An analysis of the U.S. Navy's military housing privatization initiative and the application of transaction cost economics as a component of the decision framework for the establishment of future partnerships between the Department of Defense and private sector industry
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Authors
Frausto, Victor
Hoang, Trinh E.
Obregon, Richard
Pham, Tuan-Anh T.
Subjects
Military Family Housing
Military Housing Privatization Initiative
Military Construction
MILCON
Privatization
Budget Scoring
Basic Allowance for Housing
BAH
Public Private Ventures (PPV)
Budget Scoring, Basic Allowance for Housing
Military Housing Privatization Initiative
Military Construction
MILCON
Privatization
Budget Scoring
Basic Allowance for Housing
BAH
Public Private Ventures (PPV)
Budget Scoring, Basic Allowance for Housing
Advisors
Franck, Raymond E.
Mutty, John E.
Date of Issue
2004-12
Date
December 2004
Publisher
Monterey, California. Naval Postgraduate School
Language
Abstract
The Department of Defense (DoD) has struggled with the issue of inadequate military family housing for decades. Furthermore, Congress has made numerous attempts to resolve this problem culminating in the passage of the 1996 National Defense Authorization Act. This Act allowed DoD to implement as many as twelve different authorities to meet this housing challenge, including the ability to form joint ventures with private corporations. The Navy's innovative use of the joint venture authority has facilitated the renovation and creation of military family housing at an unprecedented scale and pace. This study provides an overview of the Navy's use of the joint venture authority. Additionally, the concept of Transaction Cost Economics is explained and applied to the Navy's contracting template for analysis. The research concludes that the twelve authorities, especially joint ventures, have provided effective means to resolve DoD's military housing dilemma. Additionally, the application of Transaction Cost Economics has proven beneficial to minimizing opportunistic behavior on the part of private partners and/or subcontracted entities.
Type
Thesis
Description
MBA Professional Report
Series/Report No
Department
Graduate School of Business & Public Policy (GSBPP)
Organization
Identifiers
NPS Report Number
Sponsors
Funder
Format
xvi, 91 p. : ill. (some col.) ; 28 cm.
Citation
Distribution Statement
Approved for public release; distribution is unlimited.
Rights
Copyright is reserved by the copyright owner.
This publication is a work of the U.S. Government as defined in Title 17, United States Code, Section 101. Copyright protection is not available for this work in the United States.
This publication is a work of the U.S. Government as defined in Title 17, United States Code, Section 101. Copyright protection is not available for this work in the United States.