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FINANCIAL MANAGEMENT POLICY MANUAL

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a. Military Personnel: Cumulative increase of $10 million or<br />

more in a budget activity.<br />

b. Operation and Maintenance: Cumulative increase of $15<br />

million or more in a budget activity.<br />

c. Procurement: For any program year:<br />

(1) Cumulative increase of $10 million or more in a<br />

procurement line item;<br />

(2) Cumulative decrease of $10 million or more; or 20<br />

percent of the appropriated amount, whichever is greater, in<br />

a procurement line item;<br />

d. RDT&E: for any program year:<br />

(1) Cumulative increase of $4 million or more in an<br />

existing program element;<br />

(2) Cumulative decrease of $4 million or more; or 20<br />

percent of the appropriated amount, whichever is greater, in<br />

an existing program element.<br />

5. New Starts.<br />

a. Establishes new procurement program, procurement<br />

subprogram, RDT&E program element, RDT&E project or<br />

RDT&E subproject estimated to cost $10 million or more (all<br />

appropriations) within the first 3 years.<br />

b. Although new starts seldom occur in Military Personnel<br />

and Operation and Maintenance programs, they would<br />

constitute significant new programs, contracts, or activities not<br />

explicitly justified to the Congress in budget justification<br />

material.<br />

c. Any new modification. Exceptions are safety<br />

modifications costing less than $10 million in total (all<br />

appropriations).<br />

6. New Line Items (for any program year).<br />

a. Establishes new procurement line item, procurement<br />

program or procurement subprogram of $2 million or more.<br />

b. Establishes new RDT&E program element, project, or<br />

subproject of $2 million or more.<br />

7. Terminations.<br />

a. Eliminates a procurement program or subprogram of $10<br />

Financial Management Policy<br />

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