FAS | Intelligence | GAO Reports |||| Index | Search |


DoD Budget: Selected Categories of Planned Funding for Fiscal Years 1995-99

(Letter Report, 02/17/95, GAO/NSIAD-95-92)



GAO identified programs in the Defense Department's (DOD) future funding
plans for fiscal years 1995-99 for the following 13 categories:
environmental cleanup and restoration, defense conversion, DOD
dependents schools and Junior ROTC, basic research, counter-drug
efforts, humanitarian and foreign assistance programs, civilian
separation pay and military temporary early retirement authority, grants
to colleges and universities, operation of the 89th Military Airlift
Wing at Andrews Air Force Base, medical education and noncombat-related
medical research, support for foreign military sales, antiterrorism
activities, and pay and allowances to jailed military personnel.  GAO
notes that DOD planned to fund about $13 billion to $15 billion annually
for programs in these 13 categories when the President submitted his
fiscal year 1995 budget in February 1994.  More than half of the funds
are in the operations and maintenance account, which traditionally has
funded combat training and other readiness-related items.  The largest
part of the remaining funds are in the research, development, test, and
evaluation account.

--------------------------- Indexing Terms -----------------------------

 REPORTNUM:  NSIAD-95-92
     TITLE:  DOD Budget: Selected Categories of Planned Funding for 
             Fiscal Years 1995-99
      DATE:  02/17/95
   SUBJECT:  Defense appropriations
             Deficit reduction
             Defense budgets
             Research and development
             Congressional/executive relations
             Personnel management
             Foreign military sales
             Presidential budgets
             Military pay
             Prisoners
IDENTIFIER:  DOD Future Years Defense Program
             
**************************************************************************
* This file contains an ASCII representation of the text of a GAO        *
* report.  Delineations within the text indicating chapter titles,       *
* headings, and bullets are preserved.  Major divisions and subdivisions *
* of the text, such as Chapters, Sections, and Appendixes, are           *
* identified by double and single lines.  The numbers on the right end   *
* of these lines indicate the position of each of the subsections in the *
* document outline.  These numbers do NOT correspond with the page       *
* numbers of the printed product.                                        *
*                                                                        *
* No attempt has been made to display graphic images, although figure    *
* captions are reproduced. Tables are included, but may not resemble     *
* those in the printed version.                                          *
*                                                                        *
* A printed copy of this report may be obtained from the GAO Document    *
* Distribution Facility by calling (202) 512-6000, by faxing your        *
* request to (301) 258-4066, or by writing to P.O. Box 6015,             *
* Gaithersburg, MD 20884-6015. We are unable to accept electronic orders *
* for printed documents at this time.                                    *
**************************************************************************


Cover
================================================================ COVER


Report to Congressional Requesters

February 1995

DOD BUDGET - SELECTED CATEGORIES
OF PLANNED FUNDING FOR FISCAL
YEARS 1995-99

GAO/NSIAD-95-92

DOD Budget


Abbreviations
=============================================================== ABBREV

  BRAC - Base Realignment and Closure
  DOD - Department of Defense
  FYDP - Future Years Defense Program
  RDT&E - Research, Development, Test and Evaluation
  ROTC - Reserve Officer Training Corps

Letter
=============================================================== LETTER


B-260307

February 17, 1995

The Honorable John Kasich
Chairman, Committee on the Budget
House of Representatives

The Honorable Charles E.  Grassley
United States Senate

At your request, we identified programs in the Department of
Defense's (DOD) future funding plans for fiscal years 1995-99 for the
13 broad categories you selected.  The categories are

environmental (includes environmental cleanup, compliance, and
restoration);

defense conversion (includes funding to advance manufacturing and
other technologies, to encourage the development of dual-use
technologies, and for other programs;

DOD dependents schools and Junior ROTC;

basic research (includes programs to advance basic and applied
research in universities and DOD laboratories);

counter-drug programs;

humanitarian and foreign assistance programs;

civilian separation pay and military temporary early retirement
authority;

grants to universities and colleges;

operation of the 89th Military Airlift Wing at Andrews Air Force
Base;

medical education and noncombat-related medical research;

support for foreign military sales;

antiterrorism activities; and

pay and allowances to incarcerated military personnel. 


   RESULTS IN BRIEF
------------------------------------------------------------ Letter :1

DOD planned funding of about $13 billion to $15 billion annually for
programs in these 13 categories when the President submitted his
fiscal year 1995 budget in February 1994.  Program estimates may have
changed as a result of congressional action and subsequent
adjustments to the Future Years Defense Program.\1 We list the
programs included in these categories in appendix I and describe the
programs in appendix II. 

Over half of the planned funds for these programs are in the
operations and maintenance account, which traditionally has funded
combat training and other readiness-related items.  The largest part
of the remaining funds are in the research, development, test, and
evaluation (RDT&E) account. 


--------------------
\1 DOD was unable to provide us the fiscal years 1996-2001 Future
Years Defense Program in time to include more current estimates in
this report. 


   PLANNED FUNDING FOR THE
   CATEGORIES
------------------------------------------------------------ Letter :2

The planned funding estimates for 12 of the 13 categories for fiscal
years 1995-99 are shown in table 1.  DOD was unable to provide
planned funding estimates for pay and allowances to incarcerated
military personnel, so we discuss this category separately.  We also
present data reported by the Congressional Research Service on
programs that were earmarked by Congress. 



                                     Table 1
                     
                     DOD's Planned Funding for 12 Categories
                              (Fiscal Years 1995-99)

                         (In millions of current dollars)

Category                                                                   Total
---------  ---------  ---------  ---------  ---------  -------------  ----------
Environme   $5,666     $5,331     $4,854     $4,527       $4,582         $24,960
 ntal
Defense      3,312      3,410      3,270      3,328        3,310          16,630
 conversi
 on
DOD          1,253      1,308      1,246      1,313        1,386           6,506
 dependen
 ts
 schools
 and
 Junior
 ROTC
Basic         991       1,036      1,076      1,114        1,148           5,365
 research
Counter-      966        954        966        978         1,003           4,866
 drug
 programs
Humanitar     849        699        700        702          705            3,656
 ian and
 foreign
 assistan
 ce
 programs
Civilian     1,188       780        474        393          370            3,205
 separati
 on pay
 and
 military
 temporar
 y early
 retireme
 nt
 authorit
 y
Grants to     311        321        330        332          343            1,637
 universi
 ties and
 colleges
89th          287        292        296        303          310            1,488
 Military
 Airlift
 Wing
Medical       305        281        254        232          235            1,305
 education
 and
 noncomba
 t-
 related
 medical
 research
Support       71         73         75         76           78               373
 for
 foreign
 military
 sales
Antiterro     15         20         15         13           12                74
 rism
================================================================================
Total       $15,214    $14,505    $13,555    $13,311      $13,483        $70,068
--------------------------------------------------------------------------------
As table 2 shows, the planned funding would come primarily from two
appropriation accounts--(1) operations and maintenance and (2) RDT&E.



                                     Table 2
                     
                      Appropriation Accounts Covering DOD's
                       Planned Funding for Selected Program
                        Categories (Fiscal Years 1995-99)

                         (In millions of current dollars)

Appropria
tion
account                                                                    Total
---------  ---------  ---------  ---------  ---------  -------------  ----------
Operation   $8,537     $8,112     $7,402     $7,304       $7,171         $38,526
 s and
 Maintena
 nce
RDT&E        4,287      4,386      4,381      4,466        4,484          22,004
Other\a      2,390      2,007      1,772      1,541        1,828           9,538
================================================================================
Total       $15,214    $14,505    $13,555    $13,311      $13,483        $70,068
--------------------------------------------------------------------------------
\a Military pay, construction, and procurement. 

Note:  Totals may not add due to rounding. 


      PAY AND ALLOWANCES TO
      INCARCERATED MILITARY
      PERSONNEL
---------------------------------------------------------- Letter :2.1

DOD could not provide future funding estimates for its pay and
allowances to incarcerated military personnel.  However, the Defense
Finance and Accounting Service estimates that DOD currently pays
about $1 million monthly to over 750 prisoners. 

Most military personnel in confinement continue to receive pay and
allowances while awaiting trial or other disposition.  Some
incarcerated military personnel continue to receive pay and
allowances after a sentence has been rendered.  Any forfeiture of pay
is determined by court members or military judges within prescribed
guidelines.  Under Section 857 of Title 10 of the United States Code,
forfeiture may not be applied to any pay or allowances accrued before
a convening authority approves the sentence. 


      FUNDING FOR PROGRAMS
      EARMARKED BY CONGRESS IN THE
      FISCAL YEAR 1995 BUDGET
---------------------------------------------------------- Letter :2.2

In October 1994, the Congressional Research Service reported on
programs in the fiscal year 1995 defense legislation that were not
requested by DOD but were earmarked by Congress.\2 While they may not
be programmed in DOD's future funding plans, some of these programs
would qualify for inclusion in the environmental and medical research
categories.  For example,

Congress earmarked $103 million for environmental cleanup,
conservation, or compliance at a number of military activities. 

Congress earmarked $307 million for medical research.  This included
$150 million for breast cancer research, $50 million for cooperative
DOD and Veterans Administration medical research, $40 million for
women's health research, and $34 million for bone marrow research. 


--------------------
\2 "Items in FY 1995 defense legislation that may not be directly
related to traditional military capabilities" (Oct.  31, 1994). 


   SCOPE AND METHODOLOGY
------------------------------------------------------------ Letter :3

Funding projections through fiscal year 1999 were drawn primarily
from the 1995 Future Years Defense Program published in February
1994.\3 Program descriptions were taken primarily from the DOD Future
Years Defense Program Structure Handbook.  We verified our data with
the Office of the Comptroller, DOD.  In addition to our work at DOD,
we interviewed officials and reviewed pertinent reports from the
Congressional Budget Office and the Congressional Research Service. 
Data on payments to incarcerated military personnel were obtained
from the military services and the Defense Finance and Accounting
Service in Crystal City, Virginia.  We did not obtain written agency
comments.  However, we discussed a draft of this report with
responsible agency officials and have included their comments as
appropriate. 

We conducted our review in January and February 1995 in accordance
with generally accepted government auditing standards. 


--------------------
\3 Program estimates in DOD's Future Years Defense Program are
expressed in total obligational authority.  Total obligational
authority is the sum of (a) new budget authority provided for a given
fiscal year; (b) any balances brought forward from prior years that
may remain available for obligation; and (c) any other amounts
authorized to be credited to a specific fund or account during that
year, including transfers between funds or accounts. 


---------------------------------------------------------- Letter :3.1

We are providing copies of this report to appropriate House and
Senate Committees; the Secretaries of Defense, the Air Force, the
Army, and the Navy; and the Director, Office of Management and
Budget.  We will also provide copies to

If you or your staff have any questions concerning this report,
please call me on (202) 512-3504.  The information for this report
was developed by Robert L.  Pelletier, Assistant Director; William W. 
Crocker III, Evaluator-in-Charge; Shawn M.  Bates, Evaluator; and
Donald Campbell, Evaluator. 

Richard Davis
Director, National Security
 Analysis


DETAILED ESTIMATES FOR SELECTED
CATEGORIES OF DEFENSE FUNDING
(FISCAL YEARS 1995-99)
=========================================================== Appendix I

Tables I.1 through I.10 provide more detailed program estimates for
10 categories.  The support for foreign military sales and the cost
of operating the 89th Military Airlift Wing categories are single
program categories and are therefore not broken down in more detail
in this appendix.  Table totals may not add due to rounding. 



                                    Table I.1
                     
                     DOD's Planned Funding for Environmental
                         Programs (Fiscal Years 1995-99)

                         (In millions of current dollars)

Environme
ntal
programs                                                                   Total
---------  ---------  ---------  ---------  ---------  -------------  ----------
Complianc   $2,978     $2,931     $2,820     $2,575       $2,676         $13,980
 e
Restorati    2,180      2,148      1,904      1,952        1,906          10,090
 on
BRAC          508        252        130         0            0               890
 cleanup
 costs\a
================================================================================
Total       $5,666     $5,331     $4,854     $4,527       $4,582         $24,960
--------------------------------------------------------------------------------
\a BRAC--Base Realignment and Closure. 



                                    Table I.2
                     
                        DOD's Planned Funding for Defense
                     Conversion Programs (Fiscal Years 1995-
                                       99)

                         (In millions of current dollars)

Defense
conversio
n
programs                                                                   Total
---------  ---------  ---------  ---------  ---------  -------------  ----------
Defense      $732       $696       $699       $724         $739           $3,590
 reinvest
 ment
Experimen     609        647        641        620          585            3,102
 tal
 evaluati
 on of
 major
 innovati
 ve
 technolo
 gies
Computing     420        414        464        501          526            2,325
 systems
 and
 communic
 ations
 technolo
 gy
Manufactu     443        500        427        457          382            2,209
 ring
 technolo
 gy
End-item      351        431        334        340          372            1,828
 industri
 al
 prepared
 ness
 activiti
 es
Materials     225        236        253        271          294            1,279
 and
 electron
 ics
 technolo
 gy
Civilian      193        183        179        175          175              905
 training,
 educatio
 n, and
 developm
 ent
Semicondu     90         90         90         90           90               450
 ctor
 manufact
 uring
 technolo
 gy
Industria     95         103        80         77           71               426
 l
 prepared
 ness
Office of     39         41         42         43           44               209
 Economic
 Adjustme
 nt
Productiv     33         35         32         16           17               133
 ity
 investme
 nts
Advanced      21         21         15          0            0                57
 simulati
 on
Civil and     10         10         12         12           11                55
 environm
 ental
 engineer
 ing
 technolo
 gy
Navy          50          0          0          0            0                50
 reinvest
 ment
 program
Small          1          2          2          2            2                 9
 business
 innovati
 ve
 research
 /small
 business
 technolo
 gy
 transfer
================================================================================
Total       $3,312     $3,410     $3,270     $3,328       $3,310         $16,630
--------------------------------------------------------------------------------


                                    Table I.3
                     
                     DOD's Planned Funding for DOD Dependents
                      Schools and Junior ROTC (Fiscal Years
                                     1995-99)

                         (In millions of current dollars)

School
programs                                                                   Total
---------  ---------  ---------  ---------  ---------  -------------  ----------
DOD          $846       $854       $799       $841         $886           $4,226
 overseas
 dependen
 ts
 schools
DOD           262        293        283        306          330            1,474
 dependen
 ts
 Section
 VI
 schools
Junior        144        162        163        166          169              804
 ROTC
================================================================================
Total       $1,253     $1,308     $1,246     $1,313       $1,386          $6,506
--------------------------------------------------------------------------------




                                    Table I.4
                     
                     DOD's Planned Funding for Basic Research
                         Programs (Fiscal Years 1995-99)

                         (In millions of current dollars)

Basic
research
programs                                                                   Total
---------  ---------  ---------  ---------  ---------  -------------  ----------
Defense      $931       $949       $972       $994        $1,016          $4,862
 research
 sciences
In-house      35         38         43         49           55               220
 laborato
 ry
 independ
 ent
 research
Focused       20         21         21         22           23               107
 research
 initiati
 ves
Electric       0         14         24         33           36               107
 vehicles
Electrome      5          8         10         11           12                46
 chanics
 and
 hypervel
 ocity
 physics
Technical      0          5          5          5            5                20
 assistan
 ce
================================================================================
Total        $991      $1,036     $1,076     $1,114       $1,148          $5,365
--------------------------------------------------------------------------------




                                    Table I.5
                     
                      DOD's Planned Funding for Counter-Drug
                         Programs (Fiscal Years 1995-99)

                         (In millions of current dollars)

Counter-
drug
programs                                                                   Total
---------  ---------  ---------  ---------  ---------  -------------  ----------
Counter-     $715       $722       $735       $749         $773           $3,694
 drug
 support
Counter-      223        205        205        203          204            1,040
 drug
 operatio
 nal
 tempo
Counter-      13          9          7          6            7                42
 drug
 Relocata
 ble
 Over-
 the-
 Horizon
 Radar
Military       6          6          6          6            6                30
 drug
 dogs
 counter-
 narcotic
 s
 support
U.S. Army      5          5          6          6            6                28
 Reserve
 and U.S.
 Air
 Force
 Reserve
 support
 to
 Commande
 r-in-
 Chief
 counter-
 narcotic
 s
 activiti
 es
Special        2          5          6          6            6                25
 Operatio
 ns
 Forces
 counter-
 drug
 activiti
 es
Counter-       1          1          1          1            1                 5
 drug
 demand
 reductio
 n
 activiti
 es
================================================================================
Total        $966       $954       $966       $978        $1,003          $4,866
--------------------------------------------------------------------------------


                                    Table I.6
                     
                      DOD's Planned Funding for Humanitarian
                     and Foreign Assistance Programs (Fiscal
                                  Years 1995-99)

                         (In millions of current dollars)

Humanitar
ian and
foreign
assistanc
e
programs                                                                   Total
---------  ---------  ---------  ---------  ---------  -------------  ----------
Former       $400       $400       $400       $400         $400           $2,000
 Soviet
 Union
 threat
 reductio
 n
Contribut     300        150        150        150          150              900
 ion to
 internat
 ional
 peacekee
 ping\a
Miscellan     77         77         78         80           82               393
 eous
 support
 to other
 nations
Humanitar     72         72         73         73           74               364
 ian
 assistan
 ce
================================================================================
Total        $849       $699       $700       $702         $705           $3,656
--------------------------------------------------------------------------------
\a Congress did not approve funds for this program for fiscal year
1995.



                                    Table I.7
                     
                        DOD's Planned Funding for Civilian
                      Separation Pay and Military Temporary
                       Early Retirement Authority Programs
                              (Fiscal Years 1995-99)

                         (In millions of current dollars)

Civilian
separatio
n pay and
military
temporary
early
retiremen
t
authority
programs                                                                   Total
---------  ---------  ---------  ---------  ---------  -------------  ----------
Civilian     $582       $489       $368       $370         $370           $2,179
 separati
 on pay
 and
 health
 benefits
Military      606        291        106        23            0             1,026
 temporary
 early
 retireme
 nt
 authorit
 y
================================================================================
Total       $1,188      $780       $474       $393         $370           $3,205
--------------------------------------------------------------------------------




                                    Table I.8
                     
                       DOD's Planned Funding for Grants to
                     Universities and Colleges (Fiscal Years
                                     1995-99)

                         (In millions of current dollars)

Grants to
universit
ies and
colleges                                                                   Total
---------  ---------  ---------  ---------  ---------  -------------  ----------
Universit    $232       $244       $253       $254         $263           $1,246
 y
 research
 initiati
 ves
Other         63         61         61         63           65               313
 college
 commissi
 oning
 programs
Historica     15         15         15         16           16                77
 lly
 Black
 colleges
 and
 universi
 ties
 science
 and
 engineer
 ing
 educatio
 n
================================================================================
Total        $311       $321       $330       $332         $343           $1,637
--------------------------------------------------------------------------------


                                    Table I.9
                     
                        DOD's Planned Funding for Medical
                     Education and Noncombat-Related Medical
                                Research Programs
                              (Fiscal Years 1995-99)

                         (In millions of current dollars)

Medical
education
and
noncombat
-related
medical
research
programs                                                                   Total
---------  ---------  ---------  ---------  ---------  -------------  ----------
Armed        $128       $144       $163       $183         $203             $821
 Forces
 Health
 Professi
 ons
 Scholars
 hip
 Program
Uniformed     148        107        63         22            5               345
 Services
 Universi
 ty of
 the
 Health
 Sciences
Medical       26         27         25         22           23               123
 free
 electron
 laser
AIDS           3          3          3          3            3                15
 research
================================================================================
Total        $305       $281       $254       $232         $235           $1,305
--------------------------------------------------------------------------------




                                    Table I.10
                     
                     DOD's Planned Funding for Antiterrorism
                         Programs (Fiscal Years 1995-99)

                         (In millions of current dollars)

Antiterro
rism
programs                                                                   Total
---------  ---------  ---------  ---------  ---------  -------------  ----------
Antiterro     $8         $8         $9         $9           $8               $42
 rism
Counter-       6         12          6          4            4                32
 terror
 technica
 l
 support
================================================================================
Total         $15        $20        $15        $13          $12              $74
--------------------------------------------------------------------------------

PROGRAM DESCRIPTIONS
========================================================== Appendix II

The following are descriptions of the programs in the 12 categories
for which we were able to obtain future funding estimates.  Next to
the program titles are the corresponding program element numbers that
appear in the Future Years Defense Program. 


   ENVIRONMENTAL
-------------------------------------------------------- Appendix II:1


      ENVIRONMENTAL COMPLIANCE
      (0101856, 0202056, 0702856,
      AND NUMEROUS OTHER PROGRAM
      ELEMENTS)
------------------------------------------------------ Appendix II:1.1

This program includes activities relating to environmental
compliance, conservation, pollution prevention, and the development
of environmental technology.  Costs required to comply with
applicable environmental laws, regulations, criteria, and standards
include:  workforce, training, travel, supplies, permits, fees,
support equipment, and service and construction contracts. 


      ENVIRONMENTAL RESTORATION
      (0708008)
------------------------------------------------------ Appendix II:1.2

This program covers active and formerly used DOD lands.  It includes
identification, investigation, and cleanup of contamination from
hazardous substances and waste; correction of other environmental
damage at formerly owned or used sites, such as unexploded ordnance
detection and disposal; demolition and removal of unsafe buildings
and structures; debris removal; and reductions in DOD's hazardous
waste generation.  The program includes workforce, equipment,
facilities, and the associated costs specifically identified and
measurable to the Defense Environmental Restoration Program. 


      BRAC CLEANUP COSTS (INCLUDED
      IN OVERALL BRAC FUNDING
      0208004)
------------------------------------------------------ Appendix II:1.3

This program comprises environmental cleanup activities at DOD bases
selected to be closed under the base realignment and closure plan. 
Under the Comprehensive Environmental Response, Compensation, and
Liability Act, the U.S.  government cannot transfer land outside
federal ownership until it warrants that all remedial action
necessary to protect human health and the environment has been taken. 


   DEFENSE CONVERSION
-------------------------------------------------------- Appendix II:2


      DEFENSE REINVESTMENT
      (0603570)
------------------------------------------------------ Appendix II:2.1

This program includes RDT&E funds to support advanced,
pre-competitive undertakings that enhance U.S.  technologies
identified in the DOD Critical Technologies Plan.  The program's goal
is to enhance the industrial manufacturing capabilities of U.S. 
industry and promote the development of critical dual-use
technologies and advanced manufacturing processes. 


      EXPERIMENTAL EVALUATION OF
      MAJOR INNOVATIVE
      TECHNOLOGIES (0603226)
------------------------------------------------------ Appendix II:2.2

This program includes RDT&E funds to demonstrate technology aimed at
providing radically new options for major increases in the
effectiveness of strategic, tactical, command and control, and
communications mission areas.  The program focuses only on projects
requiring significant funding commitments to reduce the risks and
prove the practicality of evolving technologies so that transfer to
the services will be orderly.  The program focuses on carrying the
research and development to a logical point that falls short of
development necessary for specific technology application, so that
the risk factors are fully considered. 


      COMPUTING SYSTEMS AND
      COMMUNICATIONS TECHNOLOGY
      (0602301)
------------------------------------------------------ Appendix II:2.3

Under this program, RDT&E funds are provided to industry and
university contractors for computing and communications technology. 
DOD and other government agencies' in-house labs are also used
extensively. 


      MANUFACTURING TECHNOLOGY
      (0603739 AND 0603705)
------------------------------------------------------ Appendix II:2.4

This program includes RDT&E funds to (1) consolidate four major
manufacturing technology programs within the Advanced Research
Projects Agency and (2) establish new information or refine existing
information that defines industrial processes, techniques, or
equipment used specifically to produce material or components of
material used by DOD.  These four programs within the Advanced
Research Projects Agency are the SEMATECH program, which is
developing advanced manufacturing capabilities and methods for
semiconductors used in weapon systems; the Microwave/millimeter
Monolithic Integrated Circuits program, which is to accelerate
development of affordable microwave and millimeter wave analog
integrated circuits; the Infrared Focal Plane Array program, which is
to develop and establish a manufacturing base for advanced infrared
sensor arrays; and a program for the development of improved
manufacturing of tools, processes, computer-aided engineering,
modeling, computer-integrated manufacturing, and concurrent
engineering to improve the productivity of the U.S.  industrial
manufacturing base. 


      END-ITEM INDUSTRIAL
      PREPAREDNESS ACTIVITIES
      (0708045)
------------------------------------------------------ Appendix II:2.5

Included in this program are workforce, equipment, facilities, and
associated costs specifically identifiable to the management of
end-item industrial preparedness activities. 


      MATERIALS AND ELECTRONICS
      TECHNOLOGY (0602712)
------------------------------------------------------ Appendix II:2.6

This program includes funds for research on the ceramic turbine,
integrated circuits, and reliability and materials manufacturing
methods, that is, programs using new materials, materials
demonstrations, materials processing, and manufacturing methods. 


      CIVILIAN TRAINING,
      EDUCATION, AND DEVELOPMENT
      (0808751)
------------------------------------------------------ Appendix II:2.7

This program comprises all costs and workforce authorizations for
centrally managed programs for the training, education, and
development of DOD civilian executives, management officials,
supervisors, and employees (as identified under the Government
Employees Training Act and Titles IV and V of the Civil Service
Reform Act of 1978).  Also included are the training and development
of all interns in civilian career management programs, prescribed
pursuant to DOD directives. 


      SEMICONDUCTOR MANUFACTURING
      TECHNOLOGY (0603745)
------------------------------------------------------ Appendix II:2.8

This program includes resources to develop (1) advanced manufacturing
methods for semiconductors used in weapon systems and (2) projects to
develop computer manufacturing software, tools, and methodologies to
meet defense needs. 


      INDUSTRIAL PREPAREDNESS
      (0708011)
------------------------------------------------------ Appendix II:2.9

This program includes resources required for all plans and measures
necessary to establish and maintain an industrial base, both
government-owned and privately owned, that is required to support
current wartime or other contingency military requirements.  The
program provides for industrial preparedness measures, such as
modernization and preservation of the production facilities, and
contributory activities and services for planning with industry.  The
program includes workforce, equipment, facilities, and associated
costs. 


      OFFICE OF ECONOMIC
      ADJUSTMENT (0901525)
----------------------------------------------------- Appendix II:2.10

This program includes workforce, equipment, facilities, and
associated costs specifically identified with the Office of Economic
Adjustment. 


      PRODUCTIVITY INVESTMENTS
      (0901215)
----------------------------------------------------- Appendix II:2.11

This program includes resources to finance productivity-enhancing
capital investments, including DOD component-sponsored investments. 


      ADVANCED SIMULATION
      (0603744)
----------------------------------------------------- Appendix II:2.12

Under this program, simulation technology is developed to enhance the
training of National Guard brigades. 


      CIVIL AND ENVIRONMENTAL
      ENGINEERING TECHNOLOGY
      (0603723)
----------------------------------------------------- Appendix II:2.13

In this program, RDT&E funds are used to advance civil engineering,
environmental quality, and facilities energy technology essential to
meet current and future Air Force requirements and enhance the
survivability of tactical and strategic forces. 


      NAVY REINVESTMENT PROGRAM
      (0603572, 0601572, AND
      0602572)
----------------------------------------------------- Appendix II:2.14

This program promotes the creation of new cost-effective technologies
to meet future Navy requirements; helps translate new military
technology into practical economic use; and encourages Navy
applications of lower cost commercial technology. 


      SMALL BUSINESS INNOVATIVE
      RESEARCH/SMALL BUSINESS
      TECHNOLOGY TRANSFER
      (0602790)
----------------------------------------------------- Appendix II:2.15

This program includes funds to promote technology transfer for
innovative research in small businesses.  DOD is required by law to
set aside a percentage of its external research and development funds
for small businesses.


   DOD DEPENDENTS SCHOOLS AND
   JUNIOR ROTC
-------------------------------------------------------- Appendix II:3


      DOD OVERSEAS DEPENDENTS
      SCHOOLS (0808715)
------------------------------------------------------ Appendix II:3.1

This program includes funds for facilities, operations, and personnel
costs related to the supervision and conduct of DOD's dependent
education programs overseas.


      DOD DEPENDENTS
      SECTION VI SCHOOLS (0808717)
------------------------------------------------------ Appendix II:3.2

When appropriate free public education is unavailable in the nearby
community, some dependents of federal employees residing on federal
property are eligible for alternative free education (Section VI
schools).  This program includes funds for facilities, operations,
and personnel costs related to the planning, supervision, and conduct
of this education program. 


      JUNIOR ROTC (0809721)
------------------------------------------------------ Appendix II:3.3

In this program, students at selected civilian secondary schools are
trained in military subjects.  This program includes workforce
associated costs. 


   BASIC RESEARCH
-------------------------------------------------------- Appendix II:4


      DEFENSE RESEARCH SCIENCES
      (0601101, 0601102, AND
      0601153)
------------------------------------------------------ Appendix II:4.1

This program includes RDT&E funds for universities and organizations
to support basic and applied research in the physical, engineering,
environmental, biological-medical, and behavioral-social sciences
related to long-term national security needs. 


      IN-HOUSE LABORATORY
      INDEPENDENT RESEARCH
      (0601101, 0601152, AND
      0603250)
------------------------------------------------------ Appendix II:4.2

This program includes RDT&E funds necessary for individual scientists
and engineers to maintain and increase their professional competence
by doing original work in areas suited to their research talents. 
The program is one vehicle DOD utilizes to strengthen scientific and
engineering competence, improve morale, aid scientific and technical
personnel recruitment and retention within research and development
laboratories, and facilitate communication and interaction in the
scientific community. 


      FOCUSED RESEARCH INITIATIVES
      (0601110)
------------------------------------------------------ Appendix II:4.3

This program funds DOD-wide research projects that directly support
the major emphasis areas in DOD's science and technology strategy. 
Each project's work will be performed by teams of research groups in
industry, universities, and federal laboratories. 


      ELECTRIC VEHICLES (0603747)
------------------------------------------------------ Appendix II:4.4

This program provides for the development of component hybrid
electric drive technologies into a range of vehicles, including
lightweight pickup trucks, medium-size buses, four-wheeled tactical
vehicles, and a variety of combat vehicles. 


      ELECTROMECHANICS AND
      HYPERVELOCITY PHYSICS
      (0601104)
------------------------------------------------------ Appendix II:4.5

This program includes funds for the Federally Funded Research and
Development Center in electromechanics and hypervelocity physics that
supports the Army's tactical programs.  This supports research for
electromechanical systems used in electric guns and their subsystems
and components. 


      TECHNICAL ASSISTANCE
      (0601113)
------------------------------------------------------ Appendix II:4.6

This program includes resources to increase the number of small
disadvantaged businesses, historically Black colleges and
universities, and other minority institutions competing for
DOD-funded programs. 


   COUNTER-DRUG PROGRAMS
-------------------------------------------------------- Appendix II:5


      COUNTER-DRUG SUPPORT
      (0207575 AND 0208889)
------------------------------------------------------ Appendix II:5.1

This program funds command, control, communication, and
non-intelligence assets dedicated to the detection of illegal drugs;
equipment required for drug interdiction and eradication; and
procurement, construction, and RDT&E for operational systems in
support of counter-drug activities. 


      COUNTER-DRUG OPERATIONAL
      TEMPO (0201189)
------------------------------------------------------ Appendix II:5.2

This program includes personnel and operational costs for the
services in support of DOD's counter-narcotics activities. 


      COUNTER-DRUG RELOCATABLE
      OVER-THE-HORIZON RADAR
      (0204577)
------------------------------------------------------ Appendix II:5.3

Relocatable Over-the-Horizon Radar systems support the Atlantic and
Southern Commands' tactical surveillance requirements.  This program
includes the funds necessary to acquire, staff, operate, and maintain
these systems. 


      MILITARY DRUG DOGS
      COUNTER-NARCOTICS SUPPORT
      (0901223)
------------------------------------------------------ Appendix II:5.4

This program includes activities funded by the DOD drug interdiction
and counter-drug activities account that pertain to DOD's military
working dog counter-drug support. 


      U.S.  ARMY RESERVE AND AIR
      FORCE RESERVE SUPPORT TO
      COMMANDERS-IN-CHIEF
      COUNTER-NARCOTICS ACTIVITIES
      (0502989)
------------------------------------------------------ Appendix II:5.5

This program includes workforce and related costs that support the
Commanders-in-Chief counter-narcotics activities. 


      SPECIAL OPERATIONS FORCES
      COUNTER-DRUG ACTIVITIES
      (1120438)
------------------------------------------------------ Appendix II:5.6

This program includes civilian workforce and applicable costs for
Army and Air Force Special Operations Forces counter-drug activities. 


      COUNTER-DRUG DEMAND
      REDUCTION ACTIVITIES
      (0808789)
------------------------------------------------------ Appendix II:5.7

This program includes civilian workforce and applicable costs for
DOD's drug demand reduction activities. 


   HUMANITARIAN AND FOREIGN
   ASSISTANCE PROGRAMS
-------------------------------------------------------- Appendix II:6


      FORMER SOVIET UNION THREAT
      REDUCTION (0901515)
------------------------------------------------------ Appendix II:6.1

This program includes resources to assist former Soviet Union
countries in destroying nuclear, chemical, and other weapons;
transporting, storing, and safeguarding weapons in connection with
their destruction; and establishing verifiable safeguards against
proliferation. 


      CONTRIBUTION TO
      INTERNATIONAL PEACEKEEPING
      (0901515)
------------------------------------------------------ Appendix II:6.2

This program includes funds for international peacekeeping and U.S. 
peace enforcement activities.  The $300 million programmed by DOD for
fiscal year 1995 was not approved by Congress. 


      MISCELLANEOUS SUPPORT TO
      OTHER NATIONS (1001010)
------------------------------------------------------ Appendix II:6.3

This program includes funds for nonsecurity assistance activities. 
Included are DOD military and civilian workforce, equipment,
facilities, and associated costs. 


      HUMANITARIAN ASSISTANCE
      (1001016)
------------------------------------------------------ Appendix II:6.4

This program includes funds for humanitarian purposes.  The funds are
for non-lethal DOD excess property and supplies provided to foreign
governments and recipients. 


   CIVILIAN SEPARATION PAY AND
   MILITARY TEMPORARY EARLY
   RETIREMENT AUTHORITY PROGRAMS
-------------------------------------------------------- Appendix II:7


      CIVILIAN SEPARATION PAY AND
      HEALTH BENEFITS (FUNDED
      UNDER SEVERAL PROGRAM
      ELEMENTS)
------------------------------------------------------ Appendix II:7.1

This program includes operations and maintenance funding to cover the
costs associated with the reduction-in-force of DOD civilian
employees.  These costs include separation pay and bonuses, payment
for unused annual leave, the costs of health coverage for these
employees for 18
months following their separation, and other costs. 


      MILITARY TEMPORARY EARLY
      RETIREMENT AUTHORITY (FUNDED
      UNDER SEVERAL PROGRAM
      ELEMENTS)
------------------------------------------------------ Appendix II:7.2

This program includes temporary authority to cover the costs
associated with payments to military personnel with 15 years or more
of service who may retire at a reduced annuity commensurate with
their years of service.



   89TH MILITARY AIRLIFT WING
   (FUNDED UNDER SEVERAL PROGRAM
   ELEMENTS)
-------------------------------------------------------- Appendix II:8

The Air Force's 89th Military Airlift Wing provides worldwide airlift
for the President, the Vice President, and other high- ranking
dignitaries of the United States and foreign governments.  When not
used for higher priority purposes, 20 of the 22 aircraft in the 89th
Wing's inventory are available for many executive and legislative
branch officials and their parties.  The wing's other two aircraft
are for the President's exclusive use.  This program includes funding
for workforce and operations and maintenance costs. 


   GRANTS TO UNIVERSITIES AND
   COLLEGES
-------------------------------------------------------- Appendix II:9


      UNIVERSITY RESEARCH
      INITIATIVES (0601103)
------------------------------------------------------ Appendix II:9.1

This program provides funds to universities and colleges to conduct
instrumentation research, fund graduate fellowships, and conduct
faculty development and potentially high-payoff research projects in
emerging technologies such as materials and structures,
biotechnology, computer sciences, and microelectronics. 


      OTHER COLLEGE COMMISSIONING
      PROGRAMS (0804724)
------------------------------------------------------ Appendix II:9.2

This program includes workforce, equipment, facilities, and other
costs associated with training; tuition; and pay and allowances for
participants in college commissioning programs. 


      HISTORICALLY BLACK COLLEGES
      AND UNIVERSITIES SCIENCE AND
      ENGINEERING EDUCATION
      (0602228)
------------------------------------------------------ Appendix II:9.3

This program provides funds for science and engineering education at
colleges and universities that have historically been Black (or other
minority) institutions. 


   MEDICAL EDUCATION AND
   NONCOMBAT-RELATED MEDICAL
   RESEARCH
------------------------------------------------------- Appendix II:10


      ARMED FORCES HEALTH
      PROFESSIONS SCHOLARSHIP
      PROGRAM (0806722)
----------------------------------------------------- Appendix II:10.1

This program includes costs specifically identified to the Armed
Forces Health Professions Scholarship Program. 


      UNIFORMED SERVICES
      UNIVERSITY OF THE HEALTH
      SCIENCES (0806721)
----------------------------------------------------- Appendix II:10.2

This program includes workforce, equipment, facilities, and
associated costs (including instructional support) for the
establishment, operation, and maintenance of the Uniformed Services
University of the Health Sciences. 


      MEDICAL FREE ELECTRON LASER
      (0602227)
----------------------------------------------------- Appendix II:10.3

This program includes costs associated with the exploitation of
unique features of free electron lasers in medical and materials
science research. 


      AIDS RESEARCH (0603105)
----------------------------------------------------- Appendix II:10.4

This congressionally directed program funds research to protect
military populations against Acquired Immune Deficiency Syndrome. 


   SUPPORT FOR FOREIGN MILITARY
   SALES (FUNDED UNDER SEVERAL
   PROGRAM ELEMENTS)
------------------------------------------------------- Appendix II:11

The foreign military sales program is the government-to-government
channel for selling U.S.  defense equipment, services, and training
to allied and friendly foreign governments.  The Defense Security
Assistance Agency is the DOD component responsible for foreign
military sales.  The funding represents the unreimbursed costs of
military personnel assigned to foreign military sales activities. 

In addition, DOD participates in international military air shows and
trade exhibitions.  In fiscal year 1994, the unreimbursed costs of
DOD's participation at these activities was about $1 million. 


   ANTITERRORISM ACTIVITIES
------------------------------------------------------- Appendix II:12


      ANTITERRORISM (0208047)
----------------------------------------------------- Appendix II:12.1

This program includes workforce, antiterrorism equipment,
construction, procurement, and training costs associated with the Air
Force's antiterrorism program. 


      COUNTER-TERROR TECHNICAL
      SUPPORT (0602222)
----------------------------------------------------- Appendix II:12.2

This program funds the development of technology and initial
prototype equipment with direct operational application in
counter-terrorism activities.