NDAA CONFERENCE KICKS OFF: The 2019 defense authorization bill is entering its final lap. Leaders of the House and Senate Armed Services committees gather at 2:20 today to officially start negotiations on a final version of the National Defense Authorization Act. Rep. Mac Thornberry told the Washington Examiner that he still believes the $716 billion bill will be wrapped up by the end of this month. It will set Pentagon policy and priorities for the coming year. There are fewer major divides between the House and Senate versions this year. Committee staff likely began reconciling less controversial differences even before the Senate voted Tuesday evening to begin the conference negotiations. Here is a refresher of some issues that lawmakers will have to work out:

HAPPENING TODAY: Trump has come out swinging at the NATO summit in Brussels, turning what is traditionally a low-key welcome breakfast with NATO Secretary General Jens Stoltenberg this morning into a platform to publicly rebuke the alliance, and tweeting out a 2-minute video of his lecture to Stoltenberg. Trump can be seen in the video flanked by Secretary of State Mike Pompeo, U.S. NATO Ambassador Kay Bailey Hutchison and White House Chief of Staff John Kelly as he unleashed a torrent of criticism at the NATO allies for paying too little for their own defense while taking advantage of the U.S. on trade.

GERMANY IN CROSSHAIRS: Most of Trump’s ire was directed at Germany, which he said is “totally controlled” by Russia because of a pending a deal with Moscow for an energy pipeline.

“It’s very sad when Germany makes a massive oil and gas deal with Russia, where you’re supposed to guarding against Russia and Germany goes out and pays billions and billions of dollars a year to Russia. So we’re protecting Germany, we’re protecting France, we’re protecting all of these counties, and numerous of the countries go out and make a pipeline deal with Russia where they are paying billions of dollars into the coffers of Russia,” Trump complained in his rant. “So we are supposed to protect you against Russia but they are paying billions of dollars to Russia. And I think that’s very inappropriate, and the former chancellor of Germany is head of the pipeline company.”

Trump appears to be referring to the Nord Stream 2 pipeline, a project that according to the AP is opposed by the U.S. and some other EU members. It would double the amount of gas Russia can send directly to Germany, skirting transit countries such as Ukraine.

THIS COULD BE AWKWARD: Trump is scheduled to meet with German Chancellor Angela Merkel in a “pull-aside” meeting today, where according to White House press secretary Sarah Sanders he will deliver his public criticism of Germany face-to-face to Merkel. At least she won’t be taken by surprise.

TAKING CREDIT: The 29 NATO nations are four years into a 10-year plan to increase defense spending to 2 percent of their GDP, an agreement worked out during the Obama administration after President Obama and previous presidents also complained that NATO countries were not contributing enough to their own defense.

But at the summit, Trump is taking full credit for the $46 billion in defense spending that has occurred as a result of the 2014 Wales declaration that preceded him.

“This has been brought up by other presidents, but other presidents never did anything about it, because I don’t think they understood it, or they just didn’t want to get involved,” Trump said, adding he sees no reason to stick to the 10-year timetable. “I think these countries have to step it up, not over a 10-year period, they need to step it up immediately. Germany is a rich country. They talk about they’re going to increase it a tiny bit by 2030. Well, they could increase it immediately, tomorrow, and have no problem.”

PUSHING BACK: At this morning’s testy breakfast confrontation, Stoltenberg listened politely and then pushed back using some of the same diplomatic language he employed at yesterday’s pre-summit news conference. Stoltenberg says since the 2014 agreement, eight countries are on track to meet the 2 percent goal this year and all NATO nations have increased defense spending substantially.

And Stoltenberg took pains to credit Trump for his “leadership on defense spending,” which he said “is clearly having an impact.” The latest plans to raise spending should result in extra $266 billion by 2024, Stoltenberg said.

‘PUTIN MAY BE THE EASIEST’: Trump’s excoriation of Germany for doing business with Russia comes just five days before his planned meeting with Vladimir Putin in Helsinki. Before he left Washington, Trump indicated that given his tense relations with America’s friends, his one-on-one summit with Russia’s president may be a welcome break. “Frankly, Putin may be the easiest of them all. Who would think? Who would think?,” he opined on the White House lawn. Asked by a reporter if he considered Putin a friend of foe, Trump said, “I really can’t say right now. As far as I’m concerned, a competitor.”

‘PUTIN IS NOT YOUR FRIEND’: There is no shortage of advice from Republicans for Trump ahead of the Monday meeting. “Be tough on Putin, be tough in our European allies, but remember this, NATO is your friend and Putin is your enemy,” said Sen. Lindsey Graham on Fox News yesterday. “Putin is trying to break NATO. I hope you understand that you are sitting down with an enemy of the United States, an enemy of democracy and don’t be confused, Mr. President, Putin is not your friend.”

Shelby, who led a Senate delegation to Moscow and St. Petersburg last week and held meetings with Russian officials, said, “My advice to the president if he wanted any would be, ‘Careful, you’re dealing with a tough man, a smart man, and [he] probably wants to get something and give nothing in return.’ ”

Shelby said Trump should have learned that lesson after last month’s summit with North Korean dictator Kim Jong Un, where Trump surprised his own Pentagon by announcing the U.S. would suspend large-scale joint military exercises there, which Shelby said so far has produced “a lot of optics and maybe not a lot of substance yet.”

SENATE REAFFIRMS NATO: As Trump lashes out at the alliance, the Senate made clear last night where it stands on the question of NATO. In an overwhelming 97-2 roll call vote, the chamber passed a resolution sponsored by Sen. Jack Reed, the top Democrat on the Senate Armed Services Committee, that reaffirms the U.S. commitment to NATO’s collective defense and the international rules-based order.

“Unfortunately, this motion has become necessary because some of our closest allies have come to question the U.S. commitment to collective self-defense. President Trump has at times called the alliance ‘obsolete.’ Our allies are starting to wonder whether they can rely on the United States to come to their defense in a crisis,” Reed said on the Senate floor.

The motion calls for the U.S. to support a long-term strategy to beef up European defenses to deter Russia aggression and urges Trump to complete a separate plan to counter Moscow’s malign influence. “The fact that 97 senators supported this motion proves my concerns are not partisan. This is not a Republican issue or a Democratic issue. It is a national security issue,” Reed said.

A TALE OF TWO SASC LEADERS: Despite being sidelined by cancer, Sen. John McCain remains the chairman of the Senate Armed Services Committee. But in McCain’s absence his likely successor, Sen. Jim Inhofe, has headed up day-to-day leadership. The two senators showed the differences in their approaches Tuesday as the NATO debate heated up. Just as Trump touched down in Brussels, McCain issued a statement saying allies “should be treated with the respect they deserve” and praising what he called “real progress” on boosting defense spending. “Allies can and must have candid discussions with one another about differences. But unrestrained attacks on our closest partners will only serve to sow dissent among allies and embolden our adversaries,” McCain said from his home in Arizona.

Meanwhile, Inhofe and two other steadfast Trump supporters on the committee, Sens. Tom Cotton and David Perdue, introduced their own resolution echoing the president’s demand that European allies spend more on their national defense. A fourth Republican, Sen. James Lankford, also backed the resolution. “Only fair and equitable burden sharing will make ‘peace through strength’ a NATO reality in the face of growing threats, including Russian aggression, terrorism and cybersecurity,” Inhofe said in a joint statement. “President Trump is right to strongly encourage all of our NATO allies to meet their commitment to defense spending under the collective security obligations.” Perdue said alliance members have been boosting defense spending since Trump took office. “NATO is the foundation for global security, which is why President Trump made bolstering this key alliance one of his top priorities,” he said in the statement.

DEMS’ WARNING: Any move by Trump to suspend joint military exercises with NATO would be “disastrous,” said Sen. Jeanne Shaheen, who is a member of the Senate Armed Services Committee. A group of 44 House Democrats said they were deeply concerned about the signals being sent by the president and his administration leading up to the Putin summit. The lawmakers, who are all members of the House’s foreign affairs and armed services committees, warned Trump against curbing exercises in Europe as a concession to Putin.

The president “must recognize the importance that our forward military presence and joint exercises play in deterring Russia and ensuring military readiness,” the Democrats said in a joint statement. “He must not weaken this posture or suspend or cancel these crucial activities, nor emulate Russian propaganda attempting to discredit them.”

MISSILES TO THE BRITS AND DANES: The State Department has approved a $650 million sale of up to 200 AIM-120D Advanced Medium Range Air-to-Air Missiles, known as AMRAAMs, to the UK. The Raytheon missiles will improve the Royal Air Force’s aircraft capabilities and help bolster the NATO ally, according to the Defense Security Cooperation Agency. Denmark was also approved to purchase 28 of the missiles for $90 million, which will support its F-16 and future F-35 fighter programs, the agency announced.

POMPEO’S WARNING: Iranian general Qassem Soleimani is in Pompeo’s crosshairs, as the top U.S. diplomat tours the Middle East and Europe for a series of meetings. “Qasem Soleimani is causing trouble throughout Iraq and Syria, and we need to raise the cost for him, for he and his organization and for him personally,” Pompeo told The National, an English-language outlet based in Abu Dhabi.

STRAIT TALK: Asked about Iran’s threat to close off the Strait of Hormuz gateway to up to 30 percent of the world’s oil shipments, Pompeo told both The National and Britain’s Sky News that the U.S. would not allow Iran to block the strategic chokepoint. “I’ve seen these remarks about their threats,” Pompeo told Sky News. “The world should know that America is committed to keeping sea lanes open, to keep transit of oil available for the entire world. That’s the commitment we’ve had for decades. We continue to honor that commitment.”

FLY-OFF FARCE? The Project on Government Oversight is accusing the Air Force of rigging a “fly-off” designed to compare the relative effectiveness of the F-35 to the venerable A-10 when it comes to providing fire support to troops on the ground. In the POGO analysis, author Dan Grazier argues the four-day close-air support experiment, which began July 5, was unrealistic and weighted heavily in favor of the F-35.

“Rather than telling us whether or not the F-35 can actually provide the kind of close support our ground forces need to survive and prevail, this grossly inadequate test has been designed to mislead,” Grazier writes. “Air Force leaders, in lockstep with senior civilian appointees, will undoubtedly march up to Capitol Hill with results in hand, saying that they conducted the tests with great care and the F-35 performed brilliantly, thus justifying bigger buys and getting rid of the A-10 sooner.”

UNREST IN HAITI: The State Department has issued an emergency notification because of increased unrest and violence in Haiti. A shelter-in-place directive for U.S. Embassy personnel has been lifted but employees are prohibited from traveling in their personal vehicles. The State Department has requested increased security for the embassy in Port-au-Prince, and the Pentagon confirmed yesterday that additional U.S. Marines are being dispatched, but gave few details.

“The exact locations and number of Marines deployed from the Marine Security Guard Security Augmentation Unit are not releasable,” Lt. Col. Christian Devine, a Marine spokesman, told the Washington Examiner in an email.

DOD GETS FREEZE-DRIED PLASMA: It took about a decade, but the Food and Drug Administration said Tuesday it has granted the Pentagon an emergency authorization to use freeze-dried plasma for U.S. troops wounded in combat. “Hallelujah!” Thornberry told the Washington Examiner. “It was a good decision and thankfully it may save lives on the battlefield, I just wish it would have come earlier.” The decision gives the military a potentially life-saving treatment when troops are in danger of bleeding out from bullet or blast wounds, and comes after a political dustup on Capitol Hill last year that threatened to hold up a must-pass defense authorization bill.

The Pentagon has been lobbying for years for permission to use the freeze-dried blood component, which was developed by the French military. But it has not cleared the lengthy U.S. regulatory process for such products. Thornberry and frustrated members of the House Armed Services Committee included language in the NDAA bill last fall that would have allowed Defense Secretary Jim Mattis to sidestep federal restrictions on the plasma, which does not require refrigeration. The move sparked opposition from the FDA and prompted it to strike a deal with the Pentagon to allow the emergency use.

WAR POWERS CASE TOSSED: A former Army captain’s lawsuit challenging the war against the Islamic State group is legally dead due to the passage of time, a federal appeals court panel ruled Tuesday.

Three judges on the U.S. Court of Appeals for the D.C. Circuit heard arguments in October, but waited nearly nine months to rule, allowing time for military operations in Syria and Iraq to wind down and for the litigant, former Army Capt. Nathan Michael Smith, to leave the military.

THE RUNDOWN

Reuters: After discouraging year, U.S. officials expect review of Afghan strategy

Defense One: The Rocket for America’s Next Space Plane Just Fired 10 Times in 10 Days

Foreign Policy: Trump Should Strike a Deal With Putin on Syria

Bloomberg: Pentagon Should Boost CFIUS Foreign Investment Reviews, GAO Says

New York Times: Trump Derides NATO as ‘Obsolete.’ Baltic Nations See It Much Differently.

Air Force Times: VA secretary nominee promises protections for transgender veterans

Defense Tech: Bell’s V-280 Tiltrotor Will Get Lockheed’s New Long-Range Sensors

Daily Beast: GOP Senators Tell Contradictory Stories About Moscow Trip

Defense News: Two foundations for a successful NATO summit

DoD Buzz: The Next B-52 Bomb Upgrade May Be a Tough Message for China

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