Fiscal Year 2027 Budget Estimates Defense Logistics Agency

April 2026

The FY 2027 request for Defense Logistics Agency, O&M includes $585,610 thousand of discretionary and $143,000 thousand of mandatory for a total of $728,610 thousand.

The 2027 mandatory funds add necessary resources to reduce material readiness gaps as critical set by expanding the Warstopper program to increase industrial readiness and buy down manufacturing lead times. (U) The Warstopper Program implements industrial preparedness measures and preserves critical industrial capabilities to support the Department’s readiness requirements and meets requirements of the Defense Production Act of 1950, Section 103 of Executive Order 13603, and the NDAA 1992-1993 Conference Report requirements directing DLA to maintain industrial readiness for critical “War stopper” items. The program seeks to obtain industrial capability for go-to-war material where industry does not have a business case to provide for DoW readiness levels. These industrial readiness measures are applied to vulnerable industrial base items within the DLA supply chains such as FIRE-RESISTANT COMBAT UNIFORMS, Body Armor, Combat Helmets, nerve agent antidote auto-injectors, meals-ready-to eat, airfield damage repair (ADR), aging aircraft spares, specialty fuels, the nuclear enterprise, and specialty metals.

Peacetime demand for these items is inadequate to sustain an industrial base sufficient to meet mobilization requirements or item characteristics are such that procuring end items is not feasible. The Program identifies industrial base vulnerabilities through in-depth risk analysis and implements risk response strategies to sustain a healthy and robust supplier base furthering Global Resiliency. A modified Lean Six Sigma approach is used to study, analyze, and recommend the rough order of magnitude to mitigate the identified risks.

Read the Fiscal Year 2027 Budget Estimates HERE.