FINANCIAL MANAGEMENT POLICY MANUAL

c. food, clothing, and petroleum, oil, and lubricant (POL) items;
d. expendable supplies and materials;
e. items designated for NWCF management in the central supply
system. These include items actually issued from inventory and
standard items (i.e., listed in the Supply Management Lists) not
stocked in the supply system but authorized for local purchase;
f. maintenance, repair, overhaul, and rework of investment items;
g. assemblies, spares and repair parts designated for centralized
individual item management by an inventory control point in the
central supply system; i.e., not designated as Appropriation Purchases
Account or Marine Corps Appropriation Stores Account;
h. general motion picture procurement and development;
i. facilities sustainment, O&M funded restoration and modernization
projects;
j. all other equipment items not in the preceding categories that have a
unit value of less than $100,000 and which are not designated for
centralized item management and asset control.
3. INVESTMENTS.
Investments are costs of capital assets of the Department of Defense such
as real property and equipment that provide new or additional military
capabilities or maintain existing capabilities. The following criteria will
be used to determine those costs to be classified as investments.
a. Equipment.
All items of equipment, including assemblies, spares and repair parts,
which are subject to centralized item management and asset control by
an inventory manager or an inventory control point in the central
supply system, including items designated as Appropriation Purchases
Account or Marine Corps Appropriation Stores Account. This
excludes items designated for NWCF management.
b. Other Items of Equipment.
Other items of equipment, except for those designated as expense
under subpar. 2, having a system unit cost of $100,000 or more are
investment items. The system unit cost is not increased for
transportation and installation charges, nor is it decreased for early
payment discounts and trade-in allowances. This criterion does not
apply to NWCF inventory items that are coded depot level repairables.
The concept of a system must be considered in application of this
criterion. A system shall be considered to exist if a number of
Financial Management Policy
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