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    Is there written guidance as to when RDT&E is appropriate for IA and when OMMC or Procurement is the apprpropriate type funding? I couldn't find anything in the FMR that specifically touched on this.


    Answer

    FMR Vol 2A, para 010212 provides guidance on how to budget for IT efforts.  IA is a subset of IT.  Bottom line:  whatever the underlying purpose of the IA effort determines the appropriate appropriation.  The effort can be separated into tasks that can be funded with different appropriations.  Check with your local comptroller office or acquisition legal office to confirm the interpretation of the FMR.  Associated references are shown below.

    FMR Vol 2A, para 010212 states:
    010212. Budgeting for Information Technology and Automated Information Systems
    FMR Vol 2B, Chapter 18, chapter 180105 states: AR. Information Assurance (IA). DOD CATEGORIZES IA AS PART OF CYBERSPACE OPERATIONS, A MAJOR REPORTABLE CATEGORY OF THE GIG/IT/ DEFENSE INFORMATION INFRASTRUCTURE (DII). IA includes all efforts that protect and defend information and information systems by ensuring their availability, integrity, authentication, confidentiality, and non-repudiation. Also included are all provisions for restoration of information systems by incorporating protection, detection, and reaction capabilities. As such, IA is broader in scope than information systems security and reflects the realities of assuring timely availability of accurate information and reliable operation of DoD information systems in increasingly inter-networked information environments.

    FMR Vol 2B, chapter 17, Para 170103 states: (3) C
    Control or Communications, there are a number of programs and activities funded in the DoD Budget that are
    considered intrinsic to C
    systems and manpower for Navigation, Meteorology, Combat Identification, Information Assurance activities.

    FMR Vol 2B, Chapter 18, Para 180103 states:
    B. All IT resources must be managed in accordance with appropriation guidance and applicable expense and investment criteria.

    FMR Vol 2A, Chapter2, para 010201 states:
    B. Basic Distinctions Between Expense and Investment Costs. The criteria for cost definitions consider the intrinsic or innate qualities of the item such as durability in the case of an investment cost or consumability in the case of an operating cost and the conditional circumstances under which an item is used or the way it is managed. In all cases where the definitions appear to conflict, the conditional circumstances will prevail. The following guidance is provided to determine whether a cost is either an expense or an investment. All costs are classified as either an expense or an investment.
    1. Expenses are the costs incurred to operate and maintain the organization, such as personal services, supplies, and utilities.
    2. Investments are the costs that result in the acquisition of, or an addition to, end items. These costs benefit future periods and generally are of a long-term character such as real property and personal property.
    3 Related Activities. Although not explicitly covered by the definitions of Command and3 functionality and traditionally accounted for as part of C3. They include facilities,
    A. Information Technology and Automated Information Systems that are not embedded in weapons systems and/or major end item procurements are budgeted according to the investment and expense criteria (see 010201) and the appropriation or fund’s purpose.
    B. The correct appropriation for budgeting an IT effort is dependent on the activity and the underlying tasks that make up the IT effort. RDT&E activities and Working Capital Fund activities follow unique procedures as noted in the following paragraphs. All other activities budget for IT efforts based solely on the underlying purpose for the IT effort.


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