budget, Congress, Pentagon

Trump Threatens NDAA Veto If House Cuts Stand

on July 10, 2019 at 1:41 PM

President Trump with nominee for Chairman of the Joint Chiefs, Gen. Mark Milley, and Acting SecDef Mark Esper.

WASHINGTON: The Trump Administration has issued a laundry list of objections to the House Armed Services Committee (HASC) version of the fiscal year 2020 National Defense Authorization Act — including a threat to veto the bill if the HASC-approved $733 billion top-line for DoD spending passes Congress.

Major objections in the “Statement of Administration Policy” provided to the House Rules Committee  obtained by Breaking Defense, include:

In addition, while the White House welcomes the HASC creation of a Space Corps, it urges the House to reconsider and provide the Pentagon authority to begin transferring Air Force and other service personnel to the Space Corps in 2020. It also asks that HASC change add a senior civilian slot to lead the new armed force. The Senate bill did so, creating an Assistant Secretary of Defense for Space Policy.

The White House also argues against the changes, pushed by HASC Chairman Adam Smith, to the National Security Space Launch Program Phase 2 competition that would benefit SpaceX and Blue Origin in the mega-millions contest with United Launch Alliance and Northrop Grumman. Those provisions would in effect limit the Air Force’s planned Phase 2 contract for two providers to 29 launches between 2020 and 2024, and require the Air Force to open the competition again after that. The provision (in the bill’s Section 1601) further would provide up to $500 million to any company that wins a Phase 2 contract, but had not been given a contract under the previous Launch Services Agreement — that is, SpaceX as it is the only company in that position.

“The Administration strongly objects to this provision as it would increase mission risk for the Nation’s national security satellites,” the statement says. It expresses concern that the changes might affect the contract’s alignment “with the conclusion of the current generation of several satellite architectures.” The White House adds: “Confining Phase 2 to fewer missions would increase per-launch cost while simultaneously introducing risk and costs for some intelligence payloads.”

The House just this week took up the 2020 NDAA, and is working its way through more than 600 amendments — amid partisan bickering and a lack of support from House Republicans. Normally, an administration would issue a response to congressional action after both sides of Capitol Hill formally acted on the legislation. The Senate passed the NDAA on June 27, and met the administration’s request for $750 billion in top-line DoD funds.

 

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