The Defense Department is underestimating its future costs.
The Congressional Budget Office looked at the department’s plans for the next five years. It said they would cost DoD $123 billion, or 5 percent more than the department thinks. That was because military pay and health care costs would go up significantly.
Lawmakers have rejected the Department’s requests to raise premiums on beneficiaries. CBP also said the cost of upgrading weapons systems will rise dramatically about 26 percent.
This story is part of Federal News Radio’s daily DoD Report. For more defense news, click here.
Tom Temin is the host of The Federal Drive, which airs from 6-10 a.m. on 1500 AM in the Washington, D.C. region and online everywhere. Tom has 30 years experience in journalism, mostly in technology markets. Before coming to Federal News Radio, he was a long-serving editor-in-chief of Government Computer News and Washington Technology magazines.