C2.3.1. General. Long-range SC planning assists friendly and allied governments to identify and assess their military capabilities and requirements. The U.S. Government (USG) welcomes consultation with friends and allies regarding planning to meet their defense needs or to undertake research, development, production, and logistics support programs of mutual interest. Information obtained through consultation is important in the planning process and helps ensure orderly program implementation.

C2.3.1.1. The necessary planning for follow-on support, training, and other elements of continuity should accompany the transfer of end-items. The “total package approach” ensures items can be operated and maintained in the future.

C2.3.1.2. DoD SC planning activities must be consistent with U.S. military strategic plans and objectives, policy guidance issued by the Secretary of Defense and policy guidance issued by the Secretary of State. See DoD Directive 5132.03, DoD Policy and Responsibilities Relating to Security Cooperation.

C2.3.2. Planning Considerations for Security Cooperation. SC planning capability varies from country-to-country. Crises, conflicts, and other events may change program direction and overall financing options.

C2.3.2.1. SC plans consider the economic capabilities of the foreign government, the support provided by third parties, and the overall U.S. and regional conventional arms transfer policies. The amount and type of military equipment that a country can support is also considered. SC plans emphasize the country’s capabilities to organize, employ, and manage national resources allocated to defense. Plans should be consistent with overall political, economic, technological, and national security goals of the United States.

C2.3.2.2. A “needs assessment” is a critical part of long-range SC plans. The assessment lists items that the country team believes necessary to maintain the country’s defense.

C2.3.2.3. Discussions and correspondence between DoD representatives and foreign officials on the development of plans, programs, and related data are conducted with the mutual understanding that the discussions do not constitute or imply any commitment on the part of the United States.

C2.3.3. Planning Activities and Tools. Several tools exist to aid the SC planning process.

C2.3.3.1. Military Assistance Budget Process. For the purposes of this section, military assistance is defined as Foreign Military Financing (FMF) and International Military Education and Training (IMET). The Military Assistance Budget is under the direct purview of the Department of State (DoS) and is included in its International Affairs Budget request to the Office of Management and Budget (OMB). The Secretary of State is the final authority on what funding levels are included in the DoS budget request. Military assistance funding, appropriated by the U.S. Congress, is provided to DoD by DoS to execute the authorities in Foreign Assistance Act (FAA), section 503(a) (22 U.S.C. 2311 (a)) and Section 541 (22 U.S.C. 2347) and Arm Export Control Act (AECA), Section 23 (22 U.S.C. 2763) Military assistance funding is administered by Defense Security Cooperation Agency (DSCA). Annual preparation of military assistance budgets are for funding, if realized, to be executed two years in the future.

C2.3.3.1.1. Military Assistance Budget Call. Within the Department of State,, Bureau of Political- and Military Affairs (DoS (PM)) is the focal point for the Military Assistance Budget. PM sets the deadline for the DoD budget submission. DSCA (Business Operations Directorate) is responsible for preparing and releasing the budget call to the SCOs and Combatant Commands (CCMDs).

C2.3.3.1.2. Strategic/Fiscal Guidance and Priorities. The Secretary of Defense’s Guidance for Employment of the Force (GEF) serves as the overarching guidance for FMF and IMET Budget development. Approved regional Theater Security Cooperation Plans are also used in developing the annual FMF and IMET Budget recommendation. FMF and IMET Budget requests should reflect the Secretary of Defense’s strategic priorities and fiscal guidance issued for the annual budget build.

C2.3.3.1.3. Mode of Military Assistance Budget Submissions. Budget requests are submitted and maintained using the FMF and IMET Budget Web Tool. The web tool provides a central, on-line repository of FMF and IMET budgetary data that provides a timely, efficient, and visible method for budget development and subsequent reporting.

C2.3.3.1.4. Scope of Military Assistance Budget Submissions. Military Assistance funding is a key tool in promoting foreign policy and national security objectives. As such, it is imperative, based on the congressionally mandated National Security Assistance Strategy (NSAS) reporting, that DoD incorporates a long-term strategy into the Military Assistance Budget process. Therefore, budget submissions must incorporate the following elements: out-year program requirements; objective-oriented input detailing what needs to be accomplished and why, the capability being created, enhanced, or maintained, , how long it will take to achieve the objective, and the desired end state; justifications that detail what is required in the way of materiel and/or services and why this is critical in meeting the stated objective; prioritization of requirements; and funding requests that are consistent with the purpose of the source of funding being sought. Funding requests for countries that maintain high uncommitted FMF balances are highly scrutinized. Therefore, a general plan on how this funding will be used and a timeframe for the timely commitment of these balances must also be provided.

C2.3.3.1.5. Military Assistance Budget Call and the DoS Mission Strategic Resource Plan (MSRP). The SCO’s FMF and IMET Budget requests should reflect the DoD’s views. The MSRP reflects the Chief of Mission’s (COM’s) views on required funding, which may differ from the SCO’s views. The MSRP input is tasked separately by the DoS. The Security Cooperation Office (SCO) should use the data it compiled for the DoD FMF and IMET Budget call as the basis for input to any tasking received for the MSRP in accordance with the CCMD guidance.

C2.3.3.1.6. Factors Influencing Final Military Assistance Budgetary Funding Recommendations. There are many factors that impact decisions that result in the final DoD funding recommendations provided to DoS. They include fiscal constraints, policy and political concerns, sanctions, schoolhouse capacity, effective and efficient use of previously provided funding, and availability of other SC funds.

C2.3.3.1.7. Program Baseline of the Military Assistance Budget. Upon submission of the President’s Budget to Congress and the allocation of the current execution year funding, a program baseline is prepared outlining how FMF funds will be used. This DoS-approved document further justifies the budget year request for funding, sets the baseline for congressional program content notification for execution year funding, and outlines a spend plan for prior year uncommitted FMF funds. The FMF program baseline must be followed when submitting Letters of Request (LORs) and executing Letters of Offer and Acceptance (LOAs) unless a deviation is sought from the DSCA Country Program Director (CPD) and approved by the DoS.

C2.3.3.1.8. Channels and Notional Timeline of Military Assistance Budget Submissions. Table C2.T2. outlines the organizational chain and notional timeline for budget submissions. An actual timeline is provided via electronic mail (e-mail) and posted on the FMF/IMET Budget Web Tool site as each annual budget cycle approaches. Organizational submission dates must be met in order for the annual DoD funding recommendation to arrive at DoS by the deadline.

Table C2.T2. Channels and Notional Timeline for Military Assistance Budget Submissions