FMS Fun-da-MENTALS
This Army regulation and accompanying pamphlet should be your first stop regarding FMS as a member of the ASAE. Test 1
What is the AR 12-1 and DA PAM 12-1?
An initial formal document submitted by a partner nation to the USG, signaling their interest in a potential FMS procurement.
What is an LOR?
The principal DoD official in U.S. embassies, responsible for advancing U.S. foreign policy goals under the ambassador and promoting the GCCs campaign plan objectives.
Who is the SDO/DATT?
This “Term of Sale” applies to sales from procurement, in which partner nations have committed to pay the full contract amount, ensuring the USG against loss, and is determined by their eligibility based on factors including their Interagency-Country Risk Assessment System (ICRAS) rating.
What is Dependable Undertaking?
Type of LOA that allows for a broad category of materiel/services where specific items are quantities not identified on the LOA.
What is a Blanket Order (BO) case?
These one-time engineering costs are incurred during the development phase of a project inclusive of design, prototyping, and testing specific to a particular project or customer requirement.
What is Non-Recurring Engineering (NRE)?
Delegation of Disclosure Authority Letters (DDLs) and the Foreign Disclosure Office(r) (FDOs) are crucial for defining disclosure determinations and approving the release of these two categories of information.
What is Classified Military Information (CMI) and Controlled Unclassified Information (CUI)?
A sale is rarely approved if this assessment, prepared by the US Embassy Country Team, expresses an unfavorable position, potentially requiring the ASAE to propose an alternate solution to the partner nation.
What is a Country Team Assessment (CTA)?
These ASAE stakeholders are responsible for overall cost, schedule, and performance of DoD acquisition programs.
Who are the Program Executive Officers (PEOs) and Program Managers (PMs)?
When a partner nation requests an expedited delivery of an item, these three options may be available for meeting those requested accelerated delivery dates, pending US Army approval.
What are Diversions from Army procurements, Diversions from other FMS customers’ procurements, and Withdrawals from Army stock?
This type of LOA allows for partner nation requirements to be satisfied on the same basis as U.S. Army units, receiving the same priority under the Uniform Materiel Movement Issue Priority System (UMMIPS).
What is a Cooperative Logistics Supply Support Arrangement (CLSSA) case?
This meeting should occur within 10 days of receipt of an LOR.
What is a Case Initiation Meeting (CIM)?
This term best describes the transfer or release of technical data through the demonstration of the practice or application of technology.
What is a Deemed Export?
This USG program, mandated by the AECA, is designed to provide reasonable assurance that foreign recipients comply with the agreed-upon requirements for use, transfer, and security of US defense articles and services.
What is End-use monitoring?
This organization leads the ASAE by providing leadership, resource management, and policy oversight for FMS, International Military Education and Training (IMET), and DoD global train-and-equip-missions.
Who is DASA DE&C?
The legal authority provided by law to incur financial obligations that will result in future payments, committing the funds on behalf of the partner nation to acquire defense articles and services.
What is Obligation Authority?
This term refers to items that the DoD does not manage, either because an applicable end item has been retired or because it was never purchased for DoD components.
What are Nonstandard Items (NSIs)?
When an Original Equipment Manufacturer (OEM) provides an additional benefit package, in addition to major weapon system, that is not explicitly listed in the LOA but usually embedded in the unit cost of the procured item, for FMS or DCS.
What are Offsets?
Beyond FMS, this is another common method for foreign countries to acquire defense articles and services from the United States.
What are Direct Commercial Sales (DCS)?
Required for MINOR scope changes to an FMS LOA requiring partner nation signature and acceptance.
What is an LOA Amendment?
Under the U.S. Army Materiel Command (AMC), this Implementing Activity is responsible for receiving and processing Army LORs for materiel, support, sustainment, logistics, and training conducted outside the Continental U.S. (OCONUS).
Who is USASAC?
The legal authorization issued by DFAS SCA permitting the actual disbursement of a partner nation’s funds against previously incurred obligations, provided those funds are available.
What is Expenditure Authority?
This program provides partner nations with nonstandard assets, including low-dollar, commercial off-the-shelf spare/repair parts, difficult-to-locate spare/repair parts, obsolete equipment, and items without an active NSN or source of supply.
What is the Simplified Nonstandard Acquisition Process (SNAP) Program?
This less common request initiates an FDO/TSFD review before receiving a formal LOR from a partner nation.
What is a Pre-Letter of Request (LOR) Assessment Request (PAR)?
Any item of SME on the USML that has non-recurring R&D costs exceeding $50 million or a total production cost greater than $200 million.
What is Major Defense Equipment?
When a partner nation submits a written request for the procurement of equipment or services from a specific, named organization or entity.
What is Sole Source Procurement?
This organization leads the ASAE by delegating and directly tasking Army Implementing Activities and Commands to execute their delegated Security Cooperation responsibilities.
Who is DASA DE&C?
This surcharge does NOT apply to Building Partner Capacity (BPC) LOAs.
What is the FMS Administrative Surcharge?
This overarching term refers to activities undertaken by the DoD to encourage and enable international partners to work with the United States to achieve strategic objectives, encompassing all DoD interactions with foreign defense and security establishments, including all DoD-administered security assistance programs.
What is Security Cooperation?
The informal, pre-notification process involves PM RSAT consulting with key Congressional members and staffers on proposed major arms sales, allowing for confidential feedback and adjustments before formal statutory notification to Congress.
What is Tier Review?