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The Honolulu Advertiser
Posted on: Wednesday, May 11, 2005

General brings down the house at Schofield

By Peter Boylan
Advertiser Staff Writer

WAHIAWA — The general traded his helmet for a hard hat yesterday, got behind the controls of a backhoe and tore down a house as cheering soldiers and civilian contractors witnessed the first movement of a $1.6 billion military housing project at Schofield Barracks.

Maj. Gen. Eric T. Olson made quick work of this house yesterday, as a $1.6 billion housing project at Schofield Barracks got under way.

Richard Ambo • The Honolulu Advertiser

"We are in competition to keep these young leaders in the Army," Maj. Gen. Eric T. Olson told the crowd. "Here is an example of what we're going to do for them ... $1.6 billion of good faith. That's pretty good incentive to stay Army."

Olson, dressed in fatigues, a hard hat sporting two stars and an orange caution vest, and escorted by a licensed backhoe driver, spent more than five minutes yanking and pulling the backhoe's controls, swinging the machine's giant yellow arm and claw to crush the dilapidated, cream-colored building in front of him.

The general's work was followed by a traditional Hawaiian blessing and a potluck.

The 10-year military family housing privatization project will include the construction of more than 4,050 homes, renovations to more than 3,400 existing residences, and repairs to 386 historical homes.

The $1.6 billion contract, which could rise to $6.9 billion over 50 years with maintenance and management of the Army housing, represents the largest military family housing privatization project in the United States, and will affect thousands of Hawai'i families and workers vying for subcontracting jobs.

Actual construction isn't expected to begin until this summer. Even so, $10 million to $15 million in business already has been contracted out for housing operations and maintenance with California-based Actus Lend Lease taking over those duties in October.

Actus, which has built military homes in Hawai'i for more than 12 years, was picked by the Army as the preferred developer for the housing privatization contract in August 2003.

Actus spokesman Ryan Mielke said the contract will not only benefit the soldiers and their families, but it will fuel the local economy.

"Small and local business, those are the ones that benefit from projects like this the most," he said.

Reach Peter Boylan at pboylan@honoluluadvertiser.com or 535-8110.