Fleet Weeks A Casualty Of The U.S. Federal Deficit

Fleet Weeks A Casualty Of Federal Sequester -- Reuters

(Reuters) - The ships won't be coming in this year.

Six cities, from New York to San Diego, are bracing for cuts or outright cancellations of their annual Fleet Weeks, spring and summer events when the Navy opens its ships to tours for the general public and crowds of sailors pour into local bars and restaurants.

The events are a casualty of the sequester -- $85 billion in cuts to the federal budget that began to kick in on March 1, threatening temporary layoffs for hundreds of thousands of workers and causing the Defense Department to pull the funds that would have allowed aircraft carriers, submarines and other vessels to participate in the events.

"No branch of armed forces can participate in community relations or outreach events that come at an additional cost to the government or rely on anything other than local assets or personnel," said Beth Baker, a spokeswoman for the U.S. Navy's mid-Atlantic region. "This is not a decision that was made lightly, and this is one of many steps the Navy is taking to make sure we use resources to support our armed forces."

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More News On The Upcoming Cancellations Or Cuts For The 6 Cities That Participate In Fleet Week

With Federal Budget Cuts, Something Will Be Missing From Fleet Week: The Sailors -- New York Times
Fleet Week Funds Dry Up -- Wall Street Journal
Fleet Week falls victim to budget cuts, with fewer vessels participating -- New York Daily News/AP
Sailors get that sinking feeling after Fleet Week falls victim to budget cuts -- The Guardian
Absence of fleet during “Fleet Week” a loss for sailors and the community -- Miami Herald
Is a World Without Fleet Week a World You'd Want to Live in? -- Philip Bump, Atlantic Wire

The Pentagon Doors Will Still Be Open When Sequestration Hits

Deputy Defense Secretary Ashton B. Carter, Army Gen. Martin E. Dempsey, chairman of the Joint Chiefs of Staff, Army Chief of Staff Gen. Ray Odierno and Chief of Naval Operations Adm. Jonathan W. Greenert testify before the House Armed Services Committee on sequestration in Washington, D.C., Feb. 13, 2013. Sequestration is a maneuver contained in the Budget Control Act of August 2011 under which across-the-board spending cuts would occur if Congress does not pass targeted cuts aimed at reducing the budget deficit. U.S. Army photo by Staff Sgt. Teddy Wade

Sequestration Will Leave Pentagon Cash-Strapped But Operational -- Stars and Stripes

WASHINGTON — “Doomsday” is here.

That’s how recently retired Defense Secretary Leon Panetta described the massive, government-wide spending cuts set to take effect Friday, slashing $46 billion out of the Pentagon’s coffers for the remaining seven months of fiscal year 2013.

Unless a bitterly deadlocked Congress takes unexpected, last-minute action and stops the automatic cuts known as “sequestration,” President Barack Obama will issue the order triggering cuts before midnight Friday, as required by federal law.

This apocalypse, however, might arrive more with a whimper than a bang, especially for a Defense Department conditioned by recent preparations for barely averted federal government shutdowns. As one defense department official put, the threat of sequestration is closer to a spreading “fiscal cancer” than sudden cardiac arrest.

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My Comment: This is not how you run a country.

Here Comes The Pentagon's Layoffs

Credit: Reuters

Pentagon Laying Off 46,000 Staff -- BBC

The US defence department says it has begun laying off most of its 46,000 temporary employees, as automatic defence budget cuts loom in March.

Deputy Defence Secretary Ashton Carter said the Pentagon was acting "because we're running out of time" to absorb potential changes to their budget.

$50bn (£32bn) in cuts are due this year under the so-called fiscal cliff.

Lawmakers made a last-minute deal on 1 January to put them off for two months, but the ultimate outcome is undecided.

Mr Carter said he was directing each military service to produce detailed plans by 1 February on reducing short-term spending.

He also said the Pentagon could force its 800,000 civilian employees to lose one day of work per week without pay from April, in a move that would save $5bn.

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More News On The Pentagon Preparing For Massive Layoffs

Pentagon starts pink slip process to 46,000 -- Washington Times
Pentagon cutting jobs, maintenance due to budget fears: official -- Reuters
Pentagon lays off workers as budget cuts loom -- AFP
Pentagon furloughs could start in mid-April -- Politico
Pentagon’s 46,000 Temporary Workers May Lose Their Jobs -- Bloomberg Businessweek
Pentagon To Cut Jobs Due to Budget Fears -- Voice of America
Pentagon: Without action from Congress, big budget cuts could damage the Afghan war effort -- Washington Post/AP

What Impact Will The Fiscal Cliff Have On The Pentagon

How Badly Will Budget Cuts Hurt Troops, DOD Civilians? -- Stars and Stripes

WASHINGTON — In the final presidential debate, President Barack Obama declared to the American people with unflinching certainty that sequestration “will not happen.”

Two months later, the Jan. 1 deadline is looming, with no debt reduction deal in sight.

Now what?

How quickly and deeply will these automatic defense budget cuts totaling about $500 billion over the next decade hit troops, Defense Department civilians and contractors? And how much will they hurt?

Many experts agree: “The sky is not going to suddenly fall on Jan. 2,” said Todd Harrison, a defense budget expert at the Center for Strategic and Budgetary Assessments, a Washington think tank. “In fact, we are likely to see hardly any impacts in that first week.”

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My Comment: If I was working for the Pentagon or for a defense contractor .... times are going to be tough. This is the 'worst case scenario'.

Will U.S. Defense Cuts Be Reversed If The Republicans Win?

Inhofe Sees Republican Win Reversing Defense Cuts -- Jen DiMascio, Aviation Week

Sen. James Inhofe (Okla.) is in line to become the ranking Republican on the Senate Armed Services Committee. The Republicans convene this week in Tampa, Fla., for their national convention. The 77-year-old Inhofe, the Senate's only commercial pilot, recently spoke with Aviation Week Congressional Editor Jen DiMascio in his Senate office.

AW&ST: Your colleagues are talking about finding a way to delay the automatic “sequestration” budget cuts due to take effect next January. Will you join the fight?

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My Comment: Reversing defense cuts .... not unless this problem is solved first.

Costs Continue To Rise To Maintain A Service Member On Active Duty

U.S. Marines disembark a Royal New Zealand Air Force Boeing 757 after arriving at Honolulu International Airport to participate in a Rim of the Pacific exercise in Honolulu, Hawaii, July 6, 2012. Twenty-two nations, with more than 25,000 personnel, are participating in the RIMPAC exercise from June 29 to Aug. 3, 2012. New Zealand Defence Force photo by LAC Amanda McErlich

Active-Duty Personnel Costs Projected To Spike -- Military Times

The Defense Department’s average costs to maintain a service member on active duty has jumped 50 percent since 2001, to $158,000 per year, with even faster growth predicted in the future, according to a Congressional Budget Office report that looks at long-range implications of the pending 2013 defense budget.

Personnel costs have been climbing at a rate of about $4,000 per person per year since 2001, according to the report released Wednesday by the nonpartisan budget office but are expected to rise by an average of $4,700 a year over the next several years, despite Defense Department efforts to hold down costs.

By 2017, CBO forecasts costs will be $170,000 per person, and by 2030, $215,000 per person.

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My Comment: The number one reason for this increase .... health care.

The Debate On U.S. Defense Cuts Continues

U.S. soldiers fire at an enemy hiding position during Operation Tofan 2 in Suri Khel, Afghanistan, Sept. 16, 2011. Soldiers worked to clear insurgents from the town and prevent their return. The soldiers are assigned to 6th Squadron, 4th Cavalry Regiment, 3rd Brigade Combat Team. U.S. Army photo by Sgt. Joseph Watson

Budget Cuts Would Hollow Military -- Washington Times

A new congressional report spells out in detail how the military would become “hollow” if Congress‘ supercommittee fails to agree on deficit reductions, triggering $1.2 trillion in automatic spending cuts.

The Army and Marine Corps would lose 200,000 troops, bringing active strength “well below” pre-Sept. 11, 2001, levels, and the armed forces would not be able to carry out its essential mission, says a 14-page analysis by the Republican majority staff of the House Armed Services Committee.

The report also says the cuts would deplete weapon systems, further degrading the fighting capabilities of the armed forces.

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More News On The Debate On Impending U.S. Defense Cuts

White House seeks more Pentagon budget cuts -- Reuters
Some fear cuts may hurt US defense industry base -- Reuters
Analysts assess impact of defense cuts on US jobs -- Reuters
Shocking reality of a shrinking military -- Simon Mann, Sydney Morning Herald
Cohen: Cuts Need Not Hobble U.S. Military -- Defense News
Analysts Call for More 'Honesty' in Defense Budget Debate -- National Defense
Elites Are Wrong; Deep Cuts Won't Damage Military -- Winslow Wheeler, Aol Defense

US Sec. of Defense Panetta Voices His Concerns On Future Pentagon Budget Cuts

President Barack Obama and Vice President Joe Biden meet with, clockwise from the President, Defense Secretary Leon Panetta, Lieutenant General John Allen, National Security Advisor Tom Donilon, Chairman of the Joint Chiefs of Staff Admiral Mike Mullen, and United States Ambassador to Afghanistan Ryan Crocker, in the Oval Office, July 5, 2011. (Official White House Photo by Pete Souza)

Defense Cuts Could Be Damaging, Says Leon Panetta -- Politico

Defense Secretary Leon Panetta on Thursday urged Congress to look to places other than the Pentagon for future spending cuts, saying the additional $500 billion in cuts that could come later this year would be a “doomsday mechanism” that would endanger national security.

“We are already taking our share of the discretionary cuts as part of this debt ceiling deal and those are going to be tough enough,” Panetta said at his first press conference since taking office a month ago. He cited $350 billion in defense cut over the next decade that are part of the debt ceiling compromise, adding, “I think anything beyond that would damage our national defense.”

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More News On US Sec. of Defense Panetta Concerns On Pentagon Budget Cuts

Panetta warns against doubling $350 bln defense cuts -- Reuters
Military Money on Chopping Block in Austere Time -- ABC News/AP
Panetta Warns on Across-the-Board Pentagon Cuts -- Wall Street Journal
Military money on chopping block in austere time -- Forbes/AP
Panetta calls possible forced cuts in debt deal 'unacceptable' -- CNN
Defense faces potential for deep cuts in time of austerity; Panetta warns of real damage -- Washington Post
Pentagon Sounds Alarm on Threat of Budget Cuts -- New York Times
Pentagon chief 'concerned' about future budget cuts -- AFP
Panetta, Mullen continue press to head off excessive budget cuts -- Stars and Stripes
Pentagon says projected spending cuts could undermine security -- L.A. Times
Pentagon Says More Budget Cuts Mean Furloughs -- Military.com
Pentagon’s First Installment on Cutting Debt May Be $28 Billion -- Bloomberg
Deficit-cutting deal may not dent defense spending as much as anticipated -- Miami Herald/McClatchy News

New Anti-Deficit Plan From The 'Gang Of Six' Will "Gut The US Militrary"

Rep. McKeon: ‘Gang of Six’ Plan Would Gut Defense -- Wall Street Journal

The bipartisan ‘Gang of Six’ deficit-reduction plan is getting a thumbs-down from one of Capitol Hill’s top defense hawks.

Rep. Howard McKeon (R., Calif.), the chairman of the House Armed Services Committee, sent a memorandum to Republican committee members today warning that he would not support the plan, saying that the proposal would cut too much defense and security spending.

“Based on what we’ve read, the proposal would result in $886 billion in security cuts over 10 years,” Rep. McKeon wrote. “Due to a firewall in the proposal between security and domestic spending, nearly half of the discretionary savings in this proposal comes from security programs.”

As currently outlined, “I cannot support the Gang of Six proposal,” he added.

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More News On U.S. Defense Budget Cuts In Debt Reduction Plans

HASC chair decries $866B defense cuts of ‘Gang of 6′ -- DoD Buzz
Proposed Defense Cuts Would Imperil U.S.: McKeon -- Defense News
McKeon rips calls for deep defense budget cuts -- Navy Times
McKeon Balks at 'Gang of Six' Defense Cuts -- National Journal
McKeon blasts Gang of Six defense cuts -- The Hill
Over $1 Trillion in Defense Cuts in Coburn Deficit Reduction Plan -- Weekly Standard
Pentagon braces for much deeper military spending cuts as part of debt deal -- Washington Post
Slashing Defense Makes America Less Safe While Allowing Politicians to Kick the Can down the Road on Entitlement Reform -- Heritage Foundation

List Of Cancelled U.S. Military Programs

EQUIPMENT CHECK - U.S. Marines check their equipment while firing multiple 81mm mortar rounds during Talisman Sabre 2011, a training exercise on Townshend Island, Australia, July 14, 2011. The exercise demonstrates U.S. and Australian commitment to their military alliance, and enhances stability and security throughout the Asia-Pacific region. The Marines are assigned to Weapons Company, 2nd Battalion, 7th Marine Regiment, Battalion Landing Team, 31st Marine Expeditionary Unit. U.S Marine Corps photo by Lance Cpl. Brennan O'Lowney

$46 Billion Worth of Cancelled Programs -- Defense Tech

So here’s an interesting bit of defense technology related info presented by the Center for Strategic and Budgetary Assessments at a press conference to discuss defense spending yesterday.

It’s a breakdown of just how much all those weapons programs that were cancelled in the last decade cost us:

Future Combat Systems (FCS) $18.1B
Comanche helicopter $7.9B
nPOESS satellite $5.8B
VH-71 Presidential Helicopter $3.7B
Expeditionary Fighting Vehicle (EFV) $3.3B
Transformational SATCOM (TSAT) $3.2B
Crusader $2.2B
Advanced SEAL Delivery System (ASDS) $0.6 B
Armed Reconnaissance Helicopter $0.5 B
Aerial Common Sensor $0.4 B
CG(X) next Generation Cruiser $0.2B
CSAR-X $0.2B

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My Comment: Expect this list to significantly expand in the next 2 years.

A Worst-Case Scenario In The Event Of No Deal On Raising The U.S. Debt Ceiling

US Military Could Suffer If No Debt Deal: Bush Aide -- CNBC

There's be no money for U.S. defense as of Aug. 3 if there is no deal on the debt under a worst-case scenario, former Treasury undersecretary Jay Powell told CNBC Monday.

Powell, who worked in the George H.W. Bush administration and is now a visiting scholar at the Bipartisan Policy Center, thinks the "odds are good" Congress and the Obama administration will reach a deal to raise the debt ceiling by Aug. 2.

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My Comment: Yeah sure .... not paying American soldiers while they are fighting a war in Afghanistan (and elsewhere) .... if that happens the outcry will be so loud that the White House and Congress will never be able to recover. But on the flip side .... if the fiscal mess continues .... the worse case scenario will eventually happen.

President Obama Now Has His "Yes Man" In The Pentagon

President Obama with CIA Director Panetta

Panetta Nomination Could Signal Deeper Cuts For Pentagon -- The Hill

The Obama administration is portraying CIA Director Leon Panetta, the president’s pick to replace Robert Gates as Defense secretary, as a veteran Washington hand with a mix of operational expertise and management savvy.

If he wins confirmation from the Senate and becomes the first Democrat to lead the Pentagon since 1997, Panetta will need to rely on those skills.

Panetta, whom President Obama will announce as his nominee on Thursday, will inherit a Pentagon that has completed a round of belt-tightening under Gates and is now getting ready for further cuts.

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My Comment: CIA Director Panetta .... soon to be U.S. Secretary of Defense .... is (from President Obama's point of view) the perfect man to have in the Pentagon. After a decade of huge increases in the U.S. Defense budget, President Obama has made it very clear that he wants a further $400 billion in cuts. Leon Panetta is going to make that possible.

Expect political fireworks and intense media coverage when these cuts are proposed and implemented.

Get Ready For More U.S. Defense Budget Cuts

Leon Panetta is expected to find savings where Gates might have been reluctant to go. Reuters photo

Leon Panetta Choice Signals Defense Cuts -- Politico

By choosing Leon Panetta as his next secretary of defense, President Barack Obama has signaled that he’s serious about cutting the Pentagon budget — even if that just happens to make life more difficult for the GOP.

Obama’s plan to cut hundreds of billions of dollars worth of defense and security spending has exposed a growing chasm in the Republican Party — a split between security hawks who want to protect the Pentagon budget and deficit hawks who say that everyone has to share the pain.

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Update #1: Panetta's Pentagon Challenge -- Time
Update #2: Push for Pentagon cuts tops Panetta's agenda -- AP

My Comment: President Obama made it very clear last week that he wanted $400 billion cut out of the U.S. Defense Budget. But unlike Gates who understood the military consequences of such an action and who would have been reluctant to proceed, Leon Panetta has no reservations and is the man who will make this happen.

Congress Is Critical Of The Pentagon's Spending Cuts

GOP Lawmakers Grill Pentagon Officials On Spending Cuts -- Washington Post

House Republicans challenged top Pentagon officials Wednesday on the Obama administration's plans to cut projected defense spending by $78 billion over the next five years, complaining that the reductions could jeopardize national security.

In the opening hearing of the House Armed Services Committee under new Republican leadership, members of the majority elected in November questioned elements of the reductions and protested what they described as the Pentagon's failure to include the committee in its decision-making process.

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More News On Congress Disagreeing With The Pentagon's Budget Cuts

Pentagon officials defend proposed military cuts -- Yahoo News/AP
Panel chair condemns Obama's defense spending cuts -- Reuters
Pentagon officials defend Secretary Gates' proposed budget cuts as lawmakers challenge plan -- Canadian Press/AP
Armed Services GOP: Don’t destroy military effectiveness with cuts -- The Hill
GOP Questions Pentagon ‘Efficiencies’ -- Wall Street Journal
Obama warns more DoD cuts may be needed -- Air Force Times
Obama to Hill: I’ll Veto Earmarks -- DoD Buzz
Gates' drastic military cuts purely political, say critics -- Jim Kouri, The Examiner

My Comment: Congress wants details and specifics .... and the Pentagon better quickly realize that while the previous Congress were docile when it came to the Pentagon budget, this new Congress is not.

Chairman Of The House Armed Services Subcommittee On Military Personnel Warns Of Impending Tight Budgets And Force Drawdowns

Photo: Rep. Joe Wilson, R-S.C.

Wilson: Prepare For Tighter Budgets, Force Drawdown -- Stars And Stripes

Military personnel who seek to extend their careers should stay in shape and stay out of trouble because the armed forces will strive to keep only the best through a post-war drawdown period, warns the new chairman of the House Armed Services Subcommittee on Military Personnel.

Rep. Joe Wilson, R-S.C., said his priority will be to improve quality of life for servicemembers, their families and veterans. But the 63-year-old lawmaker and retired Army National Guard colonel also recognizes that tight defense budgets and planned force reductions, particularly for Army and Marine Corps, are part of the new “realism” for the military.

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My Comment: His job is not going to be easy .... U.S. budget deficits have reached dangerous levels, and something will have to be done now because if not .... future cuts will only be deeper and probably done with no planning.

Pentagon Outlines Spending Cuts Of About $78 Billion

Secretary of Defense Robert Gates

Pentagon To Cut Spending By $78 Billion, Reduce Troop Strength -- Washington Post

The Pentagon will have to cut spending by $78 billion over the next five years, Defense Secretary Robert M. Gates said Thursday, forcing the Army and Marine Corps to shrink the number of troops on active duty and eventually imposing the first freeze on military spending since the Sept. 11, 2001, attacks.

The surprise announcement from Gates was a reminder for the military establishment - which has benefited from a gusher of new money over the past decade - that it will not remain exempt from painful austerity measures that federal lawmakers say will be necessary to control the soaring national debt.

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More News On Today's Proposed Pentagon Budget Cuts

Gates cutting Pentagon budget by $78bn over fiver years -- BBC
Pentagon anticipates $78B in budget cut -- AP
US, eyeing budget, to cut up to 47,000 troops -- Reuters
Robert Gates details Pentagon cuts to Congress -- Politico
Robert Gates proposes $100 billion US defence cuts -- The Telegraph
Gates finding $78 bln more in Pentagon cuts-lawmaker -- Reuters
Can Congress Really Stop Gates’ Gear Cuts? -- The Danger Room

Secretray Of Defense Gates To Announce Major Budget Cuts Today

U.S. Defense Secretary Robert M. Gates thanks the sailors assigned to the USS Abraham Lincoln during a visit to the ship, which is under way in the Arabian Sea, Dec. 6, 2010. DOD photo by Air Force Master Sgt. Jerry Morrison

Contractors Brace For Cuts As Gates Readies Budget Ax -- Wall Street Journal

Secretary of Defense Robert Gates is expected to unveil substantial cuts to weapons programs Thursday, according to government and industry officials, part of a plan to better position the Pentagon for slower growth in its budget.

The Pentagon has kept the details under wraps. But defense observers expect all military services to take significant hits to their procurement accounts, even as overall military spending holds steady.

Congressional aides said Mr. Gates would brief key leaders of defense appropriations and oversight committees on the proposal Thursday morning.

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More News On Robert Gates Proposed Pentagon Budget Cuts

Gates Expected to Announce Budget Details, Cuts to Weapons Programs -- ExecutiveGov
Gates aims to shift Pentagon spending, avoid cuts -- AP
Gates moves to preempt US defense budget cuts -- AFP
The Final Gates Defense-Budget Showdown Begins -- The Danger Room
Gates hopes to preempt Congress -- Politico
Pentagon cuts to reflect Gates, White House tussle -- Reuters
Lawmakers, lobbyists ready as Gates prepares to unveil deep budget cuts -- The Hill
F-35 orders likely cut in Gates' Pentagon spending plan -- Miami Herald
Stealth Jet Delay Could Screw Marine Corps -- The Danger Room
Pentagon Is Poised to Cancel Marine Landing Craft -- New York Times
Gates wants to drop $14 billion Marine landing-craft program -- Washington Post
How to cut $1 trillion from the Pentagon -- CNN Money

Pentagon Told To Start Cutting It's Budget

Sources: DoD Ordered To Cut $78B Over 5 years -- Navy Times

White House budget officials have ordered the Pentagon to shed $78 billion from its annual budgets over the next five years, starting with a $12 billion cut in 2012, sources told Military Times.

Pentagon budget officials late last week already were busy determining how to respond to the 2012 budget reduction, which was first reported by Defense News. Now, one budget source said Pentagon officials “are scrambling” to determine how they will trim Defense Department plans to meet a new Office of Management and Budget directive to trim $78 billion over the future years defense plan, which will span 2012-16.

It remains unclear how that $78 billion will break down over those five years.

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More News On The Upcoming Pentagon Budget Cuts

DoD officials preparing smaller 2012 budget -- Military Times
DoD officials preparing smaller 2012 budget -- Air Force Times
U.S. Department of Defense Fears the Budget Axe -- Defense Update
Pentagon official sees mounting budget pressures -- Reuters
AIA: Don't Cut U.S. Defense Spending -- Defense News
Opposing view on defense spending: Military cuts 'a non-starter' -- USA Today
The Defense Industry’s Winter Of Discontent -- Forbes
Our Security Can’t Afford These Defense Cuts -- The Heritage Foundation
House Spending Plans for Defense Would Harm the Military -- Heritage Foundation

The Pentagon Is Getting Ready For The Budget Axe

US DoD Fears Budget Axe -- Space Wars

According to Forecast International's latest analysis of the U.S. defense market, the DoD budget
is facing mounting pressure from both sides of the aisle as lawmakers struggle to rein in trillion-dollar deficits.

"The extent of the damage remains to be seen, however, as there is a fundamental disagreement over whether the Pentagon's coffers should be subject to the same scrutiny and cuts as non-security budgets," says Shaun McDougall, Forecast International's North America Military Markets Analyst and author of the report.

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My Comment: Another look at the incoming defense budget cuts.

Is The U.S. Defense Budget Too Big?

Does America Need To Cut Defense Spending? -- Washington Post

The Post asked analysts and members of Congress whether the federal government should cut defense spending. Below are responses from Maya MacGuineas, Frederick W. Kagan, Kimberly Kagan, Ron Paul, Mackenzie Eaglen, Jane Harman and Rob Andrews.

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My Comment: An interesting array of opinions.

What is my take .... I always look for accountability and transparency. If a military program is necessary, it should be transparent on the needs and costs and then brought to the American people. I have more faith in the American public than in Washington .... definitely when it comes to money.

Sighhh .... but I know .... the powers that be will never permit this to happen.