Defense

October 21, 2013

Shutdown cost DOD $600 million in productivity

Claudette Roulo
American Forces Press Service

Furloughs of civilian employees as a result of the government shutdown cost the Defense Department at least $600 million in productivity, the Pentagons top financial officer said Oct. 17.

During a Pentagon news conference, DOD Comptroller Robert F. Hale said that in addition to the lost productivity, the shutdown generated a number of other costs that have yet to be calculated.

We built up interest payments, because we were forced to pay vendors late, Hale said. We had to cancel training classes, so we had to bring the people home on orders and then send them right back again.

The short-term deal signed by President Barack Obama late yesterday doesnt put the department on firm budgetary ground, Hale noted. With no flexibility to move funds between accounts, and accounts frozen at 2012 levels, he said, the department will have to be as fiscally watchful as it can.

If that’s a vague answer, it’s because things are kind of vague, he said. It’s not a good way to run a railroad.

The temporary funding measure that allowed the government to reopen prevents DOD from starting new projects, Hale said. And one of the biggest problems, he added, is that it requires the department to buy the same ships it bought last year, because Congress appropriates by ship.

Its a ëGroundhog Day approach to budgeting, the comptroller said.

The budget uncertainty will have an impact on staffing levels and morale, he added. If the budget stays at the level authorized under the Budget Control Act of 2011, he said, were going to have to get smaller. Hale added that the department will try to meet the staffing goals through attrition, but that either way, it will mean fewer civilian employees.

I’m a lot more worried about the morale effects, Hale said. We need some stability, and we need to keep telling [employees] they’re important, and then we need to show it through things like pay raises and no more furloughs, etc.

Without a change to the budget, there will also be military force reductions, Hale said.

I think all of us are aware that it will be a somewhat different, smaller military if we have to go through with those cuts, he added. We will be as prepared as we can, within the limits of time that we have, to be ready for a wide range of contingencies, because we know that’s what we face.




All of this week's top headlines to your email every Friday.


 
 

 

Headlines September 29, 2014

News: U.S. military limits warplanes used for Islamic State bombings - The U.S. is relying mostly on warplanes already positioned in the region for its air war against the Islamic State, as opposed to dispatching a major buildup of aerial forces that happened in previous campaigns.   Business: At DOD, it’s use-it-or-lose-it season - As fiscal 2014...
 
 

News Briefs September 29, 2014

Navy awards ship design grant to UNO The University of New Orleans has received a $210,000 grant from the Navy s Office of Naval Research to test information gathering and analysis techniques intended to improve warship design. The goal for warship designers is to produce a vessel that can be repurposed numerous times throughout its...
 
 
Courtesy photograph

TACP-M ties it all together

Air National Guard photograph by SSgt. Lealan Buehrer Tactical air control party specialists with the 169th Air Support Operations Squadron survey an enemy-controlled landing zone before calling in close-air support Aug. 14, 20...
 

 
Air Force photograph by A1C Thomas Spangler

Nellis aggressor squadron inactivated

Air Force photograph by A1C Thomas Spangler SSgt. Justin White signals to Maj. Sam Joplin to begin taxiing a 65th Aggressor Squadron F-15 Eagle to the runway Sept. 18, 2014, at Nellis Air Force Base Nev. The roles and responsib...
 
 
Army photograph by SSgt. Mary S. Katzenberger

82nd Airborne helps commemorate 70th Anniversary of Operation Market Garden

Army photograph by SSgt. Mary S. Katzenberger A paratrooper assigned to the 82nd Airborne Division, reflects near the grave of a British paratrooper at the Arnhem Oosterbeek War Cemetery, Sept. 14, 2014, in the Netherlands. The...
 
 

Raytheon awarded $251 million Tomahawk missile contract

The U.S. Navy has awarded Raytheon a $251 million contract to procure Tomahawk Block IV tactical cruise missiles for fiscal year 2014 with an option for 2015. The contract calls for Raytheon to build and deliver Tomahawk Block IV cruise missiles to the U.S. Navy and U.K. Royal Navy. Raytheon will also conduct flight tests...
 




0 Comments


Be the first to comment!


Leave a Reply

Your email address will not be published. Required fields are marked *

You may use these HTML tags and attributes: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <strike> <strong>