The one thing to remember about this whole debate is that the Navy has gotten more money (in inflation adjusted dollars) ever year for the past 15. The sequestration cuts are not actually cuts. They are just not as much of a budget increase as the Navy had planned for. If we continue to spend like sequestration won't happen, we are just playing brinkmanship with congress. The Navy needs to start figuring out how to do less with less.
BTW, please tell me we aren't still spending money to buy bio jet fuel.
So were are these extra expenditures coming from? It'd make sense that if your budget from the previous year carried over to the next year, it should be ok. Apparently not.