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GAO Reviews Pentagon’s Budget Mgmt Strategy Under Sequestration

budget analysis reviewThe U.S. Defense Department used short-term strategies to manage funds for major programs and functions during fiscal 2013’s sequester, a new Government Accountability Office report says.

GAO said in a report published Wednesday the department’s operations and maintenance account absorbed 55 percent of $37 billion in FY 2013 mandated defense budget cuts.

DoD also reduced procurement spending by 26 percent and cut research, development, test and evaluation program spending by 16 percent in 2013 due to sequestration.

The report noted that sequestration also forced the Air Force to delay military readiness activities and prompted the Navy to postpone deployment of ships.

GAO recommended that defense officials assess and document the financial lessons they learned during FY 2013 to prepare for possible spending cuts in the near future.

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