The objective of the Military Equipment Valuation Initiative is to determine the value of military equipment, such as aircraft, ships, combat vehicles, and weapons, and include this information in the periodic financial statements prepared by the Department of Defense (DoD) and DoD Components. Value will be determined based on historical and future acquisition costs and cost of modifications and upgrades of military equipment, less accumulated depreciation. The Under Secretary of Defense (Acquisition, Technology and Logistics) (USD(AT&L)) and Under Secretary of Defense (Comptroller) directed the Property and Equipment (P&E) Policy Office, OUSD (AT&L), to lead the DoD effort and to complete the initial baseline of military equipment values—often referred to as the "historical cost baseline"—by the end of FY 2006. The P&E Policy Office has been working collaboratively with the acquisition, logistics, and financial communities within DoD to accomplish this initiative. For more discussion, see the main Valuation page.
