2015

PERFORMANCE

HIGHLIGHTS

2017

BUDGET

IN BRIEF

POSTURE

STATEMENT

UNITED STATES COAST GUARD
The Coast Guard Cutter ALERT, a 47-year-old medium endurance 

cutter, belongs to the Reliance-class of ships that entered service 

between 1964 and 1969. The FY 2017 Budget provides funding for long 

lead time materials required to begin building the next generation of 

medium endurance cutters, the Offshore Patrol Cutter (OPC).
Today’s 21st Century Coast Guard operates in a complex and ever 

changing environment. Increasing demands across the maritime 

domain require near-term agility while strategically investing finite 

resources for tomorrow. Aligned with Department of Homeland 

Security and National strategies, Coast Guard strategies inform 

the 2017 budget request, ensuring continued Service to the Nation 

through fiscal stewardship and value to the American public. The 

Posture Statement provides the strategic context for our external 

environment and highlights my focus for Fiscal Year 2017.

The Fiscal Year 2017 Budget illustrates the Coast Guard’s dedication 

to strategically investing for the future while sustaining mission 

excellence. I am exceptionally pleased this budget includes a 

major investment to accelerate acquisition of an additional heavy 

icebreaker to meet future challenges in the Polar Regions. It also 

provides funding to procure long lead time materials for the first 

Offshore Patrol Cutter, a major milestone toward replacement of our aging medium endurance cutters. 

Investing in the 21st Century Coast Guard also means an unwavering commitment to our people, ensuring 

every member has the resources required to conduct today’s challenging missions while providing a safe 

and professional workplace environment. We will continue to meet our missions by attracting, developing 

and retaining the most talented maritime professionals. 

As a unique force with both military and civil authorities, the Coast Guard and its missions touch nearly 

every facet of the Nation’s expansive maritime domain. Coast Guard authorities, people and assets are 

essential to national security and economic prosperity. I am extremely proud of the results our active 

duty, civilian, reservists and auxiliary personnel accomplish daily in support of national priorities. The 

2015 Performance Highlights demonstrate the enduring, multi-mission character of the Coast Guard and 

our intrinsic value to the United States. 

A fully equipped, flexible and forward looking Coast Guard can meet any operational demand. Today and 

into the future we will keep the Nation’s waterways secure and its maritime gateways connected to the 

world. We will remain Semper Paratus – Always Ready. 

THE COMMANDANT OF THE UNITED STATES COAST GUARD

WASHINGTON, D.C.

PAUL F. ZUKUNFT

Admiral, U.S. Coast Guard
America’s Coast Guard

As the world’s premier, multi-mission, maritime service responsible for the safety, security and stewardship of the Nation’s 

waters, the United States Coast Guard offers a unique and enduring value proposition to the Department of Homeland 

Security and the American public. 

At all times a military service and branch of the U.S. Armed Forces, a federal law enforcement agency, a regulatory body, 

a first responder, and a member of the U.S. Intelligence Community, the Coast Guard serves on the front line for a Nation 

whose economic prosperity and national security are inextricably linked to vast maritime interests. 

To preserve these interests at home and abroad, the Coast Guard employs its broad authorities; expansive network of 

interagency, military, and industry relationships; unique operational capabilities and international partnerships to maximum 

strategic effect. 

Strategic Landscape 

Global trends and geostrategic threats continue to rapidly change our world, and the increasingly complex maritime domain 

has introduced new challenges and opportunities to our operating environment. While technological advancements in 

maritime shipping and industries have improved safety, vulnerabilities in the cyber domain are creating new risks. 

Transnational Organized Crime (TOC) networks, shifting human migration patterns away from poverty and violence and 

weakening sovereign nation states demand well-reasoned approaches to sustaining maritime security. Finally, energy 

trends and climate change represent emerging factors in our strategic planning.

Amidst these changes, the Coast Guard remains an indispensable instrument of national security and prosperity. Our 

capabilities, capacities, partnerships and authorities, together with our record of building unity of effort and interagency 

collaboration, uniquely position our Service to meet the rapidly evolving and complex opportunities and threats facing 

our Nation.

The evolving fiscal environment requires a risk-based approach to our operations and support initiatives as we position 

our Service to meet the evolving demands of the 21st century. Enduring success requires a continuing commitment to meet 

rapidly changing conditions that will have the greatest impacts on our Nation’s security and prosperity. Most importantly, 

we must sustain our unwavering commitment to our workforce. Consistent with our 225-year history, success hinges upon 

attracting, developing, and retaining a proficient, diverse and adaptable workforce. 

Strategic Focus

While many factors shape U.S. maritime interests, five areas of strategic focus continue to drive Coast Guard operations and 

capital investments. Because the Coast Guard must stay ready for daily operations and a vast array of incidents that come 

with increasingly uncertain times, these five focus areas represent a unifying strategic agenda for our Service. Aligned with

POSTURE STATEMENT
national and departmental level strategies and coordinated with Department of Defense priorities, the following focus 

areas reflect a risk-informed approach to our strategic landscape:

I. The Rise and Convergence of Transnational Organized Crime (TOC) Networks – TOC networks are fueled by immense 

profits from drug and human trafficking. Their indiscriminate use of violence weakens regional governments, stymies 

legitimate economic activity and development, terrorizes peaceful citizens and constitutes a threat to regional stability 

and security. In Fiscal Year 2015, coverage by Coast Guard assets in the maritime approaches yielded interdiction of an 

impressive 179 metric tons of illegal narcotics and 500 suspected drug smugglers detained for prosecution. However, 

long-term success demands a government-wide effort to sever financial supply lines and TOC networks at the source.

To help combat TOC networks, the Coast Guard will:

➢ Build upon the strong base of over 40 international counter-drug bilateral agreements to advance 

regional and international partnerships and grow partner nation capacity. 

➢ Promote unity of effort at home and abroad.

➢ Maximize intelligence-driven and counter network operations.

➢ Use interdictions, and intelligence gathered from these interdictions, to inform and reinforce 

TOC disruption.

➢ Continue recapitalization of the major cutters and aircraft that conduct interdictions. 

II. Imperative for Southern Maritime Border Security – The southern maritime border consists of economically-vital 

maritime ports of entry and the vast distances between them; including the waters of southern California, the Gulf of 

Mexico, and the Caribbean extending to Central America and the northern waters of South America. Persistent threats 

to our southern maritime border include illicit flows of people and goods such as drug and human trafficking and illegal 

migration. Securing our southern border and approaches is a top priority for the Department of Homeland Security 

(DHS). As the lead federal agency for maritime law enforcement, the Coast Guard plays an important role in this effort. 

To enhance southern maritime border security, the Coast Guard will: 

➢ Continue to promote information sharing and building unity of effort in the maritime domain in support of the 

Department of Homeland Security Southern Border and Approaches Campaign Plan.

➢ Continue to deter illegal migration activity via maritime means and provide necessary situational awareness 

and warnings for the U.S. concerning maritime mass migration.

III. Increasing Maritime Commerce – The prosperity of our Nation is inextricably linked to a safe and efficient Maritime 

Transportation System (MTS). Increased domestic energy extraction and transport, deeper U.S. ports and the expansion 

of the Panama and Suez Canals create MTS congestion and demand robust safety and security regimes. 

To address increasing maritime commerce, the Coast Guard will:

➢ Continue to enforce compliance with the laws and regulations that promote a safe, efficient and 

resilient MTS.

➢ Continue prevention and response initiatives that enhance marine safety competency, keep pace with 

industry changes and minimize the adverse effects of maritime incidents.

➢ Improve regulatory frameworks to keep pace or stay ahead of industrial advancements.

IV. Emerging Cyber Risks – Cyber technology has fueled unprecedented growth and efficiency in our increasingly 

globalized economy, but it has also spawned increasing challenges and risks to both public and private sector 

cyber networks. Coast Guard’s strategic focus is on efforts to strengthen internal Coast Guard networks 

and promote strong cyber security practices for critical systems that operate in our Nation’s ports and on 

our waterways. 

To address emerging cyber risks, the Coast Guard will:

➢ Implement our recently promulgated Cyber Strategy. 

➢ Coordinate cyber regulatory and technical assistance activities across Federal, state and local maritime 

industry stakeholders.
V. Meeting Future Challenges in the Polar Regions – Climate change introduces risks and opportunities, particularly 

in the Arctic maritime environment. As ice melts, sea lanes and access to precious natural resources will expand, 

increasing the cause for safe and responsible use of this vital region. Projected increases in Arctic activity forecast 

increasing demand across several Coast Guard missions. In particular, the President’s recent call to develop and 

maintain capacity for year-round access to greater expanses within the Polar Regions will require renewed heavy 

icebreaking capability. 

To support national objectives in the Polar Regions, the Coast Guard will:

➢ Accelerate the current acquisition of a heavy icebreaker and plan for additional icebreakers.

➢ Continue to build unity of effort with the Department of State and other Federal and international 

partners in support of the U.S. Chairmanship of the Arctic Council.

➢ Advance the Arctic Coast Guard Forum.

➢ Support the United Nations Convention on the Law of the Sea (UNCLOS) ratification.

Building the 21st Century Coast Guard

The Fiscal Year 2017 Budget priorities lay the foundation for the Service to address today’s challenges and key focus 

areas over the next five years. We will invest in the 21st century Coast Guard by building the necessary platforms to meet 

missions, sustain mission excellence to meet current demands and maximize value to the Nation by driving efficiency 

and effectiveness throughout all activities. 

Furthermore, our excellence in mission execution relies on the Service’s greatest strength – our people. Coast Guard 

operations require a resilient, capable workforce that draws upon the broad range of skills, talents, and experiences 

found in the American population. The 21st century Coast Guard will maintain a proficient, diverse and adaptable 

workforce that responds effectively to changing technology, an increasingly complex operating environment and 

dynamic partnerships. Together, modern platforms and a strong, resilient workforce will maximize the Coast Guard’s 

capacity to meet future challenges.
The Coast Guard’s FY 2017 Budget preserves Coast Guard operations and continues recapitalization efforts for 

cutters, boats, aircraft, systems and infrastructure. The Budget also efficiently allocates resources to optimize 

Coast Guard mission performance. The Coast Guard must continue meeting today’s operational requirements 

while investing in future capability to best serve the Nation.

The Coast Guard’s FY 2017 Budget priorities are:

FY 2017 BUDGET PRIORITIES

Invest

in the 21st Century 

Coast Guard

Sustain

Mission

Excellence

Maximize

Value to

Nation
Invest in the 21st Century Coast Guard 

Coast Guard mission demands continue to grow and evolve. The complexities and challenges facing the Nation require well-trained 

Coast Guard men and women with capable platforms providing the persistent presence necessary to conduct operations. Given the 

age and condition of the Coast Guard’s legacy assets, future mission success relies on continued recapitalization of Coast Guard boats, 

cutters, aircraft, systems and infrastructure. 

The FY 2017 Budget accelerates acquisition of a new polar icebreaker to meet growing demands in the Polar Regions. It provides 

funds for the acquisition of four Fast Response Cutters, continues to invest in an affordable Offshore Patrol Cutter and funds vessel 

sustainment projects for two 140’ WTGB Icebreaking Tugs and a 225’ Seagoing Buoy Tender. The budget also continues sustainment 

and conversion work on in-service fixed and rotary wing aircraft, missionization of the C-27J aircraft received from the Air Force, and 

investment in Command, Control, Communications, Computers, Intelligence, Surveillance, and Reconnaissance (C4ISR) systems.

Sustain Mission Excellence

The FY 2017 budget ensures the Coast Guard can conduct today’s highest priority operations in support of national objectives. Most 

importantly, it sustains the Coast Guard’s workforce and supports proficiency, maximizing operational safety and effectiveness. In 

2017, the Coast Guard will decommission four Coastal Patrol Boats (WPBs) that are being replaced by more capable Fast Response 

Cutters. The Coast Guard will also decommission one High-Endurance Cutter (WHEC) while accepting the delivery of a new National 

Security Cutter. In all, the FY 2017 budget increases the workforce by 328 FTE to support the Coast Guard’s eleven missions.

Maximize Value to Nation

In best serving the Nation, the Coast Guard must continue to meet evolving mission requirements stemming from national priorities and 

remain a trusted steward of public resources. The 2017 Budget sustains frontline operations by efficiently allocating resources across 

all mission programs. Coast Guard Operational Commanders will maintain search and rescue coverage, protect critical infrastructure, 

counter illicit threats from entering the United States, facilitate safe navigation within the vital Maritime Transportation System (MTS), 

safeguard the maritime environment and support foreign policy objectives and defense operations.

THE FY17 BUDGET IN BRIEF
Acquisition, Construction, and Improvements (AC&I)

Surface Assets $704,100 (0 FTE)

The budget provides $704.1 million for the following surface asset recapitalization and sustainment initiatives:

➢ National Security Cutter (NSC) – Provides funding 

for Post Delivery Activities for the fourth through eighth 

NSCs, test and evaluation activities, and unmanned 

systems. The acquisition of the NSC is vital to performing 

DHS missions in the far off-shore regions, including the 

harsh operating environment of the Pacific Ocean, Bering 

Sea, and Arctic. The NSC also provides a robust command 

and control platform for homeland security contingency 

operations;

➢ Fast Response Cutter (FRC) – Funds procurement of four 

FRCs. These assets replace the less capable 110-foot patrol 

boats, enhancing the Coast Guard’s coastal capability to 

conduct Search and Rescue operations, enforce border 

security, interdict drugs, uphold immigration laws, prevent 

terrorism, and enhance resiliency to disasters; 

➢ Offshore Patrol Cutter (OPC) – Supports technical 

review and analysis of preliminary and contract design 

phase deliverables for the OPC project. Funding also 

provides for procurement of Long Lead Time Materials for 

the lead ship. The OPC will replace the Medium Endurance 

Cutter classes that conduct missions on the high seas and 

coastal approaches; 

➢ Polar Icebreaker – Accelerates the acquisition of a new 

polar icebreaker to begin production activities in 2020. 

The new icebreaker will provide continued U.S. Polar 

icebreaking capability for years to come; 

➢ Cutter Boats – Continues funding for production of multimission cutter small boats that will be fielded on the Coast 

Guard’s major cutter fleet beginning with the NSC;

➢ In-Service Vessel Sustainment – Continues funding for 

sustainment projects on 140-foot ice breaking tugs, 225-

foot seagoing buoy tenders, the training Barque EAGLE, 

and 47-foot motor lifeboats; 

➢ Survey and Design – Continues funding for multi-year 

engineering and design work for multiple cutter classes 

in support of future sustainment and acquisition projects. 

Funds are included to conduct engineering survey and 

design work to either reactivate or extend the life of an 

existing heavy polar-class icebreaker.
Air Assets $201,300 (0 FTE)

The budget provides $201.3 million for the following air asset recapitalization and enhancement initiatives:

➢ HC-144A – Funds mission system processor upgrade on the 

HC-144A Ocean Sentry aircraft;

➢ HC-27J – Funds continued activities of the C-27J Asset 

Project Office (APO). The APO organizes logistics, training, 

maintenance support, and ensures these newly acquired 

aircraft are ready for induction into the operational fleet. 

Funds aircraft regeneration, spares, initial training, mission 

system development, ground support equipment; also begins 

missionization of aircraft; 

➢ HH-65 – Continues modernization and sustainment of the 

Coast Guard’s fleet of HH-65 helicopters, converting them 

to MH-65 Short Range Recovery (SRR) helicopters. The 

modernization effort includes reliability and sustainability 

improvements, where obsolete components are replaced 

with modernized sub-systems, including an integrated 

cockpit and sensor suite;

➢ HC-130J – Funds upgrade of the mission system processor 

and initial spare parts and equipment required to maintain 

the operational availability of the HC-130J Long Range 

Surveillance aircraft.

Other (Asset Recapitalization) $59,355 (0 FTE)

The budget provides $59.355 million for other initiatives funded under the Acquisition, Construction and Improvements account, including 

the following equipment and services: 

➢ Program Oversight and Management – Funds activities 

associated with the transition of the Coast Guard’s assets 

from acquisition to operations, including delivery, provision 

of logistics, training and other services necessary to ensure 

seamless integration into the operational fleet;

➢ CG-Logistics Information Management System – 

Continues development and deployment of this system to 

Coast Guard operational assets.

➢ Command, Control, Communications, Computers, 

Intelligence, Surveillance and Reconnaissance 

(C4ISR) – Provides design, development, upgrades and 

assistance on C4ISR hardware and software of new and inservice assets; 

Shore Units & Aids to Navigation (ATON) $51,100 (0 FTE)

The budget provides $51.100 million to recapitalize shore infrastructure that supports Coast Guard assets and personnel, as well as 

construction and improvements to ensure public safety on waterways:

➢ Specific Projects – Funds a service life extension of Air 

Station Elizabeth City airfield apron and taxiways and minor 

shore infrastructure projects;

➢ ATON Infrastructure – Maintains transportation 

safety on Federal waterways through construction and 

improvements to short-range aids and infrastructure. 

Funds initial phase of an aid to navigation relocation in the 

Delaware River; 

➢ Major Acquisition System Infrastructure – Funds 

modification and construction of facilities to support newly 

delivered assets. Includes upgrades and construction for 

a Fast Response Cutter homeport and upgrades to existing 

aviation facilities.

Acquisition Personnel

& Management 

$120,933 (897 FTE)

The budget provides $120.933 million for pay and benefits of 

the Coast Guard’s acquisition workforce.
Operating Expenses (OE)

Operating & Maintenance Funds for New Assets 

+$121,100 (+300 FTE)

Increases funding for operations and maintenance of shore facilities and provides sustainment funding for new cutters, boats, aircraft, and 

associated C4ISR subsystems delivered through acquisition efforts:

➢ Shore Facilities – Funds operation and maintenance of shore 

facility projects scheduled for completion prior to FY 2017;

➢ Rescue 21 (R21) – Provides funding to support Rescue 21, 

the Coast Guard’s primary system that facilitates command, 

control, and communications in the inland and coastal zones, 

which will be fully delivered to the Western Rivers and Alaska 

in FY 2017;

➢ FRC – Funds operation and maintenance of FRCs #22-25, 

provides funding for personnel for hulls #23-26, and funds 

shore-side support personnel for hulls #24-28;

➢ NSC – Funds operations, maintenance, and personnel for NSC 

#6 and 7, and funds a permanent increase in crew size for all 

NSCs deployed or under contract (#1-7);

➢ C-27J Aircraft – Funds operations, maintenance, and 

personnel for C-27J airframes #5 and 6, as well as support 

personnel at the Aviation Logistics Center, Aviation Technical 

Training Center, and Aviation Training Center; 

➢ HC-130J Aircraft – Funds operations, maintenance, and 

personnel funding for HC-130J airframes #8 and 9, as well 

as upgrades necessary to ensure two airframes comply with 

FAA requirements and remain usable in all flight regimes 

and airspace;

➢ MH-60T Helicopter – Funds operations, maintenance, and 

personnel funding for MH-60T helicopter #45. 

Pay & Allowances

+$99,900 (0 FTE)

Maintains parity with DoD for military pay, allowances, and health 

care, and for civilian pay raise and retirement contributions, 

including providing a 1.6% military and civilian pay raise in FY 

2017. As a branch of the Armed Forces of the United States, the 

Coast Guard is subject to the provisions of the National Defense 

Authorization Act, which include pay and personnel benefits for the 

military workforce. 

Asset Decommissionings

As the Coast Guard recapitalizes its cutter and aircraft fleets and 

brings new assets into service, the older assets that are being 

replaced will be decommissioned.

➢ Patrol Boat (WPB) -$4.6 M (-55 FTE)

Decommissions four 110-ft WPB patrol boats. These assets are 

being replaced with Fast Response Cutters (FRCs). 

➢ High Endurance Cutter (WHEC) -$7.3M (-92 FTE)

Decommissions one 378-foot High Endurance Cutter (WHEC). 

These assets are being replaced with National Security 

Cutters (NSCs).

Operational Adjustments

In FY 2017, the Coast Guard will make sound, risk-based adjustments while investing in critical recapitalization and new

workforce initiatives: 

➢ National Capital Region Footprint Consolidation

-$3.9M (0 FTE)

Savings generated by reduction of the Coast Guard’s physical 

footprint in the National Capital region through consolidation of 

personnel and offices into the Douglas A. Munro Coast Guard 

Headquarters building at St. Elizabeths; completes the transfer 

of all staff from Ballston; 

➢ National Security Cutter Energy Efficiency

-$13.5M (0 FTE)

Reflects savings from a re-calculation of National Security Cutter 

(NSC) energy costs based on observed energy expenditures 

during NSC operations, without impacting the ability to carry 

out those operations; 

➢ Workforce Support Improvement

+$8.6M (27 FTE)

Provides necessary funding and personnel to enhance military 

justice capabilities, including the handling of sexual assault 

allegations, and to conduct Personnel Security (PERSEC) and 

suitability background investigations required to maintain the 

Coast Guard workforce. 
Appropriation ($000) FY 2015

Revised Enacted1

FY 2016

Enacted

FY 2017

President’s Budget

Operating Expenses (OE) 6,844,406 6,901,488 6,986,815

Acquisition, Construction and Improvements (AC&I) 1,230,008 1,945,169 1,136,788

Environmental Compliance and Restoration (EC&R) 13,197 13,221 13,315

Reserve Training (RT) 114,572 110,614 112,302

Research, Development, Test and Evaluation (RDT&E) 17,892 18,019 18,319

Alteration of Bridges --- --- ---

Health Care Fund Contribution (HFC) 176,970 168,847 160,899

Sub-total (Discretionary Funding) $8,397,045 $9,157,358 $8,428,438 

Retired Pay 1,450,626 1,604,000 1,666,940

Boat Safety 112,830 114,326 116,088

Maritime Oil Spill Program 182,266 107,329 107,868

Gift Fund 1,703 1,621 2,214

Sub-total (Mandatory Funding) $1,747,425 $1,827,276 $1,893,110 

OSLTF Contribution [45,000] [45,000] [45,000]

Overseas Contingency Operations 213,000 160,002 ---

Rescission of Unobligated Balances (66,723) (32,385) ---

Sub-total (Transfers and Supplementals) $146,277 $127,617 $0 

TOTAL BUDGET AUTHORITY $10,290,747 $11,112,251 $10,321,548 

1 Reflects reprogrammings/transfers, as applicable.

Table 1: Appropriation Summary

Table 2: FY 2017 Net Discretionary Budget Authority – Breakout by Statutory Mission

Coast Guard Mission ($000) FY 2015

Revised Enacted

FY 2016

Enacted

FY 2017

Request

FY 2016 +/-

FY 2017

 Aids to Navigation 1,239,832 1,372,094 1,313,144 (58,950)

 Defense Readiness 618,356 486,750 552,382 65,632 

 Drug Interdiction 1,286,495 1,638,132 1,290,051 (348,081)

 Ice Operations 186,209 203,804 348,806 145,002 

 Living Marine Resources 914,577 1,040,066 847,662 (192,404)

 Marine Environmental Protection 231,903 205,827 198,679 (7,148)

 Marine Safety 551,755 586,919 556,044 (30,875)

 Migrant Interdiction 608,665 788,023 738,330 (49,693)

 Other-Law Enforcement (Foreign Fish) 158,805 171,793 112,285 (59,508)

 Ports, Waterways and Coastal Security 1,791,272 1,745,922 1,631,504 (114,418)

 Search and Rescue 809,176 918,028 839,551 (78,477)

Net Discretionary Excluding Supplementals and Transfers $8,397,045 $9,157,358 $8,428,438 ($728,920)

Mandatory Funding $1,747,425 $1,827,276 $1,893,110 $65,834 

OSLTF Contribution [45,000] [45,000] [45,000] [45,000] 

Overseas Contingency Operations 213,000 160,002 --- --- 

Rescission of Unobligated Balances (66,723) (32,385) --- --- 

Sub-total (Transfers and Supplementals) $146,277 $127,617 $0 ($127,617)

TOTAL BUDGET AUTHORITY1 $10,290,747 $11,112,251 $10,321,548 ($790,703)

1 The Coast Guard budgets by appropriation rather than by individual missions. The Coast Guard projects resource allocations by mission through the use of an activity-based costing 

system. Actual allocations will vary depending on operational environment and mission need.
Appropriations ($000) FY 2017

Request

Vessels $704,100 

Survey and Design - Vessel and Boats 6,500 

In-Service Vessel Sustainment 79,000 

National Security Cutter (NSC) 127,000 

Offshore Patrol Cutter (OPC) 100,000 

Fast Response Cutter (FRC) 240,000 

Cutter Boats 4,000 

Polar Icebreaker 147,600 

Aircraft $201,300 

Maritime Patrol Aircraft (MPA) 25,500 

HC-27J Conversion/Sustainment 130,000 

HH-65 Conversion/Sustainment 25,000 

Long Range Surveillance Aircraft (C-130H/J) 20,800 

Other $59,355 

Program Oversight and Management 20,000 

C4ISR 24,300 

CG-LIMS 7,000 

Other Equipment and Systems 8,055 

Shore and ATON $51,100 

Major Shore, ATON and S&D 18,100 

Major Acquisition Systems Infrastructure 28,000 

Minor Shore 5,000 

Personnel and Management $120,933 

Direct Personnel Costs 120,933 

TOTAL $1,136,788 

Table 3: FY 2017 Acquisition, Construction, and Improvements (AC&I)
Table 4: Operating Expenses FY 2016 Request to FY 2017 Request

FY2016 to FY2017 Budget Change

(dollars in thousands) Pos. FTE Amount

FY 2015 Revised Enacted 1 47,914 45,704 $6,844,406 

FY 2016 Enacted 48,104 47,927 6,901,488 

Adjustments-to-Base

Transfers to and from Other Accounts

WCF Transfer - - (983)

Transfer to Acquisition, Construction and Improvement (AC&I) - - (3,555)

Transfer - - 147 

Total Transfers - - (4,391)

Increases

Annualization of Part Year Funding - 322 58,754 

Mandatory Personnel Entitlements 

Annualization of 2016 Military and Civilian Pay Raise - - 15,784 

2017 Military Pay Raise - - 26,859 

2017 Civilian Pay Raise - - 9,552 

2017 Military Allowances - - 49,464 

2017 Civilian Allowances - - 1,204 

Operational Adjustments

Federal Protective Service Fee - - 179 

GSA and Other Governmental Rent - - 1,720 

Military Justice Reorganization 28 15 2,847 

Personnel Security & Suitability Investigations 23 12 3,501 

Performance Management & Learning Systems - - 395 

Operating and Maintenance Funds for New Assets

Shore Facility Follow-On - - 3,540 

Rescue 21 (R21) Follow-On 8 5 5,371 

Logistics Information Management System (LIMS) Follow-On - - 2,744 

Fast Response Cutter (FRC) Follow-On 175 86 21,488 

National Security Cutter (NSC) Follow-On 306 131 38,672 

C-27J Aircraft Support Follow-On 73 37 28,052 

HC-130J Aircraft Follow-On 66 34 17,302 

MH-60T Helicopter Follow-On 27 7 3,900 

Base Re-Allocations (non-add) 

Military and Civilian FTP and FTE Transfer [32] [32] [3,318]

PPA Funding Adjustment - - [5,493]

Total Increases 706 649 291,328 

Decreases

Termination of One-Time Costs - - (94,873)

Part Year Management Annualizations - (89) (16,589)

Mandatory Personnel Entitlements

2016 Civilian Compensable Work Day - - (2,954)

Operational Adjustments

High Value Unit Escort Reduction (28) (14) (924)

Human Resources Efficiencies (48) (29) (2,192)

Chief Financial Officer (CFO) Personnel Reduction (15) (9) (984)

National Capital Region (NCR) Footprint Consolidation - - (3,900)

Air Station Los Angeles Lease Termination Savings - - (1,081)

Maintenance Efficiencies (29) (15) (2,489)

National Security Cutter Fuel Efficiency - - (13,481)

Management and IT Efficiencies 53 27 (8,772)

Professional Services Contract Reduction - - (35,000)

Asset Decommissionings and Retirements

Four 110-foot Patrol Boats (72) (55) (4,559)

One High Endurance Cutter (WHEC) (184) (92) (7,275)

Manned Covert Surveillance Aircraft (11) (6) (2,722)

One Seagoing Buoy Tender (WLB) Crew (47) (47) (3,815)

Total Decreases (381) (329) (201,610)

Total Adjustments-to-Base 325 320 85,327 

FY 2017 Current Services 48,429 48,247 6,986,815 

FY 2017 Request 48,429 48,247 6,986,815 

FY 2016 to FY 2017 Total Change 325 320 85,327 

1 Excludes funding provided to the Coast Guard for Overseas Contingency Operations (OCO).
On an average day, the Coast Guard: 

Conducts 45 search and rescue cases; saves 10 lives; saves over $1.2M in property;

seizes 874 pounds of cocaine and 214 pounds of marijuana;

conducts 57 waterborne patrols of critical maritime infrastructure; interdicts 17 illegal migrants;

escorts 5 high-capacity passenger vessels; conducts 24 security boardings in and around U.S. ports;

screens 360 merchant vessels for potential security threats prior to arrival in U.S. ports;

conducts 14 fisheries conservation boardings; services 82 buoys and fixed aids to navigation;

investigates 35 pollution incidents; completes 26 safety examinations on foreign vessels;

conducts 105 marine inspections; investigates 14 marine casualties involving commercial vessels;

facilitates movement of $8.7B worth of goods and commodities through 

the Nation’s Maritime Transportation System.

Semper Paratus – Always Ready
An aviation survival technician, 

walks across the flight deck of 

the Coast Guard Cutter ALEX 

HALEY during practice hoist 

operations while at sea. Cutter 

and helicopter crews train 

together frequently to maintain 

proficiency in challenging tasks 

such as ship-based hoists.
The Coast Guard effectively and efficiently performs activities that support the Department of Homeland Security 

in its mission priorities: Prevent Terrorism and Enhance Security, Secure and Manage Our Borders, Enforce and 

Administer Our Immigration Laws, Safeguard and Secure Cyberspace and Strengthen National Preparedness 

and Resilience.

Coast Guard activities cross six mission programs:

1. Maritime Law Enforcement; 

2. Maritime Response;

3. Maritime Prevention;

4. Maritime Transportation System Management;

5. Maritime Security Operations;

6. Defense Operations.

Every day Coast Guard men and women work with DHS, DOD, and other Federal, State, local, and international 

partners to provide the service the Nation has come to expect over our 225 year history. In 2015, operations across 

the six Coast Guard mission programs supported National goals and achieved tremendous results. 

2015 PERFORMANCE HIGHLIGHTS
Coast Guard Cutter 

WAESCHE crewmember 

offloads illegal narcotics 

after a vessel interdiction in 

the eastern Pacific Ocean.
MARITIME LAW ENFORCEMENT

The Maritime Law Enforcement program preserves America’s jurisdictional 

rights within our maritime borders and suppresses violations of U.S. Federal 

law on, under, and over the seas. The Coast Guard is the lead Federal maritime 

law enforcement agency for securing and managing our Nation’s maritime 

borders, and enforcing national and international law on the high seas, outer 

continental shelf, and inward from the U.S. Exclusive Economic Zone (EEZ) to 

inland navigable waters, including the Great Lakes. 

New, state-of-the-art ships and enhanced intelligence capabilities complement 

the work of Coast Guard crews to stem the maritime drug flow. In 2015, the Service 

surpassed its 2014 mark of 140 metric tons of illegal drugs from the maritime 

domain, interdicting 179 metric tons and detaining 503 suspected smugglers for 

prosecution in the United States. In a period of less than 30 days, the crew of the 

Coast Guard Cutter (CGC) BERTHOLF conducted 12 drug interdictions, resulting 

in the removal of over 33,000 pounds of cocaine and detention of 32 suspected 

smugglers. These operations included a record-breaking recovery of 15,000 

pounds of cocaine from a single self-propelled semi-submersible smuggling 

vessel. 

To protect America’s natural resources, endangered marine species, and 

marine sanctuaries, the Coast Guard conducted over 5,000 fisheries boardings 

on U.S. vessels. Close collaboration with partner agencies was a key part of this 

effort. For example, Coast Guard supported enforcement of Illegal, Unregulated, 

and Underreported (IUU) fishing. IUU fishing is global in reach, harmful to 

ecosystems and a threat to global food security. The Coast Guard’s efforts are 

critical to stemming this illegal activity. The Coast Guard detected 224 incursions 

of foreign flagged fishing vessels into America’s exclusive economic zone (EEZ) 

as part of these efforts in 2015. 

The Coast Guard secures the Southern Border and Approaches by conducting 

patrols and coordinating with other Federal agencies and foreign countries to 

interdict undocumented migrants at sea, denying them entry via maritime routes 

to the United States, its territories and possessions. Thousands of people try to 

enter this country illegally every year using maritime routes, many via smuggling 

operations. Interdicting migrants at sea reduces the safety risks involved in such 

transits. Migrants can be quickly returned to their countries of origin, avoiding 

the more costly processes required if they successfully enter the United 

States. During 2015, the Coast Guard interdicted 6,000 undocumented migrants 

attempting to illegally enter the United States by maritime routes. 

$4.9

 billion

Wholesale value of illegal narcotics

removed by the Coast Guard in 2015. 

OUR BUDGET AT WORK 

As the lead federal agency for drug interdiction on the 

high seas, Coast Guard operations support national and 

international strategies to deter and disrupt illegal drug 

traffickers. These efforts are crucial to federal efforts 

to dismantle Transnational Organized Crime (TOC)/

Drug Trafficking Organizations (DTOs) and prevent 

transnational threats from reaching U.S. shores. 
Crewmembers aboard a 45-foot Response BoatMedium, from Coast Guard Station Charleston, S.C., 

approach an overturned boat approximately 12 miles 

off the Charleston coast. The boat was found during a 

search for four overdue boaters who were later rescued 

by Station Charleston crews.
MARITIME RESPONSE

The Maritime Response program mitigates the consequences of marine 

casualties and disastrous events. The Coast Guard minimizes loss of life 

and property by searching for and rescuing persons in distress in the 

maritime environment. Coast Guard preparedness efforts ensure incident 

response and recovery resources are fully ready and capable to minimize 

impacts of disasters to people, the environment and the economy. 

As the federal expert in search and rescue and marine pollution response, 

the Coast Guard is an effective leader in the maritime domain. Coast 

Guard’s presence in the Arctic and our work with the Coast Guard Arctic 

Forum are improving the Nation’s capability to respond to a maritime 

incident in the region.

The Coast Guard’s robust multi-mission capabilities and ready-force 

posture enable protection of life, property, and the environment in 

response to disasters. This multi-mission capability ensured the Service 

was ready to respond to over 16,400 Search and Rescue (SAR) cases in 

2015, resulting in over 3,500 lives saved. In July 2015, a Coast Guard rescue 

swimmer deployed to assist a fishing vessel that had run aground near 

Cape Blanco, Oregon. Overcoming 5 ft seas, 30 mph winds, 57 degree 

water, and a pitch-black night, the Coast Guard member swam nearly a 

mile to individually tow four fishermen from their life raft to shore, saving 

all four lives.

As the principal Federal Maritime Security Coordinator and Federal OnScene Coordinator in the coastal zone, the Coast Guard coordinates 

the response to oil and other hazardous materials spills in navigable 

waterways up to and including Spills of National Significance. In May 

2015, Coast Guard Sector Los Angeles/Long Beach was notified of an 

oil discharge from a pipeline. Approximately 140,000 gallons of oil were 

discharged into the Pacific Ocean around Refugio State Beach in Santa 

Barbara County, California. The Coast Guard directed cleanup efforts, 

which involved 10 federal, state, and local government agencies, Native 

American tribes, and 55 environmental non-governmental agencies. At 

the peak of the response, more than 1400 workers were in the field, plus 

several hundred assigned to various command posts and supports roles.

3,536

Lives saved 

during Coast Guard 

operations in 2015

OUR BUDGET AT WORK 

The Coast Guard provides emergency response to save lives 

in peril, minimize loss of life, injury, and property damage. 

Responsible for the execution of the National Search and Rescue 

Plan, the Coast Guard plans searches, organizes and dispatches 

assets to search, locate and rescue mariners in distress, and 

provides initial medical advice, assistance, and evacuation. The 

Coast Guard relies on extensive partnerships to conduct SAR and 

coordinates SAR operations with international, federal, state, 

local and tribal authorities.
Member of the Coast Guard Sector Honolulu 

Prevention Department, prepare to board 

a foreign vessel to perform a Tank Vessel 

Exam Certificate of Compliance inspection 

off the coast of the Island of Oahu.
MARITIME PREVENTION

The Maritime Prevention program mitigates the risk of human casualties 

and property losses, minimizes security risks, and protects the marine 

environment. The Coast Guard does so by providing the maritime 

governance that ensures the safe, secure, and environmentally sound 

maritime approaches to the Nation.

Maritime governance is established by Coast Guard regulations 

and operating standards for domestic vessels and marine facilities. 

Enforcement of those regulations occurs primarily through comprehensive 

inspections. In 2015, the Service conducted over 20,700 container 

inspections and monitored 1,024 cargo transfers to ensure security of 

the maritime domain. The Coast Guard also inspected more than 4,200 

marine facilities for compliance with safety and environmental protection 

regulations. In addition, the Coast Guard conducted over 4,000 safety and 

security examinations on vessels operating on the Outer Continental Shelf. 

The Service also investigated over 5,200 reportable marine casualties 

involving commercial vessels.

The Coast Guard also regulates recreational boating. In 2015, the Coast 

Guard conducted over 50,000 recreational vessel boardings and issued 

over 9,800 citations, and conducted 2,800 recreational boat inspections in 

conjunction with state efforts to provide education and ensure compliance 

with federal regulations.

As an active member of the International Maritime Organization (IMO), the 

Coast Guard shares a global responsibility to facilitate safe and secure 

maritime commerce. Through the Port State Control program, the Coast 

Guard conducted nearly 9,400 safety examinations on foreign commercial 

vessels, resulting in 185 IMO detentions. 

The Coast Guard also minimizes security risks to the homeland through 

its preventative actions. In 2015, 131,276 merchant vessels were screened 

to identify potential risks prior to arrival in a U.S. port. Coast Guard 

personnel also visited 43 maritime trading partner countries to assess the 

effectiveness of anti-terrorism measures in over 140 foreign port facilities. 

131,276 Merchant vessels 

screened for potential 

security threats in 2015.

OUR BUDGET AT WORK 

A component of the Department of Homeland Security 

and member of the Intelligence Community, the Coast 

Guard minimizes security risks to the Nation by screening 

merchant vessels prior to arrival in a U.S. port. 
Crew members from Coast 

Guard Aids to Navigation Team 

Jacksonville install a new 

dayboard to a piling on the St. 

Johns River.
MARITIME TRANSPORTATION

SYSTEM MANAGEMENT

The Maritime Transportation System Management program ensures a 

safe, secure, efficient and environmentally sound waterways system. The 

Coast Guard minimizes disruptions to maritime commerce by assessing 

and mitigating risks to safe navigation by providing waterways restoration 

capabilities after extreme weather events, marine accidents or intentional 

incidents. The Coast Guard works in concert with other Federal agencies, 

state and local governments, marine industries, maritime associations, 

and the international community to optimize balanced use of the Nation’s 

Maritime Transportation System. 

Our Nation’s waterways support $3.2 trillion in economic activity for 

the United States. The Coast Guard’s maintenance of more than 47,000 

navigation aids played a critical role in facilitating the safe transport of 

goods and services within the Maritime Transportation System. 

The Coast Guard is leveraging technology to improve safety and resilience 

of the Maritime Transportation System. In conjunction with port partners 

and industry stakeholders, electronic aids to navigation are being tested 

in locations in which they can best augment, and possibly replace, the 

existing physical system of buoys and beacons. The Coast Guard envisions 

an integrated system where a combination of electronic and physical 

Aids to Navigation improves the overall safety, efficiency and resiliency 

of our waterways. In 2015, the Coast Guard established 148 Automatic 

Identification System aids to navigation, providing immediate updates to 

mariners and facilitating safe, continuous traffic along U.S. waterways. 

The Coast Guard also worked with maritime industry and other stakeholders 

to recognize and address growing cyber security risks to the Maritime 

Transportation System. 

During the Great Lakes ice season, Coast Guard domestic icebreakers, in 

concert with the Canadian Coast Guard, facilitated the safe movement of 

25 million tons of bulk cargo and over 20 million barrels of gasoline, diesel, 

and heating oil to industries and people within the Great Lakes region.

$3.2

 trillion

Economic activity linked to U.S. 

waterways every year.

OUR BUDGET AT WORK 

The Coast Guard is responsible for maintaining a Maritime 

Transportation System that facilitates secure, safe and 

efficient commerce. Efforts require close coordination 

with all levels of government and the maritime industry to 

effectively manage inland and coastal navigational aids and 

keep critical maritime routes open during winter months. 
MARITIME SECURITY OPERATIONS

Maritime Security Operations encompass activities conducted to detect, 

deter, prevent, and disrupt terrorist attacks, and other criminal acts in the 

U.S. maritime domain. It includes the execution of antiterrorism, response, 

and select recovery operations. This program conducts the operational 

element of the Coast Guard’s Ports, Waterways, and Coastal Security 

mission and complements our Maritime Prevention efforts. 

The Ports, Waterways, and Coastal Security mission is a critical 

component of a layered approach to homeland security. It is conducted 

in coordination with other Department of Homeland Security agencies 

and the Department of Defense. The approach places a premium on 

intercepting threats before they reach U.S. shores by conducting layered, 

multi-agency, maritime security operations and by strengthening the portsecurity posture of strategic economic and military ports. In this construct, 

the Coast Guard conducts both offshore and inshore security operations. 

Preventing and disrupting terrorist attacks requires integrated, 

comprehensive operations that maximize effectiveness without 

duplicating efforts. The Coast Guard is a critical component in the 

effort to safeguard the Maritime Transportation System. The Service 

uses its unique authorities, competencies, operational capabilities and 

partnerships to board suspect vessels, escort ships that pose a significant 

risk to our ports and waterways, enforce fixed security zones around 

maritime critical infrastructure and key resources and patrol the maritime 

approaches, coasts, ports, and rivers of America. In addition, the Coast 

Guard plays a key role in the surge response to known security threats 

and high-profile events. 

To help protect the American people from maritime security threats, the 

Coast Guard conducted 20,775 waterborne patrols of critical maritime 

infrastructure, escorted over 1,955 high-capacity passenger vessels 

and conducted nearly 8,600 security boardings in and around U.S. ports 

during 2015. 

442

High interest vessels boarded 

for potential security risks to the 

United States in 2015.

OUR BUDGET AT WORK 

Coast Guard efforts to enhance port security involve 

detecting, deterring, preventing, disrupting, and aiding 

in recovery from terrorist attacks and other criminal acts 

in the maritime domain. 
DEFENSE OPERATIONS 

The Defense Operations program exercises the Coast Guard’s unique 

authorities and capabilities to support the National Military Strategy. The 

program portfolio comprises eight activities including: Maritime Interdiction 

Operations; Combating Maritime Terrorism; Port Operations Security 

and Defense; Military Environmental Response Operations; Coastal Sea 

Control Operations; Maritime Operational Threat Response (MOTR); 

Rotary Wing Air Intercept Operations; and Support for Theater Security 

Cooperation Initiatives. 

The Coast Guard is involved in fighting terrorism not only in U.S. waters 

but around the world through its support of Department of Defense (DoD) 

partners. As both a federal law enforcement agency and an Armed Service, 

the Coast Guard is uniquely positioned to conduct defense operations 

in support of Combatant Commanders by performing rotary-wing air 

intercept operations and providing assets to work with U.S. naval forces. 

An example of the synergy between the Services is the Cooperative 

Strategy for 21st Century Seapower; this strategy reaffirms the importance 

of the maritime domain and the Coast Guard, Navy, and Marine Corps’ 

role in supporting national, defense, and homeland security priorities 

across the globe. Coast Guard multi-mission forces are able to integrate 

with DOD in a wide range of maritime operations. Overseas deployments 

demonstrate to the DOD, Joint Forces, and Combatant Commanders that 

the Coast Guard possesses relevant competencies that can contribute to 

the successful accomplishment of naval warfare missions and Theater 

Security Cooperation (TSC) initiatives. For example, Coast Guard Port 

Security Units (PSUs) have been deployed almost continuously to strategic 

ports in Kuwait since 2002 for port security; Island class patrol boats have 

conducted security for Iraqi oil platforms continuously since 2002 and in 

more recent years have been conducting TSC missions throughout the U.S. 

Central Command’s area of responsibility. 

The Coast Guard is also uniquely positioned to assist other nations in 

developing maritime forces and is involved in a diverse range of productive 

Security Sector Assistance (SSA) partnerships around the world. The Coast 

Guard is a full-service maritime development partner with the technical 

and professional capabilities to address a range of small-service maritime 

development issues. As a Service with a global reputation for humanitarian 

response, the Coast Guard often enjoys a level of entry not afforded other 

U.S. or foreign military organizations.

72

DoD directed Rotary Wing 

Air Intercept operational 

missions conducted by the 

Coast Guard in 2015.

OUR BUDGET AT WORK 

The Department of Homeland Security’s efforts to combat 

terrorism and enhance security include detecting, deterring, 

preventing, disrupting, and aiding in recovery from terrorist 

attacks and other criminal acts in the maritime domain. The 

Coast Guard also has a leading role in the National Capital 

Region Air Defense mission to provide 24/7 continuous 

airspace protection over the National Capital Region. 
U.S. COAST GUARD HEADQUARTERS

WASHINGTON, D.C.

www.uscg.mil/budget