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AIPROPX ReportFortune · 59m ago
Pete Hegseth is worried about the Pentagon’s ‘Soviet-style bureaucracy,’ but the military’s $285 billion maintenance mess is…
Shortly after he became Trump’s Secretary of War, Pete Hegseth warned that the American military risked a late Soviet-style decline. Speaking before a group of defense executives in November 2025, he teased comparisons with the USSR and even the Chinese Communist Party as he described an “adversary” that poses a serious threat to the United States of America. “The adversary I’m talking about is much closer to home,” he said. “It’s the Pentagon bureaucracy — not the people, but the process.”
This March, the world’s largest aircraft carrier, the USS Gerald R. Ford, pulled into port at Souda Bay, Greece, scheduled for more than a week of repairs. More than 200 of its sailors were receiving treatment for smoke inhalation, a result of a laundry room fire that spread through the ventilation system into the carrier’s sleeping quarters.
The USS Gerald R. Ford was at sea for 10 months, long past its deployment length, and was reportedly dealing with electrical problems and delayed maintenance that led to overworked equipment. That was on top of sewage problems on the ship that left its crew unable to use its toilets.
According to Linda Bilmes, a Harvard Kennedy School public policy lecturer and author of The Ghost Budget: U.S. War Spending and Fiscal Transparency , the USS Gerald R. Ford represents a larger problem for the U.S. military: a massive tract of infrastructure and facilities without the proper structures to maintain them.
“Here you have $13 billion spent on the highest tech carrier in the entire navy, and somehow there wasn’t a sufficient amount of money spent on maintaining the laundry conditions and the toilets,” Bilmes told Fortune . “That’s just one example, but you have to question whether the resources are being allocated in a way that provides maximum benefits.”
A report published last week from the U.S. Government Accountability Office, the federal government’s audit institution, found that across the Department of Defense’s real estate portfolio of more than 700,000 facilities around the world—some of which are at least 50 years old or date back to the Cold War—the department is dealing with a $285 billion maintenance backlog in fiscal 2025 as a result of insufficient funding and personnel.
The findings included “chronically neglected” maintenance of some barracks that adversely affected the quality of life of enlisted service members, posing safety risks due to mold and broken fire systems. The report also noted crumbling parking lots at the Minot Air Force Base in North Dakota, which have been in disrepair since at least 2018, as well as narrow quarters at the Twentynine Palms Marine Corps Air Ground Combat Center in California, which could not accommodate the maintenance of Marine Corps vehicles.
“This poses a risk to its missions and the quality of life of its personnel,” the report said.
The Pentagon did not respond to Fortune ’s request for comment.
The U.S. diverging from the Soviet military downfall
This isn’t a matter of just one administration mismanaging money. The Pentagon is the only major federal agency that has never passed an audit. While the department attributes the opacity around its procurement and distribution of its massive, $1 trillion budget to the sheer size of the agency and its responsibilities, the GAO has found evidence instead of pervasive money mismanagement. For example, the Navy lost track of $3 billion in equipment over the last three years, and at one Naval distribution center, there was a backlog of 122,000 items that had not been processed, and as a result, the Navy bought equipment and supplies it didn’t need.
Hegseth’s implied Soviet comparison recalls the rigid structures that prioritized quantity over quality, leading the former superpower to spend up to 15% to 30% of its GDP on military industry, starving its economy and leading to its downfall. He called for defense acquisition reform, as well as systems streamlining contracting.
But the U.S.’s defense spending has key differences from the USSR, chiefly that it spends just about 3% of its GDP on defense. While the Soviet Union saw its military collapse because it became a poor country that ran out of resources, the U.S. military’s exorbitant maintenance is instead a result of a wealthy country continuing to misallocate funds as its budget swells.
Policy experts like Bilmes suggest this trend is not just a perennial problem, but one unlikely to reverse anytime soon.
“The question really is whether the whole system is serving the best interest of taxpayers, and I don’t think it is,” Bilmes said. “And that’s a larger problem and an older problem than just the last two years of the Trump administration.”
How the U.S. military’s maintenance fell by the wayside
The GAO attributes the backlog of maintenance projects in large part to it being underprioritized and therefore underfunded. The Department of Defense did not request the full funding necessary for its maintenance needs, with the Army, Navy, and Air Force requesting just about 80% of recommended sustainment funding, according to the report. None of the eight installation maintenance offices GAO spoke with said they received funding that met the agency’s 90% goal since at least fiscal 2021.
Part of this funding gap comes from the allure of building new facilities versus servicing old ones. Last year, GAO reported that the Pentagon invested $14.6 billion annually on average in the previous five years to build new military facilities. That’s despite military service officials saying many facility construction and repair projects were approved by the service review board, but just did not get funded.
Even with proper funding, the project of maintaining military facilities would have been jeopardized by shortages in personnel needed to carry out repairs. All 10 Department of Defense joint bases that the GAO had data acces...
Pete HegsethPentagon’sSovietAmericanHarvard’s Linda BilmesFortuneShortlyTrumpSecretaryWarSpeakingUSSR
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