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FINANCIAL MANAGEMENT POLICY MANUAL

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AG's program value. Reprogramming between AGs within a BA by PEOs<br />

or DRPMs is at the discretion of the PEO or DRPM, but must be reported<br />

to the ASN (FM&C) if it exceeds $15 million or 10% of the AG's program<br />

value.<br />

(Change 65)<br />

Section II:<br />

OPERATION AND MAINTENANCE, NAVY<br />

RESERVE<br />

074220 SCOPE<br />

1. APPROPRIATION LANGUAGE.<br />

The Department of Defense Appropriations Act provides language for the<br />

Operation and Maintenance, Navy Reserve (O&MNR) appropriation as<br />

follows:<br />

"For expenses, not otherwise provided for, necessary for the operation<br />

and maintenance, including training, organization, and administration,<br />

of the Navy Reserve; repair of facilities and equipment; hire of<br />

passenger motor vehicles; travel and transportation; care of the dead;<br />

recruiting; procurement of services, supplies, and equipment; and<br />

communications; $_____. "<br />

2. LIMITATIONS.<br />

As specified in 10 U.S. Code 114, annual legislation is required to<br />

authorize Department of Defense (DoD) appropriations for the operation<br />

and maintenance of any armed force or the activities and agencies of the<br />

DoD.<br />

(Change 64)<br />

074221 STRUCTURE AND CONTENT<br />

1. GENERAL.<br />

The Operation and Maintenance, Navy Reserve (O&MNR) appropriation<br />

consists of two budget activities: Operating Forces; and Administration<br />

and Servicewide Support. The budget activities may be further divided<br />

into management and operational functions for more detailed justification.<br />

O&MNR funds the cost of operating Naval Reserve forces and<br />

maintaining their assigned equipment at a state of readiness which will<br />

permit rapid deployment in the event of full or partial mobilization.<br />

Concurrently, the Naval Reserve's mission is to complement the active<br />

force through contributory support. Forces remain closely linked with the<br />

active Navy and provide real-time, everyday services. The Naval Reserve<br />

operating force consists of aircraft, ships, combat support units, and<br />

Financial Management Policy<br />

2-38

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