US Navy in ‘financial strain’, ‘shortfalls in payroll’: ‘They shot all their weapons, they trashed all their ships, they ran out of their money”

Reports are emerging that Donald Trump‘s war on Iran has thrown the US military into what The Guardian dubs a “severe financial crisis”. They report the US Navy has been hit particularly hard, and may now be using money earmarked for paying servicemen and women for combat operations.

The article references documents seen by the outlet, backed up by interviews with officials, contractors and analysts. They don’t paint a rosy picture of the Navy’s finances, with one Pentagon memo reportedly warning about “shortfalls in payroll” as other departments are “raiding” that account to fund operations related to Iran.

They quote retired naval officer and member of the National Commission for the Future of the Navy Harlan Ullman, as saying, “The piggy bank is broken”. Other officials note that there’s a “cash crunch” that has seen non-emergency maintenance deferred as the costs of maintaining a navy blockade steadily rise. One former military officer laid it out in plain terms: “They’re f–ked. They shot all their weapons; they trashed all their ships; they ran out of their money.”

“The piggy bank is broken”

So, could this result in thousands of servicemen having their paychecks delayed? An anonymous Navy official says payroll is currently being moved around in, as the article puts it, “imaginative ways”. The official explained: “The money for payroll was robbed to pay for overseas contingencies and is being backfilled by money that hasn’t been spent. They are backfilling payroll so we get enough money in our paycheck.”

These claims have been backed up by comments made in hearings on Capitol Hill, with Susan Collins saying on 21 July that she’s been “told some military services face near-term solvency challenges.” American Enterprise Institute defense analyst Todd Harrison claims the Navy’s payroll problems aren’t exactly a secret, but “they’re just not speaking publicly about it”, adding:

“I suspect that is a deliberate decision of the civilian leaders in the Pentagon, starting at secretary, that this is for political reasons, that they don’t want to look like they’re damaging future military readiness over a war that is becoming increasingly a political liability.”

A Navy spokesman played down the problems, promising that they’re doing their best to get servicemen and women paid on time:  “The Department of the Navy is actively managing its resources to meet current pay obligations on time. We continue to work closely with Congress to address ongoing operational demands and sustain our personnel and readiness throughout the fiscal year.”

The White House has reportedly asked Congress for emergency funding to address these issues. However, given the growing unpopularity of the war, the lack of any visible progress towards any type of victory, and the simple fact that Iran is both defiant and undefeated, “prospects that the request will be approved are dim.”