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Home Department of War

GAO Says DOD Needs Clearer Rules to Track Funding for Pacific Deterrence

by Kristen Smith
November 26, 2025
in Department of War, News
GAO logo. GAO urged DOD to develop clearer guidance for selecting programs to be included in PDI budget exhibits.

GAO urged DOD to develop clearer guidance for selecting programs to be included in PDI budget exhibits.

The Government Accountability Office says the Pentagon’s annual budget reporting for the Pacific Deterrence Initiative does not give Congress a reliable picture of how the department is resourcing efforts to counter China in the Indo-Pacific. According to a GAO report published Tuesday, the military services applied inconsistent criteria when deciding which programs to include in PDI budget exhibits for fiscal years 2023 through 2025.

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  • Where Do Pentagon and INDOPACOM Assessments Conflict?
  • How Should DOD Improve PDI Guidance and Alignment?

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The government watchdog noted that the U.S. Air Force and Marine Corps included facilities sustainment efforts, while the Army and Navy excluded similar activities. It also stated that some programs east of the International Date Line were included despite guidance focusing primarily on activities west of the line and that other submissions listed development efforts unlikely to yield operational results within five years, even though PDI is intended to emphasize near-term impact.

Where Do Pentagon and INDOPACOM Assessments Conflict?

GAO found that the programs and funding detailed in the Department of Defense’s annual budget exhibit differ from the Indo-Pacific Command’s independent assessment. While some discrepancies stem from INDOPACOM’s assumption of unlimited resources, others arise from different program priorities. These inconsistencies, GAO said, hinder Congress’ ability to assess whether the DOD resources align with strategic goals and create uncertainty about the DOD’s most critical needs for the Indo-Pacific region.

How Should DOD Improve PDI Guidance and Alignment?

GAO issued two recommendations. It said the under secretary of defense for policy should revise its guidance to clearly define how programs are selected for inclusion in PDI budget exhibits—covering enhancements; research, development, test and evaluation; facilities sustainment; and geographic scope—and establish processes and roles for validating programs. The official should also update PDI processes to ensure the Pentagon reviews and considers INDOPACOM’s funded priorities when preparing annual budget reports.

DOD concurred with both recommendations.

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