Sec. 2. PILOT PROGRAM ON ACCEPTANCE BY THE DEPARTMENT OF VETERANS AFFAIRS OF DONATED FACILITIES AND RELATED IMPROVEMENTS
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## SEC. 2 PILOT PROGRAM ON ACCEPTANCE BY THE DEPARTMENT OF VETERANS AFFAIRS OF DONATED FACILITIES AND RELATED IMPROVEMENTS ###
(a)Pilot Program Authorized ####
(1)In general Notwithstanding sections 8103 and 8104 of title 38, United States Code, the Secretary of Veterans Affairs may carry out a pilot program under which the Secretary may accept donations of the following property from entities described in paragraph (2): #####
(A)Real property (including structures and equipment associated therewith)— ######
(i)that includes a constructed facility; or ######
(ii)to be used as the site of a facility constructed by the entity. #####
(B)A facility to be constructed by the entity on real property of the Department of Veterans Affairs. ####
(2)Entities described Entities described in this paragraph are the following: #####
(A)A State or local authority. #####
(B)An organization that is described in section 501(c)(3) of the Internal Revenue Code of 1986 and is exempt from taxation under section 501(a) of such Code. #####
(C)A limited liability corporation. #####
(D)A private entity. #####
(E)A donor or donor group. #####
(F)Any other non-Federal Government entity. ####
(3)Limitation The Secretary may accept not more than five donations of real property and facility improvements under the pilot program and as described in this section. ###
(b)Conditions for Acceptance of Property The Secretary may accept the donation of a property described in subsection (a)(1) under the pilot program only if— ####
(1)the property is— #####
(A)a property with respect to which funds have been appropriated for a Department facility project or for which funds are available from the Construction, Minor Projects, or Construction, Major Projects appropriations accounts; or #####
(B)a property identified as— ######
(i)meeting a need of the Department as part of the long-range capital planning process of the Department; and ######
(ii)the location for a Department facility project that is included on the Strategic Capital Investment Planning process priority list in the most recent budget submitted to Congress by the President pursuant to section 1105(a) of title 31, United States Code; and ####
(2)an entity described in subsection (a)(2) has entered into or is willing to enter into a formal agreement with the Secretary in accordance with subsection
(c)under which the entity agrees to independently donate the real property, improvements, goods, or services, for the Department facility project in an amount acceptable to the Secretary and at no additional cost to the Federal Government. ###
(c)Requirement To Enter Into an Agreement ####
(1)In general The Secretary may accept real property and improvements donated under the pilot program by an entity described in subsection (a)(2) only if the entity enters into a formal agreement with the Secretary that provides for— #####
(A)the donation of real property and improvements (including structures and equipment associated therewith) that includes a constructed facility; or #####
(B)the construction by the entity of a facility on— ######
(i)real property and improvements of the Department of Veterans Affairs; or ######
(ii)real property and improvements donated to the Department by the entity. ####
(2)Content of formal agreements With respect to an entity described in subsection (a)(2) that seeks to enter into a formal agreement under paragraph
(1)of this subsection that includes the construction by the entity of a facility, the formal agreement shall provide for the following: #####
(A)The entity shall conduct all necessary environmental and historic preservation due diligence, shall comply with all local zoning requirements (except for studies and consultations required of the Department under Federal law), and shall obtain all permits required in connection with the construction of the facility. #####
(B)The entity shall use construction standards required of the Department when designing, repairing, altering, or building the facility, except to the extent the Secretary determines otherwise, as permitted by applicable law. #####
(C)The entity shall provide the real property, improvements, goods, or services in a manner described in subsection (b)(2) sufficient to complete the construction of the facility, at no additional cost to the Federal Government. ###
(d)No Payment of Rent or Usage Fees The Secretary may not pay rent, usage fees, or any other amounts to an entity described in subsection (a)(2) or any other entity for the use or occupancy of real property or improvements donated under this section. ###
(e)Funding ####
(1)From department #####
(A)In general Except as otherwise provided in this paragraph, the Secretary may not provide funds to help the entity finance, design, or construct a facility in connection with real property and improvements donated under the pilot program by an entity described in subsection (a)(2) that are in addition to the funds appropriated for the facility or funds already generally available in the Construction, Minor Projects, or Construction, Major Projects appropriations accounts as of the date on which the Secretary and the entity enter into a formal agreement under subsection
(c)for the donation of the real property and improvements. #####
(B)Unobligated amounts The Secretary may provide additional funds to help an entity described in subsection (a)(2) finance, design, or construct a facility in connection with real property and improvements to be donated under the pilot program and proposed to be accepted by the Secretary under subsection (b)(1)(B) if— ######
(i)the Secretary determines that doing so is in the best interest of the Department and consistent with the mission of the Department; and ######
(ii)funding provided under this subparagraph— ######
(I)is in addition to amounts that have been appropriated for the facility before the date on which the Secretary and the entity enter into a formal agreement under subsection
(c)for the construction and donation of the real property and improvements; and ######
(II)is derived only from amounts that— ######
(aa)are unobligated balances available in the Construction, Minor Projects, or Construction, Major Projects appropriations accounts of the Department that— ######
(AA)are not associated with a specific project; or ######
(BB)are amounts that are associated with a specific project, but are unobligated because they are the result of bid savings; and ######
(bb)were appropriated to such an account before the date described in subclause (I). #####
(C)Escalation clauses ######
(i)In general The Secretary may include an escalation clause in a formal agreement under subsection
(c)that authorizes an escalation of not more than an annual amount based on a rate established in the formal agreement and mutually agreed upon by the Secretary and an entity to account for inflation for an area if the Secretary determines, after consultation with the head of an appropriate Federal entity that is not part of the Department, that such escalation is necessary and in the best interest of the Department. ######
(ii)Use of existing amounts The Secretary may obligate funds pursuant to clause
(i)in connection with a formal agreement under subsection
(c)using amounts that— ######
(I)are unobligated balances available in the Construction, Minor Projects, or Construction, Major Projects appropriations accounts of the Department that— ######
(aa)are not associated with a specific project; or ######
(bb)are amounts that are associated with a specific project, but are unobligated because they are the result of bid savings; and ######
(II)were appropriated to such an account before the date on which the Secretary and the entity entered into the formal agreement. #####
(D)Availability Unobligated amounts shall be available pursuant to subparagraphs
(B)and
(C)only to the extent and in such amounts as provided in advance in appropriations Acts subsequent to the date of the enactment of this subparagraph, subject to subparagraph (E). #####
(E)Limitation Unobligated amounts made available pursuant to subparagraphs
(B)and
(C)may not exceed 40 percent of the amount appropriated for the facility before the date on which the Secretary and the entity entered into a formal agreement under subsection (c). #####
(F)Terms and conditions The Secretary shall provide funds pursuant to this paragraph under such terms, conditions, and schedule as the Secretary determines appropriate. ####
(2)From entity An entity described in subsection (a)(2) that is donating a facility constructed by the entity under the pilot program shall be required, pursuant to a formal agreement entered into under subsection (c), to provide other funds in addition to the amounts provided by the Department under paragraph
(1)that are needed to complete construction of the facility. ###
(f)Application An entity described in subsection (a)(2) that seeks to donate real property and improvements under the pilot program shall submit to the Secretary an application to address needs relating to facilities of the Department, including health care needs, identified in the Construction and Long-Range Capital Plan of the Department, at such time, in such manner, and containing such information as the Secretary may require. ###
(g)Information on Donations and Related Projects ####
(1)In general The Secretary shall include in the budget submitted to Congress by the President pursuant to section 1105(a) of title 31, United States Code, information regarding real property and improvements donated under the pilot program during the year preceding the submittal of the budget and the status of facility projects relating to that property. ####
(2)Elements Information submitted under paragraph
(1)shall provide a detailed status of donations of real property and improvements conducted under the pilot program and facility projects relating to that property, including the percentage completion of the donations and projects. ###
(h)Biennial Report of Comptroller General of the United States Not less frequently than once every 2 years until the termination date set forth in subsection (i), the Comptroller General of the United States shall submit to Congress a report on the donation agreements entered into under the pilot program. ###
(i)Termination The authority for the Secretary to accept donations under the pilot program shall terminate on December 16, 2026. ###
(j)Rules of Construction ####
(1)Entering arrangements and agreements Nothing in this section shall be construed as a limitation on the authority of the Secretary to enter into other arrangements or agreements that are authorized by law and not inconsistent with this section. ####
(2)Treatment of assistance Nothing provided under this section shall be treated as Federal financial assistance as defined in section 200.40 of title 2, Code of Federal Regulations, as in effect on February 21, 2021.