The Army has faced flat budgets for several years, making it harder to invest in modernizing the force while paying for equipment maintenance and personnel bills. The rising cost of living in the United States is exacerbating challenges for the 2026 budget cycle, officials have said. The service last year ditched underperforming or unpromising programs, including a future aircraft and a long-range cannon, as budgets remain tight and global conflicts spiral. Defense News interviewed Caral Spangler, the Army’s comptroller, and Lt. Gen. Paul Chamberlain, the military deputy in the service’s budget office, about the challenges of crafting budgets that balance today’s bills with future warfare needs.
Spangler emphasized the need to balance modernization and readiness, aligning them with military personnel accounts. Economic factors, including pay raise assumptions and top-line increases, significantly affect the Army. With $40 billion in discretionary spending within a $186 billion budget, Chamberlain noted the squeeze on modernization accounts and the need for real growth to address this shortfall. Efforts to find efficiencies and transform defense capabilities are ongoing.
The Army has made hard choices to prioritize necessary investments, demonstrating a mindful approach to budget constraints. Efficiencies in consolidation efforts and construction projects are being pursued to reduce future maintenance costs. Progress is being made in the Army’s ability to pass an audit by the FY28 deadline, with retired material weaknesses and increased awareness throughout the Army. The Army faces challenges under the Pentagon’s continuing resolution, particularly in cash-flowing expenses at higher rates and managing reimbursements for operations.
Despite the difficulties posed by budget constraints and the continuing resolution, the Army is working diligently to navigate these challenges and prioritize resources effectively. Determination, efficiency, and strategic planning are crucial components of the Army’s approach to balancing current obligations with future readiness.
