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Update on National Guard and Reserve Equipping Appropriation (NGREA) Best Practices

This update by COL Mas Kuwana focuses on best business practices for the Army National Guard related to the National Guard and Reserve Equipment Appropriation (NGREA). NGREA is a special funding mechanism aimed at procuring critical modernization items that normal appropriations cannot cover. It sets goals for obligations within specified timelines and prioritizes items based on specific criteria. The update also highlights recent significant procurements, ongoing discussions regarding the FY12 buy list, and the importance of aligning with DoD obligation targets.

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Update on National Guard and Reserve Equipping Appropriation (NGREA) Best Practices

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  1. National Guard and Reserve Equipping Appropriation (NGREA) Update COL Mas KuwanaChief, Materiel programs divisionARNG-RMQ

  2. Purpose To provide an update on the best business practices for the Army National Guard on NGREA, NGREA business rules and purchases.

  3. National Guard and Reserve Equipment Appropriation (NGREA) • NGREA is a special Defense Appropriation that complements each Service’s base appropriation. It is intended to procure critical modernization items of equipment that the base appropriation is not able to fund. • DoDObligation (on contract) Targets: 80% in the 1st year, 90% in the 2nd, fully obligated in the 3rd • Buy List Priorities: • Should have a Line Item Number (LIN) (Standard or Non-Developmental) • Should be Critical Dual Use (CDU) • Must be procurable throughout a 6 – 24 month window • Should have a fill rate 90% or less • NGREA Obligation Process: • RMQ coordinates directly with Program Mangers for contracts • RMQ tracks the funds to ensure obligation • RMQ tracks the contracts to ensure delivery to the ARNG

  4. National Guard and Reserve Equipment Appropriation (NGREA) • Future funding of NGREA will allow the ARNG continuous procurement of items that improve interoperability with the Active Component and support its Dual Mission Role. • Not intended for Operational Needs Statement (ONS) for deployers. • Non-standard, Commercial-Off- the- Shelf (COTS) items must meet procurement guideline for procurement funds. Training Systems must have planned sustainment funding and be supported by ARNG Training Division. • Recent significant NGREA procurements • $720M of FMTVs • $91M of TOC/SICPs for the Multi-functional Brigade structure • $118M for LUH Mission Equipment Package

  5. FY12 ARNG NGREA Status • FY12 Buy List • The Buy List is still being finalized and ensuring the availability of contract head space. • The potential Buy List will be prioritized with the business rules discussed. • Current Congressional Marks • HACD allocated $490M. • SACD allocated $150M.

  6. FY11 NGREA Buy List Roll Up (FOUO) (FOUO)

  7. FY11 NGREA Buy List Details(FOUO) (FOUO)

  8. SUMMARY • NGREA funds are procurement funds intended to procure critical modernization items of equipment on an enterprise-wide basis that the base appropriation is not able to fund. • RMQ Business Rules recommend CDU items, equipment assigned a LIN, that has a shortfall and a valid requirement. • Even though NGREA funds are unprogrammed, they must adhere to DoD obligation rate targets (80/90/100% ). • Training Systems must have planned sustainment funding and be supported by ARNG Training Division. • RMQ requests any Adjutants General input for the FY13 NGREA buy List.

  9. Questions?

  10. Back Up Slides

  11. National Guard and Reserve Equipment Appropriation (NGREA) • The NGREA obligation rates for FY09, FY10, and FY11 are now in compliance with DoD standards • 80% in the 1st year, 90% in the 2nd, fully obligated in the 3rd

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