1997—Subsec. (a). Pub. L. 105–85 substituted “such leasing” for “leasing of such vehicles”.
1996—Pub. L. 104–106 substituted “Lease of vehicles, equipment, vessels, and aircraft” for “Lease of vessels, aircraft, and vehicles” as section catchline, designated existing text as subsec. (b), inserted subsec. (b) heading, and added subsec. (a).
Multi-Year Aircraft Lease Pilot Program
Pub. L. 108–136, div. A, title I, § 135, Nov. 24, 2003, 117 Stat. 1413, as amended by Pub. L. 108–375, div. A, title I, § 133, Oct. 28, 2004, 118 Stat. 1829, which prohibited the leasing of tanker aircraft pursuant to the multiyear aircraft lease pilot program under Pub. L. 107–117, § 8159, set out below, and authorized the Secretary of the Air Force to enter into a multiyear contract for the purchase of such aircraft, was repealed by Pub. L. 110–417, [div. A], title I, § 132, Oct. 14, 2008, 122 Stat. 4377.
Pub. L. 107–206, title I, § 308, Aug. 2, 2002, 116 Stat. 841, provided that:
“During the current fiscal year and hereafter, section 2533a of title 10
, United States
Code, shall not apply to any transaction entered into to acquire or sustain aircraft under the authority of section 8159 of the Department of Defense Appropriations Act, 2002
(division A of Public Law 107–117
; 115 Stat. 2284
) [set out below].”
Pub. L. 107–117, div. A, title VIII, § 8159, Jan. 10, 2002, 115 Stat. 2284, as amended by Pub. L. 107–248, title VIII, § 8117, Oct. 23, 2002, 116 Stat. 1564; Pub. L. 113–76, div. C, title VIII, § 8122, Jan. 17, 2014, 128 Stat. 133, provided that:
The Secretary of the Air Force may, from funds provided in this Act [see Tables for classification] or any future appropriations Act, establish and make payments on a multi-year pilot program for leasing general purpose Boeing 767 aircraft and Boeing 737 aircraft in commercial configuration.
of title 10
, United States
Code, shall not apply to any aircraft lease authorized by this section.
“(c) Under the aircraft lease Pilot Program authorized by this section:
The Secretary may include terms and conditions in lease agreements that are customary in aircraft leases by a non-Government lessor to a non-Government lessee, but only those that are not inconsistent with any of the terms and conditions mandated herein. Notwithstanding the provisions of Section 3324 of Title 31
, United States
Code, payment for the acquisition of leasehold interests under this section may be made for each annual term up to one year in advance.
The term of any individual lease agreement into which the Secretary enters under this section shall not exceed 10 years, inclusive of any options to renew or extend the initial lease term.
The Secretary may provide for special payments in a lessor if the Secretary terminates or cancels the lease prior to the expiration of its term. Such special payments shall not exceed an amount equal to the value of 1 year’s lease payment under the lease.
Subchapter IV of chapter 15
of title 31, United States
Code shall apply to the lease transactions under this section, except that the limitation in section 1553(b)(2) shall not apply.
The Secretary shall lease aircraft under terms and conditions consistent with this section and consistent with the criteria for an operating lease as defined in OMB Circular A–11, as in effect at the time of the lease.
“(6) Lease arrangements authorized by this section may not commence until:
The Secretary submits a report to the congressional defense committees
[Committees on Armed Services of the Senate
and House of Representatives
and Subcommittees on Defense of the Committees on Appropriations of the Senate
and House of Representatives
] outlining the plans for implementing the Pilot Program. The report shall describe the terms and conditions of proposed contracts and describe the expected savings, if any, comparing total costs,
including operation, support, acquisition, and financing, of the lease, including modification, with the outright purchase of the aircraft as modified.
A period of not less than 30 calendar days has elapsed after submitting the report.
The Air Force shall accept delivery of the aircraft in a general purpose configuration.
At the conclusion of the lease term, each aircraft obtained under that lease may be returned to the contractor
in the same configuration in which the aircraft was delivered.
The present value
of the total payments over the duration of each lease entered into under this authority shall not exceed 90 percent of the fair market value of the aircraft obtained under that lease.
“(d) No lease entered into under this authority shall provide for—
the modification of the general purpose aircraft from the commercial configuration, unless and until separate authority for such conversion is enacted and only to the extent budget
authority is provided in advance in appropriations Acts for that purpose; or
the purchase of the aircraft by, or the transfer of ownership to, the Air Force.
The authority granted to the Secretary of the Air Force by this section is separate from and in addition to, and shall not be construed to impair or otherwise affect, the authority of the Secretary to procure transportation or enter into leases under a provision of law other than this section.
The authority provided under this section may be used to lease not more than a total of 100 Boeing 767 aircraft and 4 Boeing 737 aircraft for the purposes specified herein.
Notwithstanding any other provision of law, any payments required for a lease entered into under this Section, or any payments made pursuant to subsection (c)(3) above, may be made from appropriations available for operation and maintenance or for lease or procurement of aircraft at the time that the lease takes effect; appropriations available for operation and maintenance or for lease or procurement of aircraft at the time that the payment is due; or funds appropriated for those payments.”
Pub. L. 106–79, title VIII, § 8133, Oct. 25, 1999, 113 Stat. 1267, which authorized the Secretary of the Air Force to establish a multi-year pilot program for leasing aircraft for operational support purposes, was repealed by Pub. L. 115–232, div. A, title VIII, § 812(b)(34), Aug. 13, 2018, 132 Stat. 1849.
Pilot Program for Leasing Commercial Utility Cargo Vehicles
Pub. L. 104–106, div. A, title VIII, § 807(c), Feb. 10, 1996, 110 Stat. 392, as amended by Pub. L. 106–65, div. A, title X, § 1067(6), Oct. 5, 1999, 113 Stat. 774, which authorized the Secretary of the Army to conduct a pilot program for leasing commercial utility cargo vehicles, directed the Secretary to submit to committees of Congress a report prior to commencement of the program containing plans for its implementation and setting forth the savings in operating and support costs expected to be derived from retiring older commercial utility cargo vehicles, as compared to the expected costs of leasing newer commercial utility cargo vehicles, directed the Secretary to submit to committees of Congress a report on the status of the program not later than one year after the date on which the first lease under the program had been entered into, and provided that no lease could be entered into under the program after Sept. 30, 2000, was repealed by Pub. L. 115–91, div. A, title VIII, § 884, Dec. 12, 2017, 131 Stat. 1505.