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Search Tags: Army
With sequestration now in effect, the Defense Department says it will have to begin to make decisions that cross the threshold between "reversible" cuts to military capability and those that will have long-lasting impacts.
Small firms already have taken a disproportionate hit from DoD's pullback in 2013 spending, Pentagon officials say. Military acquisition leaders worry the sudden cuts will bankrupt small businesses that provide one-of-a-kind capabilities.
Tags: DoD , sequestration , Navy , Air Force , Sean Stackley , Heidi Shyu , Charles Davis , Jared Serbu , small business , defense industrial base , industry , contracting , House Armed Services Committe
The automatic budget cuts set to occur under sequestration will go into effect as a matter of law on Friday. But their full impact won't be felt until late this spring, long after lawmakers encounter the next budget showdown.
Katherine Hammack, the assistant secretary of the Army for Installations, Energy and the Environment, said many of the cost-cutting measures the Army will be forced to take because of sequestration, such as letting service and maintenance contracts expire, could have a trickle-down effect on service members.
Army says its implementation of DoD's Better Buying Power directives saved hundreds of millions of dollars last year, but this year's budget chaos will undo much of the progress.
Lt. Gen. Jeffrey Talley took over as Chief of the Army Reserve in June. He tells Federal News Radio there are only two issues that keep him up at night.
The Army has put an immediate freeze on civilian hiring and will begin terminating some temporary employees to reduce spending ahead of potential across-the-board budget cuts later this year. Army Chief of Staff Ray Odierno and Army Secretary John McHugh also directed Army commanders and supervisors to reduce base-operations support spending.
DoD's operations and maintenance accounts will likely be hit first if sequestration goes into effect. Unlike its procurement and research and development activities, which can continue to function on funds obligated in prior years, O&M dollars generally get spent right away. In preparation for sequestration, the Pentagon has already let go of tens of thousands of temporary hires and is drawing up a contingency plan for one-day-a-week furloughs. Deputy Secretary Ashton Carter says the unpaid furloughs would begin in April and continue through the remainder of the fiscal year if sequestration is not avoided.
Tags: DoD , sequestration , Navy , CSIS , DoD budget , Gordon Adams , Brookings Institution , Center for Strategic and Budgetary Assessments , Stimson Center , David Berteau , Todd Harrison , Jared Serbu
In this week's edition of On DoD, Lt. Gen. Bill Phillips, the military deputy to the Assistant Secretary of the Army for Acquisition, Logistics and Technology, talked with Federal News Radio's Jared Serbu about the Army's concern about automatic budget cuts, and the service's recently-unveiled 30-year modernization strategy.