Astute financial management leads to $82.9 billion Fiscal Year 2025 execution

  • Published
  • By Marisa Alia-Novobilski
  • Air Force Materiel Command

The Air Force Materiel Command closed out Fiscal Year 2025 executing $82.9 billion across its entire portfolio, demonstrating sound resource planning and astute financial management in support of Department of the Air Force and warfighter needs.

From Operation and Maintenance to Central Asset Management, Investment, Working Capital Funds and more, AFMC teams closed out the fiscal year 99% or more obligated across all areas.

“There’s much for our command to be proud of at every echelon,” said Brig. Gen. Jason Corrothers, Director, AFMC Financial Management and Comptroller. “We overcame a number of challenges in 2025, including navigating a first-ever full year Continuing Resolution and a dynamic resource landscape. Many hands make for light work, and I’m thankful for all the hands that made FY25 a success in the face of so many challenges. It’ll be those same hands that will be needed in FY26 as we continue to power the world’s greatest Air Force.”

The following summarizes key metrics from FY25, including a recap of the AFMC Contracting and Small Business portfolios.

Operation and Maintenance (O&M)

The AFMC O&M team executed 99.9% of its $3.3 billion portfolio in FY25, overcoming the challenges of the year-long Continuing Resolution and impacts of the civilian deferred resignation and retirement programs.

At the start of September, the team identified $119 million in Unfunded Requirements (UFRs). Engagement with AFMC centers and installations to realign funding, along with a $61 million input from Secretary of the Air Force funding, provided for the execution of $81.1 million in the final month of the fiscal year to support 75 requirements.

Key funding highlights:

  • Enterprise Select Class II Equipment ($27 million)
  • Counter-Small Unmanned Aircraft Systems - C-sUAS ($12 million)
  • Base Communication Requirements ($11 million)
  • Logistics Information Technology - LOG-IT ($8.7 million)
  • Defense Enterprise Accounting and Management System - DEAMS ($8 million)

The Air Force Installation and Mission Support Center concluded the fiscal year with 99.8% of its $9.4 billion portfolio obligated. Their portfolio consists of $8.7 billion for the U.S. Air Force and $700 million for the U.S. Space Force. View the details of their fiscal year.

Centralized Asset Management (CAM)

The AFMC CAM team executed nearly 100% of its $21.1 billion portfolio, closing out the fiscal year with only $1.90 remaining in the Flying Hour Program. The team resourced $1.2 billion in program disconnects throughout the year, including a final-hour execution of $6.9 million in funds for E-4 Combat Logistics Support spares.

The CAM portfolio includes Weapons System Sustainment (WSS) and the Flying Hour Program (FHP).

Weapons System Sustainment highlights:

  • Critical parts support for the T-6, E-4, and F-22 platforms ($319.6 million).
  • Intercontinental Ballistic Missile integration ($36 million)
  • E-3 Programmed Depot Maintenance ($24.9 million)
  • Advanced manufacturing and repair ($20.5 million)
  • VC-25A Aircraft ($19.3 million)

Flying Hour Program highlights:

  • Transitioned $6.3 billion FHP portfolio into DEAMS
  • Reimbursable Funds Managed ($455 million)
  • Over 755,000 Air Force flight hours supported

Investment Portfolio

The Investment team, including the Research, Development, Test and Evaluation (RDT&E) and Procurement portfolios, ended the fiscal year over 99% obligated across all accounts.

The RDT&E $25.3 billion portfolio supported advanced nuclear modernization efforts such as the B-21, Sentinel and Long Range Standoff programs and invested in future capabilities including Next-Generation Air Dominance and Collaborative Combat Aircraft.

The Procurement portfolio of $24.6 billion focused on sustainment of key platforms and advanced munitions in alignment with strategic priorities. These included the Joint Air-to-Surface Standoff Missile - Extended Range (JASSM-ER), Long Range Anti-Ship Missile (LRASM), Advanced Anti-Radiation Guided Missile (AARGM-ER), Joint Direct Attach Munition (JDAM) and Small Diameter Bomb I and II (SDB I & II).

Working Capital Fund (WCF)

In support of enterprise business operations, the WCF team successfully executed a $23.8 billion budget in the Consolidated Sustainment Activity Group (CSAG) and Supply Management Activity Group – Retail, General Support Division (GSD).

Notably, the WCF chartered a path in FY25 to ensure greater fidelity in WSS programming for the organic depot maintenance workload. Partnering with the AFMC Logistics, Civil Engineering, Force Protection and Nuclear Integration directorate, the WCF team accelerated verification of WSS requirements by the Air Logistics Complexes to support better funding decisions and avoid pre-programming losses through underrepresented labor hours and costs.

In addition, funding trade space was identified and returned to the WSS enterprise, representing 496,188-man hours, valued at $161.7 million.

Contracting Portfolio

The AFMC Contracting team obligated $69.4 billion in Federal Acquisition Regulation (FAR)-based contracts, executing 57,600 FAR-based contract actions. This represents 74.6% of total Air Force spending and 53% of all Air Force actions.

Additionally, the contracting team obligated $1.93 billion in assistance instrument actions, with 3,126 executed. 

In addition to external actions, the AFMC contracting team led several enterprise initiatives with far reaching impacts across the Department of the Air Force.

The creation of a GPC Freeze Team aligned efforts of 10 AFMC installations with Executive Order 14222, providing guidance to more than 5,000 cardholders across the command. This team ensured compliance and operational capability, resolving 140 trailing transactions and eliminating 1,316 redundant GPC accounts, ultimately streamlining procurement operations.

The launch of the inaugural DAF Contracting Procurement Integrity Act (PIA) Violation Report identified workforce trends and training needs across DAF Contracting organizations. This new tool enables rapid remediation to help reinforce awareness and understanding of PIA requirements for the acquisition workforce.

Finally, AFMC’s CON-IT initiative expanded significantly in FY25, rendering it the most prevalent contract writing system across the command portfolio, with more than half of all obligations and actions occurring within it. CON-IT supported $45 billion in obligations across 35,370 actions, which is a significant increase over FY24.

Small Business Portfolio

The AFMC Small Business team had another record year in FY25, with $10.7 billion in awards, which is an increase of 4.23% over FY24. Records were also set in the Small Disadvantaged Business ($4.07 billion), Women Owned Small Business (1.48 billion), and HUBZone ($624 million) categories.

The value of new Small Business Innovation Research/ Small Business Technology Transfer (SBIR/STTR) awards increased by 157% over FY24, with $2.85 billion in new Phase III contracts. These awards play a key role in the transition of new technologies and capabilities to the warfighter.

Additionally, AFMC’s Air Force Life Cycle Management Center ($4.9 billion), Air Force Nuclear Weapons Center ($238 million), Air Force Sustainment Center ($1.5 billion) and Air Force Test Center ($1.3 billion) all set records in small business spend for FY25, with AFTC exceeding the billion-dollar mark in small business obligations for the first time.

Fiscal Year 26 Way Forward

The FY26 Execution Plan is already in motion, with headquarters teams working with the field to position the command for success this fiscal year. The focus remains on strategic resource planning across the portfolio to ensure AFMC’s critical missions in support of the warfighter.