Hearing of the Senate Armed Services Committee - Nominations
Interview
Hearing of the Senate Armed Services Committee - to Consider the Following Nominations: Mary Beth Long, to be Assistant Secretary of Defense for International Security Affairs; James Shinn, to be Assistant Secretary of Defense for Asian and Pacific Security Affairs; Craig Duehring, to be Assistant Secretary of the Air Force for Manpower and Reserve Affairs; John Gibson, to be Assistant Secretary of the Air Force for Financial Management
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SEN. JOHN THUNE (R-SD): Thank you, Mr. Chairman.
And thank you all very much for your service to our country and willingness to take on new and additional responsibilities and work on behalf of the people of this country in maintaining our national security. So thank you very much for being here today and for your willingness to accept those responsibilities and respond to questions that some of us have regarding those.
I'd like to direct a couple of questions, if I might, to Mr. Gibson.
First off, as you know, the Air Force Financial Service Center opened earlier this year at Ellsworth Air Force Base. The Air Force is leading the way when it comes to financial transformation to serve our nation's airmen. And I'm very proud that this effort is taking place in my home state. My question is, are you familiar with that Air Force Financial Service Center? And do you support the Air Force Financial Service transformation efforts that are being undertaken at Ellsworth.
MR. GIBSON: Senator, your question addresses a very important aspect of financial management, and that is continuous improvement of business operations. I'm not familiar with a lot of the details and analysis that went into that movement and consolidation at Ellsworth. However, if I'm confirmed, I would believe it be my responsibility to be a champion and be a leader in the area of continuing to improve business operations in the Air Force. And I would make it a priority to get up to speed on that and once again support and continue that effort.
SEN. THUNE: I would welcome the opportunity to host you at Ellsworth and show you the work that's under way out there. But like I say, we've been very pleased that Ellsworth was chosen for that mission. We think it's an important one. We think that the transformation that's being undertaken by the Air Force is important and might be something that is replicated in some of the other services. But I would hope that we could count on you to be able to continue to support that important mission and its location at Ellsworth Air Force Base.
MR. GIBSON: Senator, as I mentioned, it's a priority of mine, and it would be a pleasure to come out and see that operation and what's being done there.
SEN. THUNE: You served in previous positions -- Office of the Secretary of Defense, undersecretary of Defense, comptroller, acting deputy undersecretary of Defense for Financial Management. Based on that experience, could you provide some examples of the types of challenges that the Air Force faces in managing its resources because of a lack of predictability in funding and the failure to get the necessary bridge funding that would come with a global war on terror supplemental? What types of issues do you deal with when you don't have the kind of reliable and predictable funding stream that you need?
MR. GIBSON: Senator, I am familiar with that concept. However, budget execution has not been in my portfolio. I would hesitate to comment on some of the ramifications associated with execution of the base bill and the supplemental bill and the appropriate actions it might have on operations. Again, I would hesitate to comment on that.
SEN. THUNE: That's probably a very safe answer for you right now.
One other question, and that deals with earlier this year the Air Force released its Long Range Strike White Paper which states that the procurement spike for the Next Generation Long Range Strike platform is expected to begin in the year 2011. If confirmed, one of your responsibilities, along with the director of the Air Force budget, will be making program and budget decisions in preparing the Program Objective Memorandum or POM in the future years' defense program. Given this, as the Air Force builds the fiscal year 2010 through 2015 POM, will you support the proposed 2011 funding spike for the Next Generation Long Range Strike platform?
MR. GIBSON: Senator, I'm not familiar with all the details relating to that program. If I'm confirmed, Senator, my understanding my role would be to work with Air Force leadership, the programming area, the program budget folks, to take the budgetary resources that we have and match them as best we can to the priorities of the missions -- (pauses) -- period.
SEN. THUNE: (Laughs.) Okay, I was waiting for the next part of that answer.
Let me address one other, if I might, issue in which I have a great deal of interest, and that's the area of aviation fuel expenditures. In fiscal year 2006, the Air Force, according to the numbers I have, consumed 2.6 billion gallons of aviation fuel at a cost of approximately $5.7 billion.
That breaks down to approximately 7.1 million gallons per day that is used. And to make matters worse, every time the price for a barrel of oil goes up by $10, the Air Force faces another $610 million increase in fuel costs.
As you know, these costs need to be reprogrammed from the existing accounts or accounted for in an appropriations supplemental. To address that problem, the Air Force has set a goal of obtaining 50 percent of its fuel needs from domestic sources by the year 2016. One of the sources, those sources, is a 50-50 synthetic fuel blend used in the successful 2007 flight test of a B-52 and it's slated for testing in the engines of the C-17 and the B-1 bomber.
If confirmed, would you support further funding of research and purchase synthetic fuels for use by the Air Force, and will you work to program funds for synthetic fuels for the next -- future years' defense program for fiscal years 2010 to 2015?
MR. DUEHRING: Senator, I'm aware of the ongoing efforts to improve or maximize what we get from our fuel dollars. This includes another -- a number of initiatives, part of being both reaching economies and also alternative fuels such as the synfuels.
I'm not familiar with the specifics with regard to the Air Force budget of this matter. However, if confirmed, if this effort truly supports maximizing what we do with our budgetary resources and helps achieve the mission, then I would fully support it.
SEN. THUNE: I appreciate your responses, and I know that in a setting like this, your responses to my questions are somewhat specific and your answers, probably by necessity, have to be somewhat general. But once you are confirmed, I would love to sit down with you and perhaps drill down a little bit with some of these issues that I've raised and --
MR. DUEHRING: Senator, if I'm confirmed, it would be my pleasure.
SEN. THUNE: Thank you very much.
And thank you, Mr. Chairman.
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