Prior to American entry into the Second World War, an agreement was arranged between the governments of British Prime Minister Winston Churchill and U.S. President Franklin D. Roosevelt for the loan of a number of obsolete, mothballed ex-US Naval destroyers to the Royal Navy and the Royal Canadian Navy, in exchange for which the USA was granted 99-year base rights in a number of British West Indian territories.
They were replaced by Lockheed P-2 Neptune landplanes, which could not operate from the Annex (the old flying boat base), which had no hard surface runway ashore.
Reflecting these developments, the US Naval air detachment at Bermuda had been steadily reduced from a full squadron of Regular Navy P-3Cs on six month rotations to an average of three P-3B or P-3C aircraft, primarily from Atlantic Fleet Navy Reserve P-3 squadrons on 60-day rotations, plus the air station's own UH-1N Twin Huey search and rescue aircraft.
[15][16] The Bermudian government took over operation of the field in 1995, being obliged to spend a great deal of money making it conform to international civil standards.
This involved changes to lighting systems, fencing, and razing any objects over a certain height, within a certain distance of the runway (which included both the former base commander's residence, and the hillock it stood on).
The US Government still held the lease, which was for initially set at 99 years back in WWII however, until negotiations were completed regarding the cleanup of toxic waste left behind.
[17] Areas for clean-up identified in 1997 by a private contractor were: The estimated cost was $65.7 million: The lands which hosted the base were formally returned to Bermuda in 2002.
Without feeling a strong connection to Bermuda, and knowing that their presence was only temporary, the full costs of disposing of sewage and waste fuel on the base was likely never calculated.
The cave formation has kept the oil somewhat contained and the now abandoned base has not been opened to development for fear that the pollution may spread and have catastrophic costs.