The Sustainment, Restoration and Modernization (SRM) Budget and Execution Branch manages the Navy's Sustainment, Restoration and Modernization budget of $1.4B.  It includes funding in the following Special Interest Codes:

• Sustainment (ST)

  Facilities sustainment is defined as the maintenance and repair activities necessary to keep a typical inventory of facilities in good working order.  Sustainment includes regularly scheduled maintenance as well as cyclical major repairs or replacement of components that occur periodically over the expected service life of the facilities.  Due to obsolescence, sustainment alone does not keep facilities "like new" indefinitely, nor does it extend their service lives.  A lack of full sustainment results in a reduction in service life that is not recoverable in the absence of recapitalization funding.

• Restoration and Modernization (Recapitalization) (RM)

  Recapitalization is defined as major renovation or reconstruction activities (including facility replacements) needed to keep existing facilities modern and relevant in an environment of changing standards and missions. Recapitalization extends the service life of facilities or restores lost service life.  It includes restoration, modernization or replacement of facilities but not the acquisition of new facilities.  It also includes the demolition of deteriorated facilities if demolition is part of the renovation process or performed in conjunction with construction of replacement footprint elsewhere.

  Restoration includes repair and replacement work to restore facilities damaged by inadequate sustainment, excessive age, natural disaster, fire, accident or other causes.

  Modernization includes alteration of facilities solely to implement new or higher standards, to accommodate new functions, or to replace building components that typically last more than 50 years.

  Consolidation as part of demolition includes the cost of relocating personnel and functions necessary to vacate a building as well as minor construction and repair costs for the receiving facility.

  Recapitalization Rate is the number of years required to regenerate a physical plant - either through replacement or major renovation(s) - at a given level of investment.

• Facility New Footprint (NF)

  New Footprint is defined as new construction work that addresses facility deficits.  This may include either construction of new facilities or expansion of existing facilities. However, for projects where new construction work increases the size of an existing facility by less than 50 percent  the work is categorized as modernization.

• Demolition (DE)

  Demolition is defined as dismantling and disposing of an excess real property facility either partially or in its entirety.

• Combating Terrorism (CT)

  Actions including antiterrorism (defensive measures taken to reduce vulnerability and property to terrorist acts, to include limited response and containment by local military forces) and counterterrorism (offensive measures taken to prevent, deter and respond to terrorism), taken to oppose terrorism throughout the entire threat spectrum.

Within these Special Interest Codes, the Sustainment, Restoration and Modernization Branch oversees the Navy's Special Project Program, the Demolition/Footprint Reduction Program, Seabee project funding and Sustainment, Restoration and Modernization Combating Terrorism projects.  In addition, the Sustainment, Restoration and Modernization Budget/Execution Branch allocates all Sustainment, Restoration and Modernization funding which flows to the Regions.