The Defense Logistics Agency is downsizing, aiming to be nearly a third smaller over the next five years, said agency chief Vice Adm. Mark Harnitchek on Thursday. By 2019, DLA will shrink from a $40 billion enterprise to one of about $27 billion, he told defense writers in Washington, D.C. “I think we have banked about $3 billion already,” he said. Of the $13 billion goal, $5 billion will come from operating efficiencies and the rest from simply buying less stuff, said Harnitchek. In the last two years alone, “we … have taken about $5 billion of our $15 billion in inventory out of the system,” he said. With less to store, he’s also been able to get rid of “45 football fields’ worth of covered storage,” World War II-vintage warehouses “that are coming down.” With reduced inventory, aided by better models of what, how much, and when to buy goods, and how long to keep them, efficiency and performance have improved, said Harnitchek. The 30 percent overall reduction is par for any post-drawdown period, he noted.
Pentagon Releases Cost of Living, BAH Rates for 2026
Dec. 30, 2025
The Pentagon will pay cost of living allowances to 127,000 service members in the continental U.S. in 2026, an increase of 66,000 members in 2025. Airmen and Guardians across the U.S. will also receive an average increase of 4.2 percent for their Basic Housing Allowance, compared to the 5.4 percent…
