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Panel – Alternative Methods for Financing Defense Acquisition
Thursday,
May 18, 2006
10:15 a.m. –
11:45 a.m.
Overview:
Chair:
Alternative Methods for Financing Defense Acquisition
Joe San Miguel – Naval Postgraduate School
Discussants:
Gerald Koenig – Hannon Armstrong
Nancy Mattson – Argent Group. Ltd.
Papers:
Acquiring Combat Capability through Innovative Uses of Public Private
Partnerships
Capt Steve Buchanan, USAF, Naval Postgraduate School
Capt Daniel McCrary, USAF, Naval Postgraduate School
Capt Jayson Cabell, USAF, Naval Postgraduate School
An International Perspective on the Use of Public Private Partnerships to
Augment Military Capabilities
LCDR Pat Jankowski, USN, Naval Postgraduate School
LT Matt Lehmann, USN, Naval Postgraduate School
LT Mike McGee, USN, Naval Postgraduate School
There is clearly heavy pressure in Washington to limit the DoD acquisition budget.
There is also a steady stream of “critically important” new weapons systems under development
across all branches of the military. The result will necessarily be that many “highly desirable,” if
not “critical,” programs are cut back or even eliminated.
One way to ease this potential impairment of National Security is to fund some DoD
investments outside the normal Congressional appropriations process. One term for such
alternative financing mechanisms is “Public-Private Partnerships” (PPP).
PPPs have proven to generate substantial benefits for the public sector by providing
greater flexibility in financing, encouraging innovation, reducing risks, and saving time and
money on projects. Deputy Secretary of Defense, Paul Wolfowitz, made the following statement
on the importance of more flexibility and less oversight in the acquisition system to deliver
affordable, sustainable capability to the warfighter:
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