The Insider

Marines refresh training range regulations
By Lee Hudson
February 13, 2018 at 4:53 PM

The Marine Corps is updating training range regulations to incorporate the use of unmanned systems, a move recommended following the first phase of Sea Dragon 2025.

Brig. Gen. Christian Wortman, Marine Corps Warfighting Laboratory commanding general, told reporters today that the legacy training regulations do not account for the use of unmanned aerial vehicles.

"We have traditional airspace coordination and deconfliction that needs to be developed and refined," he said at the Pentagon. "This experimentation gave us a good opportunity to better understand that problem, and we're carrying that work forward."

Marine Corps Commandant Gen. Robert Neller was recently briefed on the first phase of Sea Dragon 2025, and made 30 to 40 decisions as a result of the effort, Inside the Navy previously reported. The first phase was focused on equipping the fifth-generation Marine Corps infantry squad.

The commandant has not determined how infantry squads should be configured, though Wortman said the Sea Dragon 2025 out-brief provided several options. Rifle squads today have 13 Marines but new technology might lead to a restructuring, Wortman said.

"The different course of action we looked at [was] a 14-Marine rifle squad, which essentially added an unmanned systems/electronic warfare systems operator to the rifle squad," Wortman said. Other options include an 11- or 12-Marine rifle squad.

"We added to the platoon level a systems operator, to again, be able to exploit the capabilities like small UASs -- to operate those small UASs, be able to receive the data and imagery coming off of it, and to facilitate the decision making that was being made by the platoon commander," he said.

The commandant approved expanding scout sniper capacity within the infantry battalion, according to Wortman. The service will add an information environment operations officer, information management officer and a forward air controller.

"What we have seen over time is infantry battalions have pursued additional capacity without it being in the [official] structure of the battalion" and they have to take Marines from other locations to enhance scout sniper capacity, he said. "Recognizing the demands and being able to operate at high levels of awareness of what our adversary might be doing, and then be able to engage with precision in a complex environment . . . we recognize that scout snipers allow us to achieve a lot of that."

JLTV, humvee would get more funding in Army FY-19 budget
By Ashley Tressel
February 13, 2018 at 3:46 PM

The Army's fiscal year 2019 budget request seeks a jump in funding for the Joint Light Tactical Vehicle and a slight increase for the humvee. New this year, the service is seeking to procure a portion of humvee ambulances with Overseas Contingency Operations dollars.

Procurement of 3,390 JLTVs accounts for $1.3 billion, in base funding only, about a $500 million increase from last year. Oshkosh Defense, the JLTV's manufacturer, will be awarded the FY-19 order in December, with the first delivery scheduled for October 2019. The Army's objective is to procure a total of 49,099 trucks of various configurations with increased protection and performance and maximum commonality over the current humvee fleet.

Additionally, the Army is requesting $71 million for 248 ambulance variants for the active Army, Army National Guard and Army Reserve. Of those, 73 are funded in the OCO account for $20.8 million.

"Recent natural disasters highlight the need for reliable and capable utility vehicles to enable the Guard and Reserve to mobilize rapidly to respond immediately to state and national needs," the budget justification document states.

The service intends to replace up to 3,688 humvee ambulances. 

The INSIDER daily digest -- Feb. 13, 2018
By John Liang
February 13, 2018 at 2:30 PM

The FY-19 defense budget continues to dominate this Tuesday INSIDER Daily Digest.

Inside Defense compares the Pentagon's base budget forecast with the White House Office of Management and Budget's numbers:

New Pentagon budget backed by planned increases of more than $1 trillion over the decade

The Trump administration is backing the new National Defense Strategy with a 10-year, $7.2 trillion spending forecast -- a boost of more than $1 trillion compared to the most recent Obama plan -- including a near-term drive to propel the Pentagon's annual budget above $700 billion beginning in FY-20, according to the Office of Management and Budget.

Overseas Contingency Operations will be phased out over the next two years:

Pentagon sparks OCO whiplash as it seesaws from $89B request to planned phase-out

Before Congress finalized a two-year spending deal, the Defense Department planned to finance a multibillion-dollar budget buildup through its controversial Overseas Contingency Operations account. Now, it is reversing course and projects it will begin phasing out OCO in FY-20.

The Air Force wants to make sure it properly manages its Joint Strike Fighter production pipeline:

Air Force says request for 48 F-35s supports 'manageable ramp' in production

Air Force officials say the service is still targeting an annual F-35 production rate of 60 aircraft, but in the near term, the focus is on maintaining a "manageable ramp" in order to avoid undue strain on its production and logistics infrastructure.

The missile defense budget stands to get a hefty bump in FY-19:

MDA seeks $9.9 billion in FY-19, boost of more than 20 percent above prior forecast

The Missile Defense Agency is seeking $9.9 billion in fiscal year 2019 -- an increase of more than 20 percent compared to the Trump administration's earlier plans -- signaling concern by policymakers about the growing threat and increasing complexity of long-range missiles from adversaries such as North Korea and a potential new class of ultra-fast, maneuvering weapons from China and Russia.

Related missile defense news:

Despite test failure, MDA moves forward with SM-3 Block IIA plans

The Missile Defense Agency is moving forward with plans to purchase more Standard Missile 3 Block IIA guided interceptors in fiscal year 2019 and deploy the weapon by the end of this calendar year, despite the system failing to intercept a ballistic missile target during a recent flight test.

Navy asks Congress for OK to lock in $2 billion, five-year deal for Raytheon SM-6 interceptors

The Navy is seeking permission from Congress to negotiate a $2 billion, five-year contract to buy Standard Missile-6 interceptors, a deal the service says would avoid $331 million compared to annual purchases. This would be one of two multiyear procurement deals the Pentagon is seeking with Raytheon for Standard Missiles in fiscal year 2019.

The Army wants more money to improve combat vehicle programs:

Army seeks to significantly boost vehicle upgrades in FY-19 budget

The Army's fiscal year 2019 budget request would bring a surge in funding for improvements to the Abrams, Bradley and Stryker programs, part of the service's move to modernize its brigade combat teams.

Don't expect another round of base realignments and closures anytime soon:

Pentagon abandons BRAC, seeks to trim $6B elsewhere

The Pentagon, which will no longer lobby Congress for another round of base realignments and closures, intends to find $6 billion in efficiencies in fiscal year 2019 by establishing a new management task force composed of senior officials and executing a variety of unnamed initiatives.

A look at the Navy's shipbuilding plans:

Navy plan to reach 355-ship fleet would take more than 30 years

The Navy aims to build a 355-ship fleet by the 2050s, according to the new 30-year shipbuilding plan sent to Congress Monday.

Document: Navy's 30-year shipbuilding plan for FY-19

As Inside Defense reported last week, the Air Force will not fund the E-8C Joint Surveillance Target Attack Radar System recapitalization in the Defense Department's fiscal year 2019 request, a stark change of course from its original plan:

Air Force points to MQ-9, future sensor investments to replace JSTARS recapitalization

The Air Force is pursuing new battle management and command-and-control efforts after abandoning the E-8C Joint Surveillance Target Attack Radar System recapitalization program in its fiscal year 2019 budget request.

The services' FY-19 budget justification books
By John Liang
February 13, 2018 at 1:59 PM

Inside Defense now has the Army, Navy and Air Force budget justification books for fiscal year 2019.

Subscribers can check them out below.

Army:

Army's FY-19 RDT&E budget justification books

Army's FY-19 procurement budget justification books

Army's FY-19 O&M budget justification books

Army's FY-19 OCO budget justification books

Army's FY-19 personnel budget justification books

Army's FY-19 MILCON budget justification books

Army's FY-19 working capital fund, chemical agents destruction budget justification books

Navy:

Navy's FY-19 RDT&E budget justification books

Navy's FY-19 procurement budget justification books

Navy's FY-19 O&M budget justification books

Navy's FY-19 OCO, working capital fund budget justification books

Navy's FY-19 MILCON budget justification books

Navy's FY-19 personnel budget justification books

Air Force:

Air Force's FY-19 RDT&E budget justification books

Air Force's FY-19 procurement budget justification books

Air Force's FY-19 O&M budget justification books

Air Force's FY-19 personnel budget justification books

Air Force's FY-19 MILCON budget justification books

Air Force's FY-19 BRAC, working capital fund budget justification books

Boeing joins General Atomics' MQ-25 Stingray team
By Justin Katz
February 13, 2018 at 1:16 PM

General Atomics Aeronautical Systems announced yesterday Boeing Autonomous Systems will join its MQ-25 Stingray team.

The announcement comes less than two months after Boeing unveiled a first look at its own MQ-25 Stingray offer, Inside the Navy reported.

Boeing becomes the seventh company to join General Atomics' MQ-25 team, which already includes L3 Technologies, BAE Systems and Rockwell Collins among others.

The MQ-25 competition is limited to Boeing, General Atomics, Lockheed Martin and Northrop Grumman. Northrop Grumman said in October that it would not offer a bid. The Navy anticipates an award later this year. Boeing's Phantom Works division intends to bid on the MQ-25 contract separately.

The MQ-25 Stingray unmanned tanker will provide an aerial refueling capability and limited intelligence, reconnaissance and surveillance.

Deep Water Point hires Moran
By Marjorie Censer
February 13, 2018 at 11:56 AM

Management consulting firm Deep Water Point said today it has hired retired Army Maj. Gen. Dennis Moran as a Defense Department subject matter expert.

"Moran will join a cadre of experts focused on addressing the priorities of the DOD market," the company said. "He will play a critical role in helping Deep Water Point’s clients better understand the challenges, opportunities and evolving priorities within the current defense environment."

Moran joins from Harris, where he was vice president of DOD business development. He previously spent 31 years in the Army.

OMB's FY-19 sequester report OBE
By Jason Sherman
February 13, 2018 at 10:47 AM

The White House Office and Management and Budget has transmitted a statutorily required report to Congress outlining $54 billion in cuts to defense spending in fiscal year 2019 required by the Budget Control Act -- reductions, however, that are no longer needed in light of the recent two-year budget deal which lifted caps on discretionary spending in FY-18 and FY-19.

"The legislation sets new discretionary spending limits for 2018 and 2019 and directs that the reductions to the discretionary spending limits described in this report not be applied for 2019," OMB Director Mick Mulvaney wrote in a Feb. 12 letter conveying the report to lawmakers.

European Commission OKs Northrop-Orbital ATK deal
By Marjorie Censer
February 12, 2018 at 5:31 PM

Northrop Grumman said today the European Commission has notified it that it has approved the contractor's planned acquisition of Orbital ATK.

"Northrop Grumman continues to support the U.S. Federal Trade Commission's review of the acquisition," the company added.

In December, Northrop Grumman said it had "received a request for additional information" from the FTC as it reviewed the acquisition.

Navy seeks $324M for European Deterrence Initiative
By Lee Hudson
February 12, 2018 at 4:18 PM

The Navy and Marine Corps are seeking $324 million in the fiscal year 2019 budget to support the European Deterrence Initiative, according to an official.

Rear Adm. Brian Luther, deputy assistant secretary of the Navy for budget, told reporters today the money will be used for several Navy and Marine Corps projects. For instance, the Navy plans to recapitalize its integrated undersea surveillance system for anti-submarine warfare and prepositioning.

The Navy would set aside $215 million for four military construction projects. These include stationing the P-8A Poseidon maritime patrol aircraft at Naval Air Station Sigonella, Italy; building an enhanced seaport at Naval Station Rota, Spain; establishing multimodal capabilities at Naval Support Activity Souda Bay, Greece; and making P-8 improvements at Royal Air Force Lossiemouth, Scotland.

The Marine Corps plans to spend $68 million on adding and replacing inventory at the service's prepositioning program in Norway, equipping a rotational Marine Air-Ground Task Force and funding multinational exercises.

In 2014, the Obama administration established the European Reassurance Initiative to support NATO in the face of an increased Russian threat. The Trump administration has changed the name.

The INSIDER daily digest -- Feb. 12, 2018
By John Liang
February 12, 2018 at 2:35 PM

We start off this Monday INSIDER Daily Digest with major budget news from OSD and the services, plus a big announcement from General Dynamics.

In an unusual budget rollout, the Defense Department published documents detailing a budget request that the White House Office of Management and Budget immediately superseded with a letter to congressional leaders explaining the Pentagon's total FY-19 request will not be complete until the military prepares justification materials for an additional $20 billion in planned spending:

Pentagon seeks $686B in FY-19; $617B in base budget with big modernization boost

The Trump administration today unveiled the outlines of a $686 billion budget for the Defense Department in fiscal year 2019 that includes a $20 billion placeholder for military spending increases set as part of the recent two-year budget deal.

DOD's FY-19 request for science and technology reflects a 4 percent increase above the FY-18 request of $13.2 billion:

Pentagon budget request seeks modest boost for S&T programs

The Pentagon's fiscal year 2019 budget request includes $13.7 billion for science and technology, a modest bump above last year's request, to continue investments in areas like artificial intelligence, autonomy and hypersonics.

The services also rolled out their budgets:

Air Force budget request would buy 48 F-35As and boost major research and development efforts

The Air Force's $156.3 billion fiscal year 2019 budget proposal calls for 48 new F-35 Joint Strike Fighters, 15 KC-46 aerial refuelers and 36,000 Joint Direct Attack Munitions.

Army budget request rises to $182.1 billion in FY-19

The Trump administration's fiscal year 2019 budget request seeks $182.1 billion for the Army -- $148.4 billion in the base budget and $33.7 billion in the Overseas Contingency Operations account.

Navy requests 14 new ships, $194.1 billion in fiscal year 2019 budget

The Navy is requesting $179.1 billion in the fiscal year 2019 base budget and $15 billion in wartime funding that would, in total, fund the construction of 14 new ships.

In a major defense business news announcement, General Dynamics is buying CSRA:

General Dynamics to acquire CSRA in $9.6 billion deal

General Dynamics announced today it plans to acquire CSRA in a deal valued at $9.6 billion.

The Army is interested in alternative power, at least semi-autonomous capability and enhanced lethality and mobility:

Murray: 'We can't wait 20 years to develop' NGCV

Lt. Gen. Mike Murray, the Army deputy chief of staff (G-8), told the Senate Armed Services airland subcommittee in a hearing Feb. 7 the service is considering "all options" for the Next Generation Combat Vehicle's design.

Last December, Pentagon acquisition chief Ellen Lord signed an acquisition decision memorandum approving full production for the SM-3 Block IB program:

DOD clears Standard Missile-3 Block IB for full production, MDA seeking MYP in FY-19

The Pentagon's acquisition executive has approved the Standard Missile-3 Block IB for full production, paving the way for the Missile Defense Agency to advance its first proposal to negotiate a multiyear procurement contract.

Trump: 'We want to get twice as many planes for half the price'
By Marjorie Censer
February 12, 2018 at 1:50 PM

President Trump today said the military is getting a significant budget boost -- but that he expects the Pentagon to be able to buy more for less.

Speaking at a meeting with state and local officials about his infrastructure initiative, Trump said the new budget takes care "of the military like it's never been taken care of before."

"In fact, Gen. [Jim] Mattis called me, and he goes, 'Wow, I can't believe I got everything we wanted.' I said, 'That's right, but we want no excuses. We want you to buy twice, OK, twice what you thought for half the price,'" Trump said, according to a transcript of the meeting.

"So maybe we're going to get involved a little bit in the buying," he continued. "We want to get twice as many planes for half the price. And believe me, we can do a lot, because the procurement process is very outdated, to put it nicely."

During the same remarks, Trump also said his administration is working to create a "brand new nuclear force."

"Frankly, we have to do it because others are doing it. If they stop, we'll stop, but they're not stopping," he said. "So if they're not going to stop, we're going to be so far ahead of everybody else in nuclear like you've never seen before. And I hope they stop. And if they do, we'll stop in two minutes. And, frankly, I would like to get rid of a lot of them. And if they want to do that, we'll go along with them. We won't lead the way; we'll go along with them.

"But we will have a nuclear force that will be absolutely modernized and brand new, and hopefully we'll never have to use it, and hopefully we can reduce it in the years ahead," Trump continued. "And that depends really on what other people are going to be doing. But we will always be number one in that category, certainly as long as I'm president. We're going to be far, far in excess of anybody else."

Inside the Army highlights
By John Liang
February 12, 2018 at 11:54 AM

Some must-reads from this week's edition of Inside the Army:

1. The White House Office of Management and Budget will submit the fiscal year 2019 budget request Feb. 12 and is updating it to reflect the two-year, $300 billion spending agreement Congress reached early Feb. 9, according to a senior OMB official.

Full story: OMB working new FY-19 toplines after Congress passes spending deal

2. During a Feb. 7 hearing of the Senate Armed Services airland subcommittee, a quartet of Army senior leaders issued a familiar call for funding increases and budget stability, while seeking greater flexibility to pursue the service's modernization priorities.

Full story: Generals address Army's pursuit of modernization priorities, seek further reforms

3. Three Army units in Europe are receiving a set of interim electronic warfare capabilities designed to counter near-peer adversaries, with further updates to come next year.

Full story: Army delivering electronic warfare systems to units in Europe

4. Lt. Gen. Mike Murray, the Army deputy chief of staff (G-8), told the Senate Armed Services airland subcommittee in a hearing Feb. 7 the service is considering "all options" for the Next Generation Combat Vehicle's design.

Full story: Murray: 'We can't wait 20 years to develop' NGCV

Inside the Navy highlights
By Lee Hudson
February 12, 2018 at 11:34 AM

Some must-reads from this week's issue of Inside the Navy:

1. The Pentagon's acquisition executive has approved the Standard Missile-3 Block IB for full production, paving the way for the Missile Defense Agency to advance its first proposal to negotiate a multiyear procurement contract.

Full Story: DOD clears SM-3 Block IB for full production, MDA seeking MYP in FY-19

2. Budget uncertainty may stall a contract award this spring to construct an F-35B vertical lift-fan test facility at Marine Corps Air Station Cherry Point, NC, to support depot-level maintenance.

Full Story: Budget uncertainty may hinder F-35B depot-level maintenance

3. President Trump came into office a year ago promising to grow the Navy to 350 ships, a vow cheered by shipbuilders and congressional supporters.

Full Story: A year in, Trump administration yet to lay budget groundwork for 350-ship Navy

4. The Navy is "not declaring victory" over the problem of pilots suffering physiological episodes in the T-45C Goshawk trainer or the F/A-18 Hornet and Super Hornet although rates of occurrence have greatly decreased in the trainers.

Full Story: Navy ‘not declaring victory’ in on physiological episodes

The week ahead
By Tony Bertuca
February 12, 2018 at 5:00 AM

The Pentagon will submit its fiscal year 2019 budget Monday, and the service vice chiefs are scheduled to testify on Capitol Hill later in the week on military readiness. Meanwhile, Defense Secretary Jim Mattis is traveling to Italy for a NATO ministerial.

Monday

The Pentagon is expected to formally present its FY-19 budget request. Watch Inside Defense for in-depth coverage.

Air Force Under Secretary Matt Donovan will discuss the service's FY-19 budget request at an Air Force Association breakfast in Washington.

The Brookings Institution holds a panel discussion on the Nuclear Posture Review.

The Center for Strategic and International Studies hosts an event on the geostrategic challenges in the Eastern Mediterranean.

CSIS also holds an event on oversight and accountability in the U.S. security sector.

Tuesday

The Senate Armed Services Committee holds a hearing on DOD's role in protecting democratic elections.

The executive deputy director of the Defense Information Systems Agency speaks at the Federal Networks Conference in Tysons Corner, VA.

Wednesday

The House Armed Services readiness subcommittee holds a hearing on Air Force readiness.

The House Armed Services Committee holds a hearing with the chief of U.S. Pacific Command on the security challenges in the Indo-Pacific region.

The Senate Armed Services Committee holds a hearing with the vice chiefs on the state of U.S. military readiness.

The Senate Armed Services personnel subcommittee holds a hearing on military and civilian personnel programs and family readiness.

Senior DOD officials are scheduled to speak at the Armed Forces Communications and Electronics Association's annual Air, Space and Cyber IT Day in Falls Church, VA.

Thursday

The House Armed Services Committee holds a hearing with foreign policy experts on strategic competition with China.

The House Armed Services emerging threats and capabilities subcommittee holds a hearing on U.S. Special Operations Command's FY-19 budget request.

The Senate Armed Services Committee holds a hearing with the chiefs of U.S. Northern and Southern commands.

Friday

Air Force Secretary Heather Wilson will discuss air and space power at an Air Force Association breakfast in Washington.

The House Financial Services monetary policy and trade subcommittee holds a hearing on the Committee on Foreign Investment in the United States.

Mattis heading to Europe for defense conferences
By Justin Doubleday
February 9, 2018 at 4:01 PM

Defense Secretary Jim Mattis will head to Europe for a slew of meetings with NATO allies, as well as officials from U.S. European and Africa commands, respectively.

On Sunday, Mattis leaves for Rome, where he will meet with Italian Minister of Defense Roberta Pinotti and other senior officials Feb. 12-13, the Pentagon said today. The Defense Department plans to roll out its fiscal year 2019 budget request on Monday, Mattis' first day in Rome.

He will then head to Brussels to participate in the first NATO defense ministerial of the year Feb. 14-15, where "he will engage with allies to discuss how to strengthen the alliance and forge new partnerships, ensure that the alliance is fit for its time, and to deter or defeat threats to the alliance," according to the Pentagon's statement.

Next up is Stuttgart, Germany, where Mattis will visit the respective headquarters of U.S. European and Africa commands Feb. 15-16. Finally, Mattis finishes the trip in Munich Feb. 16-17 for the 54th Munich Security Conference. The event will involve a discussion of "current crises and future challenges in European security policy," according to the Pentagon.