Defense Primer: The Defense Logistics Agency
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Updated December 14, 2022
Defense Primer: The Defense Logistics Agency
Established under Title 10 Sections 191 and 192 of the U.S.
chain contractors if they are an approved provider through
Code (U.S.C.), the Defense Logistics Agency (DLA) is the
the Prime Vendor Program (Figure). DLA product delivery
Department of Defense (DOD) agency responsible for
typically includes supplementary services like warehousing,
supply or service activities common to all military
packaging, and transportation.
departments. Section 193 of Title 10 identifies DLA as a
combat support agency, a designation that DLA describes
Figure 2. DLA Supply Chain Management Process
as “a formal oversight relationship with the chairman of the
Joint Chiefs of Staff and allows combatant commanders to
request specific support from the agency.” Under these
authorities, DLA manages the global supply chain for DOD
and interagency partners by providing procurement,
storage, distribution, disposition, and other technical
services that are essential to the Joint Logistics Enterprise
(see Joint Publication 4-0).
Headquartered in Fort Belvoir, VA, DLA operates in most
U.S. states and territories (Figure 1). In addition to DOD
customers, its portfolio includes 40 federal, 50 state, 300
Source: Government Accountability Office (GAO-02-776).
local, and 122 international partners. In fiscal year (FY)
2022, DLA reportedly procured and/or provided over $46.7
Energy Products and Services
billion in total goods and services.
DLA exclusively procures and manages distribution of
energy products for DOD, including bulk petroleum (i.e.,
Figure I. Distribution of DLA Employees, November
petroleum, oil, and lubricants, or POL), coal, natural gas,
2022
electricity, alternative fuels, and missile fuels. DLA-Energy
(DLA-E) secures vendor contracts for energy products,
manages product inventory, and ensures the delivery of
those products worldwide. Where appropriate, DLA-E
utilizes international fuel agreements with 43 allied nations
(as of FY21) to deliver cost-efficient, reliable fuel supplies
to DOD customers. DLA also provides energy-related
services to military installations (including energy
acquisition support and utilities contracting) and
propellants, cryogenic fluids, and gases for military
weapons systems and space programs. In the event of
natural disasters or domestic emergencies, DLA can also
provide fuel to support the Federal Emergency
Management Agency, U.S. Customs and Border Protection,
the National Capital Region, and other civil authorities.
National Defense Stockpile
The National Defense Stockpile (NDS)—established in 50
U.S.C. §98 et seq.—is a non-fuel, raw materials-based
stockpile that “protects against a costly dependence upon
Source: CRS graphic based on DLA data.
foreign and single points of supply for strategic and critical
Major Responsibilities
materials needed in times of national emergency.” DLA
Strategic Materials (DLA-SM) is responsible for managing
DLA’s primary purpose is to meet the armed forces’
the NDS and is required to provide a report to Congress
logistics requirements for food, clothing, fuel, parts, and
every two years on stockpile requirements. As of
other items. Its major responsibilities are to buy or contract,
September 30, 2021, DLA-SM reportedly stores dozens of
warehouse when needed, and distribute about 5 million
critical base and precious metals, rare earth elements,
distinct consumable, expendable and reparable items to its
alloys, ores and compounds valued at $1.28 billion.
military customers. The agency contracts for high-volume,
commercially available items. It then distributes these items
Organizational Structure
directly to the customer (e.g., a shipyard or maintenance
DLA is led by a three-star general or flag officer, and
depot), or stores them for later delivery. DLA also allows
includes six one-star level subordinate commands:
customers to order supplies directly from integrated supply
https://crsreports.congress.gov
Defense Primer: The Defense Logistics Agency
DLA Troop Support (Philadelphia, PA). Manages the
DOD global supply chains for food, clothing and
Table 1. DLA FY2023 Request ($ in millions)
textiles, construction materials, and medical supplies,
including pharmaceuticals.
FY2022
FY2023
Appropriation Title
DLA Distribution (New Cumberland, PA). Provides
Enacted
Request
DOD storage and distribution solutions and
O&M
427.26
429.06
management, transportation planning and management,
and logistics planning for contingency operations; and
National Defense Stockpile –
0.00
253.50
operates a global network of distribution centers.
Transaction Fund
DLA Disposition Services (Battle Creek, MI).
RDT&E
350.90
227.97
Disposes of excess DOD property by reutilization,
transfer, and demilitarization; conducts environmental
MILCON
110.00
129.00
disposal and reuse.
Procurement
510.90
24.50
DLA Aviation (Richmond, VA). Manages the DOD
supply chain for aviation weapons systems repair parts,
DLA Working Capital Fund
127.80
8.30
flight safety equipment, maps, consumable hardware,
Base Realignment and Closure
environmental products and industrial plant equipment.
3.97
3.01
(BRAC)
DLA Land and Maritime (Columbus, OH). Manages
the DOD supply chain for ground-based and maritime
Total
1,530.83
1,075.34
weapons systems repair parts, consumable hardware,
Source: Department of Defense, https://comptrol er.defense.gov/.
small arms parts and fluid-handling systems.
Considerations for Congress
DLA Energy (Fort Belvoir, VA). Manages the DOD
supply chain for POL products, alternative
Market Volatility. Because it purchases materials on
fuel/renewable energy, aerospace energy; provides fuel
the open market, DLA is susceptible to price changes
quality assurance and technical support, fuel card
for oil, gas, and other high demand goods and services.
programs and installation energy services.
Commercially Obsolete Spare Parts. DLA RDT&E
DLA also has three regional commands (about 600 total
funding addresses critical supply chain gaps for
personnel located overseas (Figure 1)) that allow DLA to
commercially obsolete spare parts, such as
interface with the geographic combatant commands for
microelectronics in legacy equipment. As the pace of
logistics planning and supply chain support in their
defense innovation increases, obsolescence of older
respective areas of responsibility.
parts may also increase. Congress may wish to assess
and enhance DOD’s capacity to anticipate and respond
DLA Funding
to commercial obsolescence through DLA RDT&E.
DLA activities are authorized through annual National
Oversight of COVID-19 Response. DLA played an
Defense Authorization Acts. Budget authority for DLA
active role in the U.S. Coronavirus Disease 2019
activities is typically provided in both the Defense
(COVID-19) response. According to DLA, as of
Appropriations and Military Construction, Veterans Affairs,
October 31, 2021 (most recent available) it had executed
and Related Agencies Acts. Appropriated dollars are
over 48,000 contract actions worth about $6.6 billion in
managed through DLA’s General Fund; however, DLA
these efforts. Congress may wish to leverage DLA
occasionally requests appropriated dollars in support of two
lessons learned for enduring pandemic preparedness and
otherwise self-sufficient revolving funds (Table 1).
consider decreasing or increasing DLA’s role in
supporting national emergencies.
General Fund. Appropriation titles generally include
Procurement; Operations & Maintenance (O&M);
Research, Development, Testing, & Evaluation
(RDT&E); Military Construction (MILCON); and
Family Housing.
CRS Products
CRS In Focus IF11233, Defense Primer: Defense Working Capital
DLA revolving funds:
Funds, by Cameron M. Keys and Brendan W. McGarry
DLA Working Capital Fund. Used to manage DLA’s
global supply chains and subordinate commands.
Includes three major activity groups: Energy, Supply
Chain Management, and Document Services.
Other Resources
NDS Transaction Fund. Established under 50 U.S.C.
DOD Directive 5105.22, Defense Logistics Agency
§98h and managed by DLA, the fund is used for the
Joint Publication (JP) 4-0, Joint Logistics
acquisition and management of materials for the NDS.
Cameron M. Keys, Analyst in Defense Logistics and
Resource Management Policy
IF11543
https://crsreports.congress.gov
Defense Primer: The Defense Logistics Agency
Disclaimer
This document was prepared by the Congressional Research Service (CRS). CRS serves as nonpartisan shared staff to
congressional committees and Members of Congress. It operates solely at the behest of and under the direction of Congress.
Information in a CRS Report should not be relied upon for purposes other than public understanding of information that has
been provided by CRS to Members of Congress in connection with CRS’s institutional role. CRS Reports, as a work of the
United States Government, are not subject to copyright protection in the United States. Any CRS Report may be
reproduced and distributed in its entirety without permission from CRS. However, as a CRS Report may include
copyrighted images or material from a third party, you may need to obtain the permission of the copyright holder if you
wish to copy or otherwise use copyrighted material.
https://crsreports.congress.gov | IF11543 · VERSION 7 · UPDATED
Updated December 14, 2022
Defense Primer: The Defense Logistics Agency
Established under Title 10 Sections 191 and 192 of the U.S.
chain contractors if they are an approved provider through
Code (U.S.C.), the Defense Logistics Agency (DLA) is the
the Prime Vendor Program (Figure). DLA product delivery
Department of Defense (DOD) agency responsible for
typically includes supplementary services like warehousing,
supply or service activities common to all military
packaging, and transportation.
departments. Section 193 of Title 10 identifies DLA as a
combat support agency, a designation that DLA describes
Figure 2. DLA Supply Chain Management Process
as “a formal oversight relationship with the chairman of the
Joint Chiefs of Staff and allows combatant commanders to
request specific support from the agency.” Under these
authorities, DLA manages the global supply chain for DOD
and interagency partners by providing procurement,
storage, distribution, disposition, and other technical
services that are essential to the Joint Logistics Enterprise
(see Joint Publication 4-0).
Headquartered in Fort Belvoir, VA, DLA operates in most
U.S. states and territories (Figure 1). In addition to DOD
customers, its portfolio includes 40 federal, 50 state, 300
Source: Government Accountability Office (GAO-02-776).
local, and 122 international partners. In fiscal year (FY)
2022, DLA reportedly procured and/or provided over $46.7
Energy Products and Services
billion in total goods and services.
DLA exclusively procures and manages distribution of
energy products for DOD, including bulk petroleum (i.e.,
Figure I. Distribution of DLA Employees, November
petroleum, oil, and lubricants, or POL), coal, natural gas,
2022
electricity, alternative fuels, and missile fuels. DLA-Energy
(DLA-E) secures vendor contracts for energy products,
manages product inventory, and ensures the delivery of
those products worldwide. Where appropriate, DLA-E
utilizes international fuel agreements with 43 allied nations
(as of FY21) to deliver cost-efficient, reliable fuel supplies
to DOD customers. DLA also provides energy-related
services to military installations (including energy
acquisition support and utilities contracting) and
propellants, cryogenic fluids, and gases for military
weapons systems and space programs. In the event of
natural disasters or domestic emergencies, DLA can also
provide fuel to support the Federal Emergency
Management Agency, U.S. Customs and Border Protection,
the National Capital Region, and other civil authorities.
National Defense Stockpile
The National Defense Stockpile (NDS)—established in 50
U.S.C. §98 et seq.—is a non-fuel, raw materials-based
stockpile that “protects against a costly dependence upon
Source: CRS graphic based on DLA data.
foreign and single points of supply for strategic and critical
Major Responsibilities
materials needed in times of national emergency.” DLA
Strategic Materials (DLA-SM) is responsible for managing
DLA’s primary purpose is to meet the armed forces’
the NDS and is required to provide a report to Congress
logistics requirements for food, clothing, fuel, parts, and
every two years on stockpile requirements. As of
other items. Its major responsibilities are to buy or contract,
September 30, 2021, DLA-SM reportedly stores dozens of
warehouse when needed, and distribute about 5 million
critical base and precious metals, rare earth elements,
distinct consumable, expendable and reparable items to its
alloys, ores and compounds valued at $1.28 billion.
military customers. The agency contracts for high-volume,
commercially available items. It then distributes these items
Organizational Structure
directly to the customer (e.g., a shipyard or maintenance
DLA is led by a three-star general or flag officer, and
depot), or stores them for later delivery. DLA also allows
includes six one-star level subordinate commands:
customers to order supplies directly from integrated supply
https://crsreports.congress.gov
Defense Primer: The Defense Logistics Agency
DLA Troop Support (Philadelphia, PA). Manages the
DOD global supply chains for food, clothing and
Table 1. DLA FY2023 Request ($ in millions)
textiles, construction materials, and medical supplies,
including pharmaceuticals.
FY2022
FY2023
Appropriation Title
DLA Distribution (New Cumberland, PA). Provides
Enacted
Request
DOD storage and distribution solutions and
O&M
427.26
429.06
management, transportation planning and management,
and logistics planning for contingency operations; and
National Defense Stockpile –
0.00
253.50
operates a global network of distribution centers.
Transaction Fund
DLA Disposition Services (Battle Creek, MI).
RDT&E
350.90
227.97
Disposes of excess DOD property by reutilization,
transfer, and demilitarization; conducts environmental
MILCON
110.00
129.00
disposal and reuse.
Procurement
510.90
24.50
DLA Aviation (Richmond, VA). Manages the DOD
supply chain for aviation weapons systems repair parts,
DLA Working Capital Fund
127.80
8.30
flight safety equipment, maps, consumable hardware,
Base Realignment and Closure
environmental products and industrial plant equipment.
3.97
3.01
(BRAC)
DLA Land and Maritime (Columbus, OH). Manages
the DOD supply chain for ground-based and maritime
Total
1,530.83
1,075.34
weapons systems repair parts, consumable hardware,
Source: Department of Defense, https://comptrol er.defense.gov/.
small arms parts and fluid-handling systems.
Considerations for Congress
DLA Energy (Fort Belvoir, VA). Manages the DOD
supply chain for POL products, alternative
Market Volatility. Because it purchases materials on
fuel/renewable energy, aerospace energy; provides fuel
the open market, DLA is susceptible to price changes
quality assurance and technical support, fuel card
for oil, gas, and other high demand goods and services.
programs and installation energy services.
Commercially Obsolete Spare Parts. DLA RDT&E
DLA also has three regional commands (about 600 total
funding addresses critical supply chain gaps for
personnel located overseas (Figure 1)) that allow DLA to
commercially obsolete spare parts, such as
interface with the geographic combatant commands for
microelectronics in legacy equipment. As the pace of
logistics planning and supply chain support in their
defense innovation increases, obsolescence of older
respective areas of responsibility.
parts may also increase. Congress may wish to assess
and enhance DOD’s capacity to anticipate and respond
DLA Funding
to commercial obsolescence through DLA RDT&E.
DLA activities are authorized through annual National
Oversight of COVID-19 Response. DLA played an
Defense Authorization Acts. Budget authority for DLA
active role in the U.S. Coronavirus Disease 2019
activities is typically provided in both the Defense
(COVID-19) response. According to DLA, as of
Appropriations and Military Construction, Veterans Affairs,
October 31, 2021 (most recent available) it had executed
and Related Agencies Acts. Appropriated dollars are
over 48,000 contract actions worth about $6.6 billion in
managed through DLA’s General Fund; however, DLA
these efforts. Congress may wish to leverage DLA
occasionally requests appropriated dollars in support of two
lessons learned for enduring pandemic preparedness and
otherwise self-sufficient revolving funds (Table 1).
consider decreasing or increasing DLA’s role in
supporting national emergencies.
General Fund. Appropriation titles generally include
Procurement; Operations & Maintenance (O&M);
Research, Development, Testing, & Evaluation
(RDT&E); Military Construction (MILCON); and
Family Housing.
CRS Products
CRS In Focus IF11233, Defense Primer: Defense Working Capital
DLA revolving funds:
Funds, by Cameron M. Keys and Brendan W. McGarry
DLA Working Capital Fund. Used to manage DLA’s
global supply chains and subordinate commands.
Includes three major activity groups: Energy, Supply
Chain Management, and Document Services.
Other Resources
NDS Transaction Fund. Established under 50 U.S.C.
DOD Directive 5105.22, Defense Logistics Agency
§98h and managed by DLA, the fund is used for the
Joint Publication (JP) 4-0, Joint Logistics
acquisition and management of materials for the NDS.
Cameron M. Keys, Analyst in Defense Logistics and
Resource Management Policy
IF11543
https://crsreports.congress.gov
Defense Primer: The Defense Logistics Agency
Disclaimer
This document was prepared by the Congressional Research Service (CRS). CRS serves as nonpartisan shared staff to
congressional committees and Members of Congress. It operates solely at the behest of and under the direction of Congress.
Information in a CRS Report should not be relied upon for purposes other than public understanding of information that has
been provided by CRS to Members of Congress in connection with CRS’s institutional role. CRS Reports, as a work of the
United States Government, are not subject to copyright protection in the United States. Any CRS Report may be
reproduced and distributed in its entirety without permission from CRS. However, as a CRS Report may include
copyrighted images or material from a third party, you may need to obtain the permission of the copyright holder if you
wish to copy or otherwise use copyrighted material.
https://crsreports.congress.gov | IF11543 · VERSION 7 · UPDATED