The Reserve Component (RC) has transformed into an operational force proving to be capable in all worldwide functions whether on land, at sea, or in the air. The RC is stronger than ever with four of the individual Reserve Components meeting or exceeding their fiscal year (FY) 2012 accession goals. The Services are achieving predictability in deployments, while performing real and meaningful work as members of the Total Force. Significant numbers of guardsmen and reservists have seen combat in the current operations in Iraq and Afghanistan. This shift to an operational force has changed the roles with a protracted war on terror and other activities outside of the United States, e.g., Japan, Haiti Concerns about fiscal challenges that face the Department of Defense can be daunting as the force goes through ongoing modernization and recapitalization after a decade of combat. The tough choices we face in balancing national security and fiscal responsibility must be well thought through decisions, keeping our priorities aligned with resources available. The American people expect nothing less than a secure nation and great care taken for our military and their families. The balance achieved between service to the country, meeting employer requirements, and family responsibilities is the best ever across the RC, but is tenuous with possible impacts from drastic budget reductions.