This may sound odd for a Government Contractor to say, but there is PLENTY of fat to cut in the DOD Budget.
Example: 300 Million Dollars in Navy Ships that were never finished
Example: Three billion a year the Army wastes on programs that go nowhere
Paper on Army program wastage
Example: Marine Buck Rogers piece of crap that we wasted three billion on before canceling
And that's just the crap we know about.
None of these take a crack at the 650 billion in personnel costs of DoD. You could fire half of the DoD federal employees and recoup a couple of hundred billion on that alone. The cost of firing them would be steep, all you processes will speed up by an order of magnitude and there will be less bureaucracy. The bad news is, is that every village in the US would now have two idiots as they moved out of Washington.