Spencer shows Congress what FY-20 sequestration means for Navy bases, vendors

By Justin Katz / December 19, 2018 at 12:29 PM

Navy Secretary Richard Spencer last week identified for Congress the potential impact on a variety of Navy vendors and bases throughout the country if the Pentagon's fiscal year 2020 budget is limited by sequestration.

Spencer illustrated the effects with a map of the country dotted with the names of Navy vendors who would ultimately lose business and bases or maintenance centers that would have hiring freezes or furloughs. He submitted the document for the record to the Senate Armed Services seapower subcommittee at a Dec. 12 Navy readiness hearing.

"If mechanical sequestration occurs in FY-20, then all budget line items will be reduced by the same [percent] (unless exempted)," the document states. "This chart shows the scope of potential cuts (or 'up to' amounts)."

Notably, maintenance would be reduced at all four of the service's public shipyards. Additionally, major shipbuilding programs -- such as the Arleigh Burke-class destroyers (DDG-51) and San Antonio-class (LPD-17) amphibious ships -- would also be cut. Aircraft procurement cuts could include up to 36 F-35 Joint Strike Fighters.

The visual comes to Congress at a time when the Pentagon's projected FY-20 topline has been in flux. The Defense Department was expected to request $733 billion in funding, but began developing a second budget after the White House directed the military to plan on having a $700 billion budget. That number was also upended when Capitol Hill defense hawks and top Pentagon officials lobbied President Donald Trump to reconsider, prompting the president to suggest the military request $750 billion in FY-20 funding.

Sequestration of the Pentagon's budget began with the Budget Control Act of 2011. Although Congress reached a legislative deal for FY-18 and FY-19 to set aside the budget limits in those years, that cap will apply to the FY-20 budget short any legislative action to prevent that.

201079