FINANCIAL MANAGEMENT POLICY MANUAL

position subhead. A single position alpha/numeric character is assigned to
each AG and substituted for the BA identifier. These codes are as follows:
OPERATION AND MAINTENANCE, NAVY RESERVE
ACTIVITY GROUP CODING STRUCTURE
Subhead Use Code Budget Activity 1: Operating Forces
A Air Operations
B Ship Operations
C Combat Operations/Support
D Weapons Support
Budget Activity 4: Administration and
Servicewide Support
T Servicewide Support
X Payments Against Closed Accounts
This substitution allows calculation of the available unobligated balance
from the program value issued for each AG, and will assist in monitoring
the level of execution by reporting actual obligations at the AG level.
Other elements of subhead structure remain the same.
(Change 64)
074223 ADMINISTRATION
1. FISCAL YEAR 1993 AND PRIOR:
Prior to 1 October 1993, Operation and Maintenance, Navy Reserve
(O&M,NR) funds were issued from the Departmental level to the
Responsible Offices (ROs) at the Budget Activity (BA) level. The RO
then issued funds to the Administering Offices (AOs), which issued funds
to Expense Limitation Holders (ELHs) and Funds Administrators (FAs),
also at the BA level. Although funds authorizations attach the limitations
of 31 U.S. Code 1517 to the total direct program, the BA is used as the
Base for Reprogramming on the DD 1414, requiring that reprogramming
actions be monitored at the BA level.
2. FISCAL YEAR 1994 AND SUBSEQUENT:
Beginning 1 October 1993, funds authorizations from the Departmental
level to the ROs are issued at the Activity Group (AG) vice the BA level.
Responsibility for 31 U.S. Code 1517 remains at the total direct program
level. The RO will issue funds to the AO at the AG level with 31 U.S.
Code 1517 responsibility at the total direct program level. The AO may
authorize funds to an ELH or FA, and 31 U.S. Code 1517 restrictions are
Financial Management Policy
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