Cutting costs or adding cash? Pentagon looks to have it both ways
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Apr 25, 2025
With the DOD poised to both reduce spending and add funding, what’s the overall strategy for the budget? Our panel talks through possible options.
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0:00
Welcome back. We're talking about the White House's dream of a $1 trillion budget for the military with our defense news reporters, Noah Robertson and Steve Losey
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Now, Noah, I thought the Defense Department was talking about spending cuts here, not necessarily increasing the budget
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The last couple of months, we've been talking about trying to find reductions, 8% for each of the services and redirecting that money
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What's the contradictory message here? How is this working if we're cutting civilian personnel, cutting staff over here, but also we want to increase the rest of the budget
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If you could figure out, do let me know, because we are in the budgeting vortex of a century here
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I mean, you have budgeting cuts that are coming in the form of the Department of Government Efficiency
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Elon Musk's advisory group called DOGE. They're embedded in the Pentagon. Secretary Hegseth says that he wants to cut 5% to 8% of the Pentagon's civilian workforce
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and is already doing so by buying employees out. You have around a $50 billion a year reshuffle in budgetary priorities for the Pentagon that he's doing internally
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And then not to mention the $150 billion or so extra that Congress wants to add, which could feed to a $1 trillion base budget for the Pentagon
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So we are in the middle of a lot of contradictory forces right now in the Pentagon budget
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Steve I know you talked to some Air Force officials already who are looking at an 8 cut and then maybe money after they done that cut But what does the 8 cut mean And then how does that reset some of the longer term goals if they get that extra money
1:25
So for the U.S. Air Force, not even including the Space Force, but if they did cut 8%
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that would be about $15 billion in funding for the Air Force that they'd have to cut down
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And Secretary Hegseth was talking about finding that by getting rid of DEI programs, climate change
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there's not enough money in the budget to get $15 billion for that. So what the Air Force is looking at, they've been wanting to retire older planes like the A-10
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older F-15s. There's almost two dozen F-22 Raptors that aren't combat capable
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These are older aircraft that would not be suitable for a war against a high-end adversary
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such as China. So the Air Force is trying to retire them. If they had to cut $15 billion up to, they would try to accelerate the retirements of those aircraft
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That's, you know, with things like the B-21, the Sentinel CCAs, those would be exempted from these cuts
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So that doesn't leave a lot of space for the Air Force to find savings elsewhere
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But simple personnel guy over here trying to figure out all the equipment stuff If you got those aircraft retiring and you got money then to modernize and to bring everything else in don we end up with a gap in there where we don have aircraft Maybe we got enough aircraft five years down the line but if we got missions in the next two
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years here, do we have what we need? That is a big concern from some lawmakers
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On things like retiring, say, the AWACS, the airborne battle management planes, you might
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recognize them for those big iconic domes on top of the fuselage. There's concern that as the AWACS
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the JSTARS, retire, there wouldn't be enough capability while the E7 is coming on board
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So yeah, for certain areas, that's a big concern. Okay. All right. So now that I've dodged your
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question for long enough, let's go into whether or not this is realistic. So from the Pentagon aspect, if there's a $1 trillion budget, are we getting any objection from Pentagon planners here
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I've never heard the Pentagon complain about getting more money. There is not an acting, there's not a confirmed cop troller yet, but I don't think you can hear that from anyone inside Arlington
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So then the question becomes whether or not Congress can pass this. And that's where we're getting some interesting issues with the budget and with how the defense budget gets out here
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You know, I don't think just in the conversations that I've been having on Capitol Hill
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there plenty of support from conservative lawmakers and plenty of concern from Democrats who say look you want to spend a billion dollars on defense that fine But are you going to try and balance the budget and cut everything out of the other side And the other side gets really interesting because you do have State Department over there You do have
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Department of Veterans Affairs over there. And there is some interesting accounting going on
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where those departments could take pretty big hits to fund stuff that maybe five years in the future
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is good, but isn't really helping us fill those gaps now. So be some pretty interesting political
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fights in the months ahead here. I think we should say, too, it's not just Republicans versus
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Democrats on the trillion dollar defense budget question, but also Republicans versus Republicans
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You have the Doge effort, which is being led ostensibly by somebody who's Republican aligned
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in Elon Musk, and they've been calling for a much smaller defense budget. And for now
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it seems that they've lost. But that doesn't mean there won't still be cuts going forward
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Well, and I have they lost because we're, you know, we're still good. We're just getting into
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the budget discussions now. I know the White House has said they want this trillion dollar
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the budget. We haven't seen the actual proposals from the administration yet. I don't think you
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guys have seen any specific budget proposals from the services at this point. So let's wait and see
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We'll see what happens in the next couple of months here. All right, let's take one more
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pause for a break here. When we come back, we'll get predictions on whether or not defense planners
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will actually see this money roll in this year, or if this is another year where we're going to keep
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rolling from temporary budget to temporary budget. So we'll be right back
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