TOOELE, Utah – In an era of surging global demand for munitions, the U.S. Army is sending a clear message to the private sector: the arsenal of democracy must be a partnership of democracy.
Tooele Army Depot (TEAD), with its vast land and strategic location, is at the forefront of this national effort, actively seeking to form public-private partnerships to bolster the nation's defense industrial base.
This strategic push was highlighted by a recent visit from Rebecca Hodson, the chief of the U.S. Army Office of Strategic Initiatives (OSI), and Erin Stattel, OSI's head of Strategic Partnerships. On March 25, they met with TEAD leadership to explore how the installation can leverage its unique assets to support the Army's modernization goals.
The Army has made it clear that the old model, where the government bears the full burden of sustaining the Organic Industrial Base, is no longer sufficient to meet modern challenges. The path forward is to combine the strengths of the Army’s OIB with the innovation, agility, and capital of industry partners.
A powerful blueprint for this new model is already a reality. At Pine Bluff Arsenal in Arkansas, the Army executed an Enhanced Use Lease (EUL) with Hanwha Defense, which is making a $1.3 billion private investment to build a modern energetics facility on underutilized Army land. This strategic win-win leverages private capital to solve a critical supply chain gap while providing funds to modernize the Army installation.
This is the model the Army intends to replicate, and TEAD is a prime candidate.
"There are more projects and ideas than there is land, and we have a lot of available land here at TEAD," Hodson noted during her visit, emphasizing how well TEAD’s abundance of real estate fits with OSI's goals.
The installation, established in 1942 as a World War II ammunition hub, comprises 43,000 acres across two different geographic locations. With more than 1,100 earth covered magazines, TEAD’s primary mission is standard depot operations including receipt, storage, distribution, inventory, surveillance, and demilitarization of ammunition.
In addition to conventional ammunition, TEAD conducts maintenance on modern conventional and technical munitions including integration of loitering munitions. TEAD is designated as the Center of Industrial and Technical Excellence for Ammunition Peculiar Equipment, with its highly skilled workforce and high-tech manufacturing capabilities.
TEAD, a government-owned, government-operated OIB facility, functions like a business by generating its own revenue. However, with service rates set at a break-even point, little is left for critical modernization. Public-private partnerships offer a direct solution to this challenge.
"We can try to match private industry with TEAD’s unique capabilities, creating mutually beneficial partnerships," Stattel said.
Local and state-level support is also accelerating this initiative. Col. Luke Clover, TEAD’s commander, explained that Utah’s Military Installation Development Authority (MIDA) approached the depot about being designated as a new project area.
"That would allow MIDA to help the depot with modernization goals through P3s and other development tools identified through state law,” Clover said.
Traci Rydalch, TEAD deputy to the commanderadded,“TEAD is very interested in exploring opportunities with MIDA and also in learning ways to ensure the Army benefits from EUL agreements with private industry.”
TEAD’s strategic location at the Crossroads of the West, with major interstate and rail routes, combined with its vast acreage and established infrastructure, makes it an ideal site for companies looking to invest in the defense sector.
The message from Army leadership is unequivocal: they are open for business and ready to move at the speed of business. The success at Pine Bluff is not a one-off deal; it is the blueprint for the future of the munitions enterprise.
"It’s great to see the interest Ms. Hodson has in seeing TEAD and the entire OIB succeed,” said Clover. “She recognizes the many capabilities TEAD has and the growth potential there is to do even more with the assets available at TEAD.”
As the Army opens its doors to industry, TEAD stands ready to turn its potential into the next game-changing reality for our nation's defense.
Private sector businesses that would like more information about partnering with Tooele Army Depot are urged to contact the TEAD Business Development Office at 435-833-5040 to begin the conversation or visit the following website: https://www.tooele.army.mil/Business.aspx.