AR 215-1 - Soldier Support Institute - U.S. Army

subsidiary costing system, such as auditing services, or costs of APF personnel who spend less than 25 percent of their
workday on MWR programs. The cost of DPW personnel who perform repair and maintenance of MWR facilities will
be reported under “Sustainment, Restoration, and Modernization (including Minor Construction).”
(3) Utilities. This includes the cost of heat, light, power, water, gas, electricity, and steam. It does not include
transportation and communication services nor sewage disposal and trash and garbage removal. Utility costs will be
reported for all buildings and facilities used entirely or principally for MWR. Where only a portion of the space is used
for MWR purposes, the DPW will compute utility costs using engineering cost standards. Metering devices will be
installed where MWR programs consume significant amounts of utilities. Costs will be prorated on the basis of relative
square footage if this does not result in distortion.
(4) Rents. Costs include rental of real property and equipment, except transportation equipment. Where an MWR
program occupies only a portion of a space rented by the Government, APF rental charges will be allocated to MWR.
Relative square footage will be used as the basis for allocation if this does not result in distortion.
(5) Communications. This includes cost of communication services and equipment paid by APFs. Examples include
postage, telephone, and facsimile and Internet services, or telephone installation charges. Costs include fair and
reasonable charges for the use of telephones.
(6) Sustainment, restoration, and modernization (SRM) (including minor construction) and maintenance and repair
of equipment.
(a) This includes SRM of equipment, facilities, and real property supplied through commercial contracts, or
installation service functions such as post engineer or base civil engineer. It also includes erections, addition, expansion,
extension, alteration, conversion, or replacement of an existing facility, or the relocation of a facility from one
place to another, providing that the cost of such construction does not exceed the limits for minor construction.
Maintenance and repair of equipment are also included (see AR 420–1 for APF funding limitations).
(b) When SRM or minor construction funded from APFs is performed for MWR programs, costs will be reported to
include direct labor and materials. Overhead allocation for general and administrative expenses, supplies, and miscellaneous
materials, costs or equipment usage charges will be included when subsidiary costing systems are available to
allocate such overhead items of SRM jobs, or where such overhead allocation is necessary to prevent a gross
underestimate of SRM costs. SRM costs allocated on the basis of job costing systems, using fixed charges or unit costs
for specific categories of maintenance, may be used if such system provides a reasonable aggregate estimate of SRM
costs.
(c) SRM costs will be allocated to MWR programs on the basis of some form of job order system. SRM of a shared
facility not directly identifiable with either the MWR or non-MWR portion shall be allocated on a reasonable basis
such as relative square footage. Minor SRM not separately identifiable as a SRM expense will not be allocated to this
expense element as long as such costs are included under other expense elements, such as personnel or supplies.
(7) Supplies and equipment. This includes the cost of expendable supplies, equipment, and materials and low-cost
items that are ordinarily consumed or expended within 2 years after they are put into use or are used to form a minor
part of fixed property (such as repair parts) and do not justify the same degree of accountability required for capital
equipment. Also included is information technology software that is not capitalized. Examples include office supplies
and certain athletic and recreation equipment. It does not include supplies consumed in SRM, which are reflected in the
element of resource “Sustainment, Restoration, and Modernization.” It does not include investment equipment or
equipment rental costs.
(8) Equipment (investment). This includes equipment having a useful life expectancy of more than 2 years and an
acquisition cost as prescribed in DOD 7000.14–R, volumes 2A and 2B.
(9) Transportation of things. This includes transportation expenses using either contract or Government resources. It
also includes contractual charges incurred by—
(a) Common and contract carriers.
(b) Rental of trucks and other transportation equipment.
(c) Use of nonpassenger vehicles from motor pools.
(d) Use of Government airlift, sealift, and other transportation or logistical support.
(e) Transportation of household goods related to PCS travel for civilians transferred to full-time positions in MWR
programs. Expenses are charged to the gaining program. A standard cost per mile or any other method may be used
that estimates the cost fairly. Charges for transportation by airlift or sealift will use a costing method that reflects a fair
user charge that includes both direct and overhead costs.
(10) Transportation of persons. This includes individual travel and transportation costs when the primary purpose is
conducting MWR programs. It also includes the cost of TDY travel of personnel employed by, assigned to, or detailed
to MWR programs, and PCS travel for civilians transferred on a full-time basis to MWR programs. Expenses will be
charged to the employing or gaining program and include—
(a) Commercial transportation fares.
(b) Rental of passenger-carrying vehicles.
(c) Per diem allowances and costs of baggage transfers, telephone expenses, mileage allowances, tolls, and charges
128 AR 215–1 • 31 July 2007/RAR 6 October 2008