DODFMR Vol. 2A - The Art of Starting the Defense Budget

The Department of Defense Financial Management Regulation (Volume 2A) establishes the mandatory framework for creating and justifying military budget requests. It distinguishes between expense costs, such as daily operations and personnel pay, and investment costs, which cover the acquisition of long-term assets like weaponry and facilities. A central pillar of this guidance is the full funding policy, requiring that the entire cost of a usable end item be available in the year it is first procured. The document also provides specific criteria for Research, Development, Test and Evaluation (RDT&E) to ensure that experimental programs are funded separately from established production lines. Furthermore, it outlines the administrative requirements for multiyear procurements and the necessary documentation for Congressional justification. Ultimately, these regulations ensure a disciplined and transparent process for managing the financial resources of the United States military.