New Defense budget Means More Financial Uncertainty for Pentagon
April 9, 2013
The Obama administration is poised to roll out a 2014 defense budget that is billions of dollars higher than legally mandated spending caps, setting the stage for another year of financial uncertainty and turmoil at the Pentagon, defense analysts say.
The White House will propose a $526.6 billion defense budget on Wednesday when it unveils its spending plan for the fiscal year beginning October 1, U.S. officials say. That is $51 billion above the spending caps set by a 2011 law aimed at controlling government deficits.
The White House budget plan proposes spending reductions and revenue increases that officials say would make defense cuts under a process known as sequestration unnecessary.
But a deal on taxes and spending with the Congress seems unlikely, given that President Barack Obama, a Democrat, and the Republican-controlled House of Representatives have been trying for two years to achieve one.