At present the US Army Strategic Defense Command (USASDC relies on subjective judgments from key management personnel to make project funding decisions. In this thesis the Analytic Hierarchy Process (AHP) is used to convert subjective pairwise comparisons of thirty-five major USASDC projects, based on eleven key factors, into ratio-scaled numerical weights. THe AHP coefficients are then used in a linear Goal Program in order to optimize the funding level of each project in Fiscal Year 1988 at several different USASDC total budget levels. An optimal priority list of projects is also determined. The model results are compared with the proposed funding levels and the impact of changes of the model parameters is conducted. This analysis of the model results and model sensitivity stimulates six funding recommendations for USASDC decision makers. Keywords: Theses; Operations research; Strategic Defense Initiative; Computer programs