I still receive official "Talking Points" from Navy Office of Information. Thought you would be interested in factual information from Navy. - Jim

The Fiscal Year 2013 (FY13) baseline budget submission of $155.9 billion for the Department of the Navy (DoN) is $1.4 billion less than appropriated for FY12, and $9.5 billion less than planned for FY13 in the FY12 President’s Budget. In total, the DoN’s FY13 Future Years Defense Plan (FYDP) incorporates more than $58 billion in reductions.

The FY13 budget reflects a strategic turning point as we transition from today’s conflicts and position the Navy-Marine Corps team for the challenges of tomorrow. The DoN budget is aligned with the new strategic guidance for the Department of Defense (DoD). A premium was placed on our presence in the Asia-Pacific region and the Middle East, using innovative methods to generate more forward presence with a smaller and leaner force while retaining the ability to surge as needed.

Constrained by economic and fiscal challenges, DoN will continue to operate around the globe, providing the nation offshore options to deter and defeat aggression today and into the future. The FY13 request for overseas contingency operations of $14.2 billion funds incremental costs to sustain ongoing operational commitments, manpower, equipment and infrastructure repair, as well as equipment replacement.

Highlights

• Decreased the deployable battle forces to 284 ships in FY13, including 11 aircraft carriers and 31 large amphibious ships, 4 guided-missile submarines and 55 nuclear powered attack submarines. Force structure changes will result in a Navy fleet size of more than 280 ships by the end of the FYDP.
• Decommissions seven Ticonderoga class cruisers over FY13 and FY14, which results in reduced fleet operating costs and procurement/installation of combat systems.
• Ship procurement funds 10 new-construction ships in FY13 (one CVN, two SSNs, two DDG 51s, one JHSV, and four LCS-class ships) and 41 ships across the FYDP.
• Continues to support development efforts for the Ohio class Replacement Program, but at reduced levels. Virginia class procurement was reduced in the FYDP from 10 SSNs to nine SSNs.
• Lays foundation for increased Forward Deployed Naval Forces (FDNF) in various locations, most notably Rota, Spain. Provides the resources to forward station littoral combat ships in Singapore and patrol craft in Bahrain.
• Aircraft procurement funds 192 airframes in FY13 and 765 airframes across the FYDP.
• Decreased aviation quantities for: F-35 B/C, C-40A, KC-130J, P-8A, MV-22B, MH-60R, and E-2D.
• Protects development of sea-based ISR systems and other maritime capabilities (Fire Scout, Small Tactical Unmanned Air System (STUAS), and Broad Area Maritime Surveillance (BAMS).
• Military basic pay is increased by 1.7 percent.

Key Messages

• DoN FY13 budget was built applying the tenets of warfighting first, operate forward, and be ready.
• The DoN will present a more streamlined force, born of this changing strategy and tempered by difficult decisions reflective of constrained resources.
• Guided by Defense Strategic Guidance, the Navy-Marine Corps team is built for war, capable of operating forward to preserve the peace, respond to crises, and protect U.S. and allied interests. The force will be leaner, agile, flexible, ready and technologically advanced.

Facts & Figures

• The FY13 baseline budget is a $1.4 billion decrease below the FY12 appropriated level. It provides:
o $44.2 billion for Military Personnel
o $49.9 billion for Operations and Maintenance
o $42.5 billion for Procurement
o $16.9 billion for Research and Development
o $2.4 billion for Infrastructure
o 322,700 Active Navy end strength
o 197,300 Active Marine Corps end strength
o 212,087 Civilian full-time equivalents

For DoN FY 2013 budget information visit: http://www.finance.hq.navy.mil/fmb/13pres/books.htm

Add this to the bullets:

"For TRICARE Prime, fees would increase from $520 per year for family coverage to $850 in 2016 in the lowest pay tier, which includes retirees who earn less than $22,589 per year in retired pay. The fees would be much steeper for those with larger pensions. In the highest tier, made up of retirees who earn more than $45,179, the annual fee would rise to $1,950."

"After 2016, health care increases would be tied directly to the actual increases in national health care spending, and in that respect, the DoD proposal differs significantly from current law. In this year's Defense authorization bill, Congress let DoD increase fees on working age retirees for the first time since it created TRICARE in the mid-1990s. And while future increases are allowed, they are tied to retiree's annual cost of living adjustments rather than actual health care inflation. "