DEPARTMENT OF THE NAVY
O
FFICE
O
F THE
S
ECRETA
RY
1000
NA
VY
PENTAGON
WASHINGTON DC 20350·1000
SECNAVINST 7043.5C
ASN (M&RA)
03 May 2021
SECNAV INSTRUCTION 7043.5C
From: Secretary of the Navy
Subj: NONAPPROPRIATED FUND PROCUREMENT POLICY
Ref: (a) DoD Instruction 4105.67 of 26 February 2014
(b) SECNAVINST 11011.47D
(c) SECNAVINST 5430.7R
(d) 10 U.S.C. §2492
(e) 10 U.S.C. §§2302-2339b
(f) 15 U.S.C. §631
(g) 41 U.S.C. §§8301-8303
(h) 19 U.S.C. §§2501-2581
(i) SECNAV M-5214.1
1. Purpose. To establish Nonappropriated Fund (NAF)
procurement policy within the Department of the Navy (DON).
2. Cancellation. SECNAVINST 7043.5B.
3. Applicability. This instruction applies to all contracts
and leases entered into by, or on behalf of, DON Nonappropriated
Fund Instrumentalities (NAFI) created in accordance with and
governed by references (a) and (b) using NAF.
4. Policy
a. The Assistant Secretary of the Navy for Manpower and
Reserve Affairs (ASN (M&RA)) shall develop and oversee policies
and programs designed to enhance the quality of life of DON
military personnel and family members, to include NAF programs
involving Morale, Welfare, and Recreation, Military Resale, and
NAF procurement and construction, per reference (c).
b. NAFI are instrumentalities of the United States and have
the inherent authority to enter into contracts, including
construction contracts. However, this excludes Appropriated
Fund (APF) contracts. NAF procurements shall be accomplished in
accordance with reference (a). Real property leases using NAF
shall be governed by references (a) and (b). Military dining
