WASHINGTON - The FY15 defense appropriations bill signed into law this week prevents the U.S. Army from using FY15 funding to transfer or divest AH-64 Apache helicopters from the Army National Guard to the active force in FY15. This provision is in effect through the date of enactment of the defense authorization bill. That legislation also prevents the Army from transferring any AH-64 Apaches from the National Guard to the active force in FY15, though will allow the transfer of 48 helicopters in FY16.

Last month, a group of U.S. governors urged Congress to prevent the Army from transferring National Guard AH-64 Apache helicopters to the active force until an independent commission has reviewed the service's Aviation Restructure Initiative. The defense authorization bill calls for the formation of such a commission. The Army's proposal would see all of the Guard's Apaches transferred to the active force in exchange for Black Hawk helicopters. The Apaches would then serve as interim armed scout helicopters due to the proposed retirement of the OH-58 Kiowa and the Army's failure to field an OH-58 replacement helicopter.

Lawmakers also have concerns about the impact the retirement of TH-67 and OH-58 helicopters will have on the industrial base due to the influx of second-hand airframes into the market. The appropriations legislation directs the Secretary of Defense submit a report to Congress assessing the number of airframes being divested, the number of airframes being transferred to other government agencies, the number of airframes being offered for sale to other nations, the cost of divesting the aircraft, and the impact the divestment will have on the domestic helicopter industrial base. The Army may not resell or auction any airframes until 30 days after the submission of the report.

Source: FY15 Appropriations Bill
Associated URL: http://rules.house.gov/sites/republicans.rules.house.gov/files/113-1/PDF/113-HR83sa-ES-C.pdf
Author: S. McDougall, North America Analyst