UNCLASSIFIED. UNCLASSIFIED Army Page 1 of 8 P-1 Line #33

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1 Exhibit P-40, Budget Line Item Justification: PB 2017 Army Date: February A: Procurement of Ammunition, Army / BA 02: Ammunition Production Base Support / BSA 10: Production Base Support ID Code (A=Service Ready, B=Not Service Ready): Program Elements for Code B Items: N/A Other Related Program Elements: N/A Line Item N/A Resource Summary Item MDAP/MAIS Code(s): N/A Prior Years FY 2015 FY 2016 FY 2017 Base FY 2017 OCO FY 2017 FY 2018 FY 2019 FY 2020 FY 2021 To Complete Procurement Quantity (Units in Each) Gross/Weapon System ($ in Millions) 2, , Less PY Advance Procurement ($ in Millions) Net Procurement (P-1) ($ in Millions) 2, , Plus CY Advance Procurement ($ in Millions) Obligation Authority ($ in Millions) 2, , Initial Spares ($ in Millions) Flyaway Unit ($ in Dollars) Gross/Weapon System Unit ($ in Dollars) Description: The Conventional Munitions Demilitarization Program provides for the demilitarization (demil) and disposal of Single Manager for Conventional Ammunition (SMCA) managed conventional ammunition and missiles for all Military Services per DoD Directive and DoD Instruction that is unserviceable, obsolete, unsafe, or excess to requirements. The program accomplishes demil using open burning/ open detonation (OB/OD) processes or closed disposal technologies (CDT) with primary emphasis on resource recovery and recycling (R3). This program also provides for operations, technical support and services; packaging, crating, handling, and transportation (PCHT) of ammunition for demil projects at United States Army depots, plants and activities; commercial contracts that provide CDT demil support and services; and international operations, which include the European and Pacific Theatres. Army Page 1 of 8 P-1 Line #33 565

2 Exhibit P-40, Budget Line Item Justification: PB 2017 Army Date: February A: Procurement of Ammunition, Army / BA 02: Ammunition Production Base Support / BSA 10: Production Base Support ID Code (A=Service Ready, B=Not Service Ready): Program Elements for Code B Items: N/A Other Related Program Elements: N/A Line Item N/A Item MDAP/MAIS Code(s): N/A Exhibits Schedule Prior Years FY 2015 FY 2016 FY 2017 Base FY 2017 OCO FY 2017 Exhibit Type Title* Subexhibits ID CD Quantity / / Quantity / / Quantity / / Quantity / / Quantity / / Quantity / / P-5 EP1800 / CONVENTIONAL AMMUNITION DEMILITARIZATION (SMCA) - / 2, / / / / - - / P-5 EP1801 / Other Non-Army Service Demil Items (non-smca) - / / / / / - - / P-5 EP1802 / Army Missile Demilitarization - / / / / / - - / P-5 EP1803 / Non-Army Missile Demilitarization - / / / / / - - / P-40 Gross/Weapon System - / 2, / / / / - - / *Title represents 1) the Number / Title for Items; 2) the Number / Title [DODIC] for Ammunition; and/or 3) the Number / Title (Modification Type) for Modifications. Note: s in this Exhibit P-40 set may not be exact or sum exactly due to rounding. Justification: FY 2017 Base procurement dollars in the amount of $ million will support the demilitarization of conventional ammunition as well as missile and missile components (msl/comp) for all Military Services. FY 2017 funds will support the United States demil operations of conventional ammunition in both Continental United States (CONUS) and Outside the Continental United States (OCONUS). CONUS demil operations are performed by a combination of Government Owned, Government Operated (GOGO) depots, Government Owned, Contractor Operated (GOCO) depots as well as commercial contractors. OCONUS demil operations are performed at Demilitarization Facilities (DEFACs) in the Republic of Korea and Japan as well as commercial contractors in the European Union. As of the end of September 2015, the SMCA Resource, Recovery and Disposition Account (B5A) contained 482,391 tons of ammunition in CONUS wholesale storage locations: 443,474 tons of conventional ammunition and 38,917 tons (373,768 eaches) of msl/comp. During FY 2015, 83,315 tons of demil was accomplished and comprised of 69,343 tons of conventional ammunition and 13,972 tons (149,063 eaches) of msl/comp. Stockpile growth and generations: An estimated 38,763 tons of conventional ammunition will enter the B5A in FY 2016, and an estimated 37,169 tons of conventional ammunition will enter the B5A in FY During FY 2018 through FY 2021, 323,210 tons of conventional ammunition are forecasted to be added into the B5A. An estimated 8,749 tons (39,553 eaches) of msl/comp will enter the B5A in FY 2016, and an estimated 13,632 tons (52,356 eaches) of msl/comp will enter the B5A in FY During FY 2018 through FY 2021, 50,079 tons (238,053 eaches) of msl/comp are forecasted to be added into the B5A. Stockpile growth factors: The demil stockpile is expected to grow as a result of Military Services generations as well as other factors such as cluster munitions and land mine policies as well as the disestablishment of War Reserve Stocks Allies (WRSA) accounts at OCONUS locations. Currently, there are approximately 166,616 tons of cluster munitions in the demil stockpile. An additional 198,928 tons are expected to be added into the B5A between FY 2016 and FY 2021 to ensure compliance with the Cluster Munitions Policy. Army Page 2 of 8 P-1 Line #33 566

3 Exhibit P-5, Analysis: PB 2017 Army Date: February 2016 EP1800 / CONVENTIONAL AMMUNITION DEMILITARIZATION (SMCA) Resource Summary Prior Years FY 2015 FY 2016 FY 2017 Base FY 2017 OCO FY 2017 Procurement Quantity (Units in Each) Gross/Weapon System ($ in Millions) 2, Less PY Advance Procurement ($ in Millions) Net Procurement (P-1) ($ in Millions) 2, Plus CY Advance Procurement ($ in Millions) Obligation Authority ($ in Millions) 2, Initial Spares ($ in Millions) Gross/Weapon System Unit ($ in Dollars) Note: Subtotals or s in this Exhibit P-5 may not be exact or sum exactly due to rounding. Elements Support - Demilitarization Unit Prior Years FY 2015 FY 2016 FY 2017 Base FY 2017 OCO FY 2017 Unit Unit WHITE PHOSPHORUS DEMOLITION MATERIAL HE DETONATORS/ BOOSTERS Unit HE BOMBS HE CARTRIDGES GRENADES HE DEPTH CHARGES CLUSTER BOMBS/ ICM; ANTI-TANK & PERSONNEL HE LAND MINES INERT MULTIPLE FAMILY PROPELLANT CHARGES/INCREMENT CHARGES TARGET PRACTICES/ 40MM ANTI-AIRCRAFT SMALL ARMS AMMO THRU 20MM Unit Unit Army Page 3 of 8 P-1 Line #33 567

4 Exhibit P-5, Analysis: PB 2017 Army Date: February 2016 Note: Subtotals or s in this Exhibit P-5 may not be exact or sum exactly due to rounding. Elements INCINERABLE MUNITIONS/ MISCELLANEOUS Unit EP1800 / CONVENTIONAL AMMUNITION DEMILITARIZATION (SMCA) Prior Years FY 2015 FY 2016 FY 2017 Base FY 2017 OCO FY 2017 Unit Unit Unit FUZES TRANSPORTATION MUNITIONS CHARACTERIZATION OCONUS DEMIL - EUCOM OCONUS DEMIL - PACOM CONTRACT - CONUS DEMIL Subtotal: Support - Demilitarization Support - Program Management Government Management Subtotal: Support - Program Management Gross/Weapon System , , , Unit Unit Army Page 4 of 8 P-1 Line #33 568

5 Exhibit P-5, Analysis: PB 2017 Army Date: February 2016 EP1801 / Other Non-Army Service Demil Items (non-smca) Resource Summary Prior Years FY 2015 FY 2016 FY 2017 Base FY 2017 OCO FY 2017 Procurement Quantity (Units in Each) Gross/Weapon System ($ in Millions) Less PY Advance Procurement ($ in Millions) Net Procurement (P-1) ($ in Millions) Plus CY Advance Procurement ($ in Millions) Obligation Authority ($ in Millions) Initial Spares ($ in Millions) Gross/Weapon System Unit ($ in Dollars) Note: Subtotals or s in this Exhibit P-5 may not be exact or sum exactly due to rounding. Elements Support - Demilitarization Unit Prior Years FY 2015 FY 2016 FY 2017 Base FY 2017 OCO FY 2017 Unit Unit TORPEDOES SONOBUOYS MINES Subtotal: Support - Demilitarization Gross/Weapon System Unit Unit Unit Army Page 5 of 8 P-1 Line #33 569

6 Exhibit P-5, Analysis: PB 2017 Army Date: February 2016 EP1802 / Army Missile Demilitarization Resource Summary Prior Years FY 2015 FY 2016 FY 2017 Base FY 2017 OCO FY 2017 Procurement Quantity (Units in Each) Gross/Weapon System ($ in Millions) Less PY Advance Procurement ($ in Millions) Net Procurement (P-1) ($ in Millions) Plus CY Advance Procurement ($ in Millions) Obligation Authority ($ in Millions) Initial Spares ($ in Millions) Gross/Weapon System Unit ($ in Dollars) Note: Subtotals or s in this Exhibit P-5 may not be exact or sum exactly due to rounding. Elements Support - Demilitarization MULTIPLE LAUNCH ROCKET SYSTEM Unit Prior Years FY 2015 FY 2016 FY 2017 Base FY 2017 OCO FY 2017 Unit Unit Unit LANCE TOW CD/R HELLFIRE STINGER PATRIOT HONEST JOHN MISSILE COMPONENTS HAWK MOTORS DEMIL PROCESS IMPROVEMENTS TRANSPORTATION CONTRACT - CONUS DEMIL Subtotal: Support - Demilitarization Support - Program Management Government Management Subtotal: Support - Program Management Unit Unit Army Page 6 of 8 P-1 Line #33 570

7 Exhibit P-5, Analysis: PB 2017 Army Date: February 2016 Note: Subtotals or s in this Exhibit P-5 may not be exact or sum exactly due to rounding. Elements Gross/Weapon System Unit EP1802 / Army Missile Demilitarization Prior Years FY 2015 FY 2016 FY 2017 Base FY 2017 OCO FY 2017 Unit Unit Unit Unit Unit Army Page 7 of 8 P-1 Line #33 571

8 Exhibit P-5, Analysis: PB 2017 Army Date: February 2016 EP1803 / Non-Army Missile Demilitarization Resource Summary Prior Years FY 2015 FY 2016 FY 2017 Base FY 2017 OCO FY 2017 Procurement Quantity (Units in Each) Gross/Weapon System ($ in Millions) Less PY Advance Procurement ($ in Millions) Net Procurement (P-1) ($ in Millions) Plus CY Advance Procurement ($ in Millions) Obligation Authority ($ in Millions) Initial Spares ($ in Millions) Gross/Weapon System Unit ($ in Dollars) Note: Subtotals or s in this Exhibit P-5 may not be exact or sum exactly due to rounding. Elements Support Unit Prior Years FY 2015 FY 2016 FY 2017 Base FY 2017 OCO FY 2017 Unit Unit HE MISSILES Subtotal: Support Gross/Weapon System Unit Unit Unit Army Page 8 of 8 P-1 Line #33 572

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