Highlights of the FY'03 Budget Request

The administration of President George W. Bush is requesting $396.1 billion for the military in fiscal year 2003 ($379.3 billion for the Defense Department and $16.8 billion for the nuclear weapons functions of the Department of Energy). This is $45.5 billion above current levels, an increase of 13 percent. It is also 15 percent above the Cold War average, to fund a force structure that is one-third smaller than it was a decade ago.

In all, the administration plans to spend $2.1 TRILLION on the military over the next five years. The budget plans, if approved by Congress, would lead the nation back into deficit spending in FY'03 - for the first time in four years.

MISSILE DEFENSE: According to official DoD figures, the administration is requesting $7.8 billion for the newly formed Missile Defense Agency (MDA). However, funding for missile defense including programs not included in MDA totals $8.6 BILLION. Official funding is expected to rise to over $11 billion annually by FY'07.

MAJOR WEAPONS:
Aircraft: $3.3 billion for the Navy's F/A-18E/F "Super Hornet" $5.2 billion for the Air Force's F-22 "Raptor," and $3.5 billion for the F-35 Joint Strike Fighter. Also $4.0 billion for the C-17 transport and $2.0 billion for the V-22 Osprey.

Shipbuilding: $2.7 billion for the DDG-51 "Arleigh Burke" destroyer, $2.5 billion for the SSN-774 "Virginia" attack submarine, $603 for the aircraft carrier (CVNX) replacement program, $615 million for the LPD-17 landing ship and $961 million for the DD(X) vessel development program.

Army: $910 million for the Comanche helicopter, $475 million for the Crusader artillery system, and $936 million for the Interim Armored Vehicle (IAV).

QUALITY OF LIFE: A 4.1 percent increase in basic military pay. A reduction of out-of-pocket expenses for personnel living in private housing from 11.3 percent to 7.5 percent.

Military Personnel - $94.2 billion (15 percent increase) Operations & Maintenance - $150.2 billion (18 percent increase) Procurement - $68.7 billion (12 percent increase) Research & Development - $53.9 billion (11 percent increase) Military Construction - $4.8 billion (27 percent decrease) Housing - $4.2 billion (2 percent increase)

• Proposed Spending, by Year, Function and Service
  A breakdown of this year's proposed budget and the total funding request for the next five years.
   
• Requested Funding for Selected Weapons Systems
  The majority of the requests for Procurement and Research & Development funds will go to a handful of major weapons programs.
   
• Requested Funding for Missile Defense
  The Administration is requesting $8.6 billion for Missile Defense. (Revised Feb. 7, 2002.)
   
• Requested Funding for Unmanned Aerial Vehicles (UAVs)
  The Newest weapon in the U.S. arsenal is the armed Unmanned Aerial Vehicle (UAV). The Administration is requesting over $1 billion to develop both combat and surveillance UAVs.
   
• The Fiscal Year 2003 Discretionary Budget Request
  Military Spending vs. Other Federal Programs.
  

• US. Military Spending Vs. the World
  The U.S. military budget far exceeds that of allies and potential enemies alike. Here are the numbers.
   
• FY’02 Congressional Add-Ons
  Each year Congress funds hundreds of military programs not included in the Administration's request for the Pentagon. Here’s a partial list of programs added by either the House or Senate and approved by Congress as part of the Fiscal Year 2002 Appropriations Act for which the Pentagon had not requested funding. To date, CDI has identified nearly $6 BILLION in unrequested congressional add-ons.
   
• Terrorism and Military Priorities
  A compilation of initiatives, technologies and programs that should receive top priority as the Defense Department allocates new resources. These programs have merit beyond their value in helping the Defense Department fulfill its counter-terrorism role. They will be critical as the U.S. military attempts to transform to better meet the challenges of the 21st century and beyond.
   
• U.S. Military Transformation: Not Just More Spending, But Better Spending
  The tragic events of Sept. 11 and the campaign in Afghanistan have raised fundamental questions about the shape and composition of future U.S. forces, requiring the Pentagon to think harder than ever about a new strategic vision aimed squarely at the threats of the 21st century. True transformation will not be accomplished simply by spending more -- only by spending better. Here are 15 examples of Pentagon programs that could, and should, be either canceled or significantly re-shaped to allow the military to move more rapidly to a future force focused on the challenges of tomorrow. These recommendations will save a minimum of $147 billion over the next 10 years.

 

Prepared by Christopher Hellman CDI Senior Analyst chellman@cdi.org

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