FY 2008 War Funding Could Top $200 Billion

In May, Congress passed a $99.5 billion supplemental war spending bill that expires on Sept. 30. The next supplemental bill for FY 2008 war spending is expected to total close to $200 billion. That total, however, is an estimate based on speculation in Washington and continuously changing conditions in the wars in Iraq and Afghanistan. When the president submitted his FY 2008 budget request to Congress in February, he included two war supplemental requests: $93.4 billion for FY 2007 (approved by Congress with $5.1 billion in additional funding in May) and $141.7 billion for FY 2008. The budget request also contained a caveat that "[a]s activity on the ground evolves, the Administration may adjust the requested amount…" By July, the administration was already beginning to lay the groundwork to expand their FY 2008 supplemental request. Testifying before the House Budget Committee on July 31, Deputy Defense Secretary Gordon England told his interlocutors that the Pentagon would be requesting an additional $5.4 billion to pay for the acquisition of some 1,520 Mine Resistant Ambush Protected vehicles. England stipulated at the time that additional war funding requests were not confined to those cited in his testimony. The forthcoming Iraqi Security Forces Assessment Commission Report, and the President's September Report on Iraqi Benchmarks, are likely to provide additional input and analysis relevant to GWOT requirements in FY 2008. The nature and scope of adjustments to the GWOT request will depend on these new insights, on the evolving situation on the ground… At the time of England's testimony, the FY 2008 war supplemental request was expected to be $147 billion, but there were also expectations that it would grow larger as the situation in Iraq evolved. On Aug. 29, the Washington Post reported the White House would be requesting "up to $50 billion" in additional war funding, which bring the total FY 2008 supplemental war funding request to almost $200 billion. The Post story cited an anonymous White House source, but White House spokesperson Gordon Johndroe refused to comment on the figure. Johndroe did indicate funding decisions would not be made until Gen. Petraeus reported to Congress on the status of the so-called surge strategy (this was the president's September Report on Iraqi Benchmarks referred to by England in his July testimony). Petraeus testified Sept. 10, but the White House has not confirmed any details about the additional $50 billion request. It is possible Defense Secretary Robert Gates will give Congress more details on Sept. 26 when he is scheduled to testify before the Senate Appropriations Committee. It is doubtful Congress will pass any FY 2008 supplemental funding prior to Oct. 1, but instead will include some war spending in the long anticipated FY 2008 continuing resolution (CR) that will be debated this week in Congress. Exactly how Congress will fund the wars in the CR is unknown, but one option gaining favor would be to fund the wars at the same rate that was approved in the FY 2007 defense appropriations bill. This would be a slightly lower level than was spent per month in FY 2007, but would sustain the war effort until Congress has time to pass the FY 2008 defense appropriations bill later this year. It also buys Congress additional time to debate war policy through consideration of the president's supplemental war request while avoiding the appearance of cutting off funding for soldiers in the field. Discussions concerning the CR will take place this week in Congress, and unknown details about war spending, such as funding levels and duration, will need to be resolved before Oct. 1. Although details of war spending for the next fiscal year are far from firm, it appears the eventual bottom line will fall somewhere between $150 billion and $200 billion. Composition of Anticipated FY 2008 War Supplemental Request (billions of dollars) Date Occasion Amount February President's FY 2008 Budget Request 141.7 July 31 Deputy Defense Secretary England's congressional testimony 5.3 August 29 Unnamed White House source cited in Washington Post 50.0 Total anticipated FY 2008 war supplemental request: 197.0
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