Legislación
US (United States) Code. Title 10. Subtitle A: General Military Law. Chapter 131: Planning and coordination
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10 USC CHAPTER 131 - PLANNING AND COORDINATION 01/06/03
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TITLE 10 - ARMED FORCES
Subtitle A - General Military Law
PART IV - SERVICE, SUPPLY, AND PROCUREMENT
CHAPTER 131 - PLANNING AND COORDINATION
.
-HEAD-
CHAPTER 131 - PLANNING AND COORDINATION
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Sec.
2201. Apportionment of funds: authority for exemption; excepted
expenses.
2202. Regulations on procurement, production, warehousing, and
supply distribution functions.
2203. Budget estimates.
2204. Obligation of appropriations.
2205. Reimbursements.
2206. Disbursement of funds of military department to cover
obligation of another agency of Department of Defense.
2207. Expenditure of appropriations: limitation.
2208. Working-capital funds.
2209. Management funds.
2210. Proceeds of sales of supplies: credit to appropriations.
2211. Reimbursement for equipment, material, or services furnished
members of the United Nations.
2212. Obligations for contract services: reporting in budget object
classes.
2213. Limitation on acquisition of excess supplies.
2214. Transfer of funds: procedure and limitations.
2215. Transfer of funds to other departments and agencies:
limitation.
2216. Defense Modernization Account.
(2216a. Repealed.)
2217. Comparable budgeting for common procurement weapon systems.
2218. National Defense Sealift Fund.
2219. Retention of morale, welfare, and recreation funds by
military installations: limitation.
2220. Performance based management: acquisition programs.
(2221, 2222. Repealed.)
2223. Information technology: additional responsibilities of Chief
Information Officers.
2224. Defense Information Assurance Program.
2224a. Information security: continued applicability of expiring
Governmentwide requirements to the Department of Defense.
2225. Information technology purchases: tracking and management.
2226. Contracted property and services: prompt payment of vouchers.
2227. Electronic submission and processing of claims for contract
payments.
2228. Military equipment and infrastructure: prevention and
mitigation of corrosion.
AMENDMENTS
2002 - Pub. L. 107-314, div. A, title X, Sec. 1004(h)(1),
1052(b)(2), 1067(a)(2), Dec. 2, 2002, 116 Stat. 2631, 2649, 2658,
struck out item 2222 ''Annual financial management improvement
plan'' and added items 2224a and 2228.
2001 - Pub. L. 107-107, div. A, title X, Sec. 1009(b)(3)(B),
Dec. 28, 2001, 115 Stat. 1209, substituted ''Annual'' for
''Biennial'' in item 2222.
2000 - Pub. L. 106-398, Sec. 1 ((div. A), title VIII, Sec.
812(a)(2), title X, Sec. 1006(a)(2), 1008(a)(2)), Oct. 30, 2000,
114 Stat. 1654, 1654A-214, 1654A-247, 1654A-250, added items 2225,
2226, and 2227.
1999 - Pub. L. 106-65, div. A, title X, Sec. 1043(b), Oct. 5,
1999, 113 Stat. 761, added item 2224.
1998 - Pub. L. 105-261, div. A, title III, Sec. 331(a)(2), title
IX, Sec. 906(f)(1), 911(a)(2), title X, Sec. 1008(b), Oct. 17,
1998, 112 Stat. 1968, 2096, 2099, 2117, added item 2212, struck out
items 2216a ''Defense Business Operations Fund'' and 2221 ''Fisher
House trust funds'', and added item 2223.
1997 - Pub. L. 105-85, div. A, title X, Sec. 1008(a)(2), Nov.
18, 1997, 111 Stat. 1871, added item 2222.
1996 - Pub. L. 104-201, div. A, title X, Sec. 1074(a)(10), Sept.
23, 1996, 110 Stat. 2659, redesignated item 2216 ''Defense Business
Operations Fund'' as 2216a.
Pub. L. 104-106, div. A, title III, Sec. 371(a)(2), title IX,
Sec. 912(a)(2), 914(a)(2), Feb. 10, 1996, 110 Stat. 279, 410, 412,
added two items 2216 and item 2221.
1994 - Pub. L. 103-355, title II, Sec. 2454(c)(3)(A), title III,
Sec. 3061(b), title V, Sec. 5001(a)(2), Oct. 13, 1994, 108 Stat.
3326, 3336, 3350, substituted ''Regulations on procurement,
production, warehousing, and supply distribution functions'' for
''Obligation of funds: limitation'' in item 2202, struck out item
2212 ''Contracted advisory and assistance services: accounting
procedures'', and added item 2220.
Pub. L. 103-337, div. A, title III, Sec. 373(b), div. B, title
XXVIII, Sec. 2804(b)(2), Oct. 5, 1994, 108 Stat. 2736, 3053,
substituted ''Reimbursements'' for ''Availability of
reimbursements'' in item 2205 and added item 2219.
1993 - Pub. L. 103-160, div. A, title XI, Sec. 1106(a)(2), Nov.
30, 1993, 107 Stat. 1750, added item 2215.
1992 - Pub. L. 102-484, div. A, title X, Sec. 1024(a)(2), Oct.
23, 1992, 106 Stat. 2488, added item 2218.
1991 - Pub. L. 102-190, div. A, title III, Sec. 317(b), Dec. 5,
1991, 105 Stat. 1338, added item 2213.
1990 - Pub. L. 101-510, div. A, title XIII, Sec. 1331(2), title
XIV, Sec. 1482(c)(2), 1484(i)(6), Nov. 5, 1990, 104 Stat. 1673,
1710, 1718, struck out item 2213 ''Cooperative military airlift
agreements'', added item 2214, and struck out items 2215 ''Reports
on unobligated balances'' and 2216 ''Annual report on budgeting for
inflation''.
1988 - Pub. L. 100-370, Sec. 1(d)(4), July 19, 1988, 102 Stat.
843, added items 2201, 2212, and 2217.
1986 - Pub. L. 99-661, div. A, title XIII, Sec. 1307(a)(2), Nov.
14, 1986, 100 Stat. 3981, added items 2215 and 2216.
1982 - Pub. L. 97-252, title XI, Sec. 1125(b), Sept. 8, 1982, 96
Stat. 758, added item 2213.
Pub. L. 97-214, Sec. 10(a)(1), July 12, 1982, 96 Stat. 174,
struck out item 2212 ''Transmission of annual military construction
authorization request''.
1978 - Pub. L. 95-356, title VIII, Sec. 802(a)(2), Sept. 8, 1978,
92 Stat. 585, added item 2212.
1962 - Pub. L. 87-651, title II, Sec. 207(b), Sept. 7, 1962, 76
Stat. 523, added items 2203 to 2211.
1958 - Pub. L. 85-599, Sec. 3(c), Aug. 6, 1958, 72 Stat. 516,
struck out item 2201 ''General functions of Secretary of Defense''.
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10 USC Sec. 2201 01/06/03
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TITLE 10 - ARMED FORCES
Subtitle A - General Military Law
PART IV - SERVICE, SUPPLY, AND PROCUREMENT
CHAPTER 131 - PLANNING AND COORDINATION
-HEAD-
Sec. 2201. Apportionment of funds: authority for exemption;
excepted expenses
-STATUTE-
(a) Exemption From Apportionment Requirement. - If the President
determines such action to be necessary in the interest of national
defense, the President may exempt from the provisions of section
1512 of title 31 appropriations, funds, and contract authorizations
available for military functions of the Department of Defense.
(b) Airborne Alerts. - Upon a determination by the President that
such action is necessary, the Secretary of Defense may provide for
the cost of an airborne alert as an excepted expense under section
3732(a) of the Revised Statutes (41 U.S.C. 11(a)).
(c) Members on Active Duty. - Upon a determination by the
President that it is necessary to increase (subject to limits
imposed by law) the number of members of the armed forces on active
duty beyond the number for which funds are provided in
appropriation Acts for the Department of Defense, the Secretary of
Defense may provide for the cost of such additional members as an
excepted expense under section 3732(a) of the Revised Statutes (41
U.S.C. 11(a)).
(d) Notification to Congress. - The Secretary of Defense shall
immediately notify Congress of the use of any authority under this
section.
-SOURCE-
(Added Pub. L. 100-370, Sec. 1(d)(1)(A), July 19, 1988, 102 Stat.
841; amended Pub. L. 106-65, div. A, title X, Sec. 1032(a)(1),
Oct. 5, 1999, 113 Stat. 751.)
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HISTORICAL AND REVISION NOTES
Section is based on Pub. L. 99-190, Sec. 101(b) (title VIII, Sec.
8009), Dec. 19, 1985, 99 Stat. 1185, 1204.
In two instances, the source law to be codified by the bill
includes provisions that on their face require that the Department
of Defense notify Congress of certain actions. These notification
requirements were terminated by section 602 of the
Goldwater-Nichols Department of Defense Reorganization Act of 1986
(Public Law 99-433), which terminated all recurring reporting
requirements applicable to the Department of Defense except for
those requirements that were specifically exempted in that
section. The source law sections are sections 8009(c) and 8005(j)
(proviso) of the FY86 defense appropriations Act (Public Law
99-190), enacted December 19, 1985, which would be codified as
section 2201 of title 10 (by section 1(d) of the bill) and section
7313(a) of title 10 (by section 1(n) of the bill). In codifying
the authorities provided the Department of Defense by these two
provisions of law, the committee believes that it is appropriate to
reinstate the congressional notification requirements that go with
those authorities. These sections were recurring annual
appropriation provisions for many years and were made permanent
only months before the enactment of the 1986 Reorganization Act. It
is the committee's belief that the failure to exempt these
provisions from the general reports termination provision was
inadvertent and notes that the notification provisions had in fact
previously applied to the Department of Defense for many years.
The action of the committee restores the status quo as it existed
before the Reorganization Act.
PRIOR PROVISIONS
A prior section 2201, act Aug. 10, 1956, ch. 1041, 70A Stat. 119,
prescribed the general functions of the Secretary of Defense, prior
to repeal by Pub. L. 85-599, Sec. 3(c), Aug. 6, 1958, 72 Stat. 516.
See section 113 of this title.
AMENDMENTS
1999 - Subsec. (d). Pub. L. 106-65 substituted ''Defense'' for
''Defense - '', struck out par. (1) designation, substituted ''this
section.'' for ''this section; and'', and struck out par. (2) which
read as follows: ''shall submit monthly reports to Congress on the
estimated obligations incurred pursuant to subsections (b) and
(c).''
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10 USC Sec. 2202 01/06/03
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TITLE 10 - ARMED FORCES
Subtitle A - General Military Law
PART IV - SERVICE, SUPPLY, AND PROCUREMENT
CHAPTER 131 - PLANNING AND COORDINATION
-HEAD-
Sec. 2202. Regulations on procurement, production, warehousing, and
supply distribution functions
-STATUTE-
The Secretary of Defense shall prescribe regulations governing
the performance within the Department of Defense of the
procurement, production, warehousing, and supply distribution
functions, and related functions, of the Department of Defense.
-SOURCE-
(Aug. 10, 1956, ch. 1041, 70A Stat. 120; Pub. L. 100-180, div. A,
title XII, Sec. 1202, Dec. 4, 1987, 101 Stat. 1153; Pub. L.
103-355, title III, Sec. 3061(a), Oct. 13, 1994, 108 Stat. 3336.)
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Historical and Revision Notes
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Revised section Source (U.S. Code) Source (Statutes at
Large)
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2202 41:162. July 10, 1952, ch.
630, Sec. 638, 66
Stat. 537.
-------------------------------
The words ''an officer or agency * * * may * * * only'' are
substituted for the words ''no officer or agency * * * shall * * *
except''. The word ''of'', before the words ''the Department'', is
substituted for the words ''in or under''. The words ''under
regulations prescribed'' are substituted for the words ''in
accordance with regulations issued''. The words ''after the
effective date of this section'' and 41:162(b) are omitted as
executed. The words ''or equipment'' are omitted as covered by the
definition of ''supplies'' in section 101(26) of this title.
AMENDMENTS
1994 - Pub. L. 103-355 amended heading and text generally. Prior
to amendment, text read as follows:
''(a) Notwithstanding any other provision of law, an officer or
agency of the Department of Defense may obligate funds for
procuring, producing, warehousing, or distributing supplies, or for
related functions of supply management, only under regulations
prescribed by the Secretary of Defense. The purpose of this section
is to achieve the efficient, economical, and practical operation of
an integrated supply system to meet the needs of the military
departments without duplicate or overlapping operations or
functions.
''(b) Except as otherwise provided by law, the availability for
obligation of funds appropriated for any program, project, or
activity of the Department of Defense expires at the end of the
three-year period beginning on the date that such funds initially
become available for obligation unless before the end of such
period the Secretary of Defense enters into a contract for such
program, project, or activity.''
1987 - Pub. L. 100-180 designated existing provisions as subsec.
(a) and added subsec. (b).
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.
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10 USC Sec. 2203 01/06/03
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TITLE 10 - ARMED FORCES
Subtitle A - General Military Law
PART IV - SERVICE, SUPPLY, AND PROCUREMENT
CHAPTER 131 - PLANNING AND COORDINATION
-HEAD-
Sec. 2203. Budget estimates
-STATUTE-
To account for, and report, the cost of performance of readily
identifiable functional programs and activities, with segregation
of operating and capital programs, budget estimates of the
Department of Defense shall be prepared, presented, and justified,
where practicable, and authorized programs shall be administered,
in such form and manner as the Secretary of Defense, subject to the
authority and direction of the President, may prescribe. As far as
practicable, budget estimates and authorized programs of the
military departments shall be uniform and in readily comparable
form. The budget for the Department of Defense submitted to
Congress for each fiscal year shall include data projecting the
effect of the appropriations requested for materiel readiness
requirements. The Secretary of Defense shall provide that the
budget justification documents for such budget include information
on the number of employees of contractors estimated to be working
on contracts of the Department of Defense during the fiscal year
for which the budget is submitted. Such information shall be set
forth in terms of employee-years or such other measure as will be
uniform and readily comparable with civilian personnel of the
Department of Defense.
-SOURCE-
(Added Pub. L. 87-651, title II, Sec. 207(a), Sept. 7, 1962, 76
Stat. 520; amended Pub. L. 97-295, Sec. 1(21), Oct. 12, 1982, 96
Stat. 1290; Pub. L. 99-661, div. A, title III, Sec. 311, Nov. 14,
1986, 100 Stat. 3851.)
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Historical and Revision Notes
1956 Act
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Revised section Source (U.S. Code) Source (Statutes at
Large)
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2203 5:172b. July 26, 1947, ch.
343, Sec. 403;
added Aug. 10,
1949, ch. 412, Sec.
11 (5th and 6th
pars.), 63 Stat.
586.
-------------------------------
The word ''prescribe'' is substituted for the word ''determine''.
5 U.S.C. 172b(b) is omitted as executed.
1982 Act
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Revised section Source (U.S. Code) Source (Statutes at
Large)
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2203 (last sentence) 10:2203 (note). July 30, 1977, Pub.
L. 95-79, Sec. 812
(last sentence), 91
Stat. 336.
-------------------------------
The words ''for fiscal year 1979'' are omitted as executed. The
words ''for each fiscal year'' are substituted for ''subsequent
fiscal years'' for consistency.
AMENDMENTS
1986 - Pub. L. 99-661 inserted provisions that budget
justification documents include information on number of employees
estimated to be working during the fiscal year, such information to
be set forth in terms of employee-years or other measure as is
uniform and comparable with civilian personnel of the Department of
Defense.
1982 - Pub. L. 97-295 inserted provision requiring that the
budget for the Department of Defense submitted annually to Congress
include data projecting the effect of the appropriations requested
for materiel readiness requirements.
PRESIDENTIAL RECOMMENDATIONS RESPECTING MODIFICATIONS IN CRUISE
MISSILE PROGRAM
Pub. L. 95-184, title II, Sec. 203, Nov. 15, 1977, 91 Stat. 1382,
provided that in authorizing funds under that Act (Pub. L. 95-184),
Congress was asserting its readiness to consider, in accordance
with the processes set forth in the Congressional Budget and
Impoundment Control Act of 1974 (2 U.S.C. 621 et seq.) and the
Budget and Accounting Act, 1921 (31 U.S.C. 1101 et seq.), such
modifications in the United States cruise missile programs as the
President might recommend to facilitate either negotiation or
agreement in arms limitation or reduction talks.
REPORT TO CONGRESSIONAL COMMITTEES ON MATERIAL READINESS
REQUIREMENTS FOR ARMED FORCES
Pub. L. 95-79, title VIII, Sec. 812, July 30, 1977, 91 Stat. 336,
as amended by Pub. L. 97-295, Sec. 6(b), Oct. 12, 1982, 96 Stat.
1314, directed Secretary of Defense to submit to Congress, not
later than February 15, 1978, a report setting forth quantifiable
and measurable material readiness requirements for the Armed
Forces, including the Reserve components thereof, monthly readiness
status of the Armed Forces, including the reserve components
thereof, during fiscal year 1977, and any changes in such
requirements and status projected for fiscal years 1978 and 1979
and in the five-year defense program, and to inform Congress of any
subsequent changes in the aforementioned materiel readiness
requirements and the reasons for such changes.
MODIFICATIONS IN UNITED STATES STRATEGIC ARMS PROGRAMS ON
RECOMMENDATION OF PRESIDENT
Pub. L. 95-79, title VIII, Sec. 813, July 30, 1977, 91 Stat. 337,
provided that in authorizing procurement under section 101 of that
Act and research and development under section 201 of that Act,
Congress was asserting its readiness to consider, in accordance
with the processes set forth in the Congressional Budget and
Impoundment Control Act of 1974 (2 U.S.C. 621 et seq.) and the
Budget and Accounting Act, 1921 (31 U.S.C. 1101 et seq.), such
modifications in United States strategic arms programs as the
President might recommend to facilitate either negotiation or
agreement in the Strategic Arms Limitation Talks.
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10 USC Sec. 2204 01/06/03
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TITLE 10 - ARMED FORCES
Subtitle A - General Military Law
PART IV - SERVICE, SUPPLY, AND PROCUREMENT
CHAPTER 131 - PLANNING AND COORDINATION
-HEAD-
Sec. 2204. Obligation of appropriations
-STATUTE-
To prevent overdrafts and deficiencies in the fiscal year for
which appropriations are made, appropriations made to the
Department of Defense or to a military department, and
reimbursements thereto, are available for obligation and
expenditure only under scheduled rates of obligation, or changes
thereto, that have been approved by the Secretary of Defense. This
section does not prohibit the Department of Defense from incurring
a deficiency that it has been authorized by law to incur.
-SOURCE-
(Added Pub. L. 87-651, title II, Sec. 207(a), Sept. 7, 1962, 76
Stat. 520.)
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Historical and Revision Notes
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Revised section Source (U.S. Code) Source (Statutes at
Large)
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2204 5:172c. July 26, 1947, ch.
343, Sec. 404;
added Aug. 10,
1949, ch. 412, Sec.
11 (7th par.), 63
Stat. 587.
-------------------------------
The words ''on and after the beginning of the next fiscal year
following August 10, 1949,'' are omitted as executed. The last
sentence is substituted for the proviso in 5 U.S.C. 172c.
-SECREF-
SECTION REFERRED TO IN OTHER SECTIONS
This section is referred to in section 2384a of this title.
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10 USC Sec. 2205 01/06/03
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TITLE 10 - ARMED FORCES
Subtitle A - General Military Law
PART IV - SERVICE, SUPPLY, AND PROCUREMENT
CHAPTER 131 - PLANNING AND COORDINATION
-HEAD-
Sec. 2205. Reimbursements
-STATUTE-
(a) Availability of Reimbursements. - Reimbursements made to
appropriations of the Department of Defense or a department or
agency thereof under sections 1535 and 1536 of title 31, or other
amounts paid by or on behalf of a department or agency of the
Department of Defense to another department or agency of the
Department of Defense, or by or on behalf of personnel of any
department or organization, for services rendered or supplies
furnished, may be credited to authorized accounts. Funds so
credited are available for obligation for the same period as the
funds in the account so credited. Such an account shall be
accounted for as one fund on the books of the Department of the
Treasury.
(b) Fixed Rate for Reimbursement for Certain Services. - The
Secretary of Defense and the Secretaries of the military
departments may charge a fixed rate for reimbursement of the costs
of providing planning, supervision, administrative, or overhead
services incident to any construction, maintenance, or repair
project to real property or for providing facility services,
irrespective of the appropriation financing the project or facility
services.
-SOURCE-
(Added Pub. L. 87-651, title II, Sec. 207(a), Sept. 7, 1962, 76
Stat. 520; amended Pub. L. 96-513, title V, Sec. 511(71), Dec. 12,
1980, 94 Stat. 2926; Pub. L. 97-258, Sec. 3(b)(4), Sept. 13, 1982,
96 Stat. 1063; Pub. L. 103-337, div. B, title XXVIII, Sec.
2804(a), (b)(1), Oct. 5, 1994, 108 Stat. 3053.)
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Historical and Revision Notes
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Revised section Source (U.S. Code) Source (Statutes at
Large)
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2205 5:172g. July 26, 1947, ch.
343, Sec. 408;
added Aug. 10,
1949, ch. 412, Sec.
11 (23d par.), 63
Stat. 590.
-------------------------------
5 U.S.C. 172g is restated to reflect more clearly its purpose to
authorize the Department of Defense to operate as an integrated
department by permitting supplies to be furnished and services to
be rendered within and among agencies of the Department of Defense
and provide that reimbursements therefor be credited to authorized
accounts and be available for the same purpose and period as the
accounts so credited. (See Senate Report No. 366, 81st Congress,
pp. 23, 24.)
AMENDMENTS
1994 - Pub. L. 103-337 substituted ''Reimbursements'' for
''Availability of reimbursements'' as section catchline, designated
existing provisions as subsec. (a) and inserted subsec. heading,
and added subsec. (b).
1982 - Pub. L. 97-258 substituted ''sections 1535 and 1536 of
title 31'' for ''the Act of March 4, 1915 (31 U.S.C. 686)''.
1980 - Pub. L. 96-513 substituted ''the Act of March 4, 1915 (31
U.S.C. 686)'' for ''section 686 of title 31''.
EFFECTIVE DATE OF 1980 AMENDMENT
Amendment by Pub. L. 96-513 effective Dec. 12, 1980, see section
701(b)(3) of Pub. L. 96-513, set out as a note under section 101 of
this title.
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10 USC Sec. 2206 01/06/03
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TITLE 10 - ARMED FORCES
Subtitle A - General Military Law
PART IV - SERVICE, SUPPLY, AND PROCUREMENT
CHAPTER 131 - PLANNING AND COORDINATION
-HEAD-
Sec. 2206. Disbursement of funds of military department to cover
obligation of another agency of Department of Defense
-STATUTE-
As far as authorized by the Secretary of Defense, a disbursing
official of a military department may, out of available advances,
make disbursements to cover obligations in connection with any
function, power, or duty of another department or agency of the
Department of Defense and charge those disbursements on vouchers,
to the appropriate appropriation of that department or agency.
Disbursements so made shall be adjusted in settling the accounts of
the disbursing official.
-SOURCE-
(Added Pub. L. 87-651, title II, Sec. 207(a), Sept. 7, 1962, 76
Stat. 520; amended Pub. L. 97-258, Sec. 2(b)(1)(A), Sept. 13, 1982,
96 Stat. 1052.)
-MISC1-
Historical and Revision Notes
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Revised section Source (U.S. Code) Source (Statutes at
Large)
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2206 5:172h. 5:171n(a) July 26, 1947, ch.
(as applicable to 343, Sec. 409;
5:172h). added Aug. 10,
1949, ch. 412, Sec.
11 (24th par.), 63
Stat. 590.
July 26, 1947, ch.
343, Sec. 308(a)
(as applicable to
Sec. 409), 61 Stat.
509.
-------------------------------
The word ''agency'' is substituted for the word ''organization''.
The last sentence is substituted for the proviso in 5 U.S.C. 172h.
AMENDMENTS
1982 - Pub. L. 97-258 substituted ''official'' for ''officer''
wherever appearing.
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10 USC Sec. 2207 01/06/03
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TITLE 10 - ARMED FORCES
Subtitle A - General Military Law
PART IV - SERVICE, SUPPLY, AND PROCUREMENT
CHAPTER 131 - PLANNING AND COORDINATION
-HEAD-
Sec. 2207. Expenditure of appropriations: limitation
-STATUTE-
(a) Money appropriated to the Department of Defense may not be
spent under a contract other than a contract for personal services
unless that contract provides that -
(1) the United States may, by written notice to the contractor,
terminate the right of the contractor to proceed under the
contract if the Secretary concerned or his designee finds, after
notice and hearing, that the contractor, or his agent or other
representative, offered or gave any gratuity, such as
entertainment or a gift, to an officer, official, or employee of
the United States to obtain a contract or favorable treatment in
the awarding, amending, or making of determinations concerning
the performance, of a contract; and
(2) if a contract is terminated under clause (1), the United
States has the same remedies against the contractor that it would
have had if the contractor had breached the contract and, in
addition to other damages, is entitled to exemplary damages in an
amount at least three, but not more than 10, as determined by the
Secretary or his designee, times the cost incurred by the
contractor in giving gratuities to the officer, official, or
employee concerned.
The existence of facts upon which the Secretary makes findings
under clause (1) may be reviewed by any competent court.
(b) This section does not apply to a contract that is for an
amount not greater than the simplified acquisition threshold (as
defined in section 4(11) of the Office of Federal Procurement
Policy Act (41 U.S.C. 403(11))).
-SOURCE-
(Added Pub. L. 87-651, title II, Sec. 207(a), Sept. 7, 1962, 76
Stat. 520; amended Pub. L. 104-106, div. A, title VIII, Sec. 801,
Feb. 10, 1996, 110 Stat. 389.)
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Historical and Revision Notes
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Revised section Source (U.S. Code) Source (Statutes at
Large)
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2207 5:174d. June 30, 1954, ch.
432, Sec. 719, 68
Stat. 353.
-------------------------------
The following substitutions are made: ''spent'' for ''expended'';
''United States'' for ''Government''; ''if a contract is terminated
under clause (1)'' for ''that in the event any such contract is so
terminated''; and ''has . . . that it would have had if'' for
''shall be entitled . . . to pursue . . . as it could pursue in the
event of''. The word ''official'' is inserted for clarity. The
words ''entered into after June 30, 1954'' are omitted as executed.
AMENDMENTS
1996 - Pub. L. 104-106 designated existing provisions as subsec.
(a) and added subsec. (b).
-SECREF-
SECTION REFERRED TO IN OTHER SECTIONS
This section is referred to in section 2343 of this title.
-CITE-
10 USC Sec. 2208 01/06/03
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TITLE 10 - ARMED FORCES
Subtitle A - General Military Law
PART IV - SERVICE, SUPPLY, AND PROCUREMENT
CHAPTER 131 - PLANNING AND COORDINATION
-HEAD-
Sec. 2208. Working-capital funds
-STATUTE-
(a) To control and account more effectively for the cost of
programs and work performed in the Department of Defense, the
Secretary of Defense may require the establishment of
working-capital funds in the Department of Defense to -
(1) finance inventories of such supplies as he may designate;
and
(2) provide working capital for such industrial-type
activities, and such commercial-type activities that provide
common services within or among departments and agencies of the
Department of Defense, as he may designate.
(b) Upon the request of the Secretary of Defense, the Secretary
of the Treasury shall establish working-capital funds established
under this section on the books of the Department of the Treasury.
(c) Working-capital funds shall be charged, when appropriate,
with the cost of -
(1) supplies that are procured or otherwise acquired,
manufactured, repaired, issued, or used; and
(2) services or work performed;
including applicable administrative expenses, and be reimbursed
from available appropriations or otherwise credited for those
costs, including applicable administrative expenses and costs of
using equipment.
(d) The Secretary of Defense may provide capital for
working-capital funds by capitalizing inventories. In addition,
such amounts may be appropriated for the purpose of providing
capital for working-capital funds as have been specifically
authorized by law.
(e) Subject to the authority and direction of the Secretary of
Defense, the Secretary of each military department shall allocate
responsibility for its functions, powers, and duties to accomplish
the most economical and efficient organization and operation of the
activities, and the most economical and efficient use of the
inventories, for which working-capital funds are authorized by this
section.
(f) The requisitioning agency may not incur a cost for supplies
drawn from inventories, or services or work performed by
industrial-type or commercial-type activities for which
working-capital funds may be established under this section, that
is more than the amount of appropriations or other funds available
for those purposes.
(g) The appraised value of supplies returned to working-capital
funds by a department, activity, or agency may be charged to that
fund. The proceeds thereof shall be credited to current applicable
appropriations and are available for expenditure for the same
purposes that those appropriations are so available. Credits may
not be made to appropriations under this subsection as the result
of capitalization of inventories under subsection (d).
(h) The Secretary of Defense shall prescribe regulations
governing the operation of activities and use of inventories
authorized by this section. The regulations may, if the needs of
the Department of Defense require it and it is otherwise authorized
by law, authorize supplies to be sold to, or services to be
rendered or work performed for, persons outside the Department of
Defense. However, supplies available in inventories financed by
working capital funds established under this section may be sold to
contractors for use in performing contracts with the Department of
Defense. Working-capital funds shall be reimbursed for supplies so
sold, services so rendered, or work so performed by charges to
applicable appropriations or payments received in cash.
(i) For provisions relating to sales outside the Department of
Defense of manufactured articles and services by a working-capital
funded Army industrial facility (including a Department of the Army
arsenal) that manufactures large caliber cannons, gun mounts,
recoil mechanisms, ammunition, munitions, or components thereof,
see section 4543 of this title.
(j)(1) The Secretary of a military department may authorize a
working capital funded industrial facility of that department to
manufacture or remanufacture articles and sell these articles, as
well as manufacturing, remanufacturing, and engineering services
provided by such facilities, to persons outside the Department of
Defense if -
(A) the person purchasing the article or service is fulfilling
a Department of Defense contract or a subcontract under a
Department of Defense contract, and the solicitation for the
contract or subcontract is open to competition between Department
of Defense activities and private firms; or
(B) the Secretary would advance the objectives set forth in
section 2474(b)(2) of this title by authorizing the facility to
do so.
(2) The Secretary of Defense may waive the conditions in
paragraph (1) in the case of a particular sale if the Secretary
determines that the waiver is necessary for reasons of national
security and notifies Congress regarding the reasons for the
waiver.
(k)(1) Subject to paragraph (2), a contract for the procurement
of a capital asset financed by a working-capital fund may be
awarded in advance of the availability of funds in the
working-capital fund for the procurement.
(2) Paragraph (1) applies to any of the following capital assets
that have a development or acquisition cost of not less than
$100,000:
(A) An unspecified minor military construction project under
section 2805(c)(1) of this title.
(B) Automatic data processing equipment or software.
(C) Any other equipment.
(D) Any other capital improvement.
(l)(1) An advance billing of a customer of a working-capital fund
may be made if the Secretary of the military department concerned
submits to Congress written notification of the advance billing
within 30 days after the end of the month in which the advanced
billing was made. The notification shall include the following:
(A) The reasons for the advance billing.
(B) An analysis of the effects of the advance billing on
military readiness.
(C) An analysis of the effects of the advance billing on the
customer.
(2) The Secretary of Defense may waive the notification
requirements of paragraph (1) -
(A) during a period of war or national emergency; or
(B) to the extent that the Secretary determines necessary to
support a contingency operation.
(3) The total amount of the advance billings rendered or imposed
for all working-capital funds of the Department of Defense in a
fiscal year may not exceed $1,000,000,000.
(4) In this subsection:
(A) The term ''advance billing'', with respect to a
working-capital fund, means a billing of a customer by the fund,
or a requirement for a customer to reimburse or otherwise credit
the fund, for the cost of goods or services provided (or for
other expenses incurred) on behalf of the customer that is
rendered or imposed before the customer receives the goods or
before the services have been performed.
(B) The term ''customer'' means a requisitioning component or
agency.
(m) Capital Asset Subaccounts. - Amounts charged for depreciation
of capital assets shall be credited to a separate capital asset
subaccount established within a working-capital fund.
(n) Separate Accounting, Reporting, and Auditing of Funds and
Activities. - The Secretary of Defense, with respect to the
working-capital funds of each Defense Agency, and the Secretary of
each military department, with respect to the working-capital funds
of the military department, shall provide for separate accounting,
reporting, and auditing of funds and activities managed through the
working-capital funds.
(o) Charges for Goods and Services Provided Through the Fund. -
(1) Charges for goods and services provided for an activity through
a working-capital fund shall include the following:
(A) Amounts necessary to recover the full costs of the goods
and services provided for that activity.
(B) Amounts for depreciation of capital assets, set in
accordance with generally accepted accounting principles.
(2) Charges for goods and services provided through a
working-capital fund may not include the following:
(A) Amounts necessary to recover the costs of a military
construction project (as defined in section 2801(b) of this
title), other than a minor construction project financed by the
fund pursuant to section 2805(c)(1) of this title.
(B) Amounts necessary to cover costs incurred in connection
with the closure or realignment of a military installation.
(C) Amounts necessary to recover the costs of functions
designated by the Secretary of Defense as mission critical, such
as ammunition handling safety, and amounts for ancillary tasks
not directly related to the mission of the function or activity
managed through the fund.
(p) Procedures For Accumulation of Funds. - The Secretary of
Defense, with respect to each working-capital fund of a Defense
Agency, and the Secretary of a military department, with respect to
each working-capital fund of the military department, shall
establish billing procedures to ensure that the balance in that
working-capital fund does not exceed the amount necessary to
provide for the working-capital requirements of that fund, as
determined by the Secretary.
(q) Annual Reports and Budget. - The Secretary of Defense, with
respect to each working-capital fund of a Defense Agency, and the
Secretary of each military department, with respect to each
working-capital fund of the military department, shall annually
submit to Congress, at the same time that the President submits the
budget under section 1105 of title 31, the following:
(1) A detailed report that contains a statement of all receipts
and disbursements of the fund (including such a statement for
each subaccount of the fund) for the fiscal year ending in the
year preceding the year in which the budget is submitted.
(2) A detailed proposed budget for the operation of the fund
for the fiscal year for which the budget is submitted.
(3) A comparison of the amounts actually expended for the
operation of the fund for the fiscal year referred to in
paragraph (1) with the amount proposed for the operation of the
fund for that fiscal year in the President's budget.
(4) A report on the capital asset subaccount of the fund that
contains the following information:
(A) The opening balance of the subaccount as of the beginning
of the fiscal year in which the report is submitted.
(B) The estimated amounts to be credited to the subaccount in
the fiscal year in which the report is submitted.
(C) The estimated amounts of outlays to be paid out of the
subaccount in the fiscal year in which the report is submitted.
(D) The estimated balance of the subaccount at the end of the
fiscal year in which the report is submitted.
(E) A statement of how much of the estimated balance at the
end of the fiscal year in which the report is submitted will be
needed to pay outlays in the immediately following fiscal year
that are in excess of the amount to be credited to the
subaccount in the immediately following fiscal year.
-SOURCE-
(Added Pub. L. 87-651, title II, Sec. 207(a), Sept. 7, 1962, 76
Stat. 521; amended Pub. L. 97-295, Sec. 1(22), Oct. 12, 1982, 96
Stat. 1290; Pub. L. 98-94, title XII, Sec. 1204(a), Sept. 24, 1983,
97 Stat. 683; Pub. L. 98-525, title III, Sec. 305, Oct. 19, 1984,
98 Stat. 2513; Pub. L. 100-26, Sec. 7(d)(2), Apr. 21, 1987, 101
Stat. 280; Pub. L. 101-510, div. A, title VIII, Sec. 801, title
XIII, Sec. 1301(6), Nov. 5, 1990, 104 Stat. 1588, 1668; Pub. L.
102-172, title VIII, Sec. 8137, Nov. 26, 1991, 105 Stat. 1212; Pub.
L. 102-484, div. A, title III, Sec. 374, Oct. 23, 1992, 106 Stat.
2385; Pub. L. 103-160, div. A, title I, Sec. 158(b), Nov. 30,
1993, 107 Stat. 1582; Pub. L. 105-85, div. A, title X, Sec.
1011(a), (b), Nov. 18, 1997, 111 Stat. 1873; Pub. L. 105-261, div.
A, title X, Sec. 1007(e)(1), 1008(a), Oct. 17, 1998, 112 Stat.
2115; Pub. L. 105-262, title VIII, Sec. 8146(d)(1), Oct. 17, 1998,
112 Stat. 2340; Pub. L. 106-65, div. A, title III, Sec. 331(a)(1),
332, title X, Sec. 1066(a)(16), Oct. 5, 1999, 113 Stat. 566, 567,
771; Pub. L. 106-398, Sec. 1 ((div. A), title III, Sec. 341(f)),
Oct. 30, 2000, 114 Stat. 1654, 1654A-64.)
-MISC1-
Historical and Revision Notes
1956 Act
---------------------------------------------------------------------
Revised section Source (U.S. Code) Source (Statutes at
Large)
---------------------------------------------------------------------
2208(a) 2208(b) 5:172d(a). July 26, 1947, ch.
2208(c) 2208(d) 5:172d(b). 343, Sec. 405;
5:172d(c) (less 2d added Aug. 10,
sentence). 1949, ch. 412, Sec.
5:172d(d). 11 (8th through
15th pars.), 63
Stat. 587.
2208(e) 5:172d(e)
2208(f) 5:172d(f).
2208(g) 5:172d(h).
2208(h) 5:172d(g).
2208(i) 5:172d(c) (2d
sentence).
-------------------------------
In subsection (a)(1), (c)(1), (f), (g), and (h), the words
''stores, . . . materials, and equipment'' are omitted as covered
by the word ''supplies'', as defined in section 101(26) of title
10.
In subsection (c), the word ''used'' is substituted for the word
''consumed''. The words ''and costs of using equipment'' are
inserted to reflect an opinion of the Assistant General Counsel
(Fiscal Matters), Department of Defense, February 2, 1960.
In subsection (d), the first sentence (less 1st 18 words) of 5
U.S.C. 172d(d) is omitted as executed.
In subsection (h), the following substitutions are made:
''prescribe'' for ''issue''; and ''persons'' for ''purchasers or
users''. The word ''shall'' is substituted for the words ''is
authorized to'' in the first sentence and for the word ''may'' in
the last sentence to reflect the opinion of the Assistant General
Counsel (Fiscal Matters), October 2, 1959, that the source law
requires the action in question.
1982 Act
---------------------------------------------------------------------
Revised section Source (U.S. Code) Source (Statutes at
Large)
---------------------------------------------------------------------
2208(h) (3d 10:2208 (note). Dec. 21, 1979, Pub.
sentence) L. 96-154, Sec.
767, 93 Stat. 1163.
-------------------------------
The word ''hereafter'' is omitted as executed.
PRIOR PROVISIONS
Provisions similar to those in subsecs. (m) to (q) of this
section were contained in section 2216a of this title prior to
repeal by Pub. L. 105-261, Sec. 1008(b).
AMENDMENTS
2000 - Subsec. (j)(1). Pub. L. 106-398 substituted ''contract,
and the solicitation'' for ''contract; and'' at end of subpar. (A)
and all that follows through ''(B) the solicitation'', substituted
''; or'' for period after ''private firms'', and added a new
subpar. (B).
1999 - Subsec. (j). Pub. L. 106-65, Sec. 331(a)(1), 332,
designated existing provisions as par. (1), redesignated former
pars. (1) and (2) as subpars. (A) and (B), respectively,
substituted '', remanufacturing, and engineering'' for ''or
remanufacturing'' in introductory provisions, inserted ''or a
subcontract under a Department of Defense contract'' before the
semicolon in subpar. (A), substituted ''solicitation for the
contract or subcontract'' for ''Department of Defense solicitation
for such contract'' in subpar. (B), and added par. (2).
Subsec. (l)(2)(A). Pub. L. 106-65, Sec. 1066(a)(16), inserted
''of'' after ''during a period''.
1998 - Subsec. (l)(3), (4). Pub. L. 105-261, Sec. 1007(e)(1), and
Pub. L. 105-262 amended subsec. (l) identically, adding par. (3)
and redesignating former par. (3) as (4).
Subsecs. (m) to (q). Pub. L. 105-261, Sec. 1008(a), added
subsecs. (m) to (q).
1997 - Subsec. (k). Pub. L. 105-85, Sec. 1011(a), added subsec.
(k) and struck out former subsec. (k) which read as follows: ''The
Secretary of Defense shall provide that of the total amount of
payments received in a fiscal year by funds established under this
section for industrial-type activities, not less than 3 percent
during fiscal year 1985, not less than 4 percent during fiscal year
1986, and not less than 5 percent during fiscal year 1987 shall be
used for the acquisition of capital equipment for such
activities.''
Subsec. (l). Pub. L. 105-85, Sec. 1011(b), added subsec. (l).
1993 - Subsec. (i). Pub. L. 103-160 amended subsec. (i)
generally. Prior to amendment, subsec. (i) required that
regulations under subsec. (h) authorize working-capital funded Army
industrial facilities to sell manufactured articles and services to
persons outside the Department of Defense in specified cases.
1992 - Subsec. (j). Pub. L. 102-484 substituted ''The Secretary
of a military department may authorize a working capital funded
industrial facility of that department'' for ''The Secretary of the
Army may authorize a working capital funded Army industrial
facility''.
1991 - Subsecs. (j), (k). Pub. L. 102-172 added subsec. (j) and
redesignated former subsec. (j) as (k).
1990 - Subsec. (i)(1). Pub. L. 101-510, Sec. 801, added par. (1),
redesignated par. (3) as (2), and struck out former pars. (1) and
(2) which read as follows:
''(1) Regulations under subsection (h) may authorize an article
manufactured by a working-capital funded Department of the Army
arsenal that manufactures large caliber cannons, gun mounts, or
recoil mechanisms to be sold to a person outside the Department of
Defense if -
''(A) the article is sold to a United States manufacturer,
assembler, or developer (i) for use in developing new products,
or (ii) for incorporation into items to be sold to, or to be used
in a contract with, an agency of the United States or a friendly
foreign government;
''(B) the purchaser is determined by the Department of Defense
to be qualified to carry out the proposed work involving the
article to be purchased;
''(C) the article is not readily available from a commercial
source in the United States; and
''(D) the sale is to be made on a basis that does not interfere
with performance of work by the arsenal for the Department of
Defense or for a contractor of the Department of Defense.
''(2) Services related to an article sold under this subsection
may also be sold to the purchaser if the services are to be
performed in the United States for the purchaser.''
Subsec. (k). Pub. L. 101-510, Sec. 1301(6), struck out subsec.
(k) which read as follows: ''Reports annually shall be made to the
President and to Congress on the condition and operation of
working-capital funds established under this section.''
1987 - Subsec. (i)(3). Pub. L. 100-26 inserted ''(22 U.S.C.
2778)'' after ''Arms Export Control Act''.
1984 - Subsecs. (i) to (k). Pub. L. 98-525 added subsecs. (i) and
(j) and redesignated former subsec. (i) as (k).
1983 - Subsec. (d). Pub. L. 98-94 substituted ''In addition, such
amounts may be appropriated for the purpose of providing capital
for working-capital funds as have been specifically authorized by
law'' for ''If this method does not, in the determination of the
Secretary of Defense, provide adequate amounts of working capital,
such amounts as may be necessary may be appropriated for that
purpose''.
1982 - Subsec. (h). Pub. L. 97-295 inserted provision that
supplies available in inventories financed by working capital funds
established under this section may be sold to contractors for use
in performing contracts with the Department of Defense.
EFFECTIVE DATE OF 1998 AMENDMENT
Pub. L. 105-261, div. A, title X, Sec. 1007(e)(2), Oct. 17,
1998, 112 Stat. 2115, and Pub. L. 105-262, title VIII, Sec.
8146(d)(2), Oct. 17, 1998, 112 Stat. 2340, provided that: ''Section
2208(l)(3) of such title, as added by paragraph (1), applies to
fiscal years after fiscal year 1999.''
EFFECTIVE DATE OF 1983 AMENDMENT
Section 1204(b) of Pub. L. 98-94 provided that: ''The amendment
made by subsection (a) (amending this section) shall apply only
with respect to appropriations for fiscal years beginning after
September 30, 1984.''
OVERSIGHT OF DEFENSE BUSINESS OPERATIONS FUND
Pub. L. 103-337, div. A, title III, Sec. 311(b)-(e), Oct. 5,
1994, 108 Stat. 2708, which related to purchase from other sources,
limitation on inclusion of certain costs in DBOF charges,
procedures for accumulation of funds, and annual reports and
budget, was repealed and restated in section 2216a(d)(2)(B), (f) to
(h)(3) of this title by Pub. L. 104-106, div. A, title III, Sec.
371(a)(1), (b)(1), Feb. 10, 1996, 110 Stat. 277-279.
Pub. L. 103-337, div. A, title III, Sec. 311(f), (g), Oct. 5,
1994, 108 Stat. 2709, required Secretary of Defense to submit to
congressional defense committees, not later than Feb. 1, 1995, a
report on progress made in implementing the Defense Business
Operations Fund Improvement Plan, dated September 1993, and
required Comptroller General to monitor and evaluate the Department
of Defense implementation of the Plan and to report to
congressional defense committees not later than Mar. 1, 1995.
CHARGES FOR GOODS AND SERVICES PROVIDED THROUGH DEFENSE BUSINESS
OPERATIONS FUND
Section 333(a), (b) of Pub. L. 103-160, which provided that
charges for goods and services provided through Defense Business
Operations Fund were to include amounts necessary to recover full
costs of development, implementation, operation, and maintenance of
systems supporting wholesale supply and maintenance activities of
Department of Defense and use of military personnel in provision of
goods and services, and were not to include amounts necessary to
recover costs of military construction project other than minor
construction project financed by Defense Business Operations Fund
pursuant to section 2805(c)(1) of this title, and which required
full cost of operation of Defense Finance Accounting Service to be
financed within Defense Business Operations Fund through charges
for goods and services provided through Fund, was repealed and
restated in section 2216a(d)(1)(A), (C), (2)(A) of this title by
Pub. L. 104-106, div. A, title III, Sec. 371(a)(1), (b)(2), Feb.
10, 1996, 110 Stat. 277-279.
CAPITAL ASSET SUBACCOUNT
Section 342 of Pub. L. 102-484, as amended by Pub. L. 103-160,
div. A, title III, Sec. 333(c), Nov. 30, 1993, 107 Stat. 1622,
which provided that charges for goods and services provided through
the Defense Business Operations Fund include amounts for
depreciation of capital assets which were to be credited to a
separate capital asset subaccount in the Fund, authorized Secretary
of Defense to award contracts for capital assets of the Fund in
advance of availability of funds in the subaccount, required
Secretary to submit annual reports to congressional defense
committees, authorized appropriations to the Fund for fiscal years
1993 and 1994, and defined terms, was repealed and restated in
section 2216a(d)(1)(B), (e), (h)(4), and (i) of this title by Pub.
L. 104-106, div. A, title III, Sec. 371(a)(1), (b)(3), Feb. 10,
1996, 110 Stat. 277-279.
LIMITATIONS ON USE OF DEFENSE BUSINESS OPERATIONS FUND
Pub. L. 102-190, div. A, title III, Sec. 316, Dec. 5, 1991, 105
Stat. 1338, as amended by Pub. L. 102-484, div. A, title III, Sec.
341, Oct. 23, 1992, 106 Stat. 2374; Pub. L. 103-160, div. A, title
III, Sec. 331, 332, Nov. 30, 1993, 107 Stat. 1620; Pub. L. 103-337,
div. A, title III, Sec. 311(a), Oct. 5, 1994, 108 Stat. 2708,
which authorized Secretary of Defense to manage performance of
certain working-capital funds established under this section, the
Defense Finance and Accounting Service, the Defense Industrial Plan
Equipment Center, the Defense Commissary Agency, the Defense
Technical Information Service, the Defense Reutilization and
Marketing Service, and certain activities funded through use of
working-capital fund established under this section, directed
Secretary to maintain separate accounting, reporting, and auditing
of such funds and activities, required Secretary to submit to
congressional defense committees, by not later than 30 days after
Nov. 30, 1993, a comprehensive management plan and, by not later
than Feb. 1, 1994, a progress report on plan's implementation, and
directed Comptroller General to monitor and evaluate the plan and
submit to congressional defense committees, not later than Mar. 1,
1994, a report, was repealed and restated in section 2216a(a)-(c)
of this title by Pub. L. 104-106, div. A, title III, Sec.
371(a)(1), (b)(4), Feb. 10, 1996, 110 Stat. 277, 279.
DEFENSE BUSINESS OPERATIONS FUND
Section 8121 of Pub. L. 102-172, which established on the books
of the Treasury a fund entitled the ''Defense Business Operations
Fund'' to be operated as a working capital fund under the
provisions of this section and to include certain existing
organizations including the Defense Finance and Accounting Service,
the Defense Commissary Agency, the Defense Technical Information
Center, the Defense Reutilization and Marketing Service, and the
Defense Industrial Plant Equipment Service, directed transfer of
assets and balances of those organizations to the Fund, provided
for budgeting and accounting of charges for supplies and services
provided by the Fund, and directed that capital asset charges
collected be credited to a subaccount of the Fund, was repealed by
Pub. L. 104-106, div. A, title III, Sec. 371(b)(5), Feb. 10, 1996,
110 Stat. 280.
SALE OF INVENTORIES FOR PERFORMANCE OF CONTRACTS WITH DEFENSE
DEPARTMENT
Pub. L. 96-154, title VII, Sec. 767, Dec. 21, 1979, 93 Stat.
1163, which had provided that supplies available in inventories
financed by working capital funds established pursuant to this
section could, on and after Dec. 21, 1979, be sold to contractors
for use in performing contracts with the Department of Defense, was
repealed and restated in subsec. (h) of this section by Pub. L.
97-295, Sec. 1(22), 6(b), Oct. 12, 1982, 96 Stat. 1290, 1315.
-SECREF-
SECTION REFERRED TO IN OTHER SECTIONS
This section is referred to in sections 129, 2210, 2350c, 4543,
4621, 7227, 7300, 7606, 9621 of this title; title 40 section 549.
-CITE-
10 USC Sec. 2209 01/06/03
-EXPCITE-
TITLE 10 - ARMED FORCES
Subtitle A - General Military Law
PART IV - SERVICE, SUPPLY, AND PROCUREMENT
CHAPTER 131 - PLANNING AND COORDINATION
-HEAD-
Sec. 2209. Management funds
-STATUTE-
(a) To conduct economically and efficiently the operations of the
Department of Defense that are financed by at least two
appropriations but whose costs cannot be immediately distributed
and charged to those appropriations, there is the Army Management
Fund, the Navy Management Fund, and the Air Force Management Fund,
each within its respective department and under the direction of
the Secretary of that department. Each such fund shall consist of
a corpus of $1,000,000 and such amounts as may be appropriated
thereto from time to time. An account for an operation that is to
be financed by such a fund may be established only with the
approval of the Secretary of Defense.
(b) Under such regulations as the Secretary of Defense may
prescribe, expenditures may be made from a management fund for
material (other than for stock), personal services, and services
under contract. However, obligation may not be incurred against
that fund if it is not chargeable to funds available under an
appropriation of the department concerned or funds of another
department or agency of the Department of Defense. The fund shall
be promptly reimbursed from those funds for expenditures made from
it.
(c) Notwithstanding any other provision of law, advances, by
check or warrant, or reimbursements, may be made from available
appropriations to a management fund on the basis of the estimated
cost of a project. As adequate data becomes available, the
estimated cost shall be revised and necessary adjustments made.
Final adjustment shall be made with the appropriate funds for the
fiscal year in which the advances or reimbursements are made.
Except as otherwise provided by law, amounts advanced to management
funds are available for obligation only during the fiscal year in
which they are advanced.
-SOURCE-
(Added Pub. L. 87-651, title II, Sec. 207(a), Sept. 7, 1962, 76
Stat. 522.)
-MISC1-
Historical and Revision Notes
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Revised section Source (U.S. Code) Source (Statutes at
Large)
---------------------------------------------------------------------
2209(a) 2209(b) 5:172e(a), (b). July 3, 1942, ch.
2209(c) 5:172e(c) (last 484; restated Aug.
sentence). 10, 1949, ch. 412,
5:172e(c) (less Sec. 11 (16th
last sentence). through 19th
5:172e(d). pars.), 63 Stat.
588.
-------------------------------
In subsection (a), the second sentence is substituted for the
second sentence of 5 U.S.C. 172e(a) and the first sentence (less
last 21 words) of 5 U.S.C. 172e(b) which are omitted as
unnecessary.
In subsection (c), the 13th through 33d words of 5 U.S.C. 172e(d)
are omitted as surplusage.
-CITE-
10 USC Sec. 2210 01/06/03
-EXPCITE-
TITLE 10 - ARMED FORCES
Subtitle A - General Military Law
PART IV - SERVICE, SUPPLY, AND PROCUREMENT
CHAPTER 131 - PLANNING AND COORDINATION
-HEAD-
Sec. 2210. Proceeds of sales of supplies: credit to appropriations
-STATUTE-
(a)(1) A working-capital fund established pursuant to section
2208 of this title may retain so much of the proceeds of disposals
of property referred to in paragraph (2) as is necessary to recover
the expenses incurred by the fund in disposing of such property.
Proceeds from the sale or disposal of such property in excess of
amounts necessary to recover the expenses may be credited to
current applicable appropriations of the Department of Defense.
(2) Paragraph (1) applies to disposals of supplies, material,
equipment, and other personal property that were not financed by
stock funds established under section 2208 of this title.
(b) Obligations may, without regard to fiscal year limitations,
be incurred against anticipated reimbursements to stock funds in
such amounts and for such period as the Secretary of Defense, with
the approval of the President, may determine to be necessary to
maintain stock levels consistently with planned operations for the
next fiscal year.
-SOURCE-
(Added Pub. L. 87-651, title II, Sec. 207(a), Sept. 7, 1962, 76
Stat. 522; amended Pub. L. 96-513, title V, Sec. 511(72), Dec. 12,
1980, 94 Stat. 2926; Pub. L. 105-261, div. A, title X, Sec. 1009,
Oct. 17, 1998, 112 Stat. 2117.)
-MISC1-
Historical and Revision Notes
---------------------------------------------------------------------
Revised section Source (U.S. Code) Source (Statutes at
Large)
---------------------------------------------------------------------
2210(a) 2210(b) 5:172d-1 (less Aug. 1, 1953, ch.
proviso). 5:172d-1 305, Sec. 645, 67
(proviso). Stat. 357.
-------------------------------
In section (a), the words ''proceeds of the disposal'' are
substituted for the words ''moneys arising from the disposition''.
AMENDMENTS
1998 - Subsec. (a). Pub. L. 105-261 amended subsec. (a)
generally. Prior to amendment, subsec. (a) read as follows:
''Current applicable appropriations of the Department of Defense
may be credited with proceeds of the disposals of supplies that are
not financed by stock funds established under section 2208 of this
title.''
1980 - Subsec. (b). Pub. L. 96-513 substituted ''President'' for
''Director of the Bureau of the Budget''.
EFFECTIVE DATE OF 1980 AMENDMENT
Amendment by Pub. L. 96-513 effective Dec. 12, 1980, see section
701(b)(3) of Pub. L. 96-513, set out as a note under section 101 of
this title.
-CITE-
10 USC Sec. 2211 01/06/03
-EXPCITE-
TITLE 10 - ARMED FORCES
Subtitle A - General Military Law
PART IV - SERVICE, SUPPLY, AND PROCUREMENT
CHAPTER 131 - PLANNING AND COORDINATION
-HEAD-
Sec. 2211. Reimbursement for equipment, material, or services
furnished members of the United Nations
-STATUTE-
Amounts paid by members of the United Nations for equipment or
materials furnished, or services performed, in joint military
operations shall be credited to appropriate appropriations of the
Department of Defense in the manner authorized by section 632(d) of
the Foreign Assistance Act of 1961 (22 U.S.C. 2392(d)).
-SOURCE-
(Added Pub. L. 87-651, title II, Sec. 207(a), Sept. 7, 1962, 76
Stat. 522; amended Pub. L. 96-513, title V, Sec. 511(73), Dec. 12,
1980, 94 Stat. 2926.)
-MISC1-
Historical and Revision Notes
---------------------------------------------------------------------
Revised section Source (U.S. Code) Source (Statutes at
Large)
---------------------------------------------------------------------
2211 5:171m-1. Jan. 6, 1951, ch.
1213, Sec. 703, 64
Stat. 1235.
-------------------------------
The reference to section 2392(d) of title 22 is substituted for
the reference to section 1574(b) of that title to reflect section
542(b) of the Act of August 26, 1954, ch. 937 (68 Stat. 861) and
section 642(a)(2) and (b) of the Act of September 4, 1961, Pub. L.
87-195 (75 Stat. 460).
AMENDMENTS
1980 - Pub. L. 96-513 substituted ''section 632(d) of the Foreign
Assistance Act of 1961 (22 U.S.C. 2392(d))'' for ''section 2392(d)
of title 22''.
EFFECTIVE DATE OF 1980 AMENDMENT
Amendment by Pub. L. 96-513 effective Dec. 12, 1980, see section
701(b)(3) of Pub. L. 96-513, set out as a note under section 101 of
this title.
-CITE-
10 USC Sec. 2212 01/06/03
-EXPCITE-
TITLE 10 - ARMED FORCES
Subtitle A - General Military Law
PART IV - SERVICE, SUPPLY, AND PROCUREMENT
CHAPTER 131 - PLANNING AND COORDINATION
-HEAD-
Sec. 2212. Obligations for contract services: reporting in budget
object classes
-STATUTE-
(a) Limitation on Reporting in Miscellaneous Services Object
Class. - The Secretary of Defense shall ensure that, in reporting
to the Office of Management and Budget (pursuant to OMB Circular
A-11 (relating to preparation and submission of budget estimates))
obligations of the Department of Defense for any period of time for
contract services, no more than 15 percent of the total amount of
obligations so reported is reported in the miscellaneous services
object class.
(b) Definition of Reporting Categories for Advisory and
Assistance Services. - In carrying out section 1105(g) of title 31
for the Department of Defense (and in determining what services are
to be reported to the Office of Management and Budget in the
advisory and assistance services object class), the Secretary of
Defense shall apply to the terms used for the definition of
''advisory and assistance services'' in paragraph (2)(A) of that
section the following meanings (subject to the authorized
exemptions):
(1) Management and professional support services. - The term
''management and professional support services'' (used in clause
(i) of section 1105(g)(2)(A) of title 31) means services that
provide engineering or technical support, assistance, advice, or
training for the efficient and effective management and operation
of organizations, activities, or systems. Those services -
(A) are closely related to the basic responsibilities and
mission of the using organization; and
(B) include efforts that support or contribute to improved
organization or program management, logistics management,
project monitoring and reporting, data collection, budgeting,
accounting, auditing, and administrative or technical support
for conferences and training programs.
(2) Studies, analyses, and evaluations. - The term ''studies,
analyses, and evaluations'' (used in clause (ii) of section
1105(g)(2)(A) of title 31) means services that provide organized,
analytic assessments to understand or evaluate complex issues to
improve policy development, decisionmaking, management, or
administration and that result in documents containing data or
leading to conclusions or recommendations. Those services may
include databases, models, methodologies, and related software
created in support of a study, analysis, or evaluation.
(3) Engineering and technical services. - The term
''engineering and technical services'' (used in clause (iii) of
section 1105(g)(2)(A) of title 31) means services that take the
form of advice, assistance, training, or hands-on training
necessary to maintain and operate fielded weapon systems,
equipment, and components (including software when applicable) at
design or required levels of effectiveness.
(c) Proper Classification of Advisory and Assistance Services. -
Before the submission to the Office of Management and Budget of the
proposed Department of Defense budget for inclusion in the
President's budget for a fiscal year pursuant to section 1105 of
title 31, the Secretary of Defense, acting through the Under
Secretary of Defense (Comptroller), shall conduct a review of
Department of Defense services expected to be performed as contract
services during the fiscal year for which that budget is to be
submitted in order to ensure that those services that are advisory
and assistance services (as defined in accordance with subsection
(b)) are in fact properly classified, in accordance with that
subsection, in the advisory and assistance services object class.
(d) Report to Congress. - The Secretary shall submit to Congress
each year, not later than 30 days after the date on which the
budget for the next fiscal year is submitted pursuant to section
1105 of title 31, a report containing the information derived from
the review under subsection (c).
(e) Assessment by Comptroller General. - (1) The Comptroller
General shall conduct a review of the report of the Secretary of
Defense under subsection (d) each year and shall -
(A) assess the methodology used by the Secretary in obtaining
the information submitted to Congress in that report; and
(B) assess the information submitted to Congress in that
report.
(2) Not later than 120 days after the date on which the Secretary
submits to Congress the report required under subsection (d) for
any year, the Comptroller General shall submit to Congress the
Comptroller General's report containing the results of the review
for that year under paragraph (1).
(f) Definitions. - In this section:
(1) The term ''contract services'' means all services that are
reported to the Office of Management and Budget pursuant to OMB
Circular A-11 (relating to preparation and submission of budget
estimates) in budget object classes that are designated in the
Object Class 25 series.
(2) The term ''advisory and assistance services object class''
means those contract services constituting the budget object
class that is denominated ''Advisory and Assistance Service'' and
designated (as of October 17, 1998) as Object Class 25.1 (or any
similar object class established after October 17, 1998, for the
reporting of obligations for advisory and assistance contract
services).
(3) The term ''miscellaneous services object class'' means
those contract services constituting the budget object class that
is denominated ''Other Services (services not otherwise specified
in the 25 series)'' and designated (as of October 17, 1998) as
Object Class 25.2 (or any similar object class established after
October 17, 1998, for the reporting of obligations for
miscellaneous or unspecified contract services).
(4) The term ''authorized exemptions'' means those exemptions
authorized (as of October 17, 1998) under Department of Defense
Directive 4205.2, captioned ''Acquiring and Managing Contracted
Advisory and Assistance Services (CAAS)'' and issued by the Under
Secretary of Defense for Acquisition and Technology on February
10, 1992, such exemptions being set forth in Enclosure 3 to that
directive (captioned ''CAAS Exemptions'').
-SOURCE-
(Added Pub. L. 105-261, div. A, title IX, Sec. 911(a)(1), Oct. 17,
1998, 112 Stat. 2097; amended Pub. L. 106-65, div. A, title X,
Sec. 1066(a)(17), Oct. 5, 1999, 113 Stat. 771.)
-MISC1-
PRIOR PROVISIONS
A prior section 2212, added Pub. L. 100-370, Sec. 1(d)(2)(A),
July 19, 1988, 102 Stat. 842, directed Secretary of Defense to
maintain within each military department an accounting procedure to
aid in identification and control of expenditures for contracted
advisory and assistance services, prior to repeal by Pub. L.
103-355, title II, Sec. 2454(c)(1), Oct. 13, 1994, 108 Stat. 3326.
Another prior section 2212, added Pub. L. 95-356, title VIII,
Sec. 802(a)(1), Sept. 8, 1978, 92 Stat. 585; amended Pub. L.
97-258, Sec. 3(b)(5), Sept. 18, 1982, 96 Stat. 1063, related to
transmission of annual military construction authorization request,
prior to repeal by Pub. L. 97-214, Sec. 7(1), July 12, 1982, 96
Stat. 173, eff. Oct. 1, 1982, applicable to military construction
projects, and to construction and acquisition of military family
housing authorized before, on, or after such date. See section
2859 of this title.
AMENDMENTS
1999 - Subsec. (f)(2), (3). Pub. L. 106-65 substituted ''as of
October 17, 1998'' for ''as of the date of the enactment of this
section'' and ''after October 17, 1998,'' for ''after the date of
the enactment of this section''.
Subsec. (f)(4). Pub. L. 106-65, Sec. 1066(a)(17)(B), substituted
''as of October 17, 1998'' for ''as of the date of the enactment of
this section''.
-CHANGE-
CHANGE OF NAME
Reference to Under Secretary of Defense for Acquisition and
Technology deemed to refer to Under Secretary of Defense for
Acquisition, Technology, and Logistics, pursuant to section
911(a)(1) of Pub. L. 106-65, set out as a note under section 133 of
this title.
-MISC4-
TRANSITION
Pub. L. 105-261, div. A, title IX, Sec. 911(b), Oct. 17, 1998,
112 Stat. 2099, provided that: ''For the budget for fiscal year
2000, and the reporting of information to the Office of Management
and Budget in connection with the preparation of that budget,
section 2212 of title 10, United States Code, as added by
subsection (a), shall be applied by substituting '30 percent' in
subsection (a) for '15 percent'.''
-CITE-
10 USC Sec. 2213 01/06/03
-EXPCITE-
TITLE 10 - ARMED FORCES
Subtitle A - General Military Law
PART IV - SERVICE, SUPPLY, AND PROCUREMENT
CHAPTER 131 - PLANNING AND COORDINATION
-HEAD-
Sec. 2213. Limitation on acquisition of excess supplies
-STATUTE-
(a) Two-Year Supply. - The Secretary of Defense may not incur any
obligation against a stock fund of the Department of Defense for
the acquisition of any item of supply if that acquisition is likely
to result in an on-hand inventory (excluding war reserves) of that
item of supply in excess of two years of operating stocks.
(b) Exceptions. - The head of a procuring activity may authorize
the acquisition of an item of supply in excess of the limitation
contained in subsection (a) if that activity head determines in
writing -
(1) that the acquisition is necessary to achieve an economical
order quantity and will not result in an on-hand inventory
(excluding war reserves) in excess of three years of operating
stocks and that the need for the item is unlikely to decline
during the period for which the acquisition is made; or
(2) that the acquisition is necessary for purposes of
maintaining the industrial base or for other reasons of national
security.
-SOURCE-
(Added Pub. L. 102-190, div. A, title III, Sec. 317(a), Dec. 5,
1991, 105 Stat. 1338.)
-MISC1-
PRIOR PROVISIONS
A prior section 2213 was renumbered section 2350c of this title.
-CITE-
10 USC Sec. 2214 01/06/03
-EXPCITE-
TITLE 10 - ARMED FORCES
Subtitle A - General Military Law
PART IV - SERVICE, SUPPLY, AND PROCUREMENT
CHAPTER 131 - PLANNING AND COORDINATION
-HEAD-
Sec. 2214. Transfer of funds: procedure and limitations
-STATUTE-
(a) Procedure for Transfer of Funds. - Whenever authority is
provided in an appropriation Act to transfer amounts in working
capital funds or to transfer amounts provided in appropriation Acts
for military functions of the Department of Defense (other than
military construction) between such funds or appropriations (or any
subdivision thereof), amounts transferred under such authority
shall be merged with and be available for the same purposes and for
the same time period as the fund or appropriations to which
transferred.
(b) Limitations on Programs for Which Authority May Be Used. -
Such authority to transfer amounts -
(1) may not be used except to provide funds for a higher
priority item, based on unforeseen military requirements, than
the items for which the funds were originally appropriated; and
(2) may not be used if the item to which the funds would be
transferred is an item for which Congress has denied funds.
(c) Notice to Congress. - The Secretary of Defense shall promptly
notify the Congress of each transfer made under such authority to
transfer amounts.
(d) Limitations on Requests to Congress for Reprogrammings. -
Neither the Secretary of Defense nor the Secretary of a military
department may prepare or present to the Congress, or to any
committee of either House of the Congress, a request with respect
to a reprogramming of funds -
(1) unless the funds to be transferred are to be used for a
higher priority item, based on unforeseen military requirements,
than the item for which the funds were originally appropriated;
or
(2) if the request would be for authority to reprogram amounts
to an item for which the Congress has denied funds.
-SOURCE-
(Added Pub. L. 101-510, div. A, title XIV, Sec. 1482(c)(1), Nov.
5, 1990, 104 Stat. 1709.)
-MISC1-
EFFECTIVE DATE
Section effective Oct. 1, 1991, see section 1482(d) of Pub. L.
101-510, set out as an Effective Date of 1990 Amendment note under
section 119 of this title.
-SECREF-
SECTION REFERRED TO IN OTHER SECTIONS
This section is referred to in sections 2645, 9514 of this title.
-CITE-
10 USC Sec. 2215 01/06/03
-EXPCITE-
TITLE 10 - ARMED FORCES
Subtitle A - General Military Law
PART IV - SERVICE, SUPPLY, AND PROCUREMENT
CHAPTER 131 - PLANNING AND COORDINATION
-HEAD-
Sec. 2215. Transfer of funds to other departments and agencies:
limitation
-STATUTE-
(a) Certification Required. - Funds available for military
functions of the Department of Defense may not be made available to
any other department or agency of the Federal Government pursuant
to a provision of law enacted after November 29, 1989, unless, not
less than 30 days before such funds are made available to such
other department or agency, the Secretary of Defense submits to the
congressional committees specified in subsection (b) a
certification that making those funds available to such other
department or agency is in the national security interest of the
United States.
(b) Congressional Committees. - The committees referred to in
subsection (a) are -
(1) the Committee on Armed Services and the Committee on
Appropriations of the Senate; and
(2) the Committee on Armed Services and the Committee on
Appropriations of the House of Representatives.
-SOURCE-
(Added Pub. L. 103-160, div. A, title XI, Sec. 1106(a)(1), Nov.
30, 1993, 107 Stat. 1750; amended Pub. L. 104-106, div. A, title
XV, Sec. 1502(a)(14), Feb. 10, 1996, 110 Stat. 503; Pub. L. 106-65,
div. A, title X, Sec. 1067(1), Oct. 5, 1999, 113 Stat. 774.)
-MISC1-
PRIOR PROVISIONS
A prior section 2215, added Pub. L. 99-661, div. A, title XIII,
Sec. 1307(a)(1), Nov. 14, 1986, 100 Stat. 3980, related to reports
on unobligated balances, prior to repeal by Pub. L. 101-510, div.
A, title XIII, Sec. 1301(7), Nov. 5, 1990, 104 Stat. 1668.
Provisions similar to those in this section were contained in
Pub. L. 101-189, div. A, title XVI, Sec. 1604, Nov. 29, 1989, 103
Stat. 1598, which was set out as a note under section 1531 of Title
31, Money and Finance, prior to repeal by Pub. L. 103-160, Sec.
1106(b).
AMENDMENTS
1999 - Subsec. (b)(2). Pub. L. 106-65 substituted ''Committee on
Armed Services'' for ''Committee on National Security''.
1996 - Pub. L. 104-106 designated existing provisions as subsec.
(a), inserted heading, substituted ''to the congressional
committees specified in subsection (b)'' for ''to the Committees on
Armed Services and the Committees on Appropriations of the Senate
and House of Representatives'', and added subsec. (b).
-SECREF-
SECTION REFERRED TO IN OTHER SECTIONS
This section is referred to in sections 2645, 9514 of this title.
-CITE-
10 USC Sec. 2216 01/06/03
-EXPCITE-
TITLE 10 - ARMED FORCES
Subtitle A - General Military Law
PART IV - SERVICE, SUPPLY, AND PROCUREMENT
CHAPTER 131 - PLANNING AND COORDINATION
-HEAD-
Sec. 2216. Defense Modernization Account
-STATUTE-
(a) Establishment. - There is established in the Treasury an
account to be known as the ''Defense Modernization Account''.
(b) Transfers to Account. - (1)(A) Upon a determination by the
Secretary of a military department or the Secretary of Defense with
respect to Defense-wide appropriations accounts of the availability
and source of funds described in subparagraph (B), that Secretary
may transfer to the Defense Modernization Account during any fiscal
year any amount of funds available to the Secretary described in
that subparagraph. Such funds may be transferred to that account
only after the Secretary concerned notifies the congressional
defense committees in writing of the amount and source of the
proposed transfer.
(B) This subsection applies to the following funds available to
the Secretary concerned:
(i) Unexpired funds in appropriations accounts that are
available for procurement and that, as a result of economies,
efficiencies, and other savings achieved in carrying out a
particular procurement, are excess to the requirements of that
procurement.
(ii) Unexpired funds that are available during the final 30
days of a fiscal year for support of installations and facilities
and that, as a result of economies, efficiencies, and other
savings, are excess to the requirements for support of
installations and facilities.
(C) Any transfer under subparagraph (A) shall be made under
regulations prescribed by the Secretary of Defense.
(2) Funds referred to in paragraph (1) may not be transferred to
the Defense Modernization Account if -
(A) the funds are necessary for programs, projects, and
activities that, as determined by the Secretary, have a higher
priority than the purposes for which the funds would be available
if transferred to that account; or
(B) the balance of funds in the account, after transfer of
funds to the account, would exceed $1,000,000,000.
(3) Amounts credited to the Defense Modernization Account shall
remain available for transfer until the end of the third fiscal
year that follows the fiscal year in which the amounts are credited
to the account.
(4) The period of availability of funds for expenditure provided
for in sections 1551 and 1552 of title 31 may not be extended by
transfer into the Defense Modernization Account.
(c) Scope of Use of Funds. - Funds transferred to the Defense
Modernization Account from funds appropriated for a military
department, Defense Agency, or other element of the Department of
Defense shall be available in accordance with subsections (f) and
(g) only for transfer to funds available for that military
department, Defense Agency, or other element.
(d) Authorized Use of Funds. - Funds available from the Defense
Modernization Account pursuant to subsection (f) or (g) may be used
for the following purposes:
(1) For increasing, subject to subsection (e), the quantity of
items and services procured under a procurement program in order
to achieve a more efficient production or delivery rate.
(2) For research, development, test, and evaluation and for
procurement necessary for modernization of an existing system or
of a system being procured under an ongoing procurement program.
(e) Limitations. - (1) Funds in the Defense Modernization Account
may not be used to increase the quantity of an item or services
procured under a particular procurement program to the extent that
doing so would -
(A) result in procurement of a total quantity of items or
services in excess of -
(i) a specific limitation provided by law on the quantity of
the items or services that may be procured; or
(ii) the requirement for the items or services as approved by
the Joint Requirements Oversight Council and reported to
Congress by the Secretary of Defense; or
(B) result in an obligation or expenditure of funds in excess
of a specific limitation provided by law on the amount that may
be obligated or expended, respectively, for that procurement
program.
(2) Funds in the Defense Modernization Account may not be used
for a purpose or program for which Congress has not authorized
appropriations.
(3) Funds may not be transferred from the Defense Modernization
Account in any year for the purpose of -
(A) making an expenditure for which there is no corresponding
obligation; or
(B) making an expenditure that would satisfy an unliquidated or
unrecorded obligation arising in a prior fiscal year.
(f) Transfer of Funds. - (1) The Secretary of Defense may
transfer funds in the Defense Modernization Account to
appropriations available for purposes set forth in subsection (d).
(2) Funds in the Defense Modernization Account may not be
transferred under paragraph (1) until 30 days after the date on
which the Secretary concerned notifies the congressional defense
committees in writing of the amount and purpose of the proposed
transfer.
(3) The total amount of transfers from the Defense Modernization
Account during any fiscal year under this subsection may not exceed
$500,000,000.
(g) Availability of Funds by Appropriation. - In addition to
transfers under subsection (f), funds in the Defense Modernization
Account may be made available for purposes set forth in subsection
(d) in accordance with the provisions of appropriations Acts, but
only to the extent authorized in an Act other than an
appropriations Act.
(h) Secretary To Act Through Comptroller. - The Secretary of
Defense shall carry out this section through the Under Secretary of
Defense (Comptroller), who shall be authorized to implement this
section through the issuance of any necessary regulations,
policies, and procedures after consultation with the General
Counsel and Inspector General of the Department of Defense.
(i) Quarterly Reports. - (1) Not later than 15 days after the end
of each calendar quarter, the Secretary of Defense shall submit to
the congressional committees specified in paragraph (2) a report on
the Defense Modernization Account. Each such report shall set forth
the following:
(A) The amount and source of each credit to the account during
that quarter.
(B) The amount and purpose of each transfer from the account
during that quarter.
(C) The balance in the account at the end of the quarter and,
of such balance, the amount attributable to transfers to the
account from each Secretary concerned.
(2) The committees referred to in paragraph (1) are the
congressional defense committees and the Committee on Governmental
Affairs of the Senate and the Committee on Government Reform and
Oversight of the House of Representatives.
(j) Definitions. - In this section:
(1) The term ''Secretary concerned'' includes the Secretary of
Defense with respect to Defense-wide appropriations accounts.
(2) The term ''unexpired funds'' means funds appropriated for a
definite period that remain available for obligation.
(3) The term ''congressional defense committees'' means -
(A) the Committee on Armed Services and the Committee on
Appropriations of the Senate; and
(B) the Committee on Armed Services and the Committee on
Appropriations of the House of Representatives.
-SOURCE-
(Added Pub. L. 104-106, div. A, title IX, Sec. 912(a)(1), Feb. 10,
1996, 110 Stat. 407; amended Pub. L. 106-65, div. A, title X, Sec.
1067(1), Oct. 5, 1999, 113 Stat. 774.)
-COD-
CODIFICATION
Another section 2216 was renumbered section 2216a of this title
and subsequently repealed.
-MISC3-
PRIOR PROVISIONS
A prior section 2216, added Pub. L. 99-661, div. A, title XIII,
Sec. 1307(a)(1), Nov. 14, 1986, 100 Stat. 3980, related to annual
reports on budgeting for inflation, prior to repeal by Pub. L.
101-510, div. A, title XIII, Sec. 1301(8), Nov. 5, 1990, 104 Stat.
1668.
AMENDMENTS
1999 - Subsec. (j)(3)(B). Pub. L. 106-65 substituted ''Committee
on Armed Services'' for ''Committee on National Security''.
-CHANGE-
CHANGE OF NAME
Committee on Government Reform and Oversight of House of
Representatives changed to Committee on Government Reform of House
of Representatives by House Resolution No. 5, One Hundred Sixth
Congress, Jan. 6, 1999.
-MISC4-
EFFECTIVE DATE
Section 912(b) of Pub. L. 104-106 provided that: ''Section 2216
of title 10, United States Code (as added by subsection (a)), shall
apply only to funds appropriated for fiscal years after fiscal year
1995.''
EXPIRATION OF AUTHORITY AND ACCOUNT
Pub. L. 104-106, div. A, title IX, Sec. 912(c), Feb. 10, 1996,
110 Stat. 410, as amended by Pub. L. 107-314, div. A, title VIII,
Sec. 825(a)(1), Dec. 2, 2002, 116 Stat. 2615, provided that:
''(1) The authority under section 2216(b) of title 10, United
States Code (as added by subsection (a)), to transfer funds into
the Defense Modernization Account terminates at the close of
September 30, 2002.
''(2) Three years after the termination date specified in
paragraph (1), the Defense Modernization Account shall be closed
and any remaining balance in the account shall be canceled and
thereafter shall not be available for any purpose.''
GAO REVIEWS
Pub. L. 104-106, div. A, title IX, Sec. 912(d), Feb. 10, 1996,
110 Stat. 410, required Comptroller General of the United States to
conduct two reviews of the administration of the Defense
Modernization Account, prior to repeal by Pub. L. 107-314, div. A,
title VIII, Sec. 825(a)(2), Dec. 2, 2002, 116 Stat. 2615.
-CITE-
10 USC Sec. 2216a 01/06/03
-EXPCITE-
TITLE 10 - ARMED FORCES
Subtitle A - General Military Law
PART IV - SERVICE, SUPPLY, AND PROCUREMENT
CHAPTER 131 - PLANNING AND COORDINATION
-HEAD-
(Sec. 2216a. Repealed. Pub. L. 105-261, div. A, title X, Sec.
1008(b), Oct. 17, 1998, 112 Stat. 2117)
-MISC1-
Section, added Pub. L. 104-106, div. A, title III, Sec.
371(a)(1), Feb. 10, 1996, 110 Stat. 277, Sec. 2216; renumbered Sec.
2216a and amended Pub. L. 104-201, div. A, title III, Sec. 363(c),
364, title X, Sec. 1074(a)(10), Sept. 23, 1996, 110 Stat. 2493,
2494, 2659, related to Defense Business Operations Fund.
-CITE-
10 USC Sec. 2217 01/06/03
-EXPCITE-
TITLE 10 - ARMED FORCES
Subtitle A - General Military Law
PART IV - SERVICE, SUPPLY, AND PROCUREMENT
CHAPTER 131 - PLANNING AND COORDINATION
-HEAD-
Sec. 2217. Comparable budgeting for common procurement weapon
systems
-STATUTE-
(a) Matters To Be Included in Annual Defense Budgets. - In
preparing the defense budget for any fiscal year, the Secretary of
Defense shall -
(1) specifically identify each common procurement weapon system
included in the budget;
(2) take all feasible steps to minimize variations in
procurement unit costs for any such system as shown in the budget
requests of the different armed forces requesting procurement
funds for the system; and
(3) identify and justify in the budget all such variations in
procurement unit costs for common procurement weapon systems.
(b) Comptroller. - The Secretary shall carry out this section
through the Under Secretary of Defense (Comptroller).
(c) Definitions. - In this section:
(1) The term ''defense budget'' means the budget of the
Department of Defense included in the President's budget
submitted to Congress under section 1105 of title 31 for a fiscal
year.
(2) The term ''common procurement weapon system'' means a
weapon system for which two or more of the Army, Navy, Air Force,
and Marine Corps request procurement funds in a defense budget.
-SOURCE-
(Added Pub. L. 100-370, Sec. 1(d)(3)(A), July 19, 1988, 102 Stat.
843; amended Pub. L. 104-106, div. A, title XV, Sec. 1503(a)(20),
Feb. 10, 1996, 110 Stat. 512.)
-MISC1-
HISTORICAL AND REVISION NOTES
Section is based on Pub. L. 99-500, Sec. 101(c) (title X, Sec.
955), Oct. 18, 1986, 100 Stat. 1783-82, 1783-173, and Pub. L.
99-591, Sec. 101(c) (title X, Sec. 955), Oct. 30, 1986, 100 Stat.
3341-82, 3341-173; Pub. L. 99-661, div. A, title IX, formerly
title IV, Sec. 955, Nov. 14, 1986, 100 Stat. 3953, renumbered title
IX, Pub. L. 100-26, Sec. 3(5), Apr. 21, 1987, 101 Stat. 273.
AMENDMENTS
1996 - Subsec. (b). Pub. L. 104-106 substituted ''Under Secretary
of Defense (Comptroller)'' for ''Comptroller of the Department of
Defense''.
-CITE-
10 USC Sec. 2218 01/06/03
-EXPCITE-
TITLE 10 - ARMED FORCES
Subtitle A - General Military Law
PART IV - SERVICE, SUPPLY, AND PROCUREMENT
CHAPTER 131 - PLANNING AND COORDINATION
-HEAD-
Sec. 2218. National Defense Sealift Fund
-STATUTE-
(a) Establishment. - There is established in the Treasury of the
United States a fund to be known as the ''National Defense Sealift
Fund''.
(b) Administration of Fund. - The Secretary of Defense shall
administer the Fund consistent with the provisions of this section.
(c) Fund Purposes. - (1) Funds in the National Defense Sealift
Fund shall be available for obligation and expenditure only for the
following purposes:
(A) Construction (including design of vessels), purchase,
alteration, and conversion of Department of Defense sealift
vessels.
(B) Operation, maintenance, and lease or charter of Department
of Defense vessels for national defense purposes.
(C) Installation and maintenance of defense features for
national defense purposes on privately owned and operated vessels
that are constructed in the United States and documented under
the laws of the United States.
(D) Research and development relating to national defense
sealift.
(E) Expenses for maintaining the National Defense Reserve Fleet
under section 11 of the Merchant Ship Sales Act of 1946 (50
U.S.C. App. 1744), and for the costs of acquisition of vessels
for, and alteration and conversion of vessels in (or to be placed
in), the fleet, but only for vessels built in United States
shipyards.
(2) Funds in the National Defense Sealift Fund may be obligated
or expended only in amounts authorized by law.
(3) Funds obligated and expended for a purpose set forth in
subparagraph (B) or (D) of paragraph (1) may be derived only from
funds deposited in the National Defense Sealift Fund pursuant to
subsection (d)(1).
(d) Deposits. - There shall be deposited in the Fund the
following:
(1) All funds appropriated to the Department of Defense for -
(A) construction (including design of vessels), purchase,
alteration, and conversion of national defense sealift vessels;
(B) operations, maintenance, and lease or charter of national
defense sealift vessels;
(C) installation and maintenance of defense features for
national defense purposes on privately owned and operated
vessels; and
(D) research and development relating to national defense
sealift.
(2) All receipts from the disposition of national defense
sealift vessels, excluding receipts from the sale, exchange, or
scrapping of National Defense Reserve Fleet vessels under
sections 508 and 510 of the Merchant Marine Act of 1936 (46
U.S.C. App. 1158, 1160), shall be deposited in the Fund.
(3) All receipts from the charter of vessels under section
1424(c) of the National Defense Authorization Act for Fiscal Year
1991 (10 U.S.C. 7291 note).
(e) Acceptance of Support. - (1) The Secretary of Defense may
accept from any person, foreign government, or international
organization any contribution of money, personal property
(excluding vessels), or assistance in kind for support of the
sealift functions of the Department of Defense.
(2) Any contribution of property accepted under paragraph (1) may
be retained and used by the Department of Defense or disposed of in
accordance with procedures prescribed by the Secretary of Defense.
(3) The Secretary of Defense shall deposit in the Fund money and
receipts from the disposition of any property accepted under
paragraph (1).
(f) Limitations. - (1) Not more than a total of five vessels
built in foreign ship yards may be purchased with funds in the
National Defense Sealift Fund pursuant to subsection (c)(1).
(2) Construction, alteration, or conversion of vessels with funds
in the National Defense Sealift Fund pursuant to subsection (c)(1)
shall be conducted in United States ship yards and shall be subject
to section 1424(b) of Public Law 101-510 (104 Stat. 1683).
(g) Expiration of Funds After 5 Years. - No part of an
appropriation that is deposited in the National Defense Sealift
Fund pursuant to subsection (d)(1) shall remain available for
obligation more than five years after the end of fiscal year for
which appropriated except to the extent specifically provided by
law.
(h) Budget Requests. - Budget requests submitted to Congress for
the National Defense Sealift Fund shall separately identify -
(1) the amount requested for programs, projects, and activities
for construction (including design of vessels), purchase,
alteration, and conversion of national defense sealift vessels;
(2) the amount requested for programs, projects, and activities
for operation, maintenance, and lease or charter of national
defense sealift vessels;
(3) the amount requested for programs, projects, and activities
for installation and maintenance of defense features for national
defense purposes on privately owned and operated vessels that are
constructed in the United States and documented under the laws of
the United States; and
(4) the amount requested for programs, projects, and activities
for research and development relating to national defense
sealift.
(i) Title or Management of Vessels. - Nothing in this section
(other than subsection (c)(1)(E)) shall be construed to affect or
modify title to, management of, or funding responsibilities for,
any vessel of the National Defense Reserve Fleet, or assigned to
the Ready Reserve Force component of the National Defense Reserve
Fleet, as established by section 11 of the Merchant Ship Sales Act
of 1946 (50 U.S.C. App. 1744).
(j) Authority for Certain Use of Funds. - Upon a determination by
the Secretary of Defense that such action serves the national
defense interest and after consultation with the congressional
defense committees, the Secretary may use funds available for
obligation or expenditure for a purpose specified under subsection
(c)(1)(A), (B), (C), and (D) for any purpose under subsection
(c)(1).
(k) Contracts for Incorporation of Defense Features in Commercial
Vessels. - (1) The head of an agency may enter into a contract with
a company submitting an offer for that company to install and
maintain defense features for national defense purposes in one or
more commercial vessels owned or controlled by that company in
accordance with the purpose for which funds in the National Defense
Sealift Fund are available under subsection (c)(1)(C). The head of
the agency may enter into such a contract only after the head of
the agency makes a determination of the economic soundness of the
offer. As consideration for a contract with the head of an agency
under this subsection, the company entering into the contract shall
agree with the Secretary of Defense to make any vessel covered by
the contract available to the Secretary, fully crewed and ready for
sea, at any time at any port determined by the Secretary, and for
whatever duration the Secretary determines necessary.
(2) The head of an agency may make advance payments to the
contractor under a contract under paragraph (1) in a lump sum, in
annual payments, or in a combination thereof for costs associated
with the installation and maintenance of the defense features on a
vessel covered by the contract, as follows:
(A) The costs to build, procure, and install a defense feature
in the vessel.
(B) The costs to periodically maintain and test any defense
feature on the vessel.
(C) Any increased costs of operation or any loss of revenue
attributable to the installation or maintenance of any defense
feature on the vessel.
(D) Any additional costs associated with the terms and
conditions of the contract.
(E) Payments of such sums as the Government would otherwise
expend, if the vessel were placed in the Ready Reserve Fleet, for
maintaining the vessel in the status designated as ''ROS-4
status'' in the Ready Reserve Fleet for 25 years.
(3) For any contract under paragraph (1) under which the United
States makes advance payments under paragraph (2) for the costs
associated with installation or maintenance of any defense feature
on a commercial vessel, the contractor shall provide to the United
States such security interests in the vessel, by way of a preferred
mortgage under section 31322 of title 46 or otherwise, as the head
of the agency may prescribe in order to adequately protect the
United States against loss for the total amount of those costs.
(4) Each contract entered into under this subsection shall -
(A) set forth terms and conditions under which, so long as a
vessel covered by the contract is owned or controlled by the
contractor, the contractor is to operate the vessel for the
Department of Defense notwithstanding any other contract or
commitment of that contractor; and
(B) provide that the contractor operating the vessel for the
Department of Defense shall be paid for that operation at fair
and reasonable rates.
(5) The head of an agency may not delegate authority under this
subsection to any officer or employee in a position below the level
of head of a procuring activity.
(6) The head of an agency may not enter into a contract under
paragraph (1) that would provide for payments to the contractor as
authorized in paragraph (2)(E) until notice of the proposed
contract is submitted to the congressional defense committees and a
period of 90 days has elapsed.
(l) Definitions. - In this section:
(1) The term ''Fund'' means the National Defense Sealift Fund
established by subsection (a).
(2) The term ''Department of Defense sealift vessel'' means any
ship owned, operated, controlled, or chartered by the Department
of Defense that is any of the following:
(A) A fast sealift ship, including any vessel in the Fast
Sealift Program established under section 1424 of Public Law
101-510 (104 Stat. 1683).
(B) A maritime prepositioning ship.
(C) An afloat prepositioning ship.
(D) An aviation maintenance support ship.
(E) A hospital ship.
(F) A strategic sealift ship.
(G) A combat logistics force ship.
(H) A maritime prepositioned ship.
(I) Any other auxiliary support vessel.
(3) The term ''national defense sealift vessel'' means -
(A) a Department of Defense sealift vessel; and
(B) a national defense reserve fleet vessel, including a
vessel in the Ready Reserve Force maintained under section 11
of the Merchant Ship Sales Act of 1946 (50 U.S.C. App. 1744).
(4) The term ''congressional defense committees'' means -
(A) the Committee on Armed Services and the Committee on
Appropriations of the Senate; and
(B) the Committee on Armed Services and the Committee on
Appropriations of the House of Representatives.
(5) The term ''head of an agency'' has the meaning given that
term in section 2302(1) of this title.
-SOURCE-
(Added Pub. L. 102-484, div. A, title X, Sec. 1024(a)(1), Oct. 23,
1992, 106 Stat. 2486; amended Pub. L. 102-396, title V, Oct. 6,
1992, 106 Stat. 1896; Pub. L. 104-106, div. A, title X, Sec.
1014(a), title XV, Sec. 1502(a)(15), Feb. 10, 1996, 110 Stat. 423,
503; Pub. L. 106-65, div. A, title X, Sec. 1014(b), 1015, 1067(1),
Oct. 5, 1999, 113 Stat. 742, 743, 774; Pub. L. 106-398, Sec. 1
((div. A), title X, Sec. 1011), Oct. 30, 2000, 114 Stat. 1654,
1654A-251; Pub. L. 107-107, div. A, title X, Sec. 1048(e)(9), Dec.
28, 2001, 115 Stat. 1228.)
-REFTEXT-
REFERENCES IN TEXT
Section 1424 of Public Law 101-510, referred to in subsecs.
(d)(3), (f)(2), and (l)(2)(A), is section 1424 of the National
Defense Authorization Act for Fiscal Year 1991 which is set out as
a note under section 7291 of this title.
-COD-
CODIFICATION
Pub. L. 102-396, title V, Oct. 6, 1992, 106 Stat. 1896, provided
that section 1024 of the National Defense Authorization Act for
Fiscal Year 1993 (H.R. 5006, Pub. L. 102-484), as it passed the
Senate on Oct. 3, 1992, shall be amended in subsection 2218(c)(2)
proposed for inclusion in this chapter by deleting all after
''expended only'' down to and including ''appropriations Act'' and
inserting in lieu thereof ''in amounts authorized by law''. It
further provided that for purposes of that amendment, Pub. L.
102-396 shall be treated as having been enacted after Pub. L.
102-484, regardless of the actual dates of enactment. The date of
Oct. 3, 1992, referred to as the date the Senate passed the
National Defense Authorization Act for Fiscal Year 1993, apparently
is based on an order adopted by the Senate on Oct. 3, 1992 (Cong.
Rec., vol. 138, p. 30919) providing that when the conference report
on the National Defense Authorization Act for Fiscal Year 1993 was
received by the Senate from the House of Representatives it would
be deemed to have been agreed to. On Oct. 5, 1992, the Senate
received the conference report from the House, and it was
considered adopted pursuant to that order (Cong. Rec., vol. 138, p.
31565).
-MISC3-
AMENDMENTS
2001 - Subsec. (d)(1). Pub. L. 107-107 struck out ''for fiscal
years after fiscal year 1993'' after ''Department of Defense'' in
introductory provisions.
2000 - Subsec. (k)(1). Pub. L. 106-398, Sec. 1 ((div. A), title
X, Sec. 1011(1)), inserted at end ''As consideration for a contract
with the head of an agency under this subsection, the company
entering into the contract shall agree with the Secretary of
Defense to make any vessel covered by the contract available to the
Secretary, fully crewed and ready for sea, at any time at any port
determined by the Secretary, and for whatever duration the
Secretary determines necessary.''
Subsec. (k)(2)(E). Pub. L. 106-398, Sec. 1 ((div. A), title X,
Sec. 1011(2)), added subpar. (E).
Subsec. (k)(6). Pub. L. 106-398, Sec. 1 ((div. A), title X, Sec.
1011(3)), added par. (6).
1999 - Subsec. (k). Pub. L. 106-65, Sec. 1015(a)(2), added
subsec. (k). Former subsec. (k) redesignated (l).
Subsec. (k)(2). Pub. L. 106-65, Sec. 1014(b), substituted ''that
is any of the following:'' for ''that is - '' in introductory
provisions, substituted ''A'' for ''a'' and a period for the
semicolon in subpars. (A) and (B), ''An'' for ''an'' and a period
for the semicolon in subpar. (C), ''An'' for ''an'' and a period
for ''; or'' in subpar. (D), and ''A'' for ''a'' in subpar. (E),
and added subpars. (F) to (I).
Subsec. (l). Pub. L. 106-65, Sec. 1015(a)(1), redesignated
subsec. (k) as (l).
Subsec. (l)(4)(B). Pub. L. 106-65, Sec. 1067(1), substituted
''Committee on Armed Services'' for ''Committee on National
Security''.
Subsec. (l)(5). Pub. L. 106-65, Sec. 1015(b), added par. (5).
1996 - Subsec. (c)(1). Pub. L. 104-106, Sec. 1014(a)(1)(A),
substituted ''only for the following purposes:'' for ''only for -
''.
Subsec. (c)(1)(A). Pub. L. 104-106, Sec. 1014(a)(1)(B), (C),
substituted ''Construction'' for ''construction'' and ''vessels.''
for ''vessels;''.
Subsec. (c)(1)(B). Pub. L. 104-106, Sec. 1014(a)(1)(B), (C),
substituted ''Operation'' for ''operation'' and ''purposes.'' for
''purposes;''.
Subsec. (c)(1)(C). Pub. L. 104-106, Sec. 1014(a)(1)(B), (D),
substituted ''Installation'' for ''installation'' and ''States.''
for ''States; and''.
Subsec. (c)(1)(D). Pub. L. 104-106, Sec. 1014(a)(1)(B),
substituted ''Research'' for ''research''.
Subsec. (c)(1)(E). Pub. L. 104-106, Sec. 1014(a)(1)(E), added
subpar. (E).
Subsec. (i). Pub. L. 104-106, Sec. 1014(a)(2), inserted ''(other
than subsection (c)(1)(E))'' after ''Nothing in this section''.
Subsec. (j). Pub. L. 104-106, Sec. 1502(a)(15)(A), substituted
''the congressional defense committees'' for ''the Committees on
Armed Services and on Appropriations of the Senate and the House of
Representatives''.
Subsec. (k)(4). Pub. L. 104-106, Sec. 1502(a)(15)(B), added par.
(4).
1992 - Subsec. (c)(2). Pub. L. 102-396 substituted ''in amounts
authorized by law'' for ''for programs, projects, and activities
and only in amounts authorized in, or otherwise permitted under, an
Act other than an appropriations Act''. See Codification note
above.
-CITE-
10 USC Sec. 2219 01/06/03
-EXPCITE-
TITLE 10 - ARMED FORCES
Subtitle A - General Military Law
PART IV - SERVICE, SUPPLY, AND PROCUREMENT
CHAPTER 131 - PLANNING AND COORDINATION
-HEAD-
Sec. 2219. Retention of morale, welfare, and recreation funds by
military installations: limitation
-STATUTE-
Amounts may not be retained in a nonappropriated morale, welfare,
and recreation account of a military installation of an armed force
in excess of the amount necessary to meet cash requirements of that
installation. Amounts in excess of that amount shall be
transferred to a single nonappropriated morale, welfare, and
recreation account for that armed force. This section does not
apply to the Coast Guard.
-SOURCE-
(Added Pub. L. 103-337, div. A, title III, Sec. 373(a), Oct. 5,
1994, 108 Stat. 2736; amended Pub. L. 104-106, div. A, title III,
Sec. 341, Feb. 10, 1996, 110 Stat. 265.)
-MISC1-
AMENDMENTS
1996 - Pub. L. 104-106, in first sentence, substituted ''an armed
force'' for ''a military department'', in second sentence,
substituted ''a single, nonappropriated morale, welfare, and
recreation account for that armed force'' for ''a single,
department-wide nonappropriated morale, welfare, and recreation
account of the military department'', and inserted after second
sentence ''This section does not apply to the Coast Guard.''
-TRANS-
TRANSFER OF FUNCTIONS
For transfer of authorities, functions, personnel, and assets of
the Coast Guard, including the authorities and functions of the
Secretary of Transportation relating thereto, to the Department of
Homeland Security, and for treatment of related references, see
sections 468(b), 551(d), 552(d), and 557 of Title 6, Domestic
Security, and the Department of Homeland Security Reorganization
Plan of November 25, 2002, as modified, set out as a note under
section 542 of Title 6.
-CITE-
10 USC Sec. 2220 01/06/03
-EXPCITE-
TITLE 10 - ARMED FORCES
Subtitle A - General Military Law
PART IV - SERVICE, SUPPLY, AND PROCUREMENT
CHAPTER 131 - PLANNING AND COORDINATION
-HEAD-
Sec. 2220. Performance based management: acquisition programs
-STATUTE-
(a) Establishment of Goals. - The Secretary of Defense shall
approve or define the cost, performance, and schedule goals for
major defense acquisition programs of the Department of Defense and
for each phase of the acquisition cycle of such programs.
(b) Evaluation of Cost Goals. - The Under Secretary of Defense
(Comptroller) shall evaluate the cost goals proposed for each major
defense acquisition program of the Department.
-SOURCE-
(Added Pub. L. 103-355, title V, Sec. 5001(a)(1), Oct. 13, 1994,
108 Stat. 3349; amended Pub. L. 104-106, div. A, title XV, Sec.
1503(a)(20), div. D, title XLIII, Sec. 4321(b)(1), Feb. 10, 1996,
110 Stat. 512, 671; Pub. L. 105-85, div. A, title VIII, Sec.
841(a), Nov. 18, 1997, 111 Stat. 1843; Pub. L. 107-314, div. A,
title X, Sec. 1041(a)(8), Dec. 2, 2002, 116 Stat. 2645.)
-MISC1-
AMENDMENTS
2002 - Subsec. (a). Pub. L. 107-314, Sec. 1041(a)(8)(B), (C),
struck out par. (1) designation and redesignated par. (2) as
subsec. (b).
Subsec. (b). Pub. L. 107-314, Sec. 1041(a)(8)(A), (C),
redesignated subsec. (a)(2) as (b) and struck out heading and text
of former subsec. (b). Text read as follows: ''The Secretary of
Defense shall include in the annual report submitted to Congress
pursuant to section 113(c) of this title an assessment of whether
major acquisition programs of the Department of Defense are
achieving, on average, 90 percent of cost, performance, and
schedule goals established pursuant to subsection (a) and whether
the average period for converting emerging technology into
operational capability has decreased by 50 percent or more from the
average period required for such conversion as of October 13, 1994.
The Secretary shall use data from existing management systems in
making the assessment.''
Subsec. (c). Pub. L. 107-314, Sec. 1041(a)(8)(A), struck out
heading and text of subsec. (c). Text read as follows: ''Whenever
the Secretary of Defense, in the assessment required by subsection
(b), determines that major defense acquisition programs of the
Department of Defense are not achieving, on average, 90 percent of
cost, performance, and schedule goals established pursuant to
subsection (a), the Secretary shall ensure that there is a timely
review of major defense acquisition programs and other programs as
appropriate. In conducting the review, the Secretary shall -
''(1) determine whether there is a continuing need for programs
that are significantly behind schedule, over budget, or not in
compliance with performance or capability requirements; and
''(2) identify suitable actions to be taken, including
termination, with respect to such programs.''
1997 - Subsec. (b). Pub. L. 105-85 substituted ''whether major
acquisition programs'' for ''whether major and nonmajor acquisition
programs''.
1996 - Subsec. (a)(2). Pub. L. 104-106, Sec. 1503(a)(20),
substituted ''Under Secretary of Defense (Comptroller)'' for
''Comptroller of the Department of Defense''.
Subsec. (b). Pub. L. 104-106, Sec. 4321(b)(1), substituted
''October 13, 1994'' for ''the date of the enactment of the Federal
Acquisition Streamlining Act of 1994''.
EFFECTIVE DATE OF 1996 AMENDMENT
For effective date and applicability of amendment by section
4321(b)(1) of Pub. L. 104-106, see section 4401 of Pub. L. 104-106,
set out as a note under section 251 of Title 41, Public Contracts.
PILOT PROGRAMS FOR TESTING PROGRAM MANAGER PERFORMANCE OF PRODUCT
SUPPORT OVERSIGHT RESPONSIBILITIES FOR LIFE CYCLE OF ACQUISITION
PROGRAMS
Pub. L. 105-261, div. A, title VIII, Sec. 816, Oct. 17, 1998,
112 Stat. 2088, provided that:
''(a) Designation of Pilot Programs. - The Secretary of Defense,
acting through the Secretaries of the military departments, shall
designate 10 acquisition programs of the military departments as
pilot programs on program manager responsibility for product
support.
''(b) Responsibilities of Program Managers. - The program manager
for each acquisition program designated as a pilot program under
this section shall have the responsibility for ensuring that the
product support functions for the program are properly carried out
over the entire life cycle of the program.
''(c) Report. - Not later than February 1, 1999, the Secretary of
Defense shall submit to the congressional defense committees
(Committees on Armed Services and Appropriations of Senate and
House of Representatives) a report on the pilot programs. The
report shall contain the following:
''(1) A description of the acquisition programs designated as
pilot programs under subsection (a).
''(2) For each such acquisition program, the specific
management actions taken to ensure that the program manager has
the responsibility for oversight of the performance of the
product support functions.
''(3) Any proposed change to law, policy, regulation, or
organization that the Secretary considers desirable, and
determines feasible to implement, for ensuring that the program
managers are fully responsible under the pilot programs for the
performance of all such responsibilities.''
ENHANCED SYSTEM OF PERFORMANCE INCENTIVES
Section 5001(b) of Pub. L. 103-355 provided that: ''Within one
year after the date of the enactment of this Act (Oct. 13, 1994),
the Secretary of Defense shall review the incentives and personnel
actions available to the Secretary of Defense for encouraging
excellence in the management of defense acquisition programs and
provide an enhanced system of incentives to facilitate the
achievement of goals approved or defined pursuant to section
2220(a) of title 10, United States Code. The enhanced system of
incentives shall, to the maximum extent consistent with applicable
law -
''(1) relate pay to performance (including the extent to which
the performance of personnel in such programs contributes to
achieving the cost goals, performance goals, and schedule goals
established for acquisition programs of the Department of Defense
pursuant to section 2220(a) of title 10, as added by subsection
(a)); and
''(2) provide for consideration, in personnel evaluations and
promotion decisions, of the extent to which the performance of
personnel in such programs contributes to achieving the cost
goals, performance goals, and schedule goals established for
acquisition programs of the Department of Defense pursuant to
section 2220(a) of title 10, United States Code, as added by
subsection (a).''
RECOMMENDED LEGISLATION
Section 5001(c) of Pub. L. 103-355 provided that: ''Not later
than one year after the date of the enactment of this Act (Oct 13,
1994), the Secretary of Defense shall submit to Congress any
recommended legislation that the Secretary considers necessary to
carry out section 2220 of title 10, United States Code, as added by
subsection (a), and otherwise to facilitate and enhance management
of Department of Defense acquisition programs on the basis of
performance.''
-CITE-
10 USC Sec. 2221 01/06/03
-EXPCITE-
TITLE 10 - ARMED FORCES
Subtitle A - General Military Law
PART IV - SERVICE, SUPPLY, AND PROCUREMENT
CHAPTER 131 - PLANNING AND COORDINATION
-HEAD-
(Sec. 2221. Repealed. Pub. L. 105-261, div. A, title IX, Sec.
906(f)(1), Oct. 17, 1998, 112 Stat. 2096)
-MISC1-
Section, added Pub. L. 104-106, div. A, title IX, Sec.
914(a)(1), Feb. 10, 1996, 110 Stat. 412; amended Pub. L. 104-201,
div. A, title X, Sec. 1008(a), Sept. 23, 1996, 110 Stat. 2633;
Pub. L. 105-85, div. A, title X, Sec. 1006(a), Nov. 18, 1997, 111
Stat. 1869; Pub. L. 105-261, div. A, title X, Sec. 1069(b)(2),
Oct. 17, 1998, 112 Stat. 2136, related to Fisher House trust
funds. See section 2493 of this title.
EFFECTIVE DATE OF REPEAL
Repeal effective 90 days after Oct. 17, 1998, see section
906(f)(3) of Pub. L. 105-261, set out as an Effective Date of 1998
Amendment note under section 1321 of Title 31, Money and Finance.
-CITE-
10 USC Sec. 2222 01/06/03
-EXPCITE-
TITLE 10 - ARMED FORCES
Subtitle A - General Military Law
PART IV - SERVICE, SUPPLY, AND PROCUREMENT
CHAPTER 131 - PLANNING AND COORDINATION
-HEAD-
(Sec. 2222. Repealed. Pub. L. 107-314, div. A, title X, Sec.
1004(h)(1), Dec. 2, 2002, 116 Stat. 2631)
-MISC1-
Section, added Pub. L. 105-85, div. A, title X, Sec. 1008(a)(1),
Nov. 18, 1997, 111 Stat. 1870; amended Pub. L. 107-107, div. A,
title X, Sec. 1009(b)(1)-(3)(A), Dec. 28, 2001, 115 Stat. 1208,
1209, required Secretary of Defense to submit to Congress an annual
strategic plan for improvement of financial management within
Department of Defense and specified statements and matters to be
included in the plan.
-CITE-
10 USC Sec. 2223 01/06/03
-EXPCITE-
TITLE 10 - ARMED FORCES
Subtitle A - General Military Law
PART IV - SERVICE, SUPPLY, AND PROCUREMENT
CHAPTER 131 - PLANNING AND COORDINATION
-HEAD-
Sec. 2223. Information technology: additional responsibilities of
Chief Information Officers
-STATUTE-
(a) Additional Responsibilities of Chief Information Officer of
Department of Defense. - In addition to the responsibilities
provided for in chapter 35 of title 44 and in section 11315 of
title 40, the Chief Information Officer of the Department of
Defense shall -
(1) review and provide recommendations to the Secretary of
Defense on Department of Defense budget requests for information
technology and national security systems;
(2) ensure the interoperability of information technology and
national security systems throughout the Department of Defense;
(3) ensure that information technology and national security
systems standards that will apply throughout the Department of
Defense are prescribed;
(4) provide for the elimination of duplicate information
technology and national security systems within and between the
military departments and Defense Agencies; and
(5) maintain a consolidated inventory of Department of Defense
mission critical and mission essential information systems,
identify interfaces between those systems and other information
systems, and develop and maintain contingency plans for
responding to a disruption in the operation of any of those
information systems.
(b) Additional Responsibilities of Chief Information Officer of
Military Departments. - In addition to the responsibilities
provided for in chapter 35 of title 44 and in section 11315 of
title 40, the Chief Information Officer of a military department,
with respect to the military department concerned, shall -
(1) review budget requests for all information technology and
national security systems;
(2) ensure that information technology and national security
systems are in compliance with standards of the Government and
the Department of Defense;
(3) ensure that information technology and national security
systems are interoperable with other relevant information
technology and national security systems of the Government and
the Department of Defense; and
(4) coordinate with the Joint Staff with respect to information
technology and national security systems.
(c) Definitions. - In this section:
(1) The term ''Chief Information Officer'' means the senior
official designated by the Secretary of Defense or a Secretary of
a military department pursuant to section 3506 of title 44.
(2) The term ''information technology'' has the meaning given
that term by section 11101 of title 40.
(3) The term ''national security system'' has the meaning given
that term by section 11103 of title 40.
-SOURCE-
(Added Pub. L. 105-261, div. A, title III, Sec. 331(a)(1), Oct.
17, 1998, 112 Stat. 1967; amended Pub. L. 106-398, Sec. 1 ((div.
A), title VIII, Sec. 811(a)), Oct. 30, 2000, 114 Stat. 1654,
1654A-210; Pub. L. 107-217, Sec. 3(b)(1), Aug. 21, 2002, 116 Stat.
1295.)
-MISC1-
AMENDMENTS
2002 - Subsecs. (a), (b). Pub. L. 107-217, Sec. 3(b)(1)(A), (B),
substituted ''section 11315 of title 40'' for ''section 5125 of the
Clinger-Cohen Act of 1996 (40 U.S.C. 1425)'' in introductory
provisions.
Subsec. (c)(2). Pub. L. 107-217, Sec. 3(b)(1)(C), substituted
''section 11101 of title 40'' for ''section 5002 of the
Clinger-Cohen Act of 1996 (40 U.S.C. 1401)''.
Subsec. (c)(3). Pub. L. 107-217, Sec. 3(b)(1)(D), substituted
''section 11103 of title 40'' for ''section 5142 of the
Clinger-Cohen Act of 1996 (40 U.S.C. 1452)''.
2000 - Subsec. (a)(5). Pub. L. 106-398 added par. (5).
EFFECTIVE DATE
Pub. L. 105-261, div. A, title III, Sec. 331(b), Oct. 17, 1998,
112 Stat. 1968, provided that: ''Section 2223 of title 10, United
States Code, as added by subsection (a), shall take effect on
October 1, 1998.''
-CITE-
10 USC Sec. 2224 01/06/03
-EXPCITE-
TITLE 10 - ARMED FORCES
Subtitle A - General Military Law
PART IV - SERVICE, SUPPLY, AND PROCUREMENT
CHAPTER 131 - PLANNING AND COORDINATION
-HEAD-
Sec. 2224. Defense Information Assurance Program
-STATUTE-
(a) Defense Information Assurance Program. - The Secretary of
Defense shall carry out a program, to be known as the ''Defense
Information Assurance Program'', to protect and defend Department
of Defense information, information systems, and information
networks that are critical to the Department and the armed forces
during day-to-day operations and operations in times of crisis.
(b) Objectives of the Program. - The objectives of the program
shall be to provide continuously for the availability, integrity,
authentication, confidentiality, nonrepudiation, and rapid
restitution of information and information systems that are
essential elements of the Defense Information Infrastructure.
(c) Program Strategy. - In carrying out the program, the
Secretary shall develop a program strategy that encompasses those
actions necessary to assure the readiness, reliability, continuity,
and integrity of Defense information systems, networks, and
infrastructure, including through compliance with subchapter III of
chapter 35 of title 44. The program strategy shall include the
following:
(1) A vulnerability and threat assessment of elements of the
defense and supporting nondefense information infrastructures
that are essential to the operations of the Department and the
armed forces.
(2) Development of essential information assurances
technologies and programs.
(3) Organization of the Department, the armed forces, and
supporting activities to defend against information warfare.
(4) Joint activities of the Department with other departments
and agencies of the Government, State and local agencies, and
elements of the national information infrastructure.
(5) The conduct of exercises, war games, simulations,
experiments, and other activities designed to prepare the
Department to respond to information warfare threats.
(6) Development of proposed legislation that the Secretary
considers necessary for implementing the program or for otherwise
responding to the information warfare threat.
(d) Coordination. - In carrying out the program, the Secretary
shall coordinate, as appropriate, with the head of any relevant
Federal agency and with representatives of those national critical
information infrastructure systems that are essential to the
operations of the Department and the armed forces on information
assurance measures necessary to the protection of these systems.
(e) Annual Report. - Each year, at or about the time the
President submits the annual budget for the next fiscal year
pursuant to section 1105 of title 31, the Secretary shall submit to
Congress a report on the Defense Information Assurance Program.
Each report shall include the following:
(1) Progress in achieving the objectives of the program.
(2) A summary of the program strategy and any changes in that
strategy.
(3) A description of the information assurance activities of
the Office of the Secretary of Defense, Joint Staff, unified and
specified commands, Defense Agencies, military departments, and
other supporting activities of the Department of Defense.
(4) Program and budget requirements for the program for the
past fiscal year, current fiscal year, budget year, and each
succeeding fiscal year in the remainder of the current
future-years defense program.
(5) An identification of critical deficiencies and shortfalls
in the program.
(6) Legislative proposals that would enhance the capability of
the Department to execute the program.
(7) A summary of the actions taken in the administration of
sections 3534 and 3535 of title 44 within the Department of
Defense.
(f) Information Assurance Test Bed. - The Secretary shall develop
an information assurance test bed within the Department of Defense
to provide -
(1) an integrated organization structure to plan and facilitate
the conduct of simulations, war games, exercises, experiments,
and other activities to prepare and inform the Department
regarding information warfare threats; and
(2) organization and planning means for the conduct by the
Department of the integrated or joint exercises and experiments
with elements of the national information systems infrastructure
and other non-Department of Defense organizations that are
responsible for the oversight and management of critical
information systems and infrastructures on which the Department,
the armed forces, and supporting activities depend for the
conduct of daily operations and operations during crisis.
-SOURCE-
(Added Pub. L. 106-65, div. A, title X, Sec. 1043(a), Oct. 5,
1999, 113 Stat. 760; amended Pub. L. 106-398, Sec. 1 ((div. A),
title X, Sec. 1063), Oct. 30, 2000, 114 Stat. 1654, 1654A-274; Pub.
L. 107-296, title X, Sec. 1001(c)(1)(B), Nov. 25, 2002, 116 Stat.
2267; Pub. L. 107-347, title III, Sec. 301(c)(1)(B), Dec. 17, 2002,
116 Stat. 2955.)
-MISC1-
AMENDMENTS
2002 - Subsec. (b)(1). Pub. L. 107-347, Sec. 301(c)(1)(B)(i),
substituted ''Objectives of the Program'' for ''Objectives and
Minimum Requirements'' in heading and struck out par. (1)
designation.
Pub. L. 107-296, Sec. 1001(c)(1)(B)(i), which directed
substituting ''Objectives of the Program'' for ''Objectives and
Minimum Requirements'' in heading and striking out par. (1)
designation, could not be executed. See above par.
Subsec. (b)(2). Pub. L. 107-347, Sec. 301(c)(1)(B)(ii), struck
out par. (2) which read as follows: ''The program shall at a
minimum meet the requirements of sections 3534 and 3535 of title
44.''
Pub. L. 107-296, Sec. 1101(c)(1)(B)(ii), which directed the
striking out of ''(2) the program shall at a minimum meet the
requirements of section 3534 and 3535 of title 44, United States
Code.'' could not be executed. See above par.
Subsec. (c). Pub. L. 107-347, Sec. 301(c)(1)(B)(iii), inserted
'', including through compliance with subchapter III of chapter 35
of title 44'' after ''infrastructure'' in introductory provisions.
Pub. L. 107-296, Sec. 1101(c)(1)(B)(iii), which directed the
insertion of '', including through compliance with subtitle II of
chapter 35 of title 44'' after ''infrastructure'' in subsec. (c),
was not executed, to reflect the probable intent of Congress and
the amendment by Pub. L. 107-347. See above par.
2000 - Subsec. (b). Pub. L. 106-398, Sec. 1 ((div. A), title X,
Sec. 1063(a)), substituted ''Objectives and Minimum Requirements''
for ''Objectives of the Program'' in heading, designated existing
provisions as par. (1), and added par. (2).
Subsec. (e)(7). Pub. L. 106-398, Sec. 1 ((div. A), title X, Sec.
1063(b)), added par. (7).
EFFECTIVE DATE OF 2002 AMENDMENT
Amendment by Pub. L. 107-296 effective 60 days after Nov. 25,
2002, see section 4 of Pub. L. 107-296, set out as an Effective
Date note under section 101 of Title 6, Domestic Security.
EFFECTIVE DATE OF 2000 AMENDMENT
Amendment by Pub. L. 106-398 effective 30 days after Oct. 30,
2000, see section 1 ((div. A), title X, Sec. 1065) of Pub. L.
106-398, set out as an Effective Date note under section 3531 of
Title 44, Public Printing and Documents.
INSTITUTE FOR DEFENSE COMPUTER SECURITY AND INFORMATION PROTECTION
Pub. L. 106-398, Sec. 1 ((div. A), title IX, Sec. 921), Oct. 30,
2000, 114 Stat. 1654, 1654A-233, provided that:
''(a) Establishment. - The Secretary of Defense shall establish
an Institute for Defense Computer Security and Information
Protection.
''(b) Mission. - The Secretary shall require the institute -
''(1) to conduct research and technology development that is
relevant to foreseeable computer and network security
requirements and information assurance requirements of the
Department of Defense with a principal focus on areas not being
carried out by other organizations in the private or public
sector; and
''(2) to facilitate the exchange of information regarding
cyberthreats, technology, tools, and other relevant issues.
''(c) Contractor Operation. - The Secretary shall enter into a
contract with a not-for-profit entity, or a consortium of
not-for-profit entities, to organize and operate the institute.
The Secretary shall use competitive procedures for the selection of
the contractor to the extent determined necessary by the Secretary.
''(d) Funding. - Of the amount authorized to be appropriated by
section 301(5) (114 Stat. 1654A-52), $5,000,000 shall be available
for the Institute for Defense Computer Security and Information
Protection.
''(e) Report. - Not later than April 1, 2001, the Secretary shall
submit to the congressional defense committees (Committees on Armed
Services and Appropriations of the Senate and the House of
Representatives) the Secretary's plan for implementing this
section.''
-CITE-
10 USC Sec. 2224a 01/06/03
-EXPCITE-
TITLE 10 - ARMED FORCES
Subtitle A - General Military Law
PART IV - SERVICE, SUPPLY, AND PROCUREMENT
CHAPTER 131 - PLANNING AND COORDINATION
-HEAD-
Sec. 2224a. Information security: continued applicability of
expiring Governmentwide requirements to the Department of
Defense
-STATUTE-
(a) In General. - The provisions of subchapter II of chapter 35
of title 44 shall continue to apply through September 30, 2004,
with respect to the Department of Defense, notwithstanding the
expiration of authority under section 3536 (FOOTNOTE 1) of such
title.
(FOOTNOTE 1) See References in Text note below.
(b) Responsibilities. - In administering the provisions of
subchapter II of chapter 35 of title 44 with respect to the
Department of Defense after the expiration of authority under
section 3536 (FOOTNOTE 1) of such title, the Secretary of Defense
shall perform the duties set forth in that subchapter for the
Director of the Office of Management and Budget.
-SOURCE-
(Added Pub. L. 107-314, div. A, title X, Sec. 1052(b)(1), Dec. 2,
2002, 116 Stat. 2648.)
-REFTEXT-
REFERENCES IN TEXT
Provisions relating to the expiration of authority of subchapter
II of chapter 35 of title 44, referred to in text, did not appear
in section 3536 of title 44 subsequent to the general revision of
subchapter II by Pub. L. 107-296, title X, Sec. 1001(b)(1), Nov.
25, 2002, 116 Stat. 2259.
-CITE-
10 USC Sec. 2225 01/06/03
-EXPCITE-
TITLE 10 - ARMED FORCES
Subtitle A - General Military Law
PART IV - SERVICE, SUPPLY, AND PROCUREMENT
CHAPTER 131 - PLANNING AND COORDINATION
-HEAD-
Sec. 2225. Information technology purchases: tracking and
management
-STATUTE-
(a) Collection of Data Required. - To improve tracking and
management of information technology products and services by the
Department of Defense, the Secretary of Defense shall provide for
the collection of the data described in subsection (b) for each
purchase of such products or services made by a military department
or Defense Agency in excess of the simplified acquisition
threshold, regardless of whether such a purchase is made in the
form of a contract, task order, delivery order, military
interdepartmental purchase request, or any other form of
interagency agreement.
(b) Data To Be Collected. - The data required to be collected
under subsection (a) includes the following:
(1) The products or services purchased.
(2) Whether the products or services are categorized as
commercially available off-the-shelf items, other commercial
items, nondevelopmental items other than commercial items, other
noncommercial items, or services.
(3) The total dollar amount of the purchase.
(4) The form of contracting action used to make the purchase.
(5) In the case of a purchase made through an agency other than
the Department of Defense -
(A) the agency through which the purchase is made; and
(B) the reasons for making the purchase through that agency.
(6) The type of pricing used to make the purchase (whether
fixed price or another type of pricing).
(7) The extent of competition provided in making the purchase.
(8) A statement regarding whether the purchase was made from -
(A) a small business concern;
(B) a small business concern owned and controlled by socially
and economically disadvantaged individuals; or
(C) a small business concern owned and controlled by women.
(9) A statement regarding whether the purchase was made in
compliance with the planning requirements under sections 5122 and
5123 of the Clinger-Cohen Act of 1996 (FOOTNOTE 1) (40 U.S.C.
1422, 1423).
(FOOTNOTE 1) See References in Text note below.
(c) Responsibility To Ensure Fairness of Certain Prices. - The
head of each contracting activity in the Department of Defense
shall have responsibility for ensuring the fairness and
reasonableness of unit prices paid by the contracting activity for
information technology products and services that are frequently
purchased commercially available off-the-shelf items.
(d) Limitation on Certain Purchases. - No purchase of information
technology products or services in excess of the simplified
acquisition threshold shall be made for the Department of Defense
from a Federal agency outside the Department of Defense unless -
(1) the purchase data is collected in accordance with
subsection (a); or
(2)(A) in the case of a purchase by a Defense Agency, the
purchase is approved by the Under Secretary of Defense for
Acquisition, Technology, and Logistics; or
(B) in the case of a purchase by a military department, the
purchase is approved by the senior procurement executive of the
military department.
(e) Annual Report. - Not later than March 15 of each year, the
Secretary of Defense shall submit to the Committees on Armed
Services of the Senate and the House of Representatives a report
containing a summary of the data collected in accordance with
subsection (a).
(f) Definitions. - In this section:
(1) The term ''senior procurement executive'', with respect to
a military department, means the official designated as the
senior procurement executive for the military department for the
purposes of section 16(3) of the Office of Federal Procurement
Policy Act (41 U.S.C. 414(3)).
(2) The term ''simplified acquisition threshold'' has the
meaning given the term in section 4(11) of the Office of Federal
Procurement Policy Act (41 U.S.C. 403(11)).
(3) The term ''small business concern'' means a business
concern that meets the applicable size standards prescribed
pursuant to section 3(a) of the Small Business Act (15 U.S.C.
632(a)).
(4) The term ''small business concern owned and controlled by
socially and economically disadvantaged individuals'' has the
meaning given that term in section 8(d)(3)(C) of the Small
Business Act (15 U.S.C. 637(d)(3)(C)).
(5) The term ''small business concern owned and controlled by
women'' has the meaning given that term in section 8(d)(3)(D) of
the Small Business Act (15 U.S.C. 637(d)(3)(D)).
-SOURCE-
(Added Pub. L. 106-398, Sec. 1 ((div. A), title VIII, Sec.
812(a)(1)), Oct. 30, 2000, 114 Stat. 1654, 1654A-212.)
-REFTEXT-
REFERENCES IN TEXT
Sections 5122 and 5123 of the Clinger-Cohen Act of 1996 (40
U.S.C. 1422, 1423), referred to in subsec. (b)(9), are sections
5122 and 5123 of Pub. L. 104-106, which were classified to sections
1422 and 1423 of former Title 40, Public Buildings, Property, and
Works, and were repealed and reenacted as sections 11312 and 11313
of Title 40, Public Buildings, Property, and Works, by Pub. L.
107-217, Sec. 1, 6(b), Aug. 21, 2002, 116 Stat. 1062, 1304.
-MISC2-
TIME FOR IMPLEMENTATION; APPLICABILITY
Pub. L. 106-398, Sec. 1 ((div. A), title VIII, Sec. 812(b)), Oct.
30, 2000, 114 Stat. 1654, 1654A-214, provided that:
''(1) The Secretary of Defense shall collect data as required
under section 2225 of title 10, United States Code (as added by
subsection (a)) for all contractual actions covered by such section
entered into on or after the date that is one year after the date
of the enactment of this Act (Oct. 30, 2000).
''(2) Subsection (d) of such section shall apply with respect to
purchases described in that subsection for which solicitations of
offers are issued on or after the date that is one year after the
date of the enactment of this Act.''
GAO REPORT
Pub. L. 106-398, Sec. 1 ((div. A), title VIII, Sec. 812(c)), Oct.
30, 2000, 114 Stat. 1654, 1654A-214, provided that: ''Not later
than 15 months after the date of the enactment of this Act (Oct.
30, 2000), the Comptroller General shall submit to the
congressional defense committees (Committees on Armed Services and
Appropriations of the Senate and the House of Representatives) a
report on the collection of data under such section 2225. The
report shall include the Comptroller General's assessment of the
extent to which the collection of data meets the requirements of
that section.''
-SECREF-
SECTION REFERRED TO IN OTHER SECTIONS
This section is referred to in section 2330a of this title.
-CITE-
10 USC Sec. 2226 01/06/03
-EXPCITE-
TITLE 10 - ARMED FORCES
Subtitle A - General Military Law
PART IV - SERVICE, SUPPLY, AND PROCUREMENT
CHAPTER 131 - PLANNING AND COORDINATION
-HEAD-
Sec. 2226. Contracted property and services: prompt payment of
vouchers
-STATUTE-
(a) Requirement. - Of the contract vouchers that are received by
the Defense Finance and Accounting Service by means of the
mechanization of contract administration services system, the
number of such vouchers that remain unpaid for more than 30 days as
of the last day of each month may not exceed 5 percent of the total
number of the contract vouchers so received that remain unpaid on
that day.
(b) Contract Voucher Defined. - In this section, the term
''contract voucher'' means a voucher or invoice for the payment to
a contractor for services, commercial items (as defined in section
4(12) of the Office of Federal Procurement Policy Act (41 U.S.C.
403(12))), or other deliverable items provided by the contractor
under a contract funded by the Department of Defense.
-SOURCE-
(Added Pub. L. 106-398, Sec. 1 ((div. A), title X, Sec.
1006(a)(1)), Oct. 30, 2000, 114 Stat. 1654, 1654A-247.)
-MISC1-
EFFECTIVE DATE
Pub. L. 106-398, Sec. 1 ((div. A), title X, Sec. 1006(b)), Oct.
30, 2000, 114 Stat. 1654, 1654A-248, provided that: ''Section 2226
of title 10, United States Code (as added by subsection (a)), shall
take effect on December 1, 2000.''
CONDITIONAL REQUIREMENT FOR REPORT
Pub. L. 106-398, Sec. 1 ((div. A), title X, Sec. 1006(c)), Oct.
30, 2000, 114 Stat. 1654, 1654A-248, provided that:
''(1) If for any month of the noncompliance reporting period the
requirement in section 2226 of title 10, United States Code (as
added by subsection (a)), is not met, the Secretary of Defense
shall submit to the Committee on Armed Services of the Senate and
the Committee on Armed Services of the House of Representatives a
report on the magnitude of the unpaid contract vouchers. The
report for a month shall be submitted not later than 30 days after
the end of that month.
''(2) A report for a month under paragraph (1) shall include
information current as of the last day of the month as follows:
''(A) The number of the vouchers received by the Defense
Finance and Accounting Service by means of the mechanization of
contract administration services system during each month.
''(B) The number of the vouchers so received, whenever received
by the Defense Finance and Accounting Service, that remain unpaid
for each of the following periods:
''(i) Over 30 days and not more than 60 days.
''(ii) Over 60 days and not more than 90 days.
''(iii) More than 90 days.
''(C) The number of the vouchers so received that remain unpaid
for the major categories of procurements, as defined by the
Secretary of Defense.
''(D) The corrective actions that are necessary, and those that
are being taken, to ensure compliance with the requirement in
subsection (a).
''(3) For purposes of this subsection:
''(A) The term 'noncompliance reporting period' means the
period beginning on December 1, 2000, and ending on November 30,
2004.
''(B) The term 'contract voucher' has the meaning given that
term in section 2226(b) of title 10, United States Code (as added
by subsection (a)).''
-CITE-
10 USC Sec. 2227 01/06/03
-EXPCITE-
TITLE 10 - ARMED FORCES
Subtitle A - General Military Law
PART IV - SERVICE, SUPPLY, AND PROCUREMENT
CHAPTER 131 - PLANNING AND COORDINATION
-HEAD-
Sec. 2227. Electronic submission and processing of claims for
contract payments
-STATUTE-
(a) Submission of Claims. - The Secretary of Defense shall
require that any claim for payment under a Department of Defense
contract shall be submitted to the Department of Defense in
electronic form.
(b) Processing. - A contracting officer, contract administrator,
certifying official, or other officer or employee of the Department
of Defense who receives a claim for payment in electronic form in
accordance with subsection (a) and is required to transmit the
claim to any other officer or employee of the Department of Defense
for processing under procedures of the department shall transmit
the claim and any additional documentation necessary to support the
determination and payment of the claim to such other officer or
employee electronically.
(c) Waiver Authority. - If the Secretary of Defense determines
that the requirement for using electronic means for submitting
claims under subsection (a), or for transmitting claims and
supporting documentation under subsection (b), is unduly burdensome
in any category of cases, the Secretary may exempt the cases in
that category from the application of the requirement.
(d) Implementation of Requirements. - In implementing subsections
(a) and (b), the Secretary of Defense shall provide for the
following:
(1) Policies, requirements, and procedures for using electronic
means for the submission of claims for payment to the Department
of Defense and for the transmission, between Department of
Defense officials, of claims for payment received in electronic
form, together with supporting documentation (such as receiving
reports, contracts and contract modifications, and required
certifications).
(2) The format in which information can be accepted by the
corporate database of the Defense Finance and Accounting Service.
(3) The requirements to be included in contracts regarding the
electronic submission of claims for payment by contractors.
(e) Claim for Payment Defined. - In this section, the term
''claim for payment'' means an invoice or any other demand or
request for payment.
-SOURCE-
(Added Pub. L. 106-398, Sec. 1 ((div. A), title X, Sec.
1008(a)(1)), Oct. 30, 2000, 114 Stat. 1654, 1654A-249.)
-MISC1-
EFFECTIVE DATE
Pub. L. 106-398, Sec. 1 ((div. A), title X, Sec. 1008(c)), Oct.
30, 2000, 114 Stat. 1654, 1654A-250, provided that:
''(1) Subject to paragraph (2), the Secretary of Defense shall
apply section 2227 of title 10, United States Code (as added by
subsection (a)), with respect to contracts for which solicitations
of offers are issued after June 30, 2001.
''(2)(A) The Secretary may delay the implementation of section
2227 to a date after June 30, 2001, upon a finding that it is
impracticable to implement that section until that later date. In
no event, however, may the implementation be delayed to a date
after October 1, 2002.
''(B) Upon determining to delay the implementation of such
section 2227 to a later date under subparagraph (A), the Secretary
shall promptly publish a notice of the delay in the Federal
Register. The notice shall include a specification of the later
date on which the implementation of that section is to begin. Not
later than 30 days before the later implementation date, the
Secretary shall publish in the Federal Register another notice that
such section is being implemented beginning on that date.''
(Notice by Department of Defense of delay in the implementation
of this section from June 30, 2001, until Oct. 1, 2002, was
published on Aug. 21, 2001, at 66 F.R. 43841.)
IMPLEMENTATION PLAN
Pub. L. 106-398, Sec. 1 ((div. A), title X, Sec. 1008(b)), Oct.
30, 2000, 114 Stat. 1654, 1654A-250, provided that: ''Not later
than March 30, 2001, the Secretary of Defense shall submit to the
Committees on Armed Services of the Senate and the House of
Representatives a plan for the implementation of the requirements
imposed under section 2227 of title 10, United States Code (as
added by subsection (a)). The plan shall provide for each of the
matters specified in subsection (d) of that section.''
-CITE-
10 USC Sec. 2228 01/06/03
-EXPCITE-
TITLE 10 - ARMED FORCES
Subtitle A - General Military Law
PART IV - SERVICE, SUPPLY, AND PROCUREMENT
CHAPTER 131 - PLANNING AND COORDINATION
-HEAD-
Sec. 2228. Military equipment and infrastructure: prevention and
mitigation of corrosion
-STATUTE-
(a) Designation of Responsible Official or Organization. - The
Secretary of Defense shall designate an officer or employee of the
Department of Defense, or a standing board or committee of the
Department of Defense, as the senior official or organization
responsible in the Department to the Secretary of Defense (after
the Under Secretary of Defense for Acquisition, Technology, and
Logistics) for the prevention and mitigation of corrosion of the
military equipment and infrastructure of the Department.
(b) Duties. - (1) The official or organization designated under
subsection (a) shall oversee and coordinate efforts throughout the
Department of Defense to prevent and mitigate corrosion of the
military equipment and infrastructure of the Department. The duties
under this paragraph shall include the duties specified in
paragraphs (2) through (5).
(2) The designated official or organization shall develop and
recommend any policy guidance on the prevention and mitigation of
corrosion to be issued by the Secretary of Defense.
(3) The designated official or organization shall review the
programs and funding levels proposed by the Secretary of each
military department during the annual internal Department of
Defense budget review process as those programs and funding
proposals relate to programs and funding for the prevention and
mitigation of corrosion and shall submit to the Secretary of
Defense recommendations regarding those programs and proposed
funding levels.
(4) The designated official or organization shall provide
oversight and coordination of the efforts within the Department of
Defense to prevent or mitigate corrosion during -
(A) the design, acquisition, and maintenance of military
equipment; and
(B) the design, construction, and maintenance of
infrastructure.
(5) The designated official or organization shall monitor
acquisition practices within the Department of Defense -
(A) to ensure that the use of corrosion prevention technologies
and the application of corrosion prevention treatments are fully
considered during research and development in the acquisition
process; and
(B) to ensure that, to the extent determined appropriate for
each acquisition program, such technologies and treatments are
incorporated into that program, particularly during the
engineering and design phases of the acquisition process.
(c) Long-Term Strategy. - (1) The Secretary of Defense shall
develop and implement a long-term strategy to reduce corrosion and
the effects of corrosion on the military equipment and
infrastructure of the Department of Defense.
(2) The strategy under paragraph (1) shall include the following:
(A) Expansion of the emphasis on corrosion prevention and
mitigation within the Department of Defense to include coverage
of infrastructure.
(B) Application uniformly throughout the Department of Defense
of requirements and criteria for the testing and certification of
new corrosion-prevention technologies for equipment and
infrastructure with similar characteristics, similar missions, or
similar operating environments.
(C) Implementation of programs, including supporting databases,
to ensure that a focused and coordinated approach is taken
throughout the Department of Defense to collect, review,
validate, and distribute information on proven methods and
products that are relevant to the prevention of corrosion of
military equipment and infrastructure.
(D) Establishment of a coordinated research and development
program for the prevention and mitigation of corrosion for new
and existing military equipment and infrastructure that includes
a plan to transition new corrosion prevention technologies into
operational systems.
(3) The strategy shall include, for the matters specified in
paragraph (2), the following:
(A) Policy guidance.
(B) Performance measures and milestones.
(C) An assessment of the necessary personnel and funding
necessary to accomplish the long-term strategy.
(d) Definitions. - In this section:
(1) The term ''corrosion'' means the deterioration of a
material or its properties due to a reaction of that material
with its chemical environment.
(2) The term ''military equipment'' includes all weapon
systems, weapon platforms, vehicles, and munitions of the
Department of Defense, and the components of such items.
(3) The term ''infrastructure'' includes all buildings,
structures, airfields, port facilities, surface and subterranean
utility systems, heating and cooling systems, fuel tanks,
pavements, and bridges.
-SOURCE-
(Added Pub. L. 107-314, div. A, title X, Sec. 1067(a)(1), Dec. 2,
2002, 116 Stat. 2657.)
-MISC1-
DEADLINE FOR DESIGNATION OF RESPONSIBLE OFFICIAL OR ORGANIZATION;
INTERIM REPORT; DEADLINE FOR LONG-TERM STRATEGY; GAO REVIEW
Pub. L. 107-314, div. A, title X, Sec. 1067(b)-(e), Dec. 2,
2002, 116 Stat. 2658, 2659, provided that:
''(b) Deadline for Designation of Responsible Official or
Organization. - The Secretary of Defense shall designate an
officer, employee, or standing board or committee of the Department
of Defense under subsection (a) of section 2228 of title 10, United
States Code, as added by subsection (a), not later than 90 days
after the date of the enactment of this Act (Dec. 2, 2002).
''(c) Interim Report. - When the President submits the budget for
fiscal year 2004 to Congress pursuant to section 1105(a) of title
31, United States Code, the Secretary of Defense shall submit to
Congress a report regarding the actions taken to that date under
section 2228 of title 10, United States Code, as added by
subsection (a). That report shall include the following:
''(1) A description of the organizational structure for the
personnel carrying out the responsibilities of the official or
organization designated under subsection (a) of that section with
respect to the prevention and mitigation of corrosion.
''(2) An outline for the long-term strategy for prevention and
mitigation of corrosion required by subsection (c) of that
section and milestones for development of that strategy.
''(d) Deadline for Long-Term Strategy. - The Secretary of Defense
shall submit to Congress a report setting forth the long-term
strategy required under subsection (c) of section 2228 of title 10,
United States Code, as added by subsection (a), not later than one
year after the date of the enactment of this Act.
''(e) GAO Review. - The Comptroller General shall monitor the
implementation of the long-term strategy required under subsection
(c) of section 2228 of title 10, United States Code, as added by
subsection (a), and, not later than 18 months after the date of the
enactment of this Act, shall submit to Congress an assessment of
the extent to which that strategy has been implemented.''
-CITE-
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| Enviado por: | El remitente no desea revelar su nombre |
| Idioma: | inglés |
| País: | Estados Unidos |
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