Guide
What has changed in Foreign Military Sales since Executive Order 14268?
No section of the manual cites 14268, and the one policy memorandum that names the order, 25-97, changed no manual text; the closure requirement it announced entered the manual through 26-84, which requires Letters of Offer and Acceptance implemented in fiscal year 2017 and prior to reach final closure by September 30, 2027. The sections below are the manual's own text where it has changed since the order — legacy-case closure, closure adjustments, interim-to-final closure, government property and inventory accounting, Enhanced , training reporting, Building Partner Capacity redirection — and, for the notification thresholds the order is associated with, the text that has not changed; the memorandum behind each change is listed in the references.
What the manual says about executive orders
Closing cases implemented in fiscal year 2017 and prior
Exemptions from legacy case closure
Continuing execution of legacy cases that cannot close
Closure adjustments for cases that cannot be reconciled
Moving cases from interim to final closure
Government property clauses on contracts with case funding
Inventory in the Security Assistance Accounts financial statements
Enhanced End Use Monitoring designation
Foreign Military Training Report responsibilities
Redirecting or disposing of Building Partner Capacity articles
Congressional notification thresholds
References
SAMM
- SAMM C1.2.3 — Executive Orders for Security Assistance.
- SAMM C16.4.1 — Case Closure for Legacy Cases (Cases Implemented in Fiscal Year 2017 and Prior).
- SAMM C16.4.2 — Case Closure.
- SAMM C16.4.4 — Pending Deliveries and Services on Fiscal Year 2017 and Prior Cases.
- SAMM C16.4.3.1 — Case Categories Exemption.
- SAMM C16.4.3.2.1
- SAMM C16.4.5.1 — Additional Conditions.
- SAMM C16.2.17 — Title 22 Foreign Military Sales Closure Adjustment.
- SAMM C16.3.1.1.5.1
- SAMM C16.3.1.1.5.2
- SAMM C16.3.1.1.5.3 — Eligibility Criteria.
- SAMM C6.3.12 — Contracts with Foreign Military Sales Case Funding.
- SAMM C14.8.6.1
- SAMM C14.8.6.2
- SAMM C14.8.6.3
- SAMM C8.4.1 — Definition.
- SAMM C8.4.3 — Enhanced End Use Monitoring Designation Process.
- SAMM C10.21.2.4.1 — Case Managed Training Data.
- SAMM C10.21.2.5 — Report Preparation.
- SAMM C15.T6 — Key Factors for Determining Redirection
- SAMM C15.6.3.2 — Disposal of Defense Articles.
- SAMM C5.7.3.1 — 36(b)(1) Congressional Notifications.
- SAMM C16.4 — Legacy Case Closure.
- SAMM C16.4.3 — Exemptions.
- SAMM C16.4.5 — Memorandum For Record to Reconcile and Continue Case Execution of Certain Foreign Military Sales Cases Implemented in Fiscal Year 2017 and Prior.
- SAMM C16.3.1.1.5 — Interim to Final Closure.
- SAMM C16.F1 — Title 22 Foreign Military Sales Closure Adjustment Memorandum for Record
- SAMM C16.F2 — Form Letter - Case Closure Exemption Letter
- SAMM C16.F3 — Memorandum for Record to Reconcile and Continue Case Execution of Certain Foreign Military Sales Cases Implemented in Fiscal Year 2017 and Prior
- SAMM C14.8.6 — Accounting for Security Assistance Account Inventory and Related Property.
- SAMM C8 — C8 - End Use Monitoring.
- SAMM C8.4 — Enhanced End Use Monitoring.
- SAMM C8.4.4 — Criteria for Recommending Enhanced End Use Monitoring Designation.
- SAMM C10.21.2 — Foreign Military Training Report.
- SAMM C10.T19 — Foreign Military Training Report Applicable Programs
- SAMM C15.6.3 — Program Changes: Defense Article Redirection, Treatment as Department of War Stock, and Disposal.
- SAMM C15.6.3.1 — Redirection of Defense Articles to Different Benefitting Partners.
- SAMM C5.7 — Congressional Notification - Arms Export Control Act 36(b) for Security Assistance Programs.
- SAMM C5.T18 — Thresholds for 36(b) Congressional Notification
Public authorities
- Executive Order 14268, Reforming Foreign Defense Sales to Improve Speed and Accountability (April 9, 2025) — EO 14268
Facts referenced
- Date by which Foreign Military Sales cases implemented in fiscal year 2017 and prior must reach final closure — September 30, 2027 (as of 11 September 2026) — SAMM C16.4.2
- Time after Supply/Services Complete without unliquidated-obligation invoices after which a case in interim closure must move to final closure — four years (as of 11 September 2026) — SAMM C16.3.1.1.5.1
- Time after the original Supply/Services Complete date at which excess Case Closure Suspense Account funds are returned to the purchaser — nine years (as of 11 September 2026) — SAMM C16.3.1.1.5.2
DSCA policy memoranda
- DSCA 25-97 — DSCA Policy Memo 25-97 — Prioritization of Case Closure Activities for Letters of Offer and Acceptance Implemented in Fiscal Years 2017 and Prior
- DSCA 26-84 — DSCA Policy Memo 26-84 — Updating Security Assistance Management Manual for Legacy Case Closure [SAMM E-Change 854]
- DSCA 26-85 — DSCA Policy Memo 26-85 — Title 22 Foreign Military Sales Closure Adjustment [SAMM E-Change 855]
- DSCA 26-95 — DSCA Policy Memo 26-95 — Interim to Final Closure [SAMM E-Change 863]
- DSCA 26-96 — DSCA Policy Memo 26-96 — Reconciliation and Continued Execution of Certain Foreign Military Sales Cases Implemented in Fiscal Year 2017 and Prior [SAMM E-Change 864]
- DSCA 26-63 — DSCA Policy Memo 26-63 — Return and Closure Procedures on Direct Commercial Contracts Approved in Fiscal Year 2017 and Prior
- DSCA 26-20 — DSCA Policy Memo 26-20 — Recognition of Inventory and Related Property in the Security Assistance Accounts Financial Statements [SAMM E-Change 775]
- DSCA 26-79 — DSCA Policy Memo 26-79 — Enhanced End Use Monitoring Criteria SAMM Chapter 8 Update [SAMM E-Change 849]
- DSCA 26-72 — DSCA Policy Memo 26-72 — Chapter 8 End Use Monitoring Administrative and Clarification Updates [SAMM E-Change 842]
- DSCA 26-73 — DSCA Policy Memo 26-73 — Updates to Chapter 10 Foreign Military Training Report Requirements and Responsibilities [SAMM E-Change 843]
- DSCA 26-43 — DSCA Policy Memo 26-43 — Building Partner Capacity Updates for Redirection, Treatment as Department of War Stock, or Disposal of Defense Articles Originally Intended for a Benefitting Partner [SAMM E-Change 759]
- DSCA 24-29 — DSCA Policy Memo 24-29 — 36(b) Congressional Notification Update [SAMM E-Change 483]
Related
Executive Order (EO)
Official documents, numbered consecutively, through which the President of the United States manages the operations of the Federal Government.
SAMM Glossary, as of 12 September 2026
DSCA — Defense Security Cooperation Agency
SAMM Acronyms, as of 12 September 2026
Glossary entry →Defense Security Cooperation Agency (DSCA) →
End Use Monitoring (EUM)
Mandated by Section 40A of the Arms Export Control Act (AECA) (22 U.S.C. 2785), activities undertaken by the U.S. Government to ensure that defense articles and defense services transferred to foreign partners under security assistance/cooperation authorities are monitored and used according to the terms and conditions specified in Letters of Offer and Acceptance and other transfer agreements, and as required by the AECA or the Foreign Assistance Act of 1961.
SAMM Glossary, as of 12 September 2026
Security Assistance (SA)
A group of programs authorized by federal statutes by which the United States provides defense articles, military training, and other defense-related services by grant, lease, loan, credit, or cash sales in furtherance of national policies and objectives, and those that are funded and authorized through the Department of State to be administered by Department of Defense/Defense Security Cooperation Agency, which are considered part of security cooperation.
SAMM Glossary, as of 12 September 2026
USD(P) — Under Secretary of Defense for Policy
SAMM Acronyms, as of 12 September 2026
Implementing Agency (IA)
The military department or defense agency responsible for the execution of military assistance programs. With respect to FMS, the military department or defense agency assigned responsibility by the Defense Security Cooperation Agency to prepare an LOA and to implement an FMS case. The implementing agency is responsible for the overall management of the actions that will result in delivery of the materials or services set forth in the LOA that was accepted by a foreign country or international organization.
SAMM Glossary, as of 12 September 2026
Foreign Military Sales (FMS)
A process, authorized by the Arms Export Control Act, through which eligible foreign governments and international organizations may purchase defense articles, services, and training from the United States Government.
SAMM Glossary, as of 12 September 2026
Fiscal Year (FY)
The USG’s accounting period. It begins on October 1 and ends on September 30 and is designated by the calendar year in which it ends.
SAMM Glossary, as of 12 September 2026
FMS — Foreign Military Sale
SAMM Acronyms, as of 12 September 2026
LOA — Letter of Offer and Acceptance
SAMM Acronyms, as of 12 September 2026
SAMM — Security Assistance Management Manual
SAMM Acronyms, as of 12 September 2026
Glossary entry →Security Assistance Management Manual (SAMM) →
Foreign Military Sales Order I (FMSO I)
Provides for the pipeline capitalization of a cooperative logistics support arrangement, which consists of stocks on hand and replenishment of stocks on order in which the participating country buys equity in the U.S. supply system for the support of a specific weapons system. Even though stocks are not moved to a foreign country, delivery (equity) does in effect take place when the country pays for the case.
SAMM Glossary, as of 12 September 2026
DSAMS — Defense Security Assistance Management System
SAMM Acronyms, as of 12 September 2026
Glossary entry →Defense Security Assistance Management Systems (DSAMS) →
Defense Security Cooperation Agency (DSCA)
An agency, under the authority, direction, and control of the Under Secretary of Defense for Policy (USD(P)), that directs, administers, and provides DoD-wide guidance to the DoD Components and DoD representatives to U.S. missions abroad for the execution of DoD security assistance and security cooperation programs over which DSCA has responsibility, in accordance with Chapter 32 and Chapter 39 of title 22 U.S.C., DoD Directive (DoDD) 5132.03, other laws, and DoDD 5105.65.
SAMM Glossary, as of 12 September 2026
Foreign Military Sales (FMS) Case
A USG Letter of Offer and Acceptance (LOA), and any subsequent Amendment or Modification, that is the legal instrument used by the USG to transfer defense articles and defense services under the FMS program. See also "FMS" and "LOA."
SAMM Glossary, as of 12 September 2026
DFAS-IN — Defense Finance and Accounting Service - Indianapolis
SAMM Acronyms, as of 12 September 2026
DIFS — Defense Integrated Financial System
SAMM Acronyms, as of 12 September 2026
Glossary entry →Defense Integrated Financial System (DIFS) →
Security Cooperation
Activities undertaken by the DoD to encourage and enable international partners to work with the United States to achieve strategic objectives. It includes all DoD interactions with foreign defense and security establishments, including all DoD-administered security assistance programs, that: build defense and security relationships that promote specific U.S. security interests, including all international armaments cooperation activities and security assistance activities; develop allied and friendly military capabilities for self-defense and multinational operations; and provide U.S. forces with peacetime and contingency access to host nations.
SAMM Glossary, as of 12 September 2026
Net Case Value
Total amount of the cost reflected on line 21 of the DD Form 1513 or line 8 of the Letter of Offer and Acceptance.
SAMM Glossary, as of 12 September 2026
Unliquidated Obligation (ULO)
The amount of obligations that have not been liquidated by payments (disbursements).
SAMM Glossary, as of 12 September 2026
Holding Account
An account established for each Foreign Military Sales country/international organization for the purpose of recording and safeguarding unidentified and certain earmarked funds for future use
SAMM Glossary, as of 12 September 2026
Closed Case
An Foreign Military Sales case for which all materiel has been delivered, all services have been performed, all financial transactions, including all collections, have been completed, and the customer has received a final statement of account.
SAMM Glossary, as of 12 September 2026
Military Articles And Services List (MASL)
A catalogue of materiel, services, and training used in the planning and programming of International Military Education and Training (IMET), and Foreign Military Sales (FMS). Separate MASLs are maintained for IMET and FMS training that provides data on course identification, course availability, price, and duration of training.
SAMM Glossary, as of 12 September 2026
EUM — End Use Monitoring
SAMM Acronyms, as of 12 September 2026
Defense Article (Foreign Assistance Act; Arms Export Control Act, not including commercial sales subject to the International Traffic in Arms Regulation)
Any weapon, weapons system, munition, aircraft, vessel, boat, or other implement of war;
SAMM Glossary, as of 12 September 2026
Combatant Command (CCMD)
A unified or specified command with a broad continuing mission under a single commander established and so designated by the President, through the Secretary of Defense and with the advice and assistance of the Chairman of the Joint Chiefs of Staff. Also called CCMD.
SAMM Glossary, as of 12 September 2026
Security Assistance Network (SAN)
SAN is a web-based system (also known as SANweb) that hosts various Security Cooperation applications and a library system for sharing documents. SAN also provides administrative functions to monitor and manage user accounts, control access to hosted applications and provides logs for system access and actions performed by the users. The SAN's counterpart, International SAN (ISAN), provides limited access to partner countries. It has only one application, Partner Security Cooperation - Training Management System.
SAMM Glossary, as of 12 September 2026
SC-TMS — Security Cooperation-Training Management System
SAMM Acronyms, as of 12 September 2026
Glossary entry →Security Cooperation Training Management System (SC-TMS) →
International Military Student (IMS)
A national of a foreign government, with military or civilian status of that government, who is receiving education or training or is touring USG activities under the sponsorship of the security assistance training program.
SAMM Glossary, as of 12 September 2026
Major Defense Equipment (MDE)
Any item of Significant Military Equipment on the U.S. Munitions List having a nonrecurring research and development cost of more than $50 million or a total production cost of more than $200 million. Also defined in section 47 (6), Arms Export Control Act.
SAMM Glossary, as of 12 September 2026
Total Case Value (Letter of Offer and Acceptance)
The total value of the Letter of Offer and Acceptance at the time of calculation, which includes the cost of the materiel, services, all Indirect Pricing Components, administrative charges, and all accessorial charges.
SAMM Glossary, as of 12 September 2026