Designation To Exercise Authority Over the National Defense Stockpile

Nov 3, 2021

Summary

Gives the Under Secretary of Defense power to release important materials from a national supply pile when needed for the country's defense.

What problem does this solve?

The country needs a clear process to access emergency supplies for national defense to avoid shortages. This order gives a specific official the direct authority to release these materials, making the process faster and more straightforward.

What does this order do?

Designates authority to a specific official

Gives the Under Secretary of Defense for Acquisition and Sustainment the sole power to release strategic and critical materials from the National Defense Stockpile.

Limits releases to national defense purposes

Specifies that materials can only be released for use, manufacture, or production for national defense. Releases for economic or budgetary reasons are not allowed.

Requires consultation with other agencies

Mandates that the Under Secretary must talk with the heads of other relevant government departments and agencies before ordering the release of any materials.

Strengthens supply chain security

Aims to make the country's supply chains stronger and more secure by ensuring the government has enough essential materials on hand to protect against shortages.

Who does this affect?

Department of Defense
Federal agencies involved in national security
Defense industry contractors

What is the real world impact?

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Streamlines decision-making for national defense

Centralizes the power to release critical materials with a single official, the Under Secretary of Defense. This avoids delays by creating a clear chain of command for accessing the stockpile during a national defense need.

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Restricts use of the stockpile for economic reasons

Prevents the stockpile from being used to control prices or fix budget problems. The order states materials can only be released for national defense, not for economic or budgetary purposes, which could limit its usefulness in a broader economic crisis.

When does this start?

This order became effective on October 31, 2021.