Can Depots Compete?

January 15, 1997

Can Depots Compete?

Federal union officials say the Air Force is making it difficult for its depots to compete with private companies for work at depots slated for closure, Federal Times reported this week.

The air logistics centers at Kelly Air Force Base in Texas and McClellan Air Force Base in California, which include maintenance depots, are slated for gradual closure through 2001. The center at Robins Air Force Base in Georgia will compete for work now done at Kelly and the center at Hill Air Force Base in Utah will bid on work now done at McClellan.

But restraints on depot competition favor private companies, union officials say. Only one depot can compete for the work at a closing center and the winning depot cannot use the facilities that are there, though private companies can.

Private companies have some restrictions of their own, including the "60/40" rule, which mandates that 60 percent of all depot work be performed by public employees. The Pentagon is seeking to overturn that rule.

The Clinton Administration delayed the Base Realignment and Closure Commission's 1995 recommendation to shut down Kelly and McClellan until the year 2001 to prevent massive layoffs that would hurt the economies of the areas around the bases. The Administration prefers a strategy of "privatization-in-place," under which a private company would move on to a base slated for closure and take over its operations.

A recent General Accounting Office report found that privatization-in-place at the depots would cost $200 million more a year than simply closing the depots and transfering the work to other facilities.

Stay up-to-date with federal news alerts and analysis — Sign up for GovExec's email newsletters.
Close [ x ] More from GovExec

Thank you for subscribing to newsletters from
We think these reports might interest you:

  • Going Agile:Revolutionizing Federal Digital Services Delivery

    Here’s one indication that times have changed: Harriet Tubman is going to be the next face of the twenty dollar bill. Another sign of change? The way in which the federal government arrived at that decision.

  • Cyber Risk Report: Cybercrime Trends from 2016

    In our first half 2016 cyber trends report, SurfWatch Labs threat intelligence analysts noted one key theme – the interconnected nature of cybercrime – and the second half of the year saw organizations continuing to struggle with that reality. The number of potential cyber threats, the pool of already compromised information, and the ease of finding increasingly sophisticated cybercriminal tools continued to snowball throughout the year.

  • Featured Content from RSA Conference: Dissed by NIST

    Learn more about the latest draft of the U.S. National Institute of Standards and Technology guidance document on authentication and lifecycle management.

  • GBC Issue Brief: The Future of 9-1-1

    A Look Into the Next Generation of Emergency Services

  • GBC Survey Report: Securing the Perimeters

    A candid survey on cybersecurity in state and local governments

  • The New IP: Moving Government Agencies Toward the Network of The Future

    Federal IT managers are looking to modernize legacy network infrastructures that are taxed by growing demands from mobile devices, video, vast amounts of data, and more. This issue brief discusses the federal government network landscape, as well as market, financial force drivers for network modernization.

  • eBook: State & Local Cybersecurity

    CenturyLink is committed to helping state and local governments meet their cybersecurity challenges. Towards that end, CenturyLink commissioned a study from the Government Business Council that looked at the perceptions, attitudes and experiences of state and local leaders around the cybersecurity issue. The results were surprising in a number of ways. Learn more about their findings and the ways in which state and local governments can combat cybersecurity threats with this eBook.


When you download a report, your information may be shared with the underwriters of that document.