Defense Budget:

Potential Reductions to DOD's Fiscal Year 1989 Ammunition Budget

NSIAD-89-14: Published: Oct 20, 1988. Publicly Released: Oct 20, 1988.

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In response to a congressional request, GAO reviewed the military services' fiscal year (FY) 1989 budget request for ammunition items and the Army's request for ammunition production base support.

GAO found $614 million in potential reductions in the services' budget requests due to inadequate justification for certain items. GAO also found that the: (1) Army overstated its budget request by $249.4 million due to items that would not be delivered during the funding period, two items with unresolved functional problems, items with overstated unit costs, a developmental item that would not be included in the FY 1989 budget, and a lack of necessary components to produce two items; (2) Navy overstated its budget request by $62.6 million because three items had production problems, it prematurely programmed two items for procurement, seven items were unnecessary, it overstated the unit cost for one item that had an optimistic production schedule, and components for one item were already in stock; (3) Air Force overstated its request by $293.6 million, since three items would not be delivered during the funding period, one item required additional testing, it did not need two items, and some items had production problems, overstated unit costs, or optimistic production schedules; and (4) Marine Corps overstated its request by $8.4 million because one item would not be delivered during the FY 1989 funding period, and it overstated the unit cost for an item that had an optimistic production schedule.

Matters for Congressional Consideration

  1. Status: Closed - Implemented

    Comments: The Senate and House Committees on Appropriations reduced the Army's FY 1989 ammunition budget request by $91 million for eight ammunition items.

    Matter: The Senate and House Committees on Appropriations should reduce the Army's ammunition budget by $249.4 million for 13 items.

  2. Status: Closed - Implemented

    Comments: The Senate and House Committees on Appropriations reduced the Army's FY 1989 ammunition budget request by $91 million for eight ammunition items.

    Matter: The Senate and House Committees on Appropriations should reduce the Army's ammunition budget by $249.4 million for 13 items.

  3. Status: Closed - Implemented

    Comments: The Senate and House Committees on Appropriations reduced the Navy's FY 1989 ammunition budget request by $37 million for six ammunition items.

    Matter: The Senate and House Committees on Appropriations should reduce the Navy's ammunition budget request by $62.6 million for 16 ammunition items in 10 budget lines.

  4. Status: Closed - Implemented

    Comments: The Senate and House Committees on Appropriations reduced the Navy's FY 1989 budget request by $37 million for six ammunition items.

    Matter: The Senate and House Committees on Appropriations should reduce the Navy's ammunition budget request by $62.6 million for 16 ammunition items in 10 budget lines.

  5. Status: Closed - Implemented

    Comments: The Senate and House Committees on Appropriations reduced the Air Force's FY 1989 ammunition budget by $97.2 million for five ammunition items.

    Matter: The Senate and House Committees on Appropriations should reduce the Air Force's ammunition budget by $293.6 million for eight budget line items.

  6. Status: Closed - Implemented

    Comments: The Senate and House Committees on Appropriations reduced the Air Force's FY 1989 ammunition budget request by $97.2 million for five ammunition items.

    Matter: The Senate and House Committees on Appropriations should reduce the Air Force's ammunition budget by $293.6 million for eight budget line items.

  7. Status: Closed - Not Implemented

    Comments: The Senate and House Committees on Appropriations did not make the recommended reduction to the Marine Corps' FY 1989 ammunition budget request. Since Congress has completed actions on the FY 1989 budget, the recommendation is no longer applicable.

    Matter: The Senate and House Committees on Appropriations should reduce the Marine Corps' ammunition budget by $8.4 million.

  8. Status: Closed - Not Implemented

    Comments: The Senate and House Committees on Appropriations did not make the recommended reduction to the Marine Corps' FY 1989 ammunition budget request. Since Congress has completed actions on the FY 1989 budget, the recommendation is no longer applicable.

    Matter: The Senate and House Committees on Appropriations should reduce the Marine Corps' ammunition budget by $8.4 million.

 

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