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The Budapest Sun
May 31, 2001  
US Army�s impact on economy

By Be�ta P�l


"[T]he first step we take is to seek competition in
the local economy," said Major William Sanders, chief
of JCC (American Army's Joint Contracting
Center)Hungary.
(Real meaning: We pay as little as possible, even by
local standards.)
However, the mayor of Taszar, Dr. Jozsef Kovacs, said,
"The problem is that they do not use enough local
suppliers, they even bring water from Germany. Their
presence would have been more valuable if vegetables,
fruits and other raw materials were purchased
locally."
(Brown and Root makes millions, Hungarians can't even
sell tomatoes and apples.)
The US Army also has a Fighter Management Pass Program
in Hungary, which offers the opportunity for thousands
of US soldiers stationed in Bosnia-Herzegovina, Kosovo
or Macedonia to visit either Budapest or Lake Balaton
for a long weekend. As part of the Rest and Relaxation
(R&R) program, soldiers stay in the Accor Pannonia
hotels where JCC has managed to negotiate lower rates
for soldiers.
(Sounds like Frankfurt or Hamburg in the late 1940s.
And the occupation forces even get reduced rates in
the hotels. I wonder how many locals can afford a
hotel room, especially at regular rates?)




 The US Army has invested more than $10 million in the
infrastructure of the Tasz�r main base and airfield
since its arrival in December 1995 and has brought at
least $80 million to the local economy, according to
the military�s chief of contracting in Hungary. 

The American Army�s Joint Contracting Center (JCC) is
the main coordinating office between the military and
Hungarian businesses. 

"Whenever we receive a requirement for supplies or
services, the first step we take is to seek
competition in the local economy," said Major William
Sanders, Chief of JCC Hungary. 

"We try to find supplies and services locally by
putting our bidding requirements on the JCC website
(www.jcchungary.hu). Usually we accept the lowest
bidder, but we also consider best value initiatives
such as warranties, maintenance and performance," said
Major Sanders. 

One of the major ongoing construction projects has
been the renovation of the former Russian Tasz�r base,
which holds around 400 people today but this number is
to be reduced to 100 by August. 

"Despite the fact the US presence in Tasz�r has been
reduced, we still want the quality of living
conditions to be high. Thus we continue projects to
increase the quality of life, for example installing
air-conditioning. 

"At least $10 million in construction projects has
been awarded since the end of 1995," Sanders said. 

Food supplies such as fresh fruit, vegetables, bakery
products and beverages are also sought locally, he
said. The US military buys its meat through a vendor
in the US, freezes it and sends it to different parts
of the world. 

However the Mayor of Tasz�r, Dr J�zsef Kov�cs, said,
"The problem is that they do not use enough local
suppliers, they even bring water from Germany. Their
presence would have been more valuable if vegetables,
fruits and other raw materials were purchased
locally." 

He did add several hundred people from the region were
employed at the base by the Brown and Root service
company and paid higher wages than the Hungarian
average. 

The US Army also has a Fighter Management Pass Program
in Hungary, which offers an opportunity for thousands
of US soldiers stationed in Bosnia-Herzegovina,
Kosovo, or Macedonia, to visit either Budapest or Lake
Balaton for a long weekend. As part of the Rest and
Relaxation (R&R) program, soldiers stay in one of the
Accor Pannonia hotels where JCC has managed to
negotiate lower rates for soldiers. 

"Our figures indicate that around 1,500 soldiers will
take part of the R&R programs, spending $2.5 million
over the year on items including hotel rooms, food and
gifts. 

"They usually spend $400 over a four-day pass period,"
Sanders said. 
 


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