First Destination Transportation: The Case for a Consistent Funding Policy.

Abstract

Current funding policies for first destination transportation costs distinguish between shipments made under free on board (FOB) origin and those made under FOB destination terms. This paper presents the case for a consistent funding policy for both. Specifically, FOB origin shipments should be funded in the same manner as shipments made FOB destination--the cost of shipment should be financed by the same funds that were used to acquire the item regardless of shipment terms. This approach is logical, consistent with generally accepted accounting principles, and alleviates several problem at the execution level, including potential Anti-Deficiency Act violations, unmatched disbursements, and unnecessary workload. The paper includes recommended actions necessary for SAF/FMB to implement this policy change.

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Document Details

Document Type
Technical Report
Publication Date
Jan 01, 1995
Accession Number
ADA296138

Entities

People

  • Kenney W. Hamm

Organizations

  • Air University

Tags

Communities of Interest

  • Air Platforms
  • Weapons Technologies

DTIC Thesaurus Topics

  • Accounting
  • Air Force
  • Business Administration
  • Commercial Aircraft
  • Contracts
  • Disbursements
  • End Items
  • Finance
  • Financial Management
  • Government Procurement
  • Governments
  • Payment
  • Procurement
  • Professional Development
  • Test And Evaluation
  • Transportation
  • Universities

Readers

  • Aerospace logistics and air mobility.
  • Defense Financial Management and Audit.
  • Public Financial Management and Budgeting