WASHINGTON — The Navy announced today that it is establishing five new portfolio acquisition executives, known as PAEs, as part of a wider acquisition reform initiative across the services.
The Navy established the first PAE for Robotics and Autonomous Systems (RAS) in December, and the service said that it is now standing up the following PAE organizations:
- PAE Maritime, led by Chris Miller;
- PAE Undersea, led by Vice Adm. Robert Gaucher;
- PAE Industrial Operations, led by Vice Adm. James Downey;
- PAE Strategic Systems Programs, led by Vice Adm. Johnny Wolfe; and
- PAE Marine Corps, led by Lt. Gen. Eric Austin
This restructuring aims to instill the PAE model as the “new operational standard for the acquisition enterprise,” and makes those who oversee these new PAE organizations the single, accountable official for their respective portfolios, according to the Navy.
“Within the PAEs’ toolkit is head of contract authority, most technical authority, life cycle, sustainment, planning,” Jason Potter, who is performing the duties of assistant secretary of the Navy for research and development, told reporters today. “And these are all things that have previously been at the SYSCOM [systems command] that now the PAE both has the authority to do and is accountable for doing. And the goal here is to not have to check with other three stars, or other senior Navy officials in the process of making a decision. Everything that can be consolidated is, and I think that’s what is different about the Navy’s comprehensive approach here.”
The effort is in accordance with the fiscal 2026 National Defense Authorization Act, which included language to establish PAEs as a way to consolidate management of weapons programs.
“It’s important to stress that the PAE construct is very different from how we’ve been doing things currently,” Vice Adm. Seiko Okano, principal military deputy to the assistant secretary of the Navy for research and development said today.
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“No longer will program managers operate in an environment where they control very few of the factors that might influence program success or failure,” Okano said. “No longer will we incentivize procedural compliance over speed, innovation, and risk management. Accountability was fractured, and we’re replacing that compliance-based bureaucracy with the system which has, as its primary measure of success, speed of delivery to the war fighter.”
Transition teams are currently underway for three more PAEs for aviation, mission systems, and munitions. Likewise, the Navy is evaluating the possibility of a PAE for shore and another for supply.
“Everything’s getting looked at right now, and I think by the end of April, we’ll have three more, and then there’s probably, likely next month or two after, we’ll know on supply and shore,” Potter said. “But it’s also a testament to the process we’re using. There’s not a foregone conclusion here. We’re going where the facts lead us.”