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10 U.S.C. § 2522 (ARMED FORCES)
§ 2522. Armament retooling and manufacturing
The Secretary of the Army is authorized by chapter 434 of this title to carry out programs for the support of armaments retooling and manufacturing in the national defense industrial and technology base.
(Added Pub. L. 106–398, § 1 [[div. A], title III, § 344(c)(1)(B)], Oct. 30, 2000, 114 Stat. 1654, 1654A–71.)
heading: Prior Provisions
text: A prior section 2522, added Pub. L. 102–190, div. A, title VIII, § 823(a)(1), Dec. 5, 1991, 105 Stat. 1435, § 2518; renumbered § 2522 and amended Pub. L. 102–484, div. D, title XLII, § 4232(a), (b), Oct. 23, 1992, 106 Stat. 2687, related to defense advanced manufacturing technology partnerships, prior to repeal by Pub. L. 104–106, div. A, title X, § 1081(f), Feb. 10, 1996, 110 Stat. 454.
Another prior section 2522, added Pub. L. 101–189, div. A, title VIII, § 841(b)(1), Nov. 29, 1989, 103 Stat. 1512, § 2508; amended Pub. L. 101–510, div. A, title VIII, § 821(a), Nov. 5, 1990, 104 Stat. 1597; Pub. L. 102–25, title VII, § 701(g)(3), Apr. 6, 1991, 105 Stat. 115; renumbered § 2522, Pub. L. 102–190, div. A, title VIII, § 821(b)(1), Dec. 5, 1991, 105 Stat. 1431, required an annual defense critical technologies plan, prior to repeal by Pub. L. 102–484, § 4202(a).
10 U.S.C. § 2523, 2524 (ARMED FORCES)
[§§ 2523, 2524. Repealed. Pub. L. 104–106, div. A, title X, § 1081(f), Feb. 10, 1996, 110 Stat. 454]
text: Section 2523, added Pub. L. 101–510, div. A, title VIII, § 823(a)(3), Nov. 5, 1990, 104 Stat. 1602, § 2517; amended Pub. L. 102–190, div. A, title VIII, § 824(a), Dec. 5, 1991, 105 Stat. 1436; renumbered § 2523 and amended Pub. L. 102–484, div. D, title XLII, § 4233(a), (b), Oct. 23, 1992, 106 Stat. 2687; Pub. L. 103–160, div. A, title IX, § 904(d)(1), title XI, § 1182(b)(2), title XIII, § 1315(d), Nov. 30, 1993, 107 Stat. 1728, 1772, 1787, related to manufacturing extension programs.
text: A prior section 2523, added Pub. L. 102–190, div. A, title VIII, § 821(a), Dec. 5, 1991, 105 Stat. 1427, related to defense dual-use critical technology partnerships, prior to repeal and restatement in section 2511 of this title by Pub. L. 102–484, §§ 4202(a), 4221(a).
text: Section 2524, added Pub. L. 102–484, div. D, title XLII, § 4234(a), Oct. 23, 1992, 106 Stat. 2687; amended Pub. L. 103–35, title II, § 201(g)(9), May 31, 1993, 107 Stat. 100; Pub. L. 103–160, div. A, title XIII, §§ 1314, 1315(e), Nov. 30, 1993, 107 Stat. 1786, 1788; Pub. L. 103–337, div. A, title X, § 1070(b)(10), title XI, §§ 1114(b), (c), 1115(d), Oct. 5, 1994, 108 Stat. 2857, 2867–2869; Pub. L. 104–106, div. A, title XV, § 1503(a)(27), Feb. 10, 1996, 110 Stat. 512, related to defense dual-use assistance extension program.
text: A prior section 2524 was renumbered section 2513 of this title.
10 U.S.C. § 2537 (ARMED FORCES)
§ 2537. Improved national defense control of technology diversions overseas
(a) Collection of Information on Foreign-Controlled Contractors.—
The Secretary of Defense and the Secretary of Energy shall each collect and maintain a data base containing a list of, and other pertinent information on, all contractors with the Department of Defense and the Department of Energy, respectively, that are controlled by foreign persons. The data base shall contain information on such contractors for 1988 and thereafter in all cases where they are awarded contracts exceeding $10,000,000 in any single year by the Department of Defense or the Department of Energy.
(b) Annual Report to Congress.—
The Secretary of Defense, the Secretary of Energy, and the Secretary of Commerce shall submit to the Congress, by March 31 of each year, beginning in 1994, a report containing a summary and analysis of the information collected under subsection (a) for the year covered by the report. The report shall include an analysis of accumulated foreign ownership of United States firms engaged in the development of defense critical technologies.
(c) Technology Risk Assessment Requirement.—
(1) If the Secretary of Defense is acting as a designee of the President under section 721(a) of the Defense Production Act of 1950 (50 U.S.C. App. 2170(a)) and if the Secretary determines that a proposed or pending merger, acquisition, or takeover may involve a firm engaged in the development of a defense critical technology or is otherwise important to the defense industrial and technology base, then the Secretary shall require the appropriate entity or entities from the list set forth in paragraph (2) to conduct an assessment of the risk of diversion of defense critical technology posed by such proposed or pending action.
(2) The entities referred to in paragraph (1) are the following:
(A) The Defense Intelligence Agency.
(B) The Army Foreign Technology Science Center.
(C) The Naval Maritime Intelligence Center.
(D) The Air Force Foreign Aerospace Science and Technology Center.
(Added Pub. L. 102–484, div. A, title VIII, § 838(a), Oct. 23, 1992, 106 Stat. 2465; amended Pub. L. 103–35, title II, § 201(d)(5), (h)(2), May 31, 1993, 107 Stat. 99, 100; Pub. L. 107–314, div. A, title X, § 1041(a)(16), Dec. 2, 2002, 116 Stat. 2645.)
heading: Amendments
text: 2002—Subsec. (a). Pub. L. 107–314 substituted “$10,000,000” for “$100,000”.
1993—Subsec. (a). Pub. L. 103–35, § 201(d)(5), substituted “respectively, that” for “respectively, which”.
Subsec. (d). Pub. L. 103–35, § 201(h)(2), struck out subsec. (d) which read as follows: “In this section, the term ‘defense critical technology’ has the meaning provided that term by section 2491(8) of this title.”
10 U.S.C. § 2538 (ARMED FORCES)
§ 2538. Industrial mobilization: orders; priorities; possession of manufacturing plants; violations
(a) Ordering Authority.—
In time of war or when war is imminent, the President, through the head of any department, may order from any person or organized manufacturing industry necessary products or materials of the type usually produced or capable of being produced by that person or industry.
(b) Compliance With Order Required.—
A person or industry with whom an order is placed under subsection (a), or the responsible head thereof, shall comply with that order and give it precedence over all orders not placed under that subsection.
(c) Seizure of Manufacturing Plants Upon Noncompliance.—
In time of war or when war is imminent, the President, through the head of any department, may take immediate possession of any plant that is equipped to manufacture, or that in the opinion of the head of that department is capable of being readily transformed into a plant for manufacturing, arms or ammunition, parts thereof, or necessary supplies for the armed forces if the person or industry owning or operating the plant, or the responsible head thereof, refuses—
(1) to give precedence to the order as prescribed in subsection (b);
(2) to manufacture the kind, quantity, or quality of arms or ammunition, parts thereof, or necessary supplies, as ordered by the head of such department; or
(3) to furnish them at a reasonable price as determined by the head of such department.
(d) Use of Seized Plant.—
The President, through the head of any department, may manufacture products that are needed in time of war or when war is imminent, in any plant that is seized under subsection (c).
(e) Compensation Required.—
Each person or industry from whom products or materials are ordered under subsection (a) is entitled to fair and just compensation. Each person or industry whose plant is seized under subsection (c) is entitled to a fair and just rental.
(f) Criminal Penalty.—
Whoever fails to comply with this section shall be imprisoned for not more than three years and fined under title 18.
(Added Pub. L. 103–160, div. A, title VIII, § 822(a)(1), Nov. 30, 1993, 107 Stat. 1704; amended Pub. L. 103–337, div. A, title VIII, § 811, Oct. 5, 1994, 108 Stat. 2815.)
heading: Prior Provisions
text: Provisions similar to those in this section were contained in sections 4501 and 9501 of this title, prior to repeal by Pub. L. 103–160, § 822(a)(2).
heading: Amendments
text: 1994—Subsec. (a). Pub. L. 103–337, § 811(1), substituted “head of any department” for “Secretary of Defense”.
Subsec. (c). Pub. L. 103–337, § 811, substituted “through the head of any department” for “through the Secretary of Defense” and “opinion of the head of that department” for “opinion of the Secretary of Defense” in introductory provisions and “head of such department” for “Secretary” in pars. (2) and (3).
Subsec. (d). Pub. L. 103–337, § 811(1), substituted “head of any department” for “Secretary of Defense”.
10 U.S.C. § 2539 (ARMED FORCES)
§ 2539. Industrial mobilization: plants; lists
(a) List of Plants Equipped to Manufacture Arms or Ammunition.—
The Secretary of Defense may maintain a list of all privately owned plants in the United States, and the territories, Commonwealths, and possessions of the United States, that are equipped to manufacture for the armed forces arms or ammunition, or parts thereof, and may obtain complete information of the kinds of those products manufactured or capable of being manufactured by each of those plants, and of the equipment and capacity of each of those plants.
(b) List of Plants Convertible Into Ammunition Factories.—
The Secretary of Defense may maintain a list of privately owned plants in the United States, and the territories, Commonwealths, and possessions of the United States, that are capable of being readily transformed into factories for the manufacture of ammunition for the armed forces and that have a capacity sufficient to warrant conversion into ammunition plants in time of war or when war is imminent, and may obtain complete information as to the equipment of each of those plants.
(c) Conversion Plans.—
The Secretary of Defense may prepare comprehensive plans for converting each plant listed pursuant to subsection (b) into a factory for the manufacture of ammunition or parts thereof.
(Added Pub. L. 103–160, div. A, title VIII, § 822(a)(1), Nov. 30, 1993, 107 Stat. 1705.)
heading: Prior Provisions
text: Provisions similar to those in this section were contained in sections 4502(a)–(c) and 9502(a)–(c) of this title, prior to repeal by Pub. L. 103–160, § 822(a)(2).
10 U.S.C. § 2539a (ARMED FORCES)
§ 2539a. Industrial mobilization: Board on Mobilization of Industries Essential for Military Preparedness
The President may appoint a nonpartisan Board on Mobilization of Industries Essential for Military Preparedness, and may provide necessary clerical assistance, to organize and coordinate operations under sections 2538 and 2539 of this title.
(Added Pub. L. 103–160, div. A, title VIII, § 822(a)(1), Nov. 30, 1993, 107 Stat. 1705, § 2540; renumbered § 2539a, Pub. L. 103–337, div. A, title X, § 1070(a)(13)(A), Oct. 5, 1994, 108 Stat. 2856.)
heading: Prior Provisions
text: Provisions similar to those in this section were contained in sections 4502(d) and 9502(d) of this title, prior to repeal by Pub. L. 103–160, § 822(a)(2).
heading: Amendments
text: 1994—Pub. L. 103–337 renumbered section 2540 of this title as this section.
10 U.S.C. § 2540b (ARMED FORCES)
§ 2540b. Limitations
(a) Terms and Conditions of Loan Guarantees.—
In issuing a guarantee under this subchapter for a medium-term or long-term loan, the Secretary may not offer terms and conditions more beneficial than those that would be provided to the recipient by the Export-Import Bank of the United States under similar circumstances in conjunction with the provision of guarantees for nondefense articles and services.
(b) Losses Arising From Fraud or Misrepresentation.—
No payment may be made under a guarantee issued under this subchapter for a loss arising out of fraud or misrepresentation for which the party seeking payment is responsible.
(c) No Right of Acceleration.—
The Secretary of Defense may not accelerate any guaranteed loan or increment, and may not pay any amount, in respect of a guarantee issued under this subchapter, other than in accordance with the original payment terms of the loan.
(Added Pub. L. 104–106, div. A, title XIII, § 1321(a)(1), Feb. 10, 1996, 110 Stat. 476.)
10 U.S.C. § 2540d (ARMED FORCES)
§ 2540d. Definitions
In this subchapter:
(1) The terms “defense article”, “defense services”, and “design and construction services” have the meanings given those terms in section 47 of the Arms Export Control Act (22 U.S.C. 2794).
(2) The term “cost”, with respect to a loan guarantee, has the meaning given that term in section 502 of the Congressional Budget and Impoundment Control Act of 1974 (2 U.S.C. 661a).
(Added Pub. L. 104–106, div. A, title XIII, § 1321(a)(1), Feb. 10, 1996, 110 Stat. 477.)
10 U.S.C. § 2541 (ARMED FORCES)
§ 2541. Establishment of loan guarantee program
(a) Establishment.—
In order to meet the national security objectives in section 2501(a) of this title, the Secretary of Defense shall establish a program under which the Secretary may issue guarantees assuring lenders against losses of principal or interest, or both principal and interest, for loans made to qualified commercial firms to fund, in whole or in part, any of the following activities:
(1) The improvement of the protection of the critical infrastructure of the commercial firms.
(2) The refinancing of improvements previously made to the protection of the critical infrastructure of the commercial firms.
(b) Qualified Commercial Firms.—
For purposes of this section, a qualified commercial firm is a company or other business entity (including a consortium of such companies or other business entities, as determined by the Secretary) that the Secretary determines—
(1) conducts a significant level of its research, development, engineering, and manufacturing activities in the United States;
(2) is a company or other business entity the majority ownership or control of which is by United States citizens or is a company or other business of a parent company that is incorporated in a country the government of which—
(A) encourages the participation of firms so owned or controlled in research and development consortia to which the government of that country provides funding directly or provides funding indirectly through international organizations or agreements; and
(B) affords adequate and effective protection for the intellectual property rights of companies incorporated in the United States;
(3) provides technology products or services critical to the operations of the Department of Defense;
(4) meets standards of prevention of cyberterrorism applicable to the Department of Defense; and
(5) agrees to submit the report required under section 2541d of this title.
(c) Loan Limits.—
The maximum amount of loan principal guaranteed during a fiscal year under this section may not exceed $10,000,000, with respect to all borrowers.
(d) Goals and Standards.—
The Secretary shall prescribe regulations setting forth goals for the use of the loan guarantees provided under this section and standards for evaluating whether those goals are met by each entity receiving such loan guarantees.
(e) Authority Subject to Provisions of Appropriations.—
The Secretary may guarantee a loan under this subchapter only to such extent or in such amounts as may be provided in advance in appropriations Acts.
(Added Pub. L. 106–398, § 1 [[div. A], title X, § 1033(a)(1)], Oct. 30, 2000, 114 Stat. 1654, 1654A–258.)
heading: Prior Provisions
text: A prior section 2541 was renumbered section 2551 of this title.
Another prior section 2541 was renumbered section 2539b of this title.
10 U.S.C. § 2541a (ARMED FORCES)
§ 2541a. Fees charged and collected
(a) Fee Required.—
The Secretary of Defense shall assess a fee for providing a loan guarantee under this subchapter.
(b) Amount of Fee.—
The amount of the fee shall be not less than 75 percent of the amount incurred by the Secretary to provide the loan guarantee.
(c) Special Account.—
(1) Such fees shall be credited to a special account in the Treasury.
(2) Amounts in the special account shall be available, to the extent and in amounts provided in appropriations Acts, for paying the costs of administrative expenses of the Department of Defense that are attributable to the loan guarantee program under this subchapter.
(3)
(A) If for any fiscal year amounts in the special account established under paragraph (1) are not available (or are not anticipated to be available) in a sufficient amount for administrative expenses of the Department of Defense for that fiscal year that are directly attributable to the administration of the program under this subchapter, the Secretary may use amounts currently available for operations and maintenance for Defense-wide activities, not to exceed $500,000 in any fiscal year, for those expenses.
(B) The Secretary shall, from funds in the special account established under paragraph (1), replenish operations and maintenance accounts for amounts expended under subparagraph (A).
(Added Pub. L. 106–398, § 1 [[div. A], title X, § 1033(a)(1)], Oct. 30, 2000, 114 Stat. 1654, 1654A–259.)
10 U.S.C. § 2541b (ARMED FORCES)
§ 2541b. Administration
(a) Agreements Required.—
The Secretary of Defense may enter into one or more agreements, each with an appropriate Federal or private entity, under which such entity may, under this subchapter—
(1) process applications for loan guarantees;
(2) administer repayment of loans; and
(3) provide any other services to the Secretary to administer this subchapter.
(b) Treatment of Costs.—
The costs of such agreements shall be considered, for purposes of the special account established under section 2541a(c), to be costs of administrative expenses of the Department of Defense that are attributable to the loan guarantee program under this subchapter.
(Added Pub. L. 106–398, § 1 [[div. A], title X, § 1033(a)(1)], Oct. 30, 2000, 114 Stat. 1654, 1654A–259.)
10 U.S.C. § 2541c (ARMED FORCES)
§ 2541c. Transferability, additional limitations, and definition
The following provisions of subchapter VI of this chapter apply to guarantees issued under this subchapter:
(1) Section 2540a, relating to transferability of guarantees.
(2) Subsections (b) and (c) of section 2540b, providing limitations.
(3) Section 2540d(2), providing a definition of the term “cost”.
(Added Pub. L. 106–398, § 1 [[div. A], title X, § 1033(a)(1)], Oct. 30, 2000, 114 Stat. 1654, 1654A–260; amended Pub. L. 107–107, div. A, title X, § 1048(a)(24), Dec. 28, 2001, 115 Stat. 1224.)
heading: Amendments
text: 2001—Pub. L. 107–107 substituted “subchapter” for “subtitle” in two places in introductory provisions.
10 U.S.C. § 2541d (ARMED FORCES)
§ 2541d. Reports
The Secretary of Defense shall require each qualified commercial firm for which a loan is guaranteed under this subchapter to submit to the Secretary a report on the improvements financed or refinanced with the loan. The report shall include an assessment of the value of the improvements for the protection of the critical infrastructure of that commercial firm. The Secretary shall prescribe the time for submitting the report.
(Added Pub. L. 106–398, § 1 [[div. A], title X, § 1033(a)(1)], Oct. 30, 2000, 114 Stat. 1654, 1654A–260; amended Pub. L. 108–136, div. A, title X, § 1031(a)(25), Nov. 24, 2003, 117 Stat. 1598.)
heading: Prior Provisions
text: Prior sections 2542 to 2550 were renumbered sections 2552 to 2560 of this title, respectively.
heading: Amendments
text: 2003—Pub. L. 108–136 struck out subsec. (a) designation and heading and struck out subsec. (b) which directed that the Secretary of Defense annually submit to Congress a report on the loan guarantee program under this subchapter.
10 U.S.C. § 2545 (ARMED FORCES)
§ 2545. Definitions
In this chapter:
(1) The term “acquisition” has the meaning provided in section 4(16) 1 of the Office of Federal Procurement Policy Act (41 U.S.C. 403(16)).
(2) The term “defense acquisition system” means the workforce engaged in carrying out the acquisition of property and services for the Department of Defense; the management structure responsible for directing and overseeing the acquisition of property and services for the Department of Defense; and the statutory, regulatory, and policy framework that guides the acquisition of property and services for the Department of Defense.
(3) The term “element of the defense acquisition system” means an organization that employs members of the acquisition workforce, carries out acquisition functions, and focuses primarily on acquisition.
(4) The term “acquisition workforce” has the meaning provided in section 101(a)(18) of this title.
(Added Pub. L. 111–383, div. A, title VIII, § 861(a), Jan. 7, 2011, 124 Stat. 4288.)
heading: References in Text
text: Section 4(16) of the Office of Federal Procurement Policy Act, referred to in par. (1), means section 4(16) of Pub. L. 93–400, which was classified to section 403(16) of former Title 41, Public Contracts, and was repealed and restated as section 131 of Title 41, Public Contracts, by Pub. L. 111–350, §§ 3, 7(b), Jan. 4, 2011, 124 Stat. 3677, 3855. For disposition of sections of former Title 41, see Disposition Table preceding section 101 of Title 41.
heading: Prior Provisions
text: A prior section 2545 was renumbered section 2555 of this title.
heading: Short Title of 2011 Amendment
text: Pub. L. 111–383, div. A, title VIII, § 860, Jan. 7, 2011, 124 Stat. 4287, provided that: “This subtitle [subtitle F (§§ 860–896) of title VIII of div. A of Pub. L. 111–383, enacting this chapter and sections 139e, 1701a, 1722b, 1748, 1762, and 2508 of this title, amending sections 101, 1723, 1746, 2302, 2500, 2501, 2505, and 2506 of this title, enacting provisions set out as notes under sections 1723, 1748, 2222, 2302, 2306a, 2330, and 2501 of this title, amending provisions set out as notes under section 2371 of this title and section 637 of Title 15, Commerce and Trade, and repealing provisions set out as notes under sections 1701 and 1723 of this title] may be cited as the ‘Improve Acquisition Act of 2010’.”
10 U.S.C. § 2546 (ARMED FORCES)
§ 2546. Civilian management of the defense acquisition system
(a) Responsibility of the Under Secretary of Defense for Acquisition, Technology, and Logistics.—
Subject to the authority, direction and control of the Secretary of Defense, the Under Secretary of Defense for Acquisition, Technology, and Logistics shall be responsible for the management of the defense acquisition system and shall exercise such control of the system and perform such duties as are necessary to ensure the successful and efficient operation of the defense acquisition system, including the duties enumerated and assigned to the Under Secretary elsewhere in this title.
(b) Responsibility of the Service Acquisition Executives.—
Subject to the direction of the Under Secretary of Defense for Acquisition, Technology, and Logistics on matters pertaining to acquisition, and subject to the authority, direction, and control of the Secretary of the military department concerned, a service acquisition executive of a military department shall be responsible for the management of elements of the defense acquisition system in that military department and shall exercise such control of the system and perform such duties as are necessary to ensure the successful and efficient operation of such elements of the defense acquisition system.
(Added Pub. L. 111–383, div. A, title VIII, § 861(a), Jan. 7, 2011, 124 Stat. 4288.)
heading: Prior Provisions
text: A prior section 2546 was renumbered section 2556 of this title.