Defense Budget:

Potential Reductions to the Army and the Navy Missile Budgets

NSIAD-90-29: Published: Nov 13, 1989. Publicly Released: Nov 13, 1989.

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Pursuant to a congressional request, GAO reviewed the 1990 Army and Navy procurement appropriation requests for 13 missile systems.

GAO found that the Army's requested 1990 procurement appropriations should be reduced by: (1) $21.1 million for the Advanced Antitank Weapons System-Medium, because the Army did not require $10.3 million until 1991, and could fund $10.8 million from another source; (2) $248 million for the Patriot Missile System, because the request was deferrable until foreign defense agreement terms were reached; (3) $88.4 million for the Multiple Launch Rocket System, with an additional $26.4-million 1989 budget reduction, since launcher and launcher modification deferrals were possible; (4) $12.9 million for the Stinger Missile, because the Army did not need all of the gripstock and training devices it requested; (5) $36.9 million for the Pedestal Mounted Stinger System, since fire unit funds were deferrable; (6) up to $75.3 million for weapons system spares and repair parts, with a $3.1-million 1989 budget reduction, because the Army revised its requirements; and (7) $32.5 million for a deferrable Non-Line-of-Sight Missile procurement. GAO also found that: (1) the Navy's procurement funding request for HELLFIRE missiles should be reduced by $1.6 million because of requirements changes; and (2) the Army should add HAWK Missile funds to its 1990 request.

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