www.crs.gov | 7-5700
April 4, 2018
The President’s FY2019 Military Construction Budget Request
On February 12, 2018, President Trump submitted his fiscal
year (FY) 2019 budget request to Congress. In developing
the annual budget request, the Office of the Secretary of
Defense (OSD) consolidates the military construction
projects lists from the military departments and various
defense agencies into a single submission, which it then
forwards to the Office of Management and Budget (OMB)
as part of the overall defense budget request for the
upcoming fiscal year. The highest priority projects that will
fit within the budgetary guidance provided by OMB will be
included in the President’s request. The approved projects
assigned a lower priority are slated for funding in future
years and are typically included in the Future Years
Defense Program (FYDP), which is a catalogue that
summarizes the forces, resources, and programs associated
with DOD operations over a five-year period.
Legislation authorizing military construction projects is
provided through the annual National Defense
Authorization Act (NDAA). It originates in the House and
Senate Armed Services Committees. Legislation providing
appropriations for military construction originates in the
Military Construction, Veterans Affairs, and Related
Agencies subcommittees of the appropriations committees.
Military Construction and Family
Housing Appropriations Since 2000
Figure 1 illustrates the annual appropriations for military
construction and family housing from FY2001-FY2019. A
sharp downward trend started in FY2010, when
construction activity associated with the 2005 Base Closure
(BRAC) round started to subside. Funding reached a low
point in FY2015 ($6.8 billion).
Figure 1. Military Construction and Family Housing
Appropriations: FY2001-FY2019
Sourcse: Military Construction, Family Housing and Base
Realignment and Closure Program (C-1) Justification, FY2019 and the
FY2018 Omnibus Appropriations Act (P.L. 115-141/H.R. 1625).
Notes: Includes OCO funding. FY2019 amounts requested, all
others enacted.
For FY2019, the President requested new budget authority
in the amounts of $10.5 billion in the base budget and
$921.4 million in the Overseas Contingency Operations
(OCO) budget, for a total of $11.4 billion for military
construction and military family housing funding. In
comparison, Congress provided $10.8 billion ($10.1 billion
in base, $750 million in OCO) for FY2018. DOD also
received $920 million in additional FY2018 emergency
military construction funding for hurricane recovery.
Maintenance vs. Construction
In budget planning for real property, the tradeoff between
maintaining and adapting existing facilities or building
anew is given close consideration. Funds for the operation
and maintenance of defense property are referred to as Base
Operation Support (BOS) and Facilities, Sustainment,
Restoration, and Maintenance (FSRM). They are
appropriated as part of the Operation & Maintenance
(O&M) allocation within the defense appropriation. New
construction is funded through Title I of the Military
Construction, Veterans Affairs, and Related Agencies bill.
In contrast to Figure 1, Figure 2 illustrates the changes in
FSRM funding from FY2001 through the FY2019 budget
request. Military construction appropriations peaked in
FY2009, and declined sharply through FY2015. The
combined funds expended for property maintenance (BOS
and FSRM) rose from FY2001 ($16.3 billion) through
FY2009 ($41.2 billion). However, since then, maintenance
spending has stabilized at the increased level, averaging
$35 billion per year.
Figure 2. BOS and FSRM Appropriations
Source VisualDOD analysis of DOD appropriations. Graphic
created by CRS.
Note: Includes OCO funding. FY2018 and FY2019 amounts
requested, all others enacted.
Overseas Military Construction
The military construction budget also funds construction
activities at U.S. military installations and facilities
