Mike McCord, principal deputy to Pentagon Comptroller Robert Hale, spoke with bloggers and online journalists Wednesday to discuss the 2013 Department of Defense budget request to Congress. It was publicly presented February 13.
McCord covered several topics during the interview, specifically BRAC, personnel reductions and funding for research and modernization.
The Obama administration is asking Congress for two additional rounds of BRAC. With the proposed manpower cuts in the budget, base utilization and closure may be one way to reduce expenses in line with the 2012 Budget Control Act’s requirements. Asked about the principle of reversibility which was part of the Budget Guidance, McCord pointed out that it would be a major part of the considerations in any BRAC activity. He suggested that partial base closings and retention of closed but well maintained barracks could be some of the solutions to the “ramping up” problem.
McCord spoke at length about the proposed one percent cut in civilian personnel. Speaking candidly, McCord said that the number of civilian employees is not the main focus – personnel are seen as a means to accomplish the mission. Civilian employment will be determined by the needs of the force and the functions supported.
When asked which areas have funds that can be managed easiest to reduce expenses, McCord suggested that about one third of the budget falls into this category. He mentioned research, modernization, procurement and readiness as areas of flexible spending. Research is $70 billion of the DoD budget and procurement is about $100 billion.
Readiness and modernization may have a higher priority than the other two categories, McCord said. He pointed out that procurement is driven by personnel numbers. With lower force levels, purchases for items like uniforms and bullets will also drop. Many programs within DoD are seeing their funding time frames stretched or pushed to out years.
The Defense Department budget request for 2013 is for $525 billion. This is a $44 billion reduction from last year and $6 billion less than what Congress approved for 2012. Off budget Overseas Contingency Operations add an additional $88 billion, a reduction of $27 billion from 2012.
Charles Simmins brings thirty years of accounting and management experience to his coverage of the news. An upstate New Yorker, he is a free lance journalist, former volunteer firefighter and EMT, and is owned by a wife and four cats.
