Congress and the Defense Budget:
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1 Congress and the Defense Budget: he Congressional eview rocess AMC Audio Conference May 22, 2013 obert J. hue Consulting and training services
2 Congressional eview of the Budget: Constitutional Foundation Article 1, ection 8, Clause 12 Gives Congress the power to raise and support armies, but prohibits appropriations for more than 2 years Article 1, ection 9, Clause 7 equires appropriations in law before funds can be spent 2
3 Congressional Budget eview: 3-rack rocess Budget esolution ets internal budget targets for appropriations committees ets revenue targets for Ways and Means/Finance Committees rovides policy guidance for authorization committees Authorization ets manpower levels and personnel policy ets policy for agency operations and programs Appropriations ets discretionary funding levels 3
4 Congressional Budget/Appropriation eview rocess: imeline Feb April ept D ends Budget to Congress Budget esolution Budget Committees prepare internal appropriations targets and budget policy B U D G O L U O otal discretionay targets 302(a) Appropriations Appropriations Committees allocate discretionary total to ubcommittees 302(b) Committees/ubcommittees review and adjust agency requests 12 Bills D igns or Vetoes 4
5 Congressional Budget esolution rocess D ends Budget to Congress Budget esolution rocess same in House and enate Budget Committees hold hearings and mark up budget resolution House and enate pass bills House and enate resolve differences in conference Congress passes Budget esolution Budget esolution sets - otal budget and revenue targets - Budget and program policy guidance Budget esolution provides internal guidance to Congress resident does not sign Budget esolution B U D G O L U O otal discretionay targets 302(a) A O A O C O M M 5
6 Congressional Budget eview: DoD Oversight Defense Authorization House Armed ervices Committee (HAC) Membership 62 taff--68 ubcommittees 7 o actical Air and Land Forces o Military ersonnel o Oversight & nvestigations o eadiness o eapower & rojection Forces o trategic Forces o ntelligence, merging hreats & Capabilities enate Armed ervices Committee (AC) Members 26 taff 55 ubcommittees 6 o Airland o merging hreats and Capabilities o ersonnel o eadiness and Management upport o eapower o trategic Forces Defense Appropriations House Appropriations Defense ubcommittees DoD (HAC-D) o Members 15 o taff 10 Military Construction/VA (HAC-MilCon/VA) o Members 11 o taff 3 enate Appropriations Defense ubcommittees DoD (AC-D) o Members 19 o taff 15 Military Construction/VA (AC-MilCon/VA) o Membership 15 o taff 7 Other Committees House ermanent elect Committee on ntelligence enate elect Committee on ntelligence House Committee on Oversight and Government eform enate Committee on Homeland ecurity and Govt Affairs 6
7 Congressional Defense Authorization rocess D ends Budget to Congress Authorization rocess same in House and enate Full Committee and ubcommittees hold hearings and mark up bill House and enate floor action House and enate resolve differences in conference Congress passes ational Defense Authorization bill (ndaa) Authorization Bill sets - Force levels and Active and Guard and eserve nd strength - Military pay raise - ersonnel, Acquisition, Management, Military Construction, and other legislative policies House Armed ervices Committee (HAC) enate Armed ervices Committee (AC) D igns or Vetoes 7
8 Congressional Defense Appropriations rocess B U D G O L U O otal discretionay targets 302(a) rocess same in House and enate rocess usually same for supplemental appropriations Full Committee and ubcommittees hold hearings and mark up bill House and enate floor action Conference Appropriations Appropriations Bill provides discretionary funding for Appropriations and individual line items DoD bill (House and enate Appropriations Defense ubcommittees) Military Construction bill (House and enate Appropriations Military Construction/VA ubcommittees) 2 Bills DoD Military Construction D igns or Vetoes 8
9 Congressional Defense Appropriations rocess: egular Order and ecent ractice B U D G O L U O otal discretionay targets 302(a) ubcommittee Hearings and Markup Full Committee Markup House and enate Bills Conference Final Bill Appropriations egular Order Alt #1 Alt #2 D igns or Vetoes 9
10 FY 2014 Defense Budget equest: Lightning ods for Congress DoD funding levels Lack of detail of potential sequestration ncreased CA co-pays and program changes ew BAC round Guard and eserve Forces funding level Military end strength levels hip decommissionings 10
11 Congressional eview of Defense Budgets Why Congress changes requests oor program execution Unjustified program growth oor or incorrect justification avings from DoD decisions neffective briefings Other congressional committees actions GAO/G/CBO reports and other studies How Congress changes requests Approves or increases requested funding and quantity levels equires further action (studies, reports, etc.) before allowing obligations or expenditures escinds prior-year funding Cuts requested funding and quantity level either discreetly or by general or across-the-board reductions erminates program 11
12 FY 2014 Defense Budget: tatus of Congressional Action Budget esolution House passed budget resolution o ecommends defense funding at the requested level, before sequester enate passed budget resolution o ecommends cutting defense funding by $250 billion through 2023 Conference o Chance Authorization Committees are holding hearings HAC has scheduled markups beginning May 22 AC has scheduled markups beginning June 11 Appropriations ubcommittees are holding hearings House Appropriations ubcommittees have begun marking up bills enate Appropriations ubcommittee scheduled markups before August recess 12
13 Major ssues Facing the 113 th Congress Budget related issues Budget resolution will the House and enate agree on a conference? Appropriations can appropriations bills be passed before ept 30? equestration will it be reduced or replaced? Fiscal ssues Debt ceiling When does Congress need to act? Budget deal Can a grand bargain be reached? ax reform will tax reform be considered separately from a budget deal? Other issues Gun control will a bill be reconsidered in the enate; can a bill pass the House? mmigration reform can an agreement be reached in this session? Healthcare reform Will congress make changes to Obamacare? Cybersecurity Can the House and enate agree on legislation? 13
14 How can you rack Congressional Action? Congressional esearch ervice: Committee Web ites House Budget Committee enate Budget Committee: House Armed ervices Committee: enate Armed ervices Committee: House Appropriations Committee: enate Appropriations Committee: OMB: AMC Defense Highlights 14
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