Defense Appropriations and Strategic Threats

Defense Appropriations and Strategic Threats

Continuing Resolution (CR) Impact

• Senator Collins highlights the negative impact of a CR on the Department of Defense (DOD)'s smooth and effective operations.
• Points out that the Appropriations Committee had reported the defense appropriations bill before the August recess, but the Democratic leader chose not to bring it to the floor, leading to the CR.

Strategic Threat Posed by China

• Secretary of Defense stated that DOD is focused on the strategic threat posed by China, emphasizing that the threat is "real and could be imminent."
• China's navy has approximately 400 ships and is expanding rapidly.
• The US Navy has only 293 ships, which is considered inadequate.

FY '26 Defense Budget Concerns

• The proposed DOD budget for FY '26 includes funding for:
  • One Columbia class submarine
  • One Virginia class submarine
  • One ocean surveillance ship
• No funding in the base budget is requested for DDG 51 (Navy's workhorse surface combatant).
• The administration plans to use reconciliation to fund:
  • One Virginia class submarine
  • Two Arleigh Burke class destroyers
• Senator Collins argues that reconciliation funds should augment, not supplant, base budget investments.

Rationale for Budget Allocation

• The Secretary of Defense explains that the budget formation involves complexities and collaboration between the DOD, Capitol Hill, and the White House.
• The department views the entire national security budget (approximately $961,000,000,000$ or $1,000,000,000,000$) as one investment.
• This includes 19 new ships, a historic investment in shipbuilding, over $6,000,000,000$ in the shipbuilding defense industrial base, long-range fires, hypersonics, prepositioning stocks, and critical munitions.
• The Secretary claims the budget reflects tough choices to invest in critical areas, with a 13% increase over the previous year.

Inflation and Buying Power

• Senator Collins notes that the FY '26 budget provides less buying power than the FY '25 enacted budget due to a lack of adjustment for inflation.

Portsmouth Naval Shipyard Hiring Delays

• The Portsmouth Naval Shipyard in Kittery, Maine, overhauls the Navy's nuclear submarines.
• An exemption from the hiring freeze was secured for the shipyard.
• Delays in hiring and onboarding persist across the workforce, from frontline mechanics to security personnel.
• The Secretary of Defense commits to investigate and address these delays to expedite the hiring process.