COL Wesley Jennings U.S. Army Command and Installation Division, PAED, Deputy Chief of Staff G8

1. 9 MAY 2007 COL Wesley JenningsU.S. ArmyCommand and Installation Division, PAED,Deputy Chief of Staff G8 OPMG Brief V1.0

2. Agenda • Understanding the Strategic Context • POM 08-13 review • Army Challenges • PBR 09-13

3. Program Analysis & Evaluation Directorate Current Strength Military 42 Civilian 44 Created 1972during Nixon Administration PAE develops the Program ABO develops the Budget & works Execution year • PAED Mission: • Responsible for the Army’s $737 billion (FY08-13) Program Objective Memorandum (POM) • Single authoritative source for resource information • Experts in all facets of the Army’s programs • Points of Influence: • Develops courses of action for the Senior Review Group’s resource allocation decisions • Provides independent assessment of the Army’s programs • Produces strategic documents for the POM (Section III of the Army Plan, Technical Guidance Memorandum, POM EXSUM)

4. Building Army Capabilities to Meet the QDR Strategy… Surge Steady State Homeland Defense Active Partnering with USG Agencies ConsequenceManagement Global Deterrence Interdiction Train & Equip Stability Ops War on Terror / Irregular Warfare EnablingPartners Info Ops Transnational Deterrence Foreign Internal Defense • Build to 70 full-spectrum BCTs • Provide 18-19 BCTs for Steady State Security Posture • Surge capacity of additional 18-19 BCTs. • Increase Special Operations Forces • Improve capabilities for Stability, Security, Transition, and Reconstruction Operations • Rebalance the force to create the right mix of units in high demand. • Increase to 76 BCTs to build Strategic Depth • 20-22 BCTs for Steady State Security Posture WMD Elimination Major Combat / Strike Forward Presence Conventional Campaigns EnablingPartners Regional Deterrence Reconstruction Information Ops Sizing Variables: Frequency Number Scale / Intensity Concurrency Ops Risks Duration Policy Environment Partner Capabilities

5. POM 08-13 Strategy – Resource Mismatch > > Operational Demand QDR Strategy Resources $220B $138.8B $113B Supplemental Program Army requires base and supplemental funding to meet operational demand and strategic requirements.

6. PPBE DOCUMENT – FOR OFFICIAL USE ONLY – PREDECISIONAL – CLOSE HOLD PAED 4 3 2 1 POM/BES FY08-13 Process EOH POM/BES priorities (22 Dec) OMB meeting with OSD/Army DEC SA/CSA engage SecDef NOV OSD brief to VP and OMB OCT Submit POM/BES FY08-13 (22 Nov) SEP Issue Team work EOH: “Broken Program” AUG PAED transfer database to ABO (5 Nov) SA/CSA meet w/ SecDef; Verbal revised fiscal guidance (+$7B FY08-11; +$12B FY12-13) Revised fiscal guidance (19 Oct) DAWG Brief – “Army Capabilities& Resources” JUL PEG compliance briefs (3 Nov) Issue Team Outbrief Fiscal Guidance (-$22.5B) (3 Apr) JUN CSA meets SecDef – Issue Teams approved MAY 2006 PPBE Conference POM/BES 1st Half POM/BES 2d Half (proposed) OSD/JS/Army Issue Team APR Program/Budget Review MAR 24 EOH engagements to define resource problem and strategic choices Signed PDM FEB Grow the Army JAN Command briefs Develop/lock requirements (PEGs/CMDs) 21 February 2007

7. Base Funding Supplemental Funding GWOT Request Base and Supplemental Funding $220B Reality Growth in total Army spending is largely a function of the war. Growth in our base budget is a function of the evolving security environment. $200B $108B Total Request ($49B In Title IX) $180B $92B $160B $140B $68B $46B $66B $120B $100B $80B $60B $96B $101B $108B $110B $130B $141B $144B $143B $144B $144B $40B $20B $0B FY04 FY05 FY06 FY07 FY08 FY09 FY10 FY11 FY12 FY13 Appropriations President’s Budget FY08 Actual Execution

8. Just in Time Readiness PRESENT REALITY • Environment requires readiness in depth – Army lacks readiness in depth • Equipment and Personnel shortages drive readiness ratings • IAs/TTs require significant Officer/NCO leadership QDR/OA-06 GOAL Goal: 1 forward : 3 back…or Stress to All-Volunteer Force

9. Army Challenges“Just in Time Readiness” • Restoring strategic depth—Readiness of next-to-deploy forces • Equipping brigades by 2019 • Training units to counter insurgency mission • Continuing to rely heavily on supplemental • Implementing Reserve Component utilization policy • Increasing pre-mobilization readiness of Reserve Component forces • Sustaining core capabilities while executing mission specific training • Resetting the force for next fight • Replacing/recapitalizing/repairing unit equipment • Rebuilding Army prepositioned sets & War Reserve Secondary Items • Preparing units for next deployment • Growing a ready Army • Synchronizing elements of growth • Sustaining all-volunteer force • Reducing stress on Soldiers and families • Increasing dwell time Supplying Army Forces for the Long War

10. Transforming While at War“Building a Campaign-quality Army with Joint & Expeditionary Capabilities” • Transforming organizational design • Countering traditional and irregular threats • Building brigades that can fight under any joint headquarters • Redesigning Division and Corps headquarters to enable them to serve as joint headquarters • Shifting personnel from institutional force to operational force • Modernizing all components • Implementing OSD guidance—increasing Joint interdependence • Protecting the force is a continuous process—must adapt to changing environment • Fielding Future Combat System of Systems initial spinouts during this program • Realigning Army footprint • Implementing BRAC, Global Defense Posture Realignment, and stationing changes • Adjusting Grow the Army plan • Implementing new readiness paradigm • Establishing Force Generation model • Assuring access to Reserve Component • Transforming leader development • Increasing skill sets to adapt to changing environment • Improving cultural awareness

11. Ground Force Initiatives • Modularity (Standardized Unit Designs) • Building flexible and agile general purpose forces • Converting all brigade combat teams and support brigades (Active; National Guard; Reserves) • Completing conversions to modular organizations with equipment by 2019 • Future Combat System of Systems • Enabling networked battle command (JNN/WIN-T study underway; report out in June) • Fielding spinouts beginning in FY08 • Fielding first Future Combat System brigade combat team by 2015 (one per year thereafter) • Empowering Soldiers with the network (situational awareness) • Improving maneuver, protection, and sustainment capabilities (e.g. manned ground vehicles) • Enhancing intelligence, surveillance, and reconnaissance capabilities (e.g. unmanned aerial systems, unmanned ground vehicles) • Grow the Army • Increasing brigade combat team surge capacity from 18-19 to 21-22 plus 2 maneuver enhancement brigades per rotation given a surge rotation rate of 1:2 active component and 1:4 reserve component • Improving active component dwell by 2013 with recurrent, assured access to reserve component • Growing and rebalancing capabilities to mitigate high demand/low density shortfalls and increase combat support/combat service support capacity: Patriot Engineer Military Police Transportation EOD Medical Military Intelligence Maintenance

12. Manning Equipping Training Organizing Sustaining Installations ASA(M&RA) & G-1 ASA(ALT) & G-8 ASA(M&RA) & G-3 ASA(M&RA) & AASA ASA(ALT) & G-4 ASA(I&E) & ACSIM MACOMPOM Integrators PEG PPBC Co - Chairs Title X Function COCOM IPL SRG EOH SA, CSA Program Evaluation Groups MDEP Mgrs 3 Wise Men • Six Program Evaluation Groups (PEGs) support PPBE • Secretariat & functional proponent co-chair each PEG • ARNG, OCAR, and G-6 serve as Integrators within each PEG • PEGs, assisted by the Program integrators: • Build Section III of The Army Plan (TAP) • Administer a set of Management Decision Packages (MDEP) • Set the scope, quantity, priority, and nature of requirements • Construct program performance measures and define metrics • Build the POM and convert the programs into budget-level detail • Help defend program during the review process • Track program during execution 3 Kings

13. Issues Army is Addressing During Program Budget Review FY09-13 • Grow the Army • Implement Reserve Component utilization policy • Equip and modernize the force • Review Stationing/MILCON plan • CSA Initiatives • Accelerate Growth • Families & Supporting Soldiers • Modularity & Modernization • Reserve Components • Leader Development • Adapting Institutional Policies & Programs • Strategic Communications • CJCS recommendations

14. COCOM J8 Conference BACKUP

15. Capability Gaps Army Must Close by 2020“Supporting the Joint Fight” • Soldier Protection: situational awareness; counter IED, mine, and sniper; improved vehicle and body armor; active protective system; chemical and biological detection/protection; unmanned systems • Network Enabled Battle Command: communications on the move; joint integrated situational awareness through sensor integration; networked precision fires; planning and direction; scalable, tailorable, and lowest level • Battlespace Awareness: persistent surveillance; multi-spectrum surveillance; situational awareness; real-time intelligence distributed to appropriate levels • Force Protection: counter air, missile, rocket, artillery, and mortar; combat identification; biometrics; platform survivability • Operational Maneuver: ground mobility; strategic and intra-theater movements • Information Operations: cultural awareness; electronic warfare; PSYOPs • Logistics: joint rapid distribution; logistics information fusion; situational awareness and asset visibility; tactical medical transport; reducing demand

16. Current Program Approved Program + 65.0K Active 482.4K 547.4K + 8.2K ARNG 350.0K 358.2K + 1.0K USAR 205.0K 206.0K + 74.2K Total 1,037.4K 1,111.6K Growing Capabilities to Meet Global Demand • Increase ~74K across the Army by FY2013 building a total of 76 BCTs (48/28) and about 225 Support Brigades (80/85/60) • Continue to rebalance capabilities across the three components • Increases BCT surge capacity from 18-19 to 21-22 + 2 Maneuver Enhancement Brigades per rotation given a surge rotation rate of 1:2 AC and 1:4 RC • Improves AC Dwell by FY 2013 with recurrent, assured access to the RC • Grows and rebalances capabilities to mitigate HD/LD shortfalls and increase CS/CSS capacity: Patriot Engineer Military Police Transportation EOD Medical Military Intelligence Maintenance

17. 5BCTs + Enablers Adjust (Plus-Up) 1 HBCT + 1 IBCT Accelerate The Army by 74.2K Grow Remaining Legacy Force Convert Rebalance AC/ RC, CBT, CS, CSS Reset Army Equipment for distribution FCS / AETF / 2 GEN nd Modernize Restation IGPBS / BRAC New Demand; Post 1/1ID Conversion Train TTs The Force Integration Challenges ARNG and USAR / AC Mobilize / Deploy

18. Impact of Modern War • Current commitments and demand for forces exceeds planning constructs. • Timing of funding has impacted strategic depth. • Changes to threat and mission have permanently increased cost of ground forces. • Sustained commitment of ground forces requires sustained commitment of national resources. • Changes to threat and mission are changing resources and requirements inside Army. Cost of the Army reflects the cost of modern war

19. Equipping Soldiers for War Soldier: 2006 Soldier: 2000 Parachutists & Ground Troops (PASGT) Helmet & Accessories Army Combat Helmet & Accessories PVS 7 Night Vision Device & Accessories* PVS 14 Monocular Night Vision Device & Accessories MOLLE Close Combat Optic Protective Goggles Interceptor Body Armor (ACU Camouflage Pattern) Outer Tactical Vest (OTV) Enhanced Small Arms Protective Inserts Deltoid Axillary Protector ** Side Plates** PASGT Vest Load Carrying Equipment PEQ-2A Infrared Aiming Light Close Combat Optic Gloves Gloves PAC-4 Infrared Aiming Light* Battle Dress Uniform M4 Carbine M4 carbine Army Combat Uniform Jungle Combat Boot PVS-4 Weapons Sight Infantry Combat Boot Type II (Tan) Knee and Elbow Pads Equipment Spending Per Soldier: *$11,148 Protective Eyewear (Wiley X) Thermal Weapons Sight II (Light) Equipment Spending Per Soldier: $17,472 *Adjusted to FY06 dollars Increased cost and increased numbers equipped **Item Not Shown

20. Army - Combatant Command Engagement in PPBES COCOM ASCC COCOM IPL SA, CSA • COCOM Integrated Priority List (IPL) • COCOMs highest priority capability gaps • COCOMs main tool during PPBE process • COCOM ASCC POM • Focus Includes: • Integrating COCOM requirements to provide joint capability • MACOM Commander's Program Assessment • Commanders’ Narrative Assessments • Commander’s personal program assessment and priorities • Provides information on priorities from the MACOMs as well as selected COCOMs • COCOM Program Review ARSTAFF Integration BES/POM CJCS Prog Review