WEBVTT 00:07.800 --> 00:10.960 Good afternoon lays engine. Oh thank you for joining us is we 00:10.960 --> 00:14.810 previewed the at why 26teen defense budget request. 00:15.630 --> 00:19.570 On my time. We do I'd like to hit three key things. 00:20.240 --> 00:25.160 One we believe very strongly that this is a strategy driven resource 00:25.160 --> 00:25.850 inform budget. 00:26.580 --> 00:30.550 The meat's 20 first century national security needs of work great. 00:32.310 --> 00:36.730 Second the sheriff's pass and our view toward resource driven strategy. 00:36.730 --> 00:41.250 Deride budget is to keep sea quest ration caps in affect and 00:41.280 --> 00:45.740 fy 26teen and beyond from and accordingly is all the tale in 00:45.740 --> 00:49.680 a moment and is mike recording mark Ramsey will talk to later. 00:50.590 --> 00:55.630 We will submit a budget that is above the sea quest ration enacted caption. 00:56.960 --> 01:00.760 Third even out the president's budget love old which is a ball 01:00.760 --> 01:02.450 of sequester asian caps. 01:03.370 --> 01:07.140 Trying to achieve a healthy healthy balance between capacities 01:07.240 --> 01:08.890 or size of a force. 01:09.600 --> 01:13.460 The capabilities of that forced what is able to do and of readiness 01:13.460 --> 01:15.950 of that forced to respond to challenges. 01:16.500 --> 01:19.980 Will remain a constant challenge and this is especially true 01:19.980 --> 01:20.830 with regard. 01:21.390 --> 01:25.310 To maintain in our technological superiority. And a 20 first century. 01:26.930 --> 01:29.860 Our defense strategy is out wide in 24teen cutie are. 01:30.480 --> 01:33.260 We're not gonna come over it burn much year. But like commendable 01:33.260 --> 01:34.310 to you ever seen of. 01:34.870 --> 01:36.800 The calls for joint force to df in the home land. 01:37.800 --> 01:40.750 The duck the global counterterrorism campaign primarily from 01:40.750 --> 01:43.190 partners whenever possible and we're for possible. 01:44.210 --> 01:46.390 And operate forward in multiple theaters. 01:46.990 --> 01:49.830 To assure our friends and allies in the for potential at this year's. 01:51.090 --> 01:54.830 The this is a strategy that is designed to preserve us global leadership. 01:55.820 --> 01:58.330 And to help preserve global peace and the 20 first century. 01:59.670 --> 02:01.600 What it or not america remains. 02:02.230 --> 02:03.840 The global for security responder. 02:04.620 --> 02:05.300 Of choice. 02:05.880 --> 02:07.230 As we've seen this past year. 02:08.240 --> 02:11.370 Many us first let NATO than responded russian aggression. 02:11.960 --> 02:13.400 And crimea and ukraine. 02:14.310 --> 02:16.450 Then formed international coalition. 02:17.090 --> 02:19.900 To fight against arsenal and iraq and syria. 02:20.500 --> 02:24.420 And finally to respond to the of all crisis in western africa. 02:25.670 --> 02:29.860 Bodies responses come on top of an already very ball tolls security environment. 02:30.920 --> 02:33.800 The many of in this room. I don't need to tell too much about. 02:35.130 --> 02:38.180 But it requires a lot of or joint force today. There's about 02:38.180 --> 02:41.810 200 11000 servicemen and women around the world than a hundred 02:41.810 --> 02:42.920 and 36 countries. 02:43.490 --> 02:44.760 Trying to preserve the peace. 02:45.500 --> 02:47.910 We're fighting against are at the sugars. 02:48.610 --> 02:53.360 The when this and very stressing and ball torn garment constantly tried. 02:54.140 --> 02:57.040 To scrutinize whether our strategy for structure and global all 02:57.040 --> 02:58.080 occasion forces. 02:58.760 --> 02:59.780 If there are a wind. 03:00.410 --> 03:02.370 With what we see happening in the world. 03:02.910 --> 03:05.260 And at this keeping pace with emerging threats. 03:06.320 --> 03:09.270 And at the request of levels. We believe quite strongly. 03:10.300 --> 03:14.470 That this budget is the best foulkes of ince ways. And means 03:14.470 --> 03:15.750 that we could possibly tree. 03:17.210 --> 03:19.180 Given the level of resources. 03:20.170 --> 03:25.300 Or asking for 534 billion dollars in fy 20 sixty. 03:26.600 --> 03:32.050 That's 36 billion dollars a ball of the fy 26teen sequester asian caps. 03:33.320 --> 03:36.650 And about 38 billion or seven point eight six percent. 03:37.390 --> 03:40.740 Above the inactive fy 20 15 watch. 03:41.960 --> 03:43.590 Altogether when you got it all up. 03:44.560 --> 03:48.820 Across the five year defense plan fiscal years 26teen through 03:48.820 --> 03:49.560 20 twenty. 03:50.370 --> 03:54.570 This is approximately a hundred and 50 billion dollars approximately. 03:55.470 --> 03:57.490 Over the sequester issue caps. 03:58.970 --> 04:02.760 Now in addition to the base budget. We're asking for 51 billion dollars. 04:03.260 --> 04:06.240 In overseas contingency operations are all Co funded. 04:07.310 --> 04:10.850 The budget supports our efforts to continue the drop down and Afghanistan. 04:11.510 --> 04:15.880 Top or a forward in the sencom central command area of responsibility. 04:16.820 --> 04:19.550 Persian gulf up and the in virus their tune. 04:20.170 --> 04:20.990 And assist. 04:21.790 --> 04:24.440 Iraq in our partners in combating terrorists of them. 04:26.010 --> 04:29.110 Now this strategy driven resourcing forum budget is designed 04:29.110 --> 04:33.200 to support the five he priorities of the 20 fourteen. 04:33.830 --> 04:37.690 Cutie our strategy that like to run down the very quickly because 04:37.690 --> 04:39.250 we believe they are the right once. 04:39.760 --> 04:40.330 Number one. 04:41.380 --> 04:43.880 Continue to re balance to the asia pacific region. 04:44.690 --> 04:47.230 We continue to do that and we'll continue to do so. 04:48.540 --> 04:51.410 Second will maintain a strong commitment to security and stability 04:51.410 --> 04:52.550 in europe in the middle east. 04:54.560 --> 04:58.380 Third will sustain a global counterterrorism campaign again through 04:58.410 --> 05:00.340 and with partners when ever possible. 05:01.580 --> 05:05.800 For were one to strengthen our key alliances and partnerships. 05:06.470 --> 05:09.650 And finally won one upright or ties key modernisation effort. 05:11.670 --> 05:14.120 But also think are forced planning construct which informs the 05:14.120 --> 05:17.150 tax number forces in our program remain sound. 05:18.680 --> 05:22.010 But as I said we recognize that the event civil past year. 05:23.500 --> 05:26.320 Will cause us to question the assumptions that under piling up 05:26.350 --> 05:28.850 under pin each of these priorities. 05:29.660 --> 05:32.620 Specially with respect to do what is required to keep security 05:32.620 --> 05:33.750 in europe in the middle east. 05:35.330 --> 05:39.340 However we believe the requested the for 26teen and fit up. 05:40.460 --> 05:42.740 All five years of future years defense program. 05:43.970 --> 05:45.970 Budget global swallow law was to execute. 05:46.740 --> 05:50.260 The 24 teen cutie or strategy at manageable levels of risk. 05:51.450 --> 05:53.460 But with elevated risks in some areas. 05:55.340 --> 05:59.300 The funny mobile slower than the president is proposing especially 05:59.300 --> 06:02.780 falsely quest ration kept levels or to fit strategy will become 06:02.780 --> 06:04.740 brittle and more prone to breaking. 06:05.770 --> 06:08.450 For that reason the leaders of this department fully firmly that 06:08.480 --> 06:09.290 any reduction. 06:10.040 --> 06:13.210 And funding bill Wall what is in the president's budget. 06:14.350 --> 06:18.830 For a broad denial of the re form initiatives that we a proposed 06:18.830 --> 06:19.520 to congress. 06:20.350 --> 06:23.190 Will make the overall wrist to the strategy on. Manageable. 06:25.550 --> 06:28.080 The end of this comes to my third key thing. 06:28.920 --> 06:31.990 Even out the president's budget. Well which is above the sequel 06:31.990 --> 06:35.570 stretching caps containing uprooting balance among force really 06:35.570 --> 06:37.930 joint force readiness capabilities incapacity. 06:38.590 --> 06:41.470 Remains extremely challenging for three reasons. 06:42.190 --> 06:43.960 First we're coming out of 13 years a war. 06:44.520 --> 06:47.800 Long to sustain Perry to combat in our history. This is because 06:47.800 --> 06:51.320 enormous strain on the men and women in uniform as wells the 06:51.320 --> 06:54.260 civilians who support them and our contractors. 06:54.980 --> 06:56.970 And they've also is bigger stressing on record. 06:57.990 --> 07:00.820 We've long play indicate keep two to three years of or reset. 07:01.460 --> 07:04.410 But what's happening because of high demand and a very fall to 07:04.410 --> 07:07.330 one garment we're going to be doing you're running reset over. 07:07.330 --> 07:10.490 The course of the next several years and I was result we will 07:10.490 --> 07:14.000 not return a fault spectrum combat readiness in the joint force 07:14.410 --> 07:16.690 until 20 20 to 20 20 three. 07:18.080 --> 07:22.380 Second because uh one and costs operations and maintenance or 07:22.380 --> 07:25.780 readiness call super as wells personnel costs continually go 07:25.780 --> 07:28.740 up faster in the rate of inflation the to park the needs to see 07:28.740 --> 07:30.690 one to 3% real growth per year. 07:31.490 --> 07:35.060 Are otherwise the bowels starts to get a little bit out of kilter. 07:36.660 --> 07:41.050 All that we've been at the same global for three years essentially 07:41.080 --> 07:45.990 that the to and that's why 13 and fy 15 we've been at about 496 07:45.990 --> 07:47.120 billion dollars. 07:48.470 --> 07:51.430 And do the high demand the services up to keep their for structure 07:51.790 --> 07:52.660 and as a result. 07:53.300 --> 07:56.260 And on top about we've been digging out of the readiness problem. 07:56.810 --> 07:59.490 We haven't fy 13 when sick restriction hit. 08:00.890 --> 08:03.630 Jordan tried to do this attack. This problem by becoming more 08:03.630 --> 08:06.680 efficient when using more discipline uses of the fence resources. 08:07.090 --> 08:10.290 But it still very very hard to keep up with a lot spike power 08:10.290 --> 08:10.870 that we pass. 08:11.860 --> 08:16.090 And we continue to perform a that the pursue these reforms aggressively. 08:16.650 --> 08:21.050 Ball. Especially so that we can put more money into modernisation. 08:22.310 --> 08:25.360 And that's the third reason why rammed so much for all its. 08:25.910 --> 08:28.340 What we're facing challenges I'm like anything we see it's it 08:28.340 --> 08:31.590 seemed the cold war earner tiller to turn forces aging. 08:32.300 --> 08:34.980 It will be modernized and the 20 twenties in 20 thirty's. 08:35.690 --> 08:39.950 We need to keep the old accord but as systems going but is becoming 08:40.100 --> 08:43.880 more expensive for us to do so and require ness to divert resources 08:43.880 --> 08:44.620 in that regard. 08:45.410 --> 08:48.420 Our space capabilities which helps support our global operations 08:48.420 --> 08:51.910 face unprecedented threats and may force were forced to spend 08:51.910 --> 08:54.550 more money on space resiliency in space control. 08:55.230 --> 08:58.810 All of measures the coalition color for ration of guided munitions 08:58.810 --> 09:01.570 makes it more difficult for us to project power. So we're having 09:01.570 --> 09:05.850 to shift money into what we call counter anti access area denial. 09:06.400 --> 09:07.180 All air each. 09:08.700 --> 09:12.140 Us money has to come from some more to even after the presence 09:12.140 --> 09:14.160 budget level. It's a constant. 09:14.870 --> 09:18.770 Rube excuse trying to figure out what is the best mix of capabilities 09:18.810 --> 09:20.050 capacities and ready. 09:22.400 --> 09:25.190 What else is actually helped us in this regard batting about 09:25.190 --> 09:26.590 21 billion dollars. 09:27.180 --> 09:28.620 And at all. 09:29.480 --> 09:34.240 Requirements. Specifically me more towards modernisation as compared 09:34.240 --> 09:36.290 to beautiful P be 15 budget global. 09:38.010 --> 09:41.070 This is a deferred modernization problem. And we're trying to 09:41.070 --> 09:42.580 tackle it in this budget. 09:43.120 --> 09:47.660 And we need help above sea question great to see quest russian 09:47.660 --> 09:48.510 caps to do so. 09:49.720 --> 09:53.770 Look very much for me look to of for to congress in addressing. 09:53.770 --> 09:56.440 This problem. We think this is the right budget. 09:57.330 --> 10:01.100 And This afternoon we will answering questions that you have 10:01.210 --> 10:04.990 and we expect to answer a lot more over. The course of the next 10:04.990 --> 10:06.670 several weeks as we. 10:07.410 --> 10:10.350 Deliver our budget and talk to the members of congress about. 10:12.620 --> 10:15.780 Mission 10 good afternoon everyone. I'm first message. I have 10:15.780 --> 10:17.660 a sort of content message to manning's. 10:18.170 --> 10:21.100 Assembling in defense budget is hard enough in the best of times. 10:21.630 --> 10:25.460 But it's extraordinarily difficult to do a in our time. 10:26.030 --> 10:29.550 I do they tried effect of declining resources constraints on 10:29.550 --> 10:33.360 our flexibility and uncertainty over future. Resources saw one 10:33.360 --> 10:36.840 fanfare start by thanking the many people ball civilian and military 10:36.970 --> 10:40.240 uh who put in the long hours required to put this thing together 10:40.670 --> 10:44.110 they are as dedicated and hard working as anybody else in this department. 10:44.110 --> 10:45.380 So facts to those folks. 10:46.100 --> 10:49.330 Don't be secretary workers out one that can to assure of this 10:49.330 --> 10:52.470 year submission and the details are online and truth brawler ordered. 10:52.470 --> 10:56.360 Look that from this budget that no budget is perfect but we believe 10:56.360 --> 11:00.050 we the some of the best possible combination of capability capacity 11:00.080 --> 11:03.910 and readiness investments the we need to protect our nation and 11:03.910 --> 11:05.320 our national security interests. 11:05.820 --> 11:09.170 We also believe it meets the current and future needs of the 11:09.170 --> 11:11.640 all volunteer force that is serve this so well. 11:12.210 --> 11:15.970 And that represents our most asymmetric advantage uh and this world. 11:16.690 --> 11:20.740 As such the chairman and the service chiefs and I are all fully support. 11:20.740 --> 11:21.270 This budget. 11:21.800 --> 11:26.170 It's what we feel we need to remain at the edge of manageable 11:26.170 --> 11:29.570 risk and our ability to executed defense strategies is outlined 11:29.600 --> 11:31.130 in the 24teen cutie or. 11:32.000 --> 11:36.140 But we have little margin left for error for strategic surprise. 11:36.670 --> 11:39.980 I heard the term food and manageable last night a couple times 11:40.290 --> 11:42.680 it shouldn't surprise anyone that when it comes to defending 11:42.680 --> 11:45.730 a national security interest the chiefs don't really like to 11:45.730 --> 11:48.970 hear a third and manageable in fact we don't like sir down at all. 11:49.470 --> 11:50.880 And fourth down is not an option. 11:51.750 --> 11:55.850 And any defense strategy wrap represents a delicate balance among 11:55.850 --> 11:58.450 the hands ways means risk. 11:59.030 --> 12:01.030 All that live inside a security in varma. 12:01.600 --> 12:03.300 That balance is inescapable. 12:03.860 --> 12:07.530 If you disturb one variable something has to change among all 12:07.530 --> 12:09.100 the others to reset the balance. 12:09.980 --> 12:13.890 As ms to work out Mann. The means that we've aligned to defensive 12:13.890 --> 12:17.120 steadily decrease to over the last several years at the same 12:17.120 --> 12:21.200 time the security environment has become more chaotic a potential 12:21.200 --> 12:24.140 adversaries are eroding our technical inventions. 12:24.680 --> 12:28.020 But does mm there's been no corresponding change in the ends 12:28.050 --> 12:29.960 of the strategy that we're trying to sir. 12:30.820 --> 12:34.630 We are making progress and some of our ways to efficiencies in 12:34.630 --> 12:37.850 a few new ideas and technologies but that they're able that has 12:37.850 --> 12:42.670 carried a lion share of of the year strategic balance is ribs. 12:43.280 --> 12:46.400 And we believe there's no room left on that and of from bouts. 12:47.130 --> 12:51.620 So I out our best military advice is that any decrease below 12:51.620 --> 12:56.200 that bb 16 request to echo mister work or require adjustments 12:56.300 --> 12:59.870 to our defense strategy to restore balance doesn't mean the strategy 12:59.870 --> 13:02.520 completely breaks. But we will have to make adjustments to that 13:02.520 --> 13:06.360 strategy before grandstand bouts all you have to do is look inside 13:06.360 --> 13:09.920 the unclassified cutie Arce forced planning construct to get 13:09.920 --> 13:11.530 an idea for what that means. 13:12.470 --> 13:15.280 And ultimately will mean reduced American leadership and freedom 13:15.280 --> 13:18.770 of action and that's of course an option but not one that I think 13:18.770 --> 13:19.860 most of us would prefer. 13:20.840 --> 13:24.280 I to underscore that when I talk a bit reductions. I'm not only 13:24.280 --> 13:27.340 talking about reductions down to see quit station as the service 13:27.340 --> 13:30.910 chiefs testified to last week. I mean anything below the level 13:30.910 --> 13:31.730 that were submitting. 13:32.500 --> 13:36.290 And also reiterated while fully respect for congresses rule and 13:36.290 --> 13:39.960 not only how much money we spend but out what we spend it on. 13:40.730 --> 13:44.650 Unfunded changes to the summation are the same as a reduction 13:44.990 --> 13:47.900 and we're require and just missed to that strategy as well. 13:48.670 --> 13:50.050 That's what makes the strategy. 13:50.610 --> 13:53.930 Already this budget a strategy driven budget because we're asking 13:53.930 --> 13:57.110 for what we need a bottle of the sequester lulls and or to keep 13:57.140 --> 13:58.170 risk manageable. 13:58.960 --> 14:02.150 We have to do better than manageable and the most important thing 14:02.180 --> 14:05.120 stitches nuclear deterrents which this budget debts. 14:05.720 --> 14:09.250 And again it up the a represents an opportunity to arrest with 14:09.250 --> 14:12.850 the client and our investment in protecting the national security 14:12.900 --> 14:17.090 invest of just a interests under the current strategy rather 14:17.090 --> 14:18.930 than having to just three right. 14:19.740 --> 14:22.620 We do look for the working with the congress to get this submission 14:22.620 --> 14:26.030 across the finish line hopefully on time next fall. 14:26.730 --> 14:29.980 In the meantime will continue to work are on the ways parts of 14:29.980 --> 14:33.400 how we defend our country to our innovation initiatives and we'd 14:33.400 --> 14:36.480 be happy to talk about that so thank you again. I believe will 14:36.480 --> 14:38.960 not take a couple questions before turning it over to the real 14:38.960 --> 14:40.350 experts who are sitting on stage. 14:41.370 --> 14:41.680 To it. 14:42.440 --> 14:46.780 Well wondering if you do. Quote talk a little bit of to know 14:47.170 --> 14:50.700 what happens if you don't get all the savings or you don't get 14:50.700 --> 14:55.120 a budget of of awesome plaster how on the is the strategy change 14:55.120 --> 14:57.600 or how does it for a what care to do. 14:58.980 --> 14:59.660 Will pieces. 15:00.220 --> 15:02.910 And something that I would hope that everybody in this audience 15:02.910 --> 15:07.860 and all the members of congress and Considers first is easy for 15:07.860 --> 15:10.650 us to tell you with you go to the sequestration level budget 15:10.980 --> 15:14.590 will buy this many fewer J S setups joint strike fighters will 15:14.590 --> 15:18.110 buy this many fewer ships will what does that mean we're really 15:18.110 --> 15:21.890 trying to get to what part of this strategy that we won't be 15:21.890 --> 15:22.470 able to do. 15:23.010 --> 15:27.130 About in the broadest sense our program is designed to allow 15:27.130 --> 15:33.080 us to do two things simultaneously to respond to crises big crises simultaneous. 15:33.680 --> 15:37.140 One through a large multi phased joint campaign. 15:38.240 --> 15:42.580 All involved in the navy the air four star army the marine corps 15:42.840 --> 15:46.460 combined arms operations. It's supper and the other one is to 15:46.460 --> 15:49.600 respond to an opportunists to congress or in a different theatre 15:50.070 --> 15:53.100 in which all we try to impose costs. 15:53.740 --> 15:54.920 Or deny. 15:55.500 --> 15:56.930 The of us are the objectives. 15:57.810 --> 16:01.370 So we believe that the pbc 15 for structure that to we submitted 16:01.370 --> 16:03.520 blaster is probably sufficient to me. 16:04.370 --> 16:07.040 And if we had to take more cops Julian. 16:07.700 --> 16:11.270 We would have to consider moving down the number of forces that 16:11.270 --> 16:14.450 we pass and at that point you would have to ask you schultes 16:14.760 --> 16:18.480 all right which you still be able to do those two things simultaneously. 16:19.010 --> 16:21.860 Would you still be able to have the same local presence. 16:22.420 --> 16:26.590 In our awful forward fears would you still be able to respond 16:26.590 --> 16:29.210 in the time once it we think we can respond to today. 16:29.840 --> 16:33.380 And the answer to all three of those on our viewers not Wyclef. 16:33.910 --> 16:37.680 So we don't have a specific we do not we want to maintain focus 16:37.710 --> 16:38.890 on this budget. 16:39.670 --> 16:42.610 Because we believe this budget is what the nation nudes. 16:43.400 --> 16:44.110 If congress. 16:45.340 --> 16:46.230 Doesn't agree. 16:46.740 --> 16:49.590 All been we would answer that question. Specifically. 16:55.460 --> 16:59.410 What people that's insane. So one of those 36 billion to see 16:59.410 --> 17:02.630 frustration to take shouldn't of 490 billion dollars. 17:03.160 --> 17:06.360 Was roughly what he had a profound eight no I what could new 17:06.360 --> 17:10.520 live with 490 billion dollars the same. I'm a one day don't rapport 17:10.520 --> 17:13.520 was running out of control when you say to that. 17:15.220 --> 17:19.550 Fall in real terms off the to quote wartime peak. We've dropped 17:19.550 --> 17:22.150 20 to 23% off the were time peak. 17:23.580 --> 17:28.400 What we see happening is the challenges to as our about wind 17:28.400 --> 17:31.870 challenges store space constellation the demands of trying to 17:31.870 --> 17:33.890 keep our new killer deterrent force going. 17:35.420 --> 17:39.650 Paula demands of the problems. We're facing all of a potentially 17:39.650 --> 17:42.570 projecting power in a certain theaters because of the proliferation 17:42.570 --> 17:43.390 of these forces. 17:43.910 --> 17:46.940 In the past three years you were right we fat flat budgets. 17:47.670 --> 17:52.940 We have taken risk both in readiness and in capabilities to maintain 17:52.940 --> 17:56.820 the capacities the size of a force necessary to respond. So we 17:56.820 --> 18:01.170 have three years of built up the mandel modernisation that we 18:01.170 --> 18:02.750 haven't been able to get to. 18:03.380 --> 18:07.690 And so if anybody says what gets to you that of 496 billion. 18:07.720 --> 18:11.520 Yes that's true. But we've been accumulating risk. While we do 18:11.520 --> 18:15.040 so and the president has said I'm not come from what those were 18:15.040 --> 18:18.690 us and that's why he's asking for the increased from 15 to 16 18:18.950 --> 18:22.580 and he's asking for all the release of the sequence ration caps 18:22.960 --> 18:24.520 and a hundred and 50 going over. 18:25.190 --> 18:25.810 There were four. 18:26.890 --> 18:28.670 Joint chiefs and just to let us. 18:29.180 --> 18:31.750 When you do a band in the strange we need a great ugly. 18:31.750 --> 18:35.070 We're right because it's too what certain with the commerce is 18:35.070 --> 18:39.480 going in in is Harper ventilated parsnip more is gonna repeat 18:39.770 --> 18:42.140 that we have from camps much less domestic spending. 18:42.680 --> 18:45.390 You keep saying it's an manageable but what pointed tell when 18:45.390 --> 18:45.680 I was. 18:46.340 --> 18:49.320 We we just after your right this are before you'll be lost this 18:49.620 --> 18:52.780 guy think that uh I wouldn't want to put words in no and into 18:52.780 --> 18:56.220 the white house a piece that I do believe they would agree that 18:56.220 --> 18:59.640 it sequester we're gonna have to our we craft the stage. I don't 18:59.640 --> 19:01.090 know what I would say abandon that. 19:01.660 --> 19:04.870 A ban and means completely steady work clean sheet of paper. 19:05.000 --> 19:07.270 We would have to make adjustments inside the strategy. If you 19:07.270 --> 19:10.460 look at that as I mention tomorrow marks the forced planning construct. 19:10.850 --> 19:13.570 It talks about state estate operations in the talks about crisis. 19:13.570 --> 19:16.940 Operations the city state operations asses to do three things 19:17.150 --> 19:21.640 defend the homeland to do a counterterrorism operations get distributed 19:21.670 --> 19:24.760 characters mm operations and also provide inch turnt presence 19:24.790 --> 19:28.360 in many different regions before seen we're not going to copper 19:28.360 --> 19:31.110 mines a moment of tents. We know that and it's a question because 19:31.110 --> 19:34.050 people I wouldn't have to start digging into the other pieces 19:34.080 --> 19:36.800 would prolific counterterrorism operations of that and it would 19:36.800 --> 19:40.080 certainly affect the ability to do of time presence across the world. 19:40.080 --> 19:43.560 So you may find that we would have to do presence and fewer locations 19:43.890 --> 19:47.870 for lower amplitude presence in within and many locations those 19:47.870 --> 19:49.910 are the kinds of decisions will have to make a net will. 19:50.470 --> 19:53.690 Impact our freedom of action in the world and American leadership 19:53.880 --> 19:56.560 constantly very many people would sign up for the right now. 19:56.590 --> 20:00.100 So I think that that we would have broad agreement across a government 20:00.100 --> 20:03.010 that at sequester wells. We will have to make adjustments to strike. 20:03.760 --> 20:04.100 They are. 20:04.910 --> 20:08.170 Well and in fy 13 we to kind of a punch in the got which see 20:08.170 --> 20:11.830 quest ration when it hit and 13 if you remember we have stopped 20:11.830 --> 20:15.940 flying all squadron stopped wine. We stop putting ships and dope 20:15.980 --> 20:18.750 Depo maintenance who stop doing all of those things in would 20:18.750 --> 20:19.700 diver readiness told. 20:20.540 --> 20:22.890 But balanced but all the bipartisan budget act. 20:23.570 --> 20:25.940 We were not satisfied at the was while it's. 20:26.540 --> 20:29.970 What we excepted dimmed will admit happily because it helped 20:29.970 --> 20:33.310 us get out of the readiness horrific. But we said what we want 20:33.430 --> 20:36.110 the best way to save is we've been surviving but not thriving 20:36.110 --> 20:38.450 over the past three years because we haven't been able to get 20:38.450 --> 20:42.440 to peace modernisation issues that have been facing us and when 20:42.440 --> 20:45.320 we presented this to the white house this fall the agreed with mission. 20:45.320 --> 20:49.700 That's why all we're asking for a budget that so of all so we 20:49.700 --> 20:51.950 believe this is the right budget of. 20:52.560 --> 20:56.160 Right about its content is pretty good way looking at sea you 20:56.160 --> 20:59.760 have to relationship between supply and demand for forces. 21:00.260 --> 21:03.610 And on the supply side. We can capture this in a diagram of of 21:03.610 --> 21:06.390 how many of a particular force element that we have and how ready 21:06.500 --> 21:09.880 a fourth now and what it will look like under this budget and 21:09.880 --> 21:12.900 what it would look like under sequester and that's it's not a 21:12.900 --> 21:15.450 pretty story when you compare that to the require missed that 21:15.450 --> 21:17.880 we have across the globe and I'm not trying to do is I am and 21:17.880 --> 21:21.220 some talking about real requirements for presence and also crisis 21:21.220 --> 21:24.320 response it's starting to get pretty dicey and that's where we're 21:24.320 --> 21:27.500 showing it's manageable risk that the anything below that with 21:27.890 --> 21:31.680 but rapidly leave the magical the last fall for their overseas 21:31.720 --> 21:35.170 into the separation from the out some $100 for the best that 21:35.200 --> 21:38.880 we said and readiness which sounds a lot like spend money on 21:38.920 --> 21:43.710 procurement and Are proper to these latest you guys that approach 21:43.710 --> 21:47.370 every morning. We've decided. What he did find from backup versus 21:47.730 --> 21:50.980 operations brings them and some people can does is pure pattern. 21:52.760 --> 21:56.790 Would be the first to say that I'm over. The course of its didn't 21:57.000 --> 22:00.300 decade or so we've had oversee can overseas contingency operations 22:00.300 --> 22:03.500 fun that too much has crept in to the count. 22:04.070 --> 22:07.900 Up on the investment side and the like and we're determined to 22:08.020 --> 22:10.710 fit fix that uh it's gonna take 10 we can do it overnight. 22:10.740 --> 22:13.940 If we were to try to do it overnight. It would represent a bill 22:14.180 --> 22:15.480 all says biggest sequestered. 22:16.220 --> 22:20.080 So I know we're gonna be putting together a plan to do that we 22:20.080 --> 22:20.690 hope to have it. 22:21.350 --> 22:25.120 Teased out of their starting in 17 budget and completing in twenty. 22:25.670 --> 22:28.650 There remains to be seen as we start to go our way to the so 22:28.650 --> 22:31.710 how are gonna get tough. But we agree that we need to get oh 22:31.710 --> 22:35.970 close down on what local was attacked and and just fall apart 22:35.970 --> 22:39.570 last known that the white house will announced that their intent 22:39.570 --> 22:42.710 is to try it to move what these in during. 22:43.220 --> 22:47.460 Base cost that have crept in the local over 13 years of war back 22:47.460 --> 22:50.990 into the base budget but we can only do it if the sequel stray. 22:50.990 --> 22:56.310 She caps are and what did. Otherwise if you took 20 to 30 billion dollars. 22:56.880 --> 23:00.150 For all of in during costs don't do it costs and tried to put 23:00.150 --> 23:03.750 it into the budget without the can common at top one increase. 23:04.280 --> 23:07.880 I was the vice chairman has said that in the essence is up 20 23:07.880 --> 23:09.730 to 30 billion dollar per year cut. 23:10.520 --> 23:14.450 Also we're working with the white house and we will not store 23:14.490 --> 23:17.540 aren't you don't first of all we have to find out of seek restriction 23:17.540 --> 23:21.270 captured looted and then we work throughout this year and and 23:21.300 --> 23:24.200 pt 17 budget submission will unveil war played. 23:26.270 --> 23:29.140 What image among the people who can really answer your detail 23:29.140 --> 23:33.180 questions for all michael quarter. Undersecretary defense for. 23:33.980 --> 23:38.570 Comptroller and a more Ramsey who's in the jury I so called I'd 23:38.570 --> 23:39.850 like to turn it over to them. 23:40.370 --> 23:43.810 Again thank you Walt all for being here. This afternoon and look 23:43.810 --> 23:46.760 forward to answer in your questions over the next several weeks 23:46.760 --> 23:50.790 and months as we tried to find the right bouncing Kate who was 23:50.790 --> 23:52.070 capacity some sure. 23:54.280 --> 23:55.050 The bucks. Iraq. 24:09.690 --> 24:10.040 There were..