Defense National Stockpile Holding Costs
Abstract
This report documents the development of annual holding costs for the Defense National Stockpile (DNS) commodities. Three annual cost-to-hold factors are presented for use in analyses with different levels of specificity: a marginal cost-to-hold factor that would be applicable to a small portion(s) of the DNS, the selling or buying of which would impact only direct operating costs with no changes in space requirements or overhead costs; a total cost-to-hold factor that would be applicable for large scale changes that impact the overhead structure of the DNS; and a cost-to-hold factor for commodities that are currently excess which uses specific storage costs rather than an overall average. Based on the treatment of market gain, the actual holding costs for FY 89 were estimated to range from $356.2 million to $747.3 million.
Document Details
- Document Type
- Technical Report
- Publication Date
- May 01, 1990
- Accession Number
- ADA233575
Entities
People
- James W. Anderson
Organizations
- Defense Logistics Agency