Title 10, Armed ForcesRelease 119-110

§2835 Long-term Leasing of Military Family Housing to Be Constructed

Title 10 › Subtitle A — General Military Law › PART IV — SERVICE, SUPPLY, AND PROPERTY › CHAPTER 169 — MILITARY CONSTRUCTION AND MILITARY FAMILY HOUSING › SUBCHAPTER II — MILITARY FAMILY HOUSING › § 2835

Last updated Sep 23, 2026|Official source

Summary

The head of a military department, or the Secretary of Homeland Security for the Coast Guard when it is not part of the Navy, may sign contracts to lease family housing that will be built or renovated near U.S. bases where there is a housing shortage. Housing rented under these contracts must be given, with no rent charge, to service members who qualify for military family housing. Each year the proposed lease projects must be listed in the department’s budget materials sent to Congress. Contracts must be awarded through public, competitive procedures and can let the builder also run and maintain the housing. The contract must say that U.S. payments each year depend on money being specifically appropriated for that project, that the department will obligate funds when they are appropriated, and that the contract’s commitment is not an obligation of the United States. Housing must meet Department of Defense or Department of Homeland Security specifications as applicable. Leases can last up to 20 years (not counting the time to build). When the lease ends, the United States has the first chance to buy the housing. A contract can only be made after a 14-day wait following an electronic submission to Congress of a life-cycle cost analysis showing the lease is cost-effective compared with other ways to get the housing. Support buildings like child care centers or civic centers may also be leased.

Full Legal Text

Title 10, §2835

Armed Forces, Source: USLM XML via OLRC

(a)Build and Lease Authorized.—
Subject to subsection (b), the Secretary of a military department, or the Secretary of Homeland Security with respect to the Coast Guard when it is not operating as a service in the Navy, may enter into a contract for the lease of family housing units to be constructed or rehabilitated to residential use near a military installation within the United States under the Secretary’s jurisdiction at which there is a shortage of family housing. Housing units leased under this section shall be assigned, without rental charge, as family housing to members of the armed forces who are eligible for assignment to military family housing.
(b)Submission and Authorization of Proposed Lease Contracts.—
(1)The Secretary of a military department, or the Secretary of Homeland Security with respect to the Coast Guard, may enter into a lease contract under subsection (a) for such military housing as is authorized by law for the purposes of this section.
(2)The budget material submitted to Congress by the Secretary of Defense, and the Secretary of Homeland Security with respect to the Coast Guard, in connection with the budget submitted pursuant to section 1105 of title 31 for each fiscal year shall include materials that identify the military housing projects for which lease contracts are proposed to be entered into under subsection (a) in such fiscal year.
(c)Competitive Process.—
Each contract under subsection (a) shall be awarded through the use of publicly advertised, competitively bid, or competitively negotiated, contracting procedures as provided in chapter 137 of this title. In accordance with such procedures, the Secretary of a military department, or the Secretary of Homeland Security, as the case may be, shall solicit bids or proposals for a contract for the lease of military housing authorized in accordance with subsection (b)(1). Such a contract may provide for the contractor of the housing facilities to operate and maintain such housing facilities during the term of the lease.
(d)Conditions on Obligation of Funds.—
A lease contract entered into for a military housing project under subsection (a) shall include the following provisions:
(1)A statement that the obligation of the United States to make payments under the contract in any fiscal year is subject to appropriations being provided specifically for that fiscal year and specifically for that project.
(2)A commitment to obligate the necessary amount for each fiscal year covered by the contract when and to the extent that funds are appropriated for that project for that fiscal year.
(3)A statement that such a commitment entered into under the authority of this section does not constitute an obligation of the United States.
(4)A requirement that housing units constructed pursuant to the contract shall be constructed—
(A)to Department of Defense specifications, in the case of a Department of Defense contract; and
(B)to Department of Homeland Security specifications, in the case of a contract for the Coast Guard.
(e)Lease Term.—
A contract under this section may be for any period not in excess of 20 years (excluding the period required for construction of the housing facilities).
(f)Right of First Refusal to Acquire.—
A contract under this section shall provide that, upon the termination of the lease period, the United States shall have the right of first refusal to acquire all right, title, and interest to the housing facilities constructed and leased under the contract.
(g)Notice and Wait Requirements.—
A contract may be entered into for the lease of housing facilities under this section only after the end of the 14-day period beginning on the date on which the Secretary of Defense, or the Secretary of Homeland Security with respect to the Coast Guard when it is not operating as a service in the Navy, submits, in an electronic medium pursuant to section 480 of this title, to the appropriate committees of Congress an economic analysis (based upon accepted life cycle costing procedures) which demonstrates that the proposed contract is cost-effective when compared with alternative means of furnishing the same housing facilities.
(h)Support Buildings.—
A contract for the lease of family housing under this section may include provision for the lease of a child care center, civic center building, and similar type buildings constructed for the support of family housing.

Legislative History

Notes & Related Subsidiaries

Editorial Notes

References in Text

Chapter 137 of this title, referred to in subsec. (c), was repealed by Pub. L. 116–283, div. A, title XVIII, § 1881(a), Jan. 1, 2021, 134 Stat. 4293, effective Jan. 1, 2022, in conjunction with the transfer and reorganization of acquisition provisions in this title by Pub. L. 116–283, div. A, title XVIII, Jan. 1, 2022, 134 Stat. 4149. For definition of “chapter 137 legacy provisions”, see section 3016 of this title.

Prior Provisions

Provisions similar to those in this section were contained in subsec. (g) of section 2828 of this title, prior to repeal by Pub. L. 102–190, § 2806(b)(1).

Amendments

2017—Subsec. (g). Pub. L. 115–91 added subsec. (g) and struck out former subsec. (g) which set out written notice and wait requirements. 2013—Subsec. (a), (g)(1). Pub. L. 112–239 inserted “when it is not operating as a service in the Navy” after “Coast Guard”. 2011—Subsec. (g)(2). Pub. L. 111–383 struck out “calendar” after “21” and inserted before period at end “or, if earlier, a period of 14 days has elapsed from the date on which a copy of the analysis is provided in an electronic medium pursuant to section 480 of this title”. 2002—Subsecs. (a) to (c), (d)(4)(B), (g)(1). Pub. L. 107–296 substituted “of Homeland Security” for “of Transportation” wherever appearing.

Statutory Notes and Related Subsidiaries

Effective Date

of 2002 AmendmentAmendment by Pub. L. 107–296 effective on the date of transfer of the Coast Guard to the Department of Homeland Security, see section 1704(g) of Pub. L. 107–296, set out as a note under section 101 of this title.

Effective Date

Section applicable with respect to contracts entered into under this section on or after Dec. 5, 1991, see section 2806(c) of Pub. L. 102–190, set out as an

Effective Date

of 1991 Amendment note under section 2828 of this title.

Reference

Citations & Metadata

Citation

10 U.S.C. § 2835

Title 10, Armed Forces

Last Updated

Sep 23, 2026

Release point: 119-110