### §701. Administrative

(a) Policies Prescribed by the President.—The President may prescribe policies that the President considers necessary to carry out this chapter. The policies must be consistent with this chapter.

(b) Executive Agency Responsibility.—

(1) In general.—The head of an executive agency that has foreign excess property is responsible for the disposal of the property.

(2) Conformance to policies.—In carrying out functions under this chapter, the head of an executive agency shall—

(A) use the policies prescribed by the President under subsection (a) for guidance; and

(B) dispose of foreign excess property in a manner that conforms to the foreign policy of the United States.

(3) Delegation of authority.—The head of an executive agency may—

(A) delegate authority conferred by this chapter to an official in the agency or to the head of another executive agency; and

(B) authorize successive redelegation of authority conferred by this chapter.

(4) Employment of personnel.—As necessary to carry out this chapter, the head of an executive agency may—

(A) appoint and fix the pay of personnel in the United States, subject to chapters 33 and 51 and subchapter III of chapter 53 of title 5; and

(B) appoint personnel outside the States of the United States and the District of Columbia, without regard to chapter 33 of title 5.

(c) Special Responsibilities of Secretary of State.—

(1) Use of foreign currencies and credits.—The Secretary of State may use foreign currencies and credits acquired by the United States under section 704(b)(2) of this title—

(A) to carry out the Mutual Educational and Cultural Exchange Act of 1961 (22 U.S.C. 2451 et seq.);

(B) to carry out the Foreign Service Buildings Act, 1926 (22 U.S.C. 292 et seq.); and

(C) to pay other governmental expenses payable in local currencies.

(2) Renewal of certain agreements.—Except as otherwise directed by the President, the Secretary of State shall continue to perform functions under agreements in effect on July 1, 1949, related to the disposal of foreign excess property. The Secretary of State may amend, modify, and renew the agreements. Foreign currencies or credits the Secretary of State acquires under the agreements shall be administered in accordance with procedures that the Secretary of the Treasury may establish. Foreign currencies or credits reduced to United States currency must be deposited in the Treasury as miscellaneous receipts.

(Pub. L. 107–217, Aug. 21, 2002, 116 Stat. 1125.)

| Revised Section | Source (U.S. Code) | Source (Statutes at Large) |
| --- | --- | --- |
| 701(a) | 40:514(a) (words before last comma). | June 30, 1949, ch. 288, title IV, §404, 63 Stat. 398; Pub. L. 86–624, §27(c), July 12, 1960, 74 Stat. 418; Pub. L. 96–470, title I, §101(a), Oct. 19, 1980, 94 Stat. 2237. |
| 701(b)(1) | 40:511 (words before proviso). | June 30, 1949, ch. 288, title IV, §401, 63 Stat. 397. |
| | 40:514(d). | |
| 701(b)(2)(A) | 40:514(a) (words after last comma). | |
| 701(b)(2)(B) | 40:511 (proviso cl. (a)). | |
| 701(b)(3) | 40:514(b). | |
| 701(b)(4) | 40:514(c). | |
| 701(c)(1) | 40:511 (proviso cl. (b) (words before "and the authority to amend")[)]. | |
| 701(c)(2) | 40:511 (proviso cl. (b) (words beginning "and the authority to amend"), (c), (d)). | |

Section

In subsection (b)(1), the text of 40:514(d) is omitted as executed and obsolete.

In subsection (b)(4), the words "chapters 33 and 51 and subchapter III of chapter 53 of title 5" are substituted for "the civil-service and classification laws", and the words "chapter 33 of title 5" are substituted for "the civil-service laws", because of section 7(b) of the Act of September 6, 1966 (Public Law 89–554, 80 Stat. 631), the first section of which enacted Title 5, United States Code. In subclause (A), the words "in the United States" are added for clarity. In subclause (B), provisions related to the heads of executive agencies fixing the compensation of personnel outside the continental limits of the United States that were contained in section 404(c)(2) of the Federal Property and Administrative Services Act of 1949 are omitted as obsolete. Sections 1202 and 1204 of the Classification Act of 1949 (ch. 782, 63 Stat. 972, 973) repealed the Classification Act of 1923 (ch. 265, 42 Stat. 1488) and all other provisions inconsistent with the 1949 Act. The Classification Act of 1949 was repealed by section 8(a) of the Act of September 6, 1966 (Public Law 89–554, 80 Stat. 632), the first section of which enacted title 5, United States Code. The Classification Act of 1949 was reenacted as chapter 51 and subchapter III of chapter 53 of title 5. See especially 5:5102 and 5103.

In subsection (c)(1), the words "Mutual Educational and Cultural Exchange Act of 1961 (22 U.S.C. 2451 et seq.)" are substituted for "section 32(b)(2) of the Surplus Property Act of 1944, as amended" because of section 111(a)(1) and (c) of the Mutual Educational and Cultural Exchange Act of 1961 (Public Law 87–257, 75 Stat. 538). The words "Foreign Service Buildings Act, 1926" are substituted for "Foreign Service Buildings Act of May 7, 1926, as amended" because of section 8 of the Foreign Service Buildings Act (22:299). The words "(including section 295b of title 22)" are omitted as executed and obsolete.

In subsection (c)(2), the words "Secretary of State" are substituted for "Department of State" because of 22:2651.

#### **Editorial Notes**

#### References in Text

The Mutual Educational and Cultural Exchange Act of 1961, referred to in subsec. (c)(1)(A), is Pub. L. 87–256, Sept. 21, 1961, 75 Stat. 527, which is classified principally to chapter 33 (§2451 et seq.) of Title 22, Foreign Relations and Intercourse. For complete classification of this Act to the Code, see Short Title note set out under section 2451 of Title 22 and Tables.

The Foreign Service Buildings Act, 1926, referred to in subsec. (c)(1)(B), is act May 7, 1926, ch. 250, 44 Stat. 403, as which is classified generally to chapter 8 (§292 et seq.) of Title 22, Foreign Relations and Intercourse. For complete classification of this Act to the Code, see section 299 of Title 22 and Tables.