The House Appropriations Committee last week passed its version of the fiscal 2015 defense spending bill, and just released the final report. We’ll be taking an in-depth look at all programs affected, and today we’ll examine what this latest bill means for the Navy’s programs.
LCS cut not big enough for appropriators? — House appropriators joined House authorizers in taking the Navy’s cuts to LCS one step further and slashing an additional ship, leaving the service with two ships for $951.4 million in fiscal 2015. In language added to the report, the committee stated that it was “extremely concerned” by Defense Secretary Chuck Hagel questioning whether the LCS had the protection and firepower to counter a more advanced military adversary, especially in the Asia-Pacific region. The panel further noted that despite these “very strong, worrisome statements,” the Navy plans to continue buying LCSs through fiscal 2018 — indicating that despite the cut of 20 ships to the program, the committee believes that 32 ships may actually be too many. “The Committee believes that if the current LCS is not the correct small surface combatant of the future, the Navy should correct its course sooner rather than later and begin purchasing the correct ship well before fiscal year 2019,” the report states. “The committee was surprised that the Secretary of Defense allowed so much time to pass before ensuring the correct small surface combatant begins construction.” The bill directs the Navy to include the results of the small surface combatant study in the shipbuilding plan by fiscal 2016.
One more P-8A — As we noted in April, the Navy plans to shift buys to the right for the P-8A Poseidon and cut the overall program of record from 117 to 109 aircraft. However, the House Appropriations Committee showed the first signs of some pushback to that move by adding $154 million for one additional aircraft to bring the fiscal 2015 buy to nine aircraft. The committee didn’t add language explaining the move, but it’s possible lawmakers simply didn’t like the Navy’s sudden move to go from buying 16 aircraft this year to only eight and then back up to 15 in fiscal 2016, and is trying to lessen the blow. Read more P-8 analysis >>>
E-2D restored — House appropriators approved $902 million for for five E-2Ds, an increase of $82.4 million and one aircraft over the president’s budget request. The panel was able to fund this change partially because of $30 million in savings from the multiyear procurement contract. This move would put the program back on the procurement plan the Navy had in last year’s budget, although the service calls for steeper cuts in the out-years. It’s possible appropriators were reattled by the Pentagon’s Selected Acquisition Reports in April, which stated that the decision to delay 10 E-2Ds beyond the Future Years Defense Plan, would increase the price tag on the program by $1.2 billion. Read more E-2D analysis >>>
No funding for LPD-28 — One of the big questions was whether House appropriators would side with House authorizers in adding funding for a 12th LPD-17 ship. The answer is no: the bill made no changes to the president’s request for $12.6 million in funding — well below the $812.6 million the House Armed Services Committee authorized to construct LPD-28. Senate authorizers likewise did not add any funding, although the panel did include language allowing the Navy to transfer up to $650 million in available funds for the effort. Navy leadership is opposed to the move, arguing that it has accepted the increased risk of having fewer amphibs and the money is more needed elsewhere. Read more LPD-17 analysis >>>
HAC joins authorizers on Tomahawk — So far, the rejection of the Pentagon’s bid to close out the Tomahawk missile program is unanimous, as House appropriators joined both authorization committees in restoring nearly $80 million in funding for 96 missiles over the 100 missiles the president requested. The funding restores the program to the original plan to buy 196 missiles each year through the Future Years Defense Plan after the Pentagon revealed plans to slash the buy to just 100 missiles this year and end the program after that, prompting much criticism of the administration. Senate appropriators have yet to act, but so far it appears unlikely that the Defense Department will get its way on this program. Read more Tomahawk analysis >>>