The FY24 budget request (PB24) changed significantly from projections in last year’s spending plan (PB23), for a variety of reasons. Some programs were increased in scope, some were scaled back, and some faced delays, meaning the funding will materialize in future budget requests.
Here is a quick look at the budget line items that gained and lost the most funding from PB23’s projections to those for PB24.
Significant RDT&E Gains and Losses
- Lower Tier Air and Missile Defense Sensors (LTAMDS)
This new radar, being designed for the Patriot missile defense system, has faced development delays. Because the projected shift to procurement did not take place, there was a boost to development funding and a reduction in the procurement account. The transition to procurement is now expected to take place in FY25.
- Next Generation Air Dominance (NGAD)
This Air Force’s future air superiority fighter program element received a $392.2 million boost in FY24 by absorbing Collaborative Combat Aircraft funding previously located in a different funding line. Funding was also increased for risk reduction efforts.
- B-21 Raider
The FY24 request included a $662.1 million increase for development of the Air Force’s B-21 bomber, but procurement funding was $1.2 billion less than expected.
- Resilient Missile Warning Missile Tracking — Low Earth Orbit (LEO)
The LEO supports the Space Development Agency’s Tracking Layer missile defense satellite program. Increased funding in FY24 will support Tranche 1 satellite development, delivery, and testing, as well as Tranche 2 activities.
- F-35 Continuous Capability Development & Delivery (C2D2)
This investment increases in FY24 to support Block 4 upgrade planning and test & evaluation efforts.
- Maneuver-Short Range Air Defense (M-SHORAD)
This is a multi-phase effort outfitting Stryker vehicles with various weapons. The first increment involves Stinger and Hellfire missiles, while Increment 2 incorporates directed energy weapons. The third increment will incorporate a next-generation replacement for the Stinger missile. The funding removed from for this program was redistributed across the Air and Missile Defense portfolio.
- Optionally Manned Fighting Vehicle (OMFV)
This is being developed to replace a portion of the Bradley infantry fighting vehicle fleet. Budget documents say funding was reduced to support higher Army priorities.
- Strategic Mid-Range Capability
The Army’s Strategic Mid-Range Capability will initially utilize ground-launched SM-6 and Tomahawk missiles. A portion of the development funding originally planned for FY24 was realigned to the procurement account to buy Tomahawk missiles.
- Conventional Prompt Strike Hypersonic Weapon (CPS)
The Navy saw a nearly $400 million reduction in development funding for the Conventional Prompt Strike hypersonic weapon because funding is being diverted to support procurement and integration of the weapon onto Zumwalt class destroyers and Virginia class submarines.
- TACAMO Modernization
The Navy’s E-6 replacement effort, known as TACAMO (take charge and move out) modernization, faced a development funding cut because an engineering and manufacturing development contract was moved to FY25.
Significant Procurement Gains and Losses
- Virginia Class Submarines
The Navy is buying two Virginia class subs in different configurations. One of the subs is a Modified Virginia class Subsea and Seabed Warfare (Mod VA SSW) configuration. The other sub is the first to feature the Virginia Payload Module (VPM), which will increase missile-carrying capacity.
Last year’s budget plan reduced outyear F-35A procurement for the Air Force, and the service originally said it would only seek funding for 29 aircraft in FY24. However, the FY24 request returned the procurement profile to 48 aircraft per year moving forward.
- Air Force Missile Programs
The Air Force has increased procurement rates for several missile programs, reflecting the service’s desire to invest in weapons that would be vital in a near-peer conflict. Planned procurement for Joint Air-to-Surface Missiles (JASSMs) increased from 512 to 550 in the FY24 request. At the same time, the Air Force wants 457 Advanced Medium-Range Air-to-Air Missiles (AMRAAMs) in FY24, up from the planned 178.
- Navy Missile Programs
The Navy plans to buy 91 Long-Range Anti-Ship Missiles, which is 30 more than planned. The FY24 buy includes 81 AGM-158C missiles and 10 extended-range AGM-158C-3 missiles.
- T-7A Trainers
The Air Force originally planned to buy its first 14 T-7A trainers in FY24, but procurement has been pushed to FY25 due to a Milestone C low-rate initial production delay.
- TAO 205 Class Fleet Oilers
The FY24 request modified the procurement schedule for TAO 205 class fleet oilers. The service originally planned to buy two ships in FY24, followed by one per year thereafter. However, the latest request only includes a single ship in FY24 and none in FY25. Procurement then alternates between two ships and one ship per year starting in FY26. The program has faced delays due to infrastructure problems, as well as supply chain and manpower issues stemming from the pandemic.
- GPS III Follow-On Satellite
Congress added an extra GPS III Follow-On satellite in FY22, which allowed production to extend through FY23 and into FY24. A procurement gap will occur in FY24 to ensure GPS IIIF procurement ends in FY30 as originally planned.
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