Navy Secretary Ray Mabus has warned that $500 billion in across-the-board spending cuts under sequestration could force the Defense Department to cancel some Navy and Marine Corps programs over the next 10 years, Reuters reported Wednesday.
Andrea Shalal-Esa writes the Navy is reviewing service contracts, which make up 25 percent of the Pentagon’s $160 billion annual budget, and weapons programs to determine which could be delayed or cancelled.
Mabus said the Navy’s attempts to save on acquisition costs and conduct an overhaul of its fleet could be compromised if multi-year contracts are pulled back under the sequester, Shalal-Esa reports.
“Unless we act to address the damage of continuing resolutions and sequestration, there are options which may be limited or just not available in the future,” he said, according to the report.
He also noted that further spending cuts could affect funding for deployments as reductions have already hit maintenance and training accounts, Shalal-Esa writes.
