Defense Headquarters: Status of Efforts to Reduce Headquarters Personnel
(Letter Report, 02/17/99, GAO/NSIAD-99-45).

Pursuant to a congressional request, GAO reviewed the Department of
Defense's (DOD) efforts to reduce the size and cost of its headquarters
activities, focusing on DOD's: (1) efforts to reduce headquarters
positions and associated costs in the Office of the Secretary of Defense
(OSD) and Washington Headquarters Services, as required by the National
Defense Authorization Act for Fiscal Year 1997; (2) efforts to reduce
headquarters positions across DOD as required by the National Defense
Authorization Act for Fiscal Year 1998; and (3) reporting of personnel
on temporary assignment to OSD from other DOD components.

GAO noted that: (1) to comply with the requirement in the National
Defense Authorization Act for Fiscal Year 1997, DOD plans to reduce OSD
and its support activities by about 1,373 positions, or 27 percent, from
its fiscal year (FY) 1994 levels by the end of FY 1999; (2) as of the
end of FY 1998, DOD had cut 1,123 positions; (3) the majority of the
cuts were based on DOD's November 1997 Defense Reform Initiatives
report, which recommended that some offices be reorganized and that
operational and program management functions be transferred to other DOD
activities; (4) although the positions in OSD and its support activities
have been reduced, civilian salary costs have not decreased because many
of the positions eliminated were vacant and annual civilian pay raises
have exceeded the inflation rate; (5) DOD plans to eliminate the
remaining 250 positions in FY 1999; (6) DOD may not be accurately
accounting for all personnel assigned to OSD; (7) some personnel
temporarily assigned to OSD by other DOD components are functioning more
as permanent staff and are not being reported as OSD personnel; (8) DOD
has plans to cut about 5,600 positions across its headquarters
activities by the end of FY 2002; (9) this is less than half of 13,300
cuts required by the National Defense Authorization Act for Fiscal Year
1998; (10) according to OSD officials, DOD did not develop plans
consistent with the legislation because the Secretary of Defense had
sought relief from the 1998 legislative requirement; and (11) however,
when Congress did not repeal the provision, the services proposed that a
task force be established to develop alternatives for reducing the
headquarters' structure.

--------------------------- Indexing Terms -----------------------------

 REPORTNUM:  NSIAD-99-45
     TITLE:  Defense Headquarters: Status of Efforts to Reduce 
             Headquarters Personnel
      DATE:  02/17/99
   SUBJECT:  Reductions in force
             Federal agency reorganization
             Temporary employment
             Defense cost control
             Military downsizing
             Civilian employees
             Military personnel
IDENTIFIER:  DOD TRICARE Program
             
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Cover
================================================================ COVER


Report to the Chairman, Committee on Armed Services, House of
Representatives

February 1999

DEFENSE HEADQUARTERS - STATUS OF
EFFORTS TO REDUCE HEADQUARTERS
PERSONNEL

GAO/NSIAD-99-45

Defense Headquarters

(701144)


Abbreviations
=============================================================== ABBREV

  ASD/C3I - Assistant Secretary of Defense for Command, Control,
     Communications and Intelligence
  DOD - Department of Defense
  DRI - Defense Reform Initiatives
  OSD - Office of the Secretary of Defense

Letter
=============================================================== LETTER


B-281623

February 17, 1999

The Honorable Floyd Spence
Chairman, Committee on Armed Services
House of Representatives

Dear Mr.  Chairman: 

Concerned with the adequacy of the pace and scope of the Department
of Defense's (DOD) efforts to reduce the size and cost of its
headquarters activities, you requested that we review the
Department's efforts to reduce its headquarters positions. 
Specifically, our report discusses the status of DOD's efforts to
reduce, as of the end of fiscal year 1998 (1) headquarters positions
and associated costs in the Office of the Secretary of Defense (OSD)
and Washington Headquarters Services,\1 as required by the National
Defense Authorization Act for Fiscal Year 1997 and (2) headquarters
positions across DOD as required by the National Defense
Authorization Act for Fiscal Year 1998.  In addition, our report
discusses the reporting of personnel on temporary assignment to OSD
from other DOD components.  You also requested that we review DOD's
revised directive on headquarters management activities.  As agreed
with your office, we will report separately on this issue after the
directive has been implemented. 


--------------------
\1 Washington Headquarters Services provides administrative and
operational support to certain DOD activities in the national capital
region. 


   BACKGROUND
------------------------------------------------------------ Letter :1

Believing DOD's efforts to reduce its infrastructure, including the
size of its headquarters activities, lagged behind cuts in
operational forces, Congress directed DOD to reduce positions in OSD,
including Washington Headquarters Services and other defense support
activities, by 25 percent from fiscal year 1994 levels by the end of
fiscal year 1999.\2

Furthermore, Congress directed DOD to reduce the number of positions
in all DOD headquarters activities by 25 percent from fiscal year
1997 levels by the end of fiscal year 2002.\3 Noting that it had
already reduced personnel in heardquarters activities starting in
fiscal year 1992, DOD believed these cuts would create an
unreasonable burden on personnel who perform essential headquarters
functions.  DOD asked Congress to repeal this provision in March
1998.  However, Congress did not rescind it.  DOD noted that the
congressionally mandated 25-percent reduction, when combined with the
Department's previously programmed reductions, would reduce these
components by over 40 percent for the fiscal year 1992-2000 time
period. 

In October 1997, we reported that the number of management
headquarters' personnel and costs were significantly higher than
reported by DOD.\4 During fiscal years 1985-96, DOD reported steady
decreases in its management headquarters and headquarters support
personnel--a 31-percent decline from about 77,000 to 53,000. 
However, these data did not include personnel at most of DOD's
noncombat organizations that are subordinate to management
headquarters.  In our review of selected subordinate organizations,
nearly three of every four of them were primarily performing
management or headquarters support functions and should have been
reported to Congress by DOD.  We recommended that the Secretary of
Defense revise the directive on management headquarters and
headquarters support activities to expand its coverage and simplify
its criteria. 

In the November 1997 Defense Reform Initiatives (DRI) report, the
Secretary of Defense directed OSD to reduce the number of personnel. 
To achieve reductions, the Secretary directed that OSD eliminate
redundancy and obsolete functions, consolidate related functions, and
transfer operational and program management functions to other DOD
organizations.  In addition, the Secretary directed that OSD's
"hidden staff"--components that directly support OSD but were not
included as part of OSD's formal organizational structure or reported
in its personnel strengths--be absorbed into OSD.  Finally, the
Secretary directed the military departments and their major commands,
defense agencies, defense field activities, joint staff, and unified
commands to reduce the number of headquarters positions. 

OSD's Administrative Instruction 53, "Temporary Staff Augmentations,"
states that temporary staff may be used for emergencies, for
unforeseen temporary requirements or workload surges, or for jobs for
which the skills are not otherwise available within the organization. 
Temporary staff are not to be used to perform continuing office
functions. 


--------------------
\2 National Defense Authorization Act for Fiscal Year 1997 (P.  L. 
104-201). 

\3 National Defense Authorization Act for Fiscal Year 1998 (P.L. 
105-85). 

\4 Defense Headquarters:  Total Personnel and Costs Are Significantly
Higher Than Reported to Congress (GAO/NSIAD-98-25, Oct.  30, 1997). 


   RESULTS IN BRIEF
------------------------------------------------------------ Letter :2

To comply with the requirement in the National Defense Authorization
Act for Fiscal Year 1997, DOD plans to reduce OSD and its support
activities by about 1,373 positions, or 27 percent, from its fiscal
year 1994 levels by the end of fiscal year 1999.  As of the end of
fiscal year 1998, the Department had cut 1,123 positions.  The
majority of the cuts were based on DOD's November 1997 DRI report,
which recommended that some offices be reorganized and that
operational and program management functions be transferred to other
DOD activities.  Although the positions in OSD and its support
activities have been reduced, civilian salary costs (in constant
dollars) have not decreased because many of the positions eliminated
were vacant and annual civilian pay raises have exceeded the
inflation rate.  DOD plans to eliminate the remaining 250 positions
in fiscal year 1999. 

DOD may not be accurately accounting for all personnel assigned to
OSD.  Some personnel temporarily assigned to OSD by other DOD
components are functioning more as permanent staff and are not being
reported as OSD personnel. 

DOD has plans to cut about 5,600 positions across its headquarters
activities by the end of fiscal year 2002.  This is less than half of
the 13,300 cuts required by the National Defense Authorization Act
for Fiscal
Year 1998.  According to OSD officials, DOD did not develop plans
consistent with the legislation because the Secretary of Defense had
sought relief from the 1998 legislative requirement.  However, when
Congress did not repeal the provision, the services proposed that a
task force be established to develop alternatives for reducing the
headquarters' structure. 


   OSD AND ITS SUPPORT ACTIVITIES
   EXPECT TO HAVE OVER 25 PERCENT
   FEWER PERSONNEL BY THE END OF
   FISCAL YEAR 1999
------------------------------------------------------------ Letter :3

DOD plans to cut 1,373 positions in OSD and its support activities by
the end of fiscal year 1999.  These reductions would be 2 percentage
points more than the 25-percent cut mandated in the National Defense
Authorization Act for Fiscal Year 1997.  Although the number of
positions has been reduced, civilian salary costs (in constant
dollars) have not decreased.  In addition, some service and defense
agency personnel assigned to OSD are not counted as part of OSD. 



      DOD'S PLANNED CUTS
---------------------------------------------------------- Letter :3.1

DOD's plan to achieve the cuts is shown in table 1.  Appendix I shows
the changes by office within OSD. 



                                Table 1
                
                Planned Reductions in the Office of the
                Secretary of Defense and the Washington
                  Headquarters Services Between Fiscal
                           Year 1995 and 1999

                                                            Change
                                                        --------------
                                    Fiscal      Fiscal
                                 year 1994   year 1999          Percen
Activity                          baseline      target   Total       t
------------------------------  ----------  ----------  ------  ------
OSD\a                                3,062       2,002  (1,060    (35)
                                                             )
Washington Headquarters              1,960       1,647   (313)    (16)
 Services
======================================================================
Total                                5,022       3,649  (1,373    (27)
                                                             )
----------------------------------------------------------------------
\a The end of fiscal year 1994 baseline includes 718 positions in
five defense support activities and 207 overstrengths (personnel over
an organization's authorized number of positions). 

Source:  Our analysis of OSD data. 

As of the end of fiscal year 1998, DOD had cut 1,123 positions, or 82
percent of the planned reductions--858 positions in OSD and 265
positions in Washington Headquarters Services (see table 2). 



                                Table 2
                
                 Changes in the Office of the Secretary
                     of Defense and the Washington
                 Headquarters Services as of the End of
                            Fiscal Year 1998

                                                    Positions
                                            --------------------------
                                                        Transfer  Tota
Activity                                    Eliminated       red     l
------------------------------------------  ----------  --------  ----
OSD                                              (402)     (456)  (858
                                                                     )
Washington Headquarters Services                 (430)       165  (265
                                                                     )
======================================================================
Total                                            (832)     (291)  (1,1
                                                                   23)
----------------------------------------------------------------------
Source:  Our analysis of OSD data. 

Our analysis indicates that OSD eliminated 402 positions primarily by
abolishing vacant positions, reducing the number of overstrength
positions, eliminating military positions after the incumbents
rotated, and abolishing positions by using early-out incentives. 
Some positions were also eliminated through organizational changes. 
For example, the Office of the Under Secretary of Defense for Policy
reorganized and eliminated one assistant secretary position as well
as several support positions. 

OSD also reduced the size of its staff by transferring positions to
other DOD organizations.  For example, in fiscal year 1997, OSD
transferred 278 positions from a defense support activity to a DOD
field activity.\5 Positions in DOD field activities are not counted
as part of OSD.  Furthermore, DRI directed that OSD transfer
positions that were considered operational or involved in program
management to other DOD organizations.  In fiscal
year 1998, OSD transferred approximately 240 positions to other
organizations.  The major transfers that occurred during fiscal year
1998 are the following: 

  -- The Office of the Under Secretary of Defense for Personnel and
     Readiness transferred 48 positions for managing DOD's TRICARE
     medical program to the TRICARE management activity, a DOD field
     activity. 

  -- OSD transferred 47 positions supporting various boards and
     commissions to the Washington Headquarters Services. 

  -- The Office of the Under Secretary of Defense for Policy
     transferred 42 positions at the U.S.  Mission to the North
     Atlantic Treaty Organization to the Department of the Army. 

  -- The Office of the Assistant Secretary of Defense for Public
     Affairs transferred 28 positions that managed the freedom of
     information and security review programs to the Washington
     Headquarters Services. 

As of the end of fiscal year 1998, DOD had reduced Washington
Headquarters Services by a net of 265 positions.  Approximately 300
positions were cut by contracting out the Pentagon cleaning service,
and another 130 were cut primarily by eliminating vacant positions
and positions vacated through early-out incentives.  However, these
cuts were partly offset by an increase of 165 positions from
functions transferred into Washington Headquarters Services,
primarily from OSD. 

To complete the planned cuts, DOD plans to cut 250 positions (202 in
OSD and 48 in Washington Headquarters Services) in fiscal year 1999. 
To achieve its cuts, OSD plans to eliminate 130 positions and
transfer another 72 positions.  As of November 1998, OSD had
identified 32 of the positions to eliminate and told us it had
completed 40 of the planned transfers.  Washington Headquarters
Services plans to cut 72 positions, which will be partly offset by an
increase of 24 positions for new missions as well as the expansion of
current missions.  As of October 1998, Washington Headquarters
Services had cut 19 positions by transferring positions in the
executive motor pool and travel function to the Department of the
Army.  According to Washington Headquarters Services officials, the
remaining positions will be eliminated by consolidating contracting
offices and through early-out incentives. 


--------------------
\5 These positions were at the Defense Manpower Data Center.  The
Center was merged with another defense support activity to form the
DOD Human Resources Activity, which is classified as a field
activity. 


      CIVILIAN SALARY COSTS HAVE
      NOT DECREASED
---------------------------------------------------------- Letter :3.2

Although about 1,125 positions were eliminated in or transferred from
OSD and Washington Headquarters Services between fiscal year 1994 and
1998, there was no proportional decrease in civilian salaries during
this time frame.  Our analysis indicates that OSD civilian salary
costs increased by $7 million (4 percent), from $172 million in
fiscal year 1994 to $179 million in fiscal year 1998 (constant 1998
dollars).  Likewise, Washington Headquarters Services civilian salary
costs increased by $2 million
(2 percent) from $84 million to $86 million during this same period. 
Salary costs did not decline commensurate with the personnel
reductions partly because many of the positions eliminated were
vacant and annual civilian pay raises exceeded the inflation rate. 
In addition, OSD incurred some one-time costs associated with
incentives to encourage personnel to leave early.  For example, DOD
paid $1.4 million in such incentives in fiscal
year 1998. 


      SOME POSITIONS ARE NOT
      COUNTED AS PART OF OSD
---------------------------------------------------------- Letter :3.3

The military services and defense agencies temporarily assign
personnel to OSD that are not counted as part of OSD.  While DRI
recommended that personnel in the defense support activities and
overstrength positions be counted as part of OSD, it did not discuss
personnel temporarily assigned to OSD.  DOD does not have a central
database that identifies such positions or people, known as
detailees, but the number could be large.  For example, an official
from the Office of the Assistant Secretary of Defense for Command,
Control, Communications and Intelligence (ASD/C3I) said that 115
people were temporarily assigned to ASD/C3I as of August 1998.  The
Office of the Under Secretary of Defense for Policy said it had about
26 detailees, and the Office of the Under Secretary of Defense for
Acquisition and Technology said it had about 10 detailees. 

Our review of ASD/C3I information on the 115 detailees' assignments
showed that some of the detailees met the requirements of OSD's
administrative instruction on temporary staff.  For example, an
ASD/C3I official noted that his office could not recruit temporary
staff with the required skills to deal with Year 2000 issues. 
ASD/C3I was using 20 military service and defense agency people to
work on such issues.  Another 36 ASD/C3I detailees were either
liaisons with the various intelligence agencies or individuals from
other agencies on developmental assignments.  According to an ASD/C3I
official, these positions are permanent within the organization, and
personnel occupying these positions change every 2 to
3 years. 

The remaining 59 positions being filled by detailees appeared to be a
permanent part of ASD/C3I.  According to an ASD/C3I official,
approximately 30 detailees had been assigned to work on specific
projects but did not return to their home organizations when the
projects ended.  For example, the Defense Information Systems Agency
sent 17 people to ASD/C3I to support the corporate information
management initiative; however, they did not return when the project
was terminated.  ASD/C3I officials said they were developing a plan
to incorporate the policy-related positions into OSD and return the
other positions to their parent organizations by fiscal
year 2000.  The remainder of the detailees were in ASD/C3I's Defense
Airborne Reconnaissance Office.  According to an ASD/C3I official,
they plan to downsize the office from 27 to 18 and either transfer
the function to one of the military departments or make it a
permanent part of ASD/C3I. 


   DOD DOES NOT HAVE A PLAN TO
   REDUCE HEADQUARTERS ACTIVITIES
   BY 25 PERCENT
------------------------------------------------------------ Letter :4

DOD does not have a plan to reduce management headquarters and
headquarters support personnel DOD-wide by 25 percent by the end of
fiscal year 2002, as required by the National Defense Authorization
Act for 1998.  The act requires DOD to cut about 13,300 positions in
its headquarters activities.  Rather, DOD has plans to reduce the
number of headquarters positions by about 5,600, or 11 percent, by
the end of fiscal year 2002 (see table 3).  In November 1998, the
military services proposed establishing a task force to develop
alternatives for reducing their headquarters structure. 



                                Table 3
                
                 Changes in DOD Headquarters Activities
                   Between Fiscal Year 1997 and 2002

                                     Fiscal year          Change
                                    --------------  ------------------
Activity                              1997    2002     Total   Percent
----------------------------------  ------  ------  --------  --------
Military departments                35,621  31,073   (4,548)      (13)
Joint staff                          1,391   1,256     (135)      (10)
Unified commands                     6,526   6,268     (258)       (4)
Defense agencies/DOD field           4,548   4,215     (333)       (7)
 activities
Office of the Secretary of Defense   2,376   2,002     (374)      (16)
International organizations          2,712   2,733        21         1
======================================================================
Total                               53,174  47,547   (5,627)      (11)
----------------------------------------------------------------------
Source:  OSD, the military departments, and defense agencies. 

As seen in table 3, the military departments account for about 4,500
of the cuts planned to DOD headquarters activities by the end of
fiscal year 2002.  (See apps.  II, III, and IV for a breakdown by
military department.) These cuts were directed primarily in the
Quadrennial Defense Review and DRI.  For example, as part of the
Quadrennial Defense Review, the Navy planned to reduce its Atlantic
and Pacific Fleet headquarters staff by approximately 1,260, or 20
percent, and the Marine Corps planned to reduce its management
headquarters by about 200 positions.  A Navy official noted that some
of the cuts planned in the fleet headquarters are being revised in
the fiscal year 2000 budget.  On the other hand, the Army and the Air
Force had planned to reduce their headquarters by less than the 10
percent required by DRI.  As a result, the Air Force had to cut about
1,150 and the Army about 700 additional positions in headquarters to
meet DRI threshold.  Both military departments allocated the
additional cuts primarily on a fair-share percentage basis across
their headquarters activities. 

The Joint Staff plans to cut 135 positions and the unified commands
about 260 positions by the end of fiscal year 2002.  The Joint Staff
plans to transfer about 75 military positions to the U.S.  Strategic
Command, return about 40 military positions to the military
departments, and eliminate about 20 civilian positions.  Finally, the
reductions in the defense agencies are a combination of cuts directed
in the Quadrennial Defense Review and DRI. 

In November 1998, the military departments proposed the establishment
of a task force, chaired by the Under Secretary of the Army, to
develop alternatives for reducing DOD's headquarters structure.  The
task force would (1) identify processes and transactions, by
functional area, that are significant drivers for the number of
headquarters personnel; (2) inventory the number of workyears
associated annually with the transactions and processes, by
functions; and (3) assess the number of personnel that could be
eliminated if transactions and processes were reengineered,
automated, outsourced, or canceled.  Each service will be allowed to
reinvest any personnel and dollar savings from reducing headquarters
activities.  The proposal calls for the task force to issue its
report to Congress in June 1999. 


   RECOMMENDATION
------------------------------------------------------------ Letter :5

We recommend that the Secretary of Defense determine the number and
purpose of all personnel temporarily assigned to OSD by other DOD
components.  Detailees that do not meet OSD's requirements of
temporary staff should either be counted as OSD personnel or returned
to their parent organizations. 


   AGENCY COMMENTS AND GAO'S
   EVALUATION
------------------------------------------------------------ Letter :6

In comments on a draft of this report (see app.  V), DOD concurred
with our recommendation and noted that it is developing a system to
account for all personnel detailed to OSD from other DOD components. 
As part of this process, DOD plans to determine the validity and
continued need for current detailees.  DOD also noted that the report
was technically accurate, but believed it needed to provide a more
balanced treatment of the Department's efforts to downsize its
headquarters activities.  Specifically, DOD said the report does not
include (1) the reason it requested relief from the 25-percent
reduction required by the National Defense Authorization Act for
Fiscal Year 1998 and (2) the principal reason civilian pay costs did
not come down between fiscal year 1994 and 1998.  According to DOD,
it requested relief because headquarters activities have been reduced
significantly since fiscal year 1992.  We clarified the report to
reflect DOD's position and included information provided by DOD on
personnel reductions in management headquarters activities back to
fiscal year 1992.  Regarding OSD civilian pay costs, DOD said the
principal reason they did not decrease between fiscal year 1994 and
1998 was that nearly 200 civilians who worked for OSD, but were
attributed to the pay accounts of other DOD elements, were
transferred into the OSD civilian pay account in fiscal year 1998. 
Our analysis of changes in civilian pay accounted for these
transfers.  Still, key reasons civilian pay costs did not decline
were that many of the positions eliminated were vacant, annual pay
raises exceeded inflation costs, and the department incurred one-time
costs associated with incentives to encourage people to leave early. 


   SCOPE AND METHODOLOGY
------------------------------------------------------------ Letter :7

To obtain information on DOD's plans to achieve the 25-percent
reduction in OSD and Washington Headquarters Services positions, we
interviewed officials in OSD's Office of the Director, Administration
and Management, and reviewed files that documented the cuts during
fiscal years 1995-98 and planned for fiscal year 1999.  In addition,
we reviewed the Defense Reform Initiative report.  We obtained
civilian salary costs for OSD, the defense support activities, and
Washington Headquarters Services for fiscal years 1994-98 from the
Washington Headquarters Services, Directorate for Budget and Finance. 
To determine how DOD plans to achieve the 25-percent reduction in
personnel at all its headquarters activities, we interviewed
officials in the Office of the Under Secretary of Defense,
Comptroller, and manpower officials in each of the military
departments and the Joint Staff.  In addition, we identified the
position cuts to headquarters activities programmed between fiscal
year 1997 and 2002 in the Fiscal Year 1999 Future Years Defense
Program. 

We conducted our work from June to December 1998 in accordance with
generally accepted government auditing standards. 

We are providing copies of this report to other appropriate
congressional committees; the Secretaries of Defense, the Air Force,
the Army, and the Navy; the Chairman, Joint Chiefs of Staff; and the
Director, Office of Management and Budget.  We also will provide
copies to other interested parties on request. 

Please call Marvin Casterline, Assistant Director, on (202) 512-9076
if you or your staff have any questions concerning this report. 
Major contributors to the report were Michael Kennedy, Ronald
Leporati, and Justin Bernier. 

Sincerely yours,

Henry L.  Hinton, Jr.
Assistant Comptroller General


CHANGES IN THE OFFICE OF THE
SECRETARY OF DEFENSE POSITIONS
BETWEEN FISCAL YEAR 1994 AND 1999
=========================================================== Appendix I

                                    Positions             Change
                              ----------------------  --------------
                      Fiscal                                              Fiscal
                   year 1994              Transferre          Percen   year 1999
Office              baseline  Eliminated           d   Total       t      target
----------------  ----------  ----------  ----------  ------  ------  ----------
Secretary of              76        (33)           7    (26)    (34)          50
 Defense
Acquisition and         720\       (146)        (88)   (234)    (33)         486
 Technology\a
Policy                   597        (87)       (104)   (191)    (32)         406
Personnel and           600\        (66)       (330)   (396)    (66)         204
 Readiness\b
Comptroller\c           374\        (67)          16    (51)    (14)         323
C3I\d                   334\        (88)          32    (56)    (14)         278
Public Affairs           129        (25)        (29)    (54)    (42)          75
Legislative               39         (8)         (1)     (9)    (23)          30
 Affairs
Operations,               43         (6)           4     (2)     (5)          41
 Test, and
 Evaluation
General Counsel           55         (5)           7       2       4          57
Administration            30         (7)         (2)     (9)    (30)          21
 and Management
Intelligence               9        \(1)           -     (1)    (11)           8
 Oversight
Special                   56        (27)         (6)    (33)    (41)          23
 programs\e\
Boards and                            34        (34)
 commissions\f
================================================================================
Total                  3,062       (532)       (528)  (1,060    (34)       2,002
                                                           )
--------------------------------------------------------------------------------
\a Fiscal year 1994 baseline includes 230 positions in the
Acquisition and Technology Defense Support Activity. 

\b Fiscal year 1994 baseline includes 300 positions in the Defense
Manpower Data Center. 

\c Fiscal year 1994 baseline includes 29 positions in the Management
Systems Support Office and 39 positions in the Plans and Program
Analysis Support Center. 

\d Fiscal year 1994 baseline includes 120 positions in the
Intelligence Program Support Group. 

\e Includes consultants, reimbursable details, and the administrative
support and assistance program. 

\f Boards and commissions were not identified separately until fiscal
year 1996. 

Source:  Office of the Secretary of Defense. 


CHANGES IN ARMY POSITIONS IN
HEADQUARTERS ACTIVITIES BETWEEN
FISCAL YEAR 1997 AND 2002
========================================================== Appendix II

                                              Fiscal
                                               year         Change
                                            ----------  --------------
                                                                Percen
Activity                                    1997  2002   Total       t
------------------------------------------  ----  ----  ------  ------
Army Staff                                  1,70  1,53   (173)    (10)
                                               7     4
Secretariat                                  828   865      37       5
Department support\a                         488   295   (193)    (40)
Functional commands\b\                      6,53  5,66   (870)    (13)
                                               6     6
Combatant commands\c                        1,90  1,86    (41)     (2)
                                               3     2
======================================================================
Subtotal                                    11,4  10,2  (1,240    (11)
                                              62    22       )
Unified commands\d                          1,37  1,31    (62)     (5)
                                               2     0
International organizations                 1,50  1,54      45       3
                                               4     9
======================================================================
Total                                       14,3  13,0   1,257     (9)
                                              38    81
----------------------------------------------------------------------
\a Includes the Concepts Analysis Agency, Command and Control Support
Agency, and Information Management Support Agency. 

\b Includes headquarters elements of the Army Materiel Command, the
Corps of Engineers, Intelligence and Security Command, Medical
Command, Military District of Washington, Training and Doctrine
Command, Criminal Investigations Command, and Forces Command. 

\c Includes Third Army, Eighth Army, U.S.  Army Pacific, U.S.  Army
Europe, U.S.  Army South, and the Military Traffic Management
Command. 

\d Does not include positions in Special Operations Command. 

Source:  Department of the Army. 


CHANGES IN AIR FORCE POSITIONS IN
HEADQUARTERS ACTIVITIES BETWEEN
FISCAL YEAR 1997 AND 2002
========================================================= Appendix III

                                              Fiscal
                                               year         Change
                                            ----------  --------------
                                                                Percen
Activity                                    1997  2002   Total       t
------------------------------------------  ----  ----  ------  ------
Air Staff, Air National Guard, and Air      1,55  1,35   (196)    (13)
 Force Reserve Headquarters                    3     7
Secretariat                                  931   871    (60)     (6)
Department support\a                         542   392   (150)    (28)
Functional commands\b\                      4,08  3,62   (453)    (11)
                                               1     8
Combatant commands\c                        6,17  5,43   (732)    (12)
                                               1     9
======================================================================
Subtotal                                    13,2  11,6  (1,591    (12)
                                              78    87       )
Unified commands\d                          1,87  1,87     (2)       -
                                               4     2
International organizations                  432   378    (54)    (13)
======================================================================
Total                                       15,5  13,9  (1,647    (11)
                                              84    37       )
----------------------------------------------------------------------
\a Includes the Air Force Pentagon Communications Agency (Air Force
support) and direct supporting staff. 

\b Includes headquarters elements of the Air Force Material Command,
the Air Education and Training Command, the Air Intelligence Agency,
the Air Force Program Executive Office, the Air Force Reserve
Command, and the Air Force Pentagon Communications Agency (Office of
the Secretary of Defense Support). 

\c Includes the Pacific Air Forces, Air Force Space Command, U.S. 
Air Forces in Europe, Air Combat Command, and Air Mobility Command. 

\d Does not include positions in Special Operations Command. 

Source:  Department of the Air Force. 


CHANGES IN NAVY POSITIONS IN
HEADQUARTERS ACTIVITIES BETWEEN
FISCAL YEAR 1997 AND 2002
========================================================== Appendix IV

                                              Fiscal
                                               year         Change
                                            ----------  --------------
                                                                Percen
Activity                                    1997  2002   Total       t
------------------------------------------  ----  ----  ------  ------
Chief of Naval Operations                   1,07  1,00    (65)     (6)
                                               1     6
Commandant of the Marine Corps               354   360       6       2
Secretariat                                  877   879       2       -
Department support\a                         233   179    (54)    (23)
Functional commands\b                       4,11  3,50   (609)    (15)
                                               4     5
Combatant commands\c                        4,23  3,23   (997)    (24)
                                               2     5
======================================================================
Subtotal                                    10,8  9,16  (1,717    (16)
                                              81     4       )
Unified commands\d                          1,69  1,55   (143)     (8)
                                               3     0
International organizations                  776   806      30       4
======================================================================
Total                                       13,3  11,5  (1,830    (14)
                                              50    20       )
----------------------------------------------------------------------
\a Includes the Naval Support Activity and the Field Support
Activity. 

\b Includes headquarters elements of the Naval Air Systems Command,
Naval Sea Systems Command, Naval Supply Systems Command, Naval
Facilities Engineering Command, Naval Space and Warfare Systems
Command, Office of the Chief of Naval Research, Chief of Navy
Education and Training, Naval Medical Command, Naval District of
Washington, Naval Intelligence Command, Naval Oceans Command, Naval
Security Group, Naval Reserve Force, Naval Computer and
Telecommunications Command, and Marine Corps Staff Management Agency. 

\c Includes the Military Sealift Command; Commander in Chief, Pacific
Fleet; Commander in Chief, Atlantic Fleet; Commander in Chief, Navy,
Europe; and Navy Space Command. 

\d Does not include positions in U.S.  Special Operations Command. 

Source:  Department of the Navy. 




(See figure in printed edition.)Appendix V
COMMENTS FROM THE DEPARTMENT OF
DEFENSE
========================================================== Appendix IV



(See figure in printed edition.)



(See figure in printed edition.)



(See figure in printed edition.)


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