Serve America, Protect Our Future: A plan to energize Howard County’s economy by investing in Secure Facility Construction

Introduction

This proposal outlines a framework for the subsidized speculative construction of up to 500,000 square feet of Sensitive Compartmented Information Facility (SCIF) compliant commercial space in Howard County over a seven (7) year timeframe. The purpose of this initiative is to energize Howard County’s local economy by taking advantage of the County’s proximity to the Pentagon and Ft. Meade– where ongoing national security work must be conducted in secured facilities.

The creation of more local SCIF space will increase the County’s capacity to host defense contractors and federal agencies that are conducting Top Secret work on America’s behalf. Take a look at the following information to get a better understanding of how this plan can entice a new source of business revenues into the County.

What is a SCIF?

SCIFs are secure facilities used by federal agencies and defense contractors to perform highly classified work on behalf of the U.S. Government.  These buildings are essential for safeguarding classified information. This investment would position the county to meet a consistently growing and unmet national demand for secure workspaces.

If federal jobs and funding are being slashed, why should Howard County invest in SCIF construction?

According to Greg Prossner, Senior Vice President of COPT Defense Properties, a local real estate developer with properties in Columbia’s Gateway Innovation District, “There is a lot of demand for SCIF space from defense contractors, especially in the area of cybersecurity… The Department of Defense budget for cybersecurity has increased roughly 50 percent over the past five years, which has created a tremendous tailwind for small and large cyber contractors, especially in the submarkets near Fort Meade, Maryland, which is home to U.S. Cyber Command.” 

How does this benefit local residents?

By proactively subsidizing the construction of secure facilities (through both new builds and the conversion of existing commercial properties), Howard County will attract federal tenants, defense contractors, and cybersecurity firms. This plan seeks to provide a viable pathway to new high-paying jobs for our residents; strengthen the County’s importance to America’s national security; and generate crucial long-term local tax revenue as County revenues have stalled with total local taxes collected growing just 1.8% between FY 2022 and FY 2024.

II. Leveraging Our Resources & Existing Initiatives

Due to the complexity and high cost of SCIFs, which must meet specific compliance requirements, most commercial developers aren’t building SCIFs without an anchor tenant. This has resulted in a supply bottleneck where defense contractors often face months or even years of delays while retrofitting space or awaiting secure site approvals. 

Opportunity Awaits

Howard County is already focused on developing its cybersecurity footprint and establishing itself as a “premier cybersecurity innovation hub.” 

This plan builds on this countywide strategy by facilitating the speculative development (or re-development) of workspace within the County to provide emerging and established businesses the opportunity to engage in classified work locally.

The County– as resources allow– would subsidize commercial real estate build outs to a general secure-facility specification on a predetermined construction schedule. Concurrently, prospective tenants would be encouraged to pursue DoD contracts and list our “move-in ready” secure facilities as the proposed work site. Because these locations are pre-built to certain secure specifications, the final modifications to achieve SCIF certification would be significantly less expensive and significantly less time consuming to complete for the government contractor bidding on a DoD contract.

In Layman’s terms, Howard County would engage in a phased development in much the same way a residential developer would build a townhome community. General floor plans would be developed along with the rolling construction of base-model homes– with an option for individual home owners to choose their delivery dates and customizations prior to moving in. 

This is what Howard County could offer to major DoD contractors like Boeing, Raytheon, and Lockheed Martin, while also providing alternative workspaces for the U.S. Cyber Command and other National Security agencies in need of SCIF space due to expansion or evolving security requirements.

III. The Economic Benefits

According to local developers, the estimated cost for building a SCIF-compliant space is ~$300 per square foot– totaling $150 million for the proposed 500,000 square feet. However that investment could be halved by immediately reinvesting leasing revenue back into the cost of the overall construction plan.

If the County were to fully finance roughly 71,000 sq ft per year for seven (7) years, Howard County could realize a positive cashflow within eight (8) years, assuming full occupancy at the conclusion of each construction phase and the lease revenue is reinvested to offset future construction costs.

Alternative Financing Options

It is important to note that Howard County does not have to bear the full cost of construction if there is an eligible small business (fewer than 500 employees) that qualifies for The Employer Security Clearance Costs (ESCC) Tax Credit– which offers up to $200,000 in State income tax credits for SCIF construction costs.

Further options exist to implement scaled leasing rates, revolving loan funds, and innovative public private partnerships to dramatically expand SCIF availability.

IV. Conclusion

This proposal is more than a pitch for building infrastructure—it is a call to action for Howard County to take the lead in shaping its economic future. As federal agencies and defense contractors search for ready-made secure facilities in proximity to national security hubs like Fort Meade and the Pentagon, Howard County has the rare opportunity to meet that demand and reap long-term benefits for its residents.

In an increasingly volatile economic climate, SCIF construction offers a rare combination of strategic alignment, revenue potential, and national significance. It builds on Howard County’s strengths—its workforce, location, and innovation agenda—while catalyzing new private-sector activity. With prudent public investment, smart partnerships, and phased development, Howard County can deliver a powerful message: We serve America by building what the future demands.