Retired Army Major Gen. John Ferrari explains how the next American defense budget can address the realities of national defense.
While Capitol Hill’s eyes are on the fiscal 2025 defense budget, the Pentagon is at work thinking about, planning, and formulating the fiscal 2026 edition. It will work in earnest over the coming weeks to transition FY26 program, which will resource the force between FY26-FY30, from development to the “build” phase to review by the Office of the Secretary of Defense.
As Pentagon leadership parses through each service’s changes to their defense plans, it’s essential that they craft a defense program fit to reality. This would be one that accounts for the world we find ourselves in, with two ongoing ground wars requiring American support, a more aggressive China and a more assertive North Korea. And while there may be a new administration come January, there is little time to make major changes to what is being crafted now.
So, where should Pentagon leaders begin? By making this the budget of “pivots,” moving away from systems that simply don’t make sense for the department’s future. Focus on three areas: unmanned aerial and sea vehicles, munitions, and people. The military should at the same time move away from manned aircraft, steer clear of a reorganization of our nuclear forces, and engage in an aggressive divestment of bloated and expensive new programs.
To start with, the FY26 budget should fully fund the House’s 19.5 percent pay raise for our junior enlisted service members. The administration has notably rejected this proposal and it remains to be seen what will emerge from conference negotiations come the fall. Our service members are first and foremost our most important asset and beginning in 2027, the dearth of 18-year-olds will reduce recruiting. 2026 is the last year to get out in front of this ticking demographic time bomb.
