President Obama is looking to terminate or postpone production of certain military technology to help trim $17 billion from the federal budget for fiscal 2010. President Obama has proposed cuts to missile-defense, vehicle and aircraft programs. Defense spending is a major economic catalyst in Arizona, with companies employing more than 57,000 workers.

The Defense Department on average spends $10 billion to $12 billion annually in Arizona, including several billion on weapons, aircraft and vehicles. Defense items with local ties that Congress will consider cutting include the F-22 Raptor fighter jets, the Army's Future Combat Systems modernization program and several missile-defense systems.

Cuts could affect Honeywell Aerospace in Phoenix, General Dynamics' C4 Systems in Scottsdale, Raytheon Missile Systems in Tucson and other local contractors who work on the projects or supply technology used by the programs.

Congress will approve a plan this year. Arizona Senator John Kyl and Arizona Congressmen Trent Franks are members of the Missile Defense Caucus and have protested the 15% cut in Missile Defense Programs.

John Laub is the Chairman of the Phoenix CEO-CFO Group.

1. "Defense Plants in Arizona Fear Cuts. President Proposes to Trim $17 Billion From 2010 Budget." Andrew Johnson. The Arizona Republic. May. 8, 2009.

2. "Lieberman: Obama's Missile Defense Cuts Weaken U.S., Allies." Newsmax. April 7, 2008.