obligations.

Michael Lazaro, Huntsville Center ESPC/UESC branch chief, said the meetings were important to recognize multi-agency perspectives and roadmap viable solutions to operationalize new performance contract projects in production-related facilities at OIB installations.

“The stakeholders discussed standard ESPC-UESC processes, lessons learned, as well as legal challenges in implementation of contracts,” Lazaro said.

Lazaro said the discussions led to the creation of a Course of Action forward with regards to four prospective installations where projects would be implemented.

“Decision-makers pledged commitment to support project deployment to tackle the difficult goal of infrastructure energy savings at production facilities that present unique challenges.”

Jon Winkler, Huntsville Center Energy Division chief, said Huntsville Center ESPC/UESC teams have supported the delivery of OIB performance contracts at Lima Joint Systems Manufacturing Center in Ohio, Corpus Christi Army Depot in Texas, and Letterkenny Army Depot in Pennsylvania.

However, he said significant project execution hurdles have necessitated some level of innovation or pilot process initiatives in the upcoming planning of new performance contracts.

“The working group’s goal is to initiate that effort and motivate new work as well as problem-solving opportunities for ongoing projects.”

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