US (United States) Code. Title 10. Subtitle D. Part IV. Chapter 931: Civil Reserve Air Fleet

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-CITE-

10 USC CHAPTER 931 - CIVIL RESERVE AIR FLEET 01/06/03

-EXPCITE-

TITLE 10 - ARMED FORCES

Subtitle D - Air Force

PART IV - SERVICE, SUPPLY, AND PROCUREMENT

CHAPTER 931 - CIVIL RESERVE AIR FLEET

.

-HEAD-

CHAPTER 931 - CIVIL RESERVE AIR FLEET

-MISC1-

Sec.

9511. Definitions.

9512. Contracts for the inclusion or incorporation of defense

features.

9513. Use of military installations by Civil Reserve Air Fleet

contractors.

9514. Indemnification of Department of Transportation for losses

covered by defense-related aviation insurance.

PRIOR PROVISIONS

Chapter was comprised of subchapter I, sections 9501 to 9507, and

subchapter II, sections 9511 to 9513, prior to amendment by Pub. L.

103-160, div. A, title VIII, Sec. 828(a)(8)(A)(ii), Nov. 30, 1993,

107 Stat. 1714, which struck out headings for subchapters I and II.

Prior section 9501, act Aug. 10, 1956, ch. 1041, 70A Stat. 573,

related to mobilization by the President in time of war, prior to

repeal by Pub. L. 103-160, div. A, title VIII, Sec. 822(a)(2),

Nov. 30, 1993, 107 Stat. 1705. See section 2538 of this title.

Prior section 9502, act Aug. 10, 1956, ch. 1041, 70A Stat. 574,

related to maintenance by Secretary of the Air Force of lists of

plants equipped to manufacture arms or ammunition and lists of

plants convertible into ammunition factories, and provided for a

Board on Mobilization of Industries Essential for Military

Preparedness, prior to repeal by Pub. L. 103-160, div. A, title

VIII, Sec. 822(a)(2), Nov. 30, 1993, 107 Stat. 1705. See sections

2539 and 2539a of this title.

Prior section 9503, act Aug. 10, 1956, ch. 1041, 70A Stat. 574,

related to research and development programs of the Air Force,

prior to repeal by Pub. L. 103-160, div. A, title VIII, Sec.

827(c), Nov. 30, 1993, 107 Stat. 1713.

Prior section 9504, act Aug. 10, 1956, ch. 1041, 70A Stat. 575,

related to procurement of ordnance, signal, and chemical warfare

supplies for experimental purposes by the Secretary of the Air

Force, prior to repeal by Pub. L. 103-160, div. A, title VIII,

Sec. 822(c)(2), Nov. 30, 1993, 107 Stat. 1707. See section 2373 of

this title.

Prior section 9505, act Aug. 10, 1956, ch. 1041, 70A Stat. 575,

related to procurement of production equipment by Secretary of the

Air Force, prior to repeal by Pub. L. 103-160, div. A, title VIII,

Sec. 823(1), Nov. 30, 1993, 107 Stat. 1707.

Prior section 9506, act Aug. 10, 1956, ch. 1041, 70A Stat. 575,

related to sale, loan, or gift of samples, drawings, and

information to contractors, prior to repeal by Pub. L. 103-160,

div. A, title VIII, Sec. 822(b)(3), Nov. 30, 1993, 107 Stat. 1706.

Prior section 9507, act Aug. 10, 1956, ch. 1041, 70A Stat. 575,

related to sale of ordnance and ordnance stores to designers, prior

to repeal by Pub. L. 103-160, div. A, title VIII, Sec. 822(b)(3),

Nov. 30, 1993, 107 Stat. 1706.

AMENDMENTS

1996 - Pub. L. 104-201, div. A, title X, Sec. 1079(a)(2), Sept.

23, 1996, 110 Stat. 2669, added item 9514.

1994 - Pub. L. 103-355, title III, Sec. 3033(b), Oct. 13, 1994,

108 Stat. 3336, substituted ''Use of military installations by

Civil Reserve Air Fleet contractors'' for ''Commitment of aircraft

to the Civil Reserve Air Fleet'' in item 9513.

1993 - Pub. L. 103-160, div. A, title VIII, Sec. 828(c)(8)(A),

Nov. 30, 1993, 107 Stat. 1714, substituted ''CIVIL RESERVE AIR

FLEET'' for ''INDUSTRIAL MOBILIZATION, RESEARCH, AND DEVELOPMENT''

in chapter heading, struck out subchapter analysis consisting of

items for subchapter I ''General'' and subchapter II ''Civil

Reserve Air Fleet'', struck out subchapter I heading ''GENERAL'',

struck out items 9501 ''Industrial mobilization: orders;

priorities; possession of manufacturing plants; violations'', 9502

''Industrial mobilization: plants; lists; Board on Mobilization of

Industries Essential for Military Preparedness'', 9503 ''Research

and development programs'', 9504 ''Procurement for experimental

purposes'', 9505 ''Procurement of production equipment'', 9506

''Sale, loan, or gift of samples, drawings, and information to

contractors'', and 9507 ''Sale of ordnance and ordnance stores to

designers'', and struck out heading for subchapter II ''CIVIL

RESERVE AIR FLEET''.

1989 - Pub. L. 101-189, div. A, title XVI, Sec. 1636(c)(2), Nov.

29, 1989, 103 Stat. 1610, substituted ''Contracts for the inclusion

or incorporation of defense features'' for ''Contracts to modify

aircraft: cargo-convertible features'' in item 9512 and

''Commitment'' for ''Contracts to modify aircraft: commitment'' in

item 9513.

1981 - Pub. L. 97-86, title IX, Sec. 915, Dec. 1, 1981, 95 Stat.

1125, added analysis of subchapters, subchapter headings

''SUBCHAPTER I - GENERAL'' and ''SUBCHAPTER II - CIVIL RESERVE AIR

FLEET'', and the analysis of sections for subchapter II consisting

of items 9511, 9512, and 9513.

-CITE-

10 USC Sec. 9511 01/06/03

-EXPCITE-

TITLE 10 - ARMED FORCES

Subtitle D - Air Force

PART IV - SERVICE, SUPPLY, AND PROCUREMENT

CHAPTER 931 - CIVIL RESERVE AIR FLEET

-HEAD-

Sec. 9511. Definitions

-STATUTE-

In this chapter:

(1) The terms ''aircraft'', ''citizen of the United States'',

''civil aircraft'', ''person'', and ''public aircraft'' have the

meanings given those terms by section 40102(a) of title 49.

(2) The term ''passenger-cargo combined aircraft'' means a

civil aircraft equipped so that its main deck can be used to

carry both passengers and property (including mail)

simultaneously.

(3) The term ''cargo-capable aircraft'' means a civil aircraft

equipped so that all or substantially all of the aircraft's

capacity can be used for the carriage of property or mail.

(4) The term ''passenger aircraft'' means a civil aircraft

equipped so that its main deck can be used for the carriage of

individuals and cannot be used principally, without major

modification, for the carriage of property or mail.

(5) The term ''cargo-convertible aircraft'' means a passenger

aircraft equipped or designed so that all or substantially all of

the main deck of the aircraft can be readily converted for the

carriage of property or mail.

(6) The term ''Civil Reserve Air Fleet'' means those aircraft

allocated, or identified for allocation, to the Department of

Defense under section 101 of the Defense Production Act of 1950

(50 U.S.C. App. 2071), or made available (or agreed to be made

available) for use by the Department of Defense under a contract

made under this title, as part of the program developed by the

Department of Defense through which the Department of Defense

augments its airlift capability by use of civil aircraft.

(7) The term ''contractor'' means a citizen of the United

States (A) who owns or controls, or who will own or control, a

new or existing aircraft and who contracts with the Secretary

under section 9512 of this title to modify that aircraft by

including or incorporating specified defense features in that

aircraft and to commit that aircraft to the Civil Reserve Air

Fleet, (B) who subsequently obtains ownership or control of a

civil aircraft covered by such a contract and assumes all

existing obligations under that contract, or (C) who owns or

controls, or will own or control, new or existing aircraft and

who, by contract, commits some or all of such aircraft to the

Civil Reserve Air Fleet.

(8) The term ''existing aircraft'' means a civil aircraft other

than a new aircraft.

(9) The term ''new aircraft'' means a civil aircraft that a

manufacturer has not begun to assemble before the aircraft is

covered by a contract under section 9512 of this title.

(10) The term ''Secretary'' means the Secretary of the Air

Force.

(11) The term ''defense feature'' means equipment or design

features included or incorporated in a civil aircraft which

ensures the compatibility of such aircraft with the Department of

Defense airlift system. Such term includes any equipment or

design feature which enables such aircraft to be readily modified

for use as an aeromedical aircraft or a cargo-convertible,

cargo-capable, or passenger-cargo combined aircraft.

-SOURCE-

(Added Pub. L. 97-86, title IX, Sec. 915(2), Dec. 1, 1981, 95 Stat.

1125; amended Pub. L. 100-180, div. A, title XII, Sec. 1231(17),

Dec. 4, 1987, 101 Stat. 1161; Pub. L. 100-456, div. A, title XII,

Sec. 1233(k)(2), Sept. 29, 1988, 102 Stat. 2058; Pub. L. 101-189,

div. A, title XVI, Sec. 1636(a), Nov. 29, 1989, 103 Stat. 1609;

Pub. L. 103-272, Sec. 5(b)(2), July 5, 1994, 108 Stat. 1373; Pub.

L. 103-355, title III, Sec. 3031, Oct. 13, 1994, 108 Stat. 3334.)

-MISC1-

AMENDMENTS

1994 - Pub. L. 103-355, Sec. 3031(c), substituted ''In this

chapter:'' for ''In this subchapter:'' in introductory provisions.

Par. (1). Pub. L. 103-355, Sec. 3031(b)(1)(C), which directed

substitution of ''section 40102 of title 49'' for ''section 101 of

the Federal Aviation Act of 1958 (49 U.S.C. 1301)'', could not be

executed because of the intervening amendment by Pub. L. 103-272

which substituted ''section 40102(a) of title 49'' for ''section

101 of the Federal Aviation Act of 1958 (49 U.S.C. 1301)'', see

below.

Pub. L. 103-355, Sec. 3031(b)(1)(A), (B), inserted '' 'civil

aircraft','' before '' 'person','' and substituted ''meanings'' for

''meaning''.

Pub. L. 103-272 substituted ''section 40102(a) of title 49'' for

''section 101 of the Federal Aviation Act of 1958 (49 U.S.C.

1301)''.

Par. (6). Pub. L. 103-355, Sec. 3031(b)(2), (3), redesignated

par. (7) as (6) and struck out former par. (6) which read as

follows: ''The term 'civil aircraft' means an aircraft other than a

public aircraft.''

Par. (7). Pub. L. 103-355, Sec. 3031(b)(3), redesignated par. (8)

as (7). Former par. (7) redesignated (6).

Par. (8). Pub. L. 103-355, Sec. 3031(b)(3), redesignated par. (9)

as (8). Former par. (8) redesignated (7).

Pub. L. 103-355, Sec. 3031(a)(1), inserted ''under section 9512

of this title'' after ''and who contracts with the Secretary'' in

subpar. (A) and added subpar. (C).

Pars. (9), (10). Pub. L. 103-355, Sec. 3031(b)(3), redesignated

pars. (10) and (11) as (9) and (10), respectively. Former par. (9)

redesignated (8).

Par. (11). Pub. L. 103-355, Sec. 3031(b)(3), (4), redesignated

par. (12) as (11), substituted ''compatibility'' for

''interoperability'', and inserted ''an aeromedical aircraft or''

before ''a cargo-convertible''. Former par. (11) redesignated

(10).

Par. (12). Pub. L. 103-355, Sec. 3031(b)(3), redesignated par.

(12) as (11).

1989 - Par. (2). Pub. L. 101-189, Sec. 1636(a)(1), amended par.

(2) generally. Prior to amendment, par. (2) read as follows: ''The

term 'cargo air service' means the carriage of property or mail on

the main deck of a civil aircraft.''

Par. (5). Pub. L. 101-189, Sec. 1636(a)(2), amended par. (5)

generally. Prior to amendment, par. (5) read as follows: ''The

term 'cargo-convertible feature' means equipment or design features

included or incorporated in a passenger aircraft that can readily

enable all or substantially all of that aircraft's main deck to be

used for the carriage of property or mail.''

Par. (8)(A). Pub. L. 101-189, Sec. 1636(a)(3), substituted ''a

new or existing aircraft and who contracts with the Secretary to

modify that aircraft by including or incorporating specified

defense features'' for ''a civil aircraft and who contracts with

the Secretary of the Air Force to modify that aircraft by including

or incorporating cargo-convertible features suitable for defense

purposes''.

Par. (12). Pub. L. 101-189, Sec. 1636(a)(4), added par. (12).

1988 - Par. (1). Pub. L. 100-456 substituted ''The terms'' for

''The term''.

1987 - Pars. (1) to (11). Pub. L. 100-180 inserted ''The term''

after each par. designation, and revised first word in quotes in

pars. (1) to (6) and (8) to (10) to make initial letter of each

word lowercase.

EFFECTIVE DATE OF 1994 AMENDMENT

For effective date and applicability of amendment by Pub. L.

103-355, see section 10001 of Pub. L. 103-355, set out as a note

under section 251 of Title 41, Public Contracts.

-CITE-

10 USC Sec. 9512 01/06/03

-EXPCITE-

TITLE 10 - ARMED FORCES

Subtitle D - Air Force

PART IV - SERVICE, SUPPLY, AND PROCUREMENT

CHAPTER 931 - CIVIL RESERVE AIR FLEET

-HEAD-

Sec. 9512. Contracts for the inclusion or incorporation of defense

features

-STATUTE-

(a) Authority to Contract. - Subject to the provisions of chapter

137 of this title, and to the extent that funds are otherwise

available for obligation, the Secretary -

(1) may contract with any citizen of the United States for the

inclusion or incorporation of defense features in any new or

existing aircraft to be owned or controlled by that citizen; and

(2) may contract with United States aircraft manufacturers for

the inclusion or incorporation of defense features in new

aircraft to be operated by a United States air carrier.

(b) Commitment to Civil Reserve Air Fleet. - Each contract

entered into under this section shall provide -

(1) that any aircraft covered by the contract shall be

committed to the Civil Reserve Air Fleet;

(2) that, so long as the aircraft is owned or controlled by a

contractor, the contractor shall operate the aircraft for the

Department of Defense as needed during any activation of the

Civil Reserve Air Fleet, notwithstanding any other contract or

commitment of that contractor; and

(3) that the contractor operating the aircraft for the

Department of Defense shall be paid for that operation at fair

and reasonable rates.

(c) Terms and Required Repayment. - Each contract entered into

under subsection (a) shall include a provision that requires the

contractor to repay to the United States a percentage (to be

established in the contract) of any amount paid by the United

States to the contractor under the contract with respect to any

aircraft if -

(1) the aircraft is destroyed or becomes unusable, as defined

in the contract;

(2) the defense features specified in the contract are rendered

unusable or are removed from the aircraft;

(3) control over the aircraft is transferred to any person that

is unable or unwilling to assume the contractor's obligations

under the contract; or

(4) the registration of the aircraft under section 44103 of

title 49 is terminated for any reason not beyond the control of

the contractor.

(d) Authority To Contract and Pay Directly. - (1) A contract

under subsection (a) for the inclusion or incorporation of defense

features in an aircraft may include a provision authorizing the

Secretary -

(A) to contract, with the concurrence of the contractor,

directly with another person for the performance of the work

necessary for the inclusion or incorporation of defense features

in such aircraft; and

(B) to pay such other person directly for such work.

(2) A contract entered into pursuant to paragraph (1) may include

such specifications for work and equipment as the Secretary

considers necessary to meet the needs of the United States.

(e) Exclusivity of Commitment to Civil Reserve Air Fleet. -

Notwithstanding section 101 of the Defense Production Act of 1950

(50 U.S.C. App. 2071), each aircraft covered by a contract entered

into under this section shall be committed exclusively to the Civil

Reserve Air Fleet for use by the Department of Defense as needed

during any activation of the Civil Reserve Air Fleet unless the

aircraft is released from that use by the Secretary of Defense.

-SOURCE-

(Added Pub. L. 97-86, title IX, Sec. 915(2), Dec. 1, 1981, 95 Stat.

1126; amended Pub. L. 98-525, title XIV, Sec. 1405(57), Oct. 19,

1984, 98 Stat. 2626; Pub. L. 101-189, div. A, title XVI, Sec.

1636(b), Nov. 29, 1989, 103 Stat. 1609; Pub. L. 103-272, Sec.

5(b)(3), July 5, 1994, 108 Stat. 1373; Pub. L. 103-355, title III,

Sec. 3032(1)-(8), Oct. 13, 1994, 108 Stat. 3334, 3335; Pub. L.

104-106, div. A, title X, Sec. 1087, Feb. 10, 1996, 110 Stat.

458.)

-COD-

CODIFICATION

The text of subsecs. (a) and (b) of section 9513 of this title,

which were redesignated as subsecs. (b) and (e) of this section by

Pub. L. 103-355, Sec. 3032(4), (5), was based on Pub. L. 97-86,

title IX, Sec. 915(2), Dec. 1, 1981, 95 Stat. 1128; amended Pub. L.

101-189, div. A, title XVI, Sec. 1636(c)(1), Nov. 29, 1989, 103

Stat. 1610.

-MISC3-

AMENDMENTS

1996 - Subsecs. (b)(2), (e). Pub. L. 104-106 struck out ''full''

before ''Civil Reserve Air Fleet''.

1994 - Subsec. (a). Pub. L. 103-355, Sec. 3032(1), inserted

heading.

Subsec. (b). Pub. L. 103-355, Sec. 3032(6), inserted heading and

substituted ''entered into under this section'' for ''under section

9512 of this title'' in introductory provisions.

Pub. L. 103-355, Sec. 3032(4), redesignated subsec. (a) of

section 9513 of this title as subsec. (b) of this section. Former

subsec. (b) redesignated (c). See Codification note above.

Subsec. (b)(4). Pub. L. 103-272 substituted ''section 44103 of

title 49'' for ''section 501 of the Federal Aviation Act of 1958

(49 U.S.C. App. 1401)''.

Subsec. (c). Pub. L. 103-355, Sec. 3032(7), struck out ''the

terms required by section 9513 of this title and'' before ''a

provision that requires the contractor'' in introductory

provisions.

Pub. L. 103-355, Sec. 3032(3), redesignated subsec. (b) as (c)

and inserted heading. Former subsec. (c) redesignated (d).

Subsec. (d). Pub. L. 103-355, Sec. 3032(2), redesignated subsec.

(c) as (d) and inserted heading.

Subsec. (e). Pub. L. 103-355, Sec. 3032(8), inserted heading and

substituted ''entered into under this section'' for ''under section

9512 of this title''.

Pub. L. 103-355, Sec. 3032(5), redesignated subsec. (b) of

section 9513 of this title as subsec. (e) of this section. See

Codification note above.

1989 - Pub. L. 101-189 substituted ''Contracts for the inclusion

or incorporation of defense features'' for ''Contracts to modify

aircraft: cargo-convertible features'' as section catchline and

amended text generally, substituting subsecs. (a) to (c) for former

subsecs. (a) to (e).

1984 - Subsec. (b)(1). Pub. L. 98-525 substituted ''App. 1401''

for ''1401''.

EFFECTIVE DATE OF 1994 AMENDMENT

For effective date and applicability of amendment by Pub. L.

103-355, see section 10001 of Pub. L. 103-355, set out as a note

under section 251 of Title 41, Public Contracts.

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in section 9511 of this title.

-CITE-

10 USC Sec. 9513 01/06/03

-EXPCITE-

TITLE 10 - ARMED FORCES

Subtitle D - Air Force

PART IV - SERVICE, SUPPLY, AND PROCUREMENT

CHAPTER 931 - CIVIL RESERVE AIR FLEET

-HEAD-

Sec. 9513. Use of military installations by Civil Reserve Air Fleet

contractors

-STATUTE-

(a) Contract Authority. - (1) The Secretary of the Air Force -

(A) may, by contract entered into with any contractor,

authorize such contractor to use one or more Air Force

installations designated by the Secretary; and

(B) with the consent of the Secretary of another military

department, may, by contract entered into with any contractor,

authorize the contractor to use one or more installations,

designated by the Secretary of the Air Force, that is under the

jurisdiction of the Secretary of such other military department.

(2) The Secretary of the Air Force may include in the contract

such terms and conditions as the Secretary determines appropriate

to promote the national defense or to protect the interests of the

United States.

(b) Purposes of Use. - A contract entered into under subsection

(a) may authorize use of a designated installation as a weather

alternate, as a technical stop not involving the enplaning or

deplaning of passengers or cargo, or, in the case of an

installation within the United States, for other commercial

purposes. Notwithstanding any other provision of the law, the

Secretary may establish different levels and types of uses for

different installations for commercial operations not required by

the Department of Defense and may provide in contracts under

subsection (a) for different levels and types of uses by different

contractors.

(c) Disposition of Payments for Use. - Notwithstanding any other

provision of law, amounts collected from the contractor for landing

fees, services, supplies, or other charges authorized to be

collected under the contract shall be credited to the

appropriations of the armed forces having jurisdiction over the

military installation to which the contract pertains. Amounts so

credited to an appropriation shall be available for obligation for

the same period as the appropriation to which credited.

(d) Hold Harmless Requirement. - A contract entered into under

subsection (a) shall provide that the contractor agrees to

indemnify and hold harmless the United States from any action,

suit, or claim of any sort resulting from, relating to, or arising

out of any activities conducted, or services or supplies furnished,

in connection with the contract.

(e) Reservation of Right To Exclude Contractor. - A contract

entered into under subsection (a) shall provide that the Secretary

concerned may, without providing prior notice, deny access to an

installation designated under the contract when the Secretary

determines that it is necessary to do so in order to meet military

exigencies.

-SOURCE-

(Added Pub. L. 103-355, title III, Sec. 3033(a), Oct. 13, 1994, 108

Stat. 3335.)

-MISC1-

PRIOR PROVISIONS

A prior section 9513, added Pub. L. 97-86, title IX, Sec. 915(2),

Dec. 1, 1981, 95 Stat. 1128; amended Pub. L. 101-189, div. A,

title XVI, Sec. 1636(c)(1), Nov. 29, 1989, 103 Stat. 1610, directed

that each contract under section 9512 of this title be committed to

Civil Reserve Air Fleet, prior to amendment by Pub. L. 103-355,

Sec. 3032(4), (5), (9), which struck out section catchline and

redesignated subsecs. (a) and (b) as subsecs. (b) and (e) of

section 9512, respectively.

EFFECTIVE DATE

For effective date and applicability, see section 10001 of Pub.

L. 103-355, set out as a note under section 251 of Title 41, Public

Contracts.

-CITE-

10 USC Sec. 9514 01/06/03

-EXPCITE-

TITLE 10 - ARMED FORCES

Subtitle D - Air Force

PART IV - SERVICE, SUPPLY, AND PROCUREMENT

CHAPTER 931 - CIVIL RESERVE AIR FLEET

-HEAD-

Sec. 9514. Indemnification of Department of Transportation for

losses covered by defense-related aviation insurance

-STATUTE-

(a) Prompt Indemnification Required. - (1) In the event of a loss

that is covered by defense-related aviation insurance, the

Secretary of Defense shall promptly indemnify the Secretary of

Transportation for the amount of the loss consistent with the

indemnification agreement between the two Secretaries that

underlies such insurance. The Secretary of Defense shall make such

indemnification -

(A) in the case of a claim for the loss of an aircraft hull,

not later than 30 days after the date on which the Secretary of

Transportation determines the claim to be payable or that amounts

are due under the policy that provided the defense-related

aviation insurance; and

(B) in the case of any other claim, not later than 180 days

after the date on which the Secretary of Transportation

determines the claim to be payable.

(2) When there is a loss of an aircraft hull that is (or may be)

covered by defense-related aviation insurance, the Secretary of

Transportation may make, during the period when a claim for such

loss is pending with the Secretary of Transportation, any required

periodic payments owed by the insured party to a lessor or

mortgagee of such aircraft. Such payments shall commence not later

than 30 days following the date of the presentment of the claim for

the loss of the aircraft hull to the Secretary of Transportation.

If the Secretary of Transportation determines that the claim is

payable, any amount paid under this paragraph arising from such

claim shall be credited against the amount payable under the

aviation insurance. If the Secretary of Transportation determines

that the claim is not payable, any amount paid under this paragraph

arising from such claim shall constitute a debt to the United

States, payable to the insurance fund. Any such amounts so

returned to the United States shall be promptly credited to the

fund or account from which the payments were made under this

paragraph.

(b) Source of Funds for Payment of Indemnity. - The Secretary of

Defense may pay an indemnity described in subsection (a) from any

funds available to the Department of Defense for operation and

maintenance, and such sums as may be necessary for payment of such

indemnity are hereby authorized to be transferred to the Secretary

of Transportation for such purpose.

(c) Notice to Congress. - In the event of a loss that is covered

by defense-related aviation insurance in the case of an incident in

which the covered loss is (or is expected to be) in an amount in

excess of $1,000,000, the Secretary of Defense shall submit to

Congress -

(1) notification of the loss as soon after the occurrence of

the loss as possible and in no event more than 30 days after the

date of the loss; and

(2) semiannual reports thereafter updating the information

submitted under paragraph (1) and showing with respect to losses

arising from such incident the total amount expended to cover

such losses, the source of those funds, pending litigation, and

estimated total cost to the Government.

(d) Implementing Matters. - (1) Payment of indemnification under

this section is not subject to section 2214 or 2215 of this title

or any other provision of law requiring notification to Congress

before funds may be transferred.

(2) Consolidation of claims arising from the same incident is not

required before indemnification of the Secretary of Transportation

for payment of a claim may be made under this section.

(e) Construction With Other Transfer Authority. - Authority to

transfer funds under this section is in addition to any other

authority provided by law to transfer funds (whether enacted

before, on, or after the date of the enactment of this section) and

is not subject to any dollar limitation or notification requirement

contained in any other such authority to transfer funds.

(f) Annual Report on Contingent Liabilities. - Not later than

March 1 of each year, the Secretary of Defense shall submit to

Congress a report setting forth the current amount of the

contingent outstanding liability of the United States under the

insurance program under chapter 443 of title 49.

(g) Definitions. - In this section:

(1) Defense-related aviation insurance. - The term

''defense-related aviation insurance'' means aviation insurance

and reinsurance provided through policies issued by the Secretary

of Transportation under chapter 443 of title 49 that pursuant to

section 44305(b) of that title is provided by that Secretary

without premium at the request of the Secretary of Defense and is

covered by an indemnity agreement between the Secretary of

Transportation and the Secretary of Defense.

(2) Loss. - The term ''loss'' includes damage to or destruction

of property, personal injury or death, and other liabilities and

expenses covered by the defense-related aviation insurance.

-SOURCE-

(Added Pub. L. 104-201, div. A, title X, Sec. 1079(a)(1), Sept.

23, 1996, 110 Stat. 2667.)

-REFTEXT-

REFERENCES IN TEXT

The date of the enactment of this section, referred to in subsec.

(e), is the date of enactment of Pub. L. 104-201, which was

approved Sept. 23, 1996.

-CITE-