{"id":62460,"date":"2022-09-13T17:57:32","date_gmt":"2022-09-13T17:57:32","guid":{"rendered":"https:\/\/one.sightlinemg.com\/defensenews\/uncategorized\/2022\/09\/13\/citing-inflation-industry-seeks-more-for-dod-in-continuing-resolution\/"},"modified":"2026-08-08T00:43:27","modified_gmt":"2026-08-08T00:43:27","slug":"citing-inflation-industry-seeks-more-for-dod-in-continuing-resolution","status":"publish","type":"post","link":"https:\/\/one.sightlinemg.com\/defensenews\/pentagon\/2022\/09\/13\/citing-inflation-industry-seeks-more-for-dod-in-continuing-resolution\/","title":{"rendered":"Citing inflation, industry seeks more for DoD in continuing resolution"},"content":{"rendered":"\n

WASHINGTON \u2015 Defense trade groups<\/a>, seeking to sway Congress to add more for defense in a continuing resolution, say record-high inflation<\/a> is costing the Pentagon $6 billion per month, endangering military readiness and throwing tech development plans off course.<\/p>\n\n\n\n

The Aerospace Industries Association<\/a>, National Defense Industrial Association<\/a> and Professional Services Council<\/a> \u2015 which represent thousands of defense contractors \u2015 asked congressional appropriators in a letter Monday to factor inflation into the CR and add money to allow new programs to start.<\/p>\n\n\n\n

Congress is on track to pass a continuing resolution that would, unless language is included to stipulate otherwise, continue the previous year\u2019s funding levels and not allow new programs to start. Though the stopgap bill would avert a government shutdown at the end of the fiscal year, Sept. 30, it\u2019s not yet clear how long the emerging bill would last.<\/p>\n\n\n\n

A CR at last year\u2019s funding levels would force the military to run at a 9% deficit from the funding level required to maintain its buying power, the trade groups said in the letter. They asked that lawmakers write exceptions into the bill, known as anomalies, that would allow new defense programs to start.<\/p>\n\n\n\n

\u201cCompanies continue to work through supply chain disruptions, workforce challenges, and munitions shortages,\u201d the letter reads. \u201cThey should not be required to work through avoidable budget disruptions. We recommend Congress allow new starts and quantity increases where bipartisan support exists. Industry and the Department of Defense need to be allowed to meet requirements and respond to threats.\u201d<\/p>\n\n\n\n

The letter also urges Congress to expedite full-year defense appropriations for fiscal 2023<\/p>\n\n\n\n

The groups offer strong support for a provision that would direct the undersecretary of defense for acquisition and sustainment, Bill LaPlante, to adjust contracts based on inflationary impacts. Last week, LaPlante\u2019s office issued new guidance<\/a> to contracting officers along these lines, but trade groups are seeking broad latitude from Congress, which they say will save businesses and protect the defense industrial base.<\/p>\n\n\n\n

\u201cCompanies are being critically harmed, and it may not be sustainable for smaller companies to remain in the defense ecosystem,\u201d the letter reads. \u201cThe disruptions from inflation are far more significant than just the temporary funding measures. We must not disincentivize companies from working with the government if we want a competitive marketplace.\u201d<\/p>\n\n\n\t