Overview of the South Beach Project

The South Beach Project is a long-term initiative intended to relocate and consolidate Defense Health Agency (DHA) operations to Fort Sam Houston in San Antonio. This project aims to centralize the agency’s missions and accommodate thousands of employees currently dispersed across various facilities in the region.

About the Defense Health Agency

Headquartered in Falls Church, Virginia, the DHA, established in 2013, oversees medical services for the military. It manages military hospitals, clinics, and the TRICARE network, employing tens of thousands of civilian and military personnel worldwide.

Local Impact and Future Developments

In 2023, DHA representatives affirmed that the project would facilitate the management of specific skill sets and functions at a centralized location. San Antonio aims to bolster its status as a hub for military medicine, potentially benefiting from state economic development grants.

“We are Military City USA but we are also quickly becoming, if not already, Military Medicine City USA,” said Commissioner Grant Moody (Pct. 3) at a Bexar County Commissioners Court meeting in December 2023.

The agenda from a recent Commissioners Court meeting indicates that the county plans to hire an architect to develop renovation plans for DHA facilities at Fort Sam Houston. This renovation is projected to accommodate over 1,000 DHA employees focused on enhancing health and business readiness for Joint Base San Antonio and the national military force.

Financial Aspects and Building Renovations

The original plans for the project date back to 2005, and a cost update for renovating the South Beach Pavilion, a four-story building erected in 1931 and repurposed during World War II, is currently underway. Initial estimates suggest that renovations could cost around $30 million, which relies on contributions from local city and county governments as well as state grants that are pending application.

“This project, with funding from three different entities, is intended to be both an economic impact project, as well as help the overall mission of JBSA,” officials noted.