We are interested in the closing of the Willow Grove Naval Air Station Joint Reserve Base...
The mission of Willow Grove Naval Air Station Joint Reserve Base is to provide, train and maintain a ready reserve military force. According to GlobalSecurity.org, the primary Navy tenant of Willow Grove is patrol squadron VP-66. Other tenants at the installation include the Air National Guard, Air Force Reserve, and one Marine Corps Helicopter Squadron. The Base is located in Horsham Township, Montgomery County, approximately 20 miles north of Philadelphia.
In 2005, the independent Base Realignment and Closure Commission voted on U.S. Defense Department of Defense proposal to shut or shrink 800 bases across the country, including the Willow Grove facility. The Commission calculated that the one-time cost closing of the Williow Grove Base would be $239.5 million, with annual savings of $79.3 million.
Estimates of the impact of the Base closing vary remarkably. The Commission anticipated the loss of approximately 1,700 military and civilian jobs from the Base and its affected supplying and supporting industries. One controversial assessment provided by Econsult Corporation, a Philadelphia–based consulting firm, prior to the announcement of the Base closing by the Commission indicated that the Willow Grove Base’s economic impact on the community was $378 million in business activity and 10,724 jobs. No matter what estimate is preferred, the Base closing is expected to have broad impact on the economy of Montgomery County.
A comprehensive forecast of the total economic impact of the closing of the Willow Grove Naval Air Station Joint Reserve Base is required to assess and mitigate the closing’s particular impact on employment and training in Montgomery County. Moreover, an assessment is needed of the opportunities for reallocating the workers displaced by the Base closing to reduce the disruption of personal income streams and optimize allocation of human capital assets in Montgomery County.
Production of these economic and employment assessments is complicated by at least three factors. First, the Base will close in stages, the result of which will be a staging over time of the employment and general economic impacts. Second, the production, consumption, and demographic interdependencies in the local economy make derivation of the impact of the Base closing technical and complicated. And, third, the understanding of the ability of the Montgomery County labor market to absorb workers displaced from the Willow Grove Naval Air Station Joint Reserve Base rests on a variety of assumptions and unknowns.
We hope to have the opportunity to conduct these economic and employment assessments through Penn State's Workforce Education and Development Initiative.