Budget Realities

I rarely agree with Ralph Peters, but over at the New York Post he lays out an effective argument that we have the seen the enemy and the enemy is us.

Comments

  1. Slater says:

    He's a little off though as Congress is the one that allocates money for procurement, but changing up other deployments to save money "could" have been done I guess but all of the services have frozen spending…yet I still see construction going on down here at Benning. In fact they just began building an 850 room Hotel south of the Conference center (old O Club).

    The cost of air frames would have been driven down on the F-22 if we bought 500 like we should have, I'm not saying have 500 in the air, but we've already lost ten air frames and they'll never be replaced.

  2. Tregonsee says:

    All things being equal, and they never are, the current "draconian cuts" over 10 years equal the deficit in a single year. More evidence that this is all smoke and mirrors.

  3. From what I've heard in the media, the sequester takes us back to the baseline budgets of 2011 and the cuts will be occurring over ten years. Is that correct? If so, we are barely taking rounding error here guys. One big question I haven't seen addressed anywhere is what effect the sequester will have on ROTC-level training.

    • Townie 76 says:

      according to information received it will hit ROTC very hard; of course West Point will be immune.

  4. DaveO says:

    This is another tempest in a thimble – a pre-packaged, artificial crisis. Any "muscle and bone" that gets cut will get cut only by the order of the POTUS to serve his purposes. We're talking about 2% of $4.1756 trillion ($3.796 trillion in 2012 (http://en.wikipedia.org/wiki/2012_United_States_federal_budget) + 10% growth). If you go with just the deficit ($1.327 trillion), the cut still isn't noticeable. So, any massive "muscle and bone" cuts to Defense are directed by the POTUS.

    Instead, the Army (and the services) will do what they've done in the past: cut family programs, defer real property maintenance, delay acquisitions, and use targeted furloughs (1-4 days per month for up to 22 months).

    DoD will use the Sequestration as an excuse to cut retiree pay and veteran benefits, again because, after all, who can pay the bills when Government is limited to just 8% growth in stead of the usual 10%.

    12 years ago we were doing more with less. We need to go through the Sequestration, in all its unmitigated horror. I doubt folks on the street would even notice.

  5. Matt says:

    Furloughs and reductions in contract employess are fun and games and worth chortling about until your are the one furloughed or fired. The furlough numbers my organization is talking is one day a week for 22 weeks. That will roughly equate to a 20% reduction in wages. This adds to the fact that DAC haven't had even a small pay raise in 3 years, out taxes went up this year and our deductions for health care insurance took a jumb because of Obamacare. In many military communities, the military installation is the economic engine, reducing monies that will be spent in the local communities will hurt those communities. Some locales that have a maintenance depot or that manufactures weapons systems for the military will see potentially half or better of their workforces reduced. It is not the employees fault, whether DOD civilian or contractor that they took good paying jobs that the government offered, but they will bear the brunt.

    • DaveO says:

      Mike,

      The pain that DoD may experience is entirely intentional. The cuts focused on humans are designed to inflict unecessary pain and suffering on the work force, and to local military communities – most of them in southern Red states. There is also an election here in Virginia, and 1/3 of the electorate (here in NoVA) is being told it is all the fault of those damned Republicans and their TEA Party terrorists. Except it's all lies, except for the pain and suffering.

      Cuts that are both permanent, and not directed at humans could be made, such as closing down unused, abandoned real property. But that's not the point of this consequence of the debt-ceiling deal – a consequence created by Jack Lew and President Obama.

      I agree that it's all fun and games and great for a laugh except for folks like you and me and a number of folks who run and comment on this blog were specifically selected by the POTUS and/or his then-SecDef as sacrificial lambs. Congratulations – you're a modern-day kulak!

      You will survive, although you may not survive the OPTEMPO of meetings as the FOGO struggle to regain meeting-relevancy with all that time off. After all, anything important is worth meeting about, repeatedly, with a 10MB slide deck.

      BTW, I've already been here (POTUS-directed job loss) once, so if I take the hysteria of the looming financial armageddon cavalierly, I know what's on the other side.

  6. Slater says:

    A place whose product is suspect.