Final answer:
OPTAR funds, used by the US Navy for operational costs, are received from the fleet commander and managed by each unit's commanding officer. It is crucial for financial officers to plan and track expenditures to ensure efficient use of resources.
Step-by-step explanation:
OPTAR, which stands for Operating Target, is a term used primarily within the context of the United States Navy's budgeting and financial management practices. It represents the funds allocated to naval units for the operation and maintenance of activities, not including pay, food, and fuel.
The OPTAR fund is a portion of the Navy's overall budget earmarked for specific units, such as ships, squadrons, or shore commands, to cover costs associated with their mission.
Funds under OPTAR are received directly from the fleet commander responsible for the unit.
This top-down budgeting approach allows for decentralized control, where each unit's commanding officer manages their OPTAR funds to ensure they can meet operational needs, while still being accountable for their expenditures.
The management of these funds is critical, and usually requires meticulous financial planning and tracking to make sure that resources are used efficiently and effectively.
Commanding officers typically have a financial officer or a team responsible for managing these funds, maintaining records, and ensuring that expenses align with the budgetary guidelines set by higher-level authorities.