Did You Know?

NONAPPROPRIATED FUNDS

Nonappropriated funds (NAFs) are Government funds entitled to the same protection as funds appropriated by Congress of the United States.

NAFs are used for the collective benefit of authorized patrons who generate them.

These funds are separate and apart from funds recorded in the books of the Treasurer of the United States.

COMMERCIAL AUDITS OF CFSC FUNDS

NAF balance sheets, statements of operations, changes in fund balance, and cash flows for the year ended September 30, 2001 were audited by a commercial auditing firm.

An unqualified audit opinion was rendered for the following:

• Army Morale, Welfare & Recreation Fund
• NAF Employee Retirement Fund
• Central Insurance Fund
• Banking and Investment Fund
• Medical/Life Fund
• NAF Employee 401(k) Savings Fund
• Lodging Fund
• Hospitality Cash Management Fund
• Recreation Machine Trust and Operations Funds
• Armed Forces Recreation Centers in Europe, Korea, Orlando, and Hawaii.

These audits are required by the Department of Defense annually.