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Strategy for Balancing Investments in Tactical Wheeled Vehicles' which 
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GAO-09-968R:  

United States Government Accountability Office: 
Washington, DC 20548:  

September 28, 2009: 

The Honorable Neil Abercrombie: Chairman:
The Honorable Roscoe Bartlett: Ranking Member:
Subcommittee on Air and Land Forces: Committee on Armed Services:
House of Representatives: 

The Honorable Gene Taylor:
Chairman:
The Honorable Todd Akin:
Ranking Member:
Subcommittee on Seapower and Expeditionary Forces: 
Committee on Armed 
Services:
House of Representatives: 

Subject: Defense Acquisitions: Department of Defense Needs a Unified 
Strategy for Balancing Investments in Tactical Wheeled Vehicles: 

Ground-based military operations generally make use of two broad 
categories of vehicles: combat vehicles designed for a specific 
fighting function and tactical vehicles designed primarily for use by 
forces in the field in connection with or in support of tactical 
operations. Combat vehicles generally move on tracks versus wheels and 
include the Abrams tank, Bradley Fighting vehicle, and the Paladin self-
propelled howitzer. Tactical vehicles generally move on wheels and 
include the High Mobility Multi-purpose Wheeled Vehicle (HMMWV), the 
Mine Resistant Ambush Protected (MRAP) vehicle, and families of trucks 
and trailers. For fiscal years 2009 and 2010, the Department of Defense 
(DOD) has requested an estimated $16 billion for the procurement of 
those tactical wheeled vehicles described in this report, including an 
estimated $6 billion for MRAP variants. 

In June 2007, you requested that we assess (1) the extent to which DOD 
had developed an overall tactical wheeled vehicle (TWV) investment 
strategy that considers timing, affordability, and sustainability; (2) 
the extent that the programs in the strategy fill identified gaps or 
provide duplicative capabilities; (3) the current status of selected 
tactical wheeled vehicle systems that are a part of this strategy; and 
(4) whether DOD is pursuing a knowledge-based acquisition[Footnote 1] 
approach as a part of this strategy. On the basis of discussions with 
your staff, we initially focused on gathering and analyzing data 
related to the MRAP program. We provided the members of your staffs 
with a series of briefings between September 2007 and March 2008, and 
summarized the results of our MRAP work in a July 2008 report.[Footnote 
2] Shortly thereafter, and on the basis of additional discussions with 
your staffs, we resumed the work related to our overall assessment of 
tactical wheeled vehicles and provided an interim briefing on the 
results of our work on April 30, 2009. For our assessment of the 
current status of selected tactical wheeled vehicle systems, we 
included the following systems: 

* MRAP; 

* MRAP-All Terrain Vehicle (M-ATV) variant; 

* HMMWV Expanded Capability Vehicle (ECV) variant; 

* HMMWV ECV2 variant; 

* Joint Light Tactical Vehicle (JLTV); 

* Armored Security Vehicle (ASV); 

* Family of Medium Tactical Vehicles (FMTV); and, 

* Heavy Expanded Mobility Tactical Truck (HEMTT). 

We have updated our interim briefing to include fiscal year 2009 
supplemental and fiscal year 2010 base year tactical wheeled vehicle 
procurement budget data and summarized recent decisions related to 
selected tactical wheeled vehicle programs. Enclosure I contains our 
updated briefing. 

To determine whether DOD considered timing, affordability, and 
sustainability, we obtained relevant service strategies, reviewed them 
for these characteristics, and discussed the strategies with the 
military services. To determine whether there was potential for 
duplicative capabilities, we obtained requirements documents, compared 
the capabilities of the systems in question, and discussed the 
potential for systems to duplicate one another with program officials. 
To determine cost, schedule, and performance of selected tactical 
wheeled vehicles, we obtained and reviewed program documents such as 
selected acquisition reports[Footnote 3] for systems that had them, 
program status briefings for those that did not, budget planning and 
execution documents for all systems, results of developmental and 
operational tests for selected systems, and met with service program 
officials. To assess DOD's knowledge-based approach to acquisition 
strategy, we obtained and reviewed system acquisition plans and 
discussed them with service program managers. 

We conducted this performance audit from September 2008 to September 
2009, in accordance with generally accepted government auditing 
standards. Those standards require that we plan and perform the audit 
to obtain sufficient, appropriate evidence to provide a reasonable 
basis for our findings and conclusions based on our audit objectives. 
We believe that the evidence obtained provides a reasonable basis for 
our findings and conclusions based on our audit objectives. 

Summary: 

During our April 30, 2009, interim briefing and our August 13, 2009 
updated briefing, we made the following major points: 

* DOD does not have a unified TWV strategy that considers timing, 
affordability, and sustainability. The advent of improvised explosive 
devices/roadside bombs has had a significant effect on designing for 
survivability and the services are incrementally adapting their TWV 
capabilities in light of technology and funding limits. One unified 
strategy would help to coordinate efforts. 

* While we did not identify any unfilled program gaps, the introduction 
of MRAP, M-ATV, and eventually the JLTV creates a potential risk of 
unplanned overlap in capabilities; a risk that needs to be managed. A 
critical contribution to the management of the risk will likely be the 
JLTV Analysis of Alternatives. The purpose of the analysis is to assess 
alternatives for capitalizing the fleets of Light Tactical Vehicles 
operated by the services. The Under Secretary of Defense for 
Acquisition, Technology, and Logistics provided guidance for the 
analysis in January 2009. The guidance stated that the analysis will 
compare the performance of JLTV alternatives against each of the legacy 
Light Tactical Vehicles, including the HMMWV, Up-Armored HMMWV, ECV2, 
and MRAP. 

* Many TWV systems are in production and have remained stable. JLTV is 
early in its development and will require close oversight to ensure 
requirements, technologies, and resources are well understood before 
making significant commitments of time and money. MRAP and M-ATV are 
being procured exclusively with supplemental funding. Over 16,000 MRAPs 
were procured in fiscal years 2007 and 2008 for an estimated $20.9 
billion. In addition, at least 5,244 M-ATVs will be procured in fiscal 
years 2009 and 2010 for an estimated $6 billion. The Army and Marine 
Corps spend billions annually on TWV procurement; the Air Force, Navy, 
and Special Operations Command spend considerably less. 

* Generally, the acquisition programs we reviewed are effectively using 
knowledge-based acquisition practices. 

Conclusions: 

While DOD does not have a comprehensive TWV investment strategy, the 
individual services--particularly the Army and Marine Corps--have 
multiple studies under way which address different aspects of TWV 
strategic planning. The Army and Marine Corps have also collaborated on 
joint studies of TWV issues. A unified, comprehensive, long-term TWV 
strategy would be beneficial to DOD and the services in minimizing the 
potential for unplanned overlap or duplication as they: 

* define the specific roles and capabilities of similar vehicles; 

* adapt their TWV capabilities to current and anticipated threats; 

* address long-term TWV sustainability issues; and: 

* determine how best to take advantage of MRAP capabilities for the 
long term. 

The strategy should balance protection, payload, and performance needs 
with available resources, especially for Light Tactical Vehicles. 

Recommendation For Executive Action: 

To improve DOD's ability to plan for and manage the development, 
production, and sustainment of TWV across the department, we recommend 
that the Secretary of Defense develop a comprehensive and unified 
strategy and implementation plan for making sound investment decisions 
for tactical wheeled vehicles that: 

* assess and prioritize the capabilities and requirements of similar 
vehicles needed in the near and long term; 

* estimate the funding, time, and technologies that will be required to 
acquire, improve, and sustain these systems; 

* balance protection, payload, and performance needs with available 
resources, especially for Light Tactical Vehicles; and: 

* identify contingencies in case there are development problems, delays 
with key systems, or funding constraints. 

Agency Comments and Our Evaluation: 

In commenting on a draft of this report, DOD concurred with our 
assessment and recommendations. The department agreed that a unified, 
comprehensive tactical wheeled vehicle strategy would be beneficial and 
outlined a plan to unite several ongoing studies into a comprehensive 
strategy that dovetails with the services' strategies for equipping 
their forces. In implementing the strategy, DOD will endeavor to align 
requirements, resources, and acquisition strategies into a unified plan 
to guide investment decisions. We believe that the various ongoing 
studies should provide valuable insight for DOD in developing a unified 
strategy, which will assist the department and the services in 
balancing their near-and long-term needs and resources. We look forward 
to seeing the final results next year. 

Enclosure II contains the full text of the department's comments. 

We are sending copies of this report to the Chairmen and Ranking 
Members of other Senate and House committees and subcommittees that 
have jurisdiction and oversight responsibilities for DOD. We will also 
send copies to the Secretary of Defense; the Secretaries of the Air 
Force, Army, and Navy; and the Director, Office of Management and 
Budget. Copies will also be available at no charge on GAO's Web site at 
[hyperlink, http://www.gao.gov]. 

If you or your staff have any questions about this report, please 
contact me at (202) 512-4841. Contact points for our Offices of 
Congressional Relations and Public Affairs may be found on the last 
page of this report. Major contributors to this report included William 
Graveline, Assistant Director; Dayna Foster; Danny Owens; Bob 
Swierczek; Hai Tran; Alyssa Weir; and Paul Williams.  

Signed by:  

Michael J. Sullivan, Director: Acquisition and Sourcing Management: 

Enclosures: 

cc: Mr. Doug Roach:
Mr. Jesse Tolleson:
Mr. Doug Bush:
Mr. John Wason: 

[End of section]  

Enclosure I:  

Briefing to the House Armed Services Committee, Air and Land Forces, 
and Seapower and Expeditionary Forces Subcommittees: August 13, 2009:  

Status of DOD Tactical Wheeled Vehicle Strategy:  

Briefing Overview:  

* Introduction: 
* Summary: 
* Findings: 
* Conclusions: 
* Scope, Methodology, and Auditing Standards.  

Introduction:  

Although there is no precise definition, tactical wheeled vehicles 
(TWV) tend to have military characteristics designed primarily for use 
by forces in the field in connection with or in support of tactical 
operations.  

As requested, we assessed the following.  

* The extent to which DOD has developed an overall investment strategy 
for TWVs that considers timing, affordability, and sustainability. 

* The extent to which TWV programs provide duplicative capabilities.  

* The current cost, schedule, and performance of selected TWVs.  

* Whether DOD is pursuing a knowledge-based approach as part of the 
acquisition strategy.  

This briefing summarizes the results of our work.  

Our scope and methodology are described at the end.  

We obtained DOD and service comments for this briefing and made changes 
where appropriate.  

Summary:  

DOD does not have a unified TWV strategy.  

* The advent of improvised explosive devices (IED)/roadside bombs has 
had a significant effect on designing for survivability and the 
services are incrementally adapting their TWV capabilities in light of 
technology and funding limits.  

Introduction of Mine Resistant Ambush Protected (MRAP) and MRAP-All 
Terrain Vehicle (M-ATV) and eventually Joint Light Tactical Vehicle 
(JLTV) creates potential risk of unplanned overlap in capabilities; 
that risk needs to be managed.  

While many systems are in production with stable cost, schedule,and 
performance metrics, continuous improvement of these systems also needs 
to be managed. JLTV is early in its development and will require close 
oversight.  

* Although development dollars are small, the Army and Marine Corps 
spend billions annually on TWV procurement. The Air Force, Navy, and 
Special Operations Command (SOCOM) spend considerably less.  

* Procurement of MRAPs and M-ATVs are funded exclusively with 
supplemental funding.  

Several examples demonstrate that knowledge-based acquisition is being 
used effectively.  

The Army and JLTV Program have begun to address Other Topics of 
Interest: Long-Term Armor/Protection Strategy and Fully Burdened Cost 
of Fuel, respectively. Additional focus on these issues will be 
needed.  

1. Tactical Wheeled Vehicle Investment Strategy—Strategies Reviewed:  

* February 2006 Army Tactical Wheeled Vehicle Modernization Strategy 
Report to Congress; 
- Army-only perspective, projected fleet mix to FY 2018, provided 
limited funding/affordability data. 

* August 2008 Marine Corps Ground Combat and Tactical Vehicle Strategy; 
- Marine Corps-only perspective, projected fleet mix to FY 2024, 
provided limited funding/affordability data.  

* August 2008 Army and Marine Corps Tactical Wheeled Vehicle Strategy 
and Response to Office of Management and Budget (OMB)briefing; 
- Combined Army and Marine Corps perspective on OMB-selected systems 
and topics, projected fleet mixes, provided limited 
funding/affordability data.  

* Office of the Under Secretary of Defense (Acquisition, Technology, 
and Logistics) acknowledges DOD does not have a unified strategy.  

1. Tactical Wheeled Vehicle Investment Strategy—Numerous Strategies In 
Process:  

* Services have multiple studies under way which address different 
aspects of TWV strategic planning; 
- The Army Capabilities Integration Center is working on a new Tactical 
Wheeled Vehicle Study. Marine Corps is updating its Ground Combat 
Tactical Vehicle Strategy. Study results scheduled for completion later 
this year.
- The Army and Marine Corps plan to integrate MRAPs into the fleet mix 
and are studying ways to achieve the integration; Army and Marine Corps 
study results scheduled for completion at the end of 2009. 
- The Navy is developing a TWV Strategy; scheduled for completion at 
end of 2009. 
- SOCOM is developing an Initial Capabilities Document (ICD) based on a 
2007 Capabilities Based Assessment for Ground Mobility; ICD scheduled 
for completion in August 2009.  

* Service-specific strategies do not constitute a unified strategy.  

2. Observations on Potential Overlap or Duplication of TWV 
Capabilities:  

Introduction of MRAP, M-ATV, and eventually JLTV creates the risk of a 
potential unplanned overlap in capabilities; risk needs to be managed.  

* Ideally, the Army would prefer to have all JLTVs for its light 
tactical vehicle (LTV) fleet. However, given the size of the LTV fleet, 
it will have a variety of generations of LTVs in the force at any given 
time. 
- Highly Mobile Multi-purpose Wheeled Vehicle (HMMWV), Up-Armored HMMWV 
(UAH)/Expanded Capability Vehicle (ECV), possibly ECV2, and JLTV.  

* MRAP is a theater asset that replaces the UAH for some missions 
outside the forward operating base. It fills a niche for better 
protection than the UAH, but at the loss of maneuverability.  

* Developmental ECV2 is 30 percent common with the UAH but with more 
payload and better performance while maintaining protection against 
IEDs; the Army and Marine Corps have no current plans to procure 
ECV2s.  

* JLTV armor will provide protection comparable to MRAP except MRAP has 
better underside protection, in trade for increased weight. However, 
JLTV unit costs could be significantly higher than ECV2, but much lower 
than MRAP and M-ATV.  

3. Status of Selected Systems:  

* Mine Resistant Ambush Protected Vehicles; 
- Family of multimission platforms capable of mitigating IEDs, 
underbody mines, and small arms fire threats.
- More than 16,000 procured to date; deliveries of Operation Iraqi 
Freedom (OIF) variants will be complete by November 2009; performance 
limited by size/weight.  

* MRAP All Terrain Vehicle (M-ATV) variant; 
- Lighter weight and smaller than OIFMRAP vehicles to support improved 
off-road maneuverability in Afghanistan. 
- Procurement funding for fiscal years 2009 and 2010 estimated at about 
$6 billion depending on Explosively Formed Penetrator(EFP)/Rocket 
Propelled Grenade (RPG) protection kit requirement. 
- Quantities between 5,244 and 10,000 units; 3,944 units are under 
contract. 
- According to acquisition officials, the Marine Corps and Army are 
installing independent suspension systems on some OIF MRAPs for 
Operation Enduring Freedom (OEF) operations in Afghanistan. Marine 
Corps initiative may reduce the number of M-ATVs required for OEF 
operations.  

* Expanded Capability Vehicle; 
- HMMWV variant with upgraded suspension, additional carrying capacity, 
and integrated armor package with the capability to accept add-on 
armor. 
- Over 45,000 ECVs procured since 1993; the Army plans to buy 21,209 
ECVs from 2009 through 2010 for about $3.2 billion. 
- Vehicles are being procured in support of Special Operations Forces 
Light Tactical Vehicle programs, and Army National Guard and Army 
Reserve units.  

* Expanded Capability Vehicle 2; 
- HMMWV variant which was developed to return the payload and 
performance that was lost by adding increased protection to earlier 
variants of the HMMWV; 
- The Army and Marine Corps have decided not to procure ECV2s in FY 
2009, as originally planned.  

* Joint Light Tactical Vehicle; 
- A family of vehicles focuses on balancing personnel protection, 
payload, and performance; will provide defensive measures covering 
troops while in transport, increases payload capability, and improves 
the logistics footprint. 
- Quantities and total program cost could be substantial but will not 
be determined until Milestone B; three technology development contracts 
awarded in October 2008; Milestone C expected in FY 2013 and initial 
capability in FY 2016. 
- Technology development phase is scheduled to end in April 2011. 
According to Acquisition Decision Memorandum approving technology 
development phase, consideration will be given to (a) carrying multiple 
contractor teams through engineering and manufacturing development 
phase, and (b) the start of low-rate initial production for some or all 
variants. 
- December 2007 Defense Acquisition Executive guidance states that 
production of some or all JLTV variants should be considered toward the 
end of the Technology Development phase and during development of the 
acquisition strategy. 
- Balancing protection, payload, and performance may require trade-offs 
among key performance parameters (KPP) or non-KPP attributes to achieve 
air transportability by rotary wing aircraft of a vehicle in combat 
configuration. Considerations include vehicle size, weight, power, and 
mission role. Potential trades could include operational limitations. 
The Marine Corps has expressed concerns regarding weight. 
- An Analysis of Alternatives (AOA) is required to support Milestone B 
and will be provided to Program Analysis and Evaluation 60 days in 
advance of Defense Acquisition Board review. 
- The AOA will compare the performance of JLTV alternatives against the 
light tactical vehicle fleet expected in FY 2013. These include HMMWV, 
UAH, MRAP, and possibly ECV2.  

* Armored Security Vehicle (ASV); 
- Used by the military police to perform area security and other 
missions; the ASV has been in the production phase for several years; 
through January 2009, 1,702 ASVs have been produced. 
- The Army plans to buy an additional 150 ASVs with a unit cost of 
$721,000 in FY 2010 for the Military Police; ASVs will also be used for 
convoy protection for Combat Support and Combat Service Support units.  

* Family of Medium Tactical Vehicles (FMTV) provides up to five tons 
capacity for long-distance and local hauling, and unit resupply 
missions; 
- In mid-summer 2008, the contractor began to fall behind in delivering 
trucks. Due to production issues and parts shortages,trucks were being 
manufactured but were incomplete and could not be delivered to the 
government. By May 2009, the contractor was late in delivering more 
than 2,100 trucks and, in June, slowed production of new trucks to 
focus on the incomplete trucks. As of July, about 2,000 trucks had not 
yet been delivered. The backlog is clearing and Defense Contract 
Management Agency officials expect the contractor to catch up with 
deliveries by the end of November. 
- Competition is under way for the next buy and three manufacturers—
BAE, Navistar, and Oshkosh—submitted proposals in May 2009. The 
contract for an estimated 23,341 vehicles (trucks and trailers)is 
scheduled to be awarded in September.  

* Heavy Expanded Mobility Tactical Truck (HEMTT), one of a family of 
heavy tactical vehicles, provides for up to ten tons of long-distance 
and local hauling, unit resupply, and other transport missions; 
- New trucks are still being produced with two option years remaining 
on the current contract. The Army has begun planning for the next buy. 
- Recapitalization program for older trucks began in 2001 to reduce 
operating and support costs and improve armor protection. Recap results 
in a truck that is equivalent to a new truck at about 80 percent of the 
average unit cost.  

3. Status of Selected TWV Systems—Projected Procurement Funding for FY 
2009-2010:  

Table: (Dollars in millions):  

System: MRAP; 
Air Force: $50; 
Army: $800; 
Marine Corps: $190; 
Navy: $50; 
SOCOM: $110; 
Total: $1,200.  

System: M-ATV; 
Air Force: $409; 
Army: $2,810; 
Marine Corps: $1,604; 
Navy: $82; 
SOCOM: $1,101; 
Total: $6,006.  

System: ECV; 
Air Force: $61; 
Army: $3,208; 
Marine Corps: $396; 
Navy: $32; 
SOCOM: $22; 
Total: $3,719.  

System: ECV2; 
Air Force: $0; 
Army: $0; 
Marine Corps: $0; 
Navy: $0; 
SOCOM: $0; 
Total: $0. 

System: JLTV; 
Air Force: $0; 
Army: $0; 
Marine Corps: $0; 
Navy: $0; 
SOCOM: $0; 
Total: $0.  

System: ASV; 
Air Force: $0; 
Army: $469; 
Marine Corps: $0; 
Navy: $0; 
SOCOM: $0; 
Total: $469.  

System: FMTV; 
Air Force: $49; 
Army: $2,638; 
Marine Corps: $0; 
Navy: $0; 
SOCOM: $0; 
Total: $2,687.  

System: HEMTT; 
Air Force: $0; 
Army: $1,965; 
Marine Corps: $0; 
Navy: $0; 
SOCOM: $0; 
Total: $1,965; 
Marine Corps.  

System: Total; 
Air Force: $569; 
Army: $11,890; 
Marine Corps: $2,190; 
Navy: $164; 
SOCOM: $1,233; 
Total: $16,046.  

Source: GAO analysis of DOD funding and program data.  

Note: M-ATV amounts are MRAP Joint Program Office estimates of planned 
procurement amounts needed to meet current increased requirement of 
5,244 vehicles, each equipped with EFP/RPG protection kits.  

[End of table]  

4. Knowledge-Based Acquisition Being Used Effectively:  

* DOD relies on proven commercial technologies for subsystems such as 
axles, drive trains, and transmissions.  

* Protection subsystems such as opaque and transparent ballistic armor, 
situational awareness, and countermeasures are developed elsewhere and 
integrated onto vehicles.  

* Rapid acquisition for M-ATV dictated that production representative 
prototypes be delivered within 3 days of contract award for testing. 
- This requires that technologies are mature, designs are stable, and 
production processes are mature.  

* JLTV development includes three competing prototypes to reduce 
technology risk before Milestone B and achieve a better balance between 
protection, payload, and performance. 
- Prototypes will undergo developmental testing and limited user 
assessments in a relevant environment at government facilities. 
- The demonstrators must achieve a minimum technology readiness level 
of 6 across all areas before milestone B.  

5. Other Topics of Interest—Army Long-term Armor Strategy:  

2006 Army Strategy identified a two-phase Long-Term Armor Strategy, 
which consists of developing mission-specific A-cabs and B-kits for 
selected vehicles.  

* A-cabs with attachment points for armor;  

* B-kit armor plates are added as the mission dictates;  

* Phase I limited to FMTV, HEMTT, and HMMWV;  

* Phase II will expand armor kits for Palletized Load System, Heavy 
Equipment Transporter System, M939 truck, and M915 semi-tractor truck;  

JLTV will be designed so that new armor developments can be retrofitted 
without major retrofit cost.  

The Army will adopt a long-term protection strategy, which is a more 
holistic approach to survivability.  

5. Other Topics of Interest—Fully Burdened Cost of Fuel:  

In 2007, the Under Secretary of Defense (AT&L) established a policy to 
include the fully burdened cost of delivered energy in trade-off 
analyses conducted for all tactical systems with end items that create 
a demand for energy and to improve the energy efficiency of those 
systems, consistent with mission requirements and cost effectiveness. 
The policy was based on the results of several studies that concluded 
that:  

* reducing energy demand provides operational forces more flexibility 
and makes them less dependent on the logistics infrastructure.  

* The DOD acquisition process undervalues technologies that can improve 
energy efficiency, and;  

* applying the fully burdened cost of delivered energy—total ownership 
cost of buying, moving, and protecting fuel used in systems—should be 
considered in acquisition decisions over the life cycle of a system.  

JLTV is one of the pilot programs initiated to implement this policy. 
It is unclear at this point how this policy will affect JLTV 
requirements and designs.  

Conclusions:  

* OMB saw value in requesting a combined TWV strategy briefing from the 
Army and Marine Corps.  

* A unified, comprehensive, long-term TWV strategy would be beneficial 
to DOD and the services as they: 
- define the specific roles and capabilities of similar vehicles, 
- adapt their TWV capabilities to current and anticipated threats via 
the long-term armor (and protection) strategy, 
- address long-term TWV sustainability issues, and, 
- determine how best to take advantage of MRAP’s capabilities for the 
long term.  

* The strategy should include balancing protection, payload, and 
performance needs with available resources, especially for LTVs.  

* This should help to identify and minimize unplanned overlap or 
duplication.  

Scope, Methodology, and Auditing Standards:  

To determine whether DOD’s investment strategy considered the timing, 
affordability, and sustainability of planned actions, we obtained the 
relevant strategies, reviewed them for these characteristics, and 
discussed the strategies with the military services.  

To determine whether there was potential for duplicative capabilities, 
we obtained requirements documents, compared the capabilities of the 
systems in question,and discussed the potential for systems to 
duplicate one another.  

To determine the cost, schedule, and performance of selected tactical 
armored vehicles, we obtained and reviewed program documents such as 
selected acquisition reports for systems that had them, program status 
briefings for those that did not, budget planning and execution 
documents for all systems, and results of developmental and operational 
tests for selected systems, and met with service program officials.  

We based our table on projected program funding on DOD data and program 
office projections.  

To assess DOD’s knowledge-based approach to acquisition strategy, we 
obtained and reviewed system acquisition plans and discussed them with 
service program managers.  

We conducted this performance audit from September 2008 to September 
2009, in accordance with generally accepted government auditing 
standards. Those standards require that we plan and perform the audit 
to obtain sufficient, appropriate evidence to provide a reasonable 
basis for our findings and conclusions based on our audit objectives. 
We believe that the evidence obtained provides a reasonable basis for 
our findings and conclusions based on our audit objectives.  

[End of enclosure]  

Enclosure II:  

Office Of The Under Secretary Of Defense: 
Acquisition, Technology And Logistics: 
3000 Defense Pentagon: 
Washington, DC 20301-3000:  

September 21, 2009:  

Mr. Michael J. Sullivan: 
Director, Acquisition and Sourcing Management: 
U.S. Government Accountability Office: 
441 G Street, N.W.
Washington, DC 20548:  

Dear Mr. Sullivan:  

This is the Department of Defense (DoD) response to the GAO draft 
report GAO-09-9688, "Defense Acquisitions: Department of Defense Needs 
a Unified Strategy for Balancing Investments in Tactical Wheeled 
Vehicles," dated August 21, 2009 (GAO Code 120840). 

The DoD concurs with the recommendation. The rationale for the DoD's 
position is enclosed.  

We appreciate the opportunity to comment on the draft report. My point 
of contact for this effort is Mr. Rob Maline, 703-693-9414, 
Robert.Maline@osd.mil.  

Sincerely,  

Signed by:  

David G. Ahern: 
Director: 
Portfolio Systems Acquisition:  

Enclosure: As stated:  

GAO Draft Report - Dated August 21, 2009 GAO-09-968R (GAO Code 
120840):  

"Defense Acquisitions: Department of Defense Needs a Unified Strategy 
for Balancing Investments in Tactical Wheeled Vehicles"  

Department Of Defense Comments To The GAO Recommendation:  

Recommendation 1: The GAO recommends that the Secretary of Defense 
develop a comprehensive and unified strategy and implementation plan 
for making sound investment decisions for tactical wheeled vehicles 
that:  

* assess and prioritize the capabilities and requirements of similar 
vehicles needed in the near and long-term;  

* estimate the funding, time, and technologies that will be required to 
acquire, improve, and sustain these systems;  

* balance protection, payload, and performance needs with available 
resources, especially for Light Tactical Vehicles; and;  

* identify contingencies in case there are development problems, delays 
with key systems, or funding constraints. 

DoD Response: Concur. A unified, comprehensive long term tactical 
wheeled vehicle (TWV) strategy would be beneficial to the Department of 
Defense. Upon completion of the ongoing TWV studies by the Army and 
Marine Corps, and the Analysis of Alternatives for Joint Light Tactical 
Vehicles, the DoD will unite these efforts into a comprehensive 
strategy that dovetails with the services' equipping strategies. We 
will endeavor to align requirements, resources and acquisition 
strategies into a unified plan for TWV investment decisions.  

[End of enclosure]  

Footnotes:  

[1] Knowledge-based acquisition is a management approach which requires 
adequate knowledge at critical junctures (i.e., knowledge points) 
throughout the acquisition process to make informed decisions. 

[2] GAO, Rapid Acquisition of Mine Resistant Ambush Protected Vehicles, 
[hyperlink, http://www.gao.gov/products/GAO-08-884R] (Washington, D.C.: 
July 15, 2008). 

[3] Selected acquisition reports are standard, comprehensive, summary 
status reports of major defense acquisition programs required for 
periodic submission to Congress. SARs include estimates of cost, 
schedule, and technical status.  

[End of section]  

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