Title 10 › Subtitle A — General Military Law › PART V — ACQUISITION › Subpart E — Research and Engineering › CHAPTER 303 — RESEARCH AND ENGINEERING ACTIVITIES › SUBCHAPTER III — RESEARCH AND DEVELOPMENT CENTERS AND FACILITIES › § 4123
The Secretary of Defense must set up rules so the director of a defense lab or test organization can use between 2% and 4% of that lab’s or organization’s total funds for four things: new basic and applied research that supports military missions, development work to move lab technology into use, workforce activities to hire and keep needed scientists and engineers, and small repairs or minor construction of lab facilities and equipment (subject to rules below). The director decides how to use the money, after talking with the military department’s science and technology executive. That executive can write policies to leverage funds and encourage work across labs. After consultation, a director may charge customers a fixed fee of up to 4% of costs to help pay for these activities. Money for repairs or minor construction can only be used after the Secretary tells the congressional defense committees the project’s total cost and makes sure the project meets the cost limits in sections 2805(d) and 2811 of title 10. The Secretary must keep collecting and sharing information about successes, lessons, and problems from using this authority. Public releases must be unclassified; appropriate officials may get classified versions. “Test organization” means a Major Range and Test Facility Base test organization named in DoD Directive 3200.11 or its successor.
Full Legal Text
Armed Forces, Source: USLM XML via OLRC
Legislative History
Reference
Citation
10 U.S.C. § 4123
Title 10, Armed Forces
Last Updated
Sep 22, 2026
Release point: 119-110