BY ORDER OF THE AIR FORCE INSTRUCTION 65 …

1 BY ORDER OF THE AIR FORCE INSTRUCTION 65-601, SECRETARY OF THE AIR FORCE VOLUME 1. 16 AUGUST 2012. Incorporating Change 1, 29 July 2015. Financial Management BUDGET GUIDANCE AND. PROCEDURES. COMPLIANCE WITH THIS PUBLICATION IS MANDATORY. ACCESSIBILITY: Publications and forms are available for downloading or ordering on the e-Publishing website at RELEASABILITY: There are no releasability restrictions on this publication. OPR: SAF/FMBMM Certified by: SAF/FMB. (MGen Edward L. Bolton, Jr.). Supersedes: AFI65-601V1, 3 March 2005 Pages: 413. This INSTRUCTION aligns with and implements AFPD 65-6, USAF Budget Policy. Volume 1. contains rules and procedures for using Air FORCE appropriated funds. In cases of conflict with other Air FORCE instructions or policy directives, the funding propriety rules stated here take precedence.

2 This publication applies to all military and civilian Air FORCE personnel, including the US Air FORCE Reserve, Air National Guard (ANG), and the Civil Air Patrol. Refer recommended changes and questions about this publication to SAF/FMBMM using the AF. Form 847, Recommendation for Change of Publication; route AF Form 847s from the field through the appropriate functional's chain of command. Ensure that all records created as a result of processes prescribed in this publication are maintained in accordance with AFMAN 33- 363, Management of Records, and disposed of in accordance with the Air FORCE Records Disposition Schedule (RDS) located at SUMMARY OF CHANGES. This interim change revises AFI 65-601, Volume 1, by (1) adding the Defense Working Capital Fund (DWCF) will not fund the movement of DWCF materiel moving to a Centralized Repair Facility (CRF) to be repaired/refurbished or from a CRF back to the point of use, (2) stating the Second Destination Transportation (SDT) Centrally Managed Allotment (CMA) will also be used to fund Repair Network Manager (RNM) directed shipments to/from CRFs in support of the 2 AFI65-601V1 16 AUGUST 2012.

3 Repair Network Enterprise, and (3) to update tables and A margin bar (|) indicates changed material. Chapter 1 FINANCIAL MANAGEMENT IN THE AIR FORCE 27. Overview.. 27. Applying This INSTRUCTION .. 27. Responsibilities.. 27. Related Guidance.. 27. Chapter 2 WARRANTS, APPORTIONMENTS, TRANSFERS, AND. REPROGRAMMING 28. Overview.. 28. Responsibilities: .. 28. Reprogrammings:.. 28. Congressional New Start Notification 29. Deferrals and Rescissions.. 31. Chapter 3 BUDGET AUTHORIZATION, ALLOCATIONS, AND ALLOTMENTS 32. Administering Budget Authority Documents: .. 32. Basis for Budget Authorizations: .. 33. Expired Year Budget Authorizations.. 33. Using Allocations and Suballocations: .. 33. Using Allotments and Suballotments: .. 34.

4 Issuing Budget Authorizations and 34. Operating Centrally Managed Allotments (CMA): .. 36. Year-End Adjustments:.. 37. Using AF Form 401, Budget Authority/Allotment: .. 38. Locally Prescribed Forms and Formats.. 39. Emergency Funding 40. Figure Designation of Appropriation Managers.. 40. AFI65-601V1 16 AUGUST 2012 3. Chapter 4 BUDGETING AND FUNDING GUIDANCE FOR VARIOUS. APPROPRIATIONS 42. Section 4A Obligating Funds During the Last Two Months of the Fiscal Year. 42. Applying the 20-Percent Limit on Obligations.. 42. Figure Exceptions to the 20-Percent Limit on Obligations in August and 42. This paragraph intentionally left blank.. 42. Section 4B Information Technology Equipment (ITE) and Resources 43. Budgeting and Funding for General Purpose ITE.

5 43. O&M Funded Facilities and Activities.. 44. RDT&E Funded Facilities and Activities.. 46. Defense Working Capital Fund (DWCF) Facilities and Activities.. 46. Site Preparation.. 46. Table Funding for Information Technology Equipment (ITE) Site Preparation.. 46. Embedded Computers.. 46. Funding Other Equipment with Computers.. 49. Information Technology (IT) Summary Considerations.. 49. Table Information Technology Major Considerations (not sequential).. 49. Section 4C Honoraria 49. Approving Honoraria and Speaking Fees.. 50. Table Honoraria Approval Thresholds.. 50. Section 4D Emergency and Special Program (ESP) Codes 51. Table Assigning ESP Codes.. 51. Reserved For Future Use.. 51. Using ESP Codes: .. 51. Section 4E Technical Data 51.

6 Financing the Procurement and Printing of Technical Data.. 51. Funding Engineering Drawing Requirements: .. 53. 4 AFI65-601V1 16 AUGUST 2012. Commercial Manuals.. 53. Technical Data for Replenishment Spares Procurement.. 53. Technical Data for Common Support 54. Section 4F Space Launch Support Services 54. Financing Launch Services.. 54. Propellants Funding.. 54. Section 4G Organizational, Intermediate, and Depot Logistic Support Provided By Contractors 54. Funding Contractor Support Programs: .. 54. Determining the Funds Chargeable.. 56. Section 4H Prompt Payment Act ( 97-177, 5 CFR Part 1315, 31 Section 3901-3906) 56. Financing Prompt Payment Charges:.. 56. Assigning Data Elements: .. 57. Section 4I Telephone System Costs 58.

7 Funding Advance Deposits for Installation Costs of Telephone Cable Required for New Family Housing.. 58. Funding Other Telephone Activities:.. 58. Figure Funding for Installation and Maintenance of Telephone Wiring Used for Commercial "Unofficial" Telephone Service.. 60. Section 4J USAF Heritage Program 60. USAF Heritage Program (USAFHP) and associated activities.. 62. Section 4K Ethnic and Holiday Observances, Traditional Ceremonies, and Entertainment 63. Ethnic and Holiday Observances Funding Guidance: .. 63. Traditional 63. Entertainment.. 65. Section 4L Awards, Award Ceremonies and Gifts 66. Awards and Gifts.. 66. Civilian Performance Awards.. 69. AFI65-601V1 16 AUGUST 2012 5. Refreshments at Awards Ceremonies.. 69. Section 4M Chapel and Chaplain Programs 71.

8 Funding Guidance.. 71. Section 4N Criteria for Determining Expense and Investment Costs 71. Distinguishing Between Expense and Investment Costs.. 71. Investment Cost Decision.. 72. Figure Decision Making Factors for Investment Cost.. 72. Section 4O Licencing of Intellectual Property 73. 73. Programmatic Directives.. 73. Accounting.. 73. Fee/Royalty Purposes.. 73. Excess Fees/Royalties.. 73. Accounting Codes.. 73. Section 4P Other Guidance 74. Personalized 74. Business and Greeting Cards: .. 74. Housing Damage Liability: .. 75. Buying Books, Periodicals, Newspapers and Pamphlets: .. 75. Funding Consecutive Overseas Tours.. 75. Appliances and Furnishings.. 75. Retiree Activities Programs.. 75. Section 4Q Meals, Conferences, Training, and Fees 76.

9 Use of Appropriated Funds for Meals and Light Refreshments.. 76. Funding for Air FORCE Sponsored Conferences.. 77. Non-government Sponsored Conferences.. 78. 6 AFI65-601V1 16 AUGUST 2012. Government (non-Air FORCE ) Sponsored Conferences.. 78. Avoiding Double Recovery for Meals.. 79. Scientific, Technical, and Professional Symposiums, Conferences, and Similar 79. Veterinary Services: .. 79. Membership in Professional Organizations.. 79. Special Drinking 80. CREEK SWEEP Credits.. 80. Licenses and Certificates for Military 81. Service Contracts Crossing Fiscal Years.. 81. Air Navigation and Overflight Fees.. 82. Landing and Parking 82. Funding for Athletic Supplies and Fitness Equipment.. 82. Real Property Damage Recovery.

10 83. Undefinitized Contractual Actions (UCA).. 83. Flag for Active Duty Military Retirees.. 83. Memorials and Monuments.. 84. Cable TV in Dormitories.. 84. Heart Link Program.. 84. Temporary Authority to Hire Contract Security Guards.. 84. Exemption of Certain Firefighting Contracts from Prohibition on Contracts for Performance of Firefighting Functions.. 84. Section 4R Planning and Tracking Obligations and Outlays 85. Supplementing OSD Appropriations (97X) with O&M 3400 Funds.. 85. Submitting Outlay Plans.. 85. Planning: .. 85. Tracking.. 86. AFI65-601V1 16 AUGUST 2012 7. Chapter 5 APPROPRIATION REIMBURSEMENTS AND REFUNDS 87. Section 5A Appropriation Reimbursements 87. General Reimbursement Guidance: .. 87. Responsibilities for Developing Anticipated Reimbursements.