Defense secretary-designate backs personnel reforms

Robert Gates says pay and health benefits are key to military retention.

In responses to a battery of questions by senators leading up to his confirmation as Defense Department secretary, Robert Gates indicated his support for civilian personnel reforms and retention initiatives, but avoided making commitments on acquisition changes and financial issues.

In a 65-page response to the Senate questionnaire, Gates described the National Security Personnel System, the administration's performance-based pay system designed for civilian Defense employees, as "integral to the department's human capital strategy." He said he would review the program "to see if any further changes are required."

NSPS currently is caught up in a lawsuit that has halted its implementation for bargaining unit employees; oral arguments for a government appeal are scheduled for Monday.

Several of Gates' responses touched on military recruitment and retention, and he emphasized the importance of military compensation and benefits packages to upholding an all-volunteer force.

The possibility of raising fees in the military's TRICARE military health system has been a contentious issue. Gates did not directly address fee increases, but described it as "critically important" to put the system "on a sound fiscal basis to sustain its long-term viability," even as he stressed the importance of a competitive compensation package to maintain the quality of life for military personnel and their families.

In responses to most management questions though, Gates was more vague, citing insufficient knowledge and promising to work with officials and assess department needs.

A pointed question on Defense acquisition reform noted that the department spent $1.4 trillion on major acquisition programs in 2006, up from $700 billion just five years before, with management shortcomings contributing to higher costs. Gates pledged to continue work on changes "on behalf of the military and the American taxpayer."

He also pledged to "make any necessary adjustments" to department policies regarding services contracting.

In a terse reply to a question on his readiness to curb the use of supplemental spending bills to fund Defense operations, Gates confirmed that he would conform to requirements in the fiscal 2007 Defense authorization act. It requires that funding for operations in Iraq and Afghanistan be included in the annual budget request after fiscal 2007.

Gates admitted that his ability to make a mark on the fiscal 2008 budget will be sharply limited by how close it will be to complete by the time he is sworn in. He said he will be fully involved in the following year's spending plan.

Gates also assured lawmakers that he would review the conclusions of a study due for release this month on the possible creation of a new position of deputy secretary for management at the Pentagon.