§7687 Sale of Excess, Obsolete, or Unserviceable Ammunition and Ammunition Components

Summary

Allows the Secretary of the Army to sell excess, obsolete, or unserviceable ammunition and ammunition parts to eligible buyers if the buyer agrees in advance to destroy the military usefulness of the items and to reclaim, recycle, or reuse the materials, or if the Army approves the buyer’s proposed civilian use as being in the public interest. The Army must sell by competition unless there is only one possible buyer. Eligible buyers must be licensed manufacturers (see 18 U.S.C. 921(a)(10)) who the Army finds able to modify, reclaim, transport, and either store or resell the items. Buyers must promise to protect and pay the United States for any claims for death, injury, or loss caused by use of the items, except when harm is caused by willful misconduct or gross negligence of a U.S. representative. The Army will verify demilitarization on site. The Army may accept ammunition, parts, or demilitarization services instead of money if their fair market value is at least the sale price. Sales on the U.S. Munitions List remain subject to section 38 of the Arms Export Control Act (22 U.S.C. 2778). Definitions: "excess, obsolete, or unserviceable" — no longer needed for war reserves, Army training, or production; "demilitarize" — destroy the military or lethal use of the item (for example by mutilation, melting, burning, or other alteration).