Industrial Funds: DOD (Department of Defense) Should Improve Its Accounting for Asset Capitalization Program Funds

摘要

In June 1982, the Surveys and Investigations Staff, House Committee on Appropriations, reported that DOD's obsolete and inefficient industrial fund equipment had resulted from previous inadequate levels of funding which was caused by equipment purchases competing with the procurement of ships, aircraft, and other weapons systems in the annual appropriation process. The Staff also reported that DOD could only estimate the amount of appropriated money used to purchase industrial fund equipment. This occured because industrial fund equipment requirements were consolidated with similar equipment requirements from other sources (i.e., installations, military units, etc.). Accordingly, industrial fund equipment requirements and procurements were inseparable from other requirements and procurements. The Deputy Secretary of Defense approved ACP, effective in fiscal year 1983, to provide a source of funding for industrial fund equipment modernization and to provide greater authority to activity managers for the purchase of equipment.