By Ann Roosevelt
The Army’s Fiscal Year 2012 budget request of $144.9 billion includes $2.7 billion saved through service efficiencies and reinvested in upgrading and accelerating programs, budget officials said.
That $2.7 billion is part of the service’s potential $29 billion in efficiency savings over the FY ’12-’16 time period.
The first consideration in combing through the service for efficiencies was that “we will cause no harm” to the Army, said Maj. Gen. Phillip McGhee yesterday at a Pentagon budget briefing. Funds were found that “brought back readiness,” he said.
The savings came from reorganizing and introducing better business practices–some $1 billion’s worth from doing such things as reducing certain headquarters. Another $1.3 billion was saved for example in program reductions and terminations of such things as the Surface-Launched Advanced Medium-Range Air-to-Air Missile (SLAMRAAM) program, developed by Raytheon [RTN] and the Raytheon-Lockheed Martin [LMT] Non-Line-of-Sight Launch System (NLOS-LS).
The savings were reinvested in programs to enhance readiness and current capabilities, which meant $1.3 billion in upgrading combat vehicles and accelerating the MQ-1 Gray Eagle unmanned aerial vehicle system, he said. Another $700 million went to accelerate future capabilities such as the Joint Tactical Radio System (JTRS).
The service’s FY ’12 $144.9 billion base budget request is about $1.6 billion more than the FY ’11 budget request. The Overseas Contingency Operations (OCO) request of $71.1 billion is some $31 billion less than FY ’11 (Defense Daily, Feb. 2, 2010).
Soldier care and sustainment take the lion’s share of the base budget at $60.6 billion, with operation and maintenance at $45.2 billion and procurement/research development test and evaluation at $31.8 billion.
The procurement budget supports deterring and defending against hybrid threats and protecting soldiers, McGhee said. The budget is about a billion more than last year, mainly reflected in the $7 billion request for aircraft. This generally reflects program ramp-ups.
The MQ-1 Gray Eagle, produced by General Atomics Aeronautical Systems, receives $659 million, up about $200 million from the FY ’11 request.
AH-64 Apache Block III upgrades are slated for $708 million with another $331 million for modifications. The CH-47 Chinook will see $1.4 billion for the newest F model. Both Apache and Chinook are produced by Boeing [BA].
Another $1.5 billion is slated for the Sikorsky [UTX] UH-60 Black Hawk M model aircraft.
The European Aeronautic Defence and Space (EADS)-built UH-72A Lakota light utility helicopters request is for $250 million for 39 aircraft and the multi-intelligence Enhanced Medium Reconnaissance and Surveillance System aircraft is request is for $530 million for 18 aircraft.
Upgrades for the OH-58 Kiowa Warrior are slated for $162 million.
The Army requests $1.9 billion for weapons and tracked combat vehicles, which includes $350 million for Abrams tank upgrades, and $786 million for Stryker vehicles. Stryker funds also will go toward procuring 100 NBC Recon vehicles and survivability improvements. Both vehicles are built by General Dynamics [GD].
Tactical vehicles request $4.5 billion, which includes $433 million for Family of Medium Tactical Trucks and trailers.
The procurement request for communications includes $974 million for the Warfighter Information Network-Tactical, produced by General Dynamics.
The $9.6 billion RDT&E request includes $1.2 billion for combat vehicle modernization to improve areas such space, weight and power on Abrams, Stryker and the BAE Systems‘ Paladin and Bradley.