STATUS OF US MILITARY PROJECTS UNDERWAY AT ITALIAN

C O N F I D E N T I A L ROME 002248

SIPDIS


DEPT FOR PM: A/S BLOOMFIELD; EUR/RPM AND EUR/WE: DEAN,
GRAZE, HERNANDEZ
DOD FOR DASD HOEHN

E.O. 12958: DECL: 06/06/2014
TAGS: MARR PREL IT GLOBAL DEFENSE FORCES IN ITALY
SUBJECT: STATUS OF US MILITARY PROJECTS UNDERWAY AT ITALIAN
BASES

REF: ROME 1230

Classified By: DEPUTY CHIEF OF MISSION EMIL SKODON FOR REASONS 1.5(B)(D
)


1. (C) Summary. Whatever final decisions are made with
regard to the US military's Global Posture Review (GPR),
changes emanating from the GPR will build upon numerous
milcon and other projects already underway within Italy.
Careful coordination will be required to ensure that these
current projects can move forward in order to address
longstanding concerns regarding capabilities, Quality of Life
and Force Protection for the approximately 17,000 US military
personnel stationed at Italian rpt Italian bases. In some
cases, completion of current projects could be delayed until
we conclude opngoing negotiations for the Technical
Arrangements (TAs) called for under the 1995 bilateral MOU
"Shell Agreement" and designed to clarify operating
frameworks for US-Italian cooperation at each location where
US forces are present (see reftel). (Future GPR-related
changes can be plugged into completed TAs once final GPR
decisions are made.) Regular consultations and effective
coordination at the local and national level through the
Joint Military Commission will continue to be a prerequisite
for Italian approval of US proposals. This cable summarizes
Embassy information on milcon and other projects currently
underway in Italy independent of the GPR process. End
Summary.

SETAF/VICENZA
--------------

2. (SBU) The Italian military recently approved a
long-pending USAREUR request to conduct site surveys,
renovation assessments and design surveys on several former
NATO and Italian Air Force buildings located at the Dal Molin
civ/mil airfield near Vicenza. USAREUR requested to use the
space over two years ago to relieve severe overcrowding at
Caserme Ederle in Vicenza following the addition of a second
SETAF battalion in 2001. The residual value question between
Italy and NATO and related issues delayed approval of
USAREUR's request until recently. The buildings are
sufficient to house the existing SETAF command of about 200
personnel. While initial steps to renovate the buildings can
proceed, the Italian Defense General Staff (IDGS) has made it
clear that US Forces cannot operate from the new facilities
until the USG and Italy complete a Technical Arrangement
covering SETAF. No formal Italian authorization has been
sought or obtained for a larger SETAF footprint linked to
adding a third battalion or other capabilities associated
with the Global Posture Review, although informal soundings
indicate they may be amendable.


3. (SBU) While Dal Molin offers a convenient answer to
SETAF's current cramped conditions, it may offer only limited
possibilities for future SETAF expansion plans. The
airfield's future is a hot local political issue, caught
between the Italian Air Force's (ITAF) plans to vacate and
civil authorities efforts to keep the field functioning. The
ITAF, which operates the civ/mil air tower, has announced
that it will stop manning the control tower as of 2006. Civil
authorities cannot afford to take over tower operations and
are applying considerable political pressure to force the
ITAF to continue. Both the ITAF and local authorities might
view a USAREUR-funded and run civ/mil airfield as a welcome
solution, however USAREUR indicated no interest in the
airfield or tower in its September 2003 request to the IDGS
regarding available space at Dal Molin. In any event, the
ITAF would undoubtedly insist on close coordination with the
US regarding the airfield's use. It is also possible that
Italy is considering new plans for Dal Molin, which is
located near a major Carabinieri training facility, in
connection with the training center envisioned under the G8
Global Peacekeeping Operations Initiative.


LSVs:LA SPEZIA/LIVORNO
--------------

4. (C) USAREUR's 2003 request to permanently locate a
Logistic Support Vessel (LSV) and a Theater Support Vessel
(TSV) at an Italian port is still being worked by the Prime
Minister's Military Advisor, General Tricarico, and the IDGS.
Tricarico recently told PolMil Counselor that he is pressing
the Italian Navy to make room for the vessels at the civ/mil
port of La Spezia, an option the Italian military initially
rejected due to limited military port space. The IDGS had
recommended that USAREUR arrange to rent space at the
commercial port of Livorno as an alternative, however, the
Ministry of Foreign Affairs and Prime Minister's Office
expressed security and logistical concerns about locating US
military vessels in a commercial port. If Livorno proves to
be the only workable option, the MFA has indicated that it
may be necessary to adjust the annex to the 1954 Bilateral
Infrastructure Agreement that governs the US military's
presence at Camp Darby to include the LSV/TSV operation. It
is not clear whether a similar annex will need to be
negotiated if the ships can be accommodated at La Spezia.

CAMP DARBY
--------------

5. (U) Several construction and maintenance projects were
approved about four years ago to renovate Camp Darby, a
logistics and war reserve installation near Livorno.
Projects include a barracks improvement program, upgrade of
transient and recreation facilities and other infrastructure
enhancements worth approximately $10 million. The large
ammunition storage area has recently undergone a $20 million
face-lift, including improvements to roads and bridges and
repair of storage bunkers. A series of construction projects
over the next 3-5 years for storage and maintenance
facilities are being awarded to provide state-of-the-art
repair, maintenance and storage facilities for reserve
material.

AVIANO
--------------

6. (SBU) USAFE has worked constructively with local and
national Italian authorities since 1997 on a significant
Force Protection initiative at Aviano Air Base to close a
public road that bisects the base. After obtaining Italian
approvals in 2001, USAFE obtained US authorization and
appropriations in late 2002 to construct a bypass road for
public traffic (including land expropriation costs) and
related improvements inside the base. The Italian AF base
commander (and the USAF negotiator) was instrumental in
getting an agreement signed in April 2004 between USAF and
Italian military and local officials. Construction on the
off-base project is likely to start in April 2006, following
land expropriation. Limited construction inside the base may
get underway this year, to be fully completed by late 2007.
Embassy understands that the dis-establishment of the 16th
Air Force, in connection with AirSouth's move to Turkey, is
not expected to reduce USAFE's numbers significantly at
Aviano.

NAPLES/GAETA
--------------

7. (SBU) The US Navy has largely completed work on an
approximately $300 million milcon project to build an
operational base at Capodichino Airport. Also nearing
completion is a build-to-lease support base at Gricignano
d'Aversa, which will provide approximately 1,000 homes,
schools, medical and recreational facilities. This caps a 20
year effort by the USN to relocate its Naples-based
operations to safer, more functional buildings, including a
medical/dental facility designed to serve as a major referral
hospital for US Forces throughout Southern Europe. Embassy
understands that plans to relocate elements of NAVEUR from
London to Naples are not expected to increase the USN's
footprint in Naples, largely because other units will be


moved back to CONUS. It may, however, be necessary to
reconfigure original projections for allocation of space at
Capodichino.

LA MADDALENA/SANTO STEFANO
--------------

8. (SBU) The USN is pursuing two consolidation and
improvement projects for the Naval Support Activity (NSA) at
La Maddalena and the facilities used by the submarine tender
on neighboring Santo Stefano island. USN is ready to move
forward with contract bids in late June with an ambitious
project for Santo Stefano, which is designed to improve the
existing submarine fleet support and maintenance facilities.
Complicated local politics (Sardegna is an autonomous region
of Italy) and an incident in 2003 when the USS Hartford
touched bottom near the main harbor delayed final Italian
approval of the project until earlier this year. Renovation
of housing and operational facilities is expected to begin in
August and may be completed within two years.


9. (SBU) In addition to the Santo Stefano improvements, the
USN is discussing a plan to consolidate the NSA facilities
now scattered across the island of La Maddalena on one or two
parcels owned by the Italian military. This would eliminate
rents paid for leased facilities and address many US Force
Protection and anti-terrorism concerns. Several options are
under consideration but, again, island politics and the
results of the June 12-13 local elections will play a key
role in what the Italian military can offer and how quickly
the USN can begin implementing the long-awaited consolidation
plan. Embassy, including the Ambassador, stands ready to
assist with obtaining necessary approvals once USN decides on
its preferred option for consolidation.

NAS SIGONELLA
--------------

10. (SBU) Naval Air Station (NAS) Sigonella has taken on
increasing significance as a joint and combined naval
operations center in the heart of the Mediterranean. The
main operational area at the airfield (NAS II) is co-located
with an Italian Air Force Reconnaissance Squadron. A
separate community support site (NAS I) is located north of
the airfield. Sigonella uses other facilities, including a
communication site, fueling and supply point and target
range, located elsewhere on the island of Sicily. NAS
Sigonella is in the process of a recapitalization program to
replace the entire pre-existing infrastructure used by US
Forces, including a new Navy Exchange and Commissary,
improvements to the hospital and school and two
build-to-lease housing initiatives. A barracks improvement
program is underway at NAS I and NAS II and an existing
housing complex is scheduled to be upgraded.

TECHNICAL ARRANGEMENTS
--------------

11. (C) The projects outlined above have been negotiated and
implemented in accordance with the 1954 Bilateral
Infrastructure Agreement (BIA) which, along with the NATO
SOFA for NATO-related activities, defines the US presence at
all Italian military installations. The US and Italy
essentially updated the BIA with the 1995 bilateral MOU
(known as the "Shell Agreement") which established the Joint
Military Commission (JMC) as the primary channel for
bilateral discussions on operations issues. The Shell
Agreement also requires that Technical Arrangements (TAs)
setting out the framework for coordinating US and Italian
operations and the outline of US military activities be
concluded for each base hosting US military personnel.
Adjustments to US operations at any particular base can be
reflected by amendments to the appropriate TA, without having
to overhaul the BIA or Shell Agreement. The JMC has been an
effective vehicle for coordination, information exchange and
resolution of pending issues, however, the TA negotiations
have been hampered by delays. With the recent resolution of


a US inter-service dispute, negotiators are making good
progress on the first TA (for NAS Sigonella) which will serve
as a general model for the other installations. The Italians
are very receptive to our renewed efforts to conclude the
Sigonella and other TAs, and have made it clear that further
delays may impact Italian approvals on US military requests.
While we expect negotiations related to final GPR decisions
will proceed relatively smoothly if we can work from a
concluded "model" TA, the Italians may be reluctant to
discuss those changes without at least the Sigonella TA in
hand.

COMMENT
--------------

12. (C) The US military has vigorously pursued these
improvement projects to address long-standing Force
Protection and Quality of Life deficiencies. The Italian
government has been fully involved and supportive, and has
often been an effective liaison with local and regional
officials. In order to avoid impeding progress on
much-needed improvements for US Forces stationed in Italy,
Post will continue to coordinate closely to ensure that the
Italian government treats these on-going projects as distinct
from possible GPR-related changes.

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2004ROME02248 - Classification: CONFIDENTIAL