ArmoredD.com

18 September 2008

Air Force Technology

The US Senate overwhelmingly approved a $612.5bn defence spending bill on Wednesday for fiscal 2009, including $70bn for operations in Iraq and Afghanistan.

As passed on an 88-8 vote, the measure would authorise $103.9bn for Pentagon procurement, $1.2bn more than President Bush’s request. Overall, Bush had asked for $611.1bn for national defence.

The bill shifts more of the costs of Iraq’s reconstruction onto Baghdad. It also puts further restrictions on contractors working in Iraq, including prohibitions on interrogations and the performance of ‘inherently governmental functions’ in combat.

The measure must now be reconciled with the $612.5bn version passed by the House on 22 May.

The Senate bill would let the Pentagon spend $70bn in Iraq and Afghanistan in the fiscal year that starts 1 October and authorise a 3.9% pay rise for military personnel, half a percentage point more than sought by Bush.

House and Senate negotiators are due to meet next week on a compromise version that can be sent to Bush for signing into law.

Among sticking points is the Boeing-led Future Combat Systems, the centrepiece of army modernisation. The House cut $200mn from the $3.6bn requested to continue development of a $160bn system of digitally linked vehicles for air and ground combat.

The Senate approved without major change the Bush administration request for Future Combat Systems. SAIC Inc is Boeing’s co-lead manager on the FCS programme.

The Senate bill would authorise $8.9bn for Missile Defense Agency programmes, $411.8m less than Bush’s request.

By Jim Wolf, Reuters.

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Related Article:
US Congress passes $487.7 defence spending bill, slashes aircraft

DATE:24/09/08
SOURCE:Flightglobal.com

The US Congress today passed defence spending bills slashing funds for the Lockheed Martin F-35 and Lockheed/AugstaWestland VH-71 presidential helicopter, and also left the Lockheed F-22 and Boeing C-17 production lines still in a state of programmatic purgatory.

A joint conference committee passed the $487.7 billion defense appropriations for fiscal 2009, marking a 6.1% increase over the FY08 budget but $4 billion less than the Bush Administration’s request.

The spending proposal, if enacted upon review by the White House, would strike two blows at the F-35 programme.

First, the bill would cut one aircraft each for the US Air Force and the US Navy from the FY09, reducing the overall count from 16 F-35s to 14.

Second, Congressional appropriators added language urging the USN to request funds in FY10 for signing a third multi-year procurement deal for Boeing F/A-18E/F Super Hornets, citing concerns about a fighter shortfall until F-35Cs are delivered.

The lawmakers proved less decisive about the fate of the F-22 and the C-17.

The appropriators added $523 million in long-lead funding, potentially extending F-22 production from the end of FY09 through FY10. However, Congress also passed a defence policy bill that forbids the Pentagon from spending most of the money until the next administration agrees to buy more F-22s.

Similarly, the fate of the imperiled C-17 production line is also confused. The defence policy bill authorizes the USAF to spend $2.1 billion for six C-17s, but the appropriations bill fails to provide funding. Congress also may propose to add funds for up to 15 C-17s in an emergency supplemental bill.

Meanwhile, another budget cut is likely to create a new crisis for the VH-71 presidential helicopter. Citing delay risks for the Increment 2 phase, lawmakers agreed to cut $212 million from the programme. Research and development for the Increment 2 fleet was hardest hit, falling by two-thirds in FY09. The Increment 1 programme was fully funded.

The Bell Helicopter ARH-70 Arapaho armed reconnaissance helicopter also sustained more funding cuts in the new spending bills. Congress voted to provide $198 million to buy 12 aircraft, which is $161 million and 16 aircraft less than the Bush Administration requested.