The Virginian-Pilot
                             THE VIRGINIAN-PILOT 
              Copyright (c) 1996, Landmark Communications, Inc.

DATE: Thursday, June 6, 1996                TAG: 9606060522
SECTION: BUSINESS                PAGE: D1   EDITION: FINAL 
SOURCE: BY JACK DORSEY, STAFF WRITER 
DATELINE: NORFOLK                           LENGTH:   63 lines

COAST GUARD MOVING INTO NORFOLK TODAY 480 WORKERS ARE SHIFTED FROM NEW YORK

The Coast Guard formally will move 480 people to Norfolk today from Governor's Island, N.Y., in a cost-cutting move that promises to enrich Hampton Roads with an annual payroll of nearly $25 million.

The work force, from the service's Maintenance & Logistics Command Atlantic, will be in the Main Street Tower building at Main and Atlantic streets, in the heart of Norfolk's financial district.

Rear Adm. Doug Teeson, the unit's commander, will open the offices with Norfolk Mayor Paul D. Fraim in a 10 a.m. ceremony.

In a related move, the Coast Guard's New York-based Atlantic Area Command is relocating its offices to the Portsmouth Federal Building, bringing another 120 people to the area.

Once all the jobs are transferred, the total number of Coast Guard civilian and military personnel will climb to 2,300 in Hampton Roads, possibly the largest concentration of Coast Guard personnel in the country.

Thursday's ceremonies are a prelude to another Coast Guard change scheduled for June 14 when the Coast Guard's Atlantic Area Maritime Defense Zone and 5th District will be combined.

Vice Adm. Kent H. Williams, chief of staff of the Coast Guard and commanding officer of Coast Guard Headquarters, will take over those combined duties, relieving Vice Adm. James M. Loy, who has commanded the Atlantic area maritime defense zone out of New York. Loy is to become chief of staff of the Coast Guard.

Williams also relieves Rear Adm. William J. Ecker of his 5th District command. Ecker is scheduled to retire.

Williams' presence brings to Hampton Roads one of only four three-star admirals in the Coast Guard.

The change-of-command ceremony will be held at Nauticus, the National Maritime Center on the Elizabeth River waterfront, at 10 a.m. June 14. Adm. Robert E. Kramek, the Coast Guard commandant, and Adm. William J. Flanagan, Atlantic Fleet commander, will be guest speakers.

The Maintenance & Logistics Command Atlantic supports Coast Guard people and operations in the 40 states east of the Rocky Mountains. It comprises 2,200 military and civilian employees at 23 commands and detachments in 13 cities. Its operating budget tops $201 million.

The high-level professional staff will be equally divided between military and civilian employees. They will include engineers, lawyers, logisticians, medical administrators, environmental specialists and contract specialists.

They provide procurement policy and contracting services in civil engineering, health and safety, finance, legal, compliance, personnel, command, control and communications, and naval engineering.

The logistics command will occupy 91,800 square feet of space, or 6 1/2 floors, of the 14-story Main Street Tower building for the next 15 years.

The Main Street Tower, which is owned by NeVa Properties, sat empty for about four years after its original developer, Rowe Development Co., ran out of money while finishing the building. NeVa Properties is owned by Las Vegas investor Ron Engelstad, owner of the Imperial Palace hotel and casino. ILLUSTRATION: A NEW HOME

The Coast Guard's Maintenance & Logistics Command Atlantic will

occupy 91,800 square feet, or 6 1/2 floors of the 14-story Main

Street Tower building in downtown Norfolk. The tower sat for empty

for about four years after its original developer ran out of money

while finishing the building, NeVa Properties now owns the tower. by CNB