scope:

Purpose

A. This Chapter prescribes the justification materials required for the Military Personnel and Medicare-Eligible Retiree Health Fund Contribution appropriations for both the Active and the Reserve Forces to support the program and budget review submission and the presentation of the President's budget submission to the Congress.

B. The following appropriations and accounts are covered:

1. In Section 0202: Active Personnel, Army, Navy, Marine Corps, Air Force and Medicare-Eligible Retiree Health Fund Contribution, Army, Navy, Marine Corps, Air Force.

2. In Section 0203: Reserve Personnel, Army, Navy, Marine Corps, Air Force; National Guard Personnel, Army, Air Force; Medicare-Eligible Retiree Health Fund Contribution, Reserve Personnel, Army, Navy, Marine Corps, Air Force and Medicare-Eligible Retiree Health Fund Contribution, National Guard Personnel, Army, Air Force.

3. In Section 0204: Military Personnel Retirement Requirements. 4. In Section 0205: Military Retirement Fund, Education Benefits Fund, and Retiree Health Care Fund

C. Fund requirements for the Military Personnel and Medicare-Eligible Retiree Health Fund Contribution appropriations will be presented using the budget and fiscal accounting classifications as set forth below in sections 0202 and 0203. Program and Budget estimates will be based upon approved military personnel/strength programs as contained in the exhibits required in this Chapter, and in accordance with such special instructions as may be issued by the Office of the Under Secretary of Defense (P&R) as part of the call for the services' military strength programs.

D. Budgeting for Inflation. Anticipated inflation will be included in the Program and Budget Review Submission for clothing, subsistence-in-kind, basic allowances for housing and subsistence, the commercial portions of permanent change of station travel, and temporary lodging allowances overseas. The inflation rates to be used will be based upon approved price escalation indices provided as an enclosure to the annual FY 20CY revised and FY 20BY Program and Budget Review Guidance memorandum.