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FINANCIAL MANAGEMENT POLICY MANUAL

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Primary Systems usually eligible although exceptions may occur for<br />

cases such as requirements for special vehicles usage or for weapons<br />

safety. In many instances, costs incurred are shared with local or state<br />

governments, in which case the access roads may, thereby, become<br />

part of the state or local system. The Navy budgets funds each year in<br />

the military construction appropriation for access roads, which are<br />

authorized in 23 U.S. Code 210. When an access road is certified for<br />

construction, funds are transferred to the Federal Highway<br />

Administration, United States Department of Transportation, which<br />

assures compliance with requirements of law and executes the<br />

program, principally through state and local highway agencies. When<br />

the funds are transferred, there is no further Navy responsibility.<br />

Reports on the status of funds are made available through accounting<br />

reports provided by the Federal Highway Administration.<br />

c. Minor Land Acquisition.<br />

The Secretary of the Navy, under 10 U.S. Code 2672, is authorized to<br />

procure land or easements when the cost is not more than $500,000 per<br />

parcel (exclusive of administrative costs and deficiency judgments)<br />

and when he or his designee determines that it is needed in the interest<br />

of national defense. This authority does not permit the acquisition, as<br />

part of the same project, of two or more contiguous parcels of land that<br />

together, cost more than $500,000. Under 10 U.S. Code 2672a and<br />

2673, the Secretary is permitted to pay for this additional land from<br />

either construction or operating funds.<br />

d. Urgent Land Acquisition.<br />

Under 10 U.S. Code 2672a, the Secretary of the Navy, when<br />

consideration of urgency does not permit the delay necessary to<br />

include the required acquisition in an annual Military Construction<br />

Authorization Act, may make surveys and acquire interest in land<br />

(including temporary use) by gift, purchase, exchange of land owned<br />

by the United States, or otherwise. The acquisition must be required to<br />

maintain the operational integrity of a military installation and needed<br />

in the interests of national defense. While the $500,000 limitation<br />

does not apply, any contemplated action must be provided in writing to<br />

the Armed Services Committees of the Senate and House of<br />

Representatives at least 30 days in advance of any action being taken.<br />

(Change 67)<br />

074502 BUDGET ACTIVITY SUBHEADS<br />

The first subdivision under the appropriation is the budget activity, which is<br />

identified in the account structure by a separate subhead. The MCON<br />

appropriation four-digit subhead numbering system identifies the following<br />

data elements:<br />

Financial Management Policy<br />

2-83

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