COMMAND SUPPLY DISCIPLINE PROGRAM, Exams of Accounting

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COMMAND SUPPLY DISCIPLINE PROGRAM

Small Unit Leader's Guide to:

The Command Supply Discipline Program Handbook

Table of Contents

Chapter 1. Introduction 1

Chapter 2. Property Accountability 7

Chapter 3. Maintenance and Supply Readiness 13

Appendix A. Pocket Guide 21

Appendix B. Financial Liability Investigation of Property Loss Procedures

Appendix C. Change of Command Helpful Hints 31

Appendix D. Type Authorization Codes 35

Appendix E. References 37

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COMMAND SUPPLY DISCIPLINE PROGRAM

Chapter 1

Introduction

Commander’s Quick Reference Guide to the Command Supply Discipline Program

1. Purpose. Identify key aspects of the Command Supply Discipline Program (CSDP). Commanders must become actively involved in their units to ensure successful development, implementation, and maintenance of the CSDP.
2. Facts. Commanders’ time is valuable and finite. Knowing unit logistical aspects allows preservation of their time and increases unit efficiency and cohesion.

a. Hand receipts. Before signing the primary hand receipt, ensure all property has been accounted and signed for. This includes shortage annexes, maintenance, requisition documents, and sub-hand receipts. The incoming commander will conduct an inventory of property listed on the primary hand receipt within 30 days before assuming command. The inventory will be completed before the new primary hand receipt holder (PHRH) assumes duties or outgoing PHRH departs (whichever is first). When inventory cannot be completed, a written request for an extension will be requested from the next higher command. A maximum of 2 extensions (15 days each) may be granted by the next higher commander, major United States Army reserve command, or State Adjutant General.

b. Delegations of authority (Department of the Army [DA] Form 1687). Delegation of authority is a method used to multiply a commander’s ability to accomplish specific tasks by authorizing designated Soldiers to perform actions delegated by the commander.

c. Food records and signature cards (DA Form 577). Commanders need to verify that unit food records are accurate and update unit signature cards. Food records give a snapshot of the subsistence program and the quantities of food. Updated signature cards, with a copy of the assumption of command, authorize key personnel to act for the commander to support the unit and Soldiers.

d. Review of the unit’s CSDP records. Commanders need to review CSDP records for accuracy, timeliness, and correction of deficiencies. Commanders should also keep on file all inventories to include monthly, quarterly, cyclic, prescribed load list, sensitive item, physical, serial number, key register, hazardous material, and previous unit logistic inspection results. These reports and findings can be used to identify logistical strengths and weaknesses within the unit.

e. Unit funds and purchase accounts. Review each account and ensure the funds allocation is correct. Review past purchases, requests, and allotments for the unit and make necessary adjustments. Knowing what a unit spends

The CSDP is a compilation of existing regulatory requirements brought together for visibility purposes. It is directed at standardizing supply discipline throughout the Army. Also, the CSDP is meant to simplify command, supervisory, and managerial

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responsibilities. Simplification is accomplished by outlining the various requirements for responsible personnel, by streamlining requirements, and formalizing follow-up procedures. Command emphasis is vital to the success of any CSDP. This handbook discusses the importance of CSDP to commanders and gives commanders the necessary tools to implement a CSDP. Further, it addresses the relationship between good logistical processes and operational achievements which are reached by stressing good supply discipline. Commanders must implement and enforce effective programs to ensure resources are being used without fraud, waste, or abuse. It outlines routine and scheduled tasks commanders must adhere to in order to develop, implement, and maintain an effective program.

Command Emphasis on the Command Supply Discipline Program: Why

Is a Command Supply Discipline Program Important to a Commander?

The input of the company’s senior leader, within a battalion or higher echelon, dictates how leaders and subordinates respond to requirements. In the absence of leadership, or CSDP emphasis, important requirements are left undone and result in wasted time and the depletion of dollars and resources. Commanders at all levels must enforce supply discipline to have a successful CSDP program. The following are considerations for commanders:

• The CDSP is a command responsibility. Commanders are required, by position, to ensure all government property within their command is properly used and maintained.
• A CSDP can assist in recognizing both superior and inferior performance regarding supply discipline. When administered properly, a CSDP can identify logistical problems and allows for timely corrective action.
• Commanders must ensure that supervisory, direct, and custodial responsibilities are carried out in accordance with Army Regulation (AR) 735-5, Policies and Procedures for Property Accountability, para 2-8.
• The CSDP helps standardize supply discipline and ensures compliance with DA supply policy and procedures.
• Army supply conservation is essential. Ensure the proper items and amounts are used to accomplish a task or mission.
• The CSDP is the commander’s program and will be implemented using existing resources such as the local inspector general, supply and logistics officer, and logistic personnel within the unit’s chain of command to conduct evaluations.
• Enforcement of supply discipline is accomplished through a combination of command emphasis, leadership, training, and administrative and disciplinary measures.

Command Emphasis on Accountability

Accountability is the proper tracking and record keeping of property, documents, and funds. Commanders are obligated to ensure the person keeping records of property, documents, or funds is in compliance with DA supply policy and

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equivalent commands must appoint a CSDP coordinator to ensure the CSDP is implemented by all subordinate elements. This command-level function oversees the program, provides recommended changes, and accounts for any uniqueness within the command. CSDP inspections are part of the organizational inspection program. Commanders should review the unit’s CSDP results, look for positive trends to maintain, and create plans to improve negative trends.

Responsibilities and guidance for subordinate commanders include the following:

• Implement an aggressive CSDP using existing personnel and resources to avoid duplication or fragmentation of efforts.
• Provide the necessary emphasis to ensure the success of the CSDP to include annual officer professional development, noncommissioned officer development, and open unit forum.
• Appoint in writing a CSDP monitor to oversee the unit program. The CSDP monitor is the senior logistician to the commander in the headquarters.
• Recognize both superior and inferior performance regarding supply discipline.
• Use the results of CSDP evaluations to determine candidates for the Army Supply Excellence Award Program.
• Conduct prompt corrective action or commendatory comments as noted on evaluations and inspections.

Responsibilities and guidance for CSDP monitors include the following:

• Assist in establishing and using the commander’s CSDP.
• Check subordinate units to ensure the commander’s guidance for implementing CSDP is followed.
• Review the results of the evaluations to identify strengths and weaknesses throughout the command.
• Keep the commander informed on the status of the CSDP.
• Recommend what areas require increased command emphasis.

Responsibilities for company commanders, supervisors, and managers (supply sergeants) include the following:

• Become familiar with applicable regulatory requirements including the ones located in Appendix B of this handbook.
• Use the CSDP listing as a guide/checklist to routinely perform duties (AR 710-2).
• Report to the immediate higher headquarters any applicable requirements within the CSDP that cannot be completed.

COMMAND SUPPLY DISCIPLINE PROGRAM

• Ensure the strictest compliance with the CSDP. This includes but is not limited to the following:

º All property belonging to, arriving in, or departing from the unit is accounted for, cared for, and safeguarded.

º Required inventories are conducted within the prescribed time frames utilizing the most current supply catalog, training manual, or other applicable publication accounting for components. This will include cyclic, sensitive, and durable tools inventories according to DA Pamphlet 710-2-1, Using Unit Supply System.

º Hand receipts are updated with the supporting property book office as directed.

º All property is inventoried prior to change of hand receipt holder. During inventories, all property within the organization, to include property not accounted for on hand receipt, must be accounted for and must be reported to the appropriate property book office. During inventories, all registration/serial numbered items must be verified.

º Proper receipt should be obtained for property turned in.

º A report should be submitted to higher headquarters and the commander following the discovery of any loss of, damage to, or destruction of any government property.

º Sub-hand receipt all property not directly under immediate control.

º Sub-hand receipted property outside of the unit is in accordance with regulatory guidance throughout the unit supply section.

º Anticipate and plan for materials needed in a timely manner.

º Continue to teach subordinate supply discipline at all times.

Feedback

The following are essential components of feedback through proper channels:

• Keep the command informed daily about the current status of the CSDP.
• Report to higher headquarters any applicable requirements within the checklist that cannot be completed.
• Review the results of the CSDP evaluations in order to identify supply strengths and weakness throughout the command.
• The evaluated organization/activity will receive a copy of the findings from the CSDP evaluation from higher headquarters.

COMMAND SUPPLY DISCIPLINE PROGRAM

Chapter 2

Property Accountability

Types of Property

All property (including historical artifacts, art, flags, organizational property, and associated items) acquired by the Army from any source—bought, scrounged, donated, and so forth—must be accounted for as prescribed by Department of the Army (DA) Pamphlet (Pam) 710-2-1, Using Unit Supply System (Manual Procedures), para 4-1. The accounting must be continuous from the time of acquisition until consumption or disposal of the property occurs. All Army property, except real property, is classified for property accounting purposes as expendable, durable, or nonexpendable.

Nonexpendable property is not consumed in use and retains its original identity during the period of use. This includes all nonconsumable major end items authorized by DA-recognized authorization documents (Army Regulation [AR] 71–32, Force Development and Documentation—Consolidated Policies, para 8–23). Nonexpendable property is managed by property book officers (PBOs).

Expendable property is consumed or loses its identity in use. It also includes items not consumed in use with a unit cost of less than $300 and is unclassified. Supply sergeants manage expendable property, but commanders have command supervision over the spending according to AR 735-5, Policies and Procedures for Property Accountability, para 7-4.

Durable property is not consumed during use, but does not require formal property book accountability. Its unique characteristics require control when issued to the user. Specific instructions on how to account for durable property are found in AR 735-5, para 7-7.

Assignment of Property

One of the most critical aspects of maintaining good supply discipline is assigning responsibility for equipment to users. By ensuring property is assigned and 100 percent accounted for, commanders increase their chance of maintaining supply discipline. The following are a few tools used to assign responsibility for property: property books, hand receipts, sub-hand receipts, temporary hand receipts, and equipment receipts.

Property book officer

The property book officer (PBO) accepts responsibility for the unit’s property as prescribed in AR 710-2, Supply Policy Below the National Level. The PBO is responsible for assigning property on a primary hand receipt to a PHRH or commander.

Hand receipts

Hand receipts and sub-hand receipts are required whenever nonexpendable or durable items are issued (DA Pam 710-2-1, chapter 5, figure 5-1). The hand receipt lists the property that was issued. The signature of a person on a hand receipt establishes direct responsibility. Prepare separate hand receipts for installation and

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organization property. Sub-hand receipts are used to assign property down to the user level. Supply sergeants are responsible for making sure all of the commander’s equipment is signed for down to the user. Hand receipts and sub-hand receipts can be generated by using the computerized record-keeping system used in the supply room called the unit supply enhanced (USE) system. The USE system is derived from the property book-level record system called the property book use supply enhanced system. Specific procedures on preparing hand receipts can be found in DA Pam 710-2-1, para 5-1.

Commanders should review the reconciliation report and the commander’s hand receipt in the USE system. These two reports will show what discrepancies are currently on the commander’s entire hand receipt and also show what property isn’t sub-hand receipted. The only items on the commander’s hand receipt should be those items that have an active suspense such as receipt of new equipment, equipment that is being turned in, or equipment that has adjustment documents pending. ( Note: U.S. Army Reserve [USAR] commanders should ensure annual equipment concentration site [ECS] and central storage facilities [CSF] hand receipts are updated.)

Commanders should request roles and permissions as the company commander in USE from the PBO as soon as possible. This is the only way the commander will be able to access critical reports and become familiarized with the system.

Temporary hand receipts are used to account for property that is loaned out for 30 days or less. A request for the USAR and Army National Guard (ARNG) to loan equipment to the active component must be initiated at Army command level and approved by the reserve component headquarters (DA Pam 710-2-1, para 5-4).

Equipment receipts

Equipment receipts are used to assign responsibility for property that is issued to the same person for brief recurring periods. Examples are the nuclear, biological, and chemical masks, individually assigned weapons, and radiological equipment issued for training. Specific instructions on preparing equipment receipts (DA Form 3749, Equipment Receipt ) can be found in DA Pam 710-2-1, chapter 5, figure 5-5.

Inventories

Inventories are mandatory instruments used to assist commanders in their duties maintaining accurate accountability of property and sustaining supply discipline. The key inventories commanders need to conduct in order to maintain supply discipline are: change of PHRH (also known as change of command), annual/cyclic, and sensitive items. Other inventories are listed in DA Pam 710-2-1, chapter 9. Understanding the different inventory types and conducting them as required will allow commanders to keep track of their assigned property.

Change of PHRH or change of command inventory

Change of PHRH inventory is conducted when the hand receipt holder is replaced. All property listed on hand receipts will be inventoried by the incoming and outgoing PHRH. Thirty days are allotted to conduct the joint inventory. When the inventories cannot be completed in the allotted time, a request for extension must be made in writing to the next higher commander/supervisor (AR 710-2, para 2-

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Split hand receipt inventory

Commanders are required to split the organization's hand receipt for deployments. Equipment remaining at home station will be placed on a left behind equipment (LBE) hand receipt managed by the Army Sustainment Command (ASC). Commanders should not take this requirement lightly. Procedures for splitting hand receipts are provided by the supporting property book office. Commanders must put forth a good effort to identify nondeploying equipment. ( Note: USAR and ARNG units do not laterally transfer LBE equipment to the ASC. For USAR, commanders should seek guidance from their higher headquarters to transfer equipment to a rear detachment. For the ARNG, commanders should refer to the unit mobilization data that will either guide units to transfer equipment to a rear detachment or to the United States Property Fiscal Office [USPFO].)

Deployment Accountability

Accounting for property before, during, and after deployment can be very challenging to commanders. Accounting for property during deployment is the same as when in garrison; however, there are some differences when accounting for theater provided equipment (TPE). When accounting for TPE, units must follow instructions in the TPE standing operating procedure (SOP) located online at https://weblog.logsa.army.mil/SBE/Files/TPB_SOP_2_MAR_08.pdf.

Army Sustainment Command

The ASC plays a large role assisting commanders maintain good supply discipline for LBE. For active duty units, ASC government employees and contractors are subject to following the same regulations dealing with property accountability listed in Appendix B of AR 710-2. Commanders, PBOs, and supply sergeants must communicate constantly with the ASC to retain status of the LBE. The ASC will conduct a joint inventory of all equipment inducted into the LBE program. Equipment will be inventoried by major item and its components. During the turn in of equipment, commanders and ASC hand receipt holders need to ensure all of the required components and shortages are noted. Units will receive equipment from the ASC in the same manner it was transferred to the ASC. More instructions on the use of component hand receipts and shortage annexes are in DA Pam 710-2-1. ( Note: USAR and ARNG units will refer to local SOP for unique operating dynamics.)

Government Purchase Card

The Government Purchase Card (GPC) is used to make micro-purchases of supplies and services in accordance with the Federal Acquisition Regulation (FAR) which can be found online at: http://www.arnet.gov/far/current/pdf/far.pdf. The GPC is a payment tool for supplies or services in which the aggregate amount does not exceed $3,000 except for the following: (1) acquisitions of construction, $2,000; (2) acquisitions of services, $2,500; (3) acquisitions of supplies or services that, as determined by the head of the agency, are used to support a contingency operation or to facilitate defense against or recovery from nuclear, biological, chemical, and radiological attack as described in FAR 13.201(g)(1), $15,000 in the case of any contract to be awarded and performed, or purchase to be made, inside the United States, and $25,000 in the case of any contract awarded and performed or purchase made outside the United States. All purchases exceeding purchase limits require

COMMAND SUPPLY DISCIPLINE PROGRAM

formal contracts through the Directorate of Contracting. Commanders can maintain good supply discipline of the GPC by including an evaluation of the unit’s cardholders in the Command Supply Discipline Program (CSDP) checklist. To ensure compliance, all units must have a copy of the installation GPC SOP on hand and a copy of the appointment memorandum on file from the Director of Contracting for the cardholders. Units should also develop an internal SOP for the GPC and make sure all cardholders are in compliance. Further guidance on the GPC can be found at http://www.arnet.gov/far/current/pdf/far.pdf.

Contracting

Contracts are applied when military support channels cannot provide the required support within the required time frame or do not have the capability to satisfy the request. Units must also use contracts for supplies and services that exceed the limits of the GPC. Contract requests begin with preparing a Purchase Request and Commitment (DA Form 3953). Due to the increase in ethics violations surrounding contracts, it is imperative that commanders understand when to use contracts and how they are resourced. As with the GPC, units should include contract evaluations in their CSDP checklist. It will keep commanders informed and can be used to intercept potential problems. Maintaining good supply discipline in reference to contracts will definitely pay great dividends to all units. Further information on preparing and managing contracts is in FAR 2.101. Figure 2 is an example of the basic flow for requesting supplies and services via contracts.

Figure 2. Requesting supplies and services via contracts. Note: Alternate to PBO is the supply and logistics officer.

COMMAND SUPPLY DISCIPLINE PROGRAM

Chapter 3

Maintenance and Supply Readiness

Maintenance Readiness

Commanders should be familiar with the supply procedures to monitor an effective maintenance readiness program. Commanders must emphasize the importance of establishing and implementing effective maintenance and supply procedures in all elements of their equipment readiness. Commanders must ensure that unserviceable repairable items, critical items, intensively managed items, and automatic return items are returned to retrograde channels within the timeframes required within 10 working days (30 days for U.S. Army Reserve [USAR]) after receipt of the new item Army Regulation (AR) 710-2, Supply Policy Below the National Level, para 2-6.

Commanders use information on materiel and unit readiness reports to analyze, predict, and make decisions on each unit’s ability to perform its mission. These reports are completed both during deployments and garrison operations and are useful only if they are timely, accurate, and complete. The materiel readiness of an organization reflects the capability of assigned equipment or systems to accomplish their missions. This is the reason for commanders and leaders to emphasize adherence to the maintenance standard.

Commanders must review the reconciliation report generated from the Standard Army Retail Supply System (SARSS) to manage their maintenance operations. The reconciliation report shows the balance between the SARSS-1 records and the customer open records. Commanders must review the reconciliation report monthly to ensure requisitions have a valid supply status according to AR 725-50, Requisitioning, Receipt, and Issue System, table C-31. The reconciliation report is generated monthly from the SARSS-1 system at the supporting supply support activity (SSA).

Accountable officers are required to have customer units validate and reconcile open supply requests each month, and quarterly in the Army National Guard (ARNG) and USAR (according to Department of the Army [DA] Pamphlet [Pam] 710-2-2, Supply Support Activity Supply System: Manual Procedures, para 19-1).

Unit leaders should visit the supporting SSA and review the status of the open, high-priority requests weekly.

Prescribe Load List/Shop Supply List Management

The shop supply list (SSL) is replacing the prescribe load list (PLL) through the Standard Army Maintenance System–Enhanced (SAMS-1E/2E). The SSL has the same goal as the PLL (i.e., demand supported, non-demand support), but not all repair parts stocked on an SSL are demand supported.

The SSL is kept to support a unit’s daily maintenance operation. Units authorized personnel, tools, and equipment to perform field level maintenance will normally keep an SSL. The SSL operates under the Unit Level Logistic System–Ground/Aviation (ULLS-G/A). ( Note: Refer to AR 710-2, para 2-21 and DA Pam 710-2-1, chapter 8, for more guidance on PLL management.)

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Commanders need to ensure motor pools conduct the SSL review of demands and make adjustments based on supported requirements. The SSL consists of a set of essential Class IX (repair parts) assets stocked at the unit level and is designed to support critical and crucial end items reported to DA via the unit status report (USR) (AR 220-1, Unit Status Reporting). Improper and untimely turn-ins of recoverable items can lessen the unit allocated funds and will affect the spending for future requirements. Furthermore, proper supply procedures enhance unit maintenance. It is vital for maintenance personnel to follow supply procedures and for commanders to implement tools that check and assess maintenance readiness.

Commanders must understand the automated SSL systems that perform and manage their shop supply. The functionality of ULLS-G/SAMS-E provides the management of the maintenance process and supply information of unit level supply, motor pool, and aviation units. Both systems enhance unit readiness by providing the capability to manage equipment use and track readiness. Commanders should ensure their PLL/SSL clerks are tasked to:

• Know what Class IX repair parts and quantities are authorized in the unit.
• Ensure stock locations and quantities on hand match PLL/SSL records.
• Track the issue of repair parts.
• Ensure all repair parts are secured and protected from damage.
• Ensure excess repair parts are turned in according to appropriate turn-in procedures.
• Ensure the commander or designated representative initials the commander’s exception report for high priority requests.
• Reconcile the document register with the supporting SSA.
• Reconcile the commander’s financial transaction listing with the document register.
• Understand the Army Maintenance Management Systems records and SSL function interface (DA Pam 750-3, Soldiers’ Guide for Field Maintenance Operations, figure 3-1).

Supply Support Activity Management and Performance Standards

The Command Supply Discipline Program (CSDP) also concerns the management of Class IX assets at the SSA levels (AR 710-2). Proper accountability and availability of stocks at the SSAs play a vital role in the equipment readiness of the unit, in addition to providing the combat capabilities needed to fight and win. The management of SSAs includes but is not limited to: having the amount of supplies needed for deployment, monitoring of performance metrics, reviewing stocks, and conducting inventories.

As the Army transforms to a modular force, it cannot afford ineffective or inadequate inventories in deployed or garrison SSAs. The authorized stockage list (ASL) is the document authorizing units to maintain assets at the SSAs. Commanders will achieve authorization to stock the ASL’s highly required items