Summary

H.R. 3326, the Department of Defense Appropriations Act, 2010, would provide $636.3 billion in new discretionary spending authority for the Department of Defense (DoD), including $128.3 billion in funding for overseas contingency operations in Iraq and Afghanistan. The total is $3.8 billion below the President’s budget request and $1.0 billion above the Fiscal Year 2009 enacted level, including supplemental appropriations. The bill provides $4 billion in General Transfer Authority. 

The bill also includes a number of other provisions that are necessary to meet our obligations and prevent crucial programs from lapsing. 

This Legislative Bulletin draws directly from the summary of the bill prepared by the Senate Committee on Appropriations staff.

Key Investments

Military Personnel

H.R. 3326 would provide a total of $124.2 billion for military personnel, which is $9.8 billion more than the previous year’s funding level. It funds an overall DoD end strength of 2,269,500 (1,425,000 for the Active component and 844,500 for the Reserve Component). 

Military Pay. The bill provides a 3.4 percent military pay increase, 0.5 percent above the requested amount.

Operation and Maintenance

Readiness and Training. H.R. 3326includes$154 billion, which is $1.3 billion above the Fiscal Year 2009 level, for the Defense Operation and Maintenance Accountto increase readiness and training of our troops. The bill rebalances funding from preparing for Cold War-era type conflicts to the highest priority readiness requirements for the hybrid operations that our military will be facing for the foreseeable future. 

Procurement and Research, Development, Test, and Evaluation

The bill includes $104.4 billion for procurement, which is $3.46 billion above 2009 and $816 million below the request, and $80.5 billion for researchand development, which is $17 million above the Fiscal Year 2009 level and $1.9 billion above the requested amount, to develop and field the weapons and equipment our troops need. 

Key investments include: 

Bradley Fighting Vehicles.The bill includes $526 million, as requested, for Situational Awareness upgrades to 353 vehicles. 

Stryker Combat Vehicles.The legislation would provide $364 million in the base bill, which is $25 million below the requested amount, due to excessive program management costs. 

E-2D Hawkeye. The bill includes $649 million, which is $142 million above the request, for three E-2D Hawkeye aircraft, which is one above the requested number; and $362.5 million for the continued development of the E-2D Advanced Hawkeye aircraft. 

F-18 Super Hornet. The legislation would provide $1.5 billion for 18 F/A-18E/F Super Hornet tactical aircraft, which is nine above the requested amount; and $1.6 billion for 22 EA-18G Growler electronic attack aircraft. 

F-35 Lightning. The bill includes$6.8 billion, matching the request, for the procurement of 30 F-35 Lightning Aircraft, including 16 Short Take-off and Vertical Landing (STOVL) variants for the Marine Corps, four carrier variants for the Navy, and ten conventional variants for the Air Force. The bill also includes full funding for research and development, and an additional $465 million to continue development and initial procurement of the Alternative Engine for the Joint Strike Fighter. 

V-22 Osprey.The legislation would provide $2.7 billion for the procurement of 30 MV-22 and five CV-22 Osprey aircraft, which is equal to the President’s request. 

E-8 JSTARS.The bill includes $62 million, $46 million above the requested amount, for JSTARS re-enginingresearch and development and $54 million for continued procurement. 

Air Force Cargo Aircraft. The legislation would provide$2.5 billion for ten additional C-17s above the budget request; $905 million for five C/HC/MC-130Js and advance procurement for 20 C/HC/MC-130s; $319 million, matching the request, for eight C-27J Joint Cargo Aircraft; and $202 million, $49 million above the requested amount, for Infrared Missile Countermeasures for the C-17 and C-130 aircraft.

Multi-mission Maritime Aircraft.The bill includes $1.2 billion for the continued development of the Multi-mission Maritime Aircraft and $1.7 billion to procure six aircraft. 

Next Generation Aerial Refueling Aircraft. The legislation would provide $306 million for the development of the Next Generation Aerial Refueling Aircraft. 

Unmanned Aerial Vehicles (UAVs). The bill includes$554 million, matching the request, to procure RQ-4 Global Hawk UAVs; $489 million for 24 MQ-9 Reapers; and $481 million for 24 MQ-1C Sky Warriors. 

Military Helicopters.The legislation would provide $3.34 billion to increase and improve the military’s fleet of helicopters, including $326 million, as requested, for 54 Light Utility Helicopters; $1.26 billion, as requested, for 79 UH-60 BlackhawkHelicopters; $882 million for 27 CH-47 Chinook Helicopters; $584.8 million for 24 UH-1Y Huey/AH-1Z Cobra Helicopters; and $159 million for five HH-60M helicopters and modifications to the existing HH-60G fleet. 

Presidential Helicopter.The bill provides no funds to continue development or testing of the VH-71 helicopter, and adds $100 million to capture technology for possible use in a future presidential helicopter. 

Tactical Wheeled Vehicles. The legislation includes$498 million for the procurement of Medium Tactical Vehicles, and $613 million for the procurement of Heavy Tactical Vehicles. The Overseas Contingency Operations portion of the bill includes additional funding for tactical vehicles. 

Targeting pods.The bill includes $68 million, $18.5 million above the requested amount, for targeting pods to increase the combat effectiveness and precision strike ability of U.S. military aircraft. 

Guided MLRS Rockets.The legislation would provide $293.6 million, as requested, for 2,628 Guided Multiple Launch Rocket System Rockets, to enhance the precision strike ability for U.S. artillery. 

Shipbuilding. The bill includes $15 billion, $120 million above the requested amount, for the procurement of seven Navy ships, including: one DDG-51 Guided Missile Destroyer; one SSN-774 Attack Submarine; two Littoral Combat Ships; one Intra-theater Connector Ship; and two T-AKE Auxiliary Dry Cargo/Ammunition Ships. 

Advanced Communications. The legislation would provide $880 million, as requested, for continued development of the Joint Tactical Radio System. The recommendation provides $1.8 billion, matching the request, for a fourth Advanced Extremely High Frequency communications satellites. 

Missile Defense. The bill includes an additional $50 million for the Ground-based Midcourse Defense program and $57.6 million for six additional Standard Missile-3 (SM-3) for Aegis Ballistic Missile Defense; Supports the budget request for Theater High Altitude Area Defense (THAAD) and the Patriot/MEADS Combined Aggregate Program; Supports the budget request of $50.5 million for Ballistic Missile Defense European Capability; Provides $82.8 million above the request for the Israeli Cooperative Program and $80 million for the Early Interceptor Program. 

Future Combat Systems Research and Development.The legislation would provide $2.29 billion for continued development of the restructured Future Combat Systems Program. The recommendation is $357 million below the request due to excessive termination liability and $1.1 billion below the Fiscal Year 2009 level. 

Defense Advanced Research Projects Agency (DARPA).The bill includes $3 billion, which is $246 million below the request, for research and development programs, due to chronic under-execution. 

Other Department of Defense Programs

Defense Health Program.The legislation includes $29.2 billion, which is $3 billion above the Fiscal Year 2009 level and $1 billion above the requested amount, for the Defense Health Program to provide quality medical care for service members and their families and funding to address the serious financial challenges facing the Defense Health Program; including fully funding the Department of Defense request of $372 million for military medical research; in addition $120 million is included for Traumatic Brain Injury and Psychological Health Research. 

Programs Supporting Military Families.The bill would provide$472.4 million for Family Advocacy programs and full funding for Family Support and Yellow Ribbon to provide support to military families, including quality child care, job training for spouses, and expanded counseling and outreach to families experiencing the separation and stress of war. 

Office of the Inspector General (IG).The bill would provide $288 million for the Department of Defense IG, which is $15.6 million above the requested amount, to accelerate the growth of the Office of the IG in order to keep pace with the growth in the size of the defense budget and the number of defense contracts in order to ensure proper oversight of DoD acquisition and contracting.

Overseas Contingency Operations

The bill does not include any portion of the Administration’s expected request for additional funds for operations in Afghanistan; it provides funding only for existing operations and maintenance. 

Ongoing Military Operations. The bill would provide $101.1 billion, which is $2.3 billion below the requested amount, for operations and maintenance, and military personnel requirements for ongoing military operations in Iraq and Afghanistan, and to support preparations to continue withdrawal from Iraq, including: 

• $14.2 billion for military personnel expenses to support pre-mobilization training reserve components and pay and benefits for mobilized Reservists and Guardsmen and special pay and allowances for deployed active duty personnel. The Army’s new plan to grow its end strength by an additional 22,000 personnel is also fully funded (in the base bill).
   
• $5 billion for the Overseas Contingency Operations Transfer Fund, to respond to the highly variable nature of the costs to rebalance US forces between Iraq and Afghanistan, to begin the redeployment from Iraq, and for the procurement of additional Mine Resistant Ambush Protected (MRAP) Vehicles if required. This account carries protections so that the congressional defense committees have the opportunity to review and approve any funding actions in this account.
   
• $6.6 billion for the Afghanistan Security Forces Fund to train and equip Afghan Security Forces and assist the government in assuming greater responsibility for its nation’s security.
   
• $1.2 billion for defense health programs to provide medical care to active forces as well as mobilized Reserve Components, and their family members. This funding also provides care for combat injuries and other additional support requirements including communications, telemedicine, public health support, and post deployment health assessments.

Equipment and Force Structure.The legislation includes $23.36 billion, which is $1.71 billion above the requested amount, for equipment used by our service members in Iraq and Afghanistan, including: 

• $6.3 billion, which is $825 million above the requested amount, for the Mine Resistant Ambush Protected (MRAP) Vehicle Fund to complete procurement of over 6,600 new MRAP all-terrain vehicles to protect our troops;
   
• $1.1 billion, which is $187 above the requested amount, for the procurement of High Mobility Multi-Purpose Wheeled Vehicles (HMMWVs);
   
• $863 million, which is $577 million above the requested amount, for the procurement of Family of Medium Tactical Vehicles;
   
• $803 million, which is $180 million above the requested amount, for the procurement of Family of Heavy Tactical Vehicles;
   
• $150 million, added above the request, for the procurement of Stryker vehicles; and
   
• $950 million, added above the request, for the National Guard and Reserve Equipment account. 

Key Policy Provisions

No Permanent Bases. The bill would continue a general provision prohibiting the establishment of permanent bases in Iraq or Afghanistan. 

Torture. The legislation includes a provision to continue a general provision prohibiting the torture of detainees held in U.S. custody. 

Commander’s Emergency Response Program (CERP). The bill would provide $1.2 billion, which is a reduction of $300 million from the request for CERP, and withholds $500 million in funding until the Department develops and submits a comprehensive spending plan. 

Guantanamo Bay Detention Facility. The legislation would provide no funds for the closure of the detention facility at Guantanamo Naval base. 

Other Items 

Small Business Loans. The legislation includes a provision that would allow the Small Business Administration (SBA) to continue two temporary enhancements to its loan guarantee program through February 28, 2010 to make loans more attractive to borrowers and lenders and to free up capital, with one raising the percentage of loan amounts that the SBA can guarantee to 90 percent; the other allows it to waive or reduce loan fees.The extension is fully offset. 

Patriot Act. The bill would extend authorizations through February 28, 2010. 

Flood Insurance.The legislation includes a provision to extend the National Flood Insurance Program through February 28, 2010. 

Medicare Physician Payments Extension.The bill includes a provision that delays, to February 28, 2010, a scheduled 21.2 percent cut in Medicare physician payments. 

Surface Transportation Authorization Extension.The legislation would extend the authorization for the highway, transit, highway safety and motor carrier safety programs of the Department of Transportation until February 28, 2010. 

Unemployment Insurance.The bill includes a provision to extend expanded unemployment benefits, including increased payouts and longer duration of benefits, through February 28, 2010. 

Help with Health Insurance for Unemployed Workers (COBRA). The legislation would extend from nine to 15 months the 65 percent COBRA health insurance subsidy for individuals who have lost their jobs. The job lost eligibility date is extended in the provision to February 28, 2010. 

Satellite Television Extension and Localism. The bill would extend the compulsory copyright license used by satellite television providers, which expires on December 31, 2009, for two months. 

Nutrition Assistance. The legislation includes language ensuring the Supplemental Nutrition Assistance Program (SNAP) will have sufficient funding to meet the growing demand for nutrition assistance from modest-income families and provides $400 million in additional funding for state administrative expenses, to speed up processing of applications.

Legislative History

On December 16, 2009, the House of Representatives passed H.R. 3326, the Department of Defense Appropriations Act, 2010, with an amendment to the Senate Amendment, agreed to by a voice vote. 

On October 6, 2009, the Senate passed H.R. 3326, with an amendment in the nature of a substitute, by a vote of 93-7. 

On September 10, 2009, the Senate Appropriations Committee ordered H.R. 3326, the Department of Defense Appropriations Act, 2010, with an amendment in the nature of a substitute to be reported favorably to the full Senate, by a vote of 30-0. 

On July 30, 2009, the House of Representatives passed H.R. 3326, by a vote of 400-30.