AUGUST 22, 2013 — It's going to be a little harder to get a hat like the one on the left.

On the recommendation of the Chief of Naval Operations, the Secretary of the Navy has approved the initial step to reduce, eliminate or consolidate a net of 35 Navy flag officer positions in the ranks of rear admiral (lower half) (O-7), rear admiral (O-8), and vice admiral (O-9) Navy officials announced Aug. 20.

"We had to make tough choices but it was the right thing to do - the plan is in line with Congressional mandates, OSD guidance, and our changing fiscal environment," said Vice Chief of Naval Operations, Adm. Mark E. Ferguson.

Flag officer end strength adjustments are already underway using a phased approach and will be completed by fiscal year 2017. This will result in a flag officer end strength of 151 Navy specific billets while meeting the existing minimum requirement for 61 Navy flag officers to fill joint billets.

"This plan postures the Navy to absorb future reductions in headquarters and staff due to sequestration. In fact, we plan to submit the elimination of an additional six flag billets with the FY15 defense budget," said Ferguson. "This reflects our commitment to working more efficiently and cost-effectively in this resource constrained environment without putting our warfighting capabilities at risk."

Specific billets affected by this plan are:

SECNAV BILLETS

Executive Director, Deputy Assistant Secretary of the Navy (Acquisition and Procurement), Office of the Assistant Secretary of the Navy (Research, Development, and Acquisition), Washington, D.C. Reduce pay grade of position from rear admiral (lower half) to captain.

OFFICE OF THE CHIEF OF NAVAL OPERATIONS BILLETS

Deputy Chief of Naval Operations for Fleet Readiness and Logistics, N4, Office of the Chief of Naval Operations, Washington, D.C. Reduce pay grade of position from vice admiral to rear admiral.

Director, Energy and Environmental Readiness Division, N45, Office of the Chief of Naval Operations, Washington, D.C. Reduce pay grade of position from rear admiral to rear admiral (lower half).

Director, Operations Division, Office of Budget, Office of the Assistant SECNAV for Financial Management and Comptroller/Director, Operations Division, Fiscal Management Division, N821, Office of the Chief of Naval Operations, Washington, D.C. Reduce pay grade of position from rear admiral (lower half) to captain.

Director, Fleet Readiness Division, N43, Office of the Chief of Naval Operations, Washington, D.C. Reduce pay grade of position from rear admiral (lower half) to captain.

Director, Intelligence, Surveillance, Reconnaissance Capabilities, N2/N6F2, Office of the Chief of Naval Operations, Washington, D.C. Reduce pay grade of position from rear admiral (lower half) to captain.

Deputy Director, Expeditionary Warfare Division, N95B, Office of the Chief of Naval Operations, Washington, D.C. Reduce pay grade of position from rear admiral (lower half) to captain.

Deputy Director, Surface Warfare Division, N96B, Office of the Chief of Naval Operations, Washington, D.C. Reduce pay grade of position from rear admiral (lower half) to captain.

Deputy Director, Submarine Warfare Division, N97B, Office of the Chief of Naval Operations, Washington, D.C. Reduce pay grade of position from rear admiral (lower half) to captain.

Deputy Director, Air Warfare Division, N98B, Office of the Chief of Naval Operations, Washington, D.C. Reduce pay grade of position from rear admiral (lower half) to captain.

Director, Total Force Programming and Manpower Management Division, N12, Office of the Chief of Naval Operations, Washington, D.C. Merge position with Director, Military Personnel Plans and Policy Division, N13, Office of the Chief of Naval Operations, Washington, D.C. The pay grade of the combined position will be rear admiral.

Director, Decision Superiority, N2/N6F4, Office of the Chief of Naval Operations, Washington, D.C. Reduce pay grade of position from rear admiral (lower half) to captain.

Deputy Program Manager, Director for Intelligence, Surveillance, Reconnaissance, Space and Naval Warfare Systems Command, San Diego, Calif. Reduce pay grade of position from rear admiral (lower half) to captain.

Merge Commander, Naval Service Training Command, Great Lakes, Ill. and Chief Operating Officer, N7, Naval Education and Training Command, Norfolk, Va. The pay grade of the combined position will be rear admiral (lower half).

FLEET BILLETS

Director, Maritime Headquarters, Fleet Forces Command, Norfolk, Va. Reduce pay grade of position from rear admiral to rear admiral (lower half).

Commander, Navy Expeditionary Combat Command, Virginia Beach, Va. Reduce pay grade of position from rear admiral to rear admiral (lower half).

Commander, Patrol and Reconnaissance 5th/7th Fleet, Atsugi, Japan. Reduce pay grade of position from rear admiral (lower half) to captain.

Deputy Commander, Naval Special Warfare Command, Virginia Beach, Va. Reduce pay grade of position from rear admiral (lower half) to captain.

Deputy Commander, Fleet Cyber Command/ Deputy Commander, 10th Fleet, Fort Meade, Md. Reduce pay grade of position from rear admiral (lower half) to captain.

Merge Commander, Office of Naval Intelligence, Washington, D.C. and Director, National Maritime Intelligence Integration Office, Washington, D.C. The pay grade of the combined position remains rear admiral.

Commander, Submarine Group 2, Groton, Conn. will be eliminated. The position pay grade is rear admiral (lower half).

Commander, Expeditionary Strike Group 5, Manama, Bahrain has been disestablished. This position had been filled by a flag officer Individual Augmentee from the Office of the Chief of Naval Operations, Washington, D.C. The associated responsibility of Commander, Task Force 51/59, Manama, Bahrain was turned over to Marine Corps Forces, Central Command.

ACQUISITION FLAGS

Deputy Commander for Ship Design, Integration and Engineering, SEA-05, Naval Sea Systems Command, Washington, D.C. Reduce pay grade of position from rear admiral to rear admiral (lower half).

Deputy Commander for Undersea Warfare, SEA-07, Naval Sea Systems Command, Washington, D.C. Merge position with Program Executive Officer for Submarines, Washington, D.C. The pay grade of the combined position is rear admiral (lower half).

Assistant Commander for Logistics and Industrial Operations (AIR-6.0) Naval Air Systems Command, Patuxent River, Md. Merge with Commander, Fleet Readiness Centers, Patuxent River, Md. The pay grade of the combined position is rear admiral (lower half).

Commander, Space and Naval Warfare Systems Command Space Field Activity, Washington, D.C. Merge with Program Executive Officer for Command, Control, Communications and Intelligence, Space and Naval Warfare Systems Command, San Diego, Calif. The pay grade of the combined position is rear admiral (lower half).

Deputy Commander for Surface Warfare, SEA-21, Naval Sea Systems Command, Washington, D.C. Merge with Program Executive Officer for Ships, Washington, D.C. The pay grade of the combined position is rear admiral (lower half).

Commander, Naval Air Warfare Center, Aircraft Division, Patuxent River, Md. Merge with Assistant Commander for Research and Engineering, Naval Air Systems Command (AIR-4.0), Patuxent River, Md. The pay grade of the combined position is rear admiral (lower half).

Commander, Naval Surface Warfare Center, Washington, D.C. Merge with Commander, Naval Undersea Warfare Center, Washington, D.C. The pay grade of the combined position is rear admiral (lower half).

Deputy Commander, Space and Naval Warfare Systems Command, San Diego, Calif. Reduce pay grade of position from rear admiral (lower half) to captain.

Vice Commander, Naval Sea Systems Command, Washington, D.C. Reduce pay grade of position from rear admiral (lower half) to captain.

Vice Commander, Naval Air Systems Command, Patuxent River, Md. Reduce pay grade of position from rear admiral (lower half) to captain.

OTHER FLAGS

Commandant of the Medical Education Training Campus/Director of Medical Education and Training (M7) BUMED Training Campus, Fort Sam Houston, Texas. Reduce pay grade of position from rear admiral to rear admiral (lower half).

Commander, Navy Region Midwest, Great Lakes, Ill. duties will be merged with Commander, Navy Region Northwest, Bangor, Wash. The pay grade of the combined position is rear admiral (lower half).

Chief of Staff, Bureau of Medicine and Surgery, Washington, D.C. Reduce pay grade of position from rear admiral (lower half) to captain.

Director, Navy Medicine Research, M2, Bureau of Medicine and Surgery, Washington, D.C. Reduce pay grade of position from rear admiral (lower half) to captain.

United States Pacific Command/United States Pacific Fleet Surgeon, Pearl Harbor, Hawaii. Reduce pay grade of position from rear admiral (lower half) to captain assigned to U.S. Pacific Fleet.