Term Paper: Budget Practices That Are Destroying

Pages: 5 (1446 words)  ·  Bibliography Sources: 1  ·  Level: College Senior  ·  Topic: Terrorism  ·  Buy This Paper

¶ … Budget Practices that are destroying America's defenses." The article appeared in the Forbes Magazine. The article identified four budgetary practices of the U.S. federal government that were creating severe issues in the defense management, specifically for the Pentagon. The author identified that sequestration provisions of the 2011 Budget Control Act are flawed in many ways. It is pertinent to mention that the sequestration provisions require the Pentagon to save $500 million over nine years.

The author identified two main issues in the budgetary process of the federal government. It is argued that the sequestration provisions should not be applied on the Pentagon. The provisions impose caps on allowable spending each year, and most of the cuts are made in training and technology investments. The second objection in the process of budgetary sequestration is that the provisions do not allow the Pentagon to choose the heads of expenditure in which savings should be imposed. The managers in Pentagon are not allowed to decide the accounting heads for the federal sequestration budget cuts. The article identifies situations where healthcare contractors are preferred over the defense contractors while making outstanding payments. In case the federal government faces a shutdown when it reaches the federal debt ceiling, defense contractors and Pentagon will be the worst hit federal segment of the sequestration provisions. The points that the author mentioned are valid in the sense that America's national security is threatened by terrorist outfits. The pentagon is responsible for making technology and training related investments and if the sequestration budgetary cuts remove the independence of Pentagon in managing their budget, the whole idea of prioritizing national security will be negatively affected. The article sums with up with the notion that the commutative fallout for the national defense will be profound (Thompson, 2013). The future threats will actually materialize if flaws in the budgetary process of the U.S. federal government are not removed soon.

2. The issues and its implications on the national budget

There are several adverse implications of defense budgetary sequestration provisions. First of all, the threat of further terrorist attacks, after the incident of 9/11 and the subsequent Afghanistan and Iraq wars, has actually increased. The recent facts substantiate this assertion. In a recent interview, Chertoff Goup, the former Chief of the Department of Homeland Security, opined that incidents such as the case of Nidal Hasan in Fort Hood and Trarnaev brothers in the Boston bombing show that generation 2.0 of the young radicalized people has been unleashed after the killing of Osama Bin Laden. Hezbollah and Al-Qaida are the most serious terrorist organizations threatening the U.S. national security (O-Connell, 2013). Along with the increasing threat of terrorists striking inside the U.S., the budget sequestration provisions are affecting the capability of security forces to effectively mitigate the terror threats. The situation gets worse in events like the shutdown of the federal government departments. Director of National Intelligence James R. Clapper Jr. commented that intelligence gathering capacity of the organization has decreased after budgetary sequestration as well as shutdown of the federal government (Miller, 2013).

The most visible changes due to the sequestration provisions will be that training of intelligence and military personnel will be reduced. The major investment initiatives of the Pentagon will also be affected as 10% cut on all investments will be effectuated. The savings are negligible compared to the cost of cutting investment and trainings of military personnel abroad as well as in the U.S. (Thompson, 2013). When the sequestration provisions are implemented during the government shutdown, the issues increased. The civilian workers of the defense department were sent home as soon as the federal government was shut down. The sequestration provisions made defense spending second priority to the health spending.

Thus, I would prefer to remove the department of defense (DoD) from the sequestration provisions. Even if the DoD is not exempted from the sequestration provisions under the 2011 Budget Control Act, Pentagon should be free to choose the accounting heads of spending cuts. This will allow the defense ministry to continue the training and investments in technology.

3. Balanced federal budget

There are potential drawbacks in case that the federal government balances the budget by imposing the spending cuts. One of them major implication of budget balancing through spending cuts is the potential recession that the real GDP growth can… [END OF PREVIEW]

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Budget Practices That Are Destroying.  (2014, January 22).  Retrieved May 26, 2019, from https://www.essaytown.com/subjects/paper/budget-practices-destroying/5305315

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"Budget Practices That Are Destroying."  Essaytown.com.  January 22, 2014.  Accessed May 26, 2019.