DoD Budget Facts

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In past years a decrease in war funding has always led to a decrease in defense funding because war funding was part of the defense budget.

The difference today is Iraq and Afghanistan war funding is placed in an OCO (Overseas Contingency Operations) budget and is not "inside" the defense budget. Thus, “war funding” is a separate funding line in the budget. So...

Even with a projected decrease of $100B in OCO (War Funding) the defense budget will not show a decrease in its base budget.

The Problem:

- Cannot cut people—it’s a volunteer force and there’s just not that many people in the military.

- Cannot cut production--need to replace "stuff" and have to keep an industrial base for the future.

Bottomline:

DoD has to make cuts to a budget that does not reflect war funding and cannot take advantage of a decrease in combat operations to make defense cuts.
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