88-078
2003
108TH CONGRESS 1ST SESSION
HOUSE OF REPRESENTATIVES
Report
[Graphic image not available]
JULY 2, 2003- Committed to the Committee of the Whole House on the State of the Union and ordered to be printed
| C O N T E N T S | Page | |
| Bill Totals | 1 | |
| Committee Budget Review Process | 3 | |
| Major Recommendations in the Committee Bill | 3 | |
| Committee Recommendations by Major Category | 5 | |
| Military Personnel | ||
| 5 | ||
| Operation and Maintenance | ||
| 5 | ||
| Procurement | ||
| 6 | ||
| Research, Development, Test and Evaluation | ||
| 6 | ||
| Forces to be Supported | 7 | |
| Department of the Army | ||
| 7 | ||
| Department of the Navy | ||
| 7 | ||
| Department of the Air Force | ||
| 8 | ||
| TITLE I. MILITARY PERSONNEL | 11 | |
| Programs and Activities Funded by Military Personnel Appropriations | ||
| 11 | ||
| Summary of Military Personnel Recommendations for Fiscal Year 2004 | ||
| 11 | ||
| Adjustments to Military Personnel Account | ||
| 13 | ||
| End Strength Adjustments | ||
| 13 | ||
| Accuracy of Obligations | ||
| 13 | ||
| Personnel Strengths | ||
| 13 | ||
| Guard and Reserve Workyear Requirements | ||
| 14 | ||
| Reserves Cost Avoidance | ||
| 14 | ||
| Reserve-Employer Relations | ||
| 14 | ||
| Consolidation of Military Personnel Accounts | ||
| 15 | ||
| Full-Time Support Strengths | ||
| 15 | ||
| Military Personnel, Army | ||
| 16 | ||
| Military Personnel, Navy | ||
| 21 | ||
| Military Personnel, Marine Corps | ||
| 25 | ||
| Military Personnel, Air Force | ||
| 29 | ||
| Reserve Personnel, Army | ||
| 34 | ||
| Reserve Personnel, Navy | ||
| 36 | ||
| Reserve Personnel, Marine Corps | ||
| 38 | ||
| Reserve Personnel, Air Force | ||
| 40 | ||
| National Guard Personnel, Army | ||
| 42 | ||
| Northern Mississippi Wage Area | ||
| 44 | ||
| National Guard Personnel, Air Force | ||
| 44 | ||
| TITLE II. OPERATION AND MAINTENANCE | 47 | |
| Operation and Maintenance Overview | ||
| 49 | ||
| Recommendations to Address Shortfalls | ||
| 49 | ||
| Availability of Funds | ||
| 50 | ||
| Civilian Pay | ||
| 50 | ||
| Unobligated Balances | ||
| 50 | ||
| Southwest Asia Contingency Operations | ||
| 51 | ||
| Access to Educational Opportunities | ||
| 51 | ||
| Specialized Code of Conduct Training | ||
| 52 | ||
| Civilian Personnel System Changes | ||
| 52 | ||
| General Reduction to Administration and Servicewide Activities | ||
| 53 | ||
| Base Operations Support | ||
| 53 | ||
| Civilian Pay Overstatement | ||
| 53 | ||
| Operation and Maintenance Budget Execution Data | ||
| 53 | ||
| Operation and Maintenance Reprogrammings | ||
| 54 | ||
| Operation and Maintenance, Army | ||
| 55 | ||
| Integrated Digital Environments Information Portal | ||
| 59 | ||
| Army Worker Safety Program Expansion | ||
| 60 | ||
| Training and Support Facilities | ||
| 60 | ||
| Tacony Warehouse Demolition | ||
| 60 | ||
| Expandable Light Air Mobility Shelters | ||
| 60 | ||
| Service Member Benefits Analysis System Online Pilot Program | ||
| 60 | ||
| NTC Mout Training | ||
| 60 | ||
| Memorial Activities | ||
| 61 | ||
| Recruiting and Advertising | ||
| 61 | ||
| Operation and Maintenance, Navy | ||
| 61 | ||
| Critical Asset Vulnerability Assessment, Navy Region Northwest | ||
| 65 | ||
| Advanced Technical Information Support | ||
| 66 | ||
| AGM-119B Penguin Missile Divestment | ||
| 66 | ||
| Puget Sound Naval Shipyard Pier Restoration | ||
| 66 | ||
| Space and Naval Warfare Information Technology Center (SITC) | ||
| 66 | ||
| Coastal Patrol Craft | ||
| 67 | ||
| Mission Funding for Shipyards | ||
| 67 |
| Operation and Maintenance, Marine Corps | ||
| 67 | ||
| Depot Maintenance-Radars | ||
| 70 | ||
| Marine Corps Junior ROTC Units | ||
| 70 | ||
| Marine Corps Logistics Systems Upgrades | ||
| 70 | ||
| Marine Corps Tactical Systems Support Activity (MCTSSA) Combat Service Support Element | ||
| 70 | ||
| Training and Support Facilities | ||
| 70 | ||
| Operation and Maintenance, Air Force | ||
| 70 | ||
| Operation and Maintenance, Defense-Wide | ||
| 75 | ||
| Counter Train and Equip Program | ||
| 79 | ||
| Family Advocacy Program | ||
| 79 | ||
| George AFB | ||
| 80 | ||
| Norton AFB | ||
| 80 | ||
| Lewis Center for Educational Research | ||
| 80 | ||
| Country Study Series | ||
| 80 | ||
| CCAT | ||
| 80 | ||
| Black Americans in Defense of our Nation | ||
| 80 | ||
| Operation and Maintenance, Army Reserve | ||
| 80 | ||
| Controlled Humidity Protection | ||
| 83 | ||
| Operation and Maintenance, Navy Reserve | ||
| 83 | ||
| Operation and Maintenance, Marine Corps Reserve | ||
| 85 | ||
| Operation and Maintenance, Air Force Reserve | ||
| 87 | ||
| Aerial Spray System | ||
| 89 | ||
| Operation and Maintenance, Army National Guard | ||
| 89 | ||
| Joint Training and Experimentation Program | ||
| 92 | ||
| Gas Chromatograph Mass Spectrometer | ||
| 92 | ||
| Angel Gate Academy | ||
| 92 | ||
| Operation and Maintenance, Air National Guard | ||
| 92 | ||
| Jefferson Proving Ground | ||
| 95 | ||
| Overseas Contingency Operations Transfer Fund | ||
| 95 | ||
| United States Court of Appeals for the Armed Forces | ||
| 95 | ||
| Environmental Restoration, Army | ||
| 95 | ||
| Environmental Restoration, Navy | ||
| 96 | ||
| Island of Vieques | ||
| 96 | ||
| Environmental Restoration, Air Force | ||
| 96 | ||
| Environmental Restoration, Defense-Wide | ||
| 96 | ||
| Environmental Restoration, Formerly Used Defense Sites | ||
| 96 | ||
| Perchlorate Groundwater Contamination Study | ||
| 96 | ||
| Overseas Humanitarian, Disaster, and Civic Aid | ||
| 97 | ||
| Former Soviet Union Threat Reduction | ||
| 97 | ||
| Support for International Sporting Competitions, Defense | ||
| 98 | ||
| TITLE III. PROCUREMENT | 99 | |
| Estimates and Appropriations Summary | ||
| 99 | ||
| Special Interest Items | ||
| 101 | ||
| Classified Annex | ||
| 101 | ||
| Lead Systems Integrator | ||
| 101 | ||
| Aircraft Procurement, Army | ||
| 101 | ||
| UH-60M Blackhawk Upgrade | ||
| 103 | ||
| CH-47 Chinook | ||
| 103 | ||
| AH-64 Apache | ||
| 103 | ||
| Missile Procurement, Army | ||
| 106 | ||
| Procurement of Weapons and Tracked Combat Vehicles, Army | ||
| 110 | ||
| 3rd Armored Cavalry Regiment | ||
| 112 | ||
| Stryker Brigade Combat Team | ||
| 112 | ||
| Procurement of Ammunition, Army | ||
| 115 | ||
| Steel Case Medium Caliber Rounds | ||
| 117 | ||
| Other Procurement, Army | ||
| 120 | ||
| Land Warrior | ||
| 125 | ||
| Aircraft Procurement, Navy | ||
| 131 | ||
| EP-3 Collection Mission | ||
| 134 | ||
| USMC CH-46 Sustainability | ||
| 134 | ||
| Weapons Procurement, Navy | ||
| 137 | ||
| Phalanx Close-In-Weapons System (CIWS) | ||
| 139 | ||
| Tactical Tomahawk | ||
| 139 | ||
| Procurement of Ammunition, Navy and Marine Corps | ||
| 142 | ||
| Shipbuilding and Conversion, Navy | ||
| 147 | ||
| Virginia Class Submarine | ||
| 149 | ||
| Submarine Refueling Overhauls | ||
| 149 | ||
| LHD-1 Class Amphibious Assault Ship | ||
| 150 | ||
| LPD-17 Class | ||
| 150 | ||
| Ship Construction and Overhaul Contracts | ||
| 150 | ||
| Shipbuilding and Conversion, Navy Appropriation | ||
| 150 | ||
| Other Procurement, Navy | ||
| 153 | ||
| Other Supply Support Equipment | ||
| 157 | ||
| Procurement, Marine Corps | ||
| 163 | ||
| Aircraft Procurement, Air Force | ||
| 169 | ||
| Fly Before Buy | ||
| 172 | ||
| F/A-22 Raptor | ||
| 172 | ||
| F-16 Joint Helmet Mounted Cueing System (JHMCS) | ||
| 172 | ||
| B1-B Modifications | ||
| 173 | ||
| Target Drones | ||
| 173 | ||
| B-1B Bomber Wind Corrected Munitions Dispenser | ||
| 174 | ||
| B-52 Avionics Midlife Improvement | ||
| 174 | ||
| F-15 Advanced Display Core Processor Modifications | ||
| 174 | ||
| KC-135E Engine Replacements | ||
| 174 | ||
| Precision Location and Identification (PLAID) | ||
| 175 | ||
| Advanced Synthetic Aperture Radar System (ASARS) | ||
| 175 | ||
| Predator Unmanned Aerial Vehicle | ||
| 176 | ||
| Missile Procurement, Air Force | ||
| 180 | ||
| Joint Air-To-Surface Standoff Missile (JASSM) | ||
| 182 | ||
| AIM-9X Sidewinder Missile | ||
| 182 | ||
| ICBM Minuteman III Modifications | ||
| 183 | ||
| Procurement of Ammunition, Air Force | ||
| 185 | ||
| Other Procurement, Air Force | ||
| 189 | ||
| Air Force Physical Security System | ||
| 191 | ||
| National Airspace System | ||
| 191 | ||
| P-19 Crash Truck Requirements | ||
| 191 | ||
| Productivity Enhancing Capital Investments | ||
| 192 | ||
| Procurement, Defense-Wide | ||
| 196 | ||
| AC-130U Gunship Acquisition | ||
| 198 | ||
| Advanced Seal Delivery System (ASDS) | ||
| 198 | ||
| National Guard and Reserve Equipment | ||
| 201 | ||
| Defense Production Act Purchases | ||
| 203 | ||
| Information Technology | ||
| 203 | ||
| General Reduction to Information Technology Programs | ||
| 204 | ||
| Deployable Joint Command and Control (DJC2) | ||
| 205 | ||
| Online Technology Training Program | ||
| 205 | ||
| Army Knowledge Online | ||
| 205 | ||
| Configuration Management Information System | ||
| 205 | ||
| Mobile UHF DAMA Training | ||
| 205 | ||
| Study on the Internet and Wireless Technology | ||
| 206 | ||
| Advanced Information Technology Services (AITS) | ||
| 206 | ||
| Information Technology Leadership Program | ||
| 206 | ||
| Information Assurance Network | ||
| 206 | ||
| California Manufacturing Technology Center (CMTC) | ||
| 206 | ||
| TITLE IV. RESEARCH, DEVELOPMENT, TEST AND EVALUATION | 207 | |
| Estimates and Appropriation Summary | ||
| 207 | ||
| Special Interest Items | ||
| 209 | ||
| Classified Annex | ||
| 209 | ||
| Unmanned Combat Aerial Vehicle | ||
| 209 | ||
| Joint Strike Fighter (JSF)/F-35 | ||
| 209 | ||
| Missile Defense Programs | ||
| 210 | ||
| Research, Development, Test and Evaluation, Army | ||
| 212 | ||
| Future Combat System | ||
| 226 | ||
| Patriot-Meads Program Merger | ||
| 227 | ||
| Army MEMS-GPS/INS Technology Development | ||
| 227 | ||
| Theater Support Vessel (TSV) | ||
| 227 | ||
| Research, Development, Test and Evaluation, Navy | ||
| 235 | ||
| Research and Development Funding Review | ||
| 249 | ||
| Bone Marrow Registry | ||
| 249 | ||
| Power Projection and Applied Research | ||
| 249 | ||
| Warfighter Sustainment Applied Research | ||
| 249 | ||
| Research and Development in Core Technologies | ||
| 250 | ||
| Anti-Submarine Warfare (ASW) Master Plan | ||
| 250 | ||
| SSGN Conversion | ||
| 250 | ||
| Advanced Submarine System Development | ||
| 250 | ||
| Land Attack Technology | ||
| 251 | ||
| Tactical Air Directional Infrared Countermeasures | ||
| 251 | ||
| Surface Combatant Combat Systems Engineering | ||
| 251 | ||
| Submarine Acoustic Warfare Development | ||
| 252 | ||
| Satellite Communications (Space) | ||
| 252 | ||
| Torpedo Development | ||
| 252 | ||
| Tactical Unmanned Aerial Vehicles | ||
| 252 | ||
| Airborne Reconnaissance Systems | ||
| 253 | ||
| Manned Reconnaissance Systems | ||
| 253 | ||
| LHA Replacement Program | ||
| 253 | ||
| Littoral Combat Ship (LCS) | ||
| 254 | ||
| DD(X) | ||
| 254 | ||
| Research, Development, Test and Evaluation, Air Force | ||
| 262 | ||
| NORAD--FAA Airspace Security Integration | ||
| 268 | ||
| Low Cost Autonomous Attack System (LOCAAS) | ||
| 268 | ||
| Advanced Wideband System (AWS) | ||
| 268 | ||
| Space Based Radar (SBR) | ||
| 269 | ||
| Next Generation Bomber | ||
| 269 | ||
| ICBM--DEM/VAL | ||
| 269 | ||
| Joint Tactical Radio System | ||
| 270 | ||
| Joint Air-To-Surface Standoff Missile--Extended Range | ||
| 270 | ||
| F-15E Squadrons | ||
| 270 | ||
| Research, Development, Test and Evaluation, Defense-Wide | ||
| 277 | ||
| Chemical and Biological Defense Program | ||
| 284 | ||
| Multi-Wavelength Surface Scanning Biologics Sensor | ||
| 284 | ||
| Spray Cooling Manufacturing Engineering | ||
| 284 | ||
| Facility Security | ||
| 284 | ||
| RAMOS | ||
| 284 | ||
| Operational Test and Evaluation, Defense | ||
| 291 | ||
| TITLE V. REVOLVING AND MANAGEMENT FUNDS | 295 | |
| Defense Working Capital Funds | ||
| 295 | ||
| National Defense Sealift Fund | ||
| 295 | ||
| Training Vessel | ||
| 295 | ||
| Strategic Sealift Capacity | ||
| 295 | ||
| Refined Petroleum Products Marginal Expense Transfer Account | ||
| 296 | ||
| TITLE VI. OTHER DEPARTMENT OF DEFENSE PROGRAMS | 297 | |
| Defense Health Program | ||
| 297 | ||
| Reprogramming | ||
| 301 | ||
| Air Force Health Study | ||
| 301 | ||
| Department of Defense and Veterans Affairs Health Care Sharing | ||
| 301 | ||
| Type 2 Diabetes Research | ||
| 301 | ||
| Fiscal Year 2003 Supplemental Appropriation | ||
| 302 | ||
| MTF Optimization | ||
| 302 | ||
| Chemical Agents and Munitions Destruction, Army | ||
| 302 | ||
| Sierra Army Depot | ||
| 302 | ||
| Drug Interdiction and Counter-Drug Activities, Defense | ||
| 305 | ||
| Reprogramming Authority | ||
| 305 | ||
| Reductions to Programs as a Result of Actions by the House Armed Services Committee | ||
| 305 | ||
| Tethered Aerostat Program | ||
| 306 | ||
| Enhanced Peru/Colombia Support | ||
| 306 | ||
| Special Operations Command Counter-Narcotics Support | ||
| 306 | ||
| Office of the Inspector General | ||
| 306 | ||
| TITLE VII. RELATED AGENCIES | 309 | |
| National Foreign Intelligence Program | ||
| 309 | ||
| Introduction | ||
| 309 | ||
| Classified Annex | ||
| 309 | ||
| Central Intelligence Agency Retirement and Disability System Fund | ||
| 309 | ||
| Intelligence Community Management Account | ||
| 310 | ||
| Payment to Kaho'olawe Island Conveyance, Remediation, and Environmental Restoration Fund | ||
| 310 | ||
| National Security Education Trust Fund | ||
| 310 | ||
| TITLE VIII. GENERAL PROVISIONS | 311 | |
| Definition of Program, Project and Activity | ||
| 311 | ||
| HOUSE OF REPRESENTATIVES REPORTING REQUIREMENTS | 312 | |
| Changes in the Application of Existing Law | ||
| 312 | ||
| Appropriations Language | ||
| 312 | ||
| General Provisions | ||
| 314 | ||
| Appropriations Not Authorized by Law | ||
| 317 | ||
| Transfer of Funds | ||
| 319 | ||
| Rescissions | ||
| 320 | ||
| Statement of General Performance Goals and Objectives | ||
| 320 | ||
| Constitutional Authority | ||
| 320 | ||
| Comparison with the Budget Resolution | ||
| 321 | ||
| Five-Year Outlay Projections | ||
| 321 | ||
| Financial Assistance to State and Local Governments | ||
| 321 |
1st Session
108-187
DEPARTMENT OF DEFENSE APPROPRIATIONS BILL, 2004
| July 2, 2003- Committed to the Committee of the Whole House on the State of the Union and ordered to be printed | |
| Mr. LEWIS of California, from the Committee on Appropriations, submitted the following | |
| R E P O R T | |
| together with | |
| ADDITIONAL VIEWS | |
| [To accompany H.R. 2658] |
The Committee on Appropriations submits the following report in explanation of the accompanying bill making appropriations for the Department of Defense, and for other purposes, for the fiscal year ending September 30, 2004.
BILL TOTALS
Appropriations for most military functions of the Department of Defense are provided for in the accompanying bill for the fiscal year 2004. This bill does not provide appropriations for military construction, military family housing, civil defense, or nuclear warheads, for which requirements are considered in connection with other appropriations bills.
The President's fiscal year 2004 budget request for activities funded in the Department of Defense Appropriations Bill totals $372,226,498,000 in new budget (obligational) authority.
The amounts recommended by the Committee in the accompanying bill total $369,190,239,000 in new budget authority. This is $3,036,259,000 below the budget estimate, and $4,550,905,000 above the sums made available for the Department of Defense for fiscal year 2003. 1
[Footnote]
[Footnote 1: This amount does not include $62,350,100,000 in fiscal year 2003 supplemental appropriations provided in Public Law 108-11.]
COMMITTEE BUDGET REVIEW PROCESS
During its review of the fiscal year 2004 budget, the Subcommittee on Defense held a total of eight hearings during the period of February 2003 to April 2003. Testimony received by the Subcommittee totaled 641 pages of transcript. Approximately half of the hearings were held in open session. Executive (closed) sessions were held only when the security classification of the material to be discussed presented no alternative.
MAJOR RECOMMENDATIONS IN THE COMMITTEE BILL
Military Personnel and Medical Programs- The Committee bill fully funds the military pay raises proposed in the President's budget, and also supports the request for Basic Allowance for Housing, closing service members' average out-of-pocket housing expenses from 7.5 percent to 3.5 percent in fiscal year 2004. Over $15.5 billion is recommended for the Defense Health Program, and funding for military-related medical research and related initiatives is increased by nearly $800 million over requested levels.
Readiness Accounts- The Committee bill provides the requested levels of funding for land forces training, tank training miles, helicopter flying hours, ship steaming days, Air Force and Navy flying hour programs, and supports the Department of Defense goal to fund facilities sustainment at not less than 93 percent in all branches of the Armed Forces.
Special Operations Forces/Special Operations Command- The Committee endorses the budget proposals to provide greater resources for Special Operations Forces, whose role has increased markedly in the global war on terrorism, and whose effectiveness has been apparent in operations in Afghanistan and Iraq. The Committee recommends $4.6 billion for the Special Operations Command, an increase of $160 million over the budget request and an overall increase of over 35 percent from levels approved in the fiscal year 2003 Defense Appropriations Act.
Missile Defense Programs- The Committee recommends $8.9 billion for missile defense programs, an increase of over $1.3 billion from fiscal year 2003 levels and a net decrease of $193 million from the budget request. This amount includes $3.6 billion for midcourse missile defense, in support of fielding an initial operational capability in fiscal year 2004 as proposed by the President. The Committee has also provided $652 million, an increase of $90 million over the request, for production of Patriot PAC-3 missiles, while also approving the Department of Defense's recent proposal to merge the Patriot and MEADS missile programs and to assign these programs to the Department of the Army.
Chemical and Biological Defense Initiatives.--The Committee provides nearly $1.3 billion, an increase of $140 million over the request, for procurement and development of chemical and biological defenses under the Defense-Wide appropriations, with additional funding for mobile chemical agent detection, air contaminant monitoring systems, early warning and detection programs, and miniature chemical and biological detectors.
Unmanned Aerial Vehicles- The Committee recommends over $1.3 billion for procurement and continued development of unmanned aerial vehicles, nearly a $200 million increase from fiscal year 2003 levels. Included in this amount are funds for the procurement of four Global Hawks ($253 million) and 16 Predators ($212 million). The Committee also provides $270 million for continued development of Navy and Air Force Unmanned Aerial Combat Vehicles, or UCAVs.
Ground Forces Modernization.--The Committee has provided $458 million over the request to continue modernization of the Army's Counterattack Corps. These funds will be used for procurement of 144 upgraded Bradley Fighting Vehicles, 43 M1A2 (SEP) Abrams tanks, and other equipment needed for modernization of the 3rd Armored Cavalry regiment. The Committee fully funds the fourth Stryker Medium Brigade, and includes advance funding for the fifth and sixth brigades. The Committee has provided $1.7 billion, the requested amount, for further development of the Army's Future Combat System (FCS).
Shipbuilding Programs.--The Committee bill provides $11.5 billion, an increase of $2.4 billion over fiscal year 2003 levels for shipbuilding programs, and has fully funded amounts requested for fiscal year 2004 production ships, including one Virginia-class submarine, two Trident SSGN conversions, and three DDG-51 destroyers. The Committee does not approve the Navy's request for multi-year contract authority for the Virginia-class submarine, and has adjusted available funding accordingly. Advance funding of $175 million over the request is provided to support procurement of an LDP-17 class amphibious ship in fiscal year 2005, and $900 million is made available for completion of prior year shipbuilding programs. As for future ship development, the Committee recommends $1.5 billion, as requested, for the next-generation CVN-21 carrier, and $168 million for the Littoral Combat Ship. A total of $928 million is provided for the DD(X) program, a reduction of $110 million from the request owing to delays in design and obligation of previously appropriated funds.
Major Aviation Programs.--The Committee makes the following recommendations.
Army: The Committee has provided $252 million for procurement of 19 Blackhawk helicopters, an increase of nine over the request, while fully funding development of the next-generation Comanche helicopter ($1.1 billion).
Navy/Marine Corps: Funding is provided for 42 F/A-18 fighters, 9 Marine Corps V-22's and 2 E-2C surveillance aircraft as requested in the budget.
Air Force: The Committee recommends $3.57 billion for 22 F/A-22 fighters, a reduction of $161 million from the request reflecting House authorization action. Similarly, as proposed in the House-passed national defense authorization bill, the Committee proposes funding increases intended to augment capabilities of the bomber force, including potential B-1 force regeneration ($21 million), B-2 bomber upgrades ($61 million), and next generation bomber research ($100 million). The Committee has approved funding for 11 C-17, 5 C-130, and 2 CV-22 aircraft, the quantities requested, to continue modernizing strategic and theater lift as well as special operations support capability. Finally, $364 million, the budget request, is provided for development of the next generation multi-sensor command and control aircraft.
Joint Strike Fighter- The Committee recommends $4.2 billion, an increase of over $800 million from fiscal year 2003 levels, for the Joint Strike Fighter development program. This amount represents a decrease of $132 million from the request reflecting both slips in design schedule and excess requested funding for certain elements of the program.
Precision-Guided Munitions- The Committee provides $486 million, an increase of $208 million over the request, to accelerate procurement of the Tactical Tomahawk cruise missile and support purchases of 450 missiles. The Joint Direct Attack Munition (JDAM) and Joint Standoff Weapon (JSOW) are funded at requested levels ($724 million and $218 million, respectively).
Space Programs- The Committee fully funds the budget request for the Space Based Infared System, or SBIRS ($617 million), and the Enhanced Expendable Launch Vehicle (EELV) program ($609 million). Development funding for the Advance Wideband System (AWS) laser communication satellite, Space Based Radar, and Mobile User Objective System is reduced, owing to concerns regarding technical maturation, risk reduction, and likely expenditure rates. To compensate for expected delays in the Advanced Wideband System, the Committee recommends additional advance procurement funding for the Advanced EHF and Wideband Gapfiller satellite programs.
COMMITTEE RECOMMENDATIONS BY MAJOR CATEGORY
MILITARY PERSONNEL
The Committee recommends $98,283,064,000 for active, Reserve and Guard military personnel, a decrease of $661,200,000 below the budget request. The Committee supports the budget request which proposed a 4.1 percent average pay raise for military personnel effective January 1, 2004, and targeted pay raises for mid-career and senior noncommissioned officers and warrant officers. The Committee also agrees with the authorized end strength levels as requested in the President's budget for active duty and Selected Reserve personnel.
OPERATION AND MAINTENANCE
The Operation and Maintenance appropriation provides for the readiness of U.S. forces as well as the maintenance of facilities and equipment, the infrastructure that supports combat forces, and the quality of life of service members and their families. The Committee recommends $115,295,894,000, an increase of $581,636,000 above the fiscal year 2003 appropriated amount. The Committee bill fully funds the President's request for readiness training in flying hours, ship steaming and ground forces operational tempo training. Maintenance programs, including the Army's investment in increased spare parts storage levels, have been fully funded as well. In addition, the Committee has added over $600,000,000 to address certain funding shortfalls, including individual soldier and marine field equipment, small all-terrain vehicles, general purpose tents and mobility shelters, training and support facilities, joint training capabilities, training on urbanized terrain, civilian workforce safety, education programs and distance learning, anti-corrosion programs to extend the service life of vehicles and equipment, and weapons systems depot maintenance.
PROCUREMENT
The Committee recommends $73,743,521,000 for programs funded in title III, Procurement. Major programs funded in the bill include:
$100,000,000 for Guard and Reserve Equipment.
$251,659,000 for 19 UH-60 Blackhawk helicopters.
$495,525,000 for CH-47 Cargo helicopter modifications.
$766,964,000 for Apache Longbow helicopter advanced procurement.
$133,115,000 for 901 Javelin missiles.
$651,555,000 for 138 Patriot Missile systems, and an additional $182,075,000 for Patriot missile modifications.
$1,846,672,000 for tracked combat vehicles, including $372,102,000 for upgrading 144 Bradley Fighting Vehicles, $990,027,000 for 301 Stryker vehicles, and $155,000,000 for 43 M1A2 (SEP) Abrams tanks.
$349,810,000 for Family of Medium Tactical Vehicles.
$159,030,000 for Family of Heavy Tactical Vehicles.
$2,946,380,000 for 42 F/A-18E/F Fighter aircraft.
$833,109,000 for 9 Navy V-22 aircraft, and $217,853,000 for 2 Air Force V-22 aircraft.
$336,536,000 for 13 MH-60S helicopters.
$211,097,000 for 2 E-2C Hawkeye aircraft.
$79,531,000 for Navy airlift aircraft, including 2 UC-35 aircraft and 1 C-40A aircraft.
$675,209,000 for 12 Trident II ballistic missiles.
$485,588,000 for 450 Tomahawk cruise missiles.
$1,236,935,000 for 1 Virginia Class submarine.
$1,367,034,000 for 1 LPD-17 amphibious assault ship.
$1,186,564,000 for Carrier replacement program.
$3,566,093,000 for 22 F/A-22 Raptor combat aircraft.
$2,115,572,000 for 11 Air Force C-17A tactical airlift aircraft.
$295,991,000 for 5 Air Force C-130J airlift aircraft.
$609,310,000 for 4 Evolved Expendable Launch Vehicles.
$362,324,000 for 3 AC-130U gunships.
$3,577,046,000 for ammunition for all services.
RESEARCH, DEVELOPMENT, TEST AND EVALUATION
The Committee recommends $64,613,230,000 for programs funded in Title IV, Research, Development, Test, and Evaluation. Major programs funded in the bill include:
$1,701,331,000 for Armored systems modernization (Future Combat System).
$4,233,823,000 for development of the Joint Strike Fighter (JSF).
$1,079,257,000 for Comanche helicopters.
$267,716,000 for joint Air Force/NOAA polar-orbiting weather satellites.
$620,740,000 for F/A-22 Raptor development.
$7,525,264,000 for the programs managed by the Missile Defense Agency (MDA), including the Ballistic Missile Defense System (BMDS) test bed.
$677,277,000 for Patriot-MEADS, including Patriot modifications and improvements.
$168,071,000 for Littoral Combat Ship (LCS).
$927,987,000 for DD(X) Total Ship System Engineering.
FORCES TO BE SUPPORTED
DEPARTMENT OF THE ARMY
The fiscal year 2004 budget is designed to support active Army forces of 10 divisions, 3 armored cavalry regiments, and reserve forces of 8 divisions, 3 separate brigades, and 15 enhanced National Guard brigades (6 enhanced brigades will be aligned under 2 AC/ARNG integrated division headquarters). These forces provide the minimum force necessary to meet enduring defense needs and execute the National Military Strategy.
A summary of the major forces follows:
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Fiscal year--
2002 2003 2004
---------------------------------------------------------------------------------
Divisions: 1
Airborne 1 1 1
Air Assault 1 1 1
Light 2 1 2 2
Infantry 0 0 0
Mechanized 4 4 4
Armored 2 2 2
Total 10 10 10
Non-division Combat units:
Armored Cavalry Regiments 3 3 3
Separate Brigades 1 2 1 1
Total 3 3 3
Active duty military personnel, and strength (Thousands) 480 480 480
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DEPARTMENT OF THE NAVY
The fiscal year 2004 budget supports battle forces totaling 292 ships at the end of fiscal year 2004, including 18 strategic submarines, 12 aircraft carriers, 227 other battle force ships, 1,626 Navy/Marine Corps tactical/ASW aircraft, 658 Undergraduate Training aircraft, 495 Fleet Air Training aircraft, 313 Fleet Air Support aircraft, 385 Reserve aircraft and 141 in the pipeline.
A summary of the major forces follows:
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Type Fiscal year--
2002 2003 2004
-------------------------------------------------------------
Strategic Forces 18 18 18
Submarines 18 18 18
General Purpose 256 245 239
Aircraft Carriers 12 12 12
Surface Combatants 108 98 94
Submarines (Attack) 54 54 54
Amphibious Warfare Ships 38 37 35
Combat Logistics Ships 33 33 33
Mine Warfare 11 11 11
Support Forces 24 24 20
Mobile Logistics Ships 2 2 2
Support Ships 22 22 18
Mobilization Cat. A (Reserve) 15 14 15
Surface Combatants 8 8 9
Amphibious Warfare Ships 1 0 0
Mine Warfare 6 6 6
Total Ships, Battleforce 313 301 292
Auxiliaries/Sea Lift Forces 164 165 162
Coastal Defense 13 13 13
Maritime Preposition 17 17 17
Fast Sealift/other 12 12 12
Ready Reserve Force 81 81 81
Naval Fleet Aux Force 41 42 39
Naval Aircraft:
Primary Authorized (plus Pipe) 4,079 4,202 4,125
Authorized Pipeline 124 180 141
Tactical/ASW Aircraft 1,681 1,684 1,626
Fleet Air Training 481 474 495
Fleet Air Support 345 341 313
Training (Undergraduate) 619 651 658
Reserve 409 409 385
Naval Personnel:
Active:
Navy 376,000 375,700 373,800
Marine Corps 172,600 175,000 175,000
Reserve:
14,572 14,384 71,516 14,811
2,261 2,261 37,339 2,261
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DEPARTMENT OF THE AIR FORCE
The fiscal year 2004 Air Force budget is designed to support active, guard, and reserve forces, including 88 combat coded fighter and attack squadrons and 9 combat coded strategic bomber squadrons. The Minuteman, Peacekeeper and ICBM forces stand at 605 launch facilities and 516 missile boosters. The budget also supports our critical airlift mission, including 24 active duty airlift squadrons. To accomplish the Air Force mission, the 2004 budget supports 542,100 Total Force endstrength.
A summary of the major forces follows:
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Fiscal year--
2002 2003 2004
----------------------------------------------------------------------------------
Summary of Major Forces:
USAF Fighter and Attack Squadrons (Active, ANG, AFRC) * 88 86 88
Active 46 45 45
ANG 37 36 37
AFRC 5 5 6
Strategic Bomber Squadrons (Active) 9 8 8
Strategic Bomber Squadrons (ANG & AFRC) 3 1 1
Flight Test Units (DT and OT units w/assigned jets) 11 11 12
Fighter 8 8 9
Bomber 3 3 3
ICBM Operational Launch Facilities/Control Centers 605 605 605
ICBM Missile Inventory 550 533 516
USAF Airlift Squadrons (Active):
Strategic Airlift Squadrons 12 12 14
Tactical Airlift Squadrons 10 10 10
Total Airlift Squadrons 22 22 24
Total Active Inventory 5,903 5,851 5,854
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Endstrength FY2002 Col FY2003 PB FY2003 PB FY2004 PB
------------------------------------------------------------
Active Duty 368,251 359,000 359,300
Reserve Component 188,707 182,200 182,800
Air National Guard 112,075 106,600 107,000
Air Force Reserve 76,632 75,600 75,800
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TITLE I
MILITARY PERSONNEL
PROGRAMS AND ACTIVITIES FUNDED BY MILITARY PERSONNEL APPROPRIATIONS
The President's fiscal year 2004 budget request continues to make military personnel its first priority through increased funding for military pay, housing allowances and overall quality of life programs.
The budget request proposed a pay raise ranging from 2.0 percent to 6.25 percent with most members receiving an average of 4.1 percent effective January 1, 2004. This pay raise provides targeted raises for mid-career and senior noncommissioned officers and warrant officers in order to address pay shortfalls in grades that are experiencing significant retention issues, and also to improve the compensation of military personnel compared to private sector wages.
The budget request also includes for the fourth year increased funding for Basic Allowance for Housing (BAH). Funds are provided to reduce the service members' average out-of-pocket housing expenses from 7.5 percent to 3.5 percent in fiscal year 2004.
The Committee supports the enhancements to military pay and increased housing benefits for fiscal year 2004.
SUMMARY OF MILITARY PERSONNEL RECOMMENDATIONS FOR FISCAL YEAR 2004
------------------------------------------------
------------------------------------------------
Fiscal year 2003 appropriation $93,577,552,000
Fiscal year 2004 budget request 98,944,264,000
Fiscal year 2004 recommendation 98,283,064,000
Change from budget request -661,200,000
------------------------------------------------
The Committee recommends an appropriation of $98,283,064,000 for the Military Personnel accounts. The recommendation is an increase of $4,705,512,000 above the $93,577,552,000 appropriated in fiscal year 2003. These military personnel budget total comparisons include appropriations for the active, reserve, and National Guard accounts. The following tables include a summary of the recommendations by appropriation account. Explanations of changes from the budget request appear later in this section.
SUMMARY OF APPROPRIATION ACCOUNTS OF THE FISCAL YEAR 2004 MILITARY PERSONNEL RECOMMENDATION
[In thousands of dollars]
---------------------------------------------------------------------------
Account Budget Recommendation Change from request
---------------------------------------------------------------------------
Military Personnel:
Army $37,386,380 28,233,436 -9,152,944
Navy 25,282,454 23,052,001 -2,230,453
Marine Corps 9,559,441 8,962,197 -597,244
Air Force 26,715,989 23,121,003 -3,594,986
Subtotal, Active 98,944,264 83,368,637 -15,575,627
Reserve Personnel:
Army 0 3,568,625 +3,568,625
Navy 0 1,983,153 +1,983,153
Marine Corps 0 571,444 +571,444
Air Force 0 1,267,888 +1,267,888
National Guard Personnel:
Army 0 5,382,719 +5,382,719
Air Force 0 2,140,598 +2,140,598
Subtotal, Guard and Reserve 0 14,914,427 +14,914,427
Total, Title I $98,944,264 98,283,064 -661,200
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The fiscal year 2004 budget request includes a decrease of 1,600 end strength for the active forces and a net decrease of approximately 1,200 end strength for the selected reserve over fiscal year 2003 authorized levels.
The Committee recommends the following levels highlighted in the tables below.
OVERALL ACTIVE END STRENGTH
----------------------------------------------------------
----------------------------------------------------------
Fiscal year 2003 estimate 1,389,700
Fiscal year 2004 budget request 1,388,100
Fiscal year 2004 recommendation 1,388,100
Compared with Fiscal year 2003 -1,600
Compared with Fiscal year 2004 budget request
----------------------------------------------------------
OVERALL SELECTED RESERVE END STRENGTH
--------------------------------------------------------
--------------------------------------------------------
Fiscal year 2003 estimate 864,558
Fiscal year 2004 budget request 863,300
Fiscal year 2004 recommendation 863,300
Compared with Fiscal year 2003 -1,258
Compared with Fiscal year 2004 budget request
--------------------------------------------------------
-------------------------------------------------------------------------------------------------------
FY 2003 estimate Fiscal Year 2004
Budget request Recommendation Change from request
-------------------------------------------------------------------------------------------------------
Active Forces (end strength):
Army 480,000 480,000 480,000
Navy 375,700 373,800 373,800
Marine Corps 175,000 175,000 175,000
Air Force 359,000 359,300 359,300
Total, Active Force 1,389,700 1,388,100 1,388,100
Guard and Reserve (end strength):
Army Reserve 205,000 205,000 205,000
Navy Reserve 87,800 85,900 85,900
Marine Corps Reserve 39,558 39,600 39,600
Air Force Reserve 75,600 75,800 75,800
Army National Guard 350,000 350,000 350,000
Air National Guard 106,600 107,000 107,000
Total, Guard and Reserve 864,558 863,300 863,300
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ADJUSTMENTS TO MILITARY PERSONNEL ACCOUNT
OVERVIEW
END STRENGTH ADJUSTMENTS
The Committee recommends the requested end strength levels as proposed in the budget. The Committee is fully aware that the Services are experiencing additional personnel related costs that are primarily driven by the stop loss program implemented by the services, and the mobilization of Guard and Reserve forces for Operation Enduring Freedom in Afghanistan and Operation Iraqi Freedom. The Committee recognizes the funding uncertainties for fiscal year 2004 and encourages the Department to submit a supplemental appropriations request or reprogramming action to address any military personnel shortfalls.
ACCURACY OF OBLIGATIONS
The Committee recommends a reduction of $115,000,000 to the budget request, based on a General Accounting Office (GAO) review of prior year unobligated and unexpended military personnel account balances. The Services certify the accuracy of present and prior year obligation balances annually, however, not all of the funds obligated are expended, and those unexpended balances are not always identified in the annual review certification process. Because the Services account data continue to show a pattern of underspending their appropriated funds, the Committee believes that the fiscal year 2004 military personnel budget request is overstated and can be reduced.
The Committee believes the Services can improve their appropriation balance review below the budget activity level to ensure that funds are properly obligated and expended. The Committee directs the Secretary of Defense to ensure that the Services strengthen the annual review process by including a review of the accuracy of prior year appropriations below the budget activity level. To facilitate this review, the financial management improvement initiative should include financial decision-making processes that provide transparency of disbursements at a level similar to the budget submission.
PERSONNEL STRENGTHS
The Department seeks to amend current law which sets the requirements for annual authorization of active duty and reserve personnel strengths, to measure by `average strength' instead of `end strength' throughout the year. This change could inhibit legislative oversight of the method used to formulate budget justifications and personnel strength execution because the services will no longer be required to develop their monthly strengths by pay grades to manage to the authorized end strength measure. Without monthly strength information to use for the overview of workyears, the Congress will not be able to assess the accuracy of the services' personnel budget requests. The Committee, therefore, directs the services to provide an annual budget justification exhibit which displays the monthly expected personnel strengths by pay grades to determine personnel strength execution.
GUARD AND RESERVE WORKYEAR REQUIREMENTS
The Committee recommends a reduction of $284,000,000 to the budget request for Guard and Reserve workyear requirements. For a number of years, the General Accounting Office (GAO) has found that the Reserve and Guard components overstate the average number of military personnel workyears budgeted. Their finding is based on the overstated inactive duty training (IDT) and annual training (AT) participation rates the Guard and Reserve components used to estimate their budgets. The Committee, in the past, has directed the Secretary of Defense to ensure the Guard and Reserve accounting procedures properly code expenses and determine the participation rates based on the actual number of personnel expected to participate in annual training. GAO has found that although there has been improvement in the determination of actual participants rates based on pay data for IDT, the Air National Guard and the Navy Reserve continue to overstate IDT participation rates. Also, only the Army Reserve and Marine Corps Reserve attempt to determine actual AT participation rates based on pay data. The Committee again directs the Secretary of Defense to report to the Committee by February 1, 2004, on its efforts to ensure that accurate accounting information is used in estimating participation rates in preparing the Reserve components budget submissions.
RESERVES COST AVOIDANCE
The Committee recommends a reduction of $71,000,000 in Military Personnel, Army National Guard for active Guard and Reserve (AGR) full time support personnel savings due to lower than expected actual cost by grade of mobilized soldiers.
In addition, the Committee recommends a reduction of $150,000,000 in the Guard and Reserve operation and maintenance accounts for anticipated cost avoidance for military technicians based on the substantial number of technicians mobilized with their units. Military (civilian) technicians salaries are normally paid with Operation and Maintenance funds, however, due to the mobilization effort, these full time support personnel are being paid from the active military personnel accounts.
RESERVE-EMPLOYER RELATIONS
The Committee is concerned by anecdotal reports of diminishing employer support for reservists called up in support of contingency operations. More than 130,000 National Guard and Reserve service members are currently activated in support of worldwide operations and this high utilization rate is expected to continue. The Committee appreciates the continuing sacrifice of small businesses in support of their reservists but understands the difficulties associated with the long-term absence of key employees.
The Office of the Secretary of Defense is directed to report to the Committee on Appropriations by March 31, 2004 on the state of reserve-employer relations. The report shall include an analysis of contacts by service members and employers before, during and after activation with Employer Support of the Guard and Reserve (ESGR), most frequent concerns cited, sufficiency of data collected, the distribution of activated reservists in small businesses or self-employed categories, average length of activation, retention projections associated with high utilization of the reserve component, and legislative recommendations for improving the reserve-employer relationship.
CONSOLIDATION OF MILITARY PERSONNEL ACCOUNTS
The Committee does not recommend consolidating the Reserve and Guard personnel appropriations with their respective active duty appropriations, as submitted in the budget request. For simplicity, the following military personnel adjustment tables display the total amount of funds transferred out of the active accounts and back into the Reserve and Guard military personnel appropriations, instead of presenting each individual line item submitted in the request.
FULL-TIME SUPPORT STRENGTHS
There are four categories of full-time support in the Guard and Reserve components: civilian technicians, active Guard and Reserve (AGR), non-technician civilians, and active component personnel.
Full-time support personnel organize, recruit, train, maintain and administer the Reserve components. Civilian (Military) technicians directly support units, and are very important to help units maintain readiness and meet the wartime mission of the Army and Air Force.
Full-time support end strength in all categories totaled 152,191 in fiscal year 2003. The fiscal year 2004 budget request is 154,564 end strength. The following table summarizes Guard and Reserve full-time support end strengths:
----------------------------------------------------------------------------------------------
FY 2003 estimate Budget request Recommendation Change from request
----------------------------------------------------------------------------------------------
Army Reserve:
AGR 14,070 14,370 14,370
Technicians 7,594 7,594 7,594
Navy Reserve TAR 14,744 14,386 14,386
Marine Corps Reserve: AR 2,261 2,261 2,261
Air Force Reserve:
AGR 1,498 1,660 1,660
Technicians 9,936 9,991 9,991
Army National Guard:
AGR 24,662 25,386 25,386
Technicians 25,702 26,189 26,189
Air National Guard:
AGR 11,727 12,140 12,140
Technicians 22,845 23,156 23,156
Total:
AGR/TAR 68,962 70,203 70,203
Technicians 66,077 66,930 66,930
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MILITARY PERSONNEL, ARMY
------------------------------------------------
------------------------------------------------
Fiscal year 2003 appropriation $26,855,017,000
Fiscal year 2004 budget request 37,386,380,000
Committee recommendation 28,233,436,000
Change from budget request -9,152,944,000
------------------------------------------------
The Committee recommends an appropriation of $28,233,436,000 for Military Personnel, Army. The recommendation is an increase of $1,378,419,000 above the $26,855,017,000 appropriated for fiscal year 2003.
PROGRAM RECOMMENDED
The total amount recommended in the bill will provide the following program in fiscal year 2004:
The adjustments to the budget activities for Military Personnel, Army are shown below:
| [In thousands of dollars] | |
| Budget Activity 2: Pay and Allowances of Enlisted Personnel: | |
| 1050 Special Pays/Selective Reenlistment Bonuses | -22,500 |
| Other Adjustments: | |
| 3200 Unobligated Balances | -32,500 |
| Budget Activity 7: Reserve Personnel, Army: | |
| 4750 Total, Reserve Personnel, Army Transfer | -3,583,625 |
| Budget Activity 8: National Guard Personnel, Army: | |
| 6150 Total, National Guard Personnel, Army Transfer | -5,514,319 |
MILITARY PERSONNEL, NAVY
------------------------------------------------
------------------------------------------------
Fiscal year 2003 appropriation $21,927,628,000
Fiscal year 2004 budget request 25,282,454,000
Committee recommendation 23,052,001,000
Change from budget request -2,230,453,000
------------------------------------------------
The Committee recommends an appropriation of $23,052,001,000 for Military Personnel, Navy. The recommendation is an increase of $1,124,373,000 above the $21,927,628,000 appropriated for fiscal year 2003.
PROGRAM RECOMMENDED
The total amount recommended in the bill will provide the following program in fiscal year 2004:
The adjustments to the budget activities for Military Personnel, Navy are shown below:
| [In thousands of dollars] | |
| Budget Activity 2: Pay and Allowances of Enlisted Personnel: | |
| 7350 Special Pays/Selective Reenlistment Bonuses. | -20,300 |
| 7400 Allowances/Uniform-Clothing Allowance | -139,000 |
| 7450 Separation Pay | -32,000 |
| Other Adjustments: | |
| 9550 Unobligated Balances | -11,000 |
| Budget Activity 7: Reserve Personnel, Navy: | |
| 11150 Total, Reserve Personnel, Navy Transfer | -2,028,153 |
MILITARY PERSONNEL, MARINE CORPS
-----------------------------------------------
-----------------------------------------------
Fiscal year 2003 appropriation $8,501,087,000
Fiscal year 2004 budget request 9,559,441,000
Committee recommendation 8,962,197,000
Change from budget request -597,244,000
-----------------------------------------------
The Committee recommends an appropriation of $8,962,197,000 for Military Personnel, Marine Corps. The recommendation is an increase of $461,110,000 above the $8,501,087,000 appropriated for fiscal year 2003.
PROGRAM RECOMMENDED
The total amount recommended in the bill will provide the following program in fiscal year 2004:
The adjustments to the budget activities for Military Personnel, Marine Corps are shown below:
| [In thousands of dollars] | |
| Budget Activity 2: Pay and Allowances of Enlisted Personnel: | |
| 12400 Special Pays/Selective Reenlistment Bonuses | -1,800 |
| Other Adjustments: | |
| 14560 Unobligated Balances | -8,000 |
| Budget Activity 7: Reserve Personnel, Marine Corps: | |
| 16000 Total, Reserve Personnel, Marine Corps Transfer | -587,444 |
MILITARY PERSONNEL, AIR FORCE
------------------------------------------------
------------------------------------------------
Fiscal year 2003 appropriation $21,981,277,000
Fiscal year 2004 budget request 26,715,989,000
Committee recommendation 23,121,003,000
Change from budget request -3,594,986,000
------------------------------------------------
The Committee recommends an appropriation of $23,121,003,000 for Military Personnel, Air Force. The recommendation is an increase of $1,139,726,000 above the $21,981,277,000 appropriated for fiscal year 2003.
PROGRAM RECOMMENDED
The total amount recommended in the bill will provide the following program in fiscal year 2004:
The adjustments to the budget activities for Military Personnel, Air Force are shown below:
| [In thousands of dollars] | |
| Other Adjustments: | |
| 19620 Unobligated Balances | -40,000 |
| Budget Activity 7: Reserve Personnel, Air Force: | |
| 21050 Total, Reserve Personnel, Air Force Transfer | -1,331,888 |
| Budget Activity 8: National Guard Personnel, Air Force: | |
| 22250 Total, National Guard Personnel, Air Force Transfer | -2,223,098 |
RESERVE PERSONNEL, ARMY
-----------------------------------------------
-----------------------------------------------
Fiscal year 2003 appropriation $3,374,355,000
Fiscal year 2004 budget request
Committee recommendation 3,568,625,000
Change from budget request +3,568,625,000
-----------------------------------------------
The Committee recommends an appropriation of $3,568,625,000 for Reserve Personnel, Army. The recommendation is an increase of $194,270,000 above the $3,374,355,000 appropriated for fiscal year 2003.
PROGRAM RECOMMENDED
The total amount recommended in the bill will provide the following program in fiscal year 2004:
The adjustments to the budget activities for Reserve Personnel, Army are shown below:
| [In thousands of dollars] | |
| Budget Activity 1: Unit and Individual Training: | |
| 23050 Total, Unit and Individual Training Transfer | 1,719,563 |
| Budget Activity 2: Other Training and Support: | |
| 23650 Total, Other Training and Support Transfer | 1,866,562 |
| Other Adjustments: | |
| 23700 Undistributed Adjustment | -2,500 |
| 23900 Unobligated Balances | -5,000 |
| 23950 Reserves Cost Avoidance | -10,000 |
RESERVE PERSONNEL, NAVY
-----------------------------------------------
-----------------------------------------------
Fiscal year 2003 appropriation $1,907,552,000
Fiscal year 2004 budget request
Committee recommendation 1,983,153,000
Change from budget request +1,983,153,000
-----------------------------------------------
The Committee recommends an appropriation of $1,983,153,000 for Reserve Personnel, Navy. The recommendation is an increase of $75,601,000 above the $1,907,552,000 appropriated for fiscal year 2003.
PROGRAM RECOMMENDED
The total amount recommended in the bill will provide the following program in fiscal year 2004:
The adjustments to the budget activities for Reserve Personnel, Navy are shown below:
| [In thousands of dollars] | |
| Budget Activity 1: Unit and Individual Training: | |
| 24450 Total, Unit and Individual Training Transfer | 863,240 |
| Budget Activity 2: Other Training and Support: | |
| 25050 Total, Other Training and Support Transfer | 1,164,913 |
| Other Adjustments: | |
| 25300 Unobligated Balances | -5,000 |
| 25370 Reserves Cost Avoidance | -40,000 |
RESERVE PERSONNEL, MARINE CORPS
---------------------------------------------
---------------------------------------------
Fiscal year 2003 appropriation $553,983,000
Fiscal year 2004 budget request
Committee recommendation 571,444,000
Change from budget request. +571,444,000
---------------------------------------------
The Committee recommends an appropriation of $571,444,000 for Reserve Personnel, Marine Corps. The recommendation is an increase of $17,461,000 above the $553,983,000 appropriated for fiscal year 2003.
PROGRAM RECOMMENDED
The total amount recommended in the bill will provide the following program in fiscal year 2004:
The adjustments to the budget activities for Reserve Personnel, Marine Corps are shown below:
| [In thousands of dollars] | |
| Budget Activity 1: Unit and Individual Training: | |
| 25950 Total, Unit and Individual Training Transfer | 342,775 |
| Budget Activity 2: Other Training and Support: | |
| 26500 Total, Other Training and Support Transfer | 244,669 |
| Other Adjustments: | |
| 26600 Unobligated Balances | -2,000 |
| 26650 Reserves Cost Avoidance | -14,000 |
RESERVE PERSONNEL, AIR FORCE
-----------------------------------------------
-----------------------------------------------
Fiscal year 2003 appropriation $1,236,904,000
Fiscal year 2004 budget request
Committee recommendation 1,267,888,000
Change from budget request +1,267,888,000
-----------------------------------------------
The Committee recommends an appropriation of $1,267,888,000 for Reserve Personnel, Air Force. The recommendation is an increase of $30,984,000 above the $1,236,904,000 appropriated for fiscal year 2003.
PROGRAM RECOMMENDED
The total amount recommended in the bill will provide the following program in fiscal year 2004:
The adjustments to the budget activities for Reserve Personnel, Air Force are shown below:
| [In thousands of dollars] | |
| Budget Activity 1: Unit and Individual Training: | |
| 27200 Total, Unit and Individual Training Transfer | 807,838 |
| Budget Activity 2: Other Training and Support: | |
| 27800 Total, Other Training and Support Transfer | 524,050 |
| Other Adjustments: | |
| 27900 Unobligated Balances | -4,000 |
| 27910 Reserves Cost Avoidance. | -60,000 |
NATIONAL GUARD PERSONNEL, ARMY
-----------------------------------------------
-----------------------------------------------
Fiscal year 2003 appropriation $5,114,588,000
Fiscal year 2004 budget request
Committee recommendation 5,382,719,000
Change from budget request +5,382,719,000
-----------------------------------------------
The Committee recommends an appropriation of $5,382,719,000 for National Guard Personnel, Army. The recommendation is an increase of $268,131,000 above the $5,114,588,000 appropriated for fiscal year 2003.
PROGRAM RECOMMENDED
The total amount recommended in the bill will provide the following program in fiscal year 2004:
The adjustments to the budget activities for National Guard Personnel, Army are shown below:
| [In thousands of dollars] | |
| Budget Activity 1: Unit and Individual Training: | |
| 28600 Total, Unit and Individual Training Transfer | 2,807,038 |
| Budget Activity 2: Other Training and Support: | |
| 29050 Total, Other Training and Support Transfer | 2,707,281 |
| Other Adjustments: | |
| 29350 Unobligated Balances | -5,000 |
| 29410 Reserves Cost Avoidance | -80,000 |
| 29420 Sustain AGR Growth | 24,400 |
| 29430 Mobilized AGRs | -71,000 |
NORTHERN MISSISSIPPI WAGE AREA
The Committee is concerned that the wage surveys utilized in determining the cost of labor for federal wage grade Department of Defense (DoD) positions are inadequate with respect to employees located in the Northern Mississippi Wage Area. The Committee directs the DoD to complete a study of the jobs in the Northern Mississippi Wage Area to determine if the prevailing rates are fair and proper so that wages paid to DoD employees are determined to be sufficient. This study should include the compatibility of the wage survey data to those DoD jobs to which that data applies. The study should utilize the data available from the 2000 census--including all socioeconomic data--to study the area of definition for the Northern Mississippi Wage Area to determine if the subject survey areas and subsequent prevailing rates are fair and proper. The Committee requests that this study be shared with the Office of Personnel Management and the Federal Prevailing Rate Advisory Committee for their review and recommendations. This study will begin no later than 30 days, and reported back to the Committee no later than 90 days, upon enactment of this bill.
NATIONAL GUARD PERSONNEL, AIR FORCE
-----------------------------------------------
-----------------------------------------------
Fiscal year 2003 appropriation $2,125,161,000
Fiscal year 2004 budget request
Committee recommendation 2,140,598,000
Change from budget request +2,140,598,000
-----------------------------------------------
The Committee recommends an appropriation of $2,140,598,000 for National Guard Personnel, Air Force. The recommendation is an increase of $15,437,000 above the $2,125,161,000 appropriated for fiscal year 2003.
PROGRAM RECOMMENDED
The total amount recommended in the bill will provide the following program in fiscal year 2004:
The adjustments to the budget activities for National Guard Personnel, Air Force are shown below:
| [In thousands of dollars] | |
| Budget Activity 1: Unit and Individual Training: | |
| 29950 Total, Unit and Individual Training Transfer | 1,032,861 |
| Budget Activity 2: Other Training and Support: | |
| 30400 Total, Other Training and Support Transfer | 1,190,237 |
| Other Adjustments: | |
| 30550 Unobligated Balances | -2,500 |
| 30600 Reserves Cost Avoidance | -80,000 |
TITLE II
OPERATION AND MAINTENANCE
The fiscal year 2004 budget request for programs funded in Title II of the Committee bill, Operation and Maintenance, is $116,952,324,000 in new budget authority, which is an increase of $2,238,066,000 above the amount appropriated in the Department of Defense Appropriations Act for fiscal year 2003.
The accompanying bill recommends $115,295,894,000 for fiscal year 2004, which is an increase of $581,636,000 above the amount appropriated for fiscal year 2003. These appropriations finance the costs of operating and maintaining the Armed Forces, including the reserve components and related support activities of the Department of Defense (DoD), except military personnel costs. Included are pay for civilians, services for maintenance of equipment and facilities, fuel, supplies, and spare parts for weapons and equipment. Financial requirements are influenced by many factors, including force levels such as the number of aircraft squadrons, Army and Marine Corps divisions, installations, military personnel strength and deployments, rates of operational activity, and the quantity and complexity of equipment such as aircraft, ships, missiles and tanks in operation.
The table below summarizes the Committee's recommendations.
OPERATION AND MAINTENANCE OVERVIEW
The Administration's fiscal year 2004 budget request represents a $2,238,066,000 increase above fiscal year 2003 in Title II, Operation and Maintenance. The requested funding would sustain flying hours, ship steaming and ground operating tempo at fiscal year 2003 levels. Overall requested funding for ship maintenance decreases by $608,000,000 reflecting a consolidation of ship depot maintenance and intermediate level maintenance, and a reduction in the scope and number of scheduled maintenance availabilities. The request for the Air Force flying hour program decreases by $695,000,000 based on projected lower cost per flying hour. Requested funding for Army Operation and Maintenance includes a program increase of $670,000,000, including increased spending for spare parts and continuing efforts to improve the antiterrorism and force protection posture at Army activities worldwide. The Army's requested spending for depot maintenance increases by nearly $200,000,000 above the inflation increase, providing for increased effort in depot maintenance for missiles, aircraft, automotive, and communications and electronics.
The Committee notes that a considerable amount of additional maintenance work will be accomplished in fiscal year 2004, beyond that provided for in the President's fiscal year 2004 request. Incremental maintenance and reconstitution efforts related to repair and refurbishment of equipment for wear and damage stemming from Operation Iraqi Freedom will result in the accomplishment of additional maintenance at all levels, from unit to depot, with such work supported by funds made available in the Emergency Wartime Supplemental Appropriations Act for fiscal year 2003.
The President's budget request for sustainment of facilities for all branches of the Armed Services includes a funding increase of over $100,000,000, and achieves 93 percent funding of requirements. However, proposed funding for restoration and modernization of facilities decreases by over $400,000,000. The proposed budget provides adequate funding to prevent the further deterioration of facilities, but is inadequate to restore those facilities that have deteriorated to undesirable status, or to modernize older facilities to current standards.
In Title II of the bill, the Committee has fully supported the requested funding to provide for readiness training in flying hours, ship steaming and ground forces optempo training. Maintenance programs, including the Army's investment in increased spare parts stockage levels, have been fully funded as requested. The requested levels of anti-terrorism and force protection funding have been fully supported, sustaining spending at the fiscal year 2002 level for the Navy and Air Force, and sustaining the increased fiscal year 2003 spending level for the Army, which included funds transferred from the Defense Emergency Response Fund.
RECOMMENDATIONS TO ADDRESS SHORTFALLS
Despite the continuation of robust funding in operation and maintenance accounts requested for fiscal year 2004, testimony by the services' leadership and briefings by key staff members indicate that a certain degree of risk has been taken in some areas. The Air Force flying hour program is based on estimated reduced per-hour costs, achieving the necessary readiness flying hours at reduced funding. The Air Force depot maintenance program funding increases by $262,000,000 above the price increase, however program cost growth is outpacing inflation. The Army's Flight School XXI initiative will reduce the overall duration of rotary wing flight school and reduce the total number of hours flown in training while increasing the number of hours flown in actual mission type aircraft. Army OPTEMPO program pricing assumes a reduced demand for consumable items. The Navy deferred certain ship depot maintenance availabilities, and requested a reduced funding level in support for flight operations. Requested funding for base operations support declines in the Army and Navy by $323,000,000 and $158,000,000 respectively.
The Committee has provided over $600,000,000 in additional operating account funding to assist in addressing many of the Department's shortfalls. Increased funding has been included for individual soldier and marine field equipment, small all terrain vehicles, general purpose tents and mobility shelters, training and support facilities, joint training capabilities, training on urbanized terrain, civilian workforce safety, education programs and distance learning, anti-corrosion programs to extend the service life of vehicles and equipment, and weapons systems depot maintenance.
As has been the practice, the Committee has identified spending that does not directly support readiness and has moved those funds to accounts that more directly support readiness goals.
AVAILABILITY OF FUNDS
The President's budget request proposed that all operation and maintenance funding be made available for obligation for two years as opposed to one year. The change proposed by the administration was intended to provide increased flexibility in managing operational funds. The Committee bill maintains one-year availability for all operation and maintenance funds. The Committee believes that funds provided for current operational expenses and readiness of the armed forces should be promptly obligated for the purposes and programs for which appropriated.
CIVILIAN PAY
The Committee has fully funded the budget request for a 2.0 percent pay increase for civilian employees of the Department of Defense. The Committee understands that the Department of Defense may implement an increase in pay that is greater than 2.0 percent, and directs that any increase above 2.0 percent will be paid from within funds available to the DoD.
UNOBLIGATED BALANCES
The Committee has adjusted amounts available in service operation and maintenance accounts for fiscal year 2004 to allow for the impact of amounts left unobligated in operation and maintenance accounts at the end of prior fiscal years and the effect of such under-obligations on estimated future requirements. The Committee has reduced funding for unobligated balances as follows.
| [In thousands of dollars] | |
| Army | $51,500 |
| Navy | 99,000 |
| Marine Corps | 5,700 |
| Air Force | 13,500 |
SOUTHWEST ASIA CONTINGENCY OPERATIONS
Beginning with fiscal year 2002, funds to sustain contingency operations in Southwest Asia were included in the Defense Components baseline appropriations. Although the operations continued as designated contingencies, the troop levels had become stable enough to be financed and executed in the normal appropriations structure. The operations were Operation Northern Watch which enforced the no-fly zone above the 36th parallel in Iraq, Operation Southern Watch which countered potential aggression by Iraq and continued enforcement of the no-fly zone below the 32nd parallel in southern Iraq, and Operation Desert Spring which continued Army ground operations including maintenance of forward deployed ground forces for the purpose of deterring Iraqi aggression and providing assistance to coalition partners. With the defeat of the Iraqi armed forces by coalition forces in Operation Iraqi Freedom, the requirement for these continuing Southwest Asia contingency activities ceased, and the Committee has reduced funding for operation and maintenance as follows.
| [In thousands of dollars] | |
| Army | $200,400 |
| Navy | 75,800 |
| Marine Corps | 500 |
| Air Force | 707,600 |
| Defense-Wide | 58,161 |
ACCESS TO EDUCATIONAL OPPORTUNITIES
The Committee is concerned with the apparent confusion and lack of standardization regarding service members access to senior service college level educational opportunities. The Committee supports maintaining rigorous standards, uniform across the branches of the armed forces, for the awarding of senior level academic credit. The Committee also supports clear definition of the requirements to achieve senior service college credit, and the various avenues available to achieve such credit, whether by resident attendance, corresponding studies or seminar, of a course offered by a service members branch, or a branch other than the service members. The challenge in achieving senior service college, or Joint Professional Military Education Level One credit is especially frustrating for members of the reserve components, who face difficult challenges in finding the time for resident course attendance. The Committee believes that the various alternatives for achieving senior college, or Joint Professional Military Education Level One, credit should be clearly established and widely promulgated to service members of the active and reserve components. The Committee directs the Secretary of Defense to provide a report to the congressional defense committees, not later than March 1, 2004, on the requirements for Joint Professional Military Education Level One, and the various alternatives for attaining that level of military education.
SPECIALIZED CODE OF CONDUCT TRAINING
The Committee recommends an additional $4,000,000 in Operation and Maintenance, Air Force only to meet unfunded requirements at the Joint Personnel Recovery Agency. In 1999, the Department of Defense transferred executive agency responsibilities for personnel recovery from the Air Force to the Commander, Joint Forces Command, including specialized code of conduct training. The Committee is unclear about the responsibilities associated with this decision, and directs the Secretary of Defense to provide to the Committees on Appropriations of the House of Representatives and the Senate a copy of the implementing guidance covering the Joint Forces Command's executive agent responsibilities for personnel recovery that satisfies DoD Directive 5100.88. Additionally, the Committee directs the Secretary of Defense to provide to the Committees on Appropriations of the House of Representatives and the Senate by January 1, 2004 a report on the authorities, tasks and funding channels for the Joint Forces Command as the Personnel Recovery Executive Agent. The report shall also include the specific requirement for JPRA provided specialized code of conduct training and Service Level B and C code of conduct training. The report should include the numbers and percentages of service personnel that have received such training, and the numbers and percentages of personnel that are awaiting training, the annual training deficit, and the plan to address any training shortfall. The Committee further directs that a separate Program Element be identified for JPRA resourcing in all future budget requests.
CIVILIAN PERSONNEL SYSTEM CHANGES
The Committee notes that the House-passed version of H.R. 1588, the fiscal year 2004 National Defense Authorization Act, includes a subtitle (Subtitle B, Title 11) creating a Department of Defense National Security Personnel System in accordance with the recommendations submitted to Congress by the Department of Defense. The Committee also notes that this proposed subsection would allow the Department to establish a new system for the compensation of civilian employees using measures of merit-based performance. The proposed system could alter the compensation of over 800,000 employees with total pay of over $47,500,000,000, potentially affecting a large percentage of all outlays in the operation and maintenance accounts. The General Accounting Office has presented testimony to Congress that the Department of Defense does not currently have adequate systems in place for measuring merit-base performance. The Committee directs the Secretary of Defense to submit a report to the congressional defense committees 60 days prior to the implementation of a new performance-based compensation system on the steps taken and the systems established to measure performance for the purposes of determining compensation.
GENERAL REDUCTION TO ADMINISTRATION AND SERVICEWIDE ACTIVITIES
The Committee has adjusted amounts requested in service operation and maintenance accounts for fiscal year 2004 to reflect improved efficiency in providing for administrative and service wide activities in the military departments. The Committee has reduced funding as follows.
| [In thousands of dollars] | |
| Army | $33,000 |
| Navy | 52,000 |
| Air Force | 45,000 |
BASE OPERATIONS SUPPORT
The Committee has adjusted amounts requested in certain operation and maintenance accounts for fiscal year 2004 to address efficiencies in providing base operations support services. The committee notes that overall spending for base operations declined significantly in all branches of the armed forces except the Air Force. Air Force spending in this area increased substantially. The Committee has reduced funding as follows.
| [In thousands of dollars] | |
| Air Force | $300,000 |
CIVILIAN PAY OVERSTATEMENT
The Committee has reduced the total amount available in Title II by $51,100,000 to correct for overstatement of requirements for civilian pay by the Army and Air Force. The Committee has reduced funding for overstated operation and maintenance civilian pay requirements as follows:
| [In thousands of dollars] | |
| Army | $19,700 |
| Air Force | 31,400 |
OPERATION AND MAINTENANCE BUDGET EXECUTION DATA
The Committee directs the Department of Defense to continue to provide the congressional defense committees with quarterly budget execution data. Such data should be provided not later than forty-five days past the close of each quarter for the fiscal year, and should be provided for each O-1 budget activity, activity group, and subactivity group for each of the active, defense-wide, reserve and National Guard components. For each O-1 budget activity, activity group, and subactivity group, these reports should include the budget request and actual obligations; the DoD distribution of unallocated congressional adjustments to the budget request; all adjustments made by DoD during the process of rebaselining the operation and maintenance accounts; all adjustments resulting from below threshold reprogrammings; and all adjustments resulting from prior approval reprogramming requests.
In addition, the Committee requires that the Department of Defense provide semiannual written notifications to the congressional defense committees, which summarize Operation and Maintenance budget execution, to include the effect of rebaselining procedures, other below threshold reprogrammings, and prior approval reprogrammings. The Committee further directs that the Department of Defense provide the House of Representatives and Senate Committees on Appropriations written notification 30 days prior to executing procedures to rebaseline Operation and Maintenance accounts.
OPERATION AND MAINTENANCE REPROGRAMMINGS
The Committee directs that proposed transfers of funds between O-1 budget activities in excess of $15,000,000 be subject to normal prior approval reprogramming procedures. Items for which funds have been specifically provided in any appropriation in the report using phrases `only for' and `only to' are Congressional interest items for the purpose of the Base for Reprogramming (DD Form 1414). Each of these items must be carried on the DD1414 at the stated amount, or revised amount if changed during conference or if otherwise specifically addressed in the conference report. In addition, due to continuing concerns about force readiness and the diversion of Operation and Maintenance funds, the Committee directs the Department of Defense to provide written notification to the congressional defense committees for the cumulative value of any and all transfers in excess of $15,000,000 from the following budget activities and subactivity group categories:
Operation and maintenance, Army
Operating Forces: Divisions, Corps combat forces, Corps support forces, Echelon above Corps support forces, Land forces operations support, Land forces systems readiness, and Land forces depot maintenance.
Operation and maintenance, Navy
Operating Forces: Mission and other flight operations, Fleet air training, Aircraft depot maintenance, Mission and other ship operations, Ship operational support and training, Ship maintenance.
Operation and maintenance, Marine Corps
Operating Forces: Operational forces, Depot maintenance.
Operation and maintenance, Air Force
Operating Forces: Primary combat forces, Primary combat weapons, Air operations training, Depot maintenance; Mobilization: Airlift operations, Depot maintenance, Payments to the transportation business area; Basic Skill and Advance Training: Depot maintenance; Logistics Operations: Depot maintenance.
Further, the Department should follow prior approval reprogramming procedures for transfers in excess of $15,000,000 out of the following budget subactivities:
Operation and maintenance, Army
Depot maintenance.
Operation and maintenance, Navy
Aircraft depot maintenance,
Ship maintenance.
Operation and maintenance, Marine Corps
Depot maintenance.
Operation and maintenance, Air Force
Air Operations, Depot maintenance,
Mobility Operations, Depot maintenance,
Basic Skills and Advanced Training, Depot maintenance; and Logistics Operations, Depot maintenance.
OPERATION AND MAINTENANCE, ARMY
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Fiscal year 2003 appropriation $23,992,082,000
Fiscal year 2004 budget request 24,958,842,000
Committee recommendation 24,903,992,000
Change from budget request -54,850,000
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The Committee recommends an appropriation of $24,903,992,000 for Operation and Maintenance, Army. The recommendation is an increase of $911,910,000 above the amount appropriated for fiscal year 2003.
PROGRAM RECOMMENDED
The total amount recommended in the bill will provide the following program in fiscal year 2004:
The adjustments to the budget activities for Operation and Maintenance, Army are shown below:
| [In thousands of dollars] | |
| Budget Activity 1: Operating Forces: | |
| 250 Modular Lightweight Load-Carrying Equipment (MOLLE) | 3,000 |
| 250 Hydration on the Move System Basic/Chemical/Biological | 2,000 |
| 250 Expandable Light Air Mobility Shelters | 6,000 |
| 250 Container System Modernization | 500 |
| 550 Enhance Urbanized Training at Fort Irwin and Support JNTC Initiatives | 3,500 |
| 750 Training and Support Facilities | 8,000 |
| Budget Activity 3: Training and Recruiting: | |
| 1650 ROTC Helicopter Flight Training Program | 1,500 |
| 1850 Gauntlet Training and Instrumentation Facility Upgrade, Fort Knox | 1,500 |
| 1850 Fort Knox University of Mounted Warfare Student/Classroom Automation Resources | 1,200 |
| 1850 U.S. Army Engineer School | 4,000 |
| 1850 Military Police MCTFT Joint Training | 1,000 |
| 1900 Air Battle Captain Program | |
| 2000 Defense Language Institute (DLI) LangNet Project | 1,500 |
| 2000 Military Distance Learning Demonstration | 1,600 |
| 2050 Fort Knox University of Mounted Warfare Campus Area Network Infrastructure | 2,500 |
| 2050 Repave Road to Ammo Facility at Fort Benning | 6,100 |
| 2350 Online Technology Training Pilot Program Fort Lewis | 2,000 |
| Budget Activity 4: Administration and Service wide Activities: | |
| 2800 Army Military Vehicle Batteries | 2,000 |
| 2800 Pulse Technology--Army Battery Management Program | 5,000 |
| 2800 TACOM Electronic Maintenance System | 1,000 |
| 2850 Integrated Digital Environments (IDE) Information Portal | 1,000 |
| 3050 Army Knowledge Online | 5,000 |
| 3050 Army Knowledge Online Labs in Korea | 500 |
| 3150 Service Member Benefits Analysis Online Pilot Program | 3,500 |
| 3350 Army Worker Safety Program Expansion | 6,000 |
| 3350 Feasibility Study for Homeland Defense and National Security Applications at Watervliet Arsenal | 450 |
| 3400 Army Chapel Renovation Matching Funds Program | 2,000 |
| Undistributed: | |
| 3710 Classified Programs | 177,000 |
| 3720 Memorial Events | 400 |
| 3970 Un-obligated Balance | -51,500 |
| 4090 Southwest Asia CONOPS Costs | -200,400 |
| 4100 Administration and Service wide Activities | -33,000 |
| 4110 Civilian Pay Overstatement | -19,700 |
INTEGRATED DIGITAL ENVIRONMENTS INFORMATION PORTAL
The Committee recommends an additional $500,000 in Operation and Maintenance, Army only for the Program Executive Officer (PEO) Ground Combat Systems at TACOM to expand the use of IDEs among weapon program managers and the Army's Research and Development command structure. The Committee also recommends an additional $500,000 in Operation and Maintenance, Army only for the Aviation Engineering Directorate at AMCOM to expand an IDE environment in order to streamline the airworthiness qualification and release process. The Secretary of the Army shall provide a report to the congressional defense committees no later than March 31, 2004, evaluating the effectiveness of IDEs as weapon program management tools and the advantages they may provide to weapon program stakeholders throughout the life cycle.
ARMY WORKER SAFETY PROGRAM EXPANSION
The Committee is pleased with the progress of the Army's safety initiative underway at Fort Bragg and at the Watervliet Arsenal, and encourages the Secretary of the Army to expand the initiative to other Army installations. The Committee therefore recommends an additional $6,000,000 in Operation and Maintenance, Army to enhance and expand the current safety initiative for U.S. Army civilian employees.
TRAINING AND SUPPORT FACILITIES
The Committee has provided an additional $8,000,000 in Operation and Maintenance, Army only for mission critical requirements at the National Training Center at Fort Irwin.
TACONY WAREHOUSE DEMOLITION
The Committee directs that of the funds made available in Operation and Maintenance, Army, $10,000,000 shall be made available only to demolish the Army's Tacony Warehouse depot site owned by Fort Dix in Philadelphia, Pennsylvania.
EXPANDABLE LIGHT AIR MOBILITY SHELTERS
The Committee recommends an increase of $6,000,000 in Operation and Maintenance, Army only to continue fielding of Expandable Light Air Mobility Shelters (ELAMS) to Army airborne units.
SERVICE MEMBER BENEFITS ANALYSIS SYSTEM ONLINE PILOT PROGRAM
The Committee is aware of the complex and potentially overwhelming mass of information regarding benefits available from the Department of Defense, Department of Veterans Affairs, and Social Security Administration, which service members must compile and analyze in order to make informed financial planning decisions. The need for comprehensive and understandable information is key when service members prepare for deployment and make reenlistment decisions, and at many other critical career decision points. Survivor assistance personnel require similar information to assist the families of deceased service members. The Committee recommends an additional $3,500,000 in Operation and Maintenance, Army only for a pilot program to provide service members with an online benefits analysis system. The Committee directs the Secretary of Defense to provide a report to the congressional defense committees not later than 15 April 2004 on the implementation and benefits of the system.
NTC MOUT TRAINING
The Committee recommends an additional $3,500,000 in Operation and Maintenance, Army only to enhance Military Operations on Urban Terrain (MOUT) training at the National Training Center (NTC) at Fort Irwin, and support Joint National Training Center initiatives.
MEMORIAL ACTIVITIES
The Committee recommends an additional $400,000 in Operation and Maintenance, Army above the budget request of $3,517,500 only to enhance Army support for memorial activities.
RECRUITING AND ADVERTISING
The Committee recommends the budget request for the Army's recruiting and advertising program and continues to support the Army's campaign to ensure it achieves its recruiting goals. The Committee directs that no less than $9,000,000 of the funds provided for Operation and Maintenance, Army be used to maintain existing production efforts directed toward certain audiences, including Hispanic recruits.
OPERATION AND MAINTENANCE, NAVY
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Fiscal year 2003 appropriation $29,331,526,000
Fiscal year 2004 budget request 28,287,690,000
Committee recommendation 28,060,240,000
Change from budget request -227,450,000
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The Committee recommends an appropriation of $28,060,240,000 for Operation and Maintenance, Navy. The recommendation is a decrease of $1,271,286,000 below the amount appropriated for fiscal year 2003.
PROGRAM RECOMMENDED
The total amount recommended in the bill will provide the following program in fiscal year 2004:
The adjustments to the budget activities for Operation and Maintenance, Navy are shown below:
| [In thousands of dollars] | |
| Budget Activity 1: Operating Forces: | |
| 4650 Navy Depot Production Processes Cycle Time Improvement | 1,000 |
| 4650 Simulation Modeling Analytical Support System (SMASS) | 2,000 |
| 4650 Computer Automatic Tester and Radar Communication Automatic Test Equipment (CAT&RAD COM) | 6,000 |
| 5050 Apprentice, Engineering Technician and CO-OP Program IMF Bangor | 1,500 |
| 5050 Apprentice, Engineering Technician and CO-OP Program NUWC Keyport | 2,000 |
| 5250 Collaborative Information Warfare Network SPAWAR Charleston | 5,000 |
| 5400 Warfare Tactics unjustified growth | -3,000 |
| 5500 Combat Support Forces unjustified growth | -30,000 |
| 5500 Hydration on the Move System Basic/Chemical/Biological | 2,000 |
| 5550 Manual Reverse Osmosis Desalinator (MROD) Testing, Repair and Replacement | 2,000 |
| 5950 Mark 45 Gun Mount Overhauls | 5,000 |
| 6210 Pier 3 Restoration at Puget Sound Naval Shipyard | 6,000 |
| 6220 Critical Asset Vulnerability Assessment, Navy Region NW | 2,000 |
| 6220 Northwest Environmental Resource Center | 7,000 |
| Budget Activity 2: Mobilization: | |
| 6350 Ship Prepositioning and Surge unjustified growth | -10,000 |
| 6350 Deployment/Mobilization Hub Study, New Orleans NAS/JRB | 300 |
| 6500 Ship Disposal Program | 1,000 |
| Budget Activity 3: Training and Recruiting: | |
| 7000 Joint Military Science Leadership Program | 7,500 |
| 7200 Specialized Skill Training unjustified growth | -10,000 |
| 7200 Blended Learning Initiative | 4,000 |
| 7200 Pier-Side Tactical and Simulation Training | 2,000 |
| 7350 Training Support unjustified growth | -15,000 |
| 7350 Prototype System for Embedded Training and Performance Supt--CNET | 300 |
| 7350 Naval Post Graduate Institute for Service to America | 5,000 |
| 7600 Continuing Education Distance Learning | 1,250 |
| 7700 Naval Sea Cadet Corps | 1,000 |
| Budget Activity 4: Administration and Service wide Activities: | |
| 8250 Mobile UHF DAMA Training Program | 2,000 |
| 8550 Planning, Engineering and Design | -11,000 |
| 8600 Space and Naval Warfare Info Tech Center (SITC) | 1,000 |
| 8650 Configuration Management Info System (CMIS) | 6,500 |
| 8700 Advanced Technical Information Support (ATIS) | 1,000 |
| 9230 Integrated Safety Management System Expansion | 4,000 |
| Undistributed: | |
| 9440 Un-obligated Balance | -99,000 |
| 9540 Southwest Asia CONOPS Costs | -75,800 |
| 9550 Administration and Service wide Activities | -52,000 |
CRITICAL ASSET VULNERABILITY ASSESSMENT, NAVY REGION NORTHWEST
The Committee recommends an additional $2,000,000 in Operation and Maintenance, Navy only to continue the Critical Asset Vulnerability Assessment program at Navy Region Northwest.
ADVANCED TECHNICAL INFORMATION SUPPORT
The Committee recommends an additional $1,000,000 in Operation and Maintenance, Navy only for the Advanced Technical Information System as an addition to funds already budgeted for technical publications.
AGM-119B PENGUIN MISSILE DIVESTMENT
The Committee is concerned by the decision to divest the AGM-119B Penguin missile from the Navy inventory. Divestment of the missile leaves the Navy without a helicopter-fired standoff anti-surface warfare weapon until the Joint Common Missile reaches the fleet, sometime after 2009. The slight savings realized from this divestment must be considered against the loss of capability and increased risk. The Committee directs that no further missiles are to be removed from the inventory or from the fleet until 30 days after an Analysis of Alternatives is completed by the Center for Naval Analysis and submitted to the Committees on Appropriations of the House of Representatives and the Senate. The study shall include consideration of three alternatives: continuing with divestment and relying on the AGM-114 Hellfire for the ASUW mission, reversing the decision and maintaining the AGM-119B in the current configuration until a replacement is fielded, and reversing the decision and upgrading the AGM-119B to an improved configuration. The following factors shall be considered: basic comparison of the Hellfire and the Penguin, including stand-off, ease of targeting, seeker effectiveness, destructive effects and littoral capabilities; current Navy requirements for stand-off anti-surface warfare; capabilities of surface combatants and Lamps Mk II SH-60B helicopters to meet the requirement against small enemy combatants with air defense capability; savings from divestment versus the loss of a single helicopter to air defense fire and the costs to recreate AGM-119B capabilities in a new missile.
PUGET SOUND NAVAL SHIPYARD PIER RESTORATION
The Committee has included an increase of $6,000,000 in Operation and Maintenance, Navy only for the renovation of Ship Repair Pier #3 at Puget Sound Naval Shipyard, including replacement of the pier fendering. The Committee notes that this amount is provided in addition to the funding included in the budget request for Sustainment, Restoration, and Modernization at Puget Sound Naval Shipyard, an amount which the Committee understands to be $29,700,000.
SPACE AND NAVAL WARFARE INFORMATION TECHNOLOGY CENTER (SITC)
The Committee has provided an additional $1,000,000 in Operation and Maintenance Navy, only for operational support at the SITC and $3,000,000 in Research, Development, Test and Evaluation, Navy only for the SITC to meet unfunded Chief of Naval Operations Manpower and Personnel migration programs to prepare the Navy for migration to the Defense Integrated Manpower Human resources System (DIMHRS) and to conduct enterprise level systems reengineering, web-enabling and portal integration efforts at the SITC.
COASTAL PATROL CRAFT
The Committee is pleased to note the close cooperation exhibited by the Navy and Coast Guard following the terrorist attacks of 2001, in making improvements in the coastal patrol mission for the United States. The Navy and Coast Guard leadership recognized that geographic areas of responsibility frequently overlap, and established a program of joint operating crews on some patrol craft. The Committee further notes that the Navy is preparing to transfer to the Coast Guard certain Cyclone class coastal patrol craft, that such craft are currently in use for various joint security patrol missions, and that funding for the operation and maintenance of the Cyclone class coastal patrol craft is included in the Navy budget request for fiscal year 2004. The Committee understands that beginning with the fiscal year 2005 budget request, funding for the operation and maintenance of the transferred patrol craft will be included in the Coast Guard budget.
MISSION FUNDING FOR SHIPYARDS
The Committee is pleased with the progress that the Navy is making with the transition from working capital funding to mission funding at Pearl Harbor Naval Shipyard and Puget Sound. Mission funding for shipyards provides increased flexibility to respond to emergent requirements, and improves the efficiency of the civilian and military workforce while maintaining strong performance accountability. The Committee is aware that for fiscal year 2004, the Navy will operate with two shipyards receiving mission funding, and two shipyards resourced through working capital funding, making for a potentially confusing situation in which to manage ship maintenance. The Committee recognizes the need to maintain detailed ship maintenance cost accounting but believes that the regional maintenance consolidation planning and single financial system under consideration will facilitate a more efficient tracking of ship maintenance costs. The Committee strongly encourages the Navy to plan and implement mission funding at the Norfolk, Virginia and Portsmouth, New Hampshire shipyards by the end of fiscal year 2005.
OPERATION AND MAINTENANCE, MARINE CORPS
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Fiscal year 2003 appropriation $3,585,759,000
Fiscal year 2004 budget request 3,406,656,000
Committee recommendation 3,440,456,000
Change from budget request +33,800,000
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The Committee recommends an appropriation of $3,440,456,000 for Operation and Maintenance, Marine Corps. The recommendation is a decrease of $145,303,000 below the amount appropriated for fiscal year 2003.
PROGRAM RECOMMENDED
The total amount recommended in the bill will provide the following program in fiscal year 2004:
The adjustments to the budget activities for Operation and Maintenance, Marine Corps are shown below:
| [In thousands of dollars] | |
| Budget Activity 1: Operating Forces: | |
| 10050 Modular General Purpose Tent System (MGPTS) | 3,000 |
| 10050 Hydration on the Move System Basic/Chemical/Biological | 2,000 |
| 10050 Marine Corps U.S. Made Bayonets | 5,000 |
| 10150 Depot Maintenance of Radar Systems | 5,000 |
| 10200 Training and Support Facilities | 11,000 |
| 10250 Adobe Road Twentynine Palms | 4,500 |
| Budget Activity 3: Training and Recruiting: | |
| 11000 Training Support unjustified growth | -3,000 |
| 11300 Marine Corps Junior ROTC Operating Costs | 500 |
| Budget Activity 4: Administration and Service wide Activities: | |
| 11800 USMC COOP | 8,000 |
| Undistributed: | |
| 12010 Un-obligated Balance | -5,700 |
| 12020 Anti-Corrosion Programs | 4,000 |
| 12040 Southwest Asia CONOPS Costs | -500 |
DEPOT MAINTENANCE-RADARS
The Committee is aware of the continuing backlog of executable but unfunded depot maintenance requirements for critical radar systems. The Committee recommends an additional $5,000,000 in Operation and Maintenance, Marine Corps only for depot level maintenance of radar systems.
MARINE CORPS JUNIOR ROTC UNITS
The Committee recommends an additional $500,000 in Operation and Maintenance, Marine Corps, only to increase the number of Marine Corps Junior Reserve Officer Training Corps (ROTC) units.
MARINE CORPS LOGISTICS SYSTEMS UPGRADES
The Committee directs that of the funds made available in Operation and Maintenance, Marine Corps $3,000,000 be used only for upgrades to the Marine Corps Logistics Systems.
MARINE CORPS TACTICAL SYSTEMS SUPPORT ACTIVITY (MCTSSA) COMBAT SERVICE SUPPORT ELEMENT
The Committee directs that of the funds made available in Operation and Maintenance, Marine Corps $3,000,000 be used only for Marine Corps Tactical Systems support Activity (MCTSSA) Combat Service Support Element.
TRAINING AND SUPPORT FACILITIES
The Committee recommends an additional $11,000,000 in Operation and Maintenance, Marine Corps only for mission critical requirements at the Marine Air-Ground Task Force Training Center, Twentynine Palms.
OPERATION AND MAINTENANCE, AIR FORCE
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Fiscal year 2003 appropriation $27,339,533,000
Fiscal year 2004 budget request 27,793,931,000
Committee recommendation 26,689,043,000
Change from budget request -1,104,888,000
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The Committee recommends an appropriation of $26,689,043,000 for Operation and Maintenance, Air Force. The recommendation is a decrease of $650,490,000 below the amount appropriated for fiscal year 2003.
PROGRAM RECOMMENDED
The total amount recommended in the bill will provide the following program in fiscal year 2004:
The adjustments to the budget activities for Operation and Maintenance, Air Force are shown below:
| [In thousands of dollars] | |
| Budget Activity 1: Operating Forces: | |
| 12600 Extended Cold Weather Clothing System | 1,000 |
| 12600 Hydration on the Move System Basic/Chemical/Biological | 2,000 |
| 12600 F-16 Distributed Mission Training: Night Vision Goggle Enhancement | 5,000 |
| 12750 Air Operations Training efficiencies in contract support | -17,000 |
| 12775 Aircraft Defect Detection and Performance Management Application | 250 |
| 12900 Super Typhoon Pongsona Recovery | 4,000 |
| 12900 Repair Airfield Pavement, Auxiliary Field, Columbus AFB | 3,500 |
| 12900 Sanitary Sewer System Repair, Phase 3 Columbus AFB | 1,000 |
| 12900 Replace Fire Alarm System Base wide, Columbus AFB | 612 |
| 13200 Management Support for Air Force Battle Labs | 5,000 |
| 13550 Other Space Operations--limit growth in management headquarters | -14,000 |
| Budget Activity 3: Training and Recruiting: | |
| 14700 Professional Development Education unjustified growth | -3,000 |
| 15100 Civilian Education and Training unjustified growth | -7,000 |
| Budget Activity 4: Administration and Service wide Activities: | |
| 15350 Logistics-Systems Management and Retrieval Technology (L-SMART) Information System | 5,000 |
| 15400 Air Force Operational Test and Evaluation Center (AFOTEC) IT Infrastructure and Training | 2,000 |
| 16100 William Lehman Aviation Center | 750 |
| 16250 Security Programs | -6,500 |
| Undistributed: | |
| 16600 Threat Representation and Validation (TR&V) | 1,500 |
| 16620 Information Assurance Initiative for Air Force Materiel Command | 1,500 |
| 16630 Un-obligated Balance | -13,500 |
| 16700 Southwest Asia CONOPS Costs | -707,600 |
| 16710 Administration and Service wide Activities | -45,000 |
| 16720 Base Operations Support | -300,000 |
| 16730 Civilian Pay Overstatement | -31,400 |
| 16740 Demonstration Projects for Contractors Employing Persons with Disabilities | 2,000 |
| 16750 Joint Personnel Recovery Agency | 4,000 |
| 16760 Feasibility Study of Biennial International Airshow | 1,000 |
OPERATION AND MAINTENANCE, DEFENSE-WIDE
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Fiscal year 2003 appropriation $14,707,506,000
Fiscal year 2004 budget request 16,570,847,000
Committee recommendation 16,124,455,000
Change from budget request -446,392,000
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The Committee recommends an appropriation of $16,124,455 for Operation and Maintenance, Defense-Wide. The recommendation is an increase of $1,416,949,000 from the amount appropriated in fiscal year 2003.
PROGRAM RECOMMENDED
The total amount recommended in the bill will provide the following program in fiscal year 2004:
The adjustments to the budget activities for Operation and Maintenance, Defense-Wide are shown below:
| [In thousands of dollars] | |
| Budget Activity 1: Operating Forces: | |
| 17050 TJS--Combating Terrorism Readiness Initiative Fund | -10,000 |
| 17100 SOCOM--Hydration on the Move System Basic/Chemical/Biological | +1,000 |
| 17100 SOCOM--Knowledge Superiority for Transitional Warfighter Project (continuation only) | +2,000 |
| Budget Activity 3: Training and Recruiting: | |
| 17460 DAU--Distance Learning and Performance | +3,000 |
| 17480 DHRA--Joint Advertising Market Research and Studies Program | +7,500 |
| Budget Activity 4: Administration and Servicewide Activities: | |
| 17775 Classified Programs | -138,152 |
| 17900 DISA--Southwest Asia CONOPS | -57,105 |
| 17925 DLA--Defense Policy Analysis Office | -15,700 |
| 17925 DLA--Theater Support Center Feasibility Study | +1,000 |
| 17975 DODEA--Jason Foundation | +800 |
| 17975 DODEA--I-Safe | +1,500 |
| 17975 DODEA--Lewis Center for Educational Research | +3,500 |
| 17975 DODEA--Family Advocacy Program | +26,600 |
| 17975 DODEA--Technology Training in Military Schools | +500 |
| 17975 DODEA--Professional Development Project for DODEA (only for improving instruction for students with Dyslexia) | +2,500 |
| 18025 DSCA--Counter Train and Equip | -200,000 |
| 18050 DSS--Program Justification | -12,500 |
| 18075 DTRA--Southwest Asia CONOPS | -1,056 |
| 18100 OEA--George AFB | +4,000 |
| 18100 OEA--Norton AFB | +4,000 |
| 18100 OEA--Bayonne Military Ocean Terminal | +6,000 |
| 18100 OEA--Cecil Field | +2,500 |
| 18100 OEA--Charles Melvin Price Support Center | +1,000 |
| 18100 OEA--CCAT | +9,000 |
| 18100 OEA--March Joint Powers Authority--Arnold Heights Reuse Project | +2,000 |
| 18100 OEA--Hunters Point Naval Shipyard | +3,000 |
| 18125 OSD--Public Affairs | -23,000 |
| 18125 OSD--Information Support to SO/LIC | -13,000 |
| 18125 OSD--Net Assessment | -11,000 |
| 18125 OSD--Office of Force Transformation | -1,200 |
| 18125 OSD--OSD Contract and Support | -25,000 |
| 18125 OSD--PA&E Long Range Planning | -2,579 |
| 18125 OSD--Base Information System | -10,000 |
| 18125 OSD--C4I Program Growth | -30,000 |
| 18125 OSD--AT&L Program Growth | -30,000 |
| 18125 OSD--Middle East Regional Security Program | +2,000 |
| 18125 OSD--Study on Internet and Wireless Technology | +3,000 |
| 18125 OSD--Arctic Military Environmental Cooperation Program | +5,000 |
| 18125 OSD--Command Information Superiority Architectures | +1,500 |
| 18125 OSD--Export Control Information to Foreign Countries | +2,000 |
| 18125 OSD--Young Patriots Program (National Flag Foundation to expand the Young Patriots Program to include a video which promotes the significance of National Patriotic Holidays) | +1,000 |
| 18200 TJS--NDU XXI | +3,000 |
| Undistributed: | |
| 19010 Impact Aid | +35,000 |
COUNTER TRAIN AND EQUIP PROGRAM
The budget request for the Defense Security and Cooperation Agency (DSCA) included $200,000,000 for a program that would allow the Department of Defense to provide time sensitive military support to cooperating nations that are assisting U.S. military operations in connection with the Global War on Terrorism. The assistance could include equipment, supplies, services, and funding and would require the concurrence of the Secretary of State. The Committee recommends a decrease of $200,000,000 in DSCA for this purpose. The Committee observes that neither the House or Senate authorized these funds in their respective fiscal year 2004 National Defense Authorization bills. The Committee believes that assistance of the type requested here should more appropriately be provided through the regular foreign assistance accounts. The Committee notes that, for emergent requirements to support cooperative activities with foreign nations in combating global terrorism, the Department has existing authorities that it can utilize, such as sections 2341 and 2342 of title 10, United States Code.
FAMILY ADVOCACY PROGRAM
Unfortunately, domestic violence occurs within all groups and levels of our society. Military life, however, presents families and support networks with particular challenges not normally found in `everyday' society. Indeed, the stress of military life and the challenges military families face are most prevalent during and following extended periods of combat, periods in these families lives characterized by continual fears of losing a loved one and the anxiety of separation. Concerned that the Department of Defense have sufficient funds to address the potential for increased domestic violence following the recent military operations in Afghanistan and Iraq, the Committee agrees to provide an additional $26,600,000 for the Department's Family Advocacy Program. These funds shall be used to enhance the victim advocate program, and provide additional family counseling and shelter services.
The Committee also is concerned about the lack of formal programs designed to re-engage our military personnel with society following wartime missions. A carefully constructed set of programs is needed to ensure the successful assimilation of military members back into family life following long periods of separation. Though the Committee remains concerned about the rash of domestic violence committed by U.S. Army personnel following Operation Enduring Freedom, it applauds the dedication of the service in its pursuit of implementing the Army Post Deployment Cycle Support Plan. The Committee strongly encourages the Army to implement this program across the service. The Committee directs the Secretary of the Army to provide a report to the Committees on Appropriations on the status of the Army's efforts to adopt the Post-Deployment program service-wide. This report should be submitted not later than November 15th of this calendar year. The Committee also encourages the other services to develop formal Post Deployment programs, and directs the Navy, Marine Corps, and Air Force to report on their efforts to the Committee by the date noted above.
GEORGE AFB
The Committee recommends an additional $4,000,000 in Operation and Maintenance, Defense-Wide only for ongoing water distribution and other infrastructure improvements at the former George AFB.
NORTON AFB
The Committee recommends an additional $4,000,000 in Operation and Maintenance, Defense-Wide only for ongoing hangar repair, electrical supply delivery, tower improvements and contaminated water supply treatment at the former Norton AFB.
LEWIS CENTER FOR EDUCATIONAL RESEARCH
The Committee has included an additional $3,500,000 in Operation and Maintenance, Defense-Wide for the Lewis Center for Educational Research for staffing, curriculum development, research, coordination and logistical support to enhance DoD teacher training.
COUNTRY STUDY SERIES
The Committee directs that of the amounts made available under the heading Operation and Maintenance, Defense-Wide, $2,500,000 shall be used only to extend the interagency agreement between the Librarian of Congress and the Department of Defense to produce a revised set of the Country Study Series for use by the Department of Defense and the general public, and to update this series on an ongoing basis.
CCAT
The Committee recommends an additional $9,000,000 in Operation and Maintenance, Defense-Wide only for technology and related economic/community adjustment activities to continue the establishment and implementation of the Connecticut Consortium for Aviation Technology.
BLACK AMERICANS IN DEFENSE OF OUR NATION
Of the amounts made available under the heading Operation and Maintenance, Defense-Wide, $250,000 shall be made available only to update the Department of Defense publication `Black Americans in Defense of Our Nation'.
OPERATION AND MAINTENANCE, ARMY RESERVE
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-----------------------------------------------
Fiscal year 2003 appropriation $1,970,180,000
Fiscal year 2004 budget request 1,952,009,000
Committee recommendation 2,031,309,000
Change from budget request +79,300,000
-----------------------------------------------
The Committee recommends an appropriation of $2,031,309,000 for Operation and maintenance, Army Reserve. The recommendation is an increase of $61,129,000 above the $1,907,180,000 appropriated for fiscal year 2003.
PROGRAM RECOMMENDED
The total amount recommended in the bill will provide the following program in fiscal year 2004:
The adjustments to the budget activities for Operation and maintenance, Army Reserve are shown below:
| [In thousands of dollars] | |
| Budget Activity 1: Operating Forces: | |
| 19680 Base Support/Unfunded Requirements | 93,800 |
| Other Adjustments: | |
| 20180 All Terrain Military Utility Vehicles | 4,500 |
| 20190 Military Technicians Cost Avoidance | -23,000 |
| 20200 Controlled Humidity Protection | 4,000 |
CONTROLLED HUMIDITY PROTECTION
The Committee recommends $4,000,000 above the budget request for the implementation of the Controlled Humidity Protection program for critical equipment storage. Of the funds provided, $3,000,000 is only for the U.S. Army Reserve 99th Regional Support Command.
OPERATION AND MAINTENANCE, NAVY RESERVE
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Fiscal year 2003 appropriation $1,236,809,000
Fiscal year 2004 budget request 1,171,921,000
Committee recommendation 1,171,921,000
Change from budget request
-----------------------------------------------
The Committee recommends an appropriation of $1,171,921,000 for Operation and maintenance, Navy Reserve. The recommendation is a decrease of $64,888,000 below the $1,236,809,000 appropriated for fiscal year 2003.
PROGRAM RECOMMENDED
The total amount recommended in the bill will provide the following program in fiscal year 2004:
OPERATION AND MAINTENANCE, MARINE CORPS RESERVE
---------------------------------------------
---------------------------------------------
Fiscal year 2003 appropriation $187,532,000
Fiscal year 2004 budget request 173,952,000
Committee recommendation 173,952,000
Change from budget request
---------------------------------------------
The Committee recommends an appropriation of $173,952,000 for Operation and maintenance, Marine Corps Reserve. The recommendation is a decrease of $13,580,000 below the $187,532,000 appropriated for fiscal year 2003.
PROGRAM RECOMMENDED
The total amount recommended in the bill will provide the following program in fiscal year 2004:
OPERATION AND MAINTENANCE, AIR FORCE RESERVE
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-----------------------------------------------
Fiscal year 2003 appropriation $2,163,104,000
Fiscal year 2004 budget request 2,179,188,000
Committee recommendation 2,144,188,000
Change from budget request -35,000,000
-----------------------------------------------
The Committee recommends an appropriation of $2,144,188,000 for Operation and maintenance, Air Force Reserve. The recommendation is a decrease of $18,916,000 below the $2,163,104,000 appropriated for fiscal year 2003.
PROGRAM RECOMMENDED
The total amount recommended in the bill will provide the following program in fiscal year 2004:
The adjustment to the budget activities for Operation and maintenance, Air Force Reserve is shown below:
| [In thousands of dollars] | |
| Other Adjustments: | |
| 25660 Military Technicians Cost Avoidance | -35,000 |
AERIAL SPRAY SYSTEM
The Committee recommends $1,000,000 from funds available for Operation and Maintenance, Air Force Reserve only for Aerial Spray System modifications for the Youngstown, Ohio Air Station.
OPERATION AND MAINTENANCE, ARMY NATIONAL GUARD
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-----------------------------------------------
Fiscal year 2003 appropriation $4,261,707,000
Fiscal year 2004 budget request 4,211,331,000
Committee recommendation 4,325,231,000
Change from budget request +113,900,000
-----------------------------------------------
The Committee recommends an appropriation of $4,325,231,000 for Operation and maintenance, Army National Guard. The recommendation is an increase of $63,524,000 above the $4,261,707,000 appropriated for fiscal year 2003.
PROGRAM RECOMMENDED
The total amount recommended in the bill will provide the following program in fiscal year 2004:
The adjustments to the budget activities for Operation and maintenance, Army National Guard are shown below:
| [In thousands of dollars] | |
| Budget Activity 1: Operating Forces: | |
| 26260 Land Forces Operations Support/Military Vehicle Tires | 1,500 |
| 26420 Base Operations Support/Unfunded Requirements | 70,300 |
| Other Adjustments: | |
| 26820 Angel Gate Academy | 4,000 |
| 26830 National Emergency and Disaster Information Center | 3,000 |
| 26890 Joint Training and Experimentation Program | 5,000 |
| 26940 Rural Access to Broadband Technology | 4,000 |
| 26970 National Guard Global Education Project | 500 |
| 27010 Information Assurance | 2,000 |
| 27057 Southeast Regional Terrorism Training | 6,800 |
| 27080 Sustain Military Technicians Growth | 16,000 |
| 27090 National Response Center WMD Facility | 3,000 |
| 27100 Advanced Emergency Medical Response Training Program | 3,000 |
| 27110 Homeland Operational Planning System | 4,000 |
| 27120 National Guard Multimedia Security Technology | 3,000 |
| 27130 Information Technology Leadership Program | 2,000 |
| 27140 Advanced Information Technology Services (AITS) | 7,000 |
| 27150 Expandable Light Air Mobility Shelters (ELAMS) | 1,500 |
| 27160 Gas Chromatograph-Mass Spectrometers | 300 |
| 27170 Domestic Emergency and Terrorist Response Information Center | 2,000 |
| 27180 Northeast Counter-Drug Training Center | 6,000 |
| 27190 Integrated Emergency Operations Center | 4,000 |
| 27200 Weapons of Mass Destruction Education and Training | 2,000 |
| 27310 Military Technician Cost Avoidance | -39,000 |
| 27320 Construction Transition Program | 2,000 |
JOINT TRAINING AND EXPERIMENTATION PROGRAM
The Committee recommends an increase of $5,000,000 above the budget request only for the Joint Training and Experimentation Program to expand the existing program with the California National Guard.
GAS CHROMATOGRAPH MASS SPECTROMETER
The Committee recommends an increase of $300,000 above the budget request only for the procurement of improved ruggedized portable gas chromatograph mass spectrometer for use with the Florida National Guard Civil Support Team.
ANGEL GATE ACADEMY
The Committee recommends an increase of $4,000,000 above the budget request for the Angel Gate Academy to continue, and expand statewide, the program with the California National Guard for at-risk youth.
OPERATION AND MAINTENANCE, AIR NATIONAL GUARD
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-----------------------------------------------
Fiscal year 2003 appropriation $4,117,585,000
Fiscal year 2004 budget request 4,402,646,000
Committee recommendation 4,424,046,000
Change from budget request +21,400,000
-----------------------------------------------
The Committee recommends an appropriation of $4,424,046,000 for Operation and maintenance, Air National Guard. The recommendation is an increase of $306,461,000 above the $4,117,585,000 appropriated for fiscal year 2003.
PROGRAM RECOMMENDED
The total amount recommended in the bill will provide the following program in fiscal year 2004:
The adjustments to the budget activities for Operation and maintenance, Air National Guard are shown below:
| [In thousands of dollars] | |
| Budget Activity 1: Operating Forces: | |
| 27700 Mission Support Operations/Surveying Systems | 1,500 |
| 27750 Base Support/Unfunded Requirements | 66,900 |
| 27800 Facilities Sustainment, Restoration and Modernization/Rickenbacker ANG Base | 2,000 |
| Other Adjustments: | |
| 28160 National Guard State Partnership Program | 1,000 |
| 28290 Military Technicians Cost Avoidance | -53,000 |
| 28310 IT Consolidation | 3,000 |
JEFFERSON PROVING GROUND
The Committee directs the Department of the Air Force to allow the Indiana Air National Guard the immediate use of the 50-acre laser bombing range located at Jefferson Proving Ground in southeastern Indiana.
OVERSEAS CONTINGENCY OPERATIONS TRANSFER FUND
--------------------------------------------
--------------------------------------------
Fiscal year 2003 appropriation $5,000,000
Fiscal year 2004 budget request 50,000,000
Committee recommendation 5,000,000
Change from budget request -45,000,000
--------------------------------------------
The Committee has fully funded the Administration's request for support of ongoing DoD operations in Bosnia and Kosovo. These operations are no longer contingency events, and such continuing operations have been funded in the regular appropriations accounts lines as requested by the Administration. As these operations are now accounted for in the budget development process, contingency funds are not needed and the Committee has reallocated $45,000,000 from the Overseas Contingency Operations Fund to more urgent priorities.
UNITED STATES COURT OF APPEALS FOR THE ARMED FORCES
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-------------------------------------------
Fiscal year 2003 appropriation $9,614,000
Fiscal year 2004 budget request 10,333,000
Committee recommendation 10,333,000
Change from budget request
-------------------------------------------
The Committee recommends an appropriation of $10,333,000 for the United States Court of Appeals for the Armed Forces. The recommendation is an increase of $719,000 from the amount appropriated in fiscal year 2003.
ENVIRONMENTAL RESTORATION, ARMY
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---------------------------------------------
Fiscal year 2003 appropriation $395,900,000
Fiscal year 2004 budget request 396,018,000
Committee recommendation 396,018,000
Change from budget request
---------------------------------------------
The Committee recommends an appropriation of $396,018,000 for Environmental Restoration, Army. The recommendation is an increase of $118,000 from the amount appropriated in fiscal year 2003.
ENVIRONMENTAL RESTORATION, NAVY
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Fiscal year 2003 appropriation $256,948,000
Fiscal year 2004 budget request 256,153,000
Committee recommendation 256,153,000
Change from budget request
---------------------------------------------
The Committee recommends an appropriation of $256,153,000 for Environmental Restoration, Navy. The recommendation is a decrease of $795,000 from the amount appropriated in fiscal year 2003.
ISLAND OF VIEQUES
The Committee expects the Navy to provide sufficient levels of funding to meet the Navy's commitment to undertake environmental remediation on the island of Vieques.
ENVIRONMENTAL RESTORATION, AIR FORCE
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Fiscal year 2003 appropriation $389,773,000
Fiscal year 2004 budget request 384,307,000
Committee recommendation 384,307,000
Change from budget request
---------------------------------------------
The Committee recommends an appropriation of $384,307,000 for Environmental Restoration, Air Force. The recommendation is a decrease of $5,466,000 from the amount appropriated in fiscal year 2003.
ENVIRONMENTAL RESTORATION, DEFENSE-WIDE
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Fiscal year 2003 appropriation $23,498,000
Fiscal year 2004 budget request 24,081,000
Committee recommendation 24,081,000
Change from budget request
--------------------------------------------
The Committee recommends an appropriation of $24,081,000 for Environmental Restoration, Defense-Wide. The recommendation is an increase of $583,000 from the amount appropriated in fiscal year 2003.
ENVIRONMENTAL RESTORATION, FORMERLY USED DEFENSE SITES
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---------------------------------------------
Fiscal year 2003 appropriation $246,102,000
Fiscal year 2004 budget request 212,619,000
Committee recommendation 221,369,000
Change from budget request +8,750,000
---------------------------------------------
The adjustments to the budget for Environmental Restoration, Formerly Used Defense Sites are shown below:
| [In thousands of dollars] | |
| 29150 Environmental Study of Former NIKE Missile Site | $250 |
| 29150 David's Island Fort Slocum Remediation | 2,500 |
| 29150 Fibers Clean-up Front Royal | 6,000 |
PERCHLORATE GROUNDWATER CONTAMINATION STUDY
Perchlorate is a salt, commonly used in a host of commercial and military applications ranging from rocket fuels and fireworks to automobile airbags. High levels of perchlorate are known to interfere with thyroid gland and mental acuity functions and with the human body's ability to produce growth and fetal development hormones. Though much is known about perchlorate, the specific long term effects and the specific dosage levels at which perchlorate becomes hazardous are still being debated in the environmental, scientific and medical communities. In Southern California, growing groundwater perchlorate contamination is widely attributed to Department of Defense activities and the commercial fuels and explosives industry, though the specific causes of contamination have yet to be rigorously established; the Department has refused to acknowledge a causal relationship until an extensive study is completed. The Committee is aware of the controversy surrounding the evaluation of perchlorate contamination of groundwater in Southern California and other areas across the country. The Committee directs the Department to conduct a joint study with the Environmental Protection Agency of perchlorate groundwater contamination, to be completed within 180 days of the enactment of this Bill. This report will examine in detail perchlorate groundwater pollution in and around the Colorado River, San Bernardino County, the Cochella Valley, Santa Clara River and the Imperial Valley that threatens drinking and irrigation water supplies in Southern California, Arizona and Nevada. This report will assess the breadth and scope of contamination and make preliminary recommendations that will, at a minimum, include:
- 1. Recommendations for the establishment of a national standard for acceptable levels of perchlorate groundwater contamination;
- 2. Determination of the military/defense industry sources that have contributed to perchlorate contamination; and
- 3. Outline appropriate steps to be taken to mitigate or clean up those areas that are deemed to be the government's responsibility.
OVERSEAS HUMANITARIAN, DISASTER, AND CIVIC AID
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Fiscal year 2003 appropriation $58,400,000
Fiscal year 2004 budget request 59,000,000
Committee recommendation 59,000,000
Change from budget request
--------------------------------------------
The Committee recommends an appropriation of $59,000,000 for Overseas Humanitarian, Disaster, and Civic Aid. The recommendation is an increase of $600,000 from the amount appropriated in fiscal year 2003.
FORMER SOVIET UNION THREAT REDUCTION
---------------------------------------------
---------------------------------------------
Fiscal year 2003 appropriation $416,700,000
Fiscal year 2004 budget request 450,800,000
Committee recommendation 450,800,000
Change from budget request
---------------------------------------------
This appropriation funds the Former Soviet Union Threat Reduction activities of the Department of Defense. The recommendation is the same as the budget request and an increase of $34,100,000 above the amount appropriated in fiscal year 2003.
The Committee directs that $39,400,000 requested for the second year of the new Proliferation Prevention Initiative (PPI) be redirected for the elimination of strategic nuclear delivery systems in Russia and Ukraine. The PPI was first funded in fiscal year 2003, but the provision of border control assistance is not a core function of the Cooperative Threat Reduction (CTR) program. The elimination of strategic nuclear arms is one of the highest priorities of the CTR program, and the Committee recommendation would reverse a decline in funding for that activity in recent years. In addition, a portion of the redirected funds is to be made available for the establishment of on-site management offices to provide oversight for major CTR projects in the former Soviet Union.
SUPPORT FOR INTERNATIONAL SPORTING COMPETITIONS, DEFENSE
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Fiscal year 2003 appropriation $19,000,000
Fiscal year 2004 budget request
Committee recommendation
Change from budget request
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This appropriation funds the Support for International Sporting Competitions, Defense for logistical and security support for international sporting competitions (including pay and non-travel related allowances only for members of the Reserve Components of the Armed Forces called or ordered to active duty in connection with providing such support). These funds remain available until expended, in order to provide support for future events.
TITLE III
PROCUREMENT
ESTIMATES AND APPROPRIATIONS SUMMARY
For programs funded in Title III of the Committee bill, the fiscal year 2004 Department of Defense procurement budget request totals $72,721,026,000. The accompanying bill recommends $73,748,521,000. The total amount recommended is an increase of $1,027,495,000 above the fiscal year 2004 budget estimate and is $2,230,304,000 above the total provided in fiscal year 2003. The table below summarizes the budget estimates and the Committee's recommendations.
SPECIAL INTEREST ITEMS
Items for which additional funds have been provided as shown in the project level tables or in paragraphs using the phrase `only for' or `only to' in this report are congressional interest items for the purpose of the Base for Reprogramming (DD 1414). Each of these items must be carried on the DD Form 1414 at the stated amount, or a revised amount if changed during conference or if otherwise specifically addressed in the conference report. These items remain special interest items whether or not they are repeated in a subsequent conference report.
CLASSIFIED ANNEX
Adjustments to classified programs are addressed in a classified annex accompanying this report.
LEAD SYSTEMS INTEGRATOR
Lead system integrator (LSI) contracting is intended to introduce streamlined commercial approaches and knowledge-based practices to defense acquisition. In light of the emerging practice by the DoD to use lead systems integrators to set requirements, evaluate proposals (where access to sensitive and proprietary information can be compromised), and determine which systems will be incorporated into future weapon systems, the Committee instructs the Under Secretary of Defense for Acquisition, Logistics & Technology to provide a report within 120-days of enactment of the fiscal year 2004 Defense Appropriations Bill on the steps DoD has taken to ensure that LSI contracting mechanisms maintain adequate safeguards. The report should include a thorough review of how the Department intends to assure that adequate firewalls exist between the parent company and the LSI entity on active contracts.
AIRCRAFT PROCUREMENT, ARMY
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Fiscal year 2003 appropriation $2,285,574,000
Fiscal year 2004 budget request 2,128,485,000
Committee recommendation 2,180,785,000
Change from budget request +52,300,000
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This appropriation finances acquisition of tactical and utility airplanes and helicopters, including associated electronics, electronic warfare equipment for in-service aircraft, ground support equipment, components and parts such as spare engines, transmission gear boxes, and sensor equipment. It also funds related training devices such as combat flight simulators and production base support.
COMMITTEE RECOMMENDATIONS
EXPLANATION OF PROJECT LEVEL CHANGES
[In thousands of dollars]
UH-60M BLACKHAWK UPGRADE
The fiscal year 2004 budget justification materials indicate that the current budget estimate and Future Years Defense Program (FYDP) do not adequately support the UH-60M upgrade program. Specifically, the Army proposes that $100,000,000 of the $113,500,000 requested for this program be transferred to Research, Development, Test and Evaluation, Army, and the residual $13,500,000 should remain in Aircraft Procurement, Army to purchase long lead items for this program. The Committee supports the UH-60M program and accordingly, recommends transferring $73,000,000 to Research, Development, Test and Evaluation, Army, and retaining $13,500,000 in Aircraft Procurement, Army. The Committee notes that a significant amount of risk has been built into the Army figures supporting this proposal. As a result, it is not clear how much funding is required for transfer in order to support additional development, and to keep this program on schedule. If the Army determines that an amount greater than $73,000,000, as recommended by the Committee is required to maintain this program's schedule, the Committee is willing to consider a reprogramming of the required resources.
CH-47 CHINOOK
The Committee is disappointed that the Department of Defense, and the Army in particular, has chosen not to pursue more realistic production rates and program totals for the CH-47F Chinook upgrade program that meet Army and Special Operations Command requirements at efficient rates of production. Accordingly, the Committee recommends a rescission of $39,100,000 of funds made available in the fiscal year 2003 Defense Appropriations Act which were made available to accelerate this program.
AH-64 APACHE
The Committee notes that the October 2002 Acquisition Decision Memorandum (ADM) on the Comanche program directed the Army to analyze extending the life of the Apache helicopter for the heavy attack mission, and to provide a plan to support this analysis by November of 2002. The scope of this analysis and its effect on the fiscal year 2004 budget request and the outyears is not altogether clear. Accordingly, the Committee directs the Secretary of the Army to submit a report to the congressional defense committees, not later than October 31, 2003, providing the results of this analysis and how these results have been incorporated into the budget and upcoming update to the Future Years Defense Program (FYDP).
The Committee is additionally concerned about the unusually high number of mishaps sustained by Apache aircraft in Operation Iraqi Freedom. The high incident rate may have resulted from the extensive number of security support and non-traditional missions flown by aircraft, as well as adverse weather conditions. As such, the Army is directed to provide the congressional defense committees a report, no later than January 30, 2004, that enumerates and describes the Apache aircraft mishaps, the cause and to the extent known, the follow-up actions the Army is considering to address any systemic problems.
PROGRAM RECOMMENDED
The total program recommended in the bill will provide the following in fiscal year 2004.
MISSILE PROCUREMENT, ARMY
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Fiscal year 2003 appropriation $1,096,548,000
Fiscal year 2004 budget request 1,459,462,000
Committee recommendation 1,533,462,000
Change from budget request +74,000,000
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This appropriation finances the acquisition of surface-to-air, surface-to-surface, and anti-tank/assault missile systems. Also included are major components, modifications, targets, test equipment and production base support.
COMMITTEE RECOMMENDATIONS
EXPLANATION OF PROJECT LEVEL CHANGES
[In thousands of Dollars]
PROGRAM RECOMMENDED
The total program recommended in the bill will provide the following in fiscal year 2004.
PROCUREMENT OF WEAPONS AND TRACKED COMBAT VEHICLES, ARMY
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-----------------------------------------------
Fiscal year 2003 appropriation $2,266,508,000
Fiscal year 2004 budget request 1,640,704,000
Committee recommendation 1,956,504,000
Change from budget request +315,800,000
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This appropriation finances the acquisition of tanks; personnel and cargo carriers; fighting vehicles; tracked recovery vehicles; self-propelled and towed howitzers; machine guns; mortars; modification of in-service equipment, initial spares; and production base support.
COMMITTEE RECOMMENDATIONS
EXPLANATION OF PROJECT LEVEL CHANGES
[In thousands of Dollars]
3RD ARMORED CAVALRY REGIMENT
The fiscal year 2004 budget request proposed terminating the Bradley Fighting Vehicle A3 upgrade and the M1A2 Abrams System Enhancement Program (SEP). However, the need to maintain the capability of the Army's Counterattack Corps, illustrated by the effectiveness of heavy mechanized forces in Operation Iraqi Freedom, has given rise to reconsideration of these proposals. In addition, the Army recognizes the need to maintain an industrial base to produce the Future Combat System (FCS) beginning in fiscal year 2006 and beyond.
Accordingly, the Committee recommends a net increase of $317,800,000 above the budget request, outlined below, to support the recapitalization and acquisition of the equipment necessary to outfit the 3rd Armored Cavalry Regiment (ACR). The Committee understands that by outfitting the 3rd ACR, the Army will have fully equipped the 2 1/3 divisions of the Counterattack Corps with the most up-to-date versions of the Abrams tank and Bradley fighting vehicle. With respect to the amounts included in this bill, the Committee recognizes that this funding provides for much, but not all of the Army's requirements. As a result, the Committee directs the Department of Defense to program and budget for equipment needed to complete the fielding of upgraded Abrams tanks and any other required support equipment in the fiscal year 2005 budget request and associated Future Years Defense Program (FYDP).
Amounts included in the bill for this effort, and offsets from lower priority programs include:
| Increases: | (Quantity/$000) |
| 3rd ACR Bradley Fighting Vehicle (ODS+) | 144/$258,800 |
| 3rd ACR M1A2 Abrams (SEP) | 43/155,000 |
| HEMTTS (Counterattack Corps requirements) | 11,900 |
| EPLRS Radios (Counterattack Corps requirements) | 3,500 |
| ASAS (Counterattack Corps requirements) | 700 |
| Tactical Operations Center (Counterattack Corps requirements) | 23,900 |
| Maneuver Control System (Counterattack Corps requirements) | 4,000 |
| Total Increases | 457,800 |
| Offsets: | |
| LV-100 Engine | -108,000 |
| Abrams Upgrade Program, System Technical Support | -32,000 |
| Total Offsets | -140,000 |
STRYKER BRIGADE COMBAT TEAM
In order to enhance the Army's transformation initiatives, the Committee provides an additional $35,000,000 to ensure planned fielding of the fifth and sixth Stryker Brigade Combat Teams (SBCT). The Committee directs that the funding be made available to the Army's Program Executive Officer for Ground Combat Systems specifically for the advanced procurement of infantry carrier, commander's unit or mobile gun system Stryker variants to initiate procurement of the fifth SBCT, 2/25 Infantry Division and sixth SBCT, 56th Army National Guard Brigade. The Departments of Defense and Army shall ensure that future budgetary and programmatic plans provide for fielding no fewer than six SBCTs by 2008.
PROGRAM RECOMMENDED
The total program recommended in the bill will provide the following in fiscal year 2004.
PROCUREMENT OF AMMUNITION, ARMY
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Fiscal year 2003 appropriation $1,253,099,000
Fiscal year 2004 budget request 1,309,966,000
Committee recommendation 1,355,466,000
Change from budget request +45,500,000
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This appropriation finances the acquisition of ammunition, modification of in-service stock, and related production base support including the maintenance, expansion, and modernization of industrial facilities and equipment.
COMMITTEE RECOMMENDATIONS
EXPLANATION OF PROJECT LEVEL CHANGES
[In thousands of Dollars]
STEEL CASE MEDIUM CALIBER ROUNDS
The Committee notes that the only current steel medium caliber cartridge case produced in the United States is in the 25mm family of ammunition. Recent projections indicate that the 25mm rounds produced will be significantly reduced over the current levels in the coming years. The Committee understands that these reductions will not sustain the domestic steel cartridge case production base.
Given that steel cartridge cases are generally preferred for crew-served weapons, the Committee believes it is critical to maintain a steel cartridge case production capability for medium caliber ammunition. The Department of Defense is strongly encouraged to allocate funds to keep the base `warm' and retain this capability for future requirements.
PROGRAM RECOMMENDED
The total program recommended in the bill will provide the following in fiscal year 2004.
OTHER PROCUREMENT, ARMY
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-----------------------------------------------
Fiscal year 2003 appropriation $5,874,674,000
Fiscal year 2004 budget request 4,216,854,000
Committee recommendation 4,547,596,000
Change from budget request +330,742,000
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This appropriation finances the acquisition of: (a) tactical and commercial vehicles, including trucks, semi-trailers, and trailers of all types to provide mobility and utility support to field forces and the worldwide logistical systems; (b) communications and electronics equipment of all types to provide fixed, semi-fixed, and mobile strategic and tactical communication equipment; (c) other support equipment, generators and power units, material handling equipment, medical support equipment, special equipment for user testing, and non-system training devices. In each of these activities, funds are also included for the modification of in-service equipment, investment spares and repair parts, and production base support.
COMMITTEE RECOMMENDATIONS
EXPLANATION OF PROJECT LEVEL CHANGES
[In thousands of dollars]
LAND WARRIOR
The fiscal year 2004 budget request proposed $94,827,000 to acquire 2,425 Land Warrior units in order to provide an initial capability for the Army Rangers and for one Stryker Brigade Combat Team. In February of this year, the program failed to pass developmental testing, and as a result the Committee is aware that the Army is restructuring the program. Part of the program restructure is a recommendation by the Army to realign funding from Other Procurement, Army to Research, Development, Test and Evaluation, Army. While the Committee has serious concerns about this program in part because of design instability, and in part because of the program's troubled history, the Committee nevertheless directs the transfer of $58,500,000 from Other Procurement, Army to Research, Development, Test and Evaluation, Army. In addition, the Committee directs the Secretary of the Army to provide a report to the congressional defense committees not later than January 31, 2004, indicating the objectives and key performance parameters (KPPs) for Land Warrior; an assessment of how the objectives and KPPs have been revised under the restructured program; how the estimated costs of Land Warrior will change under the revised program; and, the revised development and fielding schedule for this program compared to the previous acquisition program baseline.
PROGRAM RECOMMENDED
The total program recommended in the bill will provide the following in fiscal year 2004.
AIRCRAFT PROCUREMENT, NAVY
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-----------------------------------------------
Fiscal year 2003 appropriation $8,812,855,000
Fiscal year 2004 budget request 8,788,148,000
Committee recommendation 9,030,148,000
Change from budget request +242,000,000
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This appropriation provides funds for the procurement of aircraft and related support equipment and programs, flight simulators, equipment to modify in-service aircraft to extend their service life, eliminate safety hazards and improve aircraft operational effectiveness, and spare parts and ground support equipment for all end items procured by this appropriation.
COMMITTEE RECOMMENDATION
The Committee recommends an appropriation of $9,030,148,000 for Aircraft Procurement, Navy. The following report and project level tables provide a summary of the Committee's recommendation.
EXPLANATION OF PROJECT LEVEL CHANGES
[In thousands of dollars]
EP-3 COLLECTION MISSION
The Committee is aware that the Navy has under review a number of options for accomplishing the EP-3 collection mission. Due to extreme life-cycle costs of the aging EP-3 fleet, the Committee believes the Navy can waste no time in developing its `way ahead' for accomplishing the SIGINT collection mission and encourages the Navy to quickly finalize its plan.
USMC CH-46 SUSTAINABILITY
Of the amounts provided under this heading, the Committee recommends $2,500,000 to provide lightweight armor for the CH-46. Replacing the existing steel armor with kevlar armor will reduce the weight of the CH-46 by almost 400 pounds, enabling the aircraft to carry two additional combat loaded troops without degrading protection.
The Committee is concerned with the decreased operational capability of the CH-46. Under certain circumstances this aircraft can carry only 8 combat loaded troops versus the requirement of 24. Furthermore, because of this degraded capability, the Marines Corps must place great reliance on the CH-53 for troop lift instead of the CH-46.
The Committee has long been supportive of the V-22, the scheduled replacement for the CH-46, and is encouraged that the aircraft recently succeeded in passing a critical review milestone. Because of the delays in fielding the V-22, however, very little has been invested in maintaining the operational capability of the CH-46 (the aircraft is scheduled to remain in service until 2021). The Committee therefore directs the Marine Corps to provide a report to the Committees on Appropriations not later than 30 days after the House of Representatives passes its version of the fiscal year 2004 Defense Appropriations Bill on its plans to improve the operational capability and sustainability of the CH-46.
PROGRAM RECOMMENDED
The total program recommended in this bill will provide the following in fiscal year 2004:
WEAPONS PROCUREMENT, NAVY
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Fiscal year 2003 appropriation $1,868,517,000
Fiscal year 2004 budget request 1,991,821,000
Committee recommendation 2,205,634,000
Change from budget request +213,813,000
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This appropriation provides funds for the procurement of strategic and tactical missiles, target drones, torpedoes, guns, associated support equipment, and modification of in-service missiles, torpedoes, and guns.
COMMITTEE RECOMMENDATION
The Committee recommends an appropriation of $2,205,634,000 for Weapons Procurement, Navy. The following report and project level tables provide a summary of the Committee's recommendation.
EXPLANATION OF PROJECT LEVEL CHANGES
[In thousands of dollars]
PHALANX CLOSE-IN-WEAPONS SYSTEM (CIWS)
The Committee understands that one of the top management issues for the Phalanx Close-In-Weapons System (CIWS) program is the potential loss of the Phalanx radar band due to commercial applications of this frequency. The Committee does not desire to lose the effectiveness of this weapon and requests the senior leadership of the Navy ensure protection of the Phalanx frequency band.
TACTICAL TOMAHAWK
The Committee recommends $485,588,000 for the Navy's Tactical Tomahawk program, an increase of $208,000,000 to the fiscal year 2004 request. It is the Committee's intent that $183,000,000 of the increase be used to ramp up production of missiles to the highest rate possible, understanding that with this increase the Navy may only achieve an annual production rate of 450 missiles, up from its requested annual rate of 267 missiles. The remainder of the increase, $25,000,000, is for tooling and testing equipment needed to increase and maintain this higher production rate.
In fiscal year 2005 the Navy should strive to achieve the highest annual production rate possible, with the goal of maintaining the 450 annual rate recommended by the Committee. This will no doubt require the Navy to adjust its fiscal year 2005 investment strategy because the current fiscal year 2005 plan is an annual production rate of 218 missiles. The Committee does not think it prudent to negate this 2004 recommended production rate with a large drop in future production rates and strongly recommends the Navy adjust its 2005 plan accordingly.
PROGRAM RECOMMENDED
The total program recommended in this bill will provide the following in fiscal year 2004:
PROCUREMENT OF AMMUNITION, NAVY AND MARINE CORPS
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Fiscal year 2003 appropriation $1,165,730,000
Fiscal year 2004 budget request 922,355,000
Committee recommendation 941,855,000
Change from budget request +19,500,000
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This appropriation finances the acquisition of ammunition, ammunition modernization, and ammunition related material for the Navy and Marine Corps.
COMMITTEE RECOMMENDATION
The Committee recommends an appropriation of $941,855,000 for Procurement of Ammunition, Navy and Marine Corps. The following report and project level tables provide a summary of the Committee's recommendation.
EXPLANATION OF PROJECT LEVEL CHANGES
[In thousands of dollars]
PROGRAM RECOMMENDED
The total program recommended in this bill will provide the following in fiscal year 2004:
SHIPBUILDING AND CONVERSION, NAVY
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-----------------------------------------------
Fiscal year 2003 appropriation $9,032,837,000
Fiscal year 2004 budget request 11,438,984,000
Committee recommendation 11,453,098,000
Change from budget request +14,114,000
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This appropriation provides funds for the construction of new ships and the purchase and conversion of existing ships, including hull, mechanical and electrical equipment, electronics, guns, torpedo and missile launching systems, and communication systems.
COMMITTEE RECOMMENDATION
The Committee recommends an appropriation of $11,453,098,000 for Shipbuilding and Conversion, Navy. The following report and project level tables provide a summary of the Committee's recommendation.
EXPLANATION OF PROJECT LEVEL CHANGES
[In thousands of dollars]
VIRGINIA CLASS SUBMARINE
The Committee approves and supports the requirement to achieve and maintain the national security objective of un-denied presence throughout the world. The Navy through its SEAPOWER 21 strategy is a key component of this national security objective, with its ability to maintain an overwhelming and persistent command of the sea and project forces to virtually any desired location.
A critical component to this mission is the submarine platform with its inherent qualities of stealth and persistence to provide undetected, continual vigilance and lethality. However, given the cost of each submarine, with the current unit cost estimate of the Virginia class submarine hovering at $2.6 billion, the Congress must carefully weigh the best mix of these assets, as well as other assets available to the national command authority, in its effort to provide the force necessary to achieve this national security objective.
The Committee has reviewed the fiscal year 2004 request for authority to enter into a multi-year procurement contract for seven submarines through fiscal year 2008. The Committee has not provided the authority as requested deeming it premature at this time. The Committee's recommendation eliminates the $390,000,000 requested for economic order quantity and has reinstated the $115,000,000 in anticipated savings based on the multi-year procurement authority request.
The Committee's recommendation is based on the current status of the initial submarine SSN 774, which has not yet been delivered to the Navy and as scheduled will not be delivered until late 2004 and will not complete post shakedown availability until late 2005. The Committee is also concerned that the estimated cost savings anticipated with the multi-year acquisition strategy appear insufficient given the size of this program.
The Committee is concerned that the current Virginia class acquisition plan that anticipates the construction of two submarines in fiscal year 2007 and another two submarines in fiscal year 2008, places at risk the Navy's overall investment strategy. The incorporation of nearly $10,000,000,000 in budgetary resources for 2007 and 2008 for the procurement of four platforms could potentially force the Navy to abandon the acquisition of other required systems. Therefore, the Committee has not approved the request of $129,886,000 in advance procurement for the fiscal year 2008 submarines.
SUBMARINE REFUELING OVERHAULS
The Committee recommends a reduction of $41,000,000 to the $164,400,000 requested in fiscal year 2004 for advance procurement for submarine overhauls scheduled in 2005 and 2006. Due to Operation Enduring Freedom and Operation Iraqi Freedom, the submarine overhaul schedule has experienced turmoil and it is likely that the overhauls scheduled in late 2005 will move to the fiscal year 2006 schedule. The Committee takes this reduction without prejudice based on its estimate that financial requirements for advanced procurement for fiscal year 2005 submarine refueling overhauls will be reduced.
LHD-1 CLASS AMPHIBIOUS ASSAULT SHIP
The Committee understands that recent cost estimates place the total cost of the LHD-1 Class Amphibious Assault Ship at $2,100,000,000, approximately $100,000,000 over the currently funded program. The fiscal year 2004 request includes an increase over 2003 of $58,700,000 to restore items previously de-scoped from the work package and change orders. The Committee believes that this increase instead should be applied to the unfunded program costs and recommends eliminating the increase for work packages and placing the funds instead toward the higher priority of program cost growth.
LPD-17 CLASS
The Committee recommends an increase of $175,000,000 for the LPD-17 Class which is only for the advance procurement of materials equipment and components for the LPD-23. The Committee's recommendation is based on the Navy's determination to move the scheduled construction of this ship from fiscal year 2005 to fiscal year 2006. The Committee anticipates that based on its recommendation, the Navy will ensure the fiscal year 2005 budget request that includes full funding to re-instate this ship to its previous construction schedule.
SHIP CONSTRUCTION AND OVERHAUL CONTRACTS
The Committee is very concerned about the ever-increasing cost of the Navy's shipbuilding program. Prior year shipbuilding costs, which Congress was assured would virtually disappear with increased funding provided in fiscal year 2003 have returned, claiming over $600 million in Navy obligational authority in 2004. In addition to requesting an appropriation for these prior year costs, the Navy is strapped with numerous reprogramming requirements to fund shortfalls in ongoing overhauls.
The Committee believes that much of this is driven by the lack of incentive on the part of both the Navy and the shipyards to meet cost and schedule requirements. Therefore, the Committee directs the Navy to review the process it uses to negotiate ship construction and overhaul contracts to more clearly align incentive payments to schedule and performance.
SHIPBUILDING AND CONVERSION, NAVY APPROPRIATION
The Committee has altered the presentation of the fiscal year 2004 requested Shipbuilding and Conversion, Navy (SCN) appropriation language by merging the appropriation for full funding with the appropriation for advanced procurement. The Committee's intention is to provide a certain level of financial flexibility to better accommodate changes based on cost growth. This recommendation, if properly implemented by the Navy, should allow for managing costs within the program thereby limiting the necessity of reprogramming funds from other high priority programs to accommodate cost growth in a ship class. The Committee reserves the right to revert to the previous method of appropriating funds for SCN should the Navy not properly manage the merging of these appropriations.
The following table represents the Committee's understanding of the allocation of these appropriations between full funding and advanced procurement:
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P-1 Shipbuilding and conversion, Navy Advance procurement Full funding Appropriation
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1/2 Carrier Replacement $1,186,564,000 0 $1,186,564,000
3/4 Virginia Class Submarine 886,286,000 $1,236,935,000 2,123,221,000
5/6 SSGN Conversion 236,600,000 930,700,000 1,167,300,000
7/8 Cruiser Conversion 0 194,440,000 194,440,000
9/10 CVN Refueling Overhauls 367,832,000 0 367,832,000
11/12 Submarine Refueling Overhauls 123,372,000 0 123,372,000
13/14 DDG-51 0 3,198,311,000 3,198,311,000
15 LHD-1 Amphibious Assault Ship 0 355,006,000 355,006,000
16/17 LPD-17 175,000,000 1,192,034,000 1,367,034,000
Minehunter SWATH o 9,000,000 9,000,000
19 Outfitting, post delivery, conversions, first destination transportation 0 348,949,000 348,949,000
20 Service Craft 0 39,480,000 39,480,000
21 LCAC SLEP 0 73,087,000 73,087,000
24 Completion of Prior Year Shipbuilding Program 0 899,502,000 899,502,000
2,975,654,000 8,477,444,000 11,453,098,000
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PROGRAM RECOMMENDED
The total program recommended in this bill will provide the following in fiscal year 2004:
OTHER PROCUREMENT, NAVY
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Fiscal year 2003 appropriation $4,612,910,000
Fiscal year 2004 budget request 4,679,443,000
Committee recommendation 4,784,742,000
Change from budget request +105,299,000
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This appropriation provides funds for the procurement of major equipment and weapons other than ships, aircraft, missiles and torpedoes. Such equipment ranges from the latest electronic sensors for updating naval forces, to trucks, training equipment, and spare parts.
COMMITTEE RECOMMENDATIONS
The Committee recommends an appropriation of $4,784,742,000 for Other Procurement, Navy. The following report and project level tables provide a summary of the Committee's recommendation.
EXPLANATION OF PROJECT LEVEL CHANGES
[In thousands of dollars]
OTHER SUPPLY SUPPORT EQUIPMENT
The Serial Number Tracking System (SNTS) was designed to address a critical maintenance situation where the cost of maintenance operations is rising rapidly. The Committee recommends an increase of $4,000,000 only to continue the implementation of the SNTS. This initiative is integrating modern commercial off-the-shelf automatic data collection technologies into a number of Navy supply and maintenance applications. The SNTS has shown the ability to yield significant improvements in productivity and effectiveness.
PROGRAM RECOMMENDED
The total program recommended in this bill will provide the following in fiscal year 2004:
PROCUREMENT, MARINE CORPS
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Fiscal year 2003 appropriation $1,388,583,000
Fiscal year 2004 budget request 1,070,999,000
Committee recommendation 1,200,499,000
Change from budget request +129,500,000
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This appropriation funds the procurement, delivery, and modification of missiles, armaments, communication equipment, tracked and wheeled vehicles, and various support equipment.
COMMITTEE RECOMMENDATIONS
EXPLANATION OF PROJECT LEVEL CHANGES
[In thousands of dollars]
PROGRAM RECOMMENDED
The total program recommended in the bill will provide the following in fiscal year 2004:
AIRCRAFT PROCUREMENT, AIR FORCE
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Fiscal year 2003 appropriation $13,137,255,000
Fiscal year 2004 budget request 12,079,360,000
Committee recommendation 11,877,051,000
Change from budget request -202,309,000
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This appropriation provides for the procurement of aircraft, and for modification of in-service aircraft to improve safety and enhance operational effectiveness. It also provides for initial spares and other support equipment to include aerospace ground equipment and industrial facilities. In addition, funds are provided for the procurement of flight training simulators to increase combat readiness and to provide for more economical training.
COMMITTEE RECOMMENDATIONS
FLY BEFORE BUY
The Committee continues to be concerned with the Air Force's propensity for requesting procurement funding in a variety of programs while development efforts and/or testing are still ongoing. Many are then baselined with other upgrades or modifications making them so interdependent that the failure of any one can derail the entire package of modifications. Throughout this report, the Committee has addressed areas where it believes the Air Force request for procurement funding is either premature or overly aggressive. The Committee notes the recent problems with the U-2 radar upgrade as a classic example of what can happen when programs are baselined together and move out too quickly. Rather than modify the platform with tested capabilities, the program installed upgrades that were dependent on the delivery of other technologies. When those technologies failed to deliver on time, the overall effect was a capability degraded beyond the original. The result is a very costly and time-consuming retrofit just to restore the original capability.
The Committee understands the benefit to making modifications in wholesale at one time and has no objection to efforts of this nature. However, the Committee will continue to oppose this sort of modification schedule when one or more of the intended upgrades is still in development or has not been tested.
F/A-22 RAPTOR
The budget request includes $3,727,093,000 for the procurement of 22 F/A-22 aircraft. The Committee has reduced the request by $161,000,000 and provided $3,566,063,000, an amount identical to that provided in the National Defense Authorization bill, as approved by the House. The Committee supports the procurement of 22 aircraft in Lot 4 and believes that funds provided will be sufficient for that purpose due to learning curve and vendor cost savings.
F-16 JOINT HELMET MOUNTED CUEING SYSTEM (JHMCS)
The budget request includes $25,500,000 for procurement of the Joint Helmet Mounted Cueing System for the F-16. The Committee has provided no funding for this program because of cumulative delays in awarding production contracts, continued schedule delays, unresolved operational problems, and incomplete operational testing.
Between August 2000 and January 2003, the Air Force awarded three Low Rate Initial Production (LRIP) contracts and in each case, the Air Force missed its target award date 3 to 4 months that cumulatively have put the program behind schedule nearly a year. In August 2002, the Air Force reported a breach to the Acquisition Program Baseline and postponed full-rate production from September 2002 to April 2003. The Air Force conducted a JHMCS multi-service operational test and evaluation on F-15C aircraft between June 2001 and June 2002, to determine JHMCS operational effectiveness and suitability in preparation for the full-rate production decision. Similar testing with F-16 aircraft was to follow. In September 2002, the Air Force test center reported JHMCS was operationally effective but not operationally suitable due to low reliability, poor maintainability and supportability problems. It recommended that the JHMCS full-rate production decision and initial operational deployment be delayed until these problems are fixed and verified. As of this report, these problems have not been resolved and the Air Force is weighing the option of awarding another LRIP contract in August or September 2003.
The Air Force continues to buy large numbers of helmets for F-16 aircraft through its successive LRIP contracts even though operational testing is not complete. The Air Force did not start initial operational testing of F-16 aircraft deployed with JHMCS until June 2002 and does not expect to complete testing until June 2004. Defense procurement and acquisition policy, however, states that low-rate production quantities shall be minimized to 10 percent of the total production quantity to ensure quantities necessary for operational test and to permit an orderly increase in the production rate for the system. To date, the Air Force has procured nearly 40 percent (or 273 helmets) of its total F-16 procurement quantity of 648 helmets. According to JHMCS officials, the Air Force continues to use LRIP contracts because it has not yet demonstrated readiness to proceed to full-rate production. As noted previously in this report, the Committee is concerned about buying production articles before they are adequately tested and therefore has reduced the request for this funding until it is satisfied with the results of the testing program, and that identified problems have been fixed and verified.
B-1B MODIFICATIONS
The budget request includes $91,623,000 for modifications to the B-1B bomber fleet. The Committee has provided an additional $20,300,000 to fund modifications for 23 additional aircraft previously designated for retirement. This is an amount identical to that provided in the National Defense Authorization bill, as approved by the House.
TARGET DRONES
The Committee is very concerned about the status of the target drone program and the current and projected inventory of both subscale and full-scale aerial targets. These drones are critical to the operational testing of major Air Force programs including the F-22, AIM-9X, AMRAAM, and F-16 and F-15 Operational Flight Programs. The lack of availability or inability to properly function can adversely affect the acquisition plan of any of these programs. Recent trends for both targets indicate alarmingly increasing demand and lethality. In the case of the full-scale QF-4 drone there were 28 kills in fiscal year 2002 compared with not more than 17 in any of the four previous years. All estimates indicate that current consumption trends cannot be sustained through the future years defense program under the Air Force's current program. The Committee has provided $19,800,000 above the budget request to support the procurement of additional aerial targets in fiscal year 2004. The Committee expects that the Air Force will take action to address this situation in its fiscal year 2005 budget submission.
B-1B BOMBER WIND CORRECTED MUNITIONS DISPENSER
The request included $30,000,000 for modification and integration of Wind Corrected Munitions Dispenser (WCMD) kits into the B-1B bomber. During live fire test and evaluation, certain problems caused the WCMDs to fly unguided to unintended impact points which in operations could lead to friendly combat casualties. The B-1B modification program will integrate a solution for this problem into the JSOW and JASSM modification efforts that continue as research and development late into fiscal year 2004. To ensure a solution is achieved prior to a fleet wide installation of these modifications, which might require costly retrofits, the Committee has reduced the request by $15,000,000.
B-52 AVIONICS MIDLIFE IMPROVEMENT
The request included $18,600,000 to begin procurement of upgrades to the B-52 Offensive Avionics System (OAS). The Committee has reduced the request by $9,200,000.
The Avionics Midlife Improvement program will replace several of the OAS subsystems including the spinning mass gyro in the Inertial Navigation System, the Avionics Control Unit and data transfer devices that are bulky and outdated. While the Committee fully supports these upgrades, major aspects of this program are still in the developmental stage. In fact, the Committee has fully funded more than $28,000,000 in research and development efforts planned for fiscal year 2004, on which these upgrades will depend. Furthermore, a Milestone III decision for the program is not scheduled until the end of the current fiscal year.
F-15 ADVANCED DISPLAY CORE PROCESSOR MODIFICATIONS
The request included $26,900,000 to begin procurement of modification kits to the F-15 Advanced Display Core Processor (ADCP). EMD Force Development Evaluation for the ADCP has slipped 2 quarters between the fiscal year 2003 and 2004 requests. Even though the program has demonstrated schedule delays, only 1 quarter is allowed for completion of the evaluation. At the same time Pre-planned Product Improvement will be ongoing throughout fiscal year 2004. With the demonstrated delays that the F-15 squadrons research and development program has had, the Committee believes it to be more prudent to reduce the request for the procurement of these kits until development and evaluation is complete. To strengthen the development effort for this program, funds requested for procurement have been transferred to F-15E Squadrons, Operation Systems Development in the Air Force's research and development accounts.
KC-135E ENGINE REPLACEMENTS
The budget request includes $176,382,000 for modifications to C-135 and KC-135 tanker aircraft. Of the request, $107,300,000 is proposed to modify 4 KC-135E aircraft with new more powerful engines. Since the budget was submitted, costs for the program have grown significantly causing the Air Force to revise this plan and reduce the number of aircraft to be modified to only two, and use the remaining funds to address diminishing manufacturing source problems associated with engine Generator Control Units and Buss Power Control Units.
The Committee has provided no funding for the engine replacement and approves only the request of $37,000,000 for the Generator Control Units and Buss Power Control Units as long-term spares and for necessary sustainment of other aircraft.
The Committee notes that the Air Force has repeatedly maintained that E-model KC-135s have significant shortcomings including significant corrosion damage and wing skin problems. In fact, the Tanker Roadmap envisions retiring the entire E-model fleet by fiscal year 2008. The Committee believes it would be imprudent to spend $70,000,000 in fiscal year 2004 on new engines that would not be installed until fiscal year 2006, only to retire them two years later in fiscal year 2008.
PRECISION LOCATION AND IDENTIFICATION (PLAID)
In the fiscal year 2003 Defense Appropriations Act, the Committee provided funding for a precision location and identification capability that would pass ground emitter target locations to other systems. This capability would build on the foundation of the PLAID program to upgrade the existing ALR-69 radar warning receiver to enable aircraft to evade radar threats and accomplish covert missions.
Because of testing delays caused by test assets being diverted for real-world combat, added scope to reduce risk in future platform integration, the new capability requirements, and unanticipated program complexity, the PLAID development program has experienced a cost increase and a 15-month schedule slip. However, the budget request included no funding for PLAID development efforts. Instead, funds are requested for procurement units not yet ready for production. Since less procurement funding will be required in fiscal year 2004 due to the schedule slip, the Committee has transferred $9,700,000 of PLAID fiscal year 2004 aircraft procurement funding (Line 49) to research and development (Line 71) to offset the shortfall in the development program. In taking this action, the Committee fully expects that the Air Force will restructure the program accordingly through the remainder of the Future Years Defense Program.
ADVANCED SYNTHETIC APERTURE RADAR SYSTEM (ASARS)
The Committee understands that the Air Force has recently determined that the upgrade to the Advanced Synthetic Aperture Radar System (ASARS), called ASARS 2A is not providing the quality product anticipated with this upgrade. This has caused the Air Force to re-evaluate its current plan with respect to replacing the current ASARS system with the upgraded system. This re-evaluation may lead to a requirement to retrofit aircraft that had previously been configured for the ASARS 2A.
This situation is very troubling because it appears the Air Force and the contracting team did not properly monitor the development of the ASARS 2A project. The integration of the upgraded system was dependent on the delivery of other U-2 upgrade projects that did not occur as scheduled. However, the ASARS 2A program management team did not develop an alternative integration plan when it became apparent that the other upgrades would not be delivered as scheduled.
The Committee requests the Air Force submit by November 15, 2003, its plan for a way ahead that returns the U-2 to an effective program. The Committee understands that to implement its plan for the U-2, the Air Force may require a reprogramming of fiscal year 2003 and 2004 funds, which the Committee is willing to consider in a timely manner.
PREDATOR UNMANNED AERIAL VEHICLE
The Committee recommends an increase of $18,000,000 only to procure two additional fully equipped Predator B aircraft with spares, support and productionization support. The Committee views the Predator B (MQ-9) as the premier, long-loitering `hunter killer' remotely operated aircraft that must be fully integrated into the U.S. Air Force inventory as soon as possible through an accelerated acquisition process. The Committee directs the Air Force to develop a responsible acquisition strategy that will support efficient production of at least 12 aircraft per year for an Initial Operating Capability (IOC) of fiscal year 2006. The Committee directs the Air Force to submit no later than December 1, 2003, a plan to productionize the Predator B UAV at a rate of 12 per year by 2006.
PROGRAM RECOMMENDED
The total program recommended in the bill will provide the following in fiscal year 2004:
MISSILE PROCUREMENT, AIR FORCE
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Fiscal year 2003 appropriation $3,174,739,000
Fiscal year 2004 budget request 4,393,039,000
Committee recommendation 4,235,505,000
Change from budget request -157,534,000
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This appropriation provides for procurement, installation, and checkout of strategic ballistic and other missiles, modification of in-service missiles, and initial spares for missile systems. It also provides for operational space systems, boosters, payloads, drones, associated ground equipment, non-recurring maintenance of industrial facilities, machine tool modernization, and special program support.
COMMITTEE RECOMMENDATIONS
JOINT AIR-TO-SURFACE STANDOFF MISSILE (JASSM)
The budget request includes $102,534,000 for the full rate production procurement of 250 JASSMs. The Air Force is buying 100 low-rate initial production missiles in fiscal year 2003, at a unit cost of $431,000. The program entered low-rate initial production in December 2001. In October 2002, the system experienced an operational test failure. Also in October 2002, the final development test failed. Testing was halted while program officials identified the cause of the failure and incorporated a retrofit into the missile. Testing resumed in March with a successful flight test, completing developmental tests. However, the system experienced another operational test failure in April 2003. During a May test, the missile failed to eject from the aircraft's bomb rack on command causing the test to be scrapped. According to officials from the Air Force Operational Test and Evaluation Command, the cause of this test failure has not yet been determined. In addition, several more operational test are scheduled in the upcoming months. The Milestone C decision to enter full-rate production is scheduled for November 2003, however, with the uncertainty surrounding the outcome of testing, the Committee has reduced the procurement to 100 missiles and funding in fiscal year 2004 to $56,000,000. This will minimize the number of missiles that might have to be retrofitted if problems continue to surface during testing.
AIM-9X SIDEWINDER MISSILE
The budget request includes $69,072,000 for the procurement of 364 AIM-9X missiles. The Air Force's fiscal year 2004 proposal to buy a 4th lot of low-rate missiles marks its second request to continue production at full-rate quantities without completing operational testing. The program began low-rate production in fiscal year 2001 with plans to enter full-rate production in 2003. However, operational testing was not complete before fiscal year 2003. As a result, the program remained in `low-rate production,' but missile production actually increased to 286, the originally planned full-rate quantity. The program extended the Operational Evaluation deadline to January 2003 in order to legitimately enter full-rate production in fiscal year 2004. From January 2003 to March 2003, Operational Evaluation was again delayed due to grounding of Air Force QF-4 target drones. The Committee has provided additional funding in Aircraft Procurement to increase the number of drones available for testing programs.
Due to this delay, flight tests will not be completed in time for the program to obtain the beyond low-rate initial production prior to the September 2003 full-rate production deadline. In response to the test delays, the Milestone Decision Authority for the program approved a schedule restructure to allow additional time to complete Operational Test and Evaluation. However, this restructure amounts to little more than changing the fiscal year 2004 production buy from the first Full Rate Production lot to an additional Low Rate Initial Production lot--with no reduction in the number of missiles being procured. The Committee recommends a reduction in the number of missiles procured in fiscal year 2004, providing $56,072,000 for 286 missiles. If the program cannot successfully complete operational testing and wants to continue with low-rate production, it should do so at quantities in line with earlier low-rate buys.
ICBM MINUTEMAN III MODIFICATIONS
The budget request includes $606,964,000 for modifications to the Minuteman III Intercontinental Ballistic Missile weapon system. Of this amount, $21,100,000 is proposed for the Safety Enhanced Reentry Vehicle (SERV), a program still in developmental status. Development milestones to be completed prior to the end of fiscal year 2004 include software critical design review and software test readiness review. The Committee believes that with this much development still to be achieved, it is premature to begin large-scale procurement of long-lead items, particularly when the initial lead time is only 12 months. Accordingly the request has been reduced by $11,000,000.
PROGRAM RECOMMENDED
The total program recommended in the bill will provide the following in fiscal year 2004:
PROCUREMENT OF AMMUNITION, AIR FORCE
-----------------------------------------------
-----------------------------------------------
Fiscal year 2003 appropriation $1,288,164,000
Fiscal year 2004 budget request 1,284,725,000
Committee recommendation 1,279,725,000
Change from budget request -5,000,000
-----------------------------------------------
This appropriation finances the acquisition of ammunition, modifications, spares, weapons, and other ammunition-related items for the Air Force.
COMMITTEE RECOMMENDATIONS
PROGRAM RECOMMENDED
The total program recommended in the bill will provide the following in fiscal year 2004:
OTHER PROCUREMENT, AIR FORCE
------------------------------------------------
------------------------------------------------
Fiscal year 2003 appropriation $10,672,712,000
Fiscal year 2004 budget request 11,583,659,000
Committee recommendation 11,195,159,000
Change from budget request -388,500,000
------------------------------------------------
This appropriation provides for the procurement of weapon systems and equipment other than aircraft and missiles. Included are vehicles, electronic and telecommunications systems for command and control of operational forces, and ground support equipment for weapon systems and supporting structure.
COMMITTEE RECOMMENDATIONS
AIR FORCE PHYSICAL SECURITY SYSTEM
The budget request includes $34,877,000 for Air Force Physical Security System. Of this amount, $7,200,000 is identified for strategic security systems. Based on the Air Force budget justification, the fiscal year 2004 funds for strategic security systems are to be used for completing security upgrades at Whiteman Air Force Base and to begin System Effectiveness Analyses at one or more locations. However, security upgrades at Whiteman and a System Effectiveness Analysis at Barksdale Air Force Base are being completed with fiscal year 2003 funds. In addition, funds added in the fiscal year 2003 Defense Appropriations Act enabled the program to accomplish planned upgrades earlier than expected. As a result, the budget request does not support the fiscal year 2004 funds requested for these efforts. Accordingly, the Committee recommends a reduction of $7,200,000.
NATIONAL AIRSPACE SYSTEM
The budget request includes $33,704,000 for the National Airspace System, including $15,800,000 for the Digital Airport Surveillance Radar (DASR). DASR consists of a primary and secondary surveillance radar to provide aircraft position and other data to controller displays. Technical problems and program slippage continue to occur with DASR. In fact, in the fiscal year 2003 Defense Appropriations Act, a reduction of $20 million was made because of program delays due to operational testing results. The operational test and evaluation interim report in December 2002 found that DASR was overly sensitive and could not distinguish between birds, planes, and ground clutter. As a result, the approval for Low Rate Initial Production (LRIP) was delayed until May 2003. The Air Force plans to procure and install two DASR systems with fiscal year 2003 funds and is requesting funds in fiscal year 2004 to procure and install an additional two systems. Because of the concerns raised in the December 2002 interim report, the Committee denies the request for the DASR systems. As the Committee has stated previously in this report, it would be more appropriate and prudent to await the successful completion of the Multi-Service Operational Test and Evaluation, scheduled for July 2003 through June 2004, before procuring additional units. Accordingly, the Committee has reduced the request by $15,800,000.
P-19 CRASH TRUCK REQUIREMENTS
The budget request includes $5,564,000 for Fire Fighting Equipment less than $5 million, of which $1.8 million is identified for the procurement of three P-19 Crash Trucks. However, in the budget request a new separate line item is included for P-19 Crash Trucks. Line item number 24 in the fiscal year 2004 budget request is for $4.8 million to procure 10 P-19 Crash Trucks. The Air Force has indicated that the requirement for fiscal year 2004 is 10 P-19 Crash Trucks, and that the inclusion of three trucks in line item 25 was an error. Therefore, the Committee has reduced funding in this line by $1,800,000.
PRODUCTIVITY ENHANCING CAPITAL INVESTMENTS
The budget request includes $6,210,000 for Productivity Enhancing Capital Investments. Funds for fiscal year 2004 are for the Fast Payback Capital (FASCAP) investment program. These funds are available to all Air Force organizations to encourage productivity enhancements for more efficient operations and focus on labor savings and reductions in unit cost of operations. To qualify for the FASCAP program, projects must cost less than $200,000 and amortize in less than 2 years. Projects are to be approved by major commands based on the shortest amortization period and the best return on investment.
Fiscal year 2002 and fiscal year 2003 data show slow execution of funds in this program. At the end of May 2003, over 30 percent of the fiscal year 2002 funds were not obligated, and none of the fiscal year 2003 funds were obligated. Furthermore, Air Force data did not indicate a strong demand for FASCAP investment program funds. While the Committee does not object to the intent of this program, the Air Force must demonstrate greater interest among the major commands and an ability to execute funding allocated for this purpose. The Committee recommends a reduction of $3,100,000 to the request and encourages the Air Force to foster greater participation in this program among the major commands.
PROGRAM RECOMMENDED
The total program recommended in the bill will provide the following in fiscal year 2004:
PROCUREMENT, DEFENSE-WIDE
-----------------------------------------------
-----------------------------------------------
Fiscal year 2003 appropriation $3,414,455,000
Fiscal year 2004 budget request 3,665,506,000
Committee recommendation 3,806,776,000
Change from budget request +138,270,000
-----------------------------------------------
This appropriation funds the Procurement, Defense-Wide activities of the Department of Defense.
COMMITTEE RECOMMENDATIONS
AC-130U GUNSHIP ACQUISITION
The budget request includes $390,054,000 for the conversion of C-130H aircraft to the AC-130U Gunship configuration. The Committee recommends $362,324,000 a decrease of $27,730,000. The Committee strongly supports the addition of four more AC-130U gunships to the Special Operations Command inventory and provided funding for conversion of the first aircraft to initiate this effort last year. The Committee is concerned however, that the cost estimates for these conversions are inflated and has reduced the requested amount to reflect that concern. Notwithstanding the fact that these aircraft will be more capable and survivable, they are almost 40 percent more expensive than the original gunship conversions in constant dollars. The Committee also notes that prior approval reprogramming request FY03-09PA pending before the Congress proposes to reduce the funds provided for these purposes last year to reflect contract savings as a result of the award of the contract on the first aircraft. Since that contract was awarded after the submission of the cost estimates contained in the budget request, future contracts should reflect savings that are consistent with the Committee's recommendations.
ADVANCED SEAL DELIVERY SYSTEM (ASDS)
The budget request includes $23,573,000 for advance procurement of long lead-time items associated with the second Advanced SEAL Delivery System (ASDS). The Committee recommends the budget amount. The ASDS is a manned combatant mini-submarine used for the clandestine delivery of Special Operations Forces personnel and weapons and will provide an important improvement over the current SEAL delivery system. The first system recently completed operational evaluation (OPEVAL) although the results are not yet available.
The Committee recognizes that an ASDS which meets requirements will bring a critical capability to the war fighter, but the Committee also has a long history of concerns about this program. Many of those concerns, too numerous to mention here, are still not met even though the Navy has conditionally accepted the first system. In particular, the current battery has experienced recurring problems long known to the Navy. The Committee has provided substantial funding for a new battery and will not recommend funding for procurement in future years until the battery issue is resolved.
The Committee directs that none of the funds provided for advance procurement be obligated before the system satisfactorily passes OPEVAL and before the Milestone C decision assessing affordability and effectiveness is completed.
PROGRAM RECOMMENDED
The total program recommended in the bill will provide the following in fiscal year 2004.
NATIONAL GUARD AND RESERVE EQUIPMENT
---------------------------------------------
---------------------------------------------
Fiscal year 2003 appropriation $100,000,000
Fiscal year 2004 budget request
Committee recommendation 100,000,000
Change from the budget request +100,000,000
---------------------------------------------
This appropriation provides funds for procurement of equipment for the National Guard and Reserve.
COMMITTEE RECOMMENDATIONS
The budget request includes $1,928,800,000 to equip National Guard and Reserve units in Procurement accounts for each of the Services and no funding in the National Guard and Reserve Equipment account. The Committee is aware of the indispensable contributions members of the Guard and Reserve make to our national security and has added $289,400,000 in additional funding above the request within the regular appropriation accounts and an additional $100,000,000 in National Guard and Reserve Equipment to allow them to more adequately perform their missions. These missions continue to grow in scope as the Department utilizes Guard and Reserve forces to help deal with increased foreign deployments and to respond to terrorist threats to our homeland security. Members of the Committee have traveled to almost every country where U.S. troops are deployed during the last year, and in every location, Guard and Reserve forces are serving seamlessly with regular forces in large numbers. The Committee commends these outstanding individuals for the service they provide to our national security.
The Committee believes that the Chiefs of the Reserve and National Guard components should exercise control of modernization funds provided in the National Guard and Reserve Equipment account, and directs that they provide a separate submission of a detailed assessment of their modernization requirements and priorities to the congressional defense committees.
PROGRAM RECOMMENDED
The total amount recommended in the bill will provide the following in fiscal year 2004:
DEFENSE PRODUCTION ACT PURCHASES
--------------------------------------------
--------------------------------------------
Fiscal year 2003 appropriation $73,057,000
Fiscal year 2004 budget request 67,516,000
Committee recommendation 67,516,000
Change from budget request
--------------------------------------------
The Defense Production Act (50 U.S.C.) App 2061 et seq. authorizes the use of federal funds to correct industrial resource shortfalls and promote critical technology items which are essential to the national defense.
COMMITTEE RECOMMENDATION
The Committee recommends an appropriation of $67,516,000 for Defense Production Act Purchases. This is the amount requested in fiscal year 2004 and a decrease of $5,541,000 from the fiscal year 2003 appropriation.
INFORMATION TECHNOLOGY
The Department requested $27,900,234,000 for Information Technology. The Committee recommends $27,578,958,000, a decrease of $321,276,000 as explained below:
| [In thousands of dollars] | |
| Operation and Maintenance, Army: | |
| Online Technology Training Pilot Program Fort Lewis | +2,000 |
| AKO Labs in Korea | +500 |
| Army Knowledge Online | +5,000 |
| Military Distance Learning Demonstration Program | +1,600 |
| Integrated Digital Environments (IDE) Information Portal Fort Knox University of Mounted Warfare student/Classroom Automation Resources | +2,500 |
| Service Member Benefits Analysis Online Pilot Program | +3,500 |
| Defense Language Institute (DLI) LangNet Project | +1,500 |
| Fort Knox University of Mounted Warfare Campus Area Network Infrastructure | +2,500 |
| Section 8099 | -60,000 |
| Operation and Maintenance, Navy: | |
| Configuration Management Information System | +6,500 |
| Continuing Education Distance Learning at Saint Leo University | +1,250 |
| Space and Naval Warfare Info Tech Center (SITC) | +1,000 |
| UHF DAMA Satcom Training | +2,000 |
| Section 8099 | -100,000 |
| Operation and Maintenance, Air Force: | |
| AFOTEC IT Infrastructure and Training | +2,000 |
| Information Assurance Initiative for Air Force Materiel Command | +1,500 |
| Section 8099 | -100,000 |
| Operation and Maintenance, Defense-Wide: | |
| DAU Federal Learning Technology | +3,000 |
| Information Technology Training in Military Schools | +500 |
| Study on Internet & Wireless Technology | +3,000 |
| Section 8099 | -60,000 |
| Operation and Maintenance, Army National Guard: | |
| Advanced Information Technology Services (AITS) | +7,000 |
| Info Tech Leadership Program | +2,000 |
| Information Assurance Network | +2,000 |
| National Guard Global Education Online | +500 |
| Rural Access to Broadband | +4,000 |
| National Guard Multimedia Security Technology | +3,000 |
| Operation and Maintenance, Air National Guard: Air National Guard IT Consolidation | +3,000 |
| Other Procurement, Army: Paul Revere Command Information System | +2,000 |
| Other Procurement Navy: | |
| DJC2 | -46,551 |
| ARGOS Scheduling System | +4,000 |
| Procurement, Marine Corps: Marine Corps Continuity of Operations | +4,000 |
| Other Procurement, Air Force: JPAS | -15,000 |
| Procurement, Defense-Wide: CCMS | -5,000 |
| Research, Development, Test and Evaluation, Army: | |
| Army Information Dominance Center Expanded Processing for Data Analysis | +5,000 |
| Distributed Data Visualization & Mgmt. | +4,000 |
| Research, Development, Test and Evaluation, Navy: | |
| DIHMRS | -5,000 |
| Integrated Biodefense Research Initiative | +2,000 |
| Smart Integrated Data Environment | +1,000 |
| Online Web-based learning development program | +5,000 |
| Information Technology Development--Distance Learning IT Center | +4,000 |
| Multi-Sensor Analyzer Detector (MSAD) | +2,500 |
| Joint Engineering Data Management Information & Control System (JEDMICS) | +3,000 |
| Web-Based Technology Insertion for the EWT | +2,000 |
| Research, Development, Test and Evaluation, Air Force: | |
| Mission Planning System | -10,000 |
| Enterprise Data Warehouse | +6,500 |
| Air Force Electronic Systems Command/National Product Line Assest Center | +4,000 |
| Research, Development, Test and Evaluation, Defense-Wide: | |
| System of Systems Engineering Center of Excellence (SoSECE) | +4,000 |
| Center for Information Assurance Security | +3,000 |
| Secure Telecommunications Networks Initiative | +1,000 |
| GCCS-J | -8,000 |
| NCES | -10,000 |
| SensorNet/CBRN Threat Using Public/Private Assets | +6,000 |
| Homeland Security Command and Control | +3,000 |
| SecureD Hardware Based Data Encryption Device | +3,500 |
| DRRS | -8,575 |
| US Export System, | -1,000 |
| Defense Health Program: TRICARE | -25,000 |
GENERAL REDUCTION TO INFORMATION TECHNOLOGY PROGRAMS
The Committee remains concerned about the continued growth in information technology programs, particularly the growth in the operation and maintenance accounts. Over the last two fiscal years, the information technology budget has increased over fifteen percent in the operation and maintenance accounts. While the Committee fully supports the transformational efforts of the department, the Committee continues to believe that the Department of Defense must be more effective in eliminating unneeded legacy systems and consolidating the large number of disparate networks that are currently being maintained. Therefore, in section 8099 of the Committee bill, the Committee has adjusted amounts available for information technology in the operation and maintenance accounts for fiscal year 2004 to reflect these concerns. The reductions are to be placed only against Information Technology programs and are as follows:
| [In thousands of dollars] | |
| Army | $60,000 |
| Navy | 100,000 |
| Air Force | 100,000 |
| Defense-Wide | 60,000 |
DEPLOYABLE JOINT COMMAND AND CONTROL (DJC2)
The Navy requested $128,000,000 for the Deployable Joint Command and Control (DJC2) system. DJC2 is envisioned as the material solution for the Standing Joint Force Headquarters concept that is currently being developed by Joint Forces Command. As planned, DJC2 will be a deployable command and control capability for each regional combatant commander and will eventually include a maritime version. The request included $79,449,000 in Research, Development, Test and Evaluation, Navy for component development and prototypes and an additional $49,600,000 in Other Procurement, Navy for a DJC2 suite for Pacific Command (PACOM) and an upgrade to the existing suite located in the Central Command area of responsibility. While the Committee understands the need for the DJC2, it is concerned about the request for procurement funds when the acquisition strategy is still being developed and the requirements have yet to be fully determined. Therefore, the Committee recommends full funding for the RDT&E portion of the program but recommends no funding for DJC2 procurement, a reduction of $46,551,000 in Other Procurement, Navy.
ONLINE TECHNOLOGY TRAINING PROGRAM
The Committee recommends an additional $2,000,000 in Operation and Maintenance, Army only to continue the Fort Lewis Online Technology Training Pilot Program.
ARMY KNOWLEDGE ONLINE
The Committee recommends an increase of $5,000,000 in Operation and Maintenance, Army only to continue the implementation of the Disaster Recovery Managed Service Contract supporting the Army Knowledge Online (AKO) web-based portal initiative.
CONFIGURATION MANAGEMENT INFORMATION SYSTEM
The Committee recommends an additional $6,500,000 in Operation and Maintenance, Navy only for the Configuration Management Information System (CMIS) to support maintenance planning and knowledge management, and baseline data-loading tasks for all remaining Navy inventory type/model/series aircraft, and the various levels of indenture required to provide a complete, accurate, up-to-date, and easily accessible system for supporting the mission-critical task of maintenance planning.
MOBILE UHF DAMA TRAINING
United States military UHF satellite communications (SatCom) operators require sustainment training so they can attain and maintain an operationally effective level of proficiency using UHF demand assigned multiple access (DAMA) equipment. Sustainment training must be accomplished while maintaining on-station readiness, in accordance with DoD mandates for the UHF DAMA utilization. The Committee recommends an additional $2,000,000 in Operation and Maintenance, Navy only for implementing a one-year mobile UHF DAMA training (MUDT) program.
STUDY ON THE INTERNET AND WIRELESS TECHNOLOGY
The Committee recommends an additional $3,000,000 in Operation and Maintenance, Defense-Wide only for a study to examine ways the Internet and wireless technology are transforming military life.
ADVANCED INFORMATION TECHNOLOGY SERVICES (AITS)
The Committee recommends $7,000,000 in Operation and Maintenance, Army National Guard only to upgrade video teleconferencing and tele-training including encrypted video teleconferencing for security.
INFORMATION TECHNOLOGY LEADERSHIP PROGRAM
The committee recommends $2,000,000 in Operation and Maintenance, Army National Guard only for the continued development of courseware relating to technology management, information security, mobile computing and geographic information systems.
INFORMATION ASSURANCE NETWORK
The committee recommends $2,000,000 in Operation and Maintenance, Army National Guard only for continuation of information assurance for a local community education agency in collaborative effort with the Software Engineering Institute.
CALIFORNIA MANUFACTURING TECHNOLOGY CENTER (CMTC)
The Committee recommends $6,000,000 in Research, Development, Test and Evaluation, Defense-Wide only to develop a rapid response defense manufacturing supply chain pilot initiative on the west coast to meet urgent defense requirements, reduce costs, eliminate shortages and expand the supplier base for parts and equipment surge requirements.
TITLE IV
RESEARCH, DEVELOPMENT, TEST AND EVALUATION
ESTIMATES AND APPROPRIATION SUMMARY
For programs funded in Title IV of the Committee bill, the fiscal year 2004 Department of Defense research, development, test and evaluation budget request totals $61,826,654,000. The accompanying bill recommends $64,614,230,000. The total amount recommended is an increase of $2,787,576,000 above the fiscal year 2004 budget estimate and is $6,405,770,000 above the total provided in fiscal year 2003. The table below summarizes the budget estimate and the Committee's recommendations.
SPECIAL INTEREST ITEMS
Items for which additional funds have been provided as shown in the project level tables or in paragraphs using the phrase `only for' or `only to' in this report are congressional interest items for the purpose of the Base for Reprogramming (DD 1414). Each of these items must be carried on the DD Form 1414 at the stated amount, or a revised amount if changed during conference or if otherwise specifically addressed in the conference report. These items remain special interest items whether or not they are repeated in a subsequent conference report.
CLASSIFIED ANNEX
Adjustments of the classified programs are addressed in a classified annex accompanying this report.
UNMANNED COMBAT AERIAL VEHICLE
The Committee is supportive of many transformational initiatives included in the Department's fiscal year 2004 budget request. Of particular interest is the Unmanned Combat Aerial Vehicle (UCAV) development program. The current program is designed to produce a system that provides a joint or common approach to the design and development of this latest proposal in the field of unmanned vehicles. The Committee believes that UCAVs can provide a unique niche capability, especially in extreme threat environments and suppression of enemy air defenses. The Committee believes that for the UCAV to be viable in an era of stressed budgetary resources, it must be a system that provides a significant increase in capability for a reasonable cost.
The Committee has some reservations with the way the Department is preceding with this development plan. For example, significant resources and program management appear resident outside of the Air Force and the Navy. Of immediate concern to the Committee is the size of the OSD-directed Joint Program Office (JPO) and the anticipation that the Defense Advanced Research Projects Agency (DARPA) may be tasked with developing requirements and standards for the UCAV development program. The Committee believes the Air Force and the Navy are more proficient in the development of requirements and standards for the UCAV development program and direct that the Services, not DARPA, be responsible for these activities. As for the size of the JPO, the Committee recommends a reduction of $2,500,000 each from the Air Force and the Navy's planned transfer of $10,000,000 to the JPO.
JOINT STRIKE FIGHTER (JSF)/F-35
The Joint Strike Fighter (JSF) represents the next generation of strike fighters. It also represents a new concept--a family of strike fighters with the Short take-off-vertical-landing (STOVL) for the Marine Corps and United Kingdom, the Conventional take-off-landing (CTOL) for the Air Force, and the Carrier take-off-landing (CV) for the Navy. The JSF has increased range, incorporates stealth, advanced countermeasures, advanced avionics, data links, and adverse weather precision targeting.
The JSF's preliminary design review (PDR), scheduled for completion at the end of March 2004, remains open due to the identification of a number of items requiring corrective action, many of which are considered critical. The most significant critical design items that remain open are associated with weight of the aircraft at PDR.
The aircraft weight estimates presented at PDR exposed `uncertainties' in the ability of the program to meet schedule and threshold requirements. The most extreme of the weight issues is with the STOVL variant, which is approximately 1,200 to 1,500 pounds over the PDR target weight, nearly the Initial Operating Capability (IOC) target weight. The historical growth in aircraft weight is 4 to 6 percent from PDR to IOC. If the weight cannot be constrained at PDR, the STOVL variant could be as much as 2,000 pounds over the required weight at IOC--the weight of one of its required weapons.
At the end of the March PDR meeting, the Department made a decision to hold the PDR open for the vehicle systems, mission systems, airframe, and air systems, pending completion of a Blue Ribbon Action Team (BRAT) review. Until design impacts can be identified and the baseline program adjusted to the BRAT review, JSF is constrained from moving to the next design phase.
Critical design review (CDR) scheduled for the 3rd quarter of 2004 and first flight scheduled for the end of 2005, have not yet been rescheduled. The Committee believes it most likely these milestone events will indeed be rescheduled and recommends a $45,000,000 reduction to the JSF program based on its judgment that these milestones will not occur as planned in fiscal year 2004.
The fiscal year 2004 request for Mission Support is $273,973,000, an $86,500,000 increase (46 percent) over the fiscal year 2003 level. The Committee recommends a reduction of $87,000,000 from Mission Support based on its judgment that the budgetary requirements are overstated and should be maintained at fiscal year 2003 levels. This is also in keeping with the Committee's view that the fiscal year 2004 and 2005 schedules for JSF design and testing will be rescheduled, resulting in a reduction in the activities associated with these events.
The Committee is very concerned that justification material submitted in support of the budget request, contains no detailed breakout of the nearly $4.3 billion request ($4.9 billion including international participation) for JSF. It is noted that programs of lesser cost and visibility provide significantly more information on tasks (and the cost of each task) scheduled for accomplishment with the requested funding. The JSF request of over $4.5 billion for research and development includes a one-line explanation that the requested funds will continue system development and demonstration. Program Office responses to the Committee's requests for additional information and further explanation, are often incomplete and never timely. This is cause for great concern and Department officials must correct this situation.
MISSILE DEFENSE PROGRAMS
The budget request includes $9,085,471,000 for missile defense programs of which $7,728,864,000 is for the programs managed directly by the Missile Defense Agency (MDA). The Committee recommends $8,892,371,000 for these programs, a reduction of $193,100,000 from the budget request. The Committee strongly supports the efforts of the Administration to rapidly deploy an initial missile defense capability. Accordingly, the programs that comprise this effort have been supported and in some cases the Committee has recommended funding increases. For example, the Committee added $22,900,000 to the Sea-based X Band radar program for the purpose of expediting development of this sensor technology.
The Committee also supports terminal defense programs intended to defend against threats in the upper reaches of the earth's atmosphere, including short- and medium-range ballistic missiles as well as air breathing threats. In this regard, as discussed elsewhere in this report, the Committee recommends an additional $90,000,000 to increase the quantity of Patriot PAC-3 missiles. In addition, the Committee supports the Department of Defense recommendations as outlined in the Acquisition Decision Memoranda of February 5, 2003, and April 30, 2003, that transfer management and funding responsibility for Patriot and MEADS to the Army and that combine the management of these programs, respectively.
The Committee has some concerns about the DoD proposals to rapidly advance next generation missile defense technologies noting that considerable work remains to fully develop, test and deploy current systems thus ensuring a reasonably effective initial capability. For instance, the Committee notes that the budget includes $301,052,000 for next generation Ballistic Missile Defense System interceptors. In the Committee's view, increasing the investment for this effort is not yet warranted, and accordingly, recommends a reduction of $150,000,000. The Committee also notes that the budget proposes substantial growth for advanced technology research and, as above, believes that these resources are better spent in support of the Ballistic Missile Defense System test bed and those terminal defense systems that are already under production. The Committee recommends a reduction of $55,800,000 for this effort.
The Committee also harbors concerns about the national team concept that MDA is employing to develop the overall system architecture for the Ballistic Missile Defense System (i.e., System Engineering and Integration), and to develop software and command and control procedures. The Committee recognizes that these functions are an important part of the missile defense program, necessary to integrate the various missile defense elements into a single, coherent system. However, the Committee finds that the budget request simply does not justify the requested level of funding. For example, it is not clear what activities, levels of effort, or deliverables warrant the level of funding proposed in the budget request. Accordingly, the Committee recommends a reduction of $76,000,000 distributed between the Ballistic Missile Defense System (BMDS) Products and BMDS Core program elements.
RESEARCH, DEVELOPMENT, TEST AND EVALUATION, ARMY
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Fiscal year 2003 appropriation $7,669,656,000
Fiscal year 2004 budget request 9,122,825,000
Committee recommendation 10,186,272,000
Change from budget request +1,063,447,000
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This appropriation finances the research, development, test and evaluation activities of the Department of the Army.
COMMITTEE RECOMMENDATIONS
EXPLANATION OF PROJECT LEVEL CHANGES
[In thousands of dollars]
FUTURE COMBAT SYSTEM
The fiscal year 2004 budget request totals $1,701,331,000 for System Development and Demonstration (SDD) for the Future Combat System (FCS). The Committee is aware that this program consists of a family of advanced, networked, air and ground based maneuver, maneuver support, and sustainment systems, networked via a C4ISR architecture. Given the Army's intention to develop and field FCS as a single entity rather than as a collection of separate systems, the Army budget request groups most of the funding within a single program element. Within this program element, the Army further divides funding between Future Combat System SDD, Networked Fires System Technology SDD, and Objective Force Indirect Fires SDD.
The Committee recognizes the Army's need for flexibility to manage the financial resources of this program given the need to advance the elements of FCS in step with one another. This structure was affirmed by the Milestone B review in mid-May, 2003, which approved the Army's plan to manage FCS as a single, networked, system of systems. While the elements of FCS must work together and be developed along closely synchronized timelines, the Committee believes that the Army must substantially improve the justification for the various elements of this program to ensure that FCS will continue to compete successfully for resources. For example, the Committee is aware that 19 requests for proposal (RFPs) for various elements of the FCS were released in February, 2003. The Committee fully expects that each of these elements will present unique and distinguishable requirements for funding within this program. These requirements are simply not defined or supported by the budget request as presented for fiscal year 2004.
To provide better oversight of the resources required for this program, the Committee directs that the funds made available within the Armored Systems Modernization (ASM) SDD program element be subdivided into the following projects for the following amounts:
| [In thousands of dollars] | |
| NLOS-C | 353,242 |
| Netfires | 102,971 |
| Reconnaissance Platforms & Sensors | 284,925 |
| Unmanned Ground Vehicles | 186,768 |
| Unattended Sensors | 17,432 |
| Sustainment | 139,239 |
| Command and Control | 334,730 |
| Manned Ground Vehicles | 282,024 |
| Total | 1,701,331 |
The Committee directs that the justification materials for fiscal year 2005 be organized according to the project level breakout described above. The Committee also designates each of these projects as a special interest item. For projects other than the Non Line-of-Sight Cannon and Resupply Vehicle (NLOS-C), the Army shall provide 7 days prior notification to the congressional defense committees for the cumulative value of transfers in excess of $20,000,000 between projects. The Committee designates the NLOS-C project as a special interest item subject to prior approval reprogramming procedures as described elsewhere in this report. The Committee directs that the cumulative value of transfers greater than $20,000,000 from the NLOS-C project are subject to normal, prior-approval reprogramming procedures.
PATRIOT-MEADS PROGRAM MERGER
The Committee agrees with the direction adopted by the Department of Defense to combine the management and funding of the PATRIOT and MEADS programs as outlined in the April 30, 2003, Acquisition Decision Memorandum. However the Committee has two concerns about the merged program. First, the manner in which funding is presented in the fiscal year 2004 budget request simply does not reflect the reality of a combined program, and would appear to make the work of the Army program manager needlessly complicated. Consequently, the Committee directs the Secretary of the Army to submit a report to the House and Senate Committees on Appropriations, prior to conference on the fiscal year 2004 Department of Defense Appropriations bill, that provides details of the plan the Army will prepare to support the July 2003 Defense Acquisition Board (as required by the April 30, 2003, Acquisition Decision Memorandum). It is the Committee's understanding that this plan, required for the July DAB, will include specific recommendations for restructuring funding to better support management of the merged program. Second, the Committee has concerns that the Army may not provide sufficient emphasis in future years on the capabilities promised by MEADS such as its improved radar and enhanced mobility. As a result, the Committee recommends a reduction of $30,500,000 for modifications to the legacy elements of the combined PATRIOT-MEADS program.
ARMY MEMS-GPS/INS TECHNOLOGY DEVELOPMENT
The Committee notes that the fiscal year 2004 President's budget request does not propose adequate funding to continue development and testing essential to achieve a low-cost inertial guidance system using high-g MEMS technology and producing an anti-jam, `ultra-deeply-coupled GPS/INS hardware/software system.' Therefore, the Committee directs that an additional $10,000,000 to continue this initiative be made available from funding included in the budget request for the Excalibur artillery program. With the emphasis on using precision-guided munitions in recent operations, this program should be given high priority by the Departments of Defense, Army and Navy. The Committee expects this joint Army-Navy effort to be robustly funded in the fiscal year 2005 budget request and in the Future Years' Defense Program. The Committee will be disinclined to appropriate large amounts for Army and Navy precision guided munitions until this effort has concluded.
THEATER SUPPORT VESSEL (TSV)
The fiscal year 2004 budget request includes $61,923,000 in Research, Development, Test and Evaluation, Army to fund the TSV program which presently consists of the HSV-X1 and the TSV-X1. The Committee is aware that both vessels were employed successfully in support of Operation Iraqi Freedom, and accordingly supports this program and the requested level of funding. The Committee is also aware that work remains to be done on this program in the areas of: modifications to the vessels; interoperability experimentation with the Marine Corps; implementing lessons learned from Operation Iraqi Freedom; and developing a TSV bridge simulator. Accordingly, the Committee urges the Army to allocate not less than $6,000,000 of the funds requested for fiscal year 2004 to continue work on these elements of the TSV program.
PROGRAM RECOMMENDED
The total program recommended in the bill will provide the following in fiscal year 2004.
RESEARCH, DEVELOPMENT, TEST AND EVALUATION, NAVY
------------------------------------------------
------------------------------------------------
Fiscal year 2003 appropriation $13,946,085,000
Fiscal year 2004 budget request 14,106,653,000
Committee recommendation 14,666,239,000
Change from budget request +559,586,000
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The appropriation provides funds for the research development, test and evaluation activities of the Department of the Navy.
COMMITTEE RECOMMENDATIONS
The Committee recommends an appropriation of $14,666,239,000 for Research, Development, Test and Evaluation, Navy. The following report and project level tables provide a summary of the Committee's recommendation.
EXPLANATION OF PROJECT LEVEL CHANGES
[In thousands of dollars]
RESEARCH AND DEVELOPMENT FUNDING REVIEW
The Committee is concerned that the justification material submitted in support of the fiscal year 2004 budget request does not identify, specifically, how investment in various research projects relates to SEAPOWER 21 objectives, increased capabilities, or validated Fleet requirements. The Committee believes it essential that research and development activities, especially in advanced and applied research, should be more aligned to support specific objectives. Therefore, the Committee requests the Navy to review its advanced and applied research initiatives funded with requested Research, Development, Test and Evaluation, Navy appropriations to ensure technology investment is aligned to provide maximum benefit for SEAPOWER 21 objectives, increased capabilities, and validated Fleet requirements.
BONE MARROW REGISTRY
The Committee recommends an increase of $34,000,000 to be administered by the C. W. Bill Young Marrow Donor Recruitment and Research Program, also known, and referred to, within the Naval Medical Research Center, as the Bone Marrow Registry. This Department of Defense donor center has recruited more than 300,000 Department of Defense volunteers, and provides more marrow donors per week than any other donor center in the Nation. There are currently 1,332 service members signed up to donate marrow at the center. The Committee is aware of the continuing success of this national and international life saving program for military contingencies and civilian patients, which now includes over 5,000,000 potential volunteer donors, and encourages agencies involved in contingency planning to continue to include the C. W. Bill Young Marrow Donor Recruitment and Research Program in the development and testing of their contingency plans. DD Form 1414 shall show this as a special congressional interest item, and the Committee directs that all of the funds appropriated for this purpose be released to the C. W. Bill Young Marrow Donor Recruitment and Research Program within 60 days of enactment of this fiscal year 2004 Defense Appropriations Act.
POWER PROJECTION AND APPLIED RESEARCH
The Committee recommends an increase of $2,000,000 for FireLidar technologies only to develop a non-thermal imaging system based on light detection and ranging technology. Current thermal imaging systems are `blinded' by thermal blooms from such things as fire that renders the imaging systems virtually useless. The goal of the recommendation is to develop a system to provide visualization of targets through flame and smoke obscured battlefields.
WARFIGHTER SUSTAINMENT APPLIED RESEARCH
The Committee recommends an increase of $5,000,000 only for continual improvements of low observable capabilities, with particular emphasis on caulk, sealant and gasket technologies involving the use of single-wall carbon nano-tube technologies. The Committee believes the Navy should expedite research, development and demonstration in this field of interest and issue contracts for this purpose as soon as practicable.
RESEARCH AND DEVELOPMENT IN CORE TECHNOLOGIES
In both fiscal years 2001 and 2002, the Committee directed the Secretary of the Navy to ensure full funding of core research and development projects, especially airborne reconnaissance projects, of the Naval Research Laboratory. Unfortunately, the Navy has not followed the Committee's direction. The Committee notes that senior leadership of the Department of Defense as well as Combatant Commanders consistently testify on the need to rapidly develop and procure these invaluable systems, and NRL plays a major role in such efforts. The Committee believes it necessary to adequately fund NRL core research and development activities and directs the Navy, once again, to ensure this is accommodated within the fiscal year 2005 budget request.
ANTI-SUBMARINE WARFARE (ASW) MASTER PLAN
The Committee is concerned that, heretofore, the Navy's approach to anti-submarine warfare (ASW) has not been a coordinated approach that takes advantage of emerging technologies, new processes, or various methods of monitoring activities of submarines, including intelligence collection platforms.
The Committee notes that recent events around the world have caused the Navy to re-examine the mission of anti-submarine warfare (ASW). The Chief of Naval Operations has established `Task Force ASW', to review and study options available for revamping the ASW mission by looking at the issue in a holistic approach rather than a piecemeal patchwork of sensors and platforms.
The Navy is requested to provide the Committee a full report on the results and recommendations of `Task Force ASW' as well as its plan for implementing the recommendations.
SSGN CONVERSION
The Committee recommends an increase of $2,500,000 only for integration of the tactical naval fires capability as part of the SSGN conversion. The focus of this effort is especially for the demonstration of a series of telemetered floating capsule release tests to confirm modeling and simulation. The recommended increase is also to be used to update system design to reduce schedule risk in the fiscal year 2005 program focused on system integration, system architecture development and encapsulation of TACMS in the SSGN class submarines.
ADVANCED SUBMARINE SYSTEM DEVELOPMENT
The Committee recommends an increase of $5,000,000 only for phase II of the advanced composite sail program. The success of the Navy's Phase I/LV Advanced Composite Sail program strongly suggests that composite material can impart improved performance, significant increased load carrying capacity, and stealth characteristics to submarine sails.
The fiscal year 2004 funding request for this program is below the fiscal year 2003 appropriated level. The recommended increase will help maintain the program at its current funding level to allow for the fabrication and test of full-scale elements and a full-scale sail.
LAND ATTACK TECHNOLOGY
The Committee directs consolidation of the JFN/TES-N/JSIPS-N programs into a single program management structure to streamline development and implementation of programs in support of time critical strike and FORCEnet objectives.
The Committee is pleased with the efforts of the Navy and the Air Force to develop a joint, open architecture for C4ISR through the Distributed Common Gropund Station (DCGS) to address time critical strike requirements and directs the continuation of these efforts.
TACTICAL AIR DIRECTIONAL INFRARED COUNTERMEASURES
The Committee recommends an increase of $14,000,000 only to continue and expand the Office of Naval Research advanced technology demonstration (ATD) called Tac Air Directed Infra-Red Counter-Measures (TADIRCM).
Navy and Air Force jet aircraft must currently operate at higher than optimum altitudes to avoid the threat of infra-red guided missiles, limiting the ability of these aircraft to effectively perform close air support, air interdiction, reconnaissance and forward air controller missions. To counter this threat, the Navy demonstrated an effective LASER infra-red counter-measure technology for tactical jet aircraft during a highly successful ATD. Although the TADIRCM ATD convincingly demonstrated the maturity of the technology in terms of effectiveness, demonstration of manufacturability and suitability/reliability in the harsh tactical aircraft and carrier flight deck environments is still required. The recommended increase should be used to conduct an initial suitability assessment obtained through an Early Operational Assessment (EOA), the results of which shall be reported back to the Committee within 60 days of EOA completion.
The Committee believes that TADIRCM technology could have direct applications to the Homeland Security challenge of defending the commercial aircraft fleet from similar threats. Therefore, the Committee recommends the Navy work closely with the Department of Homeland Security to ensure that potential application of this technology to address the commercial aircraft guided missile threat is considered and evaluated.
In addition, continued refinement of this technology could contribute to USAF efforts in the LAIRCM program while addressing the Joint Navy and USAF requirement for a LASER based infrared countermeasures system in a single, integrated pod.
SURFACE COMBATANT COMBAT SYSTEMS ENGINEERING
The Committee recommends an increase of $35,000,000 only for development, test and integration of an S Band radar suite for future surface combatants.
The Committee directs that the recommended increase not be obligated or expended until the Navy submits a report on its planned efforts, including the estimated cost of development and acquisition and the potential platform on which the Navy would place the radar.
SUBMARINE ACOUSTIC WARFARE DEVELOPMENT
The Committee recommends an increase of $5,000,000 only for the development of Submarine Launched Littoral Warfare Weapon and integration using a universal capsule.
The Committee requests the Navy review the relationship of the requirement for submarine launched weapons and arrays with the mission of the Littoral Combat Ship (LCS) to ensure no duplication of effort.
SATELLITE COMMUNICATIONS (SPACE)
The Navy requested $379,541,000 for the Mobile User Objective System (MUOS) satellite program. The Committee recommends $282,041,000, a net reduction of $97,500,000. This adjustment includes a $100,000,000 reduction for the Mobile User Objective System (MUOS) satellite program and a $2,500,000 increase only for the SPAWAR Covert Communication and Information Transfer (CCIT) project.
MUOS is the next generation replacement for the UHF Follow-On (UFO) satellite. The Navy acquisition plan assumes a contract award in mid-fiscal year 2004 for the risk reduction and design and development phase of the program. However, the assumed average monthly burn rate for the second half of fiscal year 2004 is almost 70 percent higher than the monthly amount budgeted for fiscal year 2005. Since most development programs ramp up in staffing and costs after the first year, it is likely the program will not expend these funds in a timely fashion and instead carry forward excessive unexpended balances into fiscal year 2005. Accordingly, the Committee recommendation includes a reduction of $100,000,000 to MUOS to bring the fiscal year 2004 burn rate more in line with follow-on years.
TORPEDO DEVELOPMENT
The Committee requests the Navy consider the initation of a low-cost torpedo development program that would produce a low life cycle cost torpedo for more effective littoral warfare using commercial off the shelf technology, composites, and modern electronics.
TACTICAL UNMANNED AERIAL VEHICLES
The Committee recommends an increase of $1,000,000 only to continue the development of lightweight, low power nuclear, chemical, and biological sensors and isotope identification techniques utilizing MEMS technology and innovative detection devices to identify airborne chemical/biological threats and hazardous material.
The Committee recommends an increase of $4,000,000 for the Joint Operational Test Bed that is only for the use of the Commander, U.S. Joint Forces Command for the JOTBS. These funds may be used to obtain unmanned aerial vehicle systems and subsystems for interoperability experimentation. The DD 1414 shall identify JOTBS as a special Congressional interest item.
The Committee recommends an increase of $3,500,000 for the Coastline Security Technology Initiative that is only for continuation of work with the Institute for Ocean and Systems Engineering to develop surface and airborne autonomous and remotely operated platform surveillance systems for deployment along U.S. coastlines.
The Committee recommends a reduction of $36,700,000 for the Tactical Control System (TCS) and terminates the program. The Committee's recommendation is based on the failure of TCS, after an investment of six years and almost $200,000,000, to produce a multi-Service interoperable UAV control system. The Committee supports UAV interoperability, however desired interoperability should focus on the development of standards of operation, not forcing the Services to be interoperable with a particular system and various levels of control.
The fiscal year 2004 request for TCS is focused on a single Service, Navy, and a single platform, the Broad Area Maritime Surveillance (BAMS) platform, which to date has not been determined. Another platform under consideration for TCS interoperability is the Navy's Pioneer, which is being transferred to the Marine Corps. This system, first deployed in 1996, is to be upgraded to provide the Marines with a limited level of medium altitude UAV coverage until 2010. The Navy's plan to invest over $6,000,000 in the Pioneer UAV appropriation to make it interoperable with TCS is not cost effective. The Marines Corps could instead pursue interoperability with the Army's Shadow 200 ground station.
AIRBORNE RECONNAISSANCE SYSTEMS
The Committee recommends an increase of $7,000,000 only for the development of the Advanced Airborne Image Processor (AAIP) for aided target acquisition and autonomous target cueing via sensor fusion, coherent change detection, moving target indication, and real-time image geolocation. It is the Committee's intent that the full $7,000,000 shall be set aside for this effort and that the DD 1414 show this as an item of Congressional interest.
MANNED RECONNAISSANCE SYSTEMS
The Committee recommends an increase of $4,000,000 only for pre-planned product improvements (P3I) for manned and unmanned platforms. These funds are to be used only for sensor upgrades to the Shared Reconnaissance Pod (SHARP) as follows: (1) the development of a prototype focal plane array with integrated electronic shutter technology; (2) autonomous zoom lens; and, (3) support the prototype development of cellular neural network airborne processors. It is the Committee's intent that the full $4,000,000 shall be set aside only for these upgrades to SHARP and that the DD 1414 show this as an item of Congressional interest.
LHA REPLACEMENT PROGRAM
The Committee recommends a reduction of $64,900,000 for the LHA Replacement and terminates the program. The Committee's recommendation is based on the lack of a definitive requirement, an incomplete analysis of alternatives (AOA), and the late award of the fiscal year 2003 design contract. The Committee is not convinced there is a valid requirement for the LHA Replacement program and has not yet been presented with information that the Navy has a well documented assessment of its value. Additionally, it is unclear that the Navy's long-term investment strategy can accommodate full funding of this program in the outyears.
Should the Navy determine it desires to proceed with the LHA Replacement program, the Committee would require the Navy submit a report that addresses, at a minimum: (1) the requirement, based on SEAPOWER 21 objectives; (2) the systems and platforms this program is intended to replace and a schedule for replacement; (3) total cost of development and acquisition; and, (4) the concept of how this platform would operate with other programs of record.
LITTORAL COMBAT SHIP (LCS)
The fiscal year 2004 budget includes $158,070,000 for the Littoral Combat Ship (LCS); the fiscal year 2003 appropriated level was $33,100,000. The LCS is a focused mission ship designed to optimize warfighting in the littoral battlespace. The LCS is the first ship designed specifically to meet a gap in requirements based on SEAPOWER 21 analysis.
The Committee is very supportive of the Navy's concept of the LCS. It is an innovative approach to meeting the threats and through the use of `mission modules' will be able to quickly transform to meet emerging threats. Future enhancements include the use of unmanned aerial vehicles and unmanned undersea vehicles. The spiral development approach will provide sufficient flexibility to implement the LCS in `flights', providing increasing levels of warfighting capability.
The Committee is concerned, however, with the lack of final requirements documentation and a spiral development plan for LCS. It is clear that the initial system will not provide all of the warfighting capabilities promised with LCS, but there is no definition of the requirement and no `roadmap' of how the Navy will achieve the system required. It is also of concern that LCS capabilities will overlap those of existing systems operating in the littoral battlespace, an issue that the Navy has not fully addressed.
The Committee requests the Navy submit by March 1, 2004, a final requirements document and a spiral development plan for advancing the LCS through its development and acquisition. Additionally, the Navy should continue to refine its concept of operations in the littoral battlespace to ensure no duplication of effort.
The Committee recommends an increase of $25,000,000 for LCS only to accelerate mission module development and the integration of these modules into LCS Flight 0. These funds may not be obligated or expended until the submission of the March 1, 2004 report previously requested.
The Committee recommends a reduction of $15,000,000 for the LCS. The Committee's recommendation is based on the lack of a final design or development plan for LCS.
DD(X)
The Committee is highly supportive of the Navy's concept of DD(X), but is concerned by the lack of a final decision on such elemental things as design requirements, including weight, size, and armament. In addition, the Navy's stated mission for DD(X) continues to evolve, making it difficult for the Committee to match the appropriation request to tasks the Navy desires to accomplish in fiscal year 2004. Although funds requested will be used to initiate Phase IV of DD(X), the Committee is not convinced the Navy has a clear acquisition strategy for this next phase.
The Committee is also concerned that the Navy and the Office of the Secretary of Defense (OSD) appear to have `withheld' a significant level of funds previously appropriated for DD(X). While the Committee recognizes a Navy and OSD tradition of not releasing all funds appropriated for programs for management flexibility and the application of certain financial adjustments, the percentage withheld from the DD(X) program appears greater than that applied to other programs.
The Committee recommends a reduction of $100,000,000 for DD(X) design. The Committee's recommendation is based on the lack of a definitive requirement, lack of a final decision on design, low execution of previously appropriated funds, and a lack of an acquisition strategy for Phase IV of DD(X).
The Committee recommends an increase of $20,000,000 for DD(X) which is only for developing an alternative engine as the prime power source. The Committee's intent is that the Navy pursue a risk mitigation strategy for the engine which could deliver overall program cost savings in a potential competitive scenario.
PROGRAM RECOMMENDED
The total program recommended in the bill will provide the following in fiscal year 2004.
RESEARCH, DEVELOPMENT, TEST AND EVALUATION, AIR FORCE
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------------------------------------------------
Fiscal year 2003 appropriation $18,822,569,000
Fiscal year 2004 budget request 20,336,258,000
Committee recommendation 20,704,267,000
Change from budget request +368,009,000
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This appropriation finances the research, development, test and evaluation activities of the Department of the Air Force.
COMMITTEE RECOMMENDATIONS
NORAD-FAA AIRSPACE SECURITY INTEGRATION
The Committee recommends $10,000,000 to deploy a prototype airspace security system for the National Capital Region. This prototype will integrate the sensor data and communications capabilities of the North American Air Defense Command's air defense system with the Federal Aviation Administration's air traffic control system. This automated interactive capability will allow for real time monitoring and improve cross-agency response to potential non-cooperative or threat aircraft.
LOW COST AUTONOMOUS ATTACK SYSTEM (LOCAAS)
The Committee is aware that the Air Force is currently conducting a transitional phase of LOCAAS development to reduce risk and to demonstrate the acquisition, tracking, attack and destruction of a moving target in fiscal year 2005. This current effort is anticipated to lead to a system design and development phase in fiscal year 2006 with an initial operating capability in fiscal year 2008. The Committee supports accelerating the LOCAAS program to adequately satisfy potential warfighting requirements and urges the Air Force to make a concerted effort to accelerate this program in future budget requests. The Committee has provided an additional $2,000,000 to accelerate development of LOCAAS in fiscal year 2004 with the intention of transitioning the current effort to an acquisition development program at the earliest possible opportunity.
ADVANCED WIDEBAND SYSTEM (AWS)
The Air Force requested $439,277,000 for the Advanced Wideband System. The Committee recommends $289,277,000, a reduction of $150,000,000. The Advanced Wideband System as currently envisioned would use satellite laser communications and internet protocols to provide a significant leap in communications bandwidth for the military, intelligence community, and NASA. Though the Committee strongly supports the need to address projected shortfalls in future communications, the Committee believes the extremely aggressive AWS acquisition schedule could ultimately become a rush to failure. According to GAO, 4 out of the 5 critical technologies required to make the program successful will still be immature at the start of system development. The current AWS acquisition strategy induces excessive risk as the program pursues fundamental technology development and detailed system design at the same time. The Committee is further concerned that these activities will occur prior to a firm understanding of detailed user requirements, a problem significantly exacerbated by the number and variety of users that must be satisfied with this system. Failure to define requirements adequately prior to system development has repeatedly been cited as a critical lesson learned in space programs generally, and most recently in the problem-plagued AEHF and SBIRS High satellite programs. Incredibly, DoD is pushing to acquire AWS on a pace that even exceeds the AEHF development schedule (known for its aggressive schedule) despite the significantly greater technical challenges associated with AWS.
The Committee believes system development should be deferred until maturity of critical technologies is attained. Therefore, the Committee recommends $289,277,000 for AWS, a reduction of $150,000,000. The Committee notes that funds provided are only for technology maturation and risk reduction activities. Since a more realistic AWS schedule will likely drive the need for additional AEHF and Wideband Gapfiller satellites, the Committee has provided additional advance procurement funding for these programs.
SPACE BASED RADAR (SBR)
The Air Force requested $274,104,000 for the Space Based Radar (SBR) program. The Committee recommends $174,104,000, a reduction of $100,000,000. The goal of the SBR program is to provide near-continuous global ground moving target indication and synthetic aperture radar imagery. Achieving this goal requires successful launch of approximately 20 satellites (plus spares) in low earth orbit with associated cost estimates generally approaching $25,000,000,000. Though the Committee believes the technology being developed under this program is worthwhile for a variety of satellite applications, the Committee is concerned that the large constellation and associated tasking, exploitation, processing, and dissemination (TPED) required to satisfy the SBR goal is ultimately unaffordable. The Committee notes that DoD is still evaluating program requirements, cost, concept of operations, and architecture. With affordability in question and fundamental program evaluations pending, the Committee recommends a reduction of $100,000,000. The funds provided for SBR are only for technology maturation and risk reduction activities.
NEXT GENERATION BOMBER
The budget request includes no funding for research and development into the Air Force's next generation long-range strike bomber. The Committee has provided an additional $100,000,000, an amount identical to that provided in the National Defense Authorization bill, as approved by the House. Funds are to be used to accelerate the development and procurement of the next generation bomber ahead of the service's current future years defense program.
ICBM-DEM/VAL
The budget request includes $67,632,000 for identifying methods to reduce life cycle costs, improve nuclear safety and surety, and ensure continued ICBM viability. Of this amount, $24,356,000 is for the ICBM Propulsion Applications program to accelerate the test planning for solid propulsion technologies as directed in the Nuclear Posture Review, an increase of $20,000,000 above the fiscal year 2003 appropriation. The Committee is concerned that the schedule leading to static tests is too aggressive and may be unachievable. Funding has been reduced by $10,000,000 to provide for a more realistic timeline until a level of performance can be demonstrated.
JOINT TACTICAL RADIO SYSTEM
The budget request includes $48,814,000 for system development and demonstration of the Joint Tactical Radio System (JTRS). The Air Force established an acquisition program office in late fiscal year 2002 and is the Service lead for developing the JTRS Airborne Cluster, which will address all Services' requirements for JTRS radios in more than sixty-five platforms.
The fiscal year 2004 request includes $10,000,000 to award the JTRS Cluster Phase 2 contract scheduled at the time of the budget submission, for the end of fiscal year 2004. However, according to officials at the Electronics System Center, the contract will not be awarded until November of 2004, the first quarter of fiscal year 2005. As this amounts to funding early-to-need, the Committee has reduced the request for the Phase 2 contract and expects that the Air Force will request this funding during consideration of the fiscal year 2005 budget.
JOINT AIR-TO-SURFACE STANDOFF MISSILE--EXTENDED RANGE
The budget request includes $31,216,000 for operational systems development of the Joint Air-to-Surface Standoff Missile, of which $20,000,000 is for development of an extended range (ER) version. As the Committee has noted in the missile procurement section of this report, the baseline JASSM missile has had several testing failures that remain unresolved. The Committee believes it is premature to increase the development program for the ER version to such a large degree while there is still uncertainty about the baseline weapon. The Committee has provided $10,000,000 of the request to allow for studies on potential modifications necessary for an ER version to continue, the same amount as provided in fiscal year 2003.
F-15E SQUADRONS
The budget request includes $112,085,000 for F-15E Squadrons operational system development, more than twice the amount appropriated in fiscal year 2003. Activities in this program have continually had schedule delays of up to 2 quarters, and the account is a frequent source for reprogrammings and higher Air Force priorities. The Committee recommends a reduction of $19,000,000 in fiscal year 2004 and will closely monitor the execution of the remaining program as a potential source for rescission.
PROGRAM RECOMMENDED
The total program recommended in the bill will provide the following in fiscal year 2004.
RESEARCH, DEVELOPMENT, TEST AND EVALUATION, DEFENSE-WIDE
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Fiscal year 2003 appropriation $17,924,642,000
Fiscal year 2004 budget request $17,974,257,000
Committee recommendation 18,763,791,000
Change from budget request +789,534,000
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The appropriation provides funds for the research, development, test and evaluation activities of the Department of Defense for defense-wide activities.
COMMITTEE RECOMMENDATIONS
CHEMICAL AND BIOLOGICAL DEFENSE PROGRAM
The Committee recommends continuing the `Chem-Bio Defense Initiatives Fund' within the Department's Chemical and Biological Defense program. The Committee's recommendations provide an increase of $25,000,000 for this fund. The Secretary of Defense is directed to allocate these funds among the programs which yield the greatest gain in our chem-bio defensive posture.
MULTI-WAVELENGTH SURFACE SCANNING BIOLOGICS SENSOR
The Committee recommends $2,000,000 only for the initiation of fabrication of a highly portable `beta' system with multi-wavelength excitation, improved spectral resolution, increased sensitivity, novel background mitigation for increased discrimination, miniature real-time processors for real-time operation, and high performance detection and identification of pathogenic biologics.
SPRAY COOLING MANUFACTURING ENGINEERING
The Committee is aware that spray cooling has been made part of the AAAV program and is under consideration for inclusion in the EA-6B, Global Hawk High Band Subsystem, and other defenses used because of its ability to increase electronic systems reliability and performance while leading to significant size and weight reduction. The Committee believes that spray cooling manufacturing engineering now needs to be developed to make this technology available for later production in many other military programs. Accordingly, the Committee has added funding above the request for PE 070811S, Industrial Preparedness Manufacturing Technology (DMEA), to support development of manufacturing engineering for spray cooling.
FACILITY SECURITY
The Committee recommends $7,500,000 only for the purpose of conducting and demonstrating an advanced facility security and emergency response Tactical Survey technology utilizing sophisticated immersive imagery embedded with tactical intelligence, highly accurate mapping and facility data for a high threat, mission critical Department of Defense facilities infrastructure.
RAMOS
The Committee notes that the Missile Defense Agency budget request for fiscal year 2004 includes $29,623,000 to continue the Russian American Observation Satellites (RAMOS) program. The Committee also understands that this program, which is not an operational element of the overall Ballistic Missile Defense System, has slowed because of the lack of a government-to-government agreement necessary to support the program. The Committee is concerned about the status of this program, and accordingly directs the Director of the Missile Defense Agency to submit to the House and Senate Committees on Appropriations a report, prior to conference on the fiscal year 2004 Department of Defense Appropriations bill, which provides the status of Russian action on the agreement described above, and the status of funding execution of the fiscal year 2003 program.
PROGRAM RECOMMENDED
The total program recommended in the bill will provide the following in fiscal year 2004.
OPERATIONAL TEST AND EVALUATION, DEFENSE
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Fiscal year 2003 appropriation $245,554,000
Fiscal year 2004 budget request $286,661,000
Committee recommendation 293,661,000
Change from budget request +7,000,000
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This appropriation funds the Operational Test and Evaluation activities of the Department of Defense.
COMMITTEE RECOMMENDATIONS
PROGRAM RECOMMENDED
The total program recommended in the bill will provide the following in fiscal year 2004.
TITLE V
REVOLVING AND MANAGEMENT FUNDS
DEFENSE WORKING CAPITAL FUNDS
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-----------------------------------------------
Fiscal year 2003 appropriation $1,784,956,000
Fiscal year 2004 budget request 1,721,507,000
Committee recommendation 1,721,507,000
Change from budget request
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The Committee recommends an appropriation of $1,721,507,000 for the Defense Working Capital Funds. The recommendation is an decrease of $63,449,000 below the amount appropriated for fiscal year 2003.
NATIONAL DEFENSE SEALIFT FUND
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Fiscal year 2003 appropriation $942,629,000
Fiscal year 2004 budget request 1,062,762,000
Committee recommendation 1,066,462,000
Change from budget request +3,700,000
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This appropriation provides funds for the lease, operation and supply of pre-positioning ships, operation of the Ready Reserve Force, and acquisition of ships for the Military Sealift Command, the Ready Reserve Force, and the Marine Corps.
COMMITTEE RECOMMENDATIONS
The Committee recommends an appropriation of $1,066,462,000 for the National Defense Sealift Fund.
TRAINING VESSEL
The Committee recommends an increase of $3,700,000 only for the conversion of a Navy ship to a training vessel for the Great Lakes Maritime Academy.
STRATEGIC SEALIFT CAPACITY
The Committee has provided $6,500,000 within funds appropriated for the National Defense Sealift Fund (NDSF) to finance the cost of constructing additional sealift capacity.
The Committee intends that the ships: (1) be designed for dual use applicability, both commercial and military; (2) use a technology that could represent a significant advancement in technology for military vessels, particularly with respect to advanced propulsion systems, and, (3) be suitable and appropriate for military use in the event of economic failure of commercial operations.
REFINED PETROLEUM PRODUCTS MARGINAL EXPENSE TRANSFER ACCOUNT
The request included the establishment of a Refined Petroleum Products Marginal Expense Transfer Account to cover the difference between the funds the Department of Defense budgets for the purchase of refined petroleum products and the actual market prices the Department pays for fuel, i.e. the additional marginal expense. As proposed, the indefinite appropriation would be available for the Department to cover those additional marginal expenses. The Congressional Budget Office estimates that this transfer account would cost $675,000,000 in fiscal year 2004. The Committee does not support the establishment of a Refined Petroleum Products Marginal Expense Transfer Account and believes that fuel costs should continue to be funded through the Defense Working Capital Fund.
TITLE VI
OTHER DEPARTMENT OF DEFENSE PROGRAMS
DEFENSE HEALTH PROGRAM
------------------------------------------------
------------------------------------------------
Fiscal year 2003 appropriation $14,843,542,000
Fiscal year 2004 budget request 15,270,509,000
Committee recommendation 15,613,159,000
Change from the budget request +342,650,000
------------------------------------------------
This appropriation funds the Defense Health Program of the Department of Defense.
COMMITTEE RECOMMENDATIONS
REPROGRAMMING
The Committee remains concerned regarding the transfer of funds from DoD military medical treatment facilities (MTFs) to pay for contractor-provided medical care. To limit such transfers within the Defense Health Program operation and maintenance account, the Committee directs that the Department of Defense shall follow prior approval reprogramming procedures for transfers with a cumulative value in excess of $25,000,000 into the Private Sector Care activity group.
In addition, the Committee directs that the Department of Defense shall provide budget execution data for all of the Defense Health Program accounts. Such budget execution data shall be provided quarterly to the congressional defense committees through the DD-COMP(M) 1002.
AIR FORCE HEALTH STUDY
The Committee is pleased with the Department's commitment to the Air Force Health Study (AFHS) and encourages the Department to continue the study. The Committee believes the study has applicability to a recent GAO report which highlighted deficiencies where health problems prevented the deployment of a significant number of Army reservists during the 1990-1991 Persian Gulf War. The Committee requests DoD consider the feasibility of using the Air Force Health Study's protocols and methodology to assess the health status of all early deploying reservists.
DEPARTMENT OF DEFENSE AND VETERANS AFFAIRS HEALTH CARE SHARING
The Committee is concerned that the DoD and the VA are not taking full advantage of opportunities to share health care facilities and services. The Colorado University School of Medicine has begun relocation to the site of the closed Fitzsimons Army Hospital. In order to continue its close relationship with the University, the Department of Veterans Affairs is currently considering replacement of the Denver VA Medical Center, an old facility that is currently co-located with the University's medical school. The committee believes that the Department of Defense should consider joint construction, maintenance, and operation of a joint DoD-VA facility at the Fitzsimons site. Such an approach would reduce costs for the VA and eliminate the need to build a Medical Treatment Facility at Buckley Air Force Base. The Committee directs the Department of Defense to review the benefits of this shared venture and report back to the congressional defense committees the results.
TYPE 2 DIABETES RESEARCH
The Committee is concerned over the growth of Type 2 Diabetes in the United States, not only as detected in our elder and veteran population, but more as it has been diagnosed in growing numbers of youths, teens and young adults. The increasing health care expenditures associated with the treatment of this disease are drastically on the rise. Without the proper medical care, monitoring and patient education, diabetes results in dire health consequences and is the fifth leading cause of death by diseases in this country. The Committee recognizes that early detection, diagnosis, and treatment are essential to reversing this trend. The Committee recommends $10,000,000 for coordinated efforts between the United States Air Force Medical Services and a rural medical Diabetes Center of Excellence to develop a model diabetes care continuum, advance treatment protocols, causal and trend analysis, and prevention programs for Type 2 diabetes.
FISCAL YEAR 2003 SUPPLEMENTAL APPROPRIATION
The Committee has grave concerns that the funds appropriated in the fiscal year 2003 Emergency Supplemental Appropriations Act (Public Law 108-11) for the Defense Health Program has not been fully released to the services. The Committee understands that the Department has released $200,000,000 of the $501,700,000 that was provided in this appropriation. The Committee directs the Department to release the remaining $301,700,000 immediately to the services for costs associated with Operation Iraqi Freedom and other ongoing operations, and to report to the Committee on Appropriations once this has been completed.
MTF OPTIMIZATION
Recent military operations have heightened the Committee's concern about the conditions at military medical treatment facilities, specifically with the conditions and equipment at Walter Reed Army Medical Center, Bethesda Naval Hospital and Landstuhl Army Medical Center. The Committee, and ultimately the Congress, provided additional funds in both the fiscal year 2001 Emergency Supplemental Appropriations Act (Public Law 107-20) and the fiscal year 2002 Defense Appropriations Act and Supplemental Appropriations (Public Law 107-117) to finance service and facility upgrades at military medical treatment facilities. The Committee recently learned that there was $70,000,000 of these funds remaining for optimization. The Committee directs the Department to use this money immediately for facility and equipment upgrades at Walter Reed Army Medical Center, Bethesda Naval Hospital and Landstuhl Army Medical Center. The Assistant Secretary of Defense for Health Affairs shall report to the Committee on Appropriations the details of the service and facility upgrades.
CHEMICAL AGENTS AND MUNITIONS DESTRUCTION, ARMY
-----------------------------------------------
-----------------------------------------------
Fiscal year 2003 appropriation $1,490,199,000
Fiscal year 2004 budget request 1,530,261,000
Committee recommendation 1,533,261,000
Change from budget request +3,000,000
-----------------------------------------------
This appropriation funds the Chemical Agents and Munitions Destruction activities of the Department of Army.
SIERRA ARMY DEPOT
The Committee has provided an additional $3,000,000 in Chemical Agents and Munitions Destruction, Army for the Sierra Army Depot Cryofracture/Plasma Arc Demilitarization Program.
PROGRAM RECOMMENDED
The total amount recommended in the bill will provide the following in fiscal year 2004.
DRUG INTERDICTION AND COUNTER-DRUG ACTIVITIES, DEFENSE
---------------------------------------------
---------------------------------------------
Fiscal year 2003 appropriation $881,907,000
Fiscal year 2004 budget request 817,371,000
Committee recommendation 817,371,000
Change from the budget
---------------------------------------------
This appropriation provides funds for Military Personnel; Operation and Maintenance; Procurement; and Research, Development, Test and Evaluation for drug interdiction and counter-drug activities of the Department of Defense.
COMMITTEE RECOMMENDATIONS
The Department of Defense requested $817,371,000 for Drug Interdiction and Counter-Drug Activities. The Committee recommends $817,371,000, the budget amount.
EXPLANATION OF PROJECT LEVEL CHANGES
| [In thousands of dollars] | |
| Young Marines | +2,000 |
| Florida National Guard Counter-Drug Activities | +2,500 |
| Indiana National Guard Counter-Drug Activities | +1,000 |
| National Interagency Civil-Military Institute | +3,000 |
| Southwest Border Fence | +5,700 |
| Kentucky National Guard Counter-Drug Activities | +3,000 |
| Multi-Jurisdictional Counter-Drug Task Force Training | +3,500 |
| Southwest Anti-Drug Border States Initiative | +10,000 |
| Intelligence, Surveillance, Reconnaissance and Tanker Support | -2,000 |
| Ground Based End Game Operations | -5,600 |
| Airborne Reconnaissance Low | -5,000 |
| Maritime Patrol Aircraft | -2,000 |
| Hemispheric Radar Systems | -1,000 |
| CN Command and Management System | -2,000 |
| Aerostats | -4,000 |
| Enhanced Peru/Colombia Support | -5,000 |
| SOF CD Support | -4,100 |
REPROGRAMMING AUTHORITY
The Committee is concerned that the Department routinely transfers funds into and out of projects without any notification to Congress. These transfers result in increases and decreases to Congressionally approved projects. Technically, since this is a central transfer account, these transfers may not violate any of the transfer conditions set by Congress, but the Committee encourages the Department to advise the Congress prior to such transfers so that the Committee may determine that they do not affect the Congressional intent established with the appropriation of these funds.
REDUCTIONS TO PROGRAMS AS A RESULT OF ACTIONS BY THE HOUSE ARMED SERVICES COMMITTEE
The Committee has followed the recommendations for program reductions contained in House Report 108-106 which accompanies H. R. 1588, the House-passed National Defense Authorization Act for fiscal year 2004. In two cases it has marginally exceeded those reductions based on its own investigations.
TETHERED AEROSTAT PROGRAM
The budget request includes $32,408,000 for the Aerostat program. The Committee recommends $28,408,000 a reduction of $4,000,000. Several Agencies of the Federal Government share a requirement for low-altitude surveillance of the Caribbean and Southwestern approaches into the United States. The funds provided will continue the operation of all existing Aerostat systems which contribute to this mission, but the Committee intends that none of the funds provided are to be used to upgrade the system until the reporting requirements contained in House Report 106-644 which accompanies the fiscal year 2001 Defense Appropriations Bill are met. Those requirements were designed to establish which agency of the Federal Government should be responsible for this program. The world has changed dramatically after the events of September 11, 2001 and that report and the decisions it entails are even more important now than when this Committee requested it three years ago. In view of the fact that the Department has been unable to manage the completion of this report, the Committee directs the Commander of United States Northern Command to take on the task of its completion. The Committee further directs that any funds necessary to complete this task be provided from this appropriation to the Commander of Northern Command in a timely manner if and when he requests them.
ENHANCED PERU/COLOMBIA SUPPORT
The Committee has reduced this appropriation by $5,000,000. The justification material accompanying the budget lacks clarity on the intentions of this program, which sound remarkably similar to appropriations already provided in the fiscal year 2003 supplemental Appropriations Act.
SPECIAL OPERATIONS COMMAND COUNTER-NARCOTICS SUPPORT
The budget request includes $24,203,000 for Special Operations Command Counter-Narcotics Support. The Committee recommends $20,103,000, a reduction of $4,100,000. The Special Operations Command and its personnel provide a unique capability to any mission they are asked to perform including Counter-Narcotics support. This reduction is taken without prejudice and is based on the fact that special operations forces are being increasingly engaged in other missions, which have precluded their work in this arena. The funds remaining after the Committee reduction in this appropriation still exceed the funding projected to be used in fiscal year 2003 by $2,237,000.
OFFICE OF THE INSPECTOR GENERAL
---------------------------------------------
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Fiscal year 2003 Appropriation $157,165,000
Fiscal year 2004 Budget Request 162,449,000
Committee Recommendation 162,449,000
Change from budget request
---------------------------------------------
The Committee recommends an appropriation of $162,449,000 for the Office of the Inspector General. Of this amount, $160,049,000 shall be for operation and maintenance, $2,100,000 shall be for procurement, and $300,000 shall be for research, development, test and evaluation. The recommendation is an increase of $5,284,000 above the amount appropriated for fiscal year 2003.
TITLE VII
RELATED AGENCIES
NATIONAL FOREIGN INTELLIGENCE PROGRAM
INTRODUCTION
The National Foreign Intelligence Program (NFIP) consists of those intelligence activities of the government that provide the President, other officers of the Executive Branch, and the Congress with national foreign intelligence on broad strategic concerns bearing on U.S. national security. These concerns are stated by the National Security Council in the form of long-range and short-range requirements for the principal users of intelligence.
The National Foreign Intelligence Program budget funded in the Department of Defense Appropriations Act consists primarily of resources for the Central Intelligence Agency, Defense Intelligence Agency, National Reconnaissance Office, National Security Agency, National Imagery and Mapping Agency, intelligence services of the Departments of the Army, Navy, and Air Force, Intelligence Community Management Staff, and the CIA Retirement and Disability Fund.
CLASSIFIED ANNEX
Due to the highly sensitive nature of intelligence programs, the results of the Committee's budget review are published in a separate, detailed and comprehensive classified annex. The intelligence community, Department of Defense and other organizations are expected to fully comply with the recommendations and directions in the classified annex accompanying the fiscal year 2004 Defense Appropriations Act.
CENTRAL INTELLIGENCE AGENCY RETIREMENT AND DISABILITY SYSTEM FUND
---------------------------------------------
---------------------------------------------
Fiscal year 2003 appropriation $222,500,000
Fiscal year 2004 budget request 226,400,000
Committee recommendation 226,400,000
Change from budget request
---------------------------------------------
This appropriation provides payments of benefits to qualified beneficiaries in accordance with the Central Intelligence Agency Retirement Act of 1964 for Certain Employees (P.L. 88-643), as amended by Public Law 94-522. This statute authorized the establishment of a CIA Retirement and Disability System (CIARDS) for certain CIA employees and authorized the establishment and maintenance of a fund from which benefits would be paid to those beneficiaries.
COMMITTEE RECOMMENDATIONS
The Committee recommends the budget request of $226,400,000 for the Central Intelligence Agency Retirement and Disability System Fund. This is a mandatory account.
INTELLIGENCE COMMUNITY MANAGEMENT ACCOUNT
---------------------------------------------
---------------------------------------------
Fiscal year 2003 appropriation $163,479,000
Fiscal year 2004 budget request 158,640,000
Committee recommendation 170,640,000
Change from budget request +12,000,000
---------------------------------------------
This appropriation provides funds for the activities that support the Director of Central Intelligence (DCI) and the intelligence community.
COMMITTEE RECOMMENDATIONS
The Committee recommends an appropriation of $170,640,000 for the Intelligence Community Management Account, an increase of $12,000,000 above the President's budget. Of the amount appropriated under this heading, $46,100,000 is for transfer to the Department of Justice for operations at the National Drug Intelligence Center (NDIC).
PAYMENT TO KAHO'OLAWE ISLAND CONVEYANCE, REMEDIATION, AND ENVIRONMENTAL RESTORATION FUND
--------------------------------------------
--------------------------------------------
Fiscal Year 2003 appropriation $75,000,000
Fiscal Year 2004 budget request
Committee recommendation
Change from budget request
--------------------------------------------
The Committee recommends an appropriation of $0 for the Payment to Kaho'olawe Island Conveyance, Remediation, and Environmental Restoration Fund, the amount proposed in the budget. The recommendation is $75,000,000 below the amount appropriated for fiscal year 2003.
NATIONAL SECURITY EDUCATION TRUST FUND
-------------------------------------------
-------------------------------------------
Fiscal year 2003 appropriation $8,000,000
Fiscal year 2004 budget request 8,000,000
Committee recommendation 8,000,000
Change from budget request
-------------------------------------------
The National Security Education Trust Fund was established to provide scholarships and fellowships to U.S. students to pursue higher education studies abroad and to provide grants to U.S. institutions for programs of study in foreign areas and languages.
COMMITTEE RECOMMENDATIONS
The Committee recommends $8,000,000 for the National Security Education Trust Fund. The recommendation is the same as the request and the amount appropriated in fiscal year 2003.
TITLE VIII
GENERAL PROVISIONS
The accompanying bill includes 125 general provisions. Most of these provisions were included in the Department of Defense Appropriations Act for fiscal year 2004 and many have been included in the Defense Appropriations Act of a number of years.
Actions taken by the Committee to amend last year's provisions or new provisions recommended by the Committee are discussed below or in the applicable section of the report.
DEFINITION OF PROGRAM, PROJECT AND ACTIVITY
For purposes of the Balanced Budget and Emergency Deficit Control Act of 1985 (Public Law 99-177) as amended by the Balanced Budget and Emergency Deficit Control Reaffirmation Act of 1987 (Public Law 100-119) and by the Budget Enforcement Act of 1990 (Public Law 101-508, the following information provides the definition of the term `program, project, and activity' for appropriations contained in the Department of Defense Appropriations Act. The term `program, project, and activity' shall include the most specific level of budget items, identified in the Department of Defense Appropriations Act, 2004, the accompanying House and Senate Committee reports, the conference report and the accompanying joint explanatory statement of the managers of the Committee in Conference, the related classified reports, and the P-1 and R-1 budget justification documents as subsequently modified by Congressional action.
In carrying out any Presidential sequestration, the Department of Defense and agencies shall conform to the definition for `program, project, and activity' set forth above with the following exceptions:
For Military Personnel and Operation and Maintenance accounts the term `program, project, and activity' is defined as the appropriations accounts contained in the Department of Defense Appropriations Act.
The Department and agencies should carry forth the Presidential sequestration order in a manner that would not adversely affect or alter Congressional policies and priorities established for the Department of Defense and the related agencies and no program, project, and activity should be eliminated or be reduced to a level of funding which would adversely affect the Department's ability to effectively continue any program, project, and activity.
HOUSE OF REPRESENTATIVES REPORTING REQUIREMENTS
The following items are included in accordance with various requirements of the Rules of the House of Representatives:
CHANGES IN THE APPLICATION OF EXISTING LAW
Pursuant to clause 3(f)(1) of rule XIII of the Rules of the House of Representatives, the following statements are submitted describing the effect of provisions in the accompanying bill which directly or indirectly change the application of existing law.
Language is included in various parts of the bill to continue on-going activities which require annual authorization or additional legislation, which to date has not been enacted.
The bill includes a number of provisions which place limitations on the use of funds in the bill or change existing limitations and which might, under some circumstances, be construed as changing the application of existing law.
The bill includes a number of provisions, which have been virtually unchanged for many years, that are technically considered legislation.
The bill provides that appropriations shall remain available for more than one year for some programs for which the basic authorizing legislation does not presently authorize each extended availability.
In various places in the bill, the Committee has earmarked funds within appropriation accounts in order to fund specific programs and has adjusted some existing earmarking.
Those additional changes in the fiscal year 2004 bill, which might be interpreted as changing existing law, are as follows:
APPROPRIATIONS LANGUAGE
Language has been amended in the Military Personnel appropriations to delete language which would have allowed for the consolidation of the Guard and Reserve Personnel appropriations with their respective active duty appropriation.
Language has been amended in `Operation and Maintenance, Army' which changes the amount provided for emergency and extraordinary expenses.
Language has been amended in `Operation and Maintenance, Navy' which changes the amount provided for emergency and extraordinary expenses.
Language has been deleted in `Operation and Maintenance, Air Force' which earmarks funds for Air Force aircrews to operate and evaluate the United Kingdom's Royal Air Force EH-101 helicopters, and amends language to change the amount provided for emergency and extraordinary expenses.
Language has been amended in `Operation and Maintenance, Defense-Wide' which earmarks funds for a grant to Outdoor Odyssey, Roaring Run, Pennsylvania, and amends the amount available for expenses related to certain classified activities.
Language has been amended in `Overseas Humanitarian, Disaster, and Civic Aid' which changes a citation reference in title 10, United States Code.
Language has been deleted in `Former Soviet Union Threat Reduction' which earmarks funds for the dismantling and disposal of nuclear submarines and submarine reactor components.
The appropriations account `Support for International Sporting Competitions, Defense' has been deleted.
Language has been deleted in `Aircraft Procurement, Army' which earmarks funds only to support a restructured CH-47F helicopter upgrade program, and deletes language which requires certain certification requirements.
Language has been included in `Procurement of Weapons and Tracked Combat Vehicles, Army' which earmarks funds only to support the advance procurement items for the fifth and sixth Stryker Brigade Combat Teams.
Language has been amended in `Other Procurement, Army' which changes the number of passenger motor vehicles required for physical security of personnel.
Language has been amended in `Other Procurement, Navy' which changes the number of passenger motor vehicles required for physical security of personnel.
Language has been deleted in `Aircraft Procurement, Air Force' to delete the reference to leasing of aircraft, and language has been deleted which provides funds for the advance procurement of 15 C-17 aircraft.
Language has been amended in `Other Procurement, Air Force' which changes the number and price limitations of passenger motor vehicles required for physical security of personnel.
Language has been included in `Procurement, Defense-Wide' for the purchase of three passenger motor vehicles for the Defense Security Service.
Language has been deleted in `Defense Production Act Purchases' which provides funding for the development of affordable production methods and a domestic supplier for military and commercial processible rigid-rod materials.
Language has been included in `Research, Development, Test and Evaluation, Army' which earmarks funds for Molecular Genetics and Musculoskeletal Research.
Language has been included in `Research, Development, Test and Evaluation, Navy' making funds available for the Cobra Judy Program.
Language has been deleted in `Defense Working Capital Funds' which provides passenger motor vehicles required for replacement only for the Defense Security Service.
Language has been amended in `National Defense Sealift Fund' which changes the amount available to finance the cost of constructing additional sealift capacity.
Language has been deleted in `Defense Health Program' which earmarks funds for HIV/AIDS prevention programs.
Language has been added in `Chemical Agents and Munitions Destruction, Army' which provides up to $132,677,000 for the Chemical Stockpile Emergency Preparedness Program, and earmarks funds for activities on military installations and to assist state and local governments.
Language has been included in `Office of the Inspector General' which earmarks funds for Research, Development, Test and Evaluation.
Language has been included in `Intelligence Community Management Account' which amends language that earmarks funds for the advanced Research and Development Committee, and amends language that earmarks funds for the National Drug Intelligence Center.
The appropriations paragraph `Payment to Kaho'olawe Island Conveyance, Remediation, and Environmental Restoration Fund' has been deleted.
GENERAL PROVISIONS
Section 8005 has been amended which increases the level of general transfer authority for the Department of Defense, and deletes language which amended Public Law 107-117.
Section 8008 has been amended to delete language providing multiyear procurement authority for C-130 aircraft, F/A-18E/F engines and Family of Medium Tactical Vehicles; and adds multiyear authority for F/A-18 aircraft, E-2C aircraft and Tactical Tomahawk missiles.
Section 8009 has been amended to change the date for submission of the report pertaining to the funds obligated for humanitarian and civic assistance costs.
Section 8014 has been amended to require an analysis that includes a most efficient and cost effective organization plan, and a certification that projected savings of the competition exceed the minimum conversion differential.
Section 8018 has been amended to make permanent the provision for establishing accounts to receive amounts negotiated for the return of U.S. military installations in NATO member states.
Section 8025 has been amended to make permanent the provision affording qualified nonprofit agencies the opportunity to participate as subcontractors and suppliers in the performance of contracts.
Section 8028 has been amended to include Civil Air Patrol Counter Drug activities.
Section 8032 has been amended to make permanent the provision which permits acquiring depot maintenance, repairs or modifications to vehicles, vessels and aircraft through competition between DoD depot maintenance activities and private firms.
Section 8035 has been amended to change a citation reference to the United States Code.
Section 8040 has been amended to increase the investment item unit cost up to $250,000.
Section 8045 prescribes that entities of the Department of Defense must comply with the Buy American Act when expending appropriated funds. The Committee intends to thoroughly review the Department's buying practices for aircraft and ground vehicle tires and tank track to determine compliance with the relevant Buy American Act provisions. The Committee expects this matter to be a subject for consideration during the House-Senate conference on this Act.
Section 8049 has been amended to include language which rescinds $139,350,000 from the following programs:
| (Rescissions) | |
| 2002 Appropriations: | |
| Shipbuilding and Conversion, Navy: Cruiser Conversion | $25,600,000 |
| 2003 Appropriations: | |
| Aircraft Procurement, Army: | |
| Chinook | 39,100,000 |
| A2C2S | 8,000,000 |
| Other Procurement, Army: Advanced Aviation Instrumentation Training Simulator (AAITS) | 8,000,000 |
| Missile Procurement, Air Force: Titan | 27,000,000 |
| Other Procurement, Air Force: Classified | 30,000,000 |
| Research, Development, Test and Evaluation, Army: Environmental Medical Unit | 1,650,000 |
Section 8064 has been amended to delete language prohibited the dismantling of national memorials commemorating United States participation in World War I.
Section 8071 has been amended to include language that makes permanent the provision permitting the obligation of funds appropriated in title II of this Act and for the Defense Health Program in title VI of this Act for supervision and administration costs for facilities maintenance and repair, minor construction, or design projects that may be obligated at the time the reimbursable order is accepted by the performing activity.
Section 8072 has been amended to include language that makes permanent the provisions that the Chief of the National Guard Bureau may permit the use of equipment of the National Guard Distance Learning project by any person or entity on a space-available, reimbursable basis.
Section 8083 has been amended to include language which makes permanent the provision that refunds attributable to the use of the government travel card and purchase card, and refunds attributable to Government travel arranged by Government contracted Travel Management Centers may be credited to operation and maintenance accounts of the Department of Defense.
Section 8084 has been amended to include language which requires all financial management automated information systems in excess of $1,000,000 be reviewed by the Under Secretary of Defense (Comptroller) for certification as to compliance with financial management modernization plan.
Section 8091 has been amended which makes funds available for transfer to other activities of the Federal Government from `Research, Development, Test and Evaluation, Defense-Wide', and also provides for the transfer of funds from `Operation and Maintenance, Army'.
Section 8093 has been amended which provides funds for a grant to the Fisher House Foundation.
Section 8094 has been amended which reduces funds available for operation and maintenance to reflect savings in advisory and assistance services.
Section 8095 has been amended which reduces the amount available for transfer to fund increases in the cost of prior year shipbuilding programs.
Section 8099 has been amended which reduces funds available for operation and maintenance to reduce cost growth in Information Technology, and deletes language which applied the reduction proportionally.
Section 8101 has been amended which reduces funds available for operation and maintenance to reflect cash balance and rate stabilization adjustments in the Department of Defense Working Capital Funds.
Section 8102 has been amended which reduces funds available for `Operation and Maintenance, Navy' to reflect excess funded carryover adjustments in the Department of Defense Working Capital Funds.
Section 8103 has been amended which provides $5,500,000 in `Operation and Maintenance, Army National Guard' only for a grant to the Center for Military Recruitment, Assessment and Veterans Employment.
Section 8104 has been amended to make permanent the provision that funds available to the military departments for Operation and Maintenance may be used to support chaplain-led programs to assist members of the Armed Forces and their immediate family members in building and maintaining a strong family structure.
Section 8107 has been amended which provides a grant for the American Red Cross and the Intrepid Sea-Air-Space Foundation, and deletes language which provides funds for the United Service Organizations, Incorporated.
Section 8111 has been added which allows the Navy to liquidate the expenses incurred for private security guard services at the Naval Support Unit, Saratoga Springs, New York.
Section 8112 has been added which provides funds for the Regional Defense Counter-terrorism Fellowship program.
Section 8113 has been added which provides for the conveyance of land to the Veterans Home of California-Barstow.
Section 8114 has been added which prohibits the use of funds appropriated or made available in this Act to be used to reduce or disestablish the operation of the 53rd Weather Reconnaissance Squadron of the Air Force Reserve.
Section 8115 has been added which provides for the conveyance of land to the Inland Valley Development Agency.
Section 8116 has been added which provides the Navy authority to enter into a contract for the charter the RV CORY CHOUEST.
Section 8117 has been added which provides a grant to the Silver Valley Unified School District for the purpose of school construction at Fort Irwin, California.
Section 8118 has been added which reduces the amount available in certain Operation and Maintenance accounts for efficiencies in the management of miscellaneous or `other' contracts.
Section 8119 has been added which reduces the amount available in `Operation and Maintenance, Air Force', to reflect cash balance and rate stabilization adjustments in the DoD Transportation Working Capital Fund.
Section 8120 has been added which rescinds funds available in chapter 3 of title I of the Emergency Wartime Supplemental Appropriations Act, 2003 (Public Law 108-11). The Committee notes that many of the planning assumptions that formed the basis of the Department's supplemental estimates have changed since the supplemental was enacted into law, and the timing of transition to redeployment and reconstitution operations is uncertain. Budget execution information highlights the difficulty in determining the timing and amounts required for ongoing operations, reconstitution, equipment recapitalization and munitions replacement.
Based on the uncertainty of the timing and amounts required for activities supported by the Iraq Freedom Fund as well as overall fiscal constraints, the Committee believes that rescission of $2,000,000,000 from the Iraq Freedom Fund, as an offset to address more clearly defined fiscal year 2004 requirements, is appropriate at this time.
Section 8121 has been added which allows the Secretary of Defense to make additional payments to those local educational agencies who have children with severe disabilities.
Section 8122 has been added which prohibits the transfer of funds made available in the Act to any department or agency, except pursuant to a transfer made by or transfer authority provided in, this Act or any other appropriations Act.
Section 8123 has been added prohibiting the use of funds appropriated or made available in this Act to be used to implement an amendment to DoD Directive 1344.7, `Personal Commercial Solicitation on DoD Installations', until 90 days after the Secretary of Defense submits a report to Congress on the reasons for the amendment.
Section 8124 has been added which places limitations on the deployment of the Terrorism Information Awareness program.
Section 8125 has been added which directs the Secretary of the Navy to close Naval Station Roosevelt Roads.
APPROPRIATIONS NOT AUTHORIZED BY LAW
Pursuant to clause 3(f)(1) of rule XIII of the Rules of the House of Representatives, the following table lists the appropriations in the accompanying bill which are not authorized by law:
[In thousands of dollars]
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Agency/program Last year of authorization Authorization level Appropriations in last year of authorization Appropriations in this bill
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Military Personnel, Army 2003 (1) 26,855,017 28,233,436
Military Personnel, Navy 2003 (1) 21,927,628 23,052,001
Military Personnel, Marine Corps 2003 (1) 8,501,087 8,962,197
Military Personnel, Air Force 2003 (1) 21,981,277 23,121,003
Reserve Personnel, Army 2003 (1) 3,374,355 3,568,625
Reserve Personnel, Navy 2003 (1) 1,907,552 1,983,153
Reserve Personnel, Marine Corps 2003 (1) 553,983 571,444
Reserve Personnel, Air Force 2003 (1) 1,236,904 1,267,888
National Guard Personnel, Army 2003 (1) 5,114,588 5,382,719
National Guard Personnel, Air Force 2003 (1) 2,125,161 2,140,598
Operation and Maintenance, Army 2003 23,922,251 23,992,082 24,903,992
Operation and Maintenance, Navy 2003 29,264,939 29,331,526 28,060,240
Operation and Maintenance, Marine Corps 2003 3,559,636 3,585,759 3,440,456
Operation and Maintenance, Air Force 2003 27,419,488 27,339,533 26,689,043
Operation and Maintenance, Defense-Wide 2003 14,145,310 14,707,506 16,124,455
Operation and Maintenance, Army Reserve 2003 1,985,110 1,970,180 2,031,309
Operation and Maintenance, Navy Reserve 2003 1,233,759 1,236,809 1,171,921
Operation and Maintenance, Marine Corps Reserve 2003 189,532 187,532 173,952
Operation and Maintenance, Air Force Reserve 2003 2,160,604 2,163,104 2,144,188
Operation and Maintenance, Army National Guard 2003 4,155,067 4,261,707 4,325,231
Operation and Maintenance, Air National Guard 2003 4,104,810 4,117,585 4,424,046
Overseas Contingency Operations Transfer Fund 2003 17,844 5,000 5,000
United States Court of Appeals for the Armed Forces 2003 9,614 9,614 10,333
Environmental Restoration, Army 2003 395,900 395,900 396,018
Environmental Restoration, Navy 2003 256,948 256,948 256,153
Environmental Restoration, Air Force 2003 389,773 389,773 384,307
Environmental Restoration, Defense-Wide 2003 23,498 23,498 24,081
Environmental Restoration, Formerly Used Defense Sites 2003 252,102 246,102 221,369
Overseas Humanitarian, Disaster, and Civic Aid 2003 58,400 58,400 59,000
Former Soviet Union Threat Reduction 2003 416,700 416,700 450,800
Support for International Sporting Competitions, Defense 2003 19,000 19,000 0
Aircraft Procurement, Army 2003 2,186,296 2,285,574 2,180,785
Missile Procurement, Army 2003 1,152,299 1,096,548 1,533,462
Procurement of Weapons & Tracked Combat Vehicles, Army 2003 2,276,751 2,266,508 1,956,504
Procurement of Ammunition, Army 2003 1,229,533 1,253,099 1,355,466
Other Procurement, Army 2003 5,857,814 5,874,674 4,547,596
Aircraft Procurement, Navy 2003 8,979,275 8,812,855 9,030,148
Weapons Procurement, Navy 2003 2,375,349 1,868,517 2,205,634
Procurement of Ammunition, Navy and Marine Corps 2003 1,170,750 1,165,730 941,855
Shipbuilding and Conversion, Navy 2003 9,111,023 9,032,837 11,453,098
Other Procurement, Navy 2003 4,494,754 4,612,910 4,784,742
Procurement, Marine Corps 2003 1,355,491 1,388,583 1,200,499
Aircraft Procurement, Air Force 2003 12,676,505 13,137,255 11,877,051
Missile Procurement, Air Force 2003 3,504,139 3,174,739 4,235,505
Procurement of Ammunition, Air Force 2003 1,290,764 1,288,164 1,279,725
Other Procurement, Air Force 2003 10,846,048 10,672,712 11,195,159
Procurement, Defense-Wide 2003 3,691,604 3,414,455 3,803,776
National Guard and Reserve Equipment 2003 0 100,000 100,000
Defense Production Act Purchases 2003 0 73,057 67,516
Research, Development, Test and Evaluation, Army 2003 7,158,256 7,669,656 10,186,272
Research, Development, Test and Evaluation, Navy 2003 13,244,164 13,946,085 14,666,239
Research, Development, Test and Evaluation, Air Force 2003 18,337,078 18,822,569 20,704,267
Research, Development, Test and Evaluation, Defense-Wide 2003 17,659,099 17,524,596 18,763,791
Operational Test and Evaluation, Defense 2003 311,554 245,554 293,661
Defense Working Capital Funds 2003 387,156 1,784,956 1,721,507
National Defense Sealift Fund 2003 934,129 942,629 1,066,462
Kaho'olawe Island Conveyance Remediation, and Environmental Restoration Trust Fund 2003 25,000 75,000 0
Defense Health Program 2003 14,468,994 14,843,542 15,613,159
Chemical Agents & Munitions Destruction, Army:
Operation and maintenance 2003 974,238 974,238 1,199,168
Procurement 2003 213,278 213,278 79,212
Research, development, test, and evaluation 2003 302,683 302,683 254,881
Drug Interdiction and Counter-Drug Activities, Defense 2003 859,907 881,907 817,371
Office of the Inspector General 2003 157,165 157,165 162,449
CIA Retirement & Disability System Fund 2003 222,500 222,500 226,400
Intelligence Community Management Account 2003 163,479 163,479 170,640
Transfer to Dept of Justice 2003 (34,100) (46,100)
National Security Education Trust Fund 2003 8,000 8,000
Sec. 8005 2003 (2,500,000) (2,500,000)
Sec. 8021 2003 8,000 8,000
Sec. 8029 2003 -74,200 -74,200
Sec. 8035 2003 29,730 31,000
Sec. 8038 2003 1,000 1,331
Sec. 8049 2003 -402,750 -139,350
Sec. 8083 2003 10,000 44,000
Sec. 8107 2003 8,100 6,500
Sec. 8093 2003 1,700 2,000
Sec. 8094 2003 -850,000 -172,500
Sec. 8099 2003 -400,000 -320,000
Sec. 8101 2003 -120,000 -539,000
Sec. 8102 2003 -48,000 -67,000
Sec. 8103 2003 3,400 5,500
Sec. 8119 0 -600,000
Sec. 8118 0 -294,000
Sec. 8117 0 20,000
Sec. 8120 0 -2,000,000
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TRANSFER OF FUNDS
Pursuant to clause 3(f)(2) of rule XIII of the Rules of the House of Representatives, the following is submitted describing the transfer of funds provided in the accompanying bill.
TRANSFERS
Language has been included in `Operation and Maintenance, Army' which provides for the transfer of funds to Fort Baker.
Language has been included in `Operation and Maintenance, Defense-Wide' which provides for the transfer of funds relating to classified activities.
Language has been included in `Overseas Contingency Operations Transfer Account' which provides for the transfer of funds out of and into this account.
Language has been included in `Environmental Restoration, Army' which provides for the transfer of funds out of and into this account.
Language has been included in `Environmental Restoration, Navy' which provides for the transfer of funds out of and into this account.
Language has been included in `Environmental Restoration, Air Force' which provides for the transfer of funds out of and into this account.
Language has been included in `Environmental Restoration, Defense-Wide' which provides for the transfer of funds out of and into this account.
Language has been included in `Environmental Restoration, Formally Used Defense Sites' which provides for the transfer of funds out of and into this account.
Language has been included in `Drug Interdiction and Counter-Drug Activities Defense' which transfers funds to other appropriations accounts of the Department of Defense.
Language has been included in `Intelligence Community Management Account' which provides for the transfer of funds to the Department of Justice for the National Drug Intelligence Center.
Ten provisions (Sections 8005, 8006, 8015, 8028, 8035, 8038, 8058, 8069, 8091, 8095, 8122) contain language which allows transfer of funds between accounts.
RESCISSIONS
Pursuant to clause 3(f)(2) of rule XIII of the Rules of the House of Representatives, the following table is submitted describing the rescissions recommended in the accompanying bill:
| Iraq Freedom Fund, 2003/2004 | $2,000,000,000 |
| Aircraft Procurement, Army, 2003/2005 | 47,100,000 |
| Other Procurement, Army, 2003/2005 | 8,000,000 |
| Shipbuilding and Conversion, Navy, 2002/2006 | 25,600,000 |
| Missile Procurement, Air Force, 2003/2005 | 27,000,000 |
| Other Procurement, Air Force, 2003/2005 | 30,000,000 |
| Research, Development, Test and Evaluation, Army, 2003/2004 | 1,650,000 |
STATEMENT OF GENERAL PERFORMANCE GOALS AND OBJECTIVES
Pursuant to clause 3(c)(4) of rule XIII of the Rules of the House of Representatives, the following is a statement of general performance goals and objectives for which this measure authorizes funding:
The Committee on Appropriations considers program performance, including a program's success in developing and attaining outcome-related goals and objectives, in developing funding recommendations.
CONSTITUTIONAL AUTHORITY
Clause 3(d)(1) of rule XIII of the Rules of the House of Representatives states that:
Each report of a committee on a bill or joint resolution of a public character, shall include a statement citing the specific powers granted to the Congress in the Constitution to enact the law proposed by the bill or joint resolution.
The Committee on Appropriations bases its authority to report this legislation from Clause 7 of Section 9 of Article I of the Constitution of the United States of America which states:
No money shall be drawn from the Treasury but in consequence of Appropriations made by law * * *
Appropriations contained in this Act are made pursuant to this specific power granted by the Constitution.
COMPARISON WITH THE BUDGET RESOLUTION
Clause 3(c)(2) of rule XIII of the Rules of the House of Representatives requires an explanation of compliance with section 308(a)(1)(A) of the Congressional Budget and Impoundment Control Act of 1974 (Public Law 93-344), as amended, which requires that the report accompanying a bill providing new budget authority contain a statement detailing how that authority compares with the reports submitted under section 302 of the Act for the most recently agreed to concurrent resolution on the budget for the fiscal year from the Committee's section 302(a) allocation. This information follows:
[In millions of dollars]
---------------------------------------------
302(b) allocation This bill
---------------------------------------------
Discretionary:
Budget authority 368,662 368,662
Outlays 389,367 388,846
Mandatory:
Budget authority 528 528
Outlays 528 528
---------------------------------------------
FIVE-YEAR OUTLAY PROJECTIONS
In compliance with section 308(a)(1)(B) of the Congressional Budget and Impoundment Control Act of 1974 (Public Law 93-344), as amended, the following table contains five-year projections associated with the budget authority provided in the accompanying bill.
| (Millions) | |
| Budget Authority | 369,190 |
| Outlays: | |
| 2004 | 251,171 |
| 2005 | 80,962 |
| 2006 | 23,038 |
| 2007 | 6,644 |
| 2008 and beyond | 4,756 |
FINANCIAL ASSISTANCE TO STATE AND LOCAL GOVERNMENTS
In accordance with section 308(a)(1)(C) of the Congressional Budget and Impoundment Control Act of 1974 (Public Law 93-344), as amended, no new budget or outlays are provided by the accompanying bill for financial assistance to State and local governments.
ADDITIONAL VIEWS
The Defense Subcommittee is perhaps the most bipartisan of all of the Appropriations subcommittees, and the Appropriations Committee is the most bipartisan committee in the House. It is in that Spirit I raise a matter of deadly importance--a matter about which many members have raised concerns and all members should be aware. It involves intelligence, specifically the intelligence gathering and analysis used in support of Operation Iraqi Freedom.
The following discussion is based largely on published reports that purportedly relied on interviews with intelligence officials and military officers. While no one on the Committee can know with certainty the extent to which those reports are accurate--and we do not now have enough information to reach specific conclusions--the Committee staff's review of these reports find much of what was reported to be credible.
In addition to the CIA, which is an independent agency, there are four major intelligence organizations inside the Department of Defense. All of these entitles are funded in this bill. The press stories referred to above argue that a group of civilian employees in the Office of the Secretary of Defense (OSD), some of whom are political appointees, have long been dissatisfied with the information produced by the established intelligence agencies both inside and outside of the Department. This was particularly true with respect to the situation in Iraq and the reports that these agencies produced regarding Sadaam Hussein, his regime, and the general political and military situation in that country.
As a result a special operation was established within the Office of the Secretary of Defense's Office of Special Plans. This cadre of handpicked officials was charged with collecting, vetting, and disseminating intelligence information outside of the normal intelligence apparatus. In fact, it appears that information collected by this office was, in some instances, not shared with established intelligence agencies and, further, passed on to the National Security Council and the President not having been vetted with anyone other that certain OSD political appointees. Perhaps most troubling of all, the articles claim that the purpose of this operation was not only to develop intelligence supporting the cadre's pre-held views about Iraq, but to intimidate analysts in the established intelligence organizations to produce information that supported policy decisions which they had already decided to propose.
There is considerable discussion regarding the intelligence about weapons of mass destruction. It would be unfortunate if this issue were subsumed by the question of whether or not Hussein had such weapons. First, we don't know at this point, but my personal suspicion is that he did. Second, measuring the quality of our intelligence operations requires more than simply determining whether the data collection and analysis on any single issue--like the WMD issue--was right or wrong. For instance, did we reach the right conclusion based on good information or by happenstance?
The allegations made in these reports go well beyond the issue of WMD to the integrity of our intelligence operations overall. To wit: It appears that the office in question also challenged the intelligence community's estimates on the number of troops that would be required for a successful invasion. OSD political appointees maintained regular contact with sources in the Iraqi National Congress who in turn maintained contact with sources inside of Iraq. Based on information obtained from these sources, the political appointees argued that the conclusions of the Intelligence Community, the Joint Chiefs and, in particular, Army Chief of Staff General Eric Shinseki were in error, and that the invasion could be successfully carried out with fewer than 50,000 troops. While the Chiefs eventually deployed most of the troops they requested, it appears that the invasion was both lighter than they would have desired and lighter than what was required: the inability to fully protect supply lines may have resulted in the loss of life; and, the shortage of available personnel did in fact leave certain critical sites such as nuclear facilities unprotected.
This is incredibly serious business. Understanding what we did or did not do that we should have done in Iraq is important, but it is far more important with respect to shaping what we will do in the future. How will the intelligence that the President and Congress will use to make policy decisions about Korea be assembled? Will the long established mechanisms to collect, evaluate, and disseminate intelligence be used or will we again fall back on the ad hoc efforts of this self appointed group of experts?
It is important to note that the Secretary has now established a new office led by the Undersecretary of Defense for Intelligence. This office will have more that 100 people and it is widely believed in the intelligence community that the office was created for the express purpose of pressuring analysts to produce information that supports predetermined policies. Will this office stand between our war fighters and the information they need? Will the Undersecretary compete with the Director of Central Intelligence, undermining the Director's statutory responsibility to coordinate our foreign intelligence?
The committee is responsible for approving the funding for these programs--we should have the answers.
We should remember that the National Security Act of 1946 placed all intelligence activities under the control of one man, the Director of Central Intelligence. General Hoyt Vandenberg, who himself served as the DCI, explained that decision in testimony before Congress.
[The Joint Congressional Committee to Investigate the Pearl Harbor attack found failures] which went to the very structure of our intelligence organizations . . . the failure to coordinate the collection and dissemination of intelligence; the failure to centralize intelligence functions of common concern to more than one department of the Government, which could more efficiently be performed centrally.
DAVID R. OBEY.
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