Although future contingency operations may differ from those of the past decade, many analysts and defense officials believe that contractors will continue to play a central role in military operations. These observers believe that, in order to meet the challenges of future operations, DOD should be prepared to effectively award and manage contracts at a moment's notice, anywhere in the world, in unknown environments, and on a scale that may exceed the total contract obligations of any other federal agency. DOD's extensive use of contractors poses several potential policy and oversight issues for Congress and has been the focus of numerous hearings. Congress' decisions on these issues could substantially affect the extent to which DOD relies on contractors in and is capable of planning for and overseeing contractors in future operations. The Role of Contractors in Military Operations

DOD has long relied on contractors to support overseas military operations. Recent operations in Iraq and Afghanistan, and before that in the Balkans, have reflected this increased reliance on contractors supporting U.S. troops—both in terms of the number of contractors and the type of work being performed. Contractors can provide significant operational benefits to DOD, including freeing up uniformed personnel to conduct combat operations; providing expertise in specialized fields, such as linguistics or weapon systems maintenance; and providing a surge capability, quickly delivering critical support capabilities tailored to specific military needs. Because contractors can be hired when a particular need arises and released when their services are no longer needed, contractors can be less expensive in the long run than maintaining a permanent in-house capability. Just as the effective use of contractors can augment military capabilities, the ineffective use of contractors can prevent troops from receiving what they need, when they need it, and can lead to the wasteful spending of billions of dollars—dollars that could have been used to fund other operational requirements. Contractors can also compromise the credibility and effectiveness of the U.S. military and undermine operations, as many analysts believe happened in Iraq and Afghanistan. Improved planning for and management of contractors may not eliminate all problems, but it could mitigate the risks of relying on contractors during overseas operations. Understanding what enabled this progress could help DOD more effectively prepare for the use of contractors in the future. In light of future budget constraints, some observers are concerned that DOD may not sufficiently fund the efforts to effectively institutionalize operational contract support and prepare for the use of contractors in future operations. 2. 3. Issues for Congress

The role contractors are expected to play in future operations raises a number of questions for Congress, including the following: 

		To what extent will potential budget cuts or force structure changes impact DOD reliance on contractors? To what extent is DOD preparing for the role of contractors in future military operations? To what extent is the use of contractors being incorporated into education, training, and exercises? What steps is DOD taking to ensure that sufficient resources will be dedicated to create and maintain the capabilities to ensure effective operational contract support in the future? Most analysts believe that effective use of contractors to support military operations requires dedicating sufficient resources to plan for, manage, and oversee the use of contractors.
Throughout its history, the Department of Defense (DOD) has relied on contractors to support a wide range of military operations. Operations over the last thirty years have highlighted the critical role that contractors play in supporting U.S. troops—both in terms of the number of contractors and the type of work being performed. Over the last decade in Iraq and Afghanistan, and before that, in the Balkans, contractors accounted for 50% or more of the total military force.
Regardless of whether future operations are similar to−or significantly different from− those of the past decade most analysts and defense officials believe that contractors will continue to play a central role in overseas military operations. Consequently, these observers believe that DOD should be prepared to effectively award and manage contracts at a moment's notice, anywhere in the world, in unknown environments, and on a scale that may exceed the total contract obligations of any other federal agency.
Contractors provide a wide range of services, from transportation, construction, and base support, to intelligence analysis and private security. The benefits of using contractors include freeing up uniformed personnel to conduct combat operations; providing expertise in specialized fields, such as linguistics or weapon systems maintenance; and providing a surge capability, quickly delivering critical support capabilities tailored to specific military needs. Because contractors can be hired when a particular need arises and released when their services are no longer needed, contractors can be less expensive in the long run than maintaining a permanent in-house capability.
Just as the effective use of contractors can augment military capabilities, the ineffective use of contractors can prevent troops from receiving what they need, when they need it, and can lead to the wasteful spending of billions of dollars. Contractors can also compromise the credibility and effectiveness of the U.S. military and undermine operations, as many analysts believe have occurred in recent operations in Iraq and Afghanistan. Improved planning for and management of contractors may not eliminate all problems, but it could mitigate the risks of relying on contractors during overseas operations.
DOD's use of contractors has been a significant oversight issue for Congress in recent years. With the help of Congress, DOD has made substantial progress to improve its use of operational contract support; however, many observers believe the military is not yet sufficiently prepared to use contractors in future operations. In their view, better planning, expanded educating and training, ensuring sufficient resources to effectively manage and oversee contractors, and providing operational commanders with more reliable data can help build the foundation for the more effective use of contractors. In light of current and future budget constraints, some observers are concerned that DOD may not be able to sufficiently fund efforts underway to effectively prepare for the use of contractors in future operations.
DOD's extensive use of contractors poses several potential policy and oversight issues for the 113th Congress, including
1. To what extent will potential budget cuts or force structure changes impact DOD reliance on contractors?
2. To what extent is DOD preparing for the role of contractors in future military operations?
3. To what extent is the use of contractors being incorporated into DOD education, training, and exercises?
4. What steps is DOD taking to ensure that sufficient resources will be dedicated to create and maintain the capabilities to ensure effective operational contract support in the future?
Congress' decisions on these issues could substantially affect the extent to which DOD relies on contractors and is capable of planning for and overseeing contractors in future operations.