By Emma Bussey | Fox News
Navy Secretary John C. Phelan has tapped new Navy Under Secretary Hung Cao to lead a sweeping overhaul of the service and “supercharge the Navy and Marine Corps,” including modernizing its business and IT systems.
Cao, sworn in Oct. 3. by Secretary of War Pete Hegseth, returns to the Department of the Navy with direct orders to “cut red tape and raise standards.”
Phelan said in a memo shared exclusively to Fox News Digital that the reforms are to “sharpen readiness, fix faster, and put sailors, Marines, and their families first” as well as restore the Navy and Marine Corps’ warrior ethos.
Cao, a former U.S. Navy captain, is also a well-known Republican figure, who ran for the U.S. Senate in Virginia in 2024 and in 2025, was nominated by Trump and confirmed as the 35th Navy under secretary.
The move follows remarks by Hegseth Sept. 30 to flag and general officers at Marine Corps Base Quantico.
“First and foremost, we must restore a ruthless, dispassionate and common-sense application of standards,” Hesgeth said. “Standards must be uniform, gender-neutral, and high. If not, they’re not standards — they’re suggestions. Suggestions that get our sons and daughters killed.”
Cao’s reforms will start at home and include launching a new inspection system with 60-day repair timelines to overhaul military family housing.
Base dining will shift to healthier, locally sourced menus designed to mirror combat readiness and improve nutrition.
Outdated IT and business systems will be replaced with modern, mobile-ready platforms to streamline daily operations and empower sailors with tools that work for the first time.
Beyond quality-of-life upgrades, the Navy is targeting full audit compliance by FY2026 to strengthen transparency and accountability.
Recruiting reforms will eliminate DEI-based waivers in favor of merit-only accessions, while reserve forces will integrate more closely with active-duty training pipelines.
Permanent Change of Station (PCS) orders will move faster, and new policies will expand school choice for military families.
On Guam, infrastructure upgrades, from runways to fuel and housing capacity will harden the island’s role as a vital Indo-Pacific power-projection hub.
Cao’s initiatives will also aim to unify family welfare and combat readiness under what Phelan describes as “one quarterback, one playbook.”
On Capitol Hill, Rep. Jack Whitfield, R-Texas, chair of the House Armed Services readiness panel, said Congress would “support the Navy’s renewed focus on lethality and accountability.”
A Democratic staffer on the Senate Armed Services Committee called it “an overdue reset” and confirmed oversight “will track results closely.”
The sweeping, new portfolio integrates quality-of-service improvements, modernization, and reserve reform under a single chain of command.
“This is about speed, standards, and service,” Phelan said. “When the basics work the first time, ships sail more, aircraft fly farther, and the world’s greatest maritime force only gets stronger.”
A spokesperson for Hegseth did not immediately respond to Fox News Digital’s request for comment.
Secretary of the Navy John C. Phelan announced a wide-ranging cross departmental portfolio for the Under Secretary of the Navy (UNSECNAV) that unifies the Department’s most consequential levers for rebuilding warrior ethos and quality of service.
Secretary Phelan also congratulated Under Secretary of the Navy Hung Cao on his swearing-in by Secretary of War Pete Hegseth and warmly welcomed him back to the Department of the Navy.
“It is my pleasure to welcome Hung Cao to my Navy team; I look forward to having this experienced patriot lead on the highest priorities of the Secretary of War.” Secretary Phelan added, “I want to recognize with sincere gratitude, Dr. Brett Seidle, who over the past year has served as Acting Assistant Secretary of the Navy for Research, Development and Acquisition and has performed the duties of the Under Secretary of the Navy. His steady leadership in these roles has been vital to our Navy and our nation. Dr. Seidle has informed me of his intention to retire after twenty-five years of federal service following a smooth transition to Under Secretary Cao. The Department thanks him for his distinguished service and extends its best wishes for his future endeavors.”
As Secretary of War Hegseth told Flag and General Officers at Marine Corps Base Quantico earlier this week: “…at the War Department first and foremost we must restore a ruthless, dispassionate and common sense application of standards…Standards must be uniform, gender neutral and high. If not, they’re not standards. They’re just suggestions, suggestions that get our sons and daughters killed.”
“That is why I am putting my Under Secretary on the field to tackle the issues that affect the daily lives of Sailors and Marines,” said Secretary Phelan. “From his years in uniform and his record of leadership, he will cut through bureaucracy, drive real solutions and keep our people first.”
“Readiness starts at home and shows up on target,” Secretary Phelan said. “The Under Secretary’s new remit puts one quarterback and one playbook on the field to execute my gameplan for upgrading how we recruit, train, equip and take care of our people, so the Fleet stays the world’s premier, most lethal maritime force.”
“This is about speed, standards and service,” Phelan added. “When Sailors and Marines know their families are supported, housing is right, chow is quality and systems work the first time, morale rises, performance sharpens and the force delivers.”
Under the Secretary’s direction and consistent with governing statutes and the Department of the Navy priorities, the UNSECNAV will lead and synchronize the following lines of effort across the Department of the Navy:
Quality of Service: The UNSECNAV will drive rapid inspections and upgrades of family housing, recreational, healthcare and educational facilities on Navy and Marine Corps installations; tighten oversight of public-private ventures and modernize nutrition both ashore and afloat to align fueling the force with warfighter readiness.
Digital and Business Systems: As Chief Management Officer, the UNSECNAV will partner with the Department of the Navy Chief Information Officer to modernize unclassified Information Technology systems and critical Defense Business Systems. Cut downtime. Simplify processes. Get Sailors, Marines, civilians and families the tools they need fast.
Audit: The UNSECNAV will supervise the Auditor General and accelerate the Navy and Marine Corps to clean audit opinions, strengthening trust, transparency, speed of resourcing and accountability across the enterprise.
Recruiting: The UNSECNAV will visit, assess and raise Navy and Marine Corps recruiting standards, management and organization to meet and exceed end-strength. He will capitalize on the surge of Americans motivated to serve by President Trump’s call to revitalize strength and pride in our armed forces. In line with Secretary Hegseth’s charge, standards will be high, uniform and non-negotiable. They will not be suggestions. They will be the foundation of combat power.
Reserve Reform: The UNSECNAV coordinating with Assistant Secretary of the Navy for Manpower and Reserve Affairs, Chief of Naval Reserve and Deputy Commandant for Manpower and Reserve Affairs, will implement my plan for reserve reform that is already underway and produce actionable changes that integrate Reserve components as ready, lethal teammates with the active force maximizing the skills of Sailors and Marines and ensuring that reform translates into real capability.
Wellness & Suicide Prevention: The UNSECNAV will spearhead efforts across the Department to reduce mental health incidents and strengthen the performance of our force, serving as the primary representative to interagency and Department of War bodies on prevention, response and personnel readiness.
PCS, Families and Education Options: The UNSECNAV will represent the Department on the Permanent Change of Station Joint Task Force to streamline PCS orders, review on-base education and support homeschooling options so families can choose what works best for them.
Personnel Policy: The UNSECNAV will coordinate implementation of policies for service members impacted by the rescinded COVID-19 vaccine mandate and update physical fitness standards, with a particular focus on combat units, so standards are clear, fair and combat-credible.
Guam as a Power-Projection Platform: As the Senior Defense Official for Guam, the UNSECNAV will review and assess island infrastructure and clear barriers, including energy and material challenges, so Guam delivers as a frontline power-projection platform for Indo-Pacific operations.
Standards and Warfighter Ethos: The UNSECNAV will implement Departmental direction on the elimination of divisive concepts and eradication of DEI initiatives within the Department of the Navy to keep time, talent and dollars on warfighting outcomes.
The UNSECNAV portfolio ties quality of service to combat power by design so we turn everyday friction points into force multipliers that show up on time and on target. We will fix faster, cut red tape and deliver better outcomes for families and commands. Minutes saved are minutes gained in the fight.”
“Our mission to defend the American homeland and put America first, starts in the homes of Sailors and Marines who stand the watch every day,” he continued. “When the basics work the first time, ships sail more, aircraft fly further, crews rearm and recover faster, lethality rises, risk falls and American sea power wins.”
“One Team, One Mission, One Vision is the way we operate, the way we win, the way we lead,” Secretary Phelan said. “With this move I am giving my Under Secretary the responsibility and the tools to fix what slows us down and to fuel what makes us unbeatable.”
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