1995 Budget:

Potential Reductions to the Operation and Maintenance Programs

NSIAD-94-246BR: Published: Sep 6, 1994. Publicly Released: Sep 6, 1994.

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GAO reviewed the military services' operation and maintenance (O&M) budget requests for fiscal year (FY) 1995, focusing on whether the O&M accounts should be funded in the amounts requested.

GAO found that: (1) the military services' and defense activities' O&M budget requests for FY 1995 could be reduced by about $4.5 billion; (2) the services and defense activities could realize O&M budget savings by improving inventory management and maintenance practices, terminating some unneeded programs, reducing many training requirements, and revising civilian personnel requirements; and (3) Congress could reduce the services' and defense activities' O&M budget requests by offsetting the services' profits and unneeded budget balances.

Matter for Congressional Consideration

  1. Status: Closed - Implemented

    Comments: The House and Senate Armed Services Committees in conference action reduced DOD's FY 1995 O&M requests by over $1 billion as a direct result of GAO's work on the FY 1995 budget scrub of the services' O&M requests. An accomplishment report will be prepared based on the congressional actions.

    Matter: Congress should reduce the DOD O&M budget request for fiscal year 1995 by $4.5 billion.


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