FINANCIAL MANAGEMENT POLICY MANUAL

with the expressed desires of Congress.
(2) Statutory.
The budget request submitted to the Congress for each fiscal year
under the OPN appropriation is for a multiple-year appropriation to
remain available for obligation for 3 fiscal years. Each fiscal year
appropriation enacted is separate and discrete. Following the
period of availability for incurring new obligations, the account
remains available for use for 5 years for effecting authorized
obligation adjustments and payments. At the end of the 5-year
period, the account is closed and any remaining outstanding
obligations are canceled. Thereafter, bills presented for payment
must be paid from the currently available appropriation for the
purpose, subject to limitations stated in the current issuance of
NAVCOMPTINST 7040.37.
(Change 63)
074361 STRUCTURE AND CONTENT
1. GENERAL.
The Other Procurement, Navy (OPN) appropriation is divided into eight
budget activities. Budget Activities 1 though 6 are commodity oriented
and parallel the organizational structure of the systems commands.
Budget Activity 7 includes procurement of all non-systems command
items appropriately funded by this appropriation. Budget Activity 8 funds
spares and repair parts for equipment procured by OPN. Training
equipment is budgeted in each budget activity for the categories of items
funded in the respective budget activity.
2. BUDGET ACTIVITY 1, SHIPS SUPPORT EQUIPMENT.
Budget Activity 1 provides funds for the procurement of shipboard
components for surface ships and submarines, reactor plant equipment and
components; deep submergence support equipment; small boat
procurement; and production facilities equipment. Included are
navigation, underway replenishment and ship propulsion equipment as
well as periscopes, propellers and other shipboard equipment such as for
pollution control and firefighting. This budget activity is coordinated by
the Naval Sea Systems Command.
3. BUDGET ACTIVITY 2, COMMUNICATIONS AND ELECTRONIC
EQUIPMENT.
Budget Activity 2 provides funds for the procurement of shipboard,
submarine, satellite and shore communications and electronics equipment.
Included are shipboard surface and air search radars; antisubmarine
warfare electronics equipment which furnishes surface ships, submarines,
Financial Management Policy
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