Housing Privatization-What's Next?

  • Published
  • By Mr. Rene Espinosa
  • 28th Civil Engineer Squadron Housing Privatization Project Manager
By now, most members of the Ellsworth community should be aware of the housing privatization initiative, which is scheduled to close April 2010.

The housing privatization program has already been implemented throughout many Air Force, Army, and Navy installations and locally is intended to transfer all military housing at Ellsworth to a private developer.

As a result of this, the private developer will be required to operate and maintain the housing units for a predetermined period under a land lease format.

In turn, the developer will lease the housing units to the resident under a rent scheme that equates their basic allowance for housing. 

So where do we stand now and where do we go from here?

In order to ensure Ellsworth's needs are met and residents receive the best private developer deal possible, base leadership has appointed a project development team.

The project development team is currently establishing a request for proposal to be published in April, which will be provided to all prospective developers for Ellsworth.

The private development team will also invite prospective developers to participate in an industry forum scheduled for April. This forum will brief prospective developers on housing requirements, utilities, environmental needs and educate the developers about Ellsworth's mission.

After the industry forum is held and the request for proposal is published, the prospective developers are given 60 days to develop and submit their proposals.

In June, the proposals will be received and an extensive review process will begin. At the end of this process, scheduled for October, the project development team will meet to present, discuss, analyze and propose a ranked order for the proposals.

Project approval, however, resides with the Deputy Secretary of the Air Force for the Installation and is scheduled to be received in November.

After the approval is given, the selected developer is notified of the decision and instructed to prepare for the project closing. This is scheduled for April 2010.

For more information, contact Mr. Rene Espinosa at (605) 385-2669, or Ms. Lana Sakos at (605) 385-2581.