DOD's Fiscal Year 1986 Ammunition Procurement and Production Base Programs

NSIAD-85-141: Published: Sep 16, 1985. Publicly Released: Sep 16, 1985.

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In response to a congressional request, GAO reviewed the military services' justification for their fiscal year (FY) 1986 appropriation requests for ammunition and the Army's request for ammunition production base funding.

GAO believes that about $1.1 billion of the services' ammunition requests and $129.2 million of the Army's production base request should not be provided. GAO found that the Army's request for ammunition was overstated because of excess inventory, purchases that exceeded needs, overstated unit costs, premature procurement, and inclusion of procurements that did not require FY 1986 funds. In addition, delays in developing an acquisition strategy for one weapon system and potential production problems on another have been encountered. The Navy's request for ammunition was overstated due to excess inventory, overstated costs, premature procurement, leftover funding, and technical problems, and there were unresolved issues involving three of its weapon systems which warranted congressional attention. GAO also found that: (1) the Marine Corps' request for ammunition was overstated due to premature procurement and overstated costs; and (2) the Air Force's request for ammunition was overstated due to premature procurement, overstated costs, excess inventories, and technical problems. Finally, the Army's request for its ammunition production base program was overstated because some of the procurement was premature due to design and technical problems which need resolution and funding that was not needed for a demonstration project.

Matters for Congressional Consideration

  1. Status: Closed - Implemented

    Comments: The Appropriations Committees reduced the Army's ammunition budget request by $432 million, including $376.6 million of the recommended reductions and $55.4 million on the basis of fact sheets and questions provided separately.

    Matter: The House and Senate Committees on Appropriations should reduce the Army's ammunition appropriation request by $580.2 million for 34 items as shown in appendix VIII.

  2. Status: Closed - Implemented

    Comments: The Appropriations Committees reduced the Army's ammunition budget request by $432 million: $376.6 million of recommended reductions and $55.4 million on the basis of fact sheets and questions provided separately.

    Matter: The House and Senate Committees on Appropriations should reduce the Army's ammunition appropriation request by $580.2 million for 34 items as shown in appendix VIII.

  3. Status: Closed - Implemented

    Comments: The Appropriations Committees reduced the Navy's ammunition budget request by $129 million.

    Matter: The House and Senate Committees on Appropriations should reduce the Navy's ammunition appropriation request by $139.4 million for 11 items as shown in appendix IX.

  4. Status: Closed - Implemented

    Comments: The Appropriations Committees reduced the Navy's ammunition budget request by $129 million.

    Matter: The House and Senate Committees on Appropriations should reduce the Navy's ammunition appropriation request by $139.4 million for 11 items as shown in appendix IX.

  5. Status: Closed - Not Implemented

    Comments: Neither the House nor the Senate Appropriations Committees made any reductions to the Marine Corps' ammunition budget. The recommendation is no longer applicable since Congress completed final action on the FY 1986 Defense budget.

    Matter: The House and Senate Committees on Appropriations should reduce the Marine Corps' ammunition appropriation request by $75.5 million as shown in appendix X.

  6. Status: Closed - Not Implemented

    Comments: Neither the House nor the Senate Appropriations Committees made any reductions to the Marine Corps' ammunition budget. This recommendation is no longer applicable since Congress completed final action on the FY 1986 Defense budget.

    Matter: The House and Senate Committees on Appropriations should reduce the Marine Corps' ammunition appropriation request by $75.5 million as shown in appendix X.

  7. Status: Closed - Implemented

    Comments: The Appropriations Committees reduced the Air Force's ammunition budget request by $271.4 million, including $225 million of the recommended reductions and $46.4 million on the basis of fact sheets and questions provided separately.

    Matter: The House and Senate Committees on Appropriations should reduce the Air Force's ammunition appropriation request by $297 million for 11 items as shown in appendix XI.

  8. Status: Closed - Implemented

    Comments: The Appropriations Committees reduced the Air Force's ammunition budget request by $271.4 million: $225 million of recommended reductions and $46.4 million on the basis of fact sheets and questions provided separately.

    Matter: The House and Senate Committees on Appropriations should reduce the Air Force's ammunition appropriation request by $297 million for 11 items as shown in appendix XI.

  9. Status: Closed - Implemented

    Comments: The Appropriations Committees reduced the Army's production base budget request for project 5862447 by $4.5 million and put restrictions on using the $93.78 million for three binary munitions projects.

    Matter: The House and Senate Committees on Appropriations should reduce the Army's $368.4 million production base request by $31.5 million for project 5862447 and $93.78 million for three binary munitions projects as shown in appendix XII.

  10. Status: Closed - Implemented

    Comments: The Appropriations Committees reduced the Army's production base budget request for project 5862447 by $4.5 million and put restrictions on using the $93.78 million for three binary munitions projects.

    Matter: The House and Senate Committees on Appropriations should reduce the Army's $368.4 million production base request by $31.5 million for project 5862447 and $93.78 million for three binary munitions projects as shown in appendix XII.

  11. Status: Closed - Not Implemented

    Comments: The Appropriations Committee did not reduce the Army's budget request for components for Proveout. The recommendation is no longer applicable since Congress completed final action on the FY 1986 Defense budget.

    Matter: The House and Senate Committees on Appropriations should reduce the Army's $14 million request for Components for Proveout of production facilities by $4.3 million since the funds requested to demonstrate that the production lines for binary projects can operate as designed are unnecessary.

  12. Status: Closed - Not Implemented

    Comments: The Appropriations Committees did not reduce the Army's budget request for components for Proveout. This recommendation is no longer applicable since Congress completed final action on the FY 1986 Defense budget.

    Matter: The House and Senate Committees on Appropriations should reduce the Army's $14 million request for Components for Proveout of production facilities by $4.3 million since the funds requested to demonstrate that the production lines for binary projects can operate as designed are unnecessary.

 

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