AUTHORITY TO LEASE NON-EXCESS PROPERTY OF MILITARY DEPARTMENTS AND DEFENSE AGENCIES.

SEC. 2812. AUTHORITY TO LEASE NON-EXCESS PROPERTY OF MILITARY DEPARTMENTS AND DEFENSE AGENCIES.(a) Consolidation of Separate Authorities.—(1) Establishment of single authority.—Subsection (a) of section 2667 of title 10, United States Code, is amended to read as follows:“(a) Lease Authority.—Whenever the Secretary concerned considers it advantageous to the United States, the Secretary concerned may lease to such lessee and upon such terms as the Secretary concerned considers will promote the national defense or to be in the public interest, real or personal property that—“(1) is under the control of the Secretary concerned;“(2) is not for the time needed for public use; and“(3) is not excess property, as defined by section 102 of title 40.”.(2) Secretary concerned defined.—Subsection (i) of such section is amended by adding at the end the following new paragraph:“(4) The term ‘Secretary concerned’ means—122 STAT. 4726“(A) the Secretary of a military department, with respect to matters concerning that military department; and“(B) the Secretary of Defense, with respect to matters concerning the Defense Agencies.”.(b) Prohibition on Leaseback With Excessive Annual Payments.—Subsection (b) of such section is amended—(1) by striking “and” at the end of paragraph (5);(2) by striking the period at the end of paragraph (6) and inserting “; and”; and(3) by adding at the end the following new paragraph:“(7) may not provide for a leaseback by the Secretary concerned with an annual payment in excess of $500,000.”.(c) Improved Congressional Notification Requirements.—Paragraph (4) of subsection (c) of such section is amended to read as follows:“(4)(A) Not later than 30 days before issuing a contract solicitation or other lease offering under this section for a lease whose annual payment, including any in-kind consideration to be accepted under subsection (b)(5) or this subsection, will exceed $750,000, the Secretary concerned shall submit to the congressional defense committees a report containing—“(i) a description of the proposed lease, including the proposed duration of the lease;“(ii) a description of the authorities to be used in entering the lease and the intended participation of the United States in the lease, including a justification of the intended method of participation;“(iii) a statement of the scored cost of the lease, determined using the scoring criteria of the Office of Management and Budget;“(iv) a determination that the property involved in the lease is not excess property, as required by subsection (a)(3), including the basis for the determination;“(v) a determination that the proposed lease is directly compatible with the mission of the military installation or Defense Agency whose property is to be subject to the lease and the anticipated long-term use of the property at the conclusion of the lease; and“(vi) a description of the requirements or conditions within the contract solicitation or other lease offering for the offeror to address taxation issues, including payments-in-lieu-of taxes, and other development issues related to local municipalities.“(B) In the case of a lease described in subparagraph (A), the Secretary concerned also shall submit to the congressional defense committees a report at least 30 days before the date on which the Secretary concerned enters into a lease the following information:“(i) A copy of the report submitted under subparagraph (A).“(ii) A description of the differences between the report submitted under that subparagraph and the new report.“(iii) A description of the lessee payment required under this section.”.(d) Conforming Amendments to References to Military Departments and Installations.—122 STAT. 4727(1) Community support facilities and community support services.—Subsection (d) of such section is amended—(A) in paragraph (2), by striking “Secretary of a military department” and inserting “Secretary concerned”; and(B) in paragraphs (3), (4), and (6), by striking “of the military department” each place it appears.(2) Deposit and use of proceeds.—Subsection (e) of such section is amended—(A) in paragraph (1)(A)—(i) in the matter preceding clause (i)—(I) by striking “Secretary of a military department” and inserting “Secretary concerned”; and(II) by striking “such military department” and inserting “that Secretary”; and(ii) in clause (iii), by striking “military department” and inserting “Secretary”;(B) in paragraph (1)(B)(i), by striking “Secretary of a military department” and inserting “Secretary concerned”;(C) in paragraph (1)(C), by striking “of a military department pursuant to subparagraph (A) shall be available to the Secretary of that military department” and inserting “established for the Secretary concerned shall be available to the Secretary”;(D) in paragraph (1)(D)—(i) by striking “of a military department under subparagraph (A)” and inserting “established for the Secretary concerned”; and(ii) by inserting “or Defense Agency location” after “military installation”;(E) in paragraph (1)(E), by striking “installation” and inserting “military installation or Defense Agency location”; and(F) in paragraph (3), by striking “Secretary of a military department” and inserting “Secretary concerned”.(3) Base closure property.—Subsection (g)(1) of such section is amended by striking “Secretary of a military department” and inserting “Secretary concerned”.(e) Repeal of Separate Defense Agency Authority.—(1) Repeal.—Section 2667a of such title is repealed.(2) Effect on existing contracts.—The repeal of section 2667a of title 10, United States Code, shall not affect the validity or terms of any lease with respect to property of a Defense Agency entered into by the Secretary of Defense under such section before the date of the enactment of this Act.(3) Treatment of money rents.—Amounts in any special account established for a Defense Agency pursuant to subsection (d) of section 2667a of title 10, United States Code, before repeal of such section by paragraph (1), and amounts that would be deposited in such an account in connection with a lease referred to in paragraph (2), shall—(A) remain available until expended for the purposes specified in such subsection, notwithstanding the repeal of such section by paragraph (1); or(B) to the extent provided in appropriations Acts, be transferred to the special account required for the Secretary 122 STAT. 4728 of Defense by subsection (e) of section 2667 of such title, as amended by subsection (d)(2) of this section.(f) Clerical Amendments.—(1) Section heading.—The heading of section 2667 of such title is amended to read as follows:“§ 2667. Leases: non-excess property of military departments and Defense Agencies” .(2) Table of sections.—The table of sections at the beginning of chapter 159 of such title is amended by striking the items relating to sections 2667 and 2667a and inserting the following new item: “2667. Leases: non-excess property of military departments and Defense Agencies.”.