[Budget of the United States Government, Fiscal Year 1999] [Page 133-140] [DOCID: f:1999_bud.bud10.wais] From the Budget of the U.S., FY 1999 Online via GPO Access [wais.access.gpo.gov] [[Page 133]] 10. SUPPORTING THE WORLD'S STRONGEST MILITARY FORCE ---------------------------------------------------------------------- There will always be threats to our well-being, to the peaceful community of nations to which we belong. Indeed, in the years ahead, we will see more and more threats that cross national borders--terrorism, weapons of mass destruction proliferating around the world, the growth of organized crime and drug trafficking. We will have to find new ways to meet these security threats. President Clinton November 1997 ---------------------------------------------------------------------- As the world's most powerful fighting force, our Nation's military serves as the backbone of U.S. national security strategy, safeguarding America's interests, deterring conflict, and securing the peace. Maintaining a strong and capable military remains essential to protecting our freedoms and ensuring America's global leadership role as we approach the 21st Century. As the security partner of choice for many countries in all regions of the world, America remains the ``indispensable nation'' of the post-Cold War era. Consistent with our global responsibilities, the U.S. military must deter our adversaries and reassure our friends and allies that America is prepared to put force behind the defense of its interests. American forces must prevail when committed to combat: they must be ready to meet the threat of major theater war; they must be prepared for newly emerging threats, such as the proliferation of weapons of mass destruction; they must be able to undertake demanding contingency or humanitarian operations; and they must be supported by a modern defense infrastructure that utilizes efficient management and business practices. This Nation has built, and the Administration continues to support, a military second to none. But while the United States remains the only nation with the combat, logistical, mobility, intelligence, and communications capabilities to conduct effective military operations worldwide, we must continue to prepare for tomorrow's challenges. The Department of Defense (DOD) recently completed the Quadrennial Defense Review (QDR), a strategic plan to ensure that our forces remain capable of executing the full range of global military operations into the next century. Consistent with the QDR, the defense program embraces three key elements: <bullet> Shaping the international environment: Along with diplomacy and economic initiatives, the U.S. military plays an essential role in shaping the international security environment. U.S. forces are involved in a wide variety of activities that bolster our own national security and the security of others. Such activities include overseas deployments and programs that reduce or eliminate the nuclear, biological, and chemical capabilities of other countries. These important efforts, which the budget supports, make it less likely that our military will be committed to combat. <bullet> Responding to the full spectrum of crises: Despite U.S. efforts to prevent conflict, our forces at times must respond to crises in order to protect our national interests, demonstrate U.S. resolve, and reaffirm the Nation's role as global leader. As Chart 10-1 shows, U.S. forces must be able to address the full spectrum of possible military crises, including smaller-scale contingency missions, counterterrorism operations, and major theater wars. <bullet> Preparing now for an uncertain future: While maintaining the capability to confront today's dangers, we must continue to transform our military to meet [[Page 134]] <GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT> The budget fully supports the recommendations of both the QDR and of DOD's recently released Defense Reform Initiative (DRI), a plan to achieve a leaner, more efficient, and more cost-effective organization through improved management and business practices. To implement these business improvements, DOD will submit legislation to Congress in conjunction with the budget--including legislation for two more rounds of base closures and realignments, in 2001 and 2005. In a constrained fiscal environment, retooling DOD to achieve greater efficiencies will save funds that can go to modernize U.S. military forces (see Table 10- 1). Providing the Necessary Funding For DOD, the budget proposes discretionary funding of $258.4 billion in budget authority and $253.9 billion in outlays for 1999. The budget continues the Administration's plan, as reaffirmed by the QDR, of completing the careful resizing of U.S. military forces, fully supporting military readiness, enhancing quality of life programs, and increasing funding to modernize our forces as new technologies become available after the turn of the century. Over this period, the budget reflects savings from lower estimates of inflation, which will go to finance increases in counterproliferation, counterterrorism and counter- drug programs, and new weapons procurement. [[Page 135]] ---------------------------------------------------------------------- Table 10-1. MILITARY FORCE TRENDS ------------------------------------------------------------------------ Cold War (1990) 1999 2003 Target ------------------------------------------------------------------------ Army: Divisions (active/National Guard)..................... 18/10 10 \1\/ 8 \2\ 10 \1\/ 8 \2\ Air Force: Fighter wings (active/ reserve)................... 24/12 12+/7+ 12+/8 Navy: Aircraft carriers (active/ training).................. 15/1 11/1 11/1 Air wings (active/reserve). 13/2 10/1 10/1 Total battle force ships \3\........................ 546 314 306 Marine Corps: Divisions (active/reserve). 3/1 3/1 3/1 Wings (active/reserve)..... 3/1 3/1 3/1 Strategic nuclear forces: Intercontinental ballistic missiles/warheads.......... 1,000/2,450 550/2,000 500/500 \4\ Ballistic missile submarines................. 31 18 14 \4\ Sea-launched ballistic missiles/warheads.......... 568/4,864 432/3,456 336/not over 1,750 \4\ Heavy bombers.............. 324 89 \5\ 92 \5\ Military personnel: Active..................... 2,069,000 1,395,800 1,365,500 Selected reserve........... 1,128,000 877,100 837,100 ------------------------------------------------------------------------ \1\ Plus two armored cavalry regiments. \2\ Plus 18 separate brigades (15 of which are at enhanced readiness levels). \3\ Includes active and reserve ships of the following types: aircraft carriers, surface combatants, submarines, amphibious warfare, ships, mine warfare ships, and combat logistics force and other support ships. \4\ Upon entry-into-force of START II. \5\ Does not include 95 B-1 bombers dedicated to conventional missions. ---------------------------------------------------------------------- Preparing Military Forces in the Post-Cold War Era Providing Humanitarian and Disaster Assistance: Given its global presence and unique capabilities, America's military is often asked to respond to international disasters and human tragedies. Such responses may come at the direction of U.S. commanders, who can respond quickly to regional problems, or at the President's direction when he determines that DOD is the appropriate agency to provide U.S. support. The proposed $63 million for the Overseas Humanitarian, Disaster, and Civic Aid account, an increase of $16 million over the 1998 level, will allow DOD to provide critical humanitarian and disaster assistance to support U.S. interests without cutting into the resources available for readiness. Of the $63 million, $34 million will support the President's initiative to expand the U.S. Humanitarian Demining Program. Executing Counter-drug Programs: DOD participates fully in the President's National Drug Control Strategy, designed to stem the flow of illegal drugs into the country and reduce demand. DOD fulfills its primary missions--to eliminate foreign and domestic drug supply sources and prevent drugs from entering the country--by detecting and monitoring ships and aircraft moving drugs to the United States, supporting domestic and foreign law enforcement, collecting and analyzing foreign intelligence, and supporting the activities of the National Guard under State counter-drug programs. DOD continues to fight illegal drug use in the military through prevention, education, and testing. The budget proposes $883 million for DOD's counter-drug efforts. [[Page 136]] Shaping the Environment Through Arms Control and Cooperative Threat Reduction: The Cooperative Threat Reduction Program (also called the Nunn-Lugar Program) helps build a safer world by dismantling nuclear forces, securing nuclear weapons and materials, and destroying chemical weapons in the former Soviet Union. The budget proposes $442 million to continue this vital program. The President also remains strongly committed to reducing the threat from weapons of mass destruction through existing or anticipated arms control agreements. Over the past five years, the Administration has worked hard to implement the START I treaty; bring the START II treaty into force; oversee the ratification of, and begin to implement, the Chemical Weapons Convention; indefinitely and unconditionally extend the Nuclear Nonproliferation Treaty; and obtain the signing of the Comprehensive Test Ban Treaty (CTBT). The START II treaty awaits Russia's approval, after which the President plans to seek a subsequent agreement to further reduce warhead levels. Ensuring Successful Contingency Operations: U.S. forces have provided leadership in contingency operations that support our interests. As in previous years, the budget proposes funding for ongoing contingency operations in Southwest Asia in the Overseas Contingency Operations Transfer Fund; for 1999, the budget proposes $747 million to fund the Southwest Asia operations. Congressional approval would allow DOD to avoid redirecting funds from operations and maintenance programs to contingency operations, thereby helping to maintain the readiness of our force. While the President has announced his intention that United States forces participate in a NATO follow-on force in Bosnia, starting in July 1998, NATO has not yet finalized the exact structure required for the force. Consequently, DOD has not been able to determine the specific American contribution to that force. Once NATO makes these force structure decisions, the Administration will send Congress a supplemental funding request to cover the additional costs, as prescribed by the 1998 National Defense Authorization and DOD Appropriations Acts. Countering the Proliferation of, and Defending Against, Weapons of Mass Destruction: The President remains committed to developing capabilities to locate and neutralize nuclear, biological, and chemical weapons before they can be used, and to protect U.S. troops against their effects. The budget proposes over $800 million for the effort. High-priority activities include gaining the means to identify and destroy underground production and storage sites, refining methods to detect and track weapons shipments, and improving the means to detect and identify biological warfare agents. In response to the emerging terrorist threat of chemical or biological attacks on American cities, the budget also funds improvements to domestic preparedness and response capabilities. Protecting our Forces and Combating Terrorism: The protection of U.S. service members, deployed or at home, against the threat of terrorism is a fundamental task. The budget proposes $3.9 billion to fully fund DOD's programs to combat terrorism, including routine force protection. The resources will improve our preparedness to respond to a terrorist attack that employs weapons of mass destruction, and enable DOD to continue a comprehensive vulnerability assessment program to identify additional force protection needs. Developing Technologies to Defend Against Strategic Ballistic Missiles: The budget proposes $963 million to continue developing a national missile defense to protect the United States from a limited ballistic missile attack. This contingency capability will allow DOD to deploy an effective system rapidly if a threat should emerge sooner than U.S. intelligence now estimates. Developing and Deploying Defenses Against Theater Ballistic Missiles: The budget proposes over $2.4 billion to develop and deploy systems to defend against missiles that directly threaten U.S. and allied forces deployed to specific theaters. While the funding is primarily for research and development of advanced systems to meet future threats, it includes $343 million to procure an advanced version of the Patriot missile and $43 million for the Navy's Area Theater Missile [[Page 137]] Defense System that can be deployed immediately. Maintaining the Nation's Nuclear Deterrent: Although funding for nuclear forces is at its lowest level in over 30 years, these forces remain an essential component of our military capability. Within treaty- imposed limits, their primary mission is to deter nuclear attack against the United States and its allies, and to convince potential adversaries that they will never gain a nuclear advantage against our Nation. The budget proposes $4.5 billion for the Department of Energy (DOE) to maintain confidence in the safety, reliability, and performance of the nuclear weapons stockpile. DOE will perform this mission without underground nuclear testing to comply with the proposed CTBT. To make up for the loss of testing, DOE plans to build new non-nuclear test facilities while upgrading the computer models it uses to predict the performance of nuclear weapons. The budget includes: $284 million to continue construction of the National Ignition Facility at the Lawrence Livermore National Laboratory; $518 million, $140 million more than in 1998, for the Advanced Strategic Computing Initiative; and $157 million for a new source of tritium for nuclear weapons. Modernizing Our Military Forces Addressing the Modernization Imperative: Modernizing weapons systems is critical to the future readiness of U.S. military forces. In the 1970s and 1980s, the Nation invested heavily in a wide range of equipment--including fighter aircraft, attack submarines, surface ships, attack helicopters, and armored vehicles--enabling us to reduce weapons purchases, and total defense spending, in the early 1990s as we cut the size of U.S. forces after the Cold War. But the equipment bought in the prior two decades, the backbone of today's forces, is aging and must be replaced. When complex military equipment ages, it becomes costlier and more difficult to maintain and operate. More importantly, the decisive military advantage that new, superior equipment provides will help reduce casualties and may permit a quick, successful resolution of conflict. For these reasons, weapons system modernization continues to be a high Administration priority. The QDR determined that the Nation needs roughly $60 billion a year in weapons procurement funding, beginning in 2001, to modernize U.S. forces. The budget provides $48.7 billion for the 1999 procurement program, $3.9 billion more than the 1998 level, and achieves the $60 billion goal by 2001. In addition, the budget funds basic and applied research and development of advanced technologies that will lay the groundwork for procuring next-generation systems and that are vital to the Nation's engineering, mathematics, and computer science efforts. Modernizing Ground Forces: In the near term, Army modernization emphasizes digitization of battlefield systems (discussed later in this chapter) and upgrades to existing combat equipment so that our ground forces will have a clear advantage over potential opponents. The Army will extend the useful life and improve battlefield performance of primary combat systems, such as the Abrams tank, the Bradley Fighting Vehicle and the Apache Longbow helicopter, by integrating new navigation and data transfer technology, improving weapons and targeting systems, and increasing vehicle protection systems. The centerpiece of the Marine Corps modernization program is the V-22 tilt-rotor aircraft that will replace the CH-46 and CH-53A/D helicopters now used to transport troops and equipment. The V-22's increased range, payload, and speed will significantly enhance Marine Corps tactical operations. A sometimes overlooked, but no less important, part of ground force modernization is the replacement of aging combat support systems such as trucks. The Army is replacing its fleet of medium trucks by procuring new models, while the Marines have undertaken a truck remanufacturing program. In the long term, ground force research and development programs aim to take advantage of leaps in technology to enhance mission-essential equipment. Critical programs, which will lead to procurement in the middle of the next decade, include the Army's Comanche helicopter for armed reconnaissance, the Crusader self-propelled artillery howitzer, and [[Page 138]] the Marines' Advanced Amphibious Assault Vehicle. Modernizing Naval Forces: The budget continues procurement of several ship classes, including three DDG-51 Aegis destroyers, a New Attack Submarine, and an LPD-17 Amphibious Transport Dock Ship. The Navy budget continues advance funding for the major refueling overhaul of the second Nimitz-class nuclear aircraft carrier to enable the ship to stay in service another 25 years. The Navy also will procure long-lead material to construct the last Nimitz-class nuclear aircraft carrier. In addition, the Navy is undertaking long-term development efforts to design next generation destroyers and carriers, to be procured in the middle of the next decade. Both of these new ship classes will operate at lower costs and will be more capable than their predecessors by taking advantage of innovative technologies. Along with new ships, the Navy will continue to develop and procure highly-capable weapons for a number of missions. For defense against missiles and aircraft, the budget continues procurement of Standard Missiles. It also continues procurement of Tomahawk cruise missiles for use against land targets. The budget supports investments in the Ship Self-Defense System to provide close anti-air defense for surface ships, and in gun and missile technologies to improve the Navy's delivery of fire support for marines and soldiers ashore. Modernizing Air Forces: For the United States to maintain its ability to dominate battles in the next century, substantial investment in new tactical combat aircraft is necessary. The budget supports three new aircraft programs. First, it continues low rate production of the F/A- 18E/F Super Hornet, which will become the Navy's principal fighter/ attack aircraft in the next decade. Second, the procurement of the first two F-22 Raptors, the Air Force's new air superiority fighter, will begin in 1999. Full-rate production of the F-22 should come early in the next century. Third, research and development into new materials and manufacturing processes for the Joint Strike Fighter (JSF) will continue. The JSF is DOD's largest, most ambitious tactical aircraft program and is designed to produce a family of aircraft for the Air Force, Navy, and Marine Corps. It is scheduled to start replacing about 3,000 aging aircraft (F-16s, F/A-18C/Ds and AV-8Bs) in 2005. The budget also funds a major effort to improve the weapons carried by combat aircraft. Joint missile procurement programs include the Advanced Medium Range Air-to-Air Missile and the Joint Standoff Weapon. Procurement continues for the Joint Direct Attack Munition--an inexpensive guidance kit, which transforms unguided bombs into precision guided munitions. In addition, the Navy's program to upgrade existing Harpoon missiles into Standoff Land Attack Missiles Expanded Response continues in 1999. The budget also funds research and development into various munitions programs of the future, such as the AIM-9X Sidewinder missile for short range air-to-air combat, and the Joint Air-to-Surface Standoff Missile. To help ensure continued access to space, DOD plans to develop the Evolved Expendable Launch Vehicle program with industry, enhancing U.S. competitiveness in the space launch market and providing DOD with more efficient, economical access to space. Establishing Information Dominance: America's preeminence in using information on the battlefield has helped us establish the world's strongest military. The commander who can better observe and analyze the battle while disseminating highly accurate information to his forces has a powerful advantage over the adversary. Joint Vision 2010, DOD's vision for the future, focuses on the continued development of command, control, communications, computers, intelligence, surveillance, and reconnaissance capabilities. This effort will enhance the accuracy of weapons and allow for the more effective use of forces. The Army plans to ``digitize'' a division by the year 2000--that is, equip it so that accurate, timely information about the battle can be transferred rapidly between U.S. forces. The budget includes funding for Navy and Air Force automated command and control systems and land and space-based communications networks. It also includes funds for battlefield surveillance assets, such as unmanned aerial vehicles, and navigation systems, like the Global Positioning System for all military departments. The [[Page 139]] budget provides funds to purchase national sensors (e.g., satellites) to help our leaders better anticipate, monitor, and respond to crises. These assets will play a key role in both military operations and national security decision-making, and will enable commanders to more effectively direct the battle and respond to threats. Supporting the President's Initiatives on Landmines: To implement the policy that the President outlined last September, DOD is accelerating its research and development on demining technology and on alternatives to anti-personnel landmines. The budget proposes $40 million for these efforts. Maintaining Military Readiness Ensuring Adequate Resources for Readiness: Maintaining high levels of readiness is our top defense priority. To allow U.S. forces to accomplish a wide range of missions, the budget provides full funding for key operations and support programs, including unit training activities, recruiting and retention programs, joint exercises, and equipment maintenance. In addition, DOD continues to monitor its current and future military readiness through the Senior Readiness Oversight Council and the Joint Monthly Readiness Review process. These efforts enhance the Department's ability to ensure that critical readiness programs receive sufficient resources and that our forces remain prepared to accomplish their missions and achieve our Nation's military strategy. Enhancing the Quality of Life of Military Personnel: The Administration is strongly committed to strengthening the quality of life of military personnel, which is important for retaining and recruiting high-quality personnel. The budget proposes a 3.1 percent pay raise, effective January 1999, to help ensure that military compensation remains competitive with private sector wages. The budget includes substantial funding to improve the quality of health care, military housing, and child care programs. Enhancements to family support programs can help reduce the stresses associated with military life, such as frequent family separations. The budget also increases funding for improving educational activities for military and eligible civilian dependents, including the construction and maintenance of schools and support for the President's School Technology Initiative, which has the long-range goal of putting one computer in every classroom for every four students and one for every teacher. Managing Our Defense Resources More Efficiently Implementing Management and Business Practice Reform: Under the DRI and other efforts, DOD continues to implement improvements to its management and business practices, including increased privatization and outsourcing of support functions, personnel reductions associated with infrastructure and support activities, greater use of electronic commerce, and expanded use of government purchase cards. A new inter- agency working group will help to identify and eliminate impediments to business practice reform. Outsourcing and Privatizing: DOD has begun to implement an aggressive outsourcing and privatization program for its infrastructure and support activities, including base utility services, general base operations, family housing, logistics support, training, property maintenance, and distribution depots. These efforts will save an estimated $6.4 billion over the next five years and improve support for U.S. troops. Eliminating Excess Infrastructure: DOD has facilities that it no longer needs because infrastructure reductions have lagged behind force reductions. Excess facilities drain resources that could otherwise go to modernization, readiness, and quality of life. To address the problem, DOD will send legislation to Congress to seek two more rounds of base closures and realignments, in 2001 and 2005. Improving Financial Management: The Administration remains committed to reforming DOD's financial management activities and systems, and has developed a comprehensive strategy to do so. The Administration has identified shortcomings in such areas as contractor overpayments, fraud detection and controls, and standardized finance and accounting systems. The Department is taking significant steps to improve the integrity of its financial practices. For example, DOD has cut the category known as problem disbursements from a total of $34.3 billion in June 1993 to $9.2 [[Page 140]] billion in June 1997. Such steps will provide managers with more accurate and timely financial information. Streamlining the Civilian Work Force: Since 1993, DOD has cut its work force by nearly 22 percent, or about 201,000 positions, and it will continue to streamline its civilian work force while maintaining quality. As the QDR and DRI recommended, DOD plans to implement further reductions of 97,000 full-time-equivalent civilian positions. During this drawdown, DOD will provide transition assistance for affected employees. Implementing the Information Technology Management Reform Act (ITMRA): Also known as the Clinger-Cohen Act, the ITMRA is designed to help agencies improve mission performance by effectively using information technology. One example is the Global Command and Control System, which supports U.S. forces by improving their ability to process and transfer critical military information quickly and accurately. The Secretary of Defense has established a DOD Chief Information Officer Council to manage DOD's annual $11 billion information technology budget and provide advice on ITMRA-related issues. In addition, DOD is continuing to restructure its work processes while applying modern technologies to maximize the performance of information systems, achieve a significant return on investments, cut costs, and produce measurable results.