Reply to Attn of:

National Aeronautics and Space Administration

Headquarters
Washington, DC 20546-0001

December 16, 2011
Office of Strategic Infrastructure
TO: Assistant Inspector General for Audits
FROM: Assistant Administrator for Strategic Infrastructure

SUBJECT: NASA's Hangar One Re-Siding Project (Assignment No. A-11-008-00)

Pursuant to the Agency’s response on the subject draft report dated June 17, 2011, the
Mission Support Directorate (MSD) and the Office of Strategic Infrastructure (OSI) have
provided the Condition Assessment and Rehabilitation Plan (CARP) for Hanger One. The
four-volume CARP addresses three of the five alternatives proposed by the OIG. The CARP
is a technical assessment of what would be required to pursue the analyzed alternatives and
does not constitute a recommendation of any given alternative. Alternatives four and five
were not included in the CARP as they were outside the purview of the engineering firm
conducting the study.

The fourth and fifth alternatives listed by the OIG refer to carrying out historic preservation
mitigation actions with regard to demolishing Hangar One or transferring it to another
government entity. These alternatives were evaluated by NASA staff and included here for
your review.

Historic Preservation Mitigation for Demolition

Historic Preservation mitigation for demolition is a complex issue that follows compliance
with both National Environmental Policy Act (NEPA) and the National Historic Preservation
Act (NHPA). To determine the appropriate mitigation, NASA would have to engage the
California State Historic Preservation Officer and the Advisory Council on Historic
Preservation as well as interested parties from the public and consult with them on the
appropriate mitigation. It is not known what the appropriate mitigation would be at this stage.

NASA and the Navy have already completed measured drawings which might comprise a part
of a mitigation package, but it is likely that compliance negotiations would result in additional
mitigation for a proposed demolition of the hangar. It is estimated that the process would take
a minimum of two years to complete and might require an Environmental Impact Statement
because it would be a significant impact to the historic structure. Based on experience from
similar projects across the government, it could cost NASA at least 1 million dollars for the
NHPA mitigation and associated NEPA compliance.


Transfer to Another Government Entity

Once a property is deemed excess to the Agency's mission, under 51 U.S.C. §20117,
excessing the Hangar may occur after the Agency formally informs Congress of its intent.
After 30 days have passed following Congressional notification, the Agency may provide a
report of excess to the General Services Administration (GSA), who would then coordinate
the disposition of the site. GSA exercises its authority under the Federal Property and
Administrative Services Act of 1949 (Property Act) to disposition the property.

Once GSA accepts the report of excess, GSA takes the lead role in the disposition process and
handles inquiries relating to the disposition of the property. During this period NASA would
be required to maintain and safeguard the property at a minimally acceptable level. NASA
also would be responsible for the identification of historic resources within the Report of
Excess and the management of those resources until the property is dispositioned. GSA
would be responsible for NEPA compliance and the requirements of Section 106 of

the National Historic Preservation Act. GSA may also consider the Historic Surplus Property
Program which enables state, county, and local governments (municipalities) to obtain
historic buildings once used by the Federal Government.

Should you have questions regarding historic preservation mitigation for disposal or transfer
of federal ownership, please contact Ms. Jennifer Groman, NASA’s Historic Preservation
Officer at 202-358-0455 or Mr. Calvin Williams, Acting Director of Technical Capabilities
perty at 202-358-2322 respectively.