WELCOME DOWNTOWN, DEA

Redevelopment

THE U.S. Drug Enforcement Administration's decision to relocate from
Clayton to downtown St. Louis was influenced by a number of factors, not
the least of them being security. Another welcome influence was Executive
Order 12072, issued by former President Jimmy Carter. The order requires
federal agencies to give preference to central business districts when
choosing sites for relocated federal buildings.

The DEA is moving to a $23 million building at 16th Street and Clark Avenue
on Nov. 1 after vacating its former headquarters in Clayton's UMB Bank
Building, where its lease is expiring. New downtown office buildings have
been developed by or for several other federal agencies in recent years.
The additions include the $200 million Eagleton U.S. Courthouse, a $12
million building for the Veterans Administration, a $32 million building
for the FBI and a $2.45 million building for the Social Security
Administration.

The Reagan administration said the executive order was burdensome and
costly. It generally favored a less rigid policy under which federal
agencies would give consideration, but not preference, to downtown sites.

The property the DEA is leasing goes for between $26 and $28 a square foot,
translating into an annual lease payment of roughly $2 million. While that
may be expensive, this is a facility that was built to DEA specifications.
The General Services Administration's lease contracting officer, Kathy
Howard, says she's proud of the building, which met the agency's quality
and price criteria in addition to giving the DEA a state-of-the-art facility.

Through his executive order, Mr. Carter sought to help reverse
long-standing federal site-selection practices that might have helped to
speed up the business exodus from cities. The Reagan administration argued
that the rule was only marginally successful in helping to revitalize
decayed downtown areas. It was right. The flight of businesses and jobs
from downtown didn't stop, but the Carter rule certainly helped to slow the
exodus.

DEA's relocation not only brings 200 more office workers to downtown's
economy. It also means an extra $215,000 in payroll and earnings taxes for
the city. These benefits are good examples of why the federal government
should use its clout to help struggling cities and to attract private
investment for downtown redevelopment.