# HRM Structural Development — Program Element 0605018F

**Program element:** 0605018F  
**Component:** U.S. Air Force  
**Appropriation:** 3600 — RDT&E, Air Force  
**Budget Activity:** 7 — Operational System Development  
**Vintage:** President's Budget PB2027  
**Canonical URL:** https://hitchintel.com/programs/0605018F

## Summary

U.S. Air Force funding falls 50% to a $31.8M request in FY2027 (down from a FY2026 peak). In the FY2027 defense authorization, the House funded it in full; the Senate cut 100% (to $0.0M); House appropriators cut 100% (to $0.0M). AST leads the industry work.

## Funding profile

| Fiscal Year | Estimate Type | Amount ($M) |
|---|---|---|
| FY2025 | Actual | 48.5 |
| FY2026 | Enacted | 63.2 |
| FY2027 | Request | 31.8 |
| FY2028 | Outyear | 31.8 |
| FY2029 | Outyear | 27.4 |
| FY2030 | Outyear | 22.5 |
| FY2031 | Outyear | 23.1 |

> Estimate types are not summed — the profile mixes actuals, enacted law, the request, and outyear projections.

## Congressional marks (FY2027)

| Stage | Marked ($M) | Change ($M) |
|---|---|---|
| Request | 31.8 | — |
| House NDAA (HASC) | 31.8 | +0.0 |
| Senate NDAA (SASC) | 0.0 | −31.8 |
| House Approps (HAC-D) | 0.0 | −31.8 |

> FY2027 NDAA authorization marks, as of 2026-07-27. Not appropriations or final law.

## Projects (1)

| Project | Title | FY2025 actual | FY2026 enacted | FY2027 request | Move |
|---|---|---|---|---|---|
| 676003 | HRM Structural Development | 48.5 | 63.2 | 31.8 | −50% |

> Projects are the summable leaves: the program element total is their sum, never added to it.

### Project 676003 — HRM Structural Development

The Air Force Integrated Personnel and Pay System (AFIPPS) is an Enterprise Resource Planning (ERP) program based on Oracle e-Business Suite (EBS), a commercial-off-the-shelf (COTS) solution, that contains both the Human Resources (HR) and Payroll modules. In alignment with a Department of War (DoW) directive to pursue a DoW-wide military pay solution, the Department of the Air Force (DAF) has halted development of AFIPPS. The Services have been instructed to align their Human Resource (HR) systems to the Defense Finance and Accounting Service's (DFAS) requirements once they are released. In Q2FY2026, the Program Executive Officer (PEO) was directed to terminate the Air Force Integrated Personnel and Pay System (AFIPPS) program and begin the orderly and expeditious shutdown of program activities while preserving the Military Personnel Data System (MilPDS) for capability support. The Office of the Under Secretary of War for Personnel & Readiness OUSW(P&R) instructed the Air Force to posture the legacy MilPDS system to support the Department of War (DoW) efforts to transform military pay. Post termination activities in FY2027, PE 0605018F, Project 676003, HRM Structural Development, efforts are planned to transfer to PE 1201212SF, project 670220, Datalake and UI/UX Development, in order to fund critical initiative activity to implement Personnel Management Act (PMA) Human Resource (HR) Information Technology (IT) Automation and develop a data layer within the existing Air Force Human Resources structure that can be utilized to meet current and future Space Force needs. These efforts will support the DoW requirement for updated HR systems in preparation for their DoW wide military pay initiative. This program element included all necessary expenses required to manage, execute, and deliver weapon system capability. The use of such program funds would be in addition to the civilian pay expenses budgeted in program elements 0605829F, 0605831F, 0605833F, and 0605898F. This requirement supports performance of a full financial audit as required by title 10 U.S.C. Chapter 9A, Sec 240-D.

**Named R-3 performers** (share of this project's FY2027 R-3 total, so they need not reach 100%)**:** AST (9.6, 30%), Torch Tech,Inc (6.2, 20%), AST, LLD (2.4, 7.6%), DISA EIS (1.8, 5.6%).

| Activity (R-2A) | FY2025 | FY2026 | FY2027 |
|---|---|---|---|
| AFIPPS - System Integrator Development & Contractor Test | 46.2 | 49.0 | 25.9 |
| AFIPPS - Government-Test and Evaluation | 2.3 | 14.1 | 5.9 |

> R-2A activities carry the prior, current and budget year only — no five-year plan. Coverage is partial, so count them, never total them.

## Where the FY2027 request goes

| Category | Share | $M |
|---|---|---|
| Industry primes | 70% | 22.2 |
| Other / unspecified | 30% | 9.6 |

**Top named industry performers:** AST ($9.6M, 30%), Torch Tech,Inc ($6.2M, 20%), AST, LLD ($2.4M, 7.6%), DISA EIS ($1.8M, 5.6%), Squared ($1.4M, 4.3%).

> R-3 exhibit contract funding, not USAspending obligations.

## Mission & acquisition strategy

The Air Force Integrated Personnel and Pay System (AFIPPS) is an Enterprise Resource Planning (ERP) program based on Oracle e-Business Suite (EBS), a commercial-off-the-shelf (COTS) solution, that contains both the Human Resources (HR) and Payroll modules. In alignment with a Department of War (DoW) directive to pursue a DoW-wide military pay solution, the Department of the Air Force (DAF) has halted development of AFIPPS. The Services have been instructed to align their Human Resource (HR) systems to the Defense Finance and Accounting Service's (DFAS) requirements once they are released.

AFIPPS is being acquired as a Defense Business System that utilizes the Business Capability Acquisition Cycle. The program is in Phase 4 - Acquisition, Testing, and Deployment and was working towards its first Limited Deployment Authority to Proceed (ATP) for a Limited Deployment in 2026. The acquisition strategy employs a single System Integrator and agile methodologies to develop, test and deploy pay and leave capabilities via an Oracle Enterprise Resource Planning (ERP) E-Business Suite (EBS). The primary system integrator contract includes pay system development, test, and deployment. The development activities were fully coordinated and integrated with the on-going operation and sustainment of the Military Personnel Data System (MilPDS).

## Related program elements

- [0901554F — Defense Enterprise Acntng and Mgt Sys (DEAMS)](https://hitchintel.com/programs/0901554F) (Air Force)
- [0901220F — Force Development Transformation](https://hitchintel.com/programs/0901220F) (Air Force)
- [0603596N — LCS Mission Modules](https://hitchintel.com/programs/0603596N) (Navy)
- [0602861N — Science & Tech Management - ONR Field Acts](https://hitchintel.com/programs/0602861N) (Navy)

## Source & machine access

- **Source:** FY2027 Department of the Air Force RDT&E Budget Justification, Exhibits R-2/R-3, PE 0605018F (PB PB2027); FY2027 NDAA committee marks (as of 2026-07-27).
- **MCP:** `mcp.hitchintel.com` — `budget_get_program_element(pe="0605018F")`.

*HitchAI is an independent intelligence service, not affiliated with the U.S. Department of Defense. Budget figures are requests/estimates, not obligations.*