Page:United States Statutes at Large Volume 95.djvu/1549

 PUBLIC LAW 97-113—DEC. 29, 1981

95 STAT. 1523

the funds in the Fund as he may determine. Acquisition under this chapter of items for which the initial issue quantity requirements for United States Armed Forces have not been fulfilled and are not under current procurement contract shall be emphasized when compatible with security assistance requirements for the transfer of such items. "(2) Nothing in this chapter may be construed to limit or impair any responsibilities conferred upon the Secretary of State or the Secretary of Defense under this Act or the Foreign Assistance Act of 1961. "(b) The Fund shall consist of— "(1) collections from sales made under letters of offer issued pursuant to section 21(a)(l) of this Act representing the actual value of defense articles not intended to be replaced in stock, "(2) collections from sales representing the value of asset use charges (including contractor rental payments for United States Government-owned plant and production equipment) and charges for the proportionate recoupment of nonrecurring research, development, and production costs, and "(3) collections from sales made under letters of offer (or transfers made under the Foreign Assistance Act of 1961) of defense articles and defense services acquired under this chapter, representing the value of such items calculated in accordance with paragraph (2) or (3) of section 21(a) or section 22 of this Act or section 644(m) of the Foreign Assistance Act of 1961, as appropriate, together with such funds as may be authorized and appropriated or otherwise made available for the purposes of the Fund. "(c)(1) The size of the Fund may not exceed such dollar amount as is prescribed in section 138(g) of title 10, United States Code. For purposes of this limitation, the size of the Fund is the amounts in the Fund plus the value (in terms of acquisition cost) of the defense articles acquired under this chapter which have not been transferred from the Fund in accordance with this chapter. "(2) Amounts in the Fund shall be available for obligation in any fiscal year only to such extent or in such amounts as are provided in advance in appropriation Acts.

22 USC 2151 note. 22 USC 2761.

22 USC 2761, 2762. 22 USC 2403.

"SEC. 52. USE AND TRANSFER OF ITEMS PROCURED BY THE FUND.—(a) 22 USC 2795a.

No defense article or defense service acquired by the Secretary of Defense under this chapter may be transferred to any foreign country or international organization unless such transfer is authorized by 22 USC 2151 this Act, the Foreign Assistance Act of 1961, or other law. "(b) The President may authorize the temporary use by the United note. States Armed Forces of defense articles and defense services acquired under this chapter prior to their transfer to a foreign country or international organization, if such is necessary to meet national defense requirements and the United States Armed Forces bear the costs of operation and maintenance of such articles or services while in their use and the costs of restoration or replacement upon the termination of such use. "(c) Except as provided in subsection (b) of this section, the Fund may be used to pay for storage, maintenance, and other costs related to the preservation and preparation for transfer of defense articles and defense services acquired under this chapter prior to their transfer, as well as the administrative costs of the Department of Defense incurred in the acquisition of such items to the extent not 22 USC 2792. reimbursed pursuant to section 43(b) of this Act.

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