FINANCIAL MANAGEMENT POLICY MANUAL

official for other Component Headquarters. Any NC-4 exhibit bearing
the signature of subordinate command personnel for either Component
will not be submitted to OSD unless endorsed by the Component
Headquarters Comptroller.
c. Intra-Component Transfers.
Those functional transfers involving only DoN appropriations must
also be submitted for approval to FMB on the NC-4 exhibit.
Transfers within the same DoN appropriation may be approved for
implementation as an adjustment to the current year budget controls of
the claimants involved, but are limited by the specified restrictions
applicable to each appropriation with regard to reprogramming
threshold approvals. For those transfers approved outside the budget
cycle, the transfer will be incorporated at the next possible update to
BSO controls. When exceptional circumstances exist and are justified
by the organizational component involved, immediate adjustments will
be made by the Comptroller.
d. Adjudication.
Approved functional transfers which required intra-appropriation
transfers, for which mutually agreed budget adjustments have not been
reached between the losing and gaining command prior to the OASN
(FM&C) budget submission, will continue to be funded by the losing
command on a reimbursable basis during the first full year after the
functional transfer. This permits the gaining command time to
develop data necessary for estimating requirements. Accordingly,
amounts incident to a functional transfer for which there is not
agreement on an intra-appropriation funding adjustment will remain in
the budget base of the losing command and claimant and will not be
shown in the approved functional transfer exhibit until the following
year. The gaining command is then responsible for developing an
estimate of the appropriate transfer amount. Such transfers will be
attached as addenda in the format of the approved functional transfer
exhibit in the next annual budget submission to OASN (FM&C)
marked clearly across the face "TO BE ADJUDICATED" if amounts
to be transferred remain unresolved. In addition to the information
described in subparagraph 4a, the exhibit should also include a brief
statement regarding outstanding issues, dollar amounts, and points of
contact. The resources for the unresolved functional transfers will be
adjudicated by FMB and will be included in the adjustments effected
in connection with apportionment.
5. BUDGET PRESENTATION.
Transfers displayed in the program and financing schedules of the budget
as presented to Congress do not ordinarily include internal funding
transfers. Nonetheless, all funding transfers will be shown in the current
Financial Management Policy
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