(b) HOW TO PREPARE A MULTI-YEAR JUSTIFICATION PACKAGE

(1) See DoD 7000.14-R, Volume 2A, Chapter 1 and DoD 7000.14-R, Volume 2B, Chapter 4. Set forth below are excerpts from the referenced FMR.

(i) All multi-year procurements, regardless of cost, require the use of a Present Value Analysis (MYP-4) to determine lowest cost compared to an annual procurement. Exhibits MYP-1 through MYP-4 will be included for all MYP candidate systems in the program and budget review submission. The President's budget request will include P-5a MYP-annotated entries for those multi-year programs not requiring congressional authority and Exhibits MYP-1 through MYP-4 for all multi-year candidate systems for which any of the following is true:

(A) The anticipated multi-year procurement contract is $500 million or greater.

(B) There are EOQ procurements in excess of $20 million in any one year.

(D) There will be an unfunded contingent liability in excess of $20 million in any one year.

(E) The procurement quantities of a previously approved MYP have been adjusted.

(2) If a system proposed for a multi-year contract includes more than one P-1 line item, prepare combined MYP-1 and MYP-2 exhibits. Prepare separate exhibits for the remaining MYP exhibit formats. All the exhibits associated with this system should be combined in one package, and submitted in numerical order, i.e., MYP-1, MYP-2, MYP-31, MYP-32, etc.

(3) If multiple MYPs are proposed for components of the same P-1 line item, prepare a separate set of exhibits for each. Note that the MYP-3 will be the same in each package.

(4) If a joint Service program is proposed for multi-year procurement, the executive Service is responsible for submission of all multi-year exhibits.

(5) Exhibits are to display actual fiscal years rather than the template years.

(6) Exhibits will be submitted in landscape format.

(7) See DoD 7000.14, Volume 2A, Chapter 1, Section 0102 for additional multi-year procurement guidance.