Bulk Fuel Requirements

The Army, the Navy, and the Air Force O&M budget requests for bulk fuel could be reduced by $522.3 million for the following reasons: In September 1995, we reported that for fiscal year 1996, the Army, the Navy, and the Air Force budget requests for bulk fuel totaled about $4.12 billion. In view of this overall trend in inaccurately establishing either requested amounts or obligations for specific projects, Congress could reduce the services’ O&M funding request to amounts that more accurately reflect what is actually needed. Aircraft Storage

The Air Force’s O&M budget request could be reduced by $376.2 million if some aircraft were retired and others placed in storage until needed. Defense Business Operating Fund Pass-throughs

The Defense Business Operating Fund (DBOF) is a revolving account that provides various types of services and materials to the military, which pays for these items with O&M funds. In fiscal year 1996, the Army’s budget request was based on 690,667 flying hours. Real Property Maintenance

The real property maintenance program funds the maintenance, repair, and minor construction of facilities and properties. Hunter Unmanned Aerial Vehicle System

The Army’s fiscal year 1997 O&M budget request includes $20 million to operate, support, and store the Hunter Unmanned Aerial Vehicle system.
Why GAO Did This Study

GAO evaluated the military services' and Department of Defense's (DOD) fiscal year (FY) 1997 operations and maintenance (O&M) budget requests, focusing on whether the O&M accounts should be funded in the amounts requested.

What GAO Found

GAO found that: (1) GAO identified potential budget reductions of about $3.4 billion to the FY 1997 O&M budget requests; (2) the FY 1997 Army, Navy, and Air Force budgets for spare parts could be reduced by $723 million; (3) the Army, Navy, and Air Force O&M budget requests for bulk fuel could be reduced by $522.3 million; and (4) in view of an overall trend in inaccurately establishing either requested amounts or obligations for specific projects, Congress could reduce the services' O&M funding request to amounts that more accurately reflect what is actually needed. GAO also found other potential reductions in budget requests involving: (1) aircraft storage; (2) Defense Business Operations Fund pass-throughs; (3) civilian personnel requirements; (4) Army operating tempo; (5) U.S. Transportation Command; (6) environmental restoration; (7) flying hours; (8) Air Force aircraft basing; (9) real property maintenance; (10) Hunter Unmanned Aerial Vehicle System; (11) training rotations at the National Training Center and the Joint Readiness Training Center; (12) Army Prepositioning Afloat Program; (13) fuel tax refunds; (14) Bosnia operations; (15) ammunition maintenance; (16) mine hunter ships; and (17) morale, welfare, and recreation.