§ 4664. Requirements relating to long-term concessions agreements with certain retailers

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(a)Prohibition on Contracting With Certain Retailers.— Except as provided by subsections

(b)and (c), the Secretary of Defense may not renew, extend, or enter into a long-term concessions agreement with a retailer that is controlled by a covered nation to permit such retailer to operate or conduct business through a physical location on a covered military installation.

(b)Waiver.—

(1)The Secretary may waive the requirements of subsection

(a)with respect to a long-term concessions agreement with a retailer if the Secretary determines that—

(A)the goods or services to be provided by the retailer under such long-term concessions agreement are vital for the welfare and morale of members of the Armed Forces and no reasonable alternatives exist; and

(B)the Secretary has implemented adequate measures to mitigate any potential national security risks of the retailer.

(2)Not later than 30 days after each use of the waiver authority under paragraph (1), the Secretary shall provide to the Committees on Armed Services of the House of Representatives and Senate a justification for such waiver and a description of any risk mitigation strategies described in paragraph (1)(B).

(c)Exceptions.— Subsection

(a)does not apply with respect to a long-term concessions agreement with a retailer if—

(1)such retailer has received a determination from the Committee on Foreign Investment in the United States (in this section referred to as the “Committee”) that there are no unresolved national security concerns with respect to the retailer in connection to a matter submitted to the Committee and which the Committee concluded all action pursuant to section 721 of the Defense Production Act of 1950 (50 U.S.C. 4565); or

(2)such retailer is organized under the laws of the United States or any jurisdiction of the United States and is operated by citizens of the United States and the products offered for sale by such retailer on the covered military installation under such long-term concessions agreement are not produced in a covered nation.

(d)Definitions.— In this section:

(1)The term “controlled by a covered nation” means, with respect to a retailer—

(A)that the retailer is organized under the laws of a covered nation or any jurisdiction within a covered nation;

(B)that the government of a covered nation—

(i)owns 50 percent or more of the shares of the retailer; or

(ii)otherwise owns the controlling interest in such retailer; or

(C)that the retailer is subject to the direct control of the government of a covered nation.

(2)The term “covered military installation” means a military installation (as defined in section 2801 of this title) located in the United States.

(3)The term “covered nation” has the meaning given in section 4872 of this title.

(4)The term “long-term concessions agreement” means a contract, subcontract, or other agreement, including a lease agreement or licensing agreement, to operate a business through a physical location on a covered military installation entered into by—

(A)the Secretary of Defense or a Secretary of a military department and a person; or

(B)a person and a nonappropriated fund instrumentality.

(5)The term “retailer” means a person that operates or seeks to operate a business providing goods or services on a covered military installation under a contract, subcontract, or other agreement, including a lease agreement or licensing agreement, with—

(A)a nonappropriated fund instrumentality;

(B)the Secretary of Defense; or

(C)a Secretary of a military department.

(Added Pub. L. 119–60, div. A, title VIII, § 841(b), Dec. 18, 2025, 139 Stat. 972.)

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