FINANCIAL MANAGEMENT POLICY MANUAL

also provided for research, development, test, and evaluation as well as for
military construction. The appropriations become available for obligation and
expenditure at the beginning of the fiscal year designated in the
Appropriations Act and remain available for a definite period in excess of one
fiscal year. Obligations may be incurred only during the fiscal years specified
in the act; however, the appropriations may be used to effect authorized
obligation adjustments and payment of such obligations for 5 years after the
period of availability for incurring new obligations.
(Change 61)
074003 CONTINUING APPROPRIATIONS
Continuing (no-year) appropriations have been provided for procurement,
military construction, and research and development test and evaluation
programs. These appropriations are available for obligation and expenditure
until the funds were exhausted or until the purpose for which they were made
available has been accomplished.
(Change 61)
074004 REVOLVING FUNDS
A revolving fund is one established to finance a cycle of operations to which
reimbursements and collections are returned for reuse in such a manner as to
maintain the principal of the fund. It also may be known as a working capital
fund, established to finance inventories of supplies or to provide working
capital for industrial-type activities. The revolving funds for the Department
of the Navy include the Navy Working Capital Fund and the National Defense
Sealift Fund.
(Change 63)
074005 MANAGEMENT FUNDS
A management fund is a fund authorized by law to facilitate accounting for,
and administration of, intra-governmental activities which are financed by two
or more appropriations. In the case of the Department of Defense, such funds
have been authorized for each military department by 10 U.S. Code 2209.
There is currently no management fund within the Department of the Navy
since disestablishment in FY 1997 of the Navy Management Fund, which had
previously been maintained for transportation of things.
(Change 67)
074006 TRUST FUNDS
A trust fund is a fund established to account for receipts held in trust for use in
carrying out specific purposes and programs in accordance with an agreement
or statute. Amounts deposited in these accounts may be used only in
Financial Management Policy
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