DoD Releases Fiscal Year 2019 Budget Proposal
DoD Releases Fiscal Year 2019 Budget Proposal
(Source: Department of Defense; issued Feb. 12, 2018)
WASHINGTON --- Today President Donald J. Trump sent Congress a proposed Fiscal Year (FY) 2019 budget request of $716 billion for national security, $686 billion of which is for the Department of Defense.

The National Defense Strategy, which aligns with the National Security Strategy, connects strategy to the FY 2019 budget priorities, enabling the Department to compete, deter, and win. This establishes a foundation for rebuilding the U.S. military into a more capable, lethal, and ready Joint Force.

The objectives of the Department are "to be prepared to defend the homeland, remain the preeminent military power in the world, ensure the balances of power remain in our favor, and advance an international order that is most conducive to our security and prosperity." The FY 2019 budget has been developed to meet these specific objectives.

Secretary Mattis recently said, "In a world awash in change, with increasing threats, there is no room for complacency. Failure to implement or fund the 2018 National Defense Strategy will leave us with a force that could dominate the last war, yet be irrelevant to tomorrow's security. For too long we have asked our military to carry on stoically with a success-at-any-cost attitude." We are grateful to Congress and the American people for the recently-enacted Bipartisan Budget Act of 2018, which lifts the caps so our military can be resourced at a funding level commensurate with our mission.

The National Security Strategy states that the United States "must reverse recent decisions to reduce the size of the Joint Force and grow the force while modernizing and ensuring readiness." The FY 2019 budget increases end strength by 25,900 (24,100 in the active components and 1,800 in the reserve components) over the FY 2018 budget. Each military service has a distinctive readiness recovery plan and the increases are targeted to advance these plans to improve readiness and increase lethality.

As the National Defense Strategy notes, "investments will prioritize ground, air, sea and space forces that can deploy, survive, operate, maneuver, and regenerate in all domains while under attack."

This budget's major warfighting investments include:

Aircraft
-- 77 F-35 Joint Strike Fighters - $10.7 billion
-- 15 KC-46 Tanker Replacements - $3.0 billion
-- 24 F/A-18s - $2.0 billion
-- 60 AH-64E Attack Helicopters - $1.3 billion
-- 6 VH-92 Presidential Helicopters - $0.9 billion
-- 10 P-8A Aircraft - $2.2 billion
-- 8 CH-53K King Stallion - $1.6 billion

Shipbuilding
-- 2 Virginia Class Submarines - $7.4 billion
-- 3 DDG-51 Arleigh Burke Destroyers - $6.0 billion
-- 1 Littoral Combat Ship - $1.3 billion
-- CVN-78 Class Aircraft Carrier - $1.8 billion
-- 2 Fleet Replenishment Oilers (T-AO) - $1.1 billion
-- 1 Expeditionary Sea Base - $0.7 billion

Ground Systems
-- 5,113 Joint Light Tactical Vehicles - $2.0 billion
-- 135 M-1 Abrams Tank Modifications - $2.7 billion
-- 30 Amphibious Combat Vehicles - $0.3 billion
-- 197 Armored Multi-Purpose Vehicles - $0.8 billion

The National Defense Strategy also notes the importance of prioritizing "investments in resilience, reconstitution, and operations to assure our space capabilities."

Our space investments include:
-- 5 Evolved Expendable Launch Vehicles - $2.0 billion
-- Global Positioning System - $1.5 billion
-- Space Based Infrared System - $0.8 billion

Highlighting the importance of missile defense programs, the National Defense Strategy calls for investments that will "focus on layered missile defenses and disruptive capabilities for both theater missile threats and North Korean ballistic missile threats."

Those investments for FY 2019 include:
-- 43 AEGIS Ballistic Missile Defense (SM-3) - $1.7 billion
-- Ground Based Midcourse Defense - $2.1 billion
-- 82 THAAD Ballistic Missile Defense - $1.1 billion
-- 240 Patriot Advanced Capability (PAC-3) Missile Segment Enhancements - $1.1 billion

In addition, the National Defense Strategy calls for a Joint Force that "must be able to strike diverse targets inside adversary air and missile defense networks to destroy mobile power-projection platforms."

To help accomplish that goal, the FY 2019 budget includes the following preferred munitions:
-- 43,594 Joint Direct Attack Munitions - $1.2 billion
-- 9,733 Guided Multiple Launch Rocket System (GMLRS) - $1.2 billion
-- 6,826 Small Diameter Bomb I - $0.3 billion
-- 1,260 Small Diameter Bomb II - $0.4 billion
-- 7,045 Hellfire Missiles - $0.6 billion
-- 360 Joint Air-to-Surface Standoff Missile-Extended Range - $0.6 billion
-- 1,121 Joint Air-to-Ground Missiles - $0.3 billion

The budget implements the commitment in the National Defense Strategy to "modernize the nuclear triad – including nuclear command, control, and communications, and supporting infrastructure."

FY 2019 investments in nuclear deterrence include:
-- B-21 Long Range Strike Bomber - $2.3 billion
-- Columbia Class Submarine - $3.7 billion
-- Long-Range Stand-Off Missile - $0.6 billion
-- Ground Based Strategic Deterrent - $0.3 billon

President Trump's National Security Strategy articulates that "a growing and innovative economy allows the United States to maintain the world's most powerful military and protect our homeland." This budget request invests $13.7 billion in science and technology to further innovation and new and advanced capabilities including hypersonics technology, cyber space, space, directed energy, electronic warfare, unmanned systems and artificial intelligence.

The FY 2019 budget supports our service members and their families, providing a competitive compensation package that reflects the unique demands and sacrifices of military service. As the National Defense Strategy highlights, "The creativity and talent of the American warfighter is our greatest enduring strength, and one we do not take for granted."

The budget:
-- Provides a 2.6% military pay raise – the largest increase in 9 years
-- Includes NO compensation cost share reforms in FY 2019. Instead, the Department is focusing on internal business process improvements and structural changes to find greater efficiencies, such as modernizing our military health care systems into an integrated system.

-- Sustains family support initiatives by investing more than $8 billion in:
o Spousal/community support
o Child care for approximately 1 million military children
o DoD Dependent Schools, which are educating over 78,000 students
o Commissary operations at 237 stores
o Counseling support for service members and their families

This budget increases facilities investment to $10.5 billion, which is 7% above the FY 2018 base budget request. It concentrates on ensuring the basing infrastructure is sized to increase force lethality and minimizing the cost of maintaining unneeded capacity.

The budget balances investment in infrastructure across DoD priorities and includes:
-- Operational and training facilities (including airfield improvements, training ranges,) to increase readiness
-- Maintenance and production facilities (maintenance hangars, missile assembly building, and high explosives magazine) to improve readiness
-- Recapitalization of facilities in poor and failing condition
-- Improved Quality-of-Life for service members and their families (including schools, barracks, and medical facilities)

The FY 2019 budget continues to implement the Administration's commitment to reform DoD business practices for greater performance and affordability. Highlighting this commitment, the National Defense Strategy cautions that "we must transition to a culture of performance where results and accountability matter." Secretary Mattis has directed Deputy Secretary Shanahan to reform DoD's business operations and reapply those savings to improve readiness and to increase the lethality and capacity of the military.

The DoD is focused on spending wisely by using shared, centralized services with the goal of using best practices to maximize effectiveness in areas including:
-- Information Technology
-- Real Property
-- Financial Management
-- Logistics and Supply Chain
-- Testing and Evaluation
-- Healthcare
-- Human Resources
-- Contracted Goods & Services
-- Community Services

The FY 2019 Budget also reflects continued savings from ongoing reforms such as defense travel modernization and the 25% management headquarters reduction.

Recent DoD reforms include:
-- Reorganizing the Under Secretary of Defense for Acquisition, Technology and Logistics into two new Under Secretaries of Defense: one focused on Research and Engineering to advance technology and innovation, and one focused on Acquisition and Sustainment to deliver and sustain timely, cost-effective capabilities for the armed forces and DoD
-- Appointing a Chief Management Officer to manage business operations
-- Elevating Cyber Command

The OCO budget for FY 2019 supports Operation FREEDOM'S SENTINEL in Afghanistan, and Operation INHERENT RESOLVE in Iraq and Syria.


The entire budget proposal and additional material are available at: http://comptroller.defense.gov/budget-materials

The Pentagon’s Special Report on the FY2019 Budget Request is here:
https://www.defense.gov/News/Special-Reports/0218_Budget/source/GovDelivery/


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President’s Fiscal 2019 Defense Budget Request Calls for $686.1 Billion
(Source: Department of Defense; issued Feb. 12, 2018)
WASHINGTON --- The president’s fiscal year 2019 defense budget request calls for $686.1 billion in spending and will reverse years of military erosion, defense officials said here today.

The budget also calls for a 2.6 percent raise for service members. There is no raise in the budget for civilian employees.

The base budget is set for $617 billion and the overseas contingency operations fund is set for $69 billion. Overall, the request is 3.1 percent of gross domestic product -- a figure near historic lows, Defense Department Comptroller and Chief Financial Officer David Norquist said.

The budget builds on the bipartisan budget act passed last week. “We are appreciative of Congress raising the caps and ending the destructive effects of sequestration-level funding,” Norquist said during a Pentagon news conference. “And we are committed to the reforms necessary to be good stewards of taxpayers' money.”

The budget is a strategy-driven document that stresses the nation’s primary goals: to defend the homeland, make the military more lethal, and to strengthen old alliances and build new ones.

Derived from Strategy

The budget is the child of the White House National Security Strategy and the National Defense Strategy that shifts DoD’s focus. “Great power competition, not terrorism, has emerged as the central challenge to U.S. security and prosperity,” Norquist said. “It is increasingly apparent that China and Russia want to shape a world consistent with their authoritarian values, and in the process, replace the free and open order that has enabled global security and prosperity since World War II.”

The United States will seek areas of cooperation with any competitors, but must do it from a position of strength. “We recognize that, if unaddressed, the eroding U.S. military advantage versus China and Russia could undermine our ability to deter aggression and coercion in key strategic regions,” the comptroller said.

The budget funds Defense Secretary James N, Mattis’ three lines of effort: building a more lethal, resilient, agile and ready joint force; strengthening alliances and attracting new partners; and reforming the department's business practices for greater performance and affordability.

Overall, the budget calls for an increase of 25,900 military personnel by the end of fiscal year 2019. End strength for the department would be set at 1,338,000 active-duty personnel and 817,700 reserve component personnel.

“This allows us to fill in units and provide key skills related to recruiting pilots, maintainers and cybersecurity experts,” Norquist said. “It also allows us to add units related to reinforcing the National Defense Strategy.”

Funding Levels

The Army will receive $143,314,452, the Navy will get $179,065,809, the Air Force will receive $169,767,948 and DoD agencies will receive $104,925,839.

Improving military readiness is crucial and the operations and maintenance funds will receive a major boost. Departmentwide operations and maintenance will receive $15.3 billion more than in fiscal 2018.

Procurement gets the biggest increase with a $24 billion plus-up to $131.1 billion and with research and development funds increasing by $18 billion to $90.6 billion. The research and development funds will examine new technologies including hypersonic technology, cyber-integrated defense, making space assets more resilient, directed energy weapons and artificial intelligence.

Military personnel funds will receive $12.2 billion more and are pegged at $148.2 billion.

The budget follows strategy on the ground as well. Some of the key enhancements with regard to Asia involve “continued investment in air and space superiority; procurement of additional weapons systems, including the Virginia payload module for Navy submarines; procurement of additional P-8As, … and work to increase naval presence appropriately as this strategy is implemented in the Pacific, to include infrastructure investments,” said Army Lt. Gen. Anthony Ierardi, the director of force structure, resources and assessment at the Joint Staff.

“In Europe, we continue robust increases in our investments to enhance Army pre-positioning stocks and responsiveness, including the enhancement of a second armored brigade combat team's worth of equipment in an Army pre-positioned set; replenishment of wartime stocks, including preferred and advanced munitions and increased lethality of each; and expansion and enhancement of air bases to support our operations, as appropriate,” the general said.

Among the new equipment coming into the military are 77 new F-35 Lightning II’s to the Air Force and Navy, 60 new AH-64 Apache helicopters, 15 new KC-46 Pegasus tanker aircraft, 10 new P-8 Poseidon aircraft, 10 new ships added to the fleet and a myriad of space and cyber capabilities.

The military will buy 5,113 new joint light tactical vehicles, refurbish and modernize 135 M-1 Abrams tanks, 30 amphibious combat vehicles and 197 armored multi-purpose vehicles.

The budget begins the process of modernizing the nuclear triad with $2.3 billion dedicated to the Air Force’s B-21 bomber, $3.7 billion to the Columbia-class submarine and $300 million to the ground-based strategic deterrent.

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