§2667. Leases: non-excess property of military departments
(a)
(1) under the control of that department; and
(2) not excess property, as defined by section 102 of title 40.
(b)
(1) may not be for more than five years, unless the Secretary concerned determines that a lease for a longer period will promote the national defense or be in the public interest;
(2) may give the lessee the first right to buy the property if the lease is revoked to allow the United States to sell the property under any other provision of law;
(3) shall permit the Secretary to revoke the lease at any time, unless he determines that the omission of such a provision will promote the national defense or be in the public interest;
(4) shall provide for the payment (in cash or in kind) by the lessee of consideration in an amount that is not less than the fair market value of the lease interest, as determined by the Secretary;
(5) may provide, notwithstanding section 1302 of title 40 or any other provision of law, for the alteration, repair, or improvement, by the lessee, of the property leased as the payment of part or all of the consideration for the lease; and
(6) except as otherwise provided in subsection (d), shall require the lessee to provide the covered entities specified in paragraph (1) of that subsection the right to establish and operate a community support facility or provide community support services, or seek equitable compensation for morale, welfare, and recreation programs of the Department of Defense in lieu of the operation of such a facility or the provision of such services, if the Secretary determines that the lessee will provide merchandise or services in direct competition with covered entities through the lease.
(c)
(A) Maintenance, protection, alteration, repair, improvement, or restoration (including environmental restoration) of property or facilities under the control of the Secretary concerned.
(B) Construction of new facilities for the Secretary concerned.
(C) Provision of facilities for use by the Secretary concerned.
(D) Facilities operation support for the Secretary concerned.
(E) Provision of such other services relating to activities that will occur on the leased property as the Secretary concerned considers appropriate.
(2) In-kind consideration under paragraph (1) may be accepted at any property or facilities under the control of the Secretary concerned that are selected for that purpose by the Secretary concerned.
(3) Sections 2662 and 2802 of this title shall not apply to any new facilities whose construction is accepted as in-kind consideration under this subsection.
(4) In the case of a lease for which all or part of the consideration proposed to be accepted by the Secretary concerned under this subsection is in-kind consideration with a value in excess of $500,000, the Secretary concerned may not enter into the lease until 30 days after the date on which a report on the facts of the lease is submitted to the congressional defense committees.
(d)
(A) The Army and Air Force Exchange Service.
(B) The Navy Exchange Service Command.
(C) The Marine Corps exchanges.
(D) The Defense Commissary Agency.
(E) The revenue-generating nonappropriated fund activities of the Department of Defense conducted for the morale, welfare, and recreation of members of the armed forces.
(2) The Secretary of a military department may waive the requirement in subsection (b)(6) with respect to a lease if-
(A) the lease is entered into under subsection (g); or
(B) the Secretary determines that the waiver is in the best interests of the Government.
(3) The Secretary of the military department concerned shall provide to the congressional defense committees written notice of each waiver under paragraph (2), including the reasons for the waiver.
(4) The covered entities shall exercise the right provided in subsection (b)(6) with respect to a lease, if at all, not later than 90 days after receiving notice from the Secretary of the military department concerned regarding the opportunity to exercise such right with respect to the lease. The Secretary may, at the discretion of the Secretary, extend the period under this paragraph for the exercise of the right with respect to a lease for such additional period as the Secretary considers appropriate.
(5) The Secretary of Defense shall prescribe in regulations uniform procedures and criteria for the evaluation of proposals for enhanced use leases involving the operation of community support facilities or the provision of community support services by either a lessee under this section or a covered entity.
(6) The Secretary of the military department concerned shall provide written notification to the Committee on Armed Services of the Senate and the Committee on Armed Services of the House of Representatives regarding all leases under this section that include the operation of a community support facility or the provision of community support services, regardless of whether the facility will be operated by a covered entity or the lessee or the services will be provided by a covered entity or the lessee.
(e)
(i) All money rentals received pursuant to leases entered into by that Secretary under this section.
(ii) All proceeds received pursuant to the granting of easements by that Secretary under sections 2668 and 2669 1 of this title.
(iii) All proceeds received by that Secretary from authorizing the temporary use of other property under the control of that military department.
(B) Subparagraph (A) does not apply to the following proceeds:
(i) Amounts paid for utilities and services furnished lessees by the Secretary of a military department pursuant to leases entered into under this section.
(ii) Money rentals referred to in paragraph (4), (5), or (6).
(C) Subject to subparagraphs (D) and (E), the proceeds deposited in the special account of a military department pursuant to subparagraph (A) shall be available to the Secretary of that military department, in such amounts as provided in appropriation Acts, for the following:
(i) Maintenance, protection, alteration, repair, improvement, or restoration (including environmental restoration) of property or facilities.
(ii) Construction or acquisition of new facilities.
(iii) Lease of facilities.
(iv) Facilities operation support.
(D) At least 50 percent of the proceeds deposited in the special account of a military department under subparagraph (A) shall be available for activities described in subparagraph (C) only at the military installation where the proceeds were derived.
(E) The Secretary concerned may not expend under subparagraph (C) an amount in excess of $500,000 at a single installation until 30 days after the date on which a report on the facts of the proposed expenditure is submitted to the congressional defense committees.
(2) Payments for utilities and services furnished lessees pursuant to leases entered into under this section shall be credited to the appropriation account or working capital fund from which the cost of furnishing the utilities and services was paid.
[(3) Repealed.
(4) Money rentals received by the United States directly from a lease under this section for agricultural or grazing purposes of lands under the control of the Secretary of a military department (other than lands acquired by the United States for flood control or navigation purposes or any related purpose, including the development of hydroelectric power) may be retained and spent by the Secretary concerned in such amounts as the Secretary considers necessary to cover the administrative expenses of leasing for such purposes and to cover the financing of multiple-land use management programs at any installation under the jurisdiction of the Secretary.
(5) Money rentals received by the United States from a lease under subsection (g) at a military installation approved for closure or realignment under a base closure law before January 1, 2005, shall be deposited into the account established under section 2906(a) of the Defense Base Closure and Realignment Act of 1990 (part A of title XXIX of
(6) Money rentals received by the United States from a lease under subsection (f) at a military installation approved for closure or realignment under a base closure law on or after January 1, 2005, shall be deposited into the account established under section 2906A(a) of the Defense Base Closure and Realignment Act of 1990 (part A of title XXIX of
(f)
(g)
(2) Notwithstanding subsection (b)(4), the Secretary concerned may accept consideration in an amount that is less than the fair market value of the lease interest if the Secretary concerned determines that-
(A) a public interest will be served as a result of the lease; and
(B) the fair market value of the lease is (i) unobtainable, or (ii) not compatible with such public benefit.
(3) Before entering into any lease under this subsection, the Secretary shall consult with the Administrator of the Environmental Protection Agency in order to determine whether the environmental condition of the property proposed for leasing is such that the lease of the property is advisable. The Secretary and the Administrator shall enter into a memorandum of understanding setting forth procedures for carrying out the determinations under this paragraph.
(4)(A) Notwithstanding the National Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.), the scope of any environmental impact analysis necessary to support an interim lease of property under this subsection shall be limited to the environmental consequences of activities authorized under the proposed lease and the cumulative impacts of other past, present, and reasonably foreseeable future actions during the period of the proposed lease.
(B) Interim leases entered into under this subsection shall be deemed not to prejudice the final disposal decision with respect to the property, even if final disposal of the property is delayed until completion of the term of the interim lease. An interim lease under this subsection shall not be entered into without prior consultation with the redevelopment authority concerned.
(C) Subparagraphs (A) and (B) shall not apply to an interim lease under this subsection if authorized activities under the lease would-
(i) significantly affect the quality of the human environment; or
(ii) irreversibly alter the environment in a way that would preclude any reasonable disposal alternative of the property concerned.
(h)
(2) Not later than 45 days before entering into a lease described in paragraph (1), the Secretary concerned shall submit to Congress written notice describing the terms of the proposed lease and the competitive procedures used to select the lessee.
(3) Paragraph (1) does not apply to a renewal or extension of a lease by the Secretary of the Navy with a selected institution for operation of a ship within the University National Oceanographic Laboratory System if, under the lease, each of the following applies:
(A) Use of the ship is restricted to federally supported research programs and to non-Federal uses under specific conditions with approval by the Secretary of the Navy.
(B) Because of the anticipated value to the Navy of the oceanographic research and training that will result from the ship's operation, no monetary lease payments are required from the lessee under the initial lease or under any renewal or extension.
(C) The lessee is required to maintain the ship in a good state of repair, readiness, and efficient operating condition, conform to all applicable regulatory requirements, and assume full responsibility for the safety of the ship, its crew, and scientific personnel aboard.
(i)
(1) The term "community support facility" includes an ancillary supporting facility (as that term is defined in section 2871(1) of this title).
(2) The term "community support services" includes revenue-generating food, recreational, lodging support services, and resale operations and other retail facilities and services intended to support a community.
(3) The term "military installation" has the meaning given such term in section 2687(e)(1) of this title.
(j)
(Aug. 10, 1956, ch. 1041,
| Revised section | Source (U.S. Code) | Source (Statutes at Large) |
|---|---|---|
| 2667(a) 2667(b) |
5:626s–3 (1st sentence). 10:1270 (1st sentence). 34:522a (1st sentence). 5:626s–3 (2d through 6th sentences). 10:1270 (2d through 6th sentences). |
Aug. 5, 1947, ch. 493, §§1, 6, |
| 34:522a (2d through 6th sentences). | ||
| 2667(c) | 5:626s–3 (last sentence). | |
| 10:1270 (last sentence). | ||
| 34:522a (last sentence). | ||
| 2667(d) | 5:626s–3 (less 1st 6 sentences). | |
| 10:1270 (less 1st 6 sentences). | ||
| 34:522a (less 1st 6 sentences). | ||
| 2667(e) | 5:626s–6. 10:1270d. 34:522e. |
In subsection (a), the words "considers * * * United States" are substituted for the words "shall deem * * * Government". The words "and conditions" are omitted as surplusage. The words "he considers" are substituted for the words "in his judgment".
In subsection (a)(3), the words "excess property, as defined by section 472 of title 40" are substituted for the words "surplus to the needs of the Department within the meaning of the Surplus Property Act of 1944 [Act of October 3, 1944 (
In subsection (b)(2), the words "may give" are substituted for the first 12 words of the third sentence of 5:626s–3, 10:1270, and 34:522a. The words "if the lease is revoked to allow the United States to sell the property" are substituted for the words "in the event of the revocation of the lease in order to permit sale thereof by the Government". The words "under any other provision of law" are inserted for clarity. The words "the first right to buy" are substituted for the words "a right of first refusal". The words "but this section shall not be construed as authorizing the sale of any property unless the sale thereof is otherwise authorized by law" are omitted as surplusage, since the revised section deals only with leases of property.
In subsection (b)(3), the words "must permit" are substituted for the words "Each such lease shall contain a provision permitting". The words "from the lease" are omitted as surplusage.
In subsection (b)(5), the words "any such lease" and "of such property" are omitted as surplusage.
In subsection (c), the words "This section does" are substituted for the words "The authority herein granted shall".
In subsection (e), the words "of property" are inserted for clarity. The words "leased under" are substituted for the words "made or created pursuant to". The words "may be taxed by State or local governments" are substituted for the words "shall be made subject to State or local taxation". The last sentence is substituted for the last sentence of 5:626s–6, 10:1270d, and 34:522e.
References in Text
Section 2669 of this title, referred to in subsec. (e)(1)(A)(ii), was repealed by
The Federal Property and Administrative Services Act of 1949, referred to in subsec. (g)(1), is act June 30, 1949, ch. 288,
The National Environmental Policy Act of 1969, referred to in subsec. (g)(4)(A), is
Amendments
2006-Subsec. (a).
Subsec. (b).
Subsec. (b)(6).
Subsec. (c).
Subsec. (d).
Subsec. (e).
Subsec. (f).
Subsec. (g).
Subsec. (h).
Subsec. (i).
Subsec. (j).
2003-Subsec. (b)(5).
Subsec. (h).
2002-Subsec. (a)(2).
Subsec. (b)(5).
Subsec. (d)(3).
"(A) an accounting of the receipt and use of all money rentals that were deposited and expended under this subsection during the fiscal year preceding the fiscal year in which the report is made; and
"(B) a detailed explanation of each lease entered into, and of each amendment made to existing leases, during such preceding fiscal year."
Subsec. (f)(1).
2001-Subsec. (g)(3).
2000-Subsec. (a).
Subsec. (b)(5).
Subsec. (c).
Subsec. (d)(1).
"(1)(A) All money rentals received pursuant to leases entered into by the Secretary of a military department under this section shall be deposited in a special account in the Treasury established for such military department, except-
"(i) amounts paid for utilities and services furnished lessees by the Secretary; and
"(ii) money rentals referred to in paragraph (4) or (5).
"(B) Sums deposited in a military department's special account pursuant to subparagraph (A) shall be available to such military department, as provided in appropriation Acts, as follows:
"(i) 50 percent of such amount shall be available for facility maintenance and repair or environmental restoration at the military installation where the leased property is located.
"(ii) 50 percent of such amount shall be available for facility maintenance and repair and for environmental restoration by the military department concerned."
Subsec. (d)(3).
Subsec. (d)(3)(A).
Subsec. (f)(4), (5).
Subsec. (h).
"(1) The Defense Base Closure and Realignment Act of 1990 (part A of title XXIX of
"(2) Title II of the Defense Authorization Amendments and Base Closure and Realignment Act (
"(3) Section 2687 of this title."
Subsec. (i).
1999-Subsec. (d)(3).
1998-Subsec. (f)(1).
1997-
Subsec. (b)(4).
Subsec. (d)(2).
Subsecs. (g), (h).
1996-Subsec. (d)(1)(A)(ii).
Subsec. (d)(3).
Subsec. (d)(5).
Subsec. (f)(4).
Subsec. (f)(5).
1993-Subsec. (f).
"(1) the Secretary concerned determines that such action would facilitate State or local economic adjustment efforts, and
"(2) the Administrator of General Services concurs in the action."
Subsec. (g).
1992-Subsec. (b)(4).
1991-Subsec. (b)(3).
Subsec. (b)(4).
Subsec. (b)(5).
Subsec. (d)(3).
1990-Subsec. (d).
1982-Subsec. (b)(4).
Subsec. (d).
1980-Subsec. (a)(3).
Subsec. (b)(4).
Subsec. (e).
Subsec. (f).
1976-Subsec. (b)(4), (5).
1975-Subsec. (f).
Effective Date of 2003 Amendment
Amendment by
Effective Date of 1980 Amendment
Amendment by
Savings Provision
Amendment by
Transfers From Special Accounts
Similar provisions were contained in the following prior appropriation acts:
Leasing of Defense Property; Notification of Congress; Waiver; Report to Congress; Definition