Sec. 2803. OVERSIGHT AND ACCOUNTABILITY FOR MILITARY HOUSING PRIVATIZATION PROJECTS AND RELATED ANNUAL REPORTING REQUIREMENTS

964 words·~4 min read·/statute-compilations/comps-10359/sec-2803

A research copy — for the controlling text, always check the official state or federal source. Not legal advice.

## SEC. 2803 OVERSIGHT AND ACCOUNTABILITY FOR MILITARY HOUSING PRIVATIZATION PROJECTS AND RELATED ANNUAL REPORTING REQUIREMENTS ###

(a)Financial Integrity and Accountability Measures for Sustainment of Privatization Projects ####

(1)Financial integrity and accountability measures required Section 2885 of title 10, United States Code, is amended by adding at the end the following new subsection: > > ### “(f) Financial Integrity and Accountability Measures > > > ####

(1)> > The regulations required by subsection

(a)shall address the following requirements for each military housing privatization project upon the completion of the construction or renovation of the housing units: > > > ##### “(A) > > The financial health and performance of the privatization project, including the debt-coverage ratio of the project and occupancy rates for the housing units. > > > ##### “(B) > > An assessment of the backlog of maintenance and repair of the housing units. > > > #### “(2) > > If the debt service coverage for a military housing privatization project falls below 1.0 or the occupancy rates for the housing units of the project are below 75 percent for more than one year, the Secretary concerned shall require the development of a plan to address the financial risk of the project.” > . ####

(2)Conforming amendment Subsection

(a)of such section is amended in the matter preceding paragraph

(1)by inserting before the period at the end of the first sentence the following: “during the course of the construction or renovation of the housing units”. ###

(b)Annual Reporting Requirements Section 2884 of such title is amended by striking subsection

(b)and inserting the following new subsections: > > ### “(b) Annual Reports to Accompany Budget Materials > > The Secretary of Defense shall include each year in the materials that the Secretary submits to Congress in support of the budget submitted by the President pursuant to section 1105 of title 31 the following: > > > #### “(1) > > A separate report on the expenditures and receipts during the preceding fiscal year covering each of the Funds established under section 2883 of this title, including a description of the specific construction, acquisition, or improvement projects from which funds were transferred and the privatization projects or contracts to which those funds were transferred. Each report shall also include, for each military department or defense agency, a description of all funds to be transferred to such Funds for the current fiscal year and the next fiscal year. > > > #### “(2) > > A report setting forth, by armed force, the following: > > > ##### “(A) > > An estimate of the amounts of basic allowance for housing under section 403 of title 37 that will be paid, during the current fiscal year and the fiscal year for which the budget is submitted, to members of the armed forces living in housing provided under the authorities in this subchapter. > > > ##### “(B) > > The number of units of military family housing and military unaccompanied housing upon which the estimate under subparagraph

(A)for the current fiscal year and the next fiscal year is based. > > > #### “(3) > > A description of the plans for housing privatization activities to be carried out under this subchapter— > > > ##### “(A) > > during the fiscal year for which the budget is submitted; and > > > ##### “(B) > > during the period covered by the then-current future-years defense plan under section 221 of this title. > > > #### “(4) > > A report identifying each family housing unit acquired or constructed under this subchapter that is used, or intended to be used, as quarters for a general officer or flag officer and for which the total operation, maintenance, and repair costs for the unit exceeded $50,000. For each housing unit so identified, the report shall also include the total of such operation, maintenance, and repair costs. > > > ### “(c) Annual Report on Privatization Projects > > The Secretary of Defense shall submit to the congressional defense committees a semi-annual report containing on evaluation of the status of oversight and accountability measures under section 2885 of this title for military housing privatization projects. To the extent each Secretary concerned has the right to attain the information described in this subsection, each report shall include, at a minimum, the following: > > > #### “(1) > > An assessment of the backlog of maintenance and repair at each military housing privatization project where a significant backlog exists, including an estimation of the cost of eliminating the maintenance and repair backlog. > > > #### “(2) > > If the debt associated with a privatization project exceeds net operating income or the occupancy rates for the housing units are below 75 percent for more than one year, the plan developed to mitigate the financial risk of the project. > > > #### “(3) > > An assessment of any significant project variances between the actual and pro forma deposits in the recapitalization account. > > > #### “(4) > > The details of any significant withdrawals from a recapitalization account, including the purpose and rationale of the withdrawal and, if the withdrawal occurs before the normal recapitalization period, the impact of the early withdrawal on the financial health of the project. > > > #### “(5) > > An assessment of the extent to which the information required to comply with paragraphs

(1)through

(4)has been requested by the Secretaries, but has not been made available. > > > #### “(6) > > An assessment of cost assessed to members of the armed forces for utilities compared to utility rates in the local area.” > .