RHEINLAND-PFALZ MINISTER-PRESIDENT BECK ASKS FOR

C O N F I D E N T I A L SECTION 01 OF 02 FRANKFURT 009143 SIPDIS E.O. 12958: DECL: 10/22/2014 TAGS: PREL MARR PGOV GM SUBJECT: RHEINLAND-PFALZ MINISTER-PRESIDENT BECK ASKS FOR USG HELP ON BASES AND PLEDGES CONTINUED SUPPORT REF: A) FRANKFURT 5846 B) FRANKFURT 1495 C) BERLIN 1867 (NOTAL) D) BERLIN 3547 (NOTAL) Classified By: DCM John A. Cloud; reasons 1.4 (b) and (d) ¶1. (C) SUMMARY. In an October 7 meeting with the Ambassador, Rheinland-Pfalz (R-P) Minister-President Kurt Beck (SPD/Social Democrats) reiterated the state's support for U.S. troops based there and asked that the USG back efforts to minimize damage from the Global Defense Posture Review, particularly in the case of Baumholder (ref A). Rheinland-Pfalz will continue to support security at US installations. The Ambassador committed to encourage German defense authorities to use Baumholder and other facilities which may be vacated by the U.S. military. END SUMMARY. GLOBAL DEFENSE POSTURE REVIEW/BAUMHOLDER -------------- ¶2. (C) The Ambassador called on Rheinland-Pfalz Minister-President (M-P) Kurt Beck, in a meeting centered primarily on U.S. basing issues stemming from the USG's Global Defense Posture Review (GDPR). Minister-President Beck voiced strong support for the continued stationing of U.S. servicemembers and their families in Rheinland-Pfalz and expressed concern over indications that some installations will close as a result of GDPR. He remarked that Rheinland-Pfalz has absorbed the closure of 500 U.S. military properties in the past eight years, but closing U.S. Army facilities in Baumholder would deal a tremendous blow to that community ( where soldiers and dependents outnumber local inhabitants) and its surrounding area. Rheinland-Pfalz representatives have floated a proposal (ref A) in Washington and Berlin to retain Baumholder as a multi-national training center for humanitarian intervention and civil insurgency issues. Rheinland-Pfalz has also presented concrete proposals to upgrade housing at U.S. military facilities (through privately financed build-to-lease arrangements) and to expand activities at Ramstein. Minister-President Beck called for more intense consultations on these proposals and related issues. ¶3. (C) The Ambassador assured Minister-President Beck that we will coordinate closely with German authorities and remarked that he had just met with DOS and DOD representatives in the context of U.S.-German consultations on GDPR. He assured Minister-President Beck that the Ramstein-Kaiserslautern-Landstuehl complex will remain a major U.S. basing site and that some activities will continue to expand under the Rhein-Main transition agreement (closure of the U.S. airbase in Frankfurt). Spangdahlem AB will remain and serve as a back-up for Ramstein AB. Both Army divisions based in Germany (First Armored Division and First Infantry Division) will relocate to the U.S. no earlier than 2006 ( a move which may last until the end of the decade). The USG greatly appreciates Rheinland-Pfalz's welcoming support for these troops and their families -- who love living in Germany -- and hopes that this support will continue under a reconfigured presence. Minister-President Beck pledged that Rheinland-Pfalz will continue this support, particularly on security for U.S. installations. ¶4. (C) On Baumholder, the Ambassador pointed out that he had just spoken with the mayor of the town of Baumholder and will meet the following week with DefMin Struck and Bundeswehr General Schneiderhan, encouraging them to give full consideration to Rheinland-Pfalz's proposal on Baumholder. SecDef Rumsfeld committed to DefMin Struck that the USG will seek to coordinate its transition with German defense transformation so that some facilities vacated by U.S. forces could be used by a restructured German military. On a personal note, the Ambassador reflected that Indiana's two major U.S. installations were both closed during his time as Senator, but a coordinated approach by federal, state, and local authorities eased the transition and left some Indiana communities better off than before the base closures. Minister-President Beck thanked the Ambassador for his support and understanding and expressed hope that the sides can reach a solution that works militarily, fiscally, and for local communities. GERMAN SUPPORT IN IRAQ -------------- ¶5. (C) Having just attended a high-profile ceremony commemorating the return from Iraq of the First Armored Division, the Ambassador highlighted the heroic service of U.S. troops in Iraq. President Bush and Chancellor Schroeder are agreed that we should focus on the future stability of Iraq and not on past disagreements. The USG understands that Germany is constrained in the military support it can give, but we hope Germany will soon do more on peacekeeping, reconstruction, training, and/or humanitarian assistance, perhaps in the context of NATO engagement. Failure in Iraq would have terrible consequences for the region and for the international community. ¶6. (C) Minister-President Beck expressed empathy for U.S. soldiers in Iraq and their families in Rheinland-Pfalz and said he feels there is room for Germany to do more in Iraq, provided the U.N. is engaged. Germany policy towards Iraq is likely to be shaped at the European level, unlike during the run-up to war when European states were divided on the question of intervention. Minister-President Beck said he advocates German engagement in his role as national vice-chairman of the SPD, however, there is no scope politically for German military involvement (i.e. peacekeeping) in this case. ECONOMIC REFORM AND POLITICS -------------- ¶7. (SBU) Minister-President Beck opined that Germany and its ruling parties appear to have turned the corner on economic reform after a terrible showing of European and local elections in June. Voters appear now to accept the necessity of economic reform and understand both the tremendous burden of reunification (annual transfers of 80 billion euros) and the challenge of international competition. Barring unforeseen circumstances, Germany's export boom should stimulate domestic demand in the context of the Schroeder government's economic strategy combining tax stimulus, restructuring of social insurance contributions, incentives to take jobs instead of unemployment benefits, and funds for innovative companies. The Rheinland-Pfalz economy is doing better than Germany as a whole -- higher growth and lower unemployment -- in large part because the state government invests in infrastructure projects that help businesses such as Frankfurt-Hahn airport ( a former U.S. military base). ¶8. (C) Asked about his own political situation, Minister-President Beck remarked with satisfaction that polls now put the Rheinland-Pfalz SPD neck-and-neck with the CDU (Christian Democrats),who are caught up in an acrimonious fight over who will be the conservative flagbearer in 2006 state elections ("bitter enemies could reach agreement more amicably than political friends in this case"). With a stable SPD-FDP (Free Democrat) coalition since 1991 -- and strong personal approval ratings, he added -- Beck is optimistic about 2006 state elections. BODDE