2018 US Code
Title 10 - Armed Forces
Subtitle B - Army
Part IV - Service, Supply, and Procurement
Chapter 763 - Procurement
Sec. 7541 - Army arsenals: treatment of unutilized or underutilized plant-capacity costs

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Citation 10 U.S.C. § 7541 (2018)
Section Name §7541. Army arsenals: treatment of unutilized or underutilized plant-capacity costs
Section Text

(a) Estimate of Costs.—The Secretary of the Army shall include in the budget justification documents submitted to Congress in support of the President's budget for a fiscal year submitted under section 1105 of title 31 an estimate of the funds to be required in that fiscal year to cover unutilized and underutilized plant-capacity costs at Army arsenals.

(b) Use of Funds.—Funds appropriated to the Secretary of the Army for a fiscal year to cover unutilized and underutilized plant-capacity costs at Army arsenals shall be used in such fiscal year only for such costs.

(c) Treatment of Costs.—(1) The Secretary of the Army shall not include unutilized and underutilized plant-capacity costs when evaluating the bid of an Army arsenal for purposes of the arsenal's contracting to provide a good or service to a Government agency.

(2) When an Army arsenal is serving as a subcontractor to a private-sector entity with respect to a good or service to be provided to a Government agency, the cost charged by the arsenal shall not include unutilized and underutilized plant-capacity costs that are funded by a direct appropriation.

(d) Definitions.—In this section:

(1) The term "Army arsenal" means a Government-owned, Government-operated defense plant of the Department of the Army that manufactures weapons, weapon components, or both.

(2) The term "unutilized and underutilized plant-capacity costs" means the costs associated with operating and maintaining the facilities and equipment of an Army arsenal that the Secretary of the Army determines are required to be kept for mobilization needs, in those months in which the facilities and equipment are not used or are used only 20 percent or less of available work days.

Source Credit

(Added Pub. L. 106–398, §1 [[div. A], title III, §342(a)], Oct. 30, 2000, 114 Stat. 1654, 1654A–64, §4541; renumbered §7541, Pub. L. 115–232, div. A, title VIII, §808(d), Aug. 13, 2018, 132 Stat. 1839.)

Editorial Notes PRIOR PROVISIONS

Prior sections 7541 to 7541b were renumbered sections 8761 to 8761b of this title, respectively.

AMENDMENTS

2018—Pub. L. 115–232 renumbered section 4541 of this title as this section.

EFFECTIVE DATE OF 2018 AMENDMENT

Amendment by Pub. L. 115–232 effective Feb. 1, 2019, with provision for the coordination of amendments and special rule for certain redesignations, see section 800 of Pub. L. 115–232, set out as a note preceding section 3001 of this title.

Publication Title United States Code, 2018 Edition, Title 10 - ARMED FORCES
Category Bills and Statutes
Collection United States Code
SuDoc Class Number Y 1.2/5:
Contained Within Title 10 - ARMED FORCES
Subtitle B - Army
PART IV - SERVICE, SUPPLY, AND PROCUREMENT
CHAPTER 763 - PROCUREMENT
Sec. 7541 - Army arsenals: treatment of unutilized or underutilized plant-capacity costs
Contains section 7541
Date 2018
Laws In Effect As Of Date January 14, 2019
Positive Law Yes
Disposition standard
Statutes at Large References 114 Stat. 1654
132 Stat. 1839
Public Law References Public Law 106-398, Public Law 115-232
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