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10 U.S.C. § 2885 — Oversight and accountability for privatization projects
Federal law — U.S. Code and appendices · legal_authorities
**(a) Oversight and Accountability Measures.—** Each Secretary concerned shall prescribe regulations to effectively oversee and manage military housing privatization projects carried out under this subchapter during the course of the construction or renovation of the housing units. The regulations shall include the following requirements for each privatization project:
(1) The installation asset manager shall conduct monthly site visits and provide quarterly reports on the progress of the construction or renovation of the housing units. The reports shall be submitted quarterly to the assistant secretary for installations and environment of the respective military department.
(2) The installation asset manager, and, as applicable, the resident construction manager, privatization asset manager, bondholder representative, project owner, developer, general contractor, and construction consultant for the project shall conduct meetings to ensure that the construction or renovation of the units meets performance and schedule requirements and that appropriate operating and ground lease agreements are in place and adhered to.
(3) In the case of a project for new construction, if the project is 90 days or more behind schedule or otherwise appears to be substantially failing to adhere to the obligations or milestones under the contract, the assistant secretary for installations and environment of the respective military department shall submit a notice of deficiency to the Assistant Secretary of Defense for Energy, Installations, and Environment, the Secretary concerned, the managing member, and the trustee for the project.
(4)
(A) Not later than 15 days after the submittal of a notice of deficiency under paragraph (3), the Secretary concerned or designated representative s
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Source location: Title 10, Chapter 169, § 2885; chapter-169-military-construction-and-military-family-housing.md
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**(a) Oversight and Accountability Measures.—** Each Secretary concerned shall prescribe regulations to effectively oversee and manage military housing privatization projects carried out under this subchapter during the course of the construction or renovation of the housing units. The regulations shall include the following requirements for each privatization project:
(1) The installation asset manager shall conduct monthly site visits and provide quarterly reports on the progress of the construction or renovation of the housing units. The reports shall be submitted quarterly to the assistant secretary for installations and environment of the respective military department.
(2) The installation asset manager, and, as applicable, the resident construction manager, privatization asset manager, bondholder representative, project owner, developer, general contractor, and construction consultant for the project shall conduct meetings to ensure that the construction or renovation of the units meets performance and schedule requirements and that appropriate operating and ground lease agreements are in place and adhered to.
(3) In the case of a project for new construction, if the project is 90 days or more behind schedule or otherwise appears to be substantially failing to adhere to the obligations or milestones under the contract, the assistant secretary for installations and environment of the respective military department shall submit a notice of deficiency to the Assistant Secretary of Defense for Energy, Installations, and Environment, the Secretary concerned, the managing member, and the trustee for the project.
(4)
(A) Not later than 15 days after the submittal of a notice of deficiency under paragraph (3), the Secretary concerned or designated representative shall submit to the project owner, developer, or general contractor responsible for the project a summary of deficiencies related to the project.
(B) If the project owner, developer, or general contractor responsible for the privatization project is unable, within 60 days after receiving a notice of deficiency under subparagraph (A), to make progress on the issues outlined in such notice, the Secretary concerned shall notify, in an electronic medium pursuant to [section 480 of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title10-section480&num=0&edition=prelim), the congressional defense committees of the status of the project and include a recommended course of action to correct the problems.
**(b) Required Qualifications.—** The Secretary concerned or designated representative shall ensure that the project owner, developer, or general contractor that is selected for each military housing privatization initiative project has construction experience commensurate with that required to complete the project.
**(c) Bonding Levels.—** The Secretary concerned shall ensure that the project owner, developer, or general contractor responsible for a military housing privatization initiative project has sufficient payment and performance bonds or suitable instruments in place for each phase of a construction or renovation portion of the project to ensure successful completion of the work in amounts as agreed to in the project’s legal documents, but in no case less than 50 percent of the total value of the active phases of the project, prior to the commencement of work for that phase.
**(d) Reporting of Efforts To Select Successor in Event of Default.—** In the event a military housing privatization initiative project enters into default, the assistant secretary for installations and environment of the respective military department shall submit, in an electronic medium pursuant to [section 480 of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title10-section480&num=0&edition=prelim), a report to the congressional defense committees every 90 days detailing the status of negotiations to award the project to a new project owner, developer, or general contractor.
**(e) Effect of Notices of Deficiency on Contractors and Affiliated Entities.—**
(1) The Secretary concerned shall keep a record of all plans of action or notices of deficiency issued to a project owner, developer, or general contractor under subsection (a)(4), including the identity of each parent, subsidiary, affiliate, or other controlling entity of such owner, developer, or contractor.
(2) Each military department shall consult all records maintained under paragraph (1) when reviewing the past performance of owners, developers, and contractors in the bidding process for a contract or other agreement for a military housing privatization initiative project.
**(f) Financial Integrity and Accountability Measures.—**
(1) The regulations required by subsection (a) shall address the following requirements for each military housing privatization project upon the completion of the construction or renovation of the housing units:
(A) The financial health and performance of the privatization project, including the debt-coverage ratio of the project and occupancy rates for the housing units.
(B) An assessment of the backlog of maintenance and repair of the housing units.
(2) If the debt service coverage for a military housing privatization project falls below 1.0 or the occupancy rates for the housing units of the project are below 75 percent for more than one year, the Secretary concerned shall require the development of a plan to address the financial risk of the project.
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Federal law — U.S. Code and appendices · legal_authorities
**(a)** There is in the Department of Defense an Office of the Secretary of Defense. The function of the Office is to assist the Secretary of Defense in carrying out the Secretary’s duties and responsibilities and to carry out such other duties as may be prescribed by law.
**(b)** The Office of the Secretary of Defense is composed of the following:
(1) The Deputy Secretary of Defense.
(2) Repealed. Pub. L. 116–283, div. A, title IX, § 901(a)(2)(A), Jan. 1, 2021, 134 Stat. 3794.]
(3) The Under Secretaries of Defense, as follows:
(A) The Under Secretary of Defense for Research and Engineering.
(B) The Under Secretary of Defense for Acquisition and Sustainment.
(C) The Under Secretary of Defense for Policy.
(D) The Under Secretary of Defense (Comptroller).
(E) The Under Secretary of Defense for Personnel and Readiness.
(F) The Under Secretary of Defense for Intelligence and Security.
(4) Other officers who are appointed by the President, by and with the advice and consent of the Senate, and who report directly to the Secretary and Deputy Secretary without intervening authority, as follows:
(A) The Director of Cost Assessment and Program Evaluation.
(B) The Director of Operational Test and Evaluation.
(C) The General Counsel of the Department of Defense.
(D) The Inspector General of the Department of Defense.
(5) The Chief Information Officer of the Department of Defense, who reports directly to the Secretary and Deputy Secretary without intervening authority.
(6) The Deputy Under Secretaries of Defense.
(7) The Assistant Secretaries of Defense.
(8) Other officials provided for by law, as follows:
(A) The two Deputy Directors within the Office of the Director of Cost Assessment and Program Evaluation under [section 139a(c) of this t
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Federal law — U.S. Code and appendices · legal_authorities
**(a) Requirement.—** Whenever the Secretary of Defense or any other official of the Department of Defense submits to Congress (or any committee of either House of Congress) a report that the Secretary (or other official) is required by law to submit, the Secretary (or other official) shall provide to Congress (or such committee) a copy of the report in an electronic medium.
**(b) Exception.—** Subsection (a) does not apply to a report submitted in classified form.
**(c) Definition.—** In this section, the term “report” includes any certification, notification, or other communication in writing.
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Federal law — U.S. Code and appendices · legal_authorities
**(a) In General.—** The Secretary concerned may use the authority under this subchapter to enter into contracts with appropriate private sector entities for the acquisition or construction of military unaccompanied housing in the United States, including any territory or possession of the United States.
**(b) Treatment of Housing; Assignment of Members.—** The Secretary concerned may assign members of the armed forces without dependents to housing units acquired or constructed pursuant to this section, and such housing units shall be considered as quarters of the United States or a housing facility under the jurisdiction of the Secretary for purposes of [section 403 of title 37](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title37-section403&num=0&edition=prelim).
**(c) Basic Allowance for Housing.—**
(1) The Secretary of Defense may prescribe and, under section 403(o) of title 37, pay for members of the armed forces without dependents in privatized housing units acquired or constructed pursuant to this section higher rates of partial basic allowance for housing than the rates authorized under paragraph (2) of such section.
(2) The partial basic allowance for housing paid for a member at a higher rate under this subsection may be paid directly to the private sector source of the housing to whom the member is obligated to pay rent or other charge for residing in such housing if the private sector source credits the amount so paid against the amount owed by the member for the rent or other charge.
**(d) Funding.—**
(1) The Secretary concerned shall use the Department of Defense Military Unaccompanied Housing Improvement Fund to carry out activities pursuant to this section.
(2) Subject to 30 days prior notification to the appropriate committees of
Source: Supplied U.S. Code snapshot — release unconfirmed · 10 U.S.C. § 2881a
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Federal law — U.S. Code and appendices · legal_authorities
**(a) Project Reports.—**
(1) The Secretary concerned shall transmit to the appropriate committees of Congress a report describing—
(A) each contract or agreement for the acquisition or construction of family housing units or unaccompanied housing units under this subchapter; and
(B) each conveyance or lease proposed under [section 2878 of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title10-section2878&num=0&edition=prelim).
(2) A report required by paragraph (1) shall include the following:
(A) A description of the contract, agreement, conveyance, or lease, including a summary of the terms of the contract, agreement, conveyance, or lease.
(B) A description of the authorities to be utilized in entering into the contract, agreement, conveyance, or lease and the intended method of participation of the United States in the contract, agreement, conveyance, or lease, including a justification of the intended method of participation.
(C) A statement of the scored cost of the contract, agreement, conveyance, or lease, as determined by the Office of Management and Budget.
(D) A statement of the United States funds required for the contract, agreement, conveyance, or lease and a description of the source of such funds, including a description of the specific construction, acquisition, or improvement projects from which funds were transferred to the Funds established under [section 2883 of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title10-section2883&num=0&edition=prelim) in order to finance the contract, agreement, conveyance, or lease.
(E) An economic assessment of the life cycle costs of the contract, agreement, conveyance, or lease, including an estimate of the amount of United States funds tha
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Federal law — U.S. Code and appendices · legal_authorities
Page 2309
TITLE 10—ARMED FORCES
§ 2885
participation of the United States in the contract, con-
veyance, or lease and provide a justification of such
method of participation.’’
Subsec. (b)(5), (6). Pub. L. 108–375, § 2806(b), added par.
(5) and redesignated former par. (5) as (6).
2003—Subsec. (a)(2) to (4). Pub. L. 108–136, § 2807(a),
designated second sentence of par. (2) as par. (4) and
added par. (3).
Subsec. (b)(2). Pub. L. 108–136, § 2807(b)(1), inserted be-
fore period at end ‘‘, and such recommendations as the
Secretary considers necessary for improving the extent
and effectiveness of the use of such authorities in the
future’’.
Subsec. (b)(3) to (5). Pub. L. 108–136, § 2807(b)(2), added
pars. (3) to (5) and struck out former par. (3) which read
as follows: ‘‘A description of the objectives of the De-
partment of Defense for providing military family
housing and military unaccompanied housing for mem-
bers of the armed forces.’’
Statutory Notes and Related Subsidiaries
EFFECTIVE DATE OF 2011 AMENDMENT
Pub. L. 111–383, div. A, title X, § 1075(h), Jan. 7, 2011,
124 Stat. 4377, provided that amendment by section
1075(h)(6) is effective as of Jan. 6, 2006, and as if in-
cluded in Pub. L. 109–163 as enacted.
TERMINATION OF REPORTING REQUIREMENTS
For termination, effective Dec. 31, 2021, of provisions
in subsecs. (b) and (c) of this section requiring sub-
mittal of reports to Congress, see section 1061 of Pub.
L. 114–328, set out as a note under section 111 of this
title.
FINAL REPORT
Pub. L. 104–106, div. B, title XXVIII, § 2801(b), Feb. 10,
1996, 110 Stat. 551, provided that, not later than Mar. 1,
2000, the Secretary of Defense was to submit to the con-
gressional defense committees a report on the use by
the Secretary of Defense and the
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