Closeout Liabilities

Closeout Liabilities under the Army's Procurement of Ammunition, aims to allocate funds for contract termination costs and operational losses/claims at ammunition plants. The funding is essential to ensure that unanticipated future contract liabilities can be met in accordance with the Army Contract Review Board (ACRB) approved actions. Specifically, the FY 2024 base procurement dollars of $0.102 million are designated to cover contingent liabilities such as contract termination costs, including unfunded pension liabilities, severance pay, and other claims approved by the ACRB.

The primary objective of Program Closeout Liabilities is to provide financial resources for addressing contract termination costs and operational losses/claims at ammunition plants within the Army's procurement framework. This includes ensuring that unanticipated future contract liabilities can be satisfied in accordance with ACRB-approved actions. The allocation of FY 2024 base procurement dollars amounting to $0.102 million is specifically intended to cover contingent liabilities such as contract termination costs, including unfunded pension liabilities, severance pay, and other claims approved by the ACRB. This funding is crucial for maintaining financial readiness and fulfilling contractual obligations within the Army's ammunition procurement activities.