207.401 Acquisition considerations. If the equipment will be leased for more than 60 days, the requiring activity must prepare and provide the contracting officer with the justification supporting the decision to lease or purchase. 207.470 Statutory requirements. 207.471 Funding requirements. The difference between the two types of leases is described in FMR 7000.14-R, Volume 4, Chapter 7, Section 070308.
Capital leases are essentially installment purchases of property.
Use procurement funds for capital leases.