2013 Fall TBWG2013 Fall TBWGCBP Washington UpdatesCBP Washington Updates

Field Operations Facilities Program Management Office

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TBWG: CBP Washington UpdatesAgenda

• Historic NB Appropriations & Current LPOE Magnitude of Need

• Alternative Financing Initiative

• Alternative Financing Legislative Framework Development

• Engagement in Emergent Alternative Financing Opportunities

• Alternative Financing Program Framework Development

• Path Forward FY 2014, FY 2015, & Beyond

• Questions

Field Operations Facilities Program Management Office

• Through its FY06 Strategic Resource Assessments, CBP identified a $6B need to recapitalize its LPOE portfolio, which consists of 122 northern border ports and 46 southern border ports

• Since FY07, Congress has appropriated $1.4B to LPOE modernization, $668M of which has been allocated towards northern border ports

• Through its FY06 Strategic Resource Assessments, CBP identified a $6B need to recapitalize its LPOE portfolio, which consists of 122 northern border ports and 46 southern border ports

• Since FY07, Congress has appropriated $1.4B to LPOE modernization, $668M of which has been allocated towards northern border ports

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TBWG: CBP Washington UpdatesHistoric NB Appropriations & Current LPOE Magnitude of Need

• The gap between annual appropriations and resource needs continues to grow as unmet LPOE construction, sustainment, and technology costs rise

• The gap between annual appropriations and resource needs continues to grow as unmet LPOE construction, sustainment, and technology costs rise

Field Operations Facilities Program Management Office

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TBWG: CBP Washington UpdatesAlternative Financing Initiative

• To address these funding challenges and leverage non-traditional funding sources, CBP targeted the development of a long-term alternative financing strategy as an agency priority initiative in FY12 and again in FY13

• Key initiative focus areas include:

• Proposing AF legislation that augments CBP’s ability to utilize outside resources as a supplement to traditional funding mechanisms

• Engaging in a mixture of internally and externally initiated emergent AF opportunities

• Establishing an AF program framework in anticipation of continued AF project engagement and in preparation for the opportunities posed through enactment of AF legislation

Field Operations Facilities Program Management Office

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TBWG: CBP Washington UpdatesAlternative Financing Legislative Framework Development

Field Operations Facilities Program Management Office

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TBWG: CBP Washington UpdatesEngagement in Emergent Alternative Financing Opportunities

• Peace Bridge, NY AF Demonstration Project

• Commercial warehouse renovation and expansion in partnership with the Buffalo and Fort Erie Public Bridge Authority

• Engaged in pre-construction activities; project completion targeted for FY16

• New International Trade Crossing, MI Greenfield Project

• CBP in process of refreshing its operational and space requirements

• Concurrently working with GSA on design development activities with final concept design due in May

• Operationally-Driven AF Opportunities

• CBP in process of targeting operational priorities for further AF consideration

Field Operations Facilities Program Management Office

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TBWG: CBP Washington UpdatesAlternative Financing Program Framework Development

Overlaying Program Infrastructure

Field Operations Facilities Program Management Office

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TBWG: CBP Washington UpdatesAlternative Financing FY 2014, FY 2015 & Beyond

FY 2014

•AF Program fully developed and implemented

•Continued program infrastructure development

•Development of out-going proposals & engagements with investor community

•Possible CBP Donation Authority enactment and implementation

FY 2015 & Beyond

•AF Program in a position of developing and entertaining a mixture of incoming and outgoing proposals

•“Big Picture” PPP engagement, continued policy reform and exploration of alternative delivery mechanisms

Field Operations Facilities Program Management Office

TBWG: CBP Washington UpdatesQuestions