Active

There are no SAMM Changes as a result of this Policy Memo.

Guidance in Attachment is Active until the completion of the shut down of Afghanistan Security Forces Fund (ASFF).

References DSCA 22-03 and DSCA 20-86.

DoD Shield

DEFENSE SECURITY COOPERATION AGENCY 
2800 DEFENSE PENTAGON 
WASHINGTON, D.C. 20301-2800

 

9/1/2022

 

MEMORANDUM FOR :

DEPUTY UNDER SECRETARY OF THE AIR FORCE FOR INTERNATIONAL AFFAIRS 
DEPUTY ASSISTANT SECRETARY OF THE ARMY FOR DEFENSE EXPORTS AND COOPERATION 
DEPUTY ASSISTANT SECRETARY OF THE NAVY FOR INTERNATIONAL PROGRAMS 
DIRECTOR, DEFENSE CONTRACT MANAGEMENT AGENCY 
DIRECTOR, DEFENSE INFORMATION SYSTEMS AGENCY 
DIRECTOR, DEFENSE LOGISTICS AGENCY 
DIRECTOR, DEFENSE THREAT REDUCTION AGENCY 
DIRECTOR, MISSILE DEFENSE AGENCY 
DIRECTOR, NATIONAL GEOSPATIAL-INTELLIGENCE AGENCY 
DIRECTOR FOR SECURITY ASSISTANCE, DEFENSE FINANCE AND ACCOUNTING SERVICE - INDIANAPOLIS OPERATIONS 
DIRECTOR OF CYBERSECURITY DIRECTORATE AND DEPUTY NATIONAL MANAGER FOR NATIONAL SECURITY SYSTEMS, NATIONAL SECURITY AGENCY

SUBJECT :

Defense Security Cooperation Agency Policy Memorandum 22-42, Afghanistan Security Forces Fund Existing Obligations

REFERENCE :

 

  1. Defense Security Cooperation Agency Policy 22-03, Closure Guidance for Certain Afghanistan Security Forces Fund (ASFF)-Funded Building Partner Capacity Cases, March 7, 2022
  2. Defense Security Cooperation Agency Policy 20-86, Clarification to Department of Defense Appropriated Building Partner Capacity (BPC) Accounting Interim Solution, January 29, 2021

 

The attached table provides guidance regarding whether an existing Afghanistan Security Forces Fund (ASFF) obligation requires corrective action, based on the date an ASFF obligation was incurred. The table provides guidance as to how to apportion expenses between the ASFF appropriation and the military department responsible for disposition of the ASFF-funded property, now treated as DoD stocks.

In accordance with reference (a), Implementing Agencies will not process any new ASFF-funded procurements or make any new ASFF obligations with any ASFF funding for equipment treated as DoD stocks. ASFF funds are available for equitable adjustments or contingent liabilities related to ASFF obligations properly incurred before the date ASFF-funded property is treated as DoD Stocks. In accordance with reference (b), when an ASFF case is reduced in scope or cancelled, the below-the-line Administrative Surcharge is adjusted downward.

If you have questions concerning this memorandum, please contact Jennifer Robey, Financial Policy & Regional Execution Directorate, Financial Policy Division, (571) 236-0341, jennifer.e.robey.civ@mail.mil.

 

J. Aaron Harding 
Chief Operating Officer and Chief Financial Officer 
Defense Security Cooperation Agency

ATTACHMENT : 
As stated

Attachment 
Guidance for Allowable Uses of Afghanistan Security Forces Fund (ASFF) Obligations after Section 1532 Notification to Congress - Existing ASFF Funds Obligations/Contract Termination

(For Guidance Concerning New ASFF Obligations See DSCA Policy Memo 22-03)

 

ASFF obligation properly incurred prior to date ASFF-funded property is treated as DoD stocks

ASFF obligation not properly incurred prior to the date ASFF-funded property is treated as DoD stocks

Equipment Procurement 
(see Note 1)

Contract Termination for convenience required unless it is more economical to continue with ASFF procurement - ASFF responsible for Contract Performance and Termination Costs (if any)

Obligation of ASFF funds not allowed -- Expense must be charged to a Service account

Non-Severable Defense Service Contract Support (such as repair or overhaul)

Contract Termination for convenience required unless it is more economical to continue with ASFF procurement - ASFF responsible for Contract Performance and Termination Costs (if any)

Obligation of ASFF funds not allowed -- Expense must be charged to a Service account

Severable Defense Service Contract Support (such as contractor provided storage)

If period of performance extends after property is treated as DoD stocks, a contract modification is required to ensure the cost of services provided, as of the date the equipment is treated as DoD stocks, are funded by the relevant Service.

Obligation of ASFF funds not allowed -- Expense must be charged to a Service account

Transportation

Valid ASFF expense - No Corrective Action

Obligation of ASFF funds not allowed -- Expense must be charged to a Service account

DoD Provided Storage

Valid ASFF expense if DoD support provided prior to date ASFF-funded property is treated as DoD stocks

Use of ASFF funds not allowed for DoD support provided on or after the date ASFF-funded property is treated as DoD stocks -- Expense must be charged to a Service account

DoD Manpower Costs (Including program management)

Valid ASFF expense if DoD support provided prior to date ASFF-funded property is treated as DoD stocks

Use of ASFF funds not allowed for DoD support provided on or after the date ASFF-funded property is treated as DoD stocks -- Expense must be charged to a Service account

Contingent/antecedent liabilities (including upward adjustments) not involving any new work

Valid ASFF expense if original contract obligation properly incurred before the date ASFF-funded property is treated as DoD Stocks

Valid ASFF expense if original contract obligation properly incurred before the date ASFF-funded property is treated as DoD Stocks

Notes:

  1. Contract Definitization - If prior ASFF contract obligations are permissible in alignment with the above guidance, additional ASFF funds would be used for definitization.
  2. ASFF Case (Below-the-Line) Administrative Charge - If an ASFF case is reduced in scope or cancelled, the FMS Administrative surcharge is adjusted in accordance with existing SAMM guidance.
  3. ASFF obligations must have occurred during the funds period of availability.
  4. ASFF expenditures must occur prior to funds cancellation.
  5. All ASFF-funded construction in Afghanistan should have been previously terminated for convenience.
  6. If a prior contract obligation, incurred before an item is treated as DoD stocks, provides a service for which severable and non-severable costs are not segregated, if possible, a contract modification should be completed to segregate the severable service costs. Whether it's feasible to segregate costs for severable and non-severable services needs to be analyzed in the context of the individual contract.
  7. This table deals with the proper accounts to be charged for expenses once ASFF-funded equipment was treated as DoD stocks. It is not intended to imply, the legal propriety of any obligation of ASFF between August 15, 2021 and the date ASFF-funded equipment was treated as DoD stocks.