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10 U.S.C. § 2495 — Nonappropriated fund instrumentalities: purchase of alcoholic beverages

Federal law — U.S. Code and appendices · legal_authorities

10 U.S.C. § 2495 — Nonappropriated fund instrumentalities: purchase of alcoholic beverages

**(a)** The Secretary of Defense shall provide that— (1) covered alcoholic beverage purchases made for resale on a military installation located in the United States shall be made from the most competitive source and distributed in the most economical manner, price and other factors considered, except that (2) in the case of malt beverages and wine, such purchases shall be made from, and delivery shall be accepted from, a source within the State in which the military installation concerned is located. **(b)** If a military installation located in the contiguous States is located in more than one State, a source of supply in any State in which the installation is located shall be considered for the purposes of subsection (a)(2) to be a source within the State in which the installation is located. **(c)** (1) In the case of covered alcoholic beverage purchases of distilled spirits, to determine whether a nonappropriated fund instrumentality of the Department of Defense provides the most economical method of distribution to package stores, the Secretary of Defense shall consider all components of the distribution costs incurred by the nonappropriated fund instrumentality, such as overhead costs (including costs associated with management, logistics, administration, depreciation, and utilities), the costs of carrying inventory, and handling and distribution costs. (2) The Secretary shall use the agencies performing audit functions on behalf of the armed forces and the Inspector General of the Department of Defense to make determinations under this subsection. **(d)** In this section: (1) The term “covered alcoholic beverage purchases” means purchases of alcoholic beverages by a nonappropriated fund instrumentality of the Department of Defense with nonappropriated fu

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Stable record: federal_law:legal_authorities:record_usc_a4966d0cba763db1d1b7aaff
Source file: Laws/federal/codes/united-states-code/title-10/section-2495-nonappropriated-fund-instrumentalities-purchase-of-alcoholic-beverages--3ecbc733d4.md
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Passage SHA-256: ebe625df91083b9d516a6a9d297060df4747c8f02cb2f199be922c9e6940b5f1

Source location: Title 10, Chapter 147, § 2495; chapter-147-commissaries-and-exchanges-and-other-morale-welfare-and-recreation-activities.md

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**(a)** The Secretary of Defense shall provide that— (1) covered alcoholic beverage purchases made for resale on a military installation located in the United States shall be made from the most competitive source and distributed in the most economical manner, price and other factors considered, except that (2) in the case of malt beverages and wine, such purchases shall be made from, and delivery shall be accepted from, a source within the State in which the military installation concerned is located. **(b)** If a military installation located in the contiguous States is located in more than one State, a source of supply in any State in which the installation is located shall be considered for the purposes of subsection (a)(2) to be a source within the State in which the installation is located. **(c)** (1) In the case of covered alcoholic beverage purchases of distilled spirits, to determine whether a nonappropriated fund instrumentality of the Department of Defense provides the most economical method of distribution to package stores, the Secretary of Defense shall consider all components of the distribution costs incurred by the nonappropriated fund instrumentality, such as overhead costs (including costs associated with management, logistics, administration, depreciation, and utilities), the costs of carrying inventory, and handling and distribution costs. (2) The Secretary shall use the agencies performing audit functions on behalf of the armed forces and the Inspector General of the Department of Defense to make determinations under this subsection. **(d)** In this section: (1) The term “covered alcoholic beverage purchases” means purchases of alcoholic beverages by a nonappropriated fund instrumentality of the Department of Defense with nonappropriated funds. (2) The term “State” includes the District of Columbia.

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Federal law — U.S. Code and appendices · legal_authorities

10 U.S.C. § 2488 — Combined exchange and commissary stores

**(a) Authority.—** The Secretary of Defense may authorize a nonappropriated fund instrumentality to operate a military exchange and a commissary store as a combined exchange and commissary store on a military installation. **(b) Limitations.—** (1) Not more than ten combined exchange and commissary stores may be operated pursuant to this section. (2) The Secretary may select a military installation for the operation of a combined exchange and commissary store under this section only if— (A) the installation is to be closed, or has been or is to be realigned, under a base closure law; or (B) a military exchange and a commissary store are operated at the installation by separate entities at the time of, or immediately before, such selection and it is not economically feasible to continue that separate operation. **(c) Operation at Carswell Field.—** Combined exchange and commissary stores operated under this section shall include the combined exchange and commissary store that is operated at the Naval Air Station Fort Worth, Joint Reserve Center, Carswell Field, Texas, under the authority provided in section 375 of the National Defense Authorization Act for Fiscal Year 1995 (Public Law 103–337; 108 Stat. 2736). **(d) Adjustments and Surcharges.—** Adjustments to, and surcharges on, the sales price of a grocery food item sold in a combined exchange and commissary store under this section shall be provided for in accordance with the same laws that govern such adjustments and surcharges for items sold in a commissary store of the Defense Commissary Agency. **(e) Use of Appropriated Funds.—** (1) If a nonappropriated fund instrumentality incurs a loss in operating a combined exchange and commissary store at a military installation under this section as a result

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Federal law — U.S. Code and appendices · legal_authorities

10 U.S.C. § 2495 — Nonappropriated fund instrumentalities:

Page 1978 TITLE 10—ARMED FORCES § 2494 priate for establishing in the fund a corpus sufficient for operating Fisher Houses and Fisher Suites associ- ated with health care facilities of the Department of the Navy. ‘‘(2) Of the amount authorized to be appropriated pur- suant to section 301(4) for operation and maintenance for the Air Force, the Secretary of the Air Force shall transfer to the fund established by that Secretary under section 2493(d) of title 10, United States Code (as added by subsection (a)), such amount as that Sec- retary considers appropriate for establishing in the fund a corpus sufficient for operating Fisher Houses and Fisher Suites associated with health care facilities of the Department of the Air Force. ‘‘(d) REPORTING REQUIREMENTS.—The Secretary of each military department, upon completing the actions required of the Secretary under subsections (b) and (c), shall submit to Congress a report containing— ‘‘(1) the certification of that Secretary that those actions have been completed; and ‘‘(2) a statement of the amount deposited in the fund established by that Secretary under section 2493(d) of title 10, United States Code (as added by subsection (a)). ‘‘(e) AVAILABILITY OF TRANSFERRED AMOUNTS.— Amounts transferred under subsection (b) or (c) to a fund established under section 2493(d) of title 10, United States Code (as added by subsection (a)), shall be avail- able without fiscal year limitation for the purposes for which the fund is established and shall be administered as nonappropriated funds.’’ § 2494. Nonappropriated fund instrumentalities: furnishing utility services for morale, wel- fare, and recreation purposes Appropriations for the Department of Defense may be used to provide utility services for— (1) build

Source: Supplied 2024 U.S. Code historical extraction · 10 U.S.C. § 2495

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