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Morale, welfare, and recreation (MWR) activities in the military services receive subsidies of more than $600 million in appropriated funds annually. Military resale activities such as exchanges, clubs, sports, and hobby shops take in more than $5 billion each year. In fiscal year (FY) 1978, and again in 1979, the Congress limited the number of military personnel assigned to these programs. The 1978 ceiling was set at 10,201 (an expected reduction of 1,750 military slots); the 1979 limit was 9,901. The ceilings were intended to reduce the appropriated funds supporting these activities and make more military personnel available for combat-related assignments. The services did not have to make any reductions to meet the 1978 ceiling of 10,201 because at the beginning of the year only 10,017 military personnel were assigned. However, the services did reassign 923 military personnel during the year.

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