UNITED STATES AIR FORCE

ADMINISTRATIVE RECORD

FY 2013 FURLOUGH APPEALS 

TABLE OF CONTENTS

Part 3: Tabs 31-40

Tab Date Description

31. Undated Fiscal year 2013 (FY13) Sequestration Guidance, Change #2

32. 4 Apr 13 OMB Memorandum, “Ongoing Implementation of the Joint Committee

Sequestration”

33. 14 May 13 SecDef Memo Directing Furloughs

34. 14 May 13 Declaration of AF/A1, Mr. Robert E. Corsi, regarding Furlough

35. 15 May 13 Declaration of SAF/FM, Ms. Marilyn Thomas, regarding Furlough

36. 15 May 13 Office of the Director of National Intelligence (DNI), Furlough Decision

Announced

37. 16 May 13 SAF/GC to SAF/FM, “Legality of Furloughing Working Capital Fund

Employees”

38. 17 May 13 SECAF & CSAF, “Painful Decision”

39. 21 May 13 Email: Honorable Jessica Wright, Acting Under Secretary of Defense (Personnel 

& Readiness), “Exception of Sexual Assault Prevention and Response Personnel 

from Furlough Actions”

40. 23 May 13 Under Secretary of Defense, “Additional Guidance for Handling Budgetary

Uncertainty in Fiscal Year 2013”
- UNDER SECRETARY OF THE AIR FORCE 

WASHINGTON 

MEMORANDUM FOR ALMAJCOM/CC 

SUBJECT: Fiscal Year 2013 (FY13) Sequestration Guidance, Change #2 

References: 

1. 11 Mar 2013 USecAF & VCSAF memorandum "Fiscal Year 2013 (FY13) Sequestration 

Guidance, Change # 1" 

2. 19 Mar 2013 SAF/PA "Supplemental Guidance on Civic Engagements during 

Sequestration" 

3. 28 Feb 2013 USecAF & VCSAF memorandum "FiscaL Year 2013 (FY13) Sequestration 

Guidance" 

4. 10 Jan 2013 DSD memorandum "Handling Budgetary Uncertainty in Fiscal Year 2013" 

5. 5 Mar 2013 USD (Comptroller) memorandum "Additional Guidance for Handling 

Budgetary Uncertainty in Fiscal Year 2013" 

6. 21 Feb 2013 OASD Total Force Management and Budgetary Uncertainty 

7. 15 Feb 2013 AF ITSpending Memo 

8. 20 Feb 2013 AF Furlough Guidance 

9. 13 Feb 2012 SAF/AA Memo, Suspension ofTop Secret Periodic Reinvestigations 

10.5 Mar 2013 AF/A4/7 Memo, Blanket Waiver for Military Working Dog Teams on 

U.S. Secret Service POTUSNPOTUS Support Missions 

11. 20 Mar 2013 AF/A1S Memo, Policy Clarification Regarding Implications of 

Sequestration ofNonappropriated (NAF) and Nonappropriated Fund 

Instrumentality (NAFI) Activities and Expenditures 

On 1 March 2013, we expect to absorb over $12B in sequestration reductions while we 

simultaneously work to mitigate an OCO shortfall of approximately $1.8B and operate under a 

highly restrictive Continuing Resolution. A reduction of this magnitude would be devastating to 

our mission and our people, but, since it appears sequestration cannot be avoided, we must take 

further actions to significantly slow spending to operate within mandated budget limitations. 

Implementation of these actions should be structured as best possible to minimize short- and 

long-term harm to our people and our unit readiness, recognizing that major impacts cannot be 

entirely avoided. This guidance applies to the Total Force. 

As a reminder and to assist you in making mission critical determinations, OSD directed 

protection of the following programs throughout the year: 

Fully protect funding for wartime operations 

Fully protect Wounded Warrior programs 

To the extent feasible, protect programs most closely associated with the new defense 

strategy 

To the extent feasible, protect family programs 

Air Force Administrative Record for FY 2013 Furlough Appeals 337
Continuation o[Near Term Actions Directed in 14 January 2013 Memorandum 

Conduct a thorough review of all OCO requirements and identify potential reductions 

which will not impair wartime operations such as delaying asset reconstitution and 

incrementally funding OCO contracts. 

Civilian hiring restrictions remain in place to include a hiring freeze, immediate 

elimination oftemporary employees and not renewing term hire employees with 

exceptions for mission-critical activities and when appropriate in terms of personnel 

timing. See reference 1 for guidance on Total Force Management. 

Cancel all temporary duties that are not mission-critical, such as attendance at or hosting 

of conferences and symposia (such as functional conferences), staff assistance visits and 

training seminars. 

Cancel ongoing and scheduled studies that are not congressionally directed or mission 

critical. Further Action: SAF /LL and SAF /FMBL will engage with Congress, as 

appropriate, to seek relief or delay approval for congressionally directed studies. 

Limit supply purchases to essential FY13 consumption (e.g., flying hour bench stock) 

and stop minor purchases that are not mission-critical such as furniture, and unit 

equipment. 

Given the current budget uncertainty, the Air Force Chieflnformation Officer, SAF/CIO 

A6, further directed immediate actions to minimize IT expenditures to only missioncritical capabilities. Specific actions are outlined in the CIO Policy Directive 

Memorandum, Subject: Near-Term Guidance on FY13 Information Technology (IT) 

Spending dated 15 Feb 13 (reference 2). The actions are intended to ensure planned 

mission-critical purchases are aligned and directly support the transition to enterprisewide IT services to realize long-term cost savings and mission effectiveness. 

Defer all non-emergency Facility Sustainment, Restoration and Modernization (FSRM) 

projects to include Dormitory and Energy Focus Funds. Installations should continue to 

work with local contracting offices to gather low bids and provide funds requests to the 

Air Force Civil Engineer Center (AFCEC). Projects may be funded later in the year if 

funding becomes available. Emergency requirements should be coordinated with 

AFCEC using the established process for Emergent Requirements (POC: AF/A4/7C). 

Where practical, de-obligate/incrementally fund contracts to encompass only FY13 

activity (examples include but are not limited to base maintenance contracts, advisory 

and assistance services contracts, custodial contracts, etc.). 

Review contracts for possible descoping or other long term cost savings. 

Exceptions for Continued Near Term Actions 

Limited exceptions for the continuation of these near-term actions may be made for mission 

critical activities and civilian positions as determined by appropriate senior officials. Requests 

for exceptions shall be approved by MAJCOM Vice Commanders, the Deputy Director of the 

Air National Guard, DRU Commanders, and by SAF/AA for the HAF portfolio. Previous 

delegation of waiver authority will no longer be permitted effective 1 March 2013. 

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Air Force Administrative Record for FY 2013 Furlough Appeals 338
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Additional Actions Required due to Implementation of Sequestration 

Now that sequestration has been triggered, additional, wide-ranging and dramatic actions are 

required to ensure the Air Force operates within the new FY13 top-line. We direct the 

immediate implementation of the following actions. 

Civilian Personnel (POC: AF/Al) 

Civilian Furloughs: 

Follow the guidance found at reference 3. Please read the attached guidance closely. 

The authority to approve the very few exceptions to furlough cannot be delegated below 

the MAJCOM Vice Commanders, the Deputy Director of the Air National Guard (ANG), 

DRU Commanders, or SAF/AA for the HAF portfolio. For Title 5 civilians, the ANG 

will follow this guidance. For Title 32 Dual Status Military Technicians, the ANG 

with follow guidance from NG-J1-TN. 

All Foreign Military Sales (FMS) Admin surcharge and case funded civilian 

positions are exempt from furlough if they are 100% funded with FMS funds. 

Associated FMS funded administrative costs such as travel are also exempt. Admin 

surcharge or case funded positions are not exempt from furlough if they are funded 

in whole or in part by DoD appropriations. This includes positions that are funded 

with DoD Building Partnership Capacity (BPC) funds (i.e., Afghanistan Security 

Forces Fund (ASFF), Coalition Readiness Support Program (CRSP), DoD Counternarcotics (CN), Program Global Train and Equip (Section 1206), Iraq Security 

Forces Fund (ISFF), Pakistan Counterinsurgency Fund (PCF), Peacekeeping 

Operations (PKO), Global Peace Operations Initiative (GPOI), & Counterterrorism 

Assistance for East Africa and Yemen (1207n), etc). However, positions funded with 

DoS BPC funds (ie. Pakistan PCCF (G9)) are currently exempt from furlough since 

the DoS is not planning any furloughs at this time. We will advise should they 

reconsider later in the fiscal year. 

It is also important to emphasize you may not use premium pay (compensatory or 

overtime) to offset furloughs, either to make up for lost work or to make up for lost pay. 

Premium pay is not authorized unless it is part of an employee's normal pay (such as an 

employee who regularly earns a night shift differential). Beyond that, premium pay is 

only authorized when it is necessary to provide safety of life or property, but only to the 

minimum extent needed to protect life or property (i.e., firemen or emergency responders 

working over their regular shift due to an emergent situation that arises on their shift). 

To reiterate, except in the above circumstances, supervisors will not approve and civilian 

full-time employees will not work any hours in excess of their normal duty day. Parttime employees will have their furloughs pro-rated IA W 5 CFR 752. You may not 

request the furloughed employee work overtime nor may you ask another civilian who is 

not furloughed to compensate for the furloughed employee's lost productivity by working 

overtime. 

Civilian Permanent Change of Station (PCS) guidance: 

All centrally-funded "must move" civilian PCSs will continue, to include overseas 

returnees, CDE placements, SES moves, priority placements, and centrally-funded 

career broadener, Palace Acquire, & Copper Cap placements. 

Air Force Administrative Record for FY 2013 Furlough Appeals 339
All other centrally managed civilian PCS moves are considered discretionary. A 

strategic approach to funding of discretionary PCS will continue throughout the 

remainder of the FY. 

4 

Career fields will be given a set number of moves based on historical trends 

from 2009 until today and will then manage priorities based on mission 

critical needs that include the criticality of work load associated with the 

position, MAJCOM/COCOM priorities, promotion factors, overseas fills and 

staffing levels in which the position will be filled. 

Locally funded civilian PCSs can be approved at the discretion of the local 

commander. 

Education and Training (POC: AF/Al) 

Education and training guidance: 

All HQ AF leadership development courses scheduled through April2013 will be 

cancelled with exceptions for courses with non-recoverable tuition. HQ AF/Al will 

evaluate subsequent classes on a monthly basis and assess the impact on our Total Force 

officer, enlisted, and civilian Airmen. 

Third quarter attendance at short-term TDY professional military education (PME), e.g., 

SOS, CALT, NCO Academies will be reduced. Specific guidance will be provided by 

AF/Al. 

The AF will support DoD and Joint education and training consistent w/OSD guidance. 

Effective immediately, Air Force Military Tuition Assistance (MilT A) will be 

reinstated . . For the remainder of FY13, Air Force MilT A will be available for 

eligible Airmen under the current MilT A policies. MilT A is not available · 

retroactively for courses taken and paid for using any other funding source during 

the suspension of MilT A. 

The following education and training is considered mission critical and will continue under 

sequestration: Long-term professional military education (military and civilian attendance), all 

pre-command training and CSAF mandated training, initial skills training, pre-deployment 

expeditionary skill training, and functional skills training as required by law. 

Use of Non-Appropriated Funds (POC: AF/Al) 

Follow the guidance at Reference 11. At no time during this period of budget 

uncertainty will NAFs be used in the place of APFs without required approval authority as 

provided in AFI 65-106, APF Support of Morale, Welfare, and Recreation (MWR) and 

NAF Instrumentalities. 

Flying Hours (POC: AF/A3/5) 

Operational leaders at all levels of command are charged with preserving readiness to the 

maximum extent possible in these difficult circumstances. Due to compressed planning 

timelines and the unprecedented nature of sequestration cuts, we remain concerned about 

unanticipated second and third order effects on flying hour program execution and readiness. To 

mitigate this risk, operational leaders will ensure coordination across functional lines. In 

Air Force Administrative Record for FY 2013 Furlough Appeals 340
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particular, civilian furloughs and weapon systems sustainment cuts (to include simulator 

sustainment) will significantly impact our ability to effectively execute flying hours or maintain 

operational competencies and must be taken into account. Readiness impacts will be severe and 

long-term under the best of scenarios; we must do everything in our power to avoid 

compounding negative effects through inefficient implementation. 

Effective immediately, AF O&M flying hours will be used primarily to prepare for and 

execute approved named operations, SecDef-ordered missions and deployments, nuclear 

deterrence operations, POTUSNPOTUS/CCDR travel, Continuity of Government/Operations, 

and initial training, to include Formal Training Units. Units preparing for and executing these 

missions will be allocated appropriate flying hours to remain mission ready or gain mission 

ready status prior to deployment. 

·Units not preparing for or executing these missions will follow MAJCOM guidance to 

preserve critical capabilities and readiness to the extent possible. This may result in 

ceasing operations at a number of units and tiered readiness beginning in March. In 

many cases, this will result in units having to stand down for prolonged periods, which 

will severely degrade readiness. For example, we anticipate more than half of our AD 

CAF units will reach this point by mid-May. MAJCOMs will build reconstitution plans 

to best posture Airmen for returning to fly in FY14, while ensuring these units maximize 

training opportunities (e.g. simulators, part task trainers, academics) during the down 

period. 

Not all SecDef approved missions will be supported. AF I A3/5 will coordinate with 

MAJCOMs and Joint Staff through Global Force Management processes to provide 

detailed guidance. 

The following flying hour actions are effective immediately upon sequestration (1 March 

2013) unless already in execution or otherwise noted: 

To support emphasis on initial qualification training, we recognize advanced flying 

training (e.g., instructor upgrade, "TX" transition courses) may be severely impacted, to 

include Weapons Instructor Courses. MAJCOMs retain authority on specific termination 

dates and may approve waivers/exemptions required to allow completion of · 

training/courses currently in execution or those deemed mission critical. 

Cancel O&M funded USAF exercises and AF flying participation in all other exercises, 

unless required for deployment spin-up. · 

· Cancel all air shows, tradeshows, flyovers, orientation flights, heritage flights, and 

demonstration flights (includes funeral and all military graduation flyovers). 

Cancel all Thunderbird demonstration team events, effective 1 April2013. 

Cancel all installation open houses unless the events use organic base assets as static 

displays only and are at no cost to the government. 

Lead MAJCOMs will continue to manage programs and make flying hour 

allocations/reductions based on supported missions. 

For senior leader airlift support, the Air Force will continue to support White Housedirected missions and DOD required users (lAW DODD 4500.56). For Congressional 

travel, the Air Force will strictly adhere to DODD 4515.12 unless waivered by OSD-LA 

and expects there to be a significant reduction in available aircraft. All other senior 

leader military airlift support will continue to adhere to existing processes in AFI 24-1 01, 

but on a very restricted basis and with reduced aircraft available. 

Air Force Administrative Record for FY 2013 Furlough Appeals 341
AF/CV is waiver/exception-to-policy authority for events listed above. Only missioncritical events will be approved. Approvals will not result in increased flying hour 

allocation from the Air Staff; funding must be sourced from MAJCOM/Lead MAJCOM 

flying hours. Route requests through A3/5, to include event name, date(s), rationale, 

cost, and number of assets (personnel and aircraft) dedicated to support the event. For 

public aerial events, route questions through SAF/PA. 

Weapon System Sustainment (POC: AF/A417) 

6 

Utilizing the 24 January 2013 Centralized Asset Management (CAM)/Executive Committee 

approved briefing data all weapon system sustainment fund holders will begin to execute 

planned sequestration actions to cover the worst case scenario reductions. Establish regular 

reporting ofworkload not accomplished and workload in danger of not getting funded in next 

report. Workload previously identified for deferral will not be initiated unless an equal dollar 

value offset is provided from within the relevant fund holder's portfolio. MAJCOMs and the AF 

Life Cycle Management Center will review war ready engine levels to determine where 

additional risk can be taken based on flying hour reductions. Program offices will continue to 

review activities to find potential savings and will continue to report impacts to contracts 

supporting weapon system sustainment (e.g., Contractor Logistics Support contracts) and depot 

maintenance workload. Ensure minimum impact to contingency operations efforts and protect 

the pilot production pipeline in accordance with stated priorities. In addition, sustainment 

prioritization efforts should protect aircrew readiness capability through favorable consideration 

of aircrew training device and simulator operations and maintenance contracts. As current 

mission requirements and warfighter priorities are reassessed, major adjustments to the 

previously reviewed plan will be vectored through the CAM Governance Structure. 

Air Force Working Capital Funds (AFWCF) (POC: SAF/FMBMR) 

The AFWCF will experience immediate and severe impacts caused by sequestration. Initial 

assessments indicate AFWCF 'Blue' cash will be depleted to a negative $772 million balance by 

the end ofFY2013. Coupled with projected Transportation WCF (TWCF) losses, the overall 

AFWCF cash balance could drop below negative $1 billion. Without additional action, this will 

cause an Anti-Deficiency Act violation, which must be avoided. Cost control measures within 

the AFWCF are critical to minimize losses; however, we understand that AFWCF activities may 

not be able to achieve sufficient cost reductions in the near term to off-set cash losses of this 

magnitude. With that in mind, we direct AFMC to take immediate actions to help mitigate the 

expected negative cash balance. Additionally, we direct AFMC to identify the month in which · 

negative AFWCF 'Blue' cash and/or negative available budgetary resources will occur and to 

project the 'cash surcharge' required to prevent losses in total and by month. We will request that 

TRANSCOM also work to reduce costs and provide maximum possible insight into its cash 

position. SAF/FMB and AF/A4/7 will collaborate with AFMC and TRANSCOM to engage 

USD(C), OMB and the Congress in an effort to secure support for required mitigating actions to 

address any remaining shortfall in AFWCF. External support needed to prevent ADA violation 

may include restoral of readiness accounts, implementation of cash surcharges, and/or 

reprogramming funds from investment appropriations. 

Investment Accounts (POCs: SAFIAQ, SAFIFMBI) 

Air Force Administrative Record for FY 2013 Furlough Appeals 342
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SAF/AQ and SAF/FM will continue funding restrictions at the appropriation level and 

program ceiling level that assume worst case impacts as a result of sequestration. This could 

have the impact of an across the board reduction of~ 7% to every program against the planned 

FY13 funding levels. Our ability to smooth programmatic impacts will be entirely dependent on 

the degree of funding flexibility we get with associated appropriation language. Additionally, 

any anticipated contract, modification or task/delivery order award using appropriated 

investment funding, with a value (not obligation) of $500M or more must be coordinated with 

AT&L before award. Requests for AT&L coordination shall be sent to SAF/AQX. SAF/AQX . 

will ensure Air Force coordination and will staffthe package to AT&L for approval. As a 

reminder, this AT &L coordination requirement is for investment dollars only and excludes FMS, 

sustainment, services acquisitions, and award of basic multiple award ID/IQ contracts. 

Investment OCO obligations (FY13 only) should be deferred until further notice; request for 

. exception may be submitted to SAF/AQ and SAF/FM. Updates to the sequestration plans you 

submitted to SAF/AQXR will be provided soon for programs to validate availability of 

unobligated prior year balances identified to pay sequestration bill. Lastly, programs must 

adhere to guidance provided in this memorandum reducing studies, program management 

administrative and other contract costs. If our budget continues to decline, the Air Force will 

make strategic decisions to prioritize modernization programs to support the defense strategy and 

current readiness. 

Overall Budgetary Guidance for all Air Force Activities 

Based on actual sequestration reductions, you have received updated budget bogeys 

based on worst case, using the 9 Jan Top Line Reduction, Scenario 2 Bogeys. This assumes 

the Air Force will not receive external support for our $1.8B OCO shortfall. 

Cancel all temporary duty travel unless directed by MAJCOM/CC or CV. Additional 

guidance includes: 

MAJCOM/CCs will determine which, if any, functional and IG inspections will 

occur during the sequester. High priority should be given to nuclear-related 

inspections. 

The following TDY s are considered mission critical and approved as they support 

criticalcorporate Air Force functions: Promotion boards, command selection 

boards, special selection boards, force management/force-shaping boards pre- and 

post-board activities, and development teams supporting school and command 

selection only. Development Team meetings supporting school and command 

selection should be considered ori-site TDYs, unless agreement is reached with 

AFPC in advance to conduct them virtually. Functional authorities are strongly 

urged to leverage this meeting to disseminate information that would 

ordinarily be addressed during a functional update. Other face-to-face 

functional updates should be minimized and replaced with vtc or dco 

meetings. 

Safety and Accident Investigation Boards are approved travel. 

Travel for promotion/retirement/award ceremonies or banquets is NOT approved. 

Speaker participation in wing/group commander courses should not require travel, 

but be executed by VTC, DCO or other technology. 

Travel to attend AETC hosted technical or follow-on training courses is approved, 

but attendees must confirm the course will continue as scheduled. 

SAF /IA will provide minimum required support to international events. 

Air Force Administrative Record for FY 2013 Furlough Appeals 343
8 

Cancel or defer all AF-hosted conferences and attendance at Non-Federal Entity 

(NFE) hosted conferences, seminars and symposia. Local attendance at an NFE 

event is allowed only if there is no cost to the Air Force. Previously delegated 

conference approval authority is rescinded. Request exemptions through the 

existing conference approval process for SAFIUS approval. 

MAJCOM/CC-hosted "Commanders Conferences" may be submitted as 

exceptions to policy. These events must have a clearly defined agenda, must 

be hosted in government facilities, and must be limited to 1-3 days. The 

target population may be NAF/Wing commanders and Command Chief 

Master Sergeants and for efficiency, the event should be bundled with other 

mission critical business where feasible. Finally, the administrative footprint 

to support the event must be very small. 

Cancellation includes individual speaker travel if at AF expense. (All "gifted" 

travel must be approved by SAF/GC and reported annually.)' 

Conference attendance for medical readiness training and annual chaplain 

. ecclesiastical endorsement events will be allowed after review through the 

conference approval process. 

No spouse travel will be approved at AF expense, except for required precommand training (e.g., squadron, group, wing pre-command courses). However, 

CSAF, VCSAF, CMSAF and MAJCOM commander spouse travel is authorized 

for the purpose of base visits (and only base visits) when the visit has a robust 

spouse agenda, the spouse is accompanied by the active duty member, and 

MILAIR is available. No commercial travel is authorized and all travel must be 

at no cost to the AF. 

The funding for patient travel reimbursement for referred medical care (to include 

Non-Medical Attendants where spouses may fill that role) is determined by law 

and regulation, and is managed at the Health Affairs level. Medical personnel 

will ensure all patient travel is carefully monitored and appropriate; however, it is 

exempted from the requirement ofMAJCOM CC or CV review/approval. 

Presidential protective missions are mandated by Public Law and CJCS 

EXORD and are required to be funded under sequester. 

The Air Force is the Executive Agent for military working dogs (MWD); as 

such, all MWD taskings in support of POTUSIVPOTUS missions have been 

authorized a blanket waiver status. 

Utilizing Government Travel Card (GTC) -Sequestration will undoubtedly 

have an impact on timely computation of PCS travel vouchers computed by 

the Air Force Financial Services Center. The PCS workload nearly doubles 

during the summer months and furloughs as well as limited TDY funding to 

pay for augmentee support will exacerbate the problem. A mitigating 

solution is to encourage utilizing the GTC to the maximum extent possible 

for all TDY/PCS travel expenses. During a PCS, a member can use the GTC 

for expenses incurred in moving and can request to be placed in Mission 

Critical Status (MCS) up to 30 days post RNLTD. Using the GTC for 

TDY/PCS travel expenses prevents the member from incurring out-of-pocket 

expenses, thus freeing up personal resources for other personal/family needs. 

Implement additional reductions where possible to Science Engineering and Technical 

Assistance (SETA); Advisory and Assistance Services (A&AS); Final System Design 

Air Force Administrative Record for FY 2013 Furlough Appeals 344
Review (FSDR); Contract Military Equivalents (CME) contracts by end of fiscal year or 

period of performance if earlier than Oct 1, 2013. 

Reference SAF/AA Memorandum, Suspension of Top Secret Periodic Reinvestigations 

13 Feb 2013 (see reference 4), suspend the submission of all Top Secret Periodic 

Reinvestigations. Suspend all Single Scope Periodic Reinvestigations (SSBI-PR) and 

Phased Periodic Reinvestigations (PPRs) with limited exceptions. This suspension 

includes the mandatory Air Force Specialty Codes requiring in-scope Top Secret 

investigations as found in Air Force Officer and Air Force Enlisted Classification 

Directories. Reinvestigations for Personnel Reliability Programs, Presidential Support 

Programs, Special Access Programs and personnel with access to Sensitive 

Compartmented Information who are in positions directly supporting the Intelligence 

Community will not be suspended. Additional exceptions must be approved by 

SAF/AAZ. 

National Intel Programs funded under Title 50 are exempt from this guidance. 

These programs should follow guidance from the Office of the Director of National 

Intelligence. 

9 

These events are unprecedented for the Department and the USAF. As such, it is critical that 

we maintain very open communication lines to ensure maximum awareness of actions and 

consistency of application of all sequestration guidance. This will enable us to inform leadership 

of notable events and assist in the preparation for media/congressional inquiries. Request you 

provide your weekly updates as prescribed by SAF/FMBI or SAF/FMBO and identify any 

major actions/events that should be elevated to HQ AF. For example, if projected stand 

down of a flying unit is accelerated from previous estimates, please provide those details. Each 

MAJCOM should identify a command POC for submitting these reports. Negative inputs 

should be documented with a NSTR. 

We will continue to coordinate with MAJCOMs/COCOMs on actions for consistency in 

application and recognize you have already implemented many of the actions above. We also 

realize there are many difficult decisions and trade-offs yet to be made, but they are necessary to 

comply with a reduction of this magnitude. We will continue working closely to communicate 

sequestration impacts and advocate for restoral of funding necessary to mitigate the devastating 

effects of sequestration. If you have questions regarding this guidance, please call Ms. Marilyn 

Thomas, SAF/FM, at (703) 697-4464. 

k~o4N~R7 

General, USAF 

Vice Chief of Staff 

cc: 

SAF/FM 

~i~ Under Secr~ary -< o/the Air Force 

Air Force Administrative Record for FY 2013 Furlough Appeals 345
M-13-11 

SUBJECT: 

EXECUTIVE OFFICE OF THE PRESIDENT 

OFFICE OF MANAGEMENT AND BUDGET 

WASHINGTON, D.C. 20503 

April 4, 2013 

Ongoing Implementation of the Joint Committee Sequestration 

Section 251A of the Balanced Budget and Emergency Deficit Control Act (BBEDCA), as 

amended, on March 1, 2013, required the President to issue a sequestration order canceling $85 

billion in budgetary resources across the Federal Government for the remainder of fiscal year 

(FY) 2013. This action was required due to the failure of the Joint Select Committee on Deficit 

Reduction to propose, and the Congress to enact, legislation to reduce the deficit by $1.2 trillion. 

The Administration continues to urge Congress to take action to eliminate the Joint 

Committee sequestration and restore cancelled budgetary resources as part of a balanced 

agreement on deficit reduction. However, until Congress takes such action, executive 

departments and agencies (agencies) must continue to implement the reductions required by 

sequestration. 

This memorandum provides further guidance on specific issues regarding the 

management and implementation of sequestration that the Office of Management and Budget 

(OMB) preliminarily addressed in prior memoranda. OMB previously issued guidance on the 

appropriate implementation of sequestration in Memorandum 13-03, P Ianning for Uncertainty 

with Respect to Fiscal Year 2013 Budgetary Resources; Memorandum 13-05, Agency 

Responsibilities for Implementation of Potential Joint Committee Sequestration; and 

Memorandum 13-06, Issuance of the Sequestration Order Pursuant To Section 251A of the 

Balanced Budget and Emergency Deficit Control Act of 1985, as Amended. 

Appropriate Use of Existing Reprogramming and Transfer Authority 

Sequestration provides an agency with little discretion in deciding where and how to 

reduce spending. All non-exempt budget accounts in a given spending category must be reduced 

by a uniform percentage, and the same percentage reduction must be applied to all programs, 

projects, and activities (PPAs) within a budget account. However, depending on an agency's 

account structure and any existing flexibilities provided by law, some agencies may have a 

limited ability to realign funds to protect mission priorities. As directed by Memorandum 13-03, 

in allocating reduced budgetary resources due to sequestration, agencies should generally "use 

1 

Air Force Administrative Record for FY 2013 Furlough Appeals 346
any available flexibility to reduce operational risks and minimize impacts on the agency's core 

mission in service of the American people." Agencies should also "take into account funding 

flexibilities, including the availability of reprogramming and transfer authority." 

Consistent with this guidance, agencies with reprogramming or transfer authority should 

continue to examine whether the use of these authorities would allow the agency to minimize the 

negative impact of sequestration on core mission priorities. In doing so, agencies must consider 

the long-term mission, goals, and operations of the agency and not just short-term needs. For 

example, agencies should avoid taking steps that would unduly compromise the ability to 

perform needed defeiTed maintenance on facilities, invest in critical operational functions and 

support, conduct program integrity and fraud mitigation activities, and pursue information 

technology or other infrastructure investments that are essential to support the long-term 

execution of the agency's mission. Similarly, while agencies with caiTyover balances or reserve 

funds should consider appropriate use of these funds to maintain core mission functions in the 

short term, it is important not to use these funds in a manner that would leave the agency 

vulnerable to future risks due to a potential lack of available funds in future years. 

Agencies should consult with their OMB Resource Management Office (RMO) to assess 

options for utilizing existing authorities and ensure that any proposed actions appropriately 

balance short-term and long-term mission priorities. Agencies must also consult closely with 

their OMB RMO on any proposed actions that would reduce carryover balances or reserve funds 

below historical levels. 

Funding for Agency Inspectors General 

Funds for agency Inspectors General (IGs) from non-exempt accounts are subject to 

sequestration under the March 1, 2013 sequestration order. The head of each agency has the 

fmal responsibility for implementing the reductions required by sequestration. Upon making 

such determinations, IGs have the final responsibility for determining how their authorized 

budgets will be allocated. 

To the extent an agency has discretion in implementing reductions to IG funding due to 

sequestration, agency heads should be mindful of the independence of the Office of Inspector 

General and should consult with the IG on a pre-decisional basis on matters that may impact IG 

funding. In particular, agencies must remain cognizant of the provisions in section 6 of the 

Inspector General Act of 1978, as amended, which outline the need for IGs to maintain the 

appropriate resources and services necessary to perform their statutory duties and describe the 

manner in which IG budgets are requested. 

In cases where IG funds are not intermingled with other agency funds and exist as their 

own PP A, the IG should be provided full discretion to determine how to implement the 

reductions required by sequestration. In cases where IG funds are intermingled with other 

agency funds within a PP A, while the specific amount of reductions will vary by agency and 

account, a benchmark that should be considered by the head of the agency-in consultation with 

the IG-is to apply a percentage reduction to IG funds that is same as the average percentage 

reduction for all other funds within the PP A. Upon determining the amount of the reduction for 

2 

Air Force Administrative Record for FY 2013 Furlough Appeals 347
IG funds in such cases, the agency head should then defer as appropriate to the IG in determining 

how the IG manages the reductions. 

Agencies should consult with their OMB RMO throughout this process as well. 

Discretionary Monetary Awards 

OMB Memorandum 13-05 directs that discretionary monetary awards should not be 

issued while sequestration is in place, unless issuance of such awards is legally required. 

Discretionary monetary awards include annual performance awards, group awards, and special 

act cash awards, which comprise a sizeable majority of awards and incentives provided by the 

Federal Government to employees. Until further notice, agencies should not issue such 

monetary awards from sequestered accounts unless agency counsel determines the awards are 

legally required. Legal requirements include compliance with provisions in collective bargaining 

agreements governing awards. 1 

Consistent with past guidance, certain types of incentives are not considered discretionary 

monetary awards for the purposes of this policy. These include quality step increases (QSis); 

travel incentives recognizing employee savings on official travel; foreign language awards for 

mission-critical language needs; recruitment, retention, and relocation incentives (3Rs); student 

loan repayments; and time-off awards. While these items are permitted, in light of current 

budgetary constraints, they should be used only on a highly limited basis and in circumstances 

where they are necessary and critical to maintaining the agency's mission. In addition, 

consistent with the policy set forth in the Guidance on Awards for Fiscal Years 2011 and 2012, 

jointly issued by the Office of Personnel Management (OPM) and OMB on June 10, 2011, 

spending for QSis and 3Rs should not exceed the level of spending on such incentives for fiscal 

year 2010. 

With respect to Federal political appointees, agencies should continue to follow the 

policy set forth in the August 3, 2010 Presidential Memorandum, Freeze on Discretionary 

Awards, Bonuses, and Similar Payments for Federal Political Appointees. OPM previously 

issued guidance on implementation of this memorandum. 

Reducing Burden for State, Local, and Tribal Governments 

To the extent agencies provide grants or other forms offmancial assistance to States, 

localities, or tribal governments, agencies should consider if there are ways to help such entities 

mitigate the effects of funding reductions due to sequestration through reducing administrative 

burdens or other standard administrative processes, consistent with applicable legal requirements 

associated with the funds provided. In doing so, agencies should consult closely with their State, 

local, and tribal partners to determine whether such steps enable public funds to be used in a 

more cost-effective manner. 

1 Consistent with legal requirements, agencies may consider engaging in discussions with employees' exclusive 

representatives to explore revisions to such provisions in existing collective bargaining agreements, in recognition of 

this guidance. 

3 

Air Force Administrative Record for FY 2013 Furlough Appeals 348
SECRETARY OF DEFENSE 

1000 DEFENSE PENTAGON 

WASHINGTON. DC 20301-tOOO 

MAY ·1 lJ 2013 

MEMORANDUM FOR SECRETARIES OF THE MILITARY DEPARTMENTS 

CHAIRMAN OF THE JOINT CHIEFS OF STAFF 

UNDER SECRET ARIES OF DEFENSE 

SUBJFCT: Furloughs 

DEPUT'l CH\EF MANA.GEM'EN1 OFFICER 

CHIEFS OF THE MILITARY SERVICES 

COMMANDERS OF THE COMBATANT COMMANDS 

CHIEF OF THE NATIONAL GUARD BUREAU 

DIRECTOR, COST ASSESSMENT AND PROGRAM 

EVALUATION 

DIRECTOR, OPERATIONAL TEST AND EV ALUA TlON 

GENERAL COUNSEL OF THE DEPARTMENT OF DEFENSE 

INSPECTOR GENERAL OF THE DEPARTMENT OF DEFENSE 

ASSISTANT SECRETARIES OF DEFENSE 

DEPARTMENT OF DEFENSE C.HlEF lNFORMA TION OFFICER 

ASSIST ANTS TO THE SECRETARY OF DEFENSE 

DIRECTOR, ADMINISTRATION AND MANAGEMENT 

DIRECTOR, NET ASSESSMENT 

DIRECTORS OF THE DEFENSE AGENCIES 

DIRECTORS OF THE DOD F1ELO ACTIVITIES 

This memo directs defense managers to prepare to furlough most Department of Defense 

(DoD) civilians for up to 11 days. The schedule for furloughs. and some specific exceptions, are 

described later in this memo and in the attachment. I have made this decision very reluctantly, 

because I know that the furloughs will disrupt lives and impact DoD operations. I, along with 

the senior civilian and military leadership of the Department, have spent considerable time 

reviewing information related to the need for furloughs. and I would like to share with you the 

reasoning that led me to this difficult decision. 

Major budgetary shortfalls drove the basic furlough decision. On March 1, sequestration 

went into eftt!ct across the federal government. DoD's budget tor FY 2013 was reduced by $37 

billion, including $20 billion in the operation and maintenance (O&M) accow1ts that pay many 

of our civilian workers. In addition, becaus~ our wartime budget is also subject to sequestration, 

we must utilize funds originally budgeted tor other purposes in order to provide our troops at war 

with every resource they need. To compound our problems, when we estimated future wartime 

operating costs more than a year ago, we planned on fuel costs below what we are currently 

experiencing. Taken together, all these factors lead to a shortfall in our O&M accounts of more 

than $30 billion - a level that exceeds 15 percent of our budget request, with fewer than six 

months left in the fiscal year in which to accommodate this dramatic reduction in available 

resources. 

IIIII II[ 11~1~11 ~~ lt I~ I !Ill ~~ ~ ~I III ~1 ·1 ~111! 080005688-13 

Air Force Administrative Record for FY 2013 Furlough Appeals 349
We are taking actions to reduce this shortfall. One main priority has goYerneu our 

decisions: to minimize the adverse effects on our military mission, including military readiness. 

With this in mind, early this calendar year we cut back sharply on facilities maintenance and 

worked to hold down base operating costs -- decisions we knew would build a backlog of 

maintenance 1U1d adversely affect our bases. We are also prep<uing a request to Congress that 

would pennit us to shift some funding from investment and military personnel accotmts into the 

O&M accounts. If approved by Congress, this initiative- known as a reprogramming- would 

help close the gap. 

But these actions arc not enough. We have begun making sharp cuts in the training and 

maintenance of our operating forces- cutbacks that are seriously harming military readiness. 

The Army, for example, has terminated most remaining FY 2013 training rota tions at its combat 

training centers. The Air Force has or soon will stop all flying at about one-third of its combatcoded squadrons in the active forces. The Navy and Marine Corps arc cutting back on training 

and on deployments - including a decision not to send a second carrier strike group to the Gulf. 

These are only a few of the m1illy cutbacks we have made in training and maintenance. These 

actions reduce our abHity to handle future military contingency needs, both this year and in 

subsequent years. 

Even after taking all these actions, we arc still short of needed operating fundls for FY 

2013. and we cannot rule out unexpected increases in costs during the next few months. So we 

confront a diflicult set of trade offs. We can make even larger cutbacks in training and 

mai ntenance, further reducing readiness to handle contingency operations and putting into even 

greater jeopardy our military readiness in future fiscal years. Altcmatively, we ~an furlough 

civilian personnel to help close the gap and, knowing that morale, productivity and readiness 

would be alTccted. This is an unpleasant set of choices, but this is the situation we face. 

Before making a decision, I sought advice and inputs from senior leaders in the military 

departments and agencies as well as advice from my senior civilian and military staff. I asked 

them to keep in mind our fundamental criterion to minimize adverse mission effects and, subject 

to that critcri.on, to ensure reasonable consistency and fairness across the Department for any 

furloughs that we impose. 

Based on all these inputs, I have decided to direct furloughs of up to 11 days for most of 

the Department's civilian personnel. Furloughs for up to 11 days represent about half of the 22 

days that can legally be imposed in a year and also about half the number we had originally 

planned. This halving of previous furlough plans reflects vigorous c1Iorts to meet our budgetary 

shortfalls through actions other than furloughs as well as Congressional passage of an 

appropriations bill in late March that reduced the shortfalls in our operating budget and 

expectations of Congressional action on our reprogramming request. 

Furloughs will be imposed in every military department as well as almost every agency 

and in our working capital funds. All of our civilian employees are important, and I would 

prefer not to furlough any of them. However, there will only be limited exceptions driven by law 

and by the need to minimize harm to mission execution. We will except civilians deployed to 

combat zones and civilians necessary to protect life and property (but only to the extent needed 

to provide that protection). A few categories of workers will be excepted for specific mission 

reasons while some categories of workers will be excepted because furloughing them would not 

Air Force Administrative Record for FY 2013 Furlough Appeals 350
free up money for critical DoD mission needs. The attachment provides details regarding 

approved exceptions. Fewer than one fifth of all civilians paid with appropriated funds will be 

excepted from furloughs. 

The planning and implementation of furloughs will be carried out based on the schedule 

below: 

• May 28 - JW1e 5: Furlough proposal notict!s will be served to individual employees 

subject to furloughs. 

• JW1c 4- JW1e 12: Individual employee reply periods end 7 calendar days from when 

the propos<ll was received, unless Component procedures allow for a different reply 

period. 

• June 5 -July 5: Furlough decision letters will be served to individual employees 

subject to furloughs, depending on when the proposal was received and prior to the 

fi rst day of furlough. 

• July 8: Furlough period begins no earlier than this date. 

We will begin furloughs on July 8 at the rate of 1 furlough day per week for most 

personnel. For now. we plan to continue furloughs through the end of FY 2013. That schedule 

would lead to 11 furlough days - one fifth of the week for about one quarter of the year. 

Moreo,·cr. I an1 directing all components to monitor funding closely for the remainder of FY 

2013. If our budgetary situation permits us to end furloughs early, I would strongly prefer to do 

so. That is a decision I will make later in the year. 

Consiste nt with this memo and with applicable laws and rules, commanders and 

managers will have the authority to develop the specifics of furlough procedures in order to 

minimize adverse mission effects and also limit the hann to morale and productivity. Further 

bargaining with unions may also be required. The Under Secretary for Personnel and Readiness 

has already issued guidance as appropriate regarding personnel and union issues related to 

furloughs and will issue additional guidance as needed. Overall coordination of sequester and 

furlough policies wiJl be the responsibility of the Under Secretary of Defense (Comptroller). 

Each of the Department's civilian employees makes an important contribution to the 

readiness of our Department to meet the nation's national security needs. I Wlderstand that the 

decision to impose furloughs imposes financial burdens on our valued employees, harms overall 

morale, and corrodes the long-term ability of the Department to carry out the national defense 

mission. I deeply regret this decision. I will continue to urge that our nation's leaders reach an 

agreement to reduce the deficit and de-trigger sequestration. If no agreement is reached, I will 

continue to look for ways to limit the adverse effects of sequestration and associated budgetary 

shortfalls both on the men and women of the Department of Defense, and on our national 

defense. 

Attachment: 

As stated. 

Air Force Administrative Record for FY 2013 Furlough Appeals 351
Department ofDcfen c Furlough Exceptions 

This attachment provides Components with final djspositions on categorical exceptions to 

the Department of Defense (DoD) plan to furlough civilian employees for a maximum of88 

hours or 11 discontinuous workdays because of the current financial crisis caused by a 

sequestration for Fiscal Year (FY) 2013, incn:nscd costs for ongoing Overseas Contingency 

Operations, and other emerging requirements. In order to minimize adverse effects on mission, 

employees in the following categories are exc.cpted from furlough for the reasons noted: 

a) In order to avoid harm to war efforts, all employees deployed (in a Temporary Duty status. 

or temporarily assigned (to include Temporary Change of Station) to a combat zone (as 

oetined in notes below) are excepted from furlough. 

b) In order to avoid harm to mission. those employees necc::;sary to protect safety of life and 

property are excepted to the extent necessary to protect life and property. This indudes 

selected medical personnel. Later portions of this attachment provide details. 

c) Employees in Navy shipyards will be excepted from furlough because it would be 

particularly difficult to make up delays in maintenance work on nuclear vessels and these 

vessels are critical to mission success. All other depot employees, whethe.r mission-funded 

or working capital fund employees. will be subject to furlough. 

d) Furloughs for employl!es funded with National Intelligence Program (NIP) funds will be 

dctermineJ by the Director ofNational lntd ligence. Employees funded with Milita ry 

Intelligence Program (M IP) funds will be subject to furlough. 

e) Because there would be no savings, Foreign Military Sales (FMS) employees whose 

positions are exclusively funded from FMS Administrative and FMS case funds (case 

number may be required to validate funding source) and from Foreign Mililary Financing 

accounts are excepted from furlough. Furloughing employet:s in this category would not 

reduce the expenditure of DoD budgetary resources and so would not assist in meeting 

sequestration reductions. The FMS case-funded positions funded in whole or part by DoD 

appropriations (to include "pseudo-FMS'' cases) are subj ect to furlough. 

t) By law, all individuals appointed by the President. with Senate confim1ation. who are not 

covered by the leave system in title 5, U.S. Code. chapter 63, or an equivalent fo rmal leave 

system, are excepted from furlough. 

g) All employees funded by non-appropriated funds (NAf) 1 (regmdless of source of NAY 

funding) are excepted from furlough. Furloughing employees in this category would not 

reduce the DoD budget and so would not assist in meeting sequestration reductions. 

h) All Outside Contiguous United States foreign national employees, many of whom are subject 

to Status of Forces Agreements, are excepted from furlough because their situation vary 

greatly by country/region and because, in some cases, they are paid by host governments. 

1 NAF employees are not covered by the requirements and procedures applicable to furloughs of appropriated fund 

employ\;e:s under FY 13 sequestration. However, NAF employees may be furloughed under DoD NA F and 

ompon~nt policies and procedures for business-based reasons. 

Air Force Administrative Record for FY 2013 Furlough Appeals 352
i) Any employees who are not paid directly by accounts included in the Department of 

Defense-Military (subfunction 051) budget are excepted from furlough. For example, this 

would include employees funded by the Arlington National Cemetery (705 function) and 

DoD Civil Works (various non-051 functions) programs. These exceptions have been 

identified by the Components. Furloughing these employees would not redu~e the 

expenditure of DoD budgetary resources and so would not assist in meeting sequestration 

reductions. 

The following portion of this document provides the definitive list of additional approved 

exceptions beyond those listed in the preceding paragraph. The exceptions approved for the 

safety of life and protection of property category are granted with the understanding that these 

are the minimum exceptions needed to maintain operations and provide security on a 24/7 basis 

and that furloughing these employees would result in the Department incurring additional costs 

for premium pay. Similarly, the exceptions for the medical category are approved with the 

understanding these exceptions preserve the minimum level of personnel needed to maintain 

quality of care in 24i7 emergency rooms and other critical care areas such as behavioral health. 

wouncktl •.varrior support, :1nd uisability evaluation. Furloughing these employees would result 

in unacceptable care being provided, and the Department would incur increased costs for 

premium pay or TRICARE. The exception for Child Development Centers is granted with the 

understanding that this is the minimum level necdl!d to maintain accreditation and maintain 

quality care for children in military fami lies. Some Department of Defense Education Acti-vity 

employees. while not excepted from furlough, may only be furloughed when they are in a pay 

status. Therefore, they will only be subject to furlough for up to five days at the beginning of the 

20 13 school year. 

· Recognizing that circumstances can change in this dynamic environment, the Secretaries 

of the Military Departments, and the Principal Staff Assistants for the Defense Agencies and 

Field Activities, may approve up to 50 additional individual, mission-based, exceptions as 

needed to ensure safe and efticient operations of their respective Departments. Any such 

exception must be reported to the Acting Under Secretary of Defense (USD) for Personnel and 

Readiness and the USD Comptroller. There are no other approved exceptions provided based on 

the Components' submissions. Furlough proposal notices should be issued to all impacted 

employees beginning May 28,2013. 

Relative to the review and decision on individual employee requests for exception, per 

guidance issued via the Principal Deputy Assistant Secretary of Defense, Readiness and Force 

Management, memorandum, dated March 13, 2013, activities should designate the Deciding 

Official. 1be designated Deciding Official will be no lower than a local Installation Commander, 

senior civilian or equivalent who would be in the best position to determine the fair and equitable 

application of the furlough. Deciding Oft1cial responsibilities may not be further delegated. 

Deciding Officials are charged with, and are accolmtable for, making final decisions on furloughs 

for individual employees after carefully considering the employee's reply, if any, and the needs of 

the Department. Deciding Otlicials must also ensure they make final decisions in cases where an 

employee does no( submi! a re ply. Deciding Officials wiU nave (fte au!nority !o execute !he fuU 

range of options with respect to providing relief in individual employee cases. This authority 

includes, but is not limHcd to, reducing the number of days/hours an individual employee is 

fi.•rloughed, or gr<mting the individual employee an exception from the furlough altogether. 

2 

Air Force Administrative Record for FY 2013 Furlough Appeals 353
I 

- Component Safety of Medical Others I Comments 

Life& Personnel 

~ Property 

7,543 1,4l8 212 ClVPERS CIVPERS deployed at sea 

I I 

at Sea are subject to furlough upon 

return from deployment 

i 

I I 4,7 12 CJVMARS are subject to 

I 

CIVMARS furlough upon remrn from 

I deployment 

I 514 Maintain safety standards i Appropriated and quality of care 

I Fund (APF) 

Child 

Development 

I 

Centers 

(CDCs) 

IS Support to classified ' 

I 

I programs 

I 28,000 

i 

Shipyard Workers, General 

I 

I 1,657 I Shipyard Workers, Nuclear 

and Naval Reactors Staff 

USA 263 Up to 555 APF Maintain safety standards 

6,600 CDC and quality of care 

Employees 

75 ARNG Dual Status 

Technicians for Alerts, 

Firefighting, Personnel 

Recovery and other 

missions 

17 Support to classified 

programs 

257 Non-immigrant employees 

requiring H-1 B visas at 

Defense Language Institute 

--·----··---- --

3 

Air Force Administrative Record for FY 2013 Furlough Appeals 354
I 

I 

I 

I 

I 

! 

r 

' 

I 

I 

DLA 

DA&M 

1 

I 

I 

US Court of 

Appeals for 

Armed Services 

·- --- ~--- -- _.. 

. JTf-CAPMED 

' 

I 

Safety of Medical Others Comments 

t·- -

Life & Personnel 

I I 

I 

363 

623 

I 

·-- ----·--·----- - I 368 

62 

1, 123 

30 Students 

94 Multi-IOC 

24/7 Plant 

Operators 

2 

3 

! 

1,634 APF 

CDCs 

59 

Support to classifi~d 

programs 

ANG Dual Status 

Technic ians for Alerts, 

Firefighting, Personnel 

Recovery and other 

miss ions 

Intel School & FLETC 

Heating/Waste Water Plant 

m in imum sate manning 

Contingency Planners 

Spl!cial Law Enforcement 

Pay 

Maintain safety standards 

and quality of care 

546 are from the Pentagon 

Force Protection Agency: the 

remaining 77 are \\' ashinglon 

Headquan ers Services for 

Pentagon safety and emergency 

communication<; . 

Most will be furloughed fewer 

than I I days due to the need to 

maintain operations and 

security 2417. 

--- Tite Chief Judge will decide 

how many days to furlough 

employees. if at all. 

-- -

! 165 @ Walter Reed 

1 203 @ Fort Belvo i; 

I --- .. -

4 

I 

I 

Air Force Administrative Record for FY 2013 Furlough Appeals 355
r- Component Safety of Medical Others Comments 

) USUIIS 

Life & Personnel 

Pr·on_ertv . 22 Animal Husbandry Technicians . 

5 Non-immigrant employees I requiring H-1 B visas 

Office of the 

I 

9 Civilian Trial PractiLioners I 

. Military ' ' 1 Commissions - I l Defense Legal ' 

1 ' Services I 

~ Auencv 

I 

Department of 10,950 9-month DoDEA employees, 

Defense which includes teachers, 

EducaLion educational aids, and support 

Activity staff may only be furloughed 

(DoDEA) for up to 5 days al the 

I 

beginning of the 2013 school 

I 

year. 

I-DC' AA ·-- - I Non-immigrant employel.!s I I requiring H-1 B VISa 1 I I I 

l_ - - - I - ______ j 

1. Safety of life and property exceptions are ba.<;cd on need for 2417 coverage in most instances. 

It is expected all Components will furlough for less than 88 hours in these areas where 

feasible. 

2. Individuals for whom law enforcement premium pay would result in no loss of pay if 

furloughed will be excepted from the furlough. 

3. 20 CFR 655.731 requires that the employer of a H-lB non-immigrant who is not performing 

work and is placed in a nonproductive status due to a decision by the employer (e.g., placed 

in a non-pay/non-duty status due to administrative furlough) pay the salaried employee the 

full pro-rata amount due, or to pay the hourly-wage employee for a full-time week (40 hours 

or such other munbcr of hours as the employer can demonstrate to be full-time employment 

for hourly employees, or the full amount of the weekly salary for salaried employees) at the 

required wage for the occupation. 

5 

Air Force Administrative Record for FY 2013 Furlough Appeals 356
1. References. 

a) Title 26, U:S. Code, Section 112, Certain combat zone compensati on of members of the 

Armed Forces 

b) Executive Order 127-14. January 21 , 1991 

c) Executive Order 131!9, April 13, 1999 

d) Executive Order 13239. December 12, 2001 

e) Public Law I 04-117, To provide that members of the Armed Forces pertorming services 

for peacekeeping efforts in Bosnia and Herzegovina, Croatia. and Macedonia shall be 

entitled to tax benefits in the same manner as if such services were performed in a combat 

zone. 

2. The following locations are designated as "Combat Zones" by law, Presidential Executive 

Order or by DoD certification that members of the Armed Forces serving in such locations are 

-;erving in direct support of military opermions in a combat zone: 

Afg.hani~ta n (EO 13239) 

Albania (EO 13119) 

Bahrain (EO 12744) 

Bosnia (PL 1 04-117) 

Djibouti (DoD certification) 

Iraq (EO 12744) 

Kuwait (EO 12744) 

Macedonia (PL 104-1170) 

Oman (EO 12744) 

Philippines (Only troops with orders 

referencing Operation Enduring Freedom) 

(DoD certification) 

Saudi Ambia (EO 12744) 

Somalia tDoD cet1ification) 

6 

United Arab Emirates (EO 12744) 

Uzbekistan (DoD certification) 

Yemen (DoD certification) 

Croatia (PL 1 04-117) 

Her7.cgovina (PL 1 04-117) 

Jordan (DoD certification) 

Kyrgyzsum (DoD certification) 

Montenegro (EO 13119) 

Pakistan (DoD certification) 

Qatar (EO 12744) 

Serbia (includes Kosovo) (EO 13119) 

Tajikisran (DoD certification) 

Air Force Administrative Record for FY 2013 Furlough Appeals 357
Sea Areas: 

Adriatic Sea (EO 13119) 

Gulf of Aden (EO 12744) 

That portion of the Arabian Sea that 

lies north of 10 degrees north latitude. 

and west of 68 degrees east longitude 

(EO 12744) 

Gulf of Oman (EO 12 744) 

fonian Sea north of the 39th Parallel (EO 1311 9) Persian Gulf (EO 12744) 

Red Sea (EO 12744) 

3. Adherence to the following principles ensures consistency in applying the "deployed to 

combat zone" exl.!mption to civilian employees in the context of the administrative furlough: 

a) '"Deployed civilian .. is defined as a civilian employt:!e who is deployed (in temporary duty 

(TDY) status) or temporarily assigned (to include temporary t:hange of station (TCS)) to 

a "combat w ne'' as set forth above. 

b) "Combat zone" is dctined as those locations listed as combat zones in Executivt: Orders 

12744, 13119 or 13239 and locations where military are eligible for combat .zone ta\ 

benefits under law or because DoD has certified that they are providing din.:ct support to 

mtlitnry operations. 

c) A "deployed civilian's" period of deployment includes time spent in attendance at 

mandatory pre-deployment training ac; well as in completing mandatory post-deployment 

requirements. 

d) A civilian employee who was deployed to a combat zone but redeploys mid-way through 

the furlough period will receive a notice of proposed furlough upon return to their parent 

organization and prior to any furlough. Further, the number of hours for which the 

employee will be fl.trloughcd will be pro-rated. 

7 

Air Force Administrative Record for FY 2013 Furlough Appeals 358
*EMBARGOED FROM PUBLIC/PRESS RELEASE* 

*UNTIL 1430 HRS, 14 MAY 2013* 

MESSAGE FROM SECRETARY HAGEL ON FURLOUGHS 

TUESDAY, MAY 14,2013 

To all Department of Defense personnel: 

. As you are fully aware, the Department of Defense is facing a historic 

shortfall in our budget for the current fiscal year. This is the result of current law 

that went into effect March I . It imposes deep across-the-board cuts on DoD and 

other federal agencies. Combined with higher than expected wartime operating 

costs, we are now short more than $30 billion in our operation and maintenance 

(O&M) accounts - which are the funds that we use to pay most civilian employees, 

maintain our mi litary readiness, and respond to global contingencies. 

The Department has been doing everything possible to reduce this shortfall 

while ensuring we can defend the nation, sustain wartime operations, and preserve 

DoD's most critical asset - our world-class civilian and military personnel. To that 

end, we have cut back sharply on facilities maintenance, worked to shift funds 

from investment to O&M accounts, and reduced many other important but nonessential programs. 

Still, these steps have not been enough to close the shortfall. Each of the 

military services has begun to significantly reduce training and maintenance of 

non-deployed operating forces - steps that will adversely impact military 

readiness. And even these reductions are not enough. Since deeper cuts to training 

and maintenance could leave our nation and our military exposed in the event of an 

unforeseen crisis, we have been forced to consider placing the majority of our 

civilian employees on administrative furlough. 

After extensive review of all options with the DoD's senior military and 

civilian leadership on how we address this budget crisis, today I am announcing 

that I have decided to direct furloughs of up to 11 days for most of the 

Department's civilian personnel. I have made this decision very reluctantly, 

because I know that the furloughs will disrupt lives and impact DoD operations. I 

recognize the significant hardship this places on you and your families. 

Air Force Administrative Record for FY 2013 Furlough Appeals 359
After required notifications, we will begin the furlough period on July 8 at 

the rate of one furlough day per week for most personnel. We plan to continue 

these furloughs through the end of the current fiscal year. If our budgetary 

situation permits us to end furloughs early, I would strongly p~efer to do so. That 

is a decision I will make later in the year. 

Furloughs for 11 days represent about half of the number we had originally 

planned, reflecting the Department's vigorous efforts to meet our budgetary 

shortfalls through actions other than furlough. There will be exceptions driven by 

law and by the need to minimize harm to the execution of our core missions. For 

example, all employees deployed or temporarily assigned to a combat zone will be 

excepted from furloughs. 

Your managers have been given authority to develop specific furlough 

procedures to minimize adverse mission effects and also limit the harm to morale 

and productivity. They will be in touch with you to provide guidance and answers. 

The President and I are deeply appreciative of your patience, your hard 

work, and your dedication and contributions to the critical mission of helping 

protect America's national security. I am counting on all of you to stay focused on 

this vital mission in the days ahead. As I said the day I assumed the 

responsibilities of Secretary of Defense, I'm proud to be part of your team and I'm 

proud to serve with you. 

### 

Air Force Administrative Record for FY 2013 Furlough Appeals 360
DECLARATION 

I, Robert E. Corsi, Jr., do state: 

1. I am the Assistant Deputy Chief of Staff for Manpower, Personnel, and Services 

(AF/A1). I have held this position since September 25, 2011. 

2. I have responsibility for Air Force personnel policy and planning with respect to the Air 

Force's civilian workforce. This includes the planning for the furlough necessitated by 

Sequestration and the budget shortfall created by the Fiscal Year 2013 appropriation. 

3. Before resorting to furlough, the Air Force took numerous steps to address its fiscal 

dilemma. See, e.g., Memorandum dated January 14, 2013 from the Undersecretary of the 

Air Force and the Vice Chief of Staff. See also, memos dated January 7, 10, 16 and 18; 

February 1, 13, 15, 20, 21 , 25, and 28; and March 1, 5, 11 and 14, all found in the 

Administrative Record. Furloughs have become a necessary last resort. 

4. Based on the budgetary constraints (explained in the Declaration of Marilyn Thomas, 

found in the Administrative Record), Air Force leadership made the decision that a 

furlough of 11 days for virtually the entire civilian workforce was necessary. 

5. As part of management's mandated duty to reduce the spending in several accounts 

through which civilian personnel may be paid, the decision to furlough civilian 

employees was made across the Department of Defense (DoD). 

6. While limited exceptions in the Air Force appropriated accounts were made in order to 

maintain the preservation of life and property, even many first responders will be 

required to take furlough hours (even if the hours of the furlough will be fewer than the 

rest ofthe force). Very few Air Force civilians will be fully excepted from the furlough. 

Most of the limited exceptions will be for only a diminution of furlough hours. 

Exceptions were kept to a minimum (and approved by the Office of Secretary of 

Defense) in order to generate the greatest savings across the force. 

7. DoD directed the Air Force to comply with the following guidance in undertaking 

furloughs: Furloughs will be limited to 11 discontinuous days (88 hours) between July 8 

and the end of Fiscal Year 2013. Generally, furlough days will be spread out at a rate of 

one per week. 

8. DoD guidance allowed for exceptions in the following broad categories: 

• Civilians deployed to combat zones 

• Civilians necessary to provide safety of life or property, but only to the minimum 

extent needed to protect life or property 

Air Force Administrative Record for FY 2013 Furlough Appeals 361
• Non-appropriated fund employees funded entirely from NAF funds 

• Employees excepted by law 

• Foreign nationals 

• Foreign Military Sales employees that are 100% funded from the FMS Trust Fund 

9. Air Force leaders, after consulting with the respective career field leaders, determined 

that civilians required to provide a minimum level of life and property safety should be 

defined as follows: 

• Health professionals and technicians who provide 24-hour in-patient care or 

emergency services, where civilian furloughs cannot be managed in a manner to meet 

minimum manning levels. All Air Force Medical Service civilians. are subject to 

furlough except those that provide 24-hour inpatient care or emergency service, and 

personnel providing ancillary services directly supporting the 24-hour inpatient care 

and emergency services. 

• Civilian police, security guards, and flight leads at installations where civilians 

comprise 25% or more of the flight level first responders. All Air Force Civilian 

Police/Security Guard personnel are su~ject to furlough except at installations where 

the positions comprise 25% or more of the funded Security Forces unit authorizations 

and are performing flight-level first responder duties. These exceptions are for GS0083 civilian police officers and GS-0085 security guards, assigned to Security 

Forces squadrons, generally servicing in grades GS-09 and below (the only exception 

being GS-11 flight leader positions) aligned under FAC.code 43S3. 

• Civilian firefighters where required to meet minimum manning for the Critical Level 

of Service (CLS) defined in AFI 32-2001. All Air Force firefighters will be subject to 

furlough except at installations where doing so would drop installation firefighter 

manning level below the Critical Level of Service (CLS) defmed inAFI 32-2001, 

paragraph 2.7 and Figure A4.2. FES Capabilities. If an installation drops below CLS 

and must except firefighters from full furlough, MAJCOMs will be directed to do so 

equally among all firefighters at that installation. HAF functional experts have 

determined that even though firefighters work a 24-hour shift, MAJCOM leaders can 

direct furlough hours which: will still allow them to cover the higher risk periods. 

Initial assessments do not indicate there are any installations currently manned at 

levels where they will be unable to meet CLS standards even with a furlough. 

10. Air Force leaders further allowed the Major Commands (MAJCOMs), Combatant 

Commands (COCOMs), and Direct Reporting Units (DRUs) to request "very limited 

exceptions- so limited they defy broad categorization in Air Force-level guidance-to 

comply with statutory standards or requirements, or to avoid irreversible damage to the 

long-term health of the Air Force and its mission." 

11. The guidance to qualify for such an exception was: 

"The standard for an exception is not the "mission-critical employee" standard used 

for a government shutdown. Mission-critical employees generally will be furloughed. 

Exceptions should only be considered if (1) the loss of man hours will result in 

mission degradation to the point of failure, and (2) in a mission that is deemed 

Air Force Administrative Record for FY 2013 Furlough Appeals 362
critical. If an office is properly manned, furlough should be manageable through 

proper scheduling-just like leave or an alternate work schedule. Only where 

staggering absence is not possible- such as for deployed civilians- is an exception 

truly essential. Thus, if an individual can take leave or participate in a compressed 

work schedule, they can be furloughed. All requests for exceptions must make it 

clear why staggered scheduling and other accommodations cannot be implemented. 

Exception requests must include the alternative lower furlough hours per pay period." 

12. Outside of National Guard positions, Air Force requested and received from DoD 

exceptions based on the standards in paragraphs 10 and 11 for a total of only 191 

positions worldwide. 

13. Air National Guard (ANG) sought and received 1,123 mission-based exceptions for ANG 

technicians. 

14. In addition, DoD directed that 1,634 Child Development Center personnel be excepted, 

so as to maintain the minimal staffing needed to retain accreditation and maintain quality 

of care. 

15. DoD has also given the Secretary of each Military Department "up to 50 additional 

individual, mission-based, exceptions as needed to ensure safe and efficient operations of 

their respective Departments." 

16. A decision regarding Air Force employees funded under the National Intelligence 

Program is being made outside of the Air Force, at the discretion of the Director of 

National Intelligence. 

17. While every effort was made to avoid a furlough of the civilian force, the sheer 

magnitude of the reduction required that a furlough be considered and adopted. 

I swear or affirm that the foregoing statement is true and correct to the best of my information, 

knowledge and belief. 

&:!cf./!:r~~ }-

Assistant Deputy Chief of Staff 

for Manpower, Personnel, and Services 

Air Force Administrative Record for FY 2013 Furlough Appeals 363
DECLARATION 

I, Marilyn Thomas, do state: 

1. I am the Principal Deputy Assistant Secretary for Financial Management and 

Comptroller (SAF/FM). I have held this position since April 2012 and from June 2012 to 

April 2013 performed the duties of the Assistant Secretary Financial Management and 

Comptroller. 

2. In my role in SAF/FM, I have responsibility for Air Force financial management activities, 

including chairing the Sequestration Task Force (STF) which is responsible for 

recommending sequestration policy and execution courses of action to senior Air Force · 

leadership. 

3. The Budget Control Act of 2011, as amended by the American Taxpayer Relief Act of 

2012, requires significant reductions to budgetary resources for the Federal government 

(i.e., sequester resourcesL including the Air Force. The Air Force annually receives 16 

appropriations including Operations and Maintenance (O&M), Military Personnel 

(MILPERS), Research, Development, Test and Evaluation (RDT&E), Military Construction 

(MILCON) and various of procurement accounts to highlight a few. Of these 

appropriations, 13 are directly impacted by sequestration. The three appropriations 

exempted from sequestration are the Air Force Active Duty, Guard and Reserve 

MILPERS appropriations. Civilian pay is funded primarily from the Air Force O&M 

appropriations, but other appropriations, such as RDT&E and the Working Capital Fund, 

also fund some civilian pay. 

4. I am responsible for ensuring Air Force budget execution is compliant with the Budget 

Control Act of 2011, which reduced the Air Force "top line" budget to include a 

sequester amount of roughly 9% (or$ 12.4 billion) in FY13. On March 1, 2013, the 

President implemented the provisions of that Act for all affected executive branch 

agencies. While each ofthe Air Force's non-exempt appropriated acc,ounts is required . 

to take a roughly 9% reduction for FY13, the implementation of the Act within the last 

six months of the fiscal year will require, essentially, a reduction of expenditures in each 

of these non-exempt appropriation accounts by 18% (or $12.4 billion) for the remainder 

of the fiscal year ending September 30, 2013 in order to comply with the law and 

Presidential Directive. 

5. The Budget Control Act of 2011, as amended by the American Taxpayer Relief Act of 

2012, subjects non-exempt Air Force appropriations to across-the-board reductions, 

without additional transfer authority to realign funds from one appropriation to 

another. In implementing the reduction targets, the DOD first must and will protect 

wartime operations funding for our troops in harm's way. This inevitably means larger 

1 

Air Force Administrative Record for FY 2013 Furlough Appeals 364
cuts in base-budget (non-war related) funding for the O&M accounts. Thus, due to war 

time needs, this results in a greater impact on Air Force O&M. 

6. Even though the Air Force received a FY 13 appropriation (and the CR is ended), the Air 

Force will still have significant shortfalls in OCO (Overseas Contingency Operations) 

funding. This fact combined with the impact of sequestration will put us in a position of 

requiring the Air Force to make serious reductions in O&M expenditures, including the 

implementation of an 11 day furlough of civilian employees, unless DoD's financial 

situation improves and we have the opportunity to end the furlough early. 

7. As part of management's mandate.d ~uty to reduce spending in several appropriations 

from which civilians may be paid, the decision to furlough civilian employees was made 

across all services and DoD. Furloughing Air Force civilians in all accounts combined, 

using minimal exceptions for appropriated employees, is estimated to save the Air Force 

approximately $4SOM through September 30, 2013. Those savings combined with a 

pending proposed reprogramming to cover OCO shortfalls will allow us to reinstate 

programs that dir·ectly impact readiness, such as reinstatement of flying training in 

several of the fighter and bomber squadrons that were stood down in April. 

8. Because of the sheer magnitude of the reduction the Air Force must take this year, 

there was no· alternative to furloughing Air Force civilians. While limited exceptions 

were made in order to maintain the preservation of life and property, even some first 

responders will be required take furlough hours, even if the hours of the furlough will be 

fewer than the rest of the force. Very few Air Force civilians will be fully excepted from 

the furlough. Exceptions were kept to a minimum (and approved by the Office of 

Secretary of Defense) in order to generate the greatest savings across the force. 

9. While every effort was made to avoid a furlough of the civilian force, the sheer 

magnitude of the reduction required that a furlough be considered and adopted. 

10. Other efforts to cut spending were made, including for example, those detailed in the 

various memoranda attached to the Administrative Record. As additional examples, in 

addition to those efforts to save money, the Air Force is sustaining immediate, severe 

financial shortfalls in Air Force Working Capital Funds, has delayed at least 22 new 

Military Construction projects (MILCON), has or will defer non-emergency facility 

requirements which includes over 420 projects as 90 installations, reduced flying hours 

by 18% {30% of the remaining hours), reduced MAJCOM/COCOM budgets 10% {22% of 

remaining), cancelled TOYs, training, and leadership development courses, cancelled 

ongoing/scheduled studies not mission critical and minimized IT expenditures. Persons 

on Intergovernmental Personnel Act {IPA) details paid with by Air Force appropriations 

will have their salaries cut by 20% as well. These reductions are only examples of the 

actions Air Force leadership has taken to reduce expenditures across all appropriations. 

More severe impacts are predicted the longer sequestration is in place. 

2 

Air Force Administrative Record for FY 2013 Furlough Appeals 365
I swear that the foregoing is true and correct to the best of my knowledge, information and 

belief. 

~~~ 15-m~ d.0/3 

Marilyn Thomas, SAF/FM Date 

3 

Air Force Administrative Record for FY 2013 Furlough Appeals 366
OFFICE OF THE DIRECTOR OF NATIONAL Jl'\TTELUGENCE 

FaoM r•• D 1~1craa 

l 

05/15/2013 

From DNI Clapper: Furlough Decision Announced 

Today, the Secretary of Defense announced that, due to an O&M shortfall of more than $30 

billion this fiscal year, DoD civilian employees will be subject to 11 furlough days. 

During the past several months, Secretary Hagel and I discussed the issue of furloughs as they 

relate to DoD civilian employees funded under the National intelligence Program. We agree that 

NIP funded DoD civilians are a critical element of the Intelligence Community's mission and that 

furlough decisions regarding these employees should be made within the IC. Several months ago, 

I challenged IC leaders to develop strategies to minimize furloughs across the community. 

Through their effort and that of many others, I'm pleased to announce that I do not envision 

mandating furloughs to IC employees funded in the National intelligence Program. 

As DNI, I have a responsibility to preserve our ability to deliver the most insightful intelligence 

possible. You've heard me say it before- our people are our most valuable asset and our mission 

depends on making sure intelligence professionals are focused on the threats facing our nation. 

Secretary Hagel and I share the beliefthat furloughs disrupt lives, negatively impact national 

security and hinder our ability to carry out our mission. I support his efforts to continue to seek 

solutions to further reduce the number of furlough days imposed on DoD civilian employees 

particularly funded under the Military Intelligence Program, and the Information Systems 

Security Program. 

There is no question that under sequestration we will have to do less with less. Over time, the 

significant impact of these cuts will force us to prioritize our intelligence activities with 

increasingly limited resources. During these challenging times, when the array of threats we face 

is so vast, we need every intelligence professional focused on our mission. 

Throughout this process, you have been exceedingly patient and professional and, most important 

of all, you have remained focused on our top priorities- continuing to integrate the IC and 

providing the most insightful intelligence possible. 

I appreciate your continued patience and commitment to our mission as we work through the 

impacts of sequestration together. Thank you for all you do for the IC and for our nation. 

James R. Clapper 

Director ofNational lntelligence 

Air Force Administrative Record for FY 2013 Furlough Appeals 367
Office of the General Counsel 

DEPARTMENT OF THE AIR FORCE 

WASHINGTON, DC 20330 

MEMORANDUM FOR SAF/FM 

FROM: SAF/GC 

SUBJECT: Legality ofFurloughing Working Capital Fund Employees 

BACKGROUND 

MAY 1 6 2013 

You have asked whether Air Force Material Command (AFMC) employees paid through 

the Working Capital Fund (WCF) may be furloughed. We conclude that the provisions of 10 

U.S.C. § 129 and 10 U.S.C. §2472 do not provide a legal obstacle which would prevent these 

employees from being furloughed. 

DISCUSSION 

The Air Force has determined that it is necessary to furlough the vast majority of its 

civilian employees up to 11 days (88 hours) between July and September 2013. This furlough 

will be carried out in accordance with 5 C.F.R. Part 752, subpart D. Under 5 C.F.R. § 752.402, 

furlough is defined as the placing of an employee in a temporary status without duties and pay 

because of lack of work or funds or other nondisciplinary reasons. The Office of Personnel 

Management (OPM) explains an Administrative Furlough (which is what the Air Force is 

undertaking) to be "a planned event by an agency which is designed to absorb reductions 

necessitated by downsizing, reduced funding, lack of work, or any other budget situation other 

than a lapse in appropriations." In this case, the issue is reduced funding. 

The Air Force's planned administrative furlough is necessitated by the extraordinary and 

serious budgetary challenges facing the Department of Defense (DoD) and the Air Force for the 

remainder ofFi.scal Year (FY) 2013, the most serious of which is the sequester that began on 

March 1, 2013. The Budget Control Act of2011, Public Law 112-25 (August 2, 2011), as 

amended by the American Taxpayer Relief Act of2012, Public Law 112-240 (January 2, 2013), 

makes across-the-board reductions to budgetary resources for the Federal government. In 

addition, the DoD has determined that it must and will protect wartime operations funding for 

our troops in harm's way. This inevitably means larger cuts in base-budget funding for the 

Operation and Maintenance (O&M) accounts. Thus, the DoD will need funding in other 

accounts that can be used to provide the warfighters with what they need to protect national 

security and fight the war. This furlough is proposed to help meet their need while avoiding a 

deficit of funds in FY 2013. 1 

1 In general, Air Force is excepting from furlough only employees who: (I) are currently in a non-pay status, (2) are 

under an Intergovernmental Personnel Act mobility assignment that does not cause an expenditure of funds of the 

agency, (3) are on an assignment not otherwise causing an expenditure of funds to the agency (to include all direct 

Air Force Administrative Record for FY 2013 Furlough Appeals 368
2 

It has been suggested by AFMC that a furlough of WCF employees violates the mandate 

of 10 U.S.C. § 129 and 10 U.S.C. § 2472 that the civilian workforce not be subject to any 

constraint or limitation in terms of man-years, end strength, full-time equivalent (FTE) positions 

or maximum number of employees. 

Section 2472 relates specifically to DoD civilian employees involved in the performance 

of depot-level maintenance and repair2 and requires that such employees be managed solely on 

the basis ofthe available workload and the funds made available (emphasis added) for such 

depot-level maintenance and repair. Section 129, enacted after section 2472, broadened the 

impact of section 24 72 to all DoD civilian employees. Section 129 also broadened the bases 

upon which civilian employees shall be managed, to include total force management policies and 

procedures established under section 129a of title 10/ workload required to carry out the 

functions and activities of the department, and funds made available to the department for such 

fiscal year. Both provisions prohibit the "management" of civilian employees on the basis of any 

constraint or limitation in terms of man years, end strength, full-time equivalent positions or 

maximum number of employees. 

The purpose of both statutes is to prevent DoD from using artificial limits with respect to 

civilian employees such as those limits used to manage the military- i.e. , end strength numbers.4 

The statute, however, cannot be read as preventing the Department from reducing civilian 

personnel hours if necessary to comply with the constraints of appropriations laws. Put another 

funded and fully reimbursed civilian positions and associated activities funded with Foreign Military Sales Admin or 

case funds), or ( 4) are in a position whose duties have been determined to be of crucial importance to this agency's 

mission and responsibilities and cannot be curtailed (e.g., civilians deployed to combat zones). The "missioncritical" nature of an employee's work does not exempt his or her position from an administrative furlough. The Air 

Force has determined and OSD has agreed that there will be only a very small number of exceptions: (I) civilians 

deployed to combat zones, (2) civilians necessary to protect safety of life or property (e.g. firefighters, police 

officers, emergency medlical services), but only to the minimum extent needed to protect life or property (and such 

employees will only have their furlough days reduced, not eliminated), and (3) the very limited number of civilians 

positions where no manning option will allow for coverage of their responsibilities and their absence for any period 

oftime wi ll result in mission failure in a mission critical to the Air Force. 

2

Section 2460 of Title I 0· defines the term "depot-level maintenance and repair'' to mean "material maintenance or 

repair requiring the overhaul, upgrading, or rebuilding of parts, assemblies, or subassemblies, and the testing and 

reclamation of equipment as necessary, regardless of the source of funds for the maintenance or repair or the 

location at which the mai.ntenance or repair is performed." 

3

10 U.S.C. §1597 is cross-referenced in 10 U.S.C. § 129a, and (c)(3)(A)(v) refers to the "number of losses of 

civilian positions, by appropriation account, due to reductions in force, furloughs, or functional transfers or other 

significant transfers of work away from the military department. ... " OPM regulations distinguish between 

furloughs of22 days or less and furloughs of longer duration. See 5 C.F.R. Part 752 and 5 C.F.R. Part 351. As 

opposed to the planned furloughs at issue herein, the furloughs referred to in Section 1597 are those of more than 22 

days, which, under 5 C.F..R. Part 351, are treated as reductions in force. 

4

10 U.S.C. § I I 5 requires Congress to annually authorize military personnel strength levels for active, reserve and 

guard for each fiscal year. Congress authorizes the personnel strength level for each military component in the 

annual National Defense Authorization Act. Section 401 ofP.L. 112-239 authorized the FY13 active duty end 

strength for the Air Force at 329,460. End strength levels are measured to that authorized number at the end of each 

fiscal year. There are no similar statutory provisions for civilians. 

Air Force Administrative Record for FY 2013 Furlough Appeals 369
way, both statutes prevent the Department from imposing an artificial limitation on the number 

of civilian personnel as the tool to manage the workforce. It does not (and expressly does not) 

limit the Air Force's flexibility to reduce the size of the civilian workforce, civilian pay, or 

civilian work hours if necessary to comply with an appropriations act. 

In the furlough, the Air Force will not be managing the workforce on the basis of any 

artificial constraint or limitation of man-years or even full-time equivalents- no such limitation 

is set in any of the proposed furlough documents. While furloughs of WCF civilians may have 

an indirect effect on FTEs over the period of the furlough by causing fewer hours to be worked, 

the Air Force is not "managing" to any FTE numerical goal or artificial limit. As such, a 

furlough of WCF employees does not constitute "management" of civilian employees as 

envisioned by these provisions; nor does it amount to a constraint on full time equivalents in 

violation of these statutes. 

3 

Further, it is important to note that both Section 129 and 2472 recognize that workload is 

not the only consideration for managing the civilian work force. Both provisions explicitly state 

that funding will necessarily drive the size ofthe civilian work force. Specifically, 10 U.S.C. § 

129 (a)(3) requires DoD to manage the civilian workforce "on the basis of and consistent with 

the funds made available to the Department for such fiscal year." Section 2472 recognizes that 

the size of the civilian workforce can be managed based on "the funds made available." "Funds 

made available" refers not to the orders placed with the WCF, but to the appropriations used to 

place those orders. According to SAF/FMB documents, appropriations available and used to 

place orders with the WCF include, in large part, Air Force and other service component 

Operations and Maintainance (O&M) accounts, aircraft and missile procurement accounts, and 

to a lesser extent the accounts for Research, Development, Testing and Evaluation (RDT &E). 

All of these appropriations within the Air Force and DoD are subject to sequestration reductions. 

SAF/FMB has advised that the reduction of funds in these FY13 accounts has resulted in a 

reduction in the size and number of orders placed with the WCFs. 5 

As stated above, the Air Force must comply with the Budget Control Act of2011 as 

amended by the American Taxpayer Relief Act of 2012, which require significant reductions to 

budgetary resources for the federal government, including the Air Force, for FY2013. DoD and 

the Air Force determined, based on the sheer magnitude of the reduction in budgetary resources 

that DoD and the AF must take this fiscal year, that there was no alternative to furloughing 

civilians. Thus, instituting furloughs is not "managing" the AFMC WCF employees in any 

prohibited manner under either statute; it is simply reducing the work hours and corresponding 

pay of WCF and other Air Force civilian employees to comport with sequestration and the 

reduced funds made available to the Air Force. If section 2472 were interpreted as barring WCF 

5

It should be noted, however, that while customer funding is subject to sequestration, any orders placed with the 

WCF must be fully funded. This view is consistent with 2 U.S.C. § 905 which exempts from sequestration 

"[i]ntragovernmental funds, including those from which the outlays are derived primarily from resources paid in 

from other government accounts, except to the extent such funds are augmented by direct appropriations for the 

fiscal year during which an order is in effect." . Thus, while the annual appropriations (with which orders are funded) 

are subject to sequestration, once the orders are placed with the WCF, the funds obligated by such orders become 

part of the WCF and are considered intragoverrnental funds, exempt from sequestration. While Section 905 sets 

forth certain funding exemptions from sequestration, it does not exempt WCF civilian employees from furlough. 

Air Force Administrative Record for FY 2013 Furlough Appeals 370
4 

employees from furlough solely because there is work for them to do, the same reasoning would 

apply to all Air Force civilians under section 129 --leading to the inability of the Air Force and 

DoD to furlough most of its civilians - something Congress cannot have intended. 6 

CONCLUSION 

For the reasons set out above, we believe that neither 10 U.S.C. § 129 nor 10 U.S.C. § 2472 

provide a legal basis to prevent AFMC WCF employees from being furloughed. The DoD 

General Counsel has reviewed this memorandum and concurs with this conclusion. 

If you have any questions, please feel free to contact me or Mr. David Frank, SAF/GCA, at (703) 

697-7430. 

(!/ULicf(__ (frlvu~ 

CHERI L. CANNON 

Deputy General Counsel 

(Fiscal, Ethics & Administrative Law) 

REVIEWED AND CONCURRED IN 

e<f'..--

CHARLES A. BLANCHARD 

General Counsel 

6 While there may be strong policy or financial arguments available to support an exception from furlough for WCF 

employees, the legal question posed and addressed herein was whether the above-cited provisions established a legal 

basis for barring WCF civilians from administrative furlough. 

Air Force Administrative Record for FY 2013 Furlough Appeals 371
THE SECRETARY OF THE AIR FORCE 

CHIEF OF STAFF, UNITED STATES AIR FORCE 

WASHINGTON D C 

MEMORANDUM FOR ALL CIVILIAN AIRMEN 

SUBJECT: Painful Decision 

MAY .1 7 2013 

Confronting significant budgetary challenges in response to deep, across-the-board 

sequestration cuts, the Air Force has taken a variety of painful actions to close our budget gap. 

We have significantly reduced expenditures on many support contracts, stood down numerous 

fl ying squadrons, canceled professional continuing education, and greatly constrained travel. 

However, these actions do not fully close our budget shortfall, and we regret that we must now 

begin to implement a civi lian furlough. After an extensive review of all options with senior 

Department of Defense (DoD) leaders, Secretary of Defense Hagel announced his decision to 

direct furloughs of up to 11 days for most DoD civilians. 

None of us are happy to be in this position. Implementing a furlough is an ugly task that 

will adversely affect our civilian Airmen and the vital missions that they carry out every day. 

We recognize and regret the hardships this will create for you and your families, but the budget 

choices that we have faced during this extraordinary year have fun.:e<.l a long series of painful 

decisions. 

As you may know, we plan to begin the furlough period on July 8 at the rate of one 

furlough day per week. While the current plan is to continue these furloughs through the end of 

the current fiscal year, Secretary Hagel stated his intent to decide later this year whether our 

budgetary situation permits us to end furloughs early. In the meantime, we will keep working to 

manage the impacts of these sequestration reductions on our military readiness while also 

striving to take care of you. 

You are highl y valued and integral to our combat support capabilities. Without a doubt, 

we could not be the world's greatest Air Force without you. During this challenging time, we 

are counting on each and every one of you to stay focused on your critical national security 

missions, and we thank you for your service to our Air Force and our Nation. 

~nrD~ Michael B. Donley 

Secretary of the Air Force 

y~~a)~JIL General, USAF 

Chief of Staff 

Air Force Administrative Record for FY 2013 Furlough Appeals 372
-----Original Message-----

From: Wright, Jessica L HON OSD PR [mailto:jessica.wright@osd.mil]

Sent: Tuesday, May 21, 2013 10:38 AM

To: Westphal, Joseph W HON (US); Martinage, Robert C SES UNSECNAV,

DepUnSecNav; Fanning, Eric Hon USAF SAF/US; Lamont, Thomas R HON (US);

Garcia, Juan M HON ASN (M&RA); Ginsberg, Daniel Honorable USAF SAF/MR;

Kendall, Frank HON OSD-ATL; Fox, Christine H, HON, OSD-CAPE; Hale, Robert F

HON OSD COMPT; Vickers, Michael G HON OSD OUSDI; Rhodes, Michael L CIV OSD

ODAM; Whitman, Bryan SES OSD PA; Little, George CIV OSD PA; King, Elizabeth

L, HON OSD LA; Patton, Gary, MG, WSO-SAPRO; Hesterman, John W Lt Gen OSD PR

Cc: Vollrath, Fred E ASD OSD PR; Lumpkin, Michael CIV SD; Lettre, Marcel CIV

SD; Lippert, Mark CIV SD; Hinkle-Bowles, Paige CIV OSD PR; Yarwood, Susan A

SES CIV WHS-HRD; Anderson, Wendy R CIV SD; McCord, Mike J HON OSD COMPT;

Tamburrino, Pat SES OSD PR; Perry, Troy D COL OSD PR

Subject: Exception of Sexual Assault Prevention and Response Personnel from

Furlough Actions

Colleagues - As you are well aware, Secretary Hagel and GEN Dempsey are fully 

committed to making the changes required to instill a climate that does not 

tolerate or ignore sexist behavior, sexual harassment, or sexual assault. These 

violate everything we stand for and the values we defend, and have no place in 

the United States military. Creating a culture free of the scourge of sexual 

assault requires establishing an environment where dignity and respect is 

afforded to all, and our greatest assets as a force are the mutual bonds of trust 

that are integral to the profession of arms.

To this end the Department is excepting all civil servants who are integral to 

the Department's Sexual Assault Prevention Response Program. We have already

excepted medical personnel required to handle emergency situations and crisis 

intervention. To ensure responsive victim care, we are extending this exception 

to include full-time Sexual Victim Advocates and Sexual Assault Response 

Coordinators in the Active and Reserve Components. To ensure necessary program 

changes are implemented swiftly and efficiently, including the recent SAPR 

initiatives directed by Secretary Hagel, headquarters full-time SAPR program 

management staffs are also expected.

I ask that you identify the total number of additional exceptions this action 

will create to my office NLT than this Friday.

Jes

Jessica L. Wright

Acting Under Secretary of Defense

(Personnel and Readiness)

4000 Defense Pentagon

Washington, DC 20301-4000

703-697-2121

Jessica.wright@osd.mil

Air Force Administrative Record for FY 2013 Furlough Appeals 373
COMPTROLLER 

UNDER SECRETARY OF DEFENSE 

1 1 00 DEFENSE PENTAGON 

WASHINGTON. DC 20301 · 1100 

MAY 2 3 2013 

MEMORANDUM FOR: SEE DISTRIBUTION 

SUBJECT: Additional Guidance for Handling Budgetary Uncertainty in Fiscal Year 2013 

References: (a) Deputy Secretary of Defense's memorandum on "Handling Budgetary 

Uncertainty in Fiscal Year 2013:' dated January 10, 2013 

(b) USD(C) Memorandum "Additional Guidance on Handling Budget Uncertainty 

in Fiscal Year 2013," March 5, 2013- Rescinded 

(c) DoD Directive 4515.12, DoD Support for Travel of Members and Employees of 

Congress 

(d) Title 10, United States Code§ 1051, "Bilateral or regional cooperation 

programs: payment of personnel expenses" 

(e) DoD Instruction 1015.15, Establishment, Management and Control of Nonappropriated Fund Instrumentalities and Financial Management of Supporting 

Resources 

(f) Title 10, United States Code§ 1491, "Funeral honors functions at funerals for 

veterans" 

(g) Title 31 United States Code§ 1353, "Acceptance ofTravel and Related 

Expenses from Non-Federal Sources" 

The purpose of this memorandum is to provide additional guidance to reference (a) to 

ensure consistency in the treatment of issues across the Department of Defense (DoD) as the 

Department implements sequestration and the funding provided in the Consolidated and Further 

Continuing Appropriations Act, 2013 (Public Law 113-6). All DoD Components need to ensure 

that funding for wartime operations is protected and critical priority requirements for national 

security are funded within the limited resources and flexibilities provided. Effective 

immediately, the guidance in this memorandum supersedes the guidance provided in reference 

(b), and subsequent clarifications, which are hereby rescinded. 

Congressiona l Travel Support 

The Department will strictly enforce DoD's policies in its support of travel by 

congressional delegations (CODELs) and congressional staff delegations (STAFFDELs). It is 

DoD policy that support for approved travel of members and employees of Congress shall be 

provided on an economical basis upon request from Congress, pursuant to law or where 

necessary to carry out DoD duties and responsibilities. Organizations shall ensure that travel of 

members and employees of Congress is sponsored by the DoD only where the purpose of the 

travel is of primary interest to and bears a substantial relationship to programs or activities of 

DoD and is not solely for the purpose of engendering goodwill or obtaining possible future 

benefits. Specific guidance is included in reference (c). Some specific policies worth 

highlighting include: 

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• Military airlift will not be used for CODELs if commercial airlift is reasonably available. 

• Within the Continental United States (CONUS), no CODELs may use military 

airlift as commercial airlill is readily available. 

• Military airlift may be authorized for CODELs Outside the CONUS if commercial 

airlift is limited or unsafe; every effort must be made to minimize costs. 

• Spouses may accompany members if there is an official function as long as they 

pay their own expenses and do not increase the number or size of aircraft required. 

• Minimum number of congressional members for military airlift originating in CONUS. 

• No less than five members for large aircraft. 

• No less than three members for small aircraft. 

• Tickets purchased by DoD for CODELs, ST AFFDELs, and liaison escorts. 

• Must be economy class; individuals may upgrade at their own expense. 

• DoD does not pay for a member·s personal staff traveling to his/her home 

State/District; this includes travel, lodging, meals, or escorts. 

• All itineraries for CODELs/STAFFDELs must be approved by the escorting Service's 

2-star Legislative Affairs Director to ensure that the itinerary is an efficient use of 

taxpayer funds. 

Tuition Assistance 

The Services are to restore funding for tuition assistance to the budgeted level for the 

remainder of Fiscal Year 2013, without reduction for sequestration. In addition, the Services 

will not implement any management controls/restrictions that did not exist prior to the tuition 

assistance stoppage. This will meet, and exceed, the requirement in section 8129 (Requirement 

to Continue Provision of Tuition Assistance for Members of the Armed Forces) of division C of 

Public Law 113-6 (Department of Defense Appropriations Act, 2013). 

Discretionary Monetary Awards for Civilians 

In the Office of Management and Budget (OMB) Bulletin #M-13-11 , Ongoing 

Implementation of the Joint Committee Sequestration, dated April4, 2013, the Controller 

provides the following guidance with regard to discretionary monetary awards: 

"OMB Memorandum 13-05 [Agency Responsibilities for Implementation 

of Potential Joint Committee Sequestration] directs that discretionary monetary 

awards should not be issued while sequestration is in place, unless issuance of 

such awards is legally required. Discretionary monetary awards include annual 

performance awards, group awards, and special act cash awards, which comprise 

a sizeable majority of awards and incentives provided by the Federal 

Government to employees. Until further notice, agencies should not issue such 

monetary awards from sequestered accounts unless agency counsel detennines 

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the awards are legally required. Legal requirements include compliance with 

provisions in collective bargaining agreements governing awards. 1 

Consistent with past guidance, certain types of incentives are not 

considered discretionary monetary awards for the purposes of this policy. These 

include quality step increases (QSis); travel incentives recognizing employee 

savings on official travel; foreign language awards for mission-critical language 

needs; recruitment, retention, and relocation incentives (3Rs); student loan 

repayments; and time-off awards. While these items are permitted, in light of 

current budgetary constraints, they should be used only on a highly limited basis 

and in circumstances where they are necessary and critical to maintaining the 

agency's mission. In addition, consistent with the policy set forth in the 

Guidance on Awards for Fiscal Years 2011 and 2012,jointly issued by the 

Office of Personnel Management (OPM) and OMB on June 10, 2011, spending 

for QSis and 3Rs should not exceed the level of spending on such incentives for 

fiscal year 2010. 

With respect to Federal political appointees, agencies should continue to 

follow the policy set forth in the August 3, 2010 Presidential Memorandum, 

Freeze on Discretionary Awards, Bonuses, and Similar Payments for Federal 

Political Appointees. OPM previously issued guidance on implementation of 

this memorandum." 

The Office of the Under Secretary ofDefense for Personnel and Readiness will be issuing 

supplemental guidance on award limitations for DoD civilians. 

Participation in International Events 

The Department should limit its participation in international events except in those 

instances where individuals are supporting Foreign Military Sales and the funds supporting these 

efforts are not being sequestered because the accounts are exempt from sequestration. 

Components may continue to participate in military exercises and to conduct military-tomilitary engagement activities, including participation by DoD personnel in bilateral or regional 

conferences, seminars, or similar meetings if the appropriate conference approval authority 

determines that the attendance of such personnel at such conference, seminar, or similar meeting 

is in the national security interests of the United States. In addition, Components may continue to 

use- in accordance with established guidance and approval procedures- the authority provided 

by reference (d) to pay travel and subsistence costs for defense personnel from developing 

countries in order for them to attend conferences. seminars. or similar meetings considered in the 

interest of U.S. national security. In this period of sequestered budgets. however, Component 

Heads should take particular care to ensure that any military-to-military engagement activities, 

including conferences, seminars, or similar meetings, are mission critical and that the goals of the 

1 Consistent with legal requirements, agencies may consider engaging in discussions with employees' exclusive 

representatives to explore revisions to such provisions in existing collective bargaining agreements, in recognition of 

this guidance. 

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activity cannot be deferred or met through other means. We also ask that you take into account 

factors that could result in special scrutiny of an event, including size, cost, and location. 

Utilization of military musical units or ceremonial units in military-to-military engagement 

activities will require the concurrence of the Office of the Assistant to the Secretary of Defense 

for Public Affairs before approval. 

Demonstration Flying 

All aerial demonstrations, including flyovers, jump team demonstrations, and participation 

in civilian air shows and military open houses were to cease as of April 1, 2013, consistent with 

previous direction. Flyovers in support of military funerals will be given special consideration. 

To ensure consistency across the Department all exceptions and waivers for demonstration flying 

will require the concurrence of the Office of the Assistant to the Secretary ofDefense for Public 

Affairs before approval. 

Support to Non-DoD Organizations and Special Events 

All military support to non-DoD organizations and special events for outreach purposes 

beyond a military installation's local area is prohibited. Military support to outreach activities in 

the local area is permitted so long as the support is provided using only local assets and 

personnel, and is at no cost to the Department. This includes, but is not limited to, military 

equipment displays at civilian air shows, military open houses, Fleet and Service weeks, and 

CONUS-based ship homeport visits, and in parades and civic events. The use of nonappropriated funds (NAF) to host military installation open houses in support of authorized NAF 

programs is permitted in accordance with reference (e). To ensure consistency across the 

Department, all exceptions and waivers for support to non-DoD organizations and special events 

will require the concurrence of the Office of the Assistant to the Secretary of Defense for Public 

Affairs before approval. This section does not apply to DoD Component Recruiting Marketing 

activities using Recruiting assets, National Guard outreach activities funded solely by State funds, 

and attendance by DoD personnel at a non-DoD hosted conference. 

Military Musical Unit (and Ceremonial Unit) Travel 

As a matter of policy, military musical and ceremonial units will not be permitted to travel 

beyond their respective duty station's local area for any purpose, including support to another 

military installation, even if such travel could be conducted at no cost to DoD. Units may 

continue to perform locally both on and off military installations, including for the purpose of 

producing and distributing audio and video recordings, as long as those performances, 

productions and distributions are at no cost to the Department. To ensure consistency across the 

Department, all exceptions and waivers will require the concurrence ofthe Office of the Assistant 

to the Secretary of Defense for Public Affairs before approval. Presidential Wreath-Laying 

Ceremonies are exempt from this restriction. In addition, Military Funeral Honors Details are 

exempt from this restriction and will continue to be executed in accordance with Service 

Department policies and reference (f). 

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Official Speeches and Related Travel Expenses for DoD Personnel 

Department of Defense personnel may not travel beyond the local area at DoD cost, 

including to deliver official speeches, unless the activity is deemed mission critical. Each 

organization in the Office of the Secretary of Defense (OSD), Service Component or Combatant 

Command (COCOM) is responsible for making this "mission critical" determination. 

Expenditure of DoD travel funds to support a mission critical official speech must be approved 

by the member's respective OSD organization, Service Component or COCOM leadership. The 

Department may continue to accept unsolicited travel benefits from non-Federal sources in 

accordance with reference (g). However, all expenses for non-mission critical travel must be 

covered by the non-Federal source, including per diem, lodging, meals, transportation and all 

other travel-related expenses. 

Conference Attendance 

As you know, the Deputy Secretary of Defense has issued guidance requiring that all 

conferences be mission critical. There are also certain individuals who must approve 

conferences, depending on their nature and size. If you have questions about this guidance, it is 

available for review at: http://dcmo.defense.gov/products-and-serviceslconference-policiescontro ls/index.html. 

Even under sequestration, we do not want to prohibit conferences, including hosting of or 

attendance at DoD-hosted conferences or attendance at conferences hosted by non-DoD entities. 

However, in this period of sequestered budgets, we ask that commanders and managers take 

particular care to be certain that conferences are indeed mission critical and that the goals of the 

conference cannot be met through other means. We also ask that you take into account factors 

that could result in special scrutiny of conferences including size, cost, and locations that are 

remote from the workplace of most participants. Particular care should be exercised in assessing 

the need for conferences held overseas or in other locations likely to attract special attention. 

If, after weighing the above considerations, travel approving officials determine that 

attendance at conferences hosted by non-Federal sources during sequestration is still appropriate, 

if asked, the host may be informed of DoD's authority to accept payments for travel, subsistence, 

and related expenses pursuant to reference (g). Payments for travel expenses under reference (g) 

may not be solicited. Apart from this statute, we do not have authority to accept reimbursements 

from non-Federal entities in a manner that can be used to offset DoD's costs of participation in a 

non-Federal source's conference. All DoD travel approving officials should ensure that DoD 

employees attend only those conferences that satisfy the criteria set forth in the preceding 

paragraph and that, wherever appropriate, all travel, subsistence and related expenses incurred by 

DoD are reimbursed in accordance with reference (g). 

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We will continue to provide additional guidance as issues surface that require a DoD-wide 

policy. Thank you for your assistance during this difficult fiscal climate. 

Robert F. Hale 

cc: 

Director of National Intelligence 

DISTRIBUTION: 

SECRETARIES OF THE MILITARY DEPARTMENTS 

CHAIRMAN OF THE JOINT CHIEFS OF STAFF 

UNDER SECRETARIES OF DEFENSE 

DEPUTY CHIEF MANAGEMENT OFFICER 

CO~ANDERSOFTHECOMBATANTCO~ANDS 

ASSIST ANT SECRET ARIES OF DEFENSE 

GENERAL COUNSEL OF THE DEPARTMENT OF DEFENSE 

DIRECTOR, OPERATIONAL TEST AND EVALUATION 

DIRECTOR. COST ASSESSMENT AND PROGRAM EV ALUATON 

INSPECTOR GENERAL OF THE DEPARTMENT OF DEFENSE 

ASSISTANTS TO THE SECRETARY OF DEFENSE 

DEPARTMENT OF DEFENSE CHIEF INFORMATION OFFICER 

DIRECTOR, ADMINISTRATION AND MANAGEMENT 

DIRECTOR, NET ASSESSMENT 

DIRECTORS OF THE DEFENSE AGENCIES 

DIRECTORS OF THE DOD FIELD ACTIVITIES 

6 

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