To amend title 10, United States Code, to authorize Army arsenals to undertake to fulfill orders or contracts for articles or services in advance of the receipt of payment under certain circumstances.

Authorizes Army arsenals, using working capital funds, to fulfill orders or contracts for articles or services in advance of the receipt of payment from Federal agencies, persons fulfilling Government contracts, or persons supplying articles or services to foreign governments under specified provisions of the Arms Export Control Act.

[Congressional Bills 109th Congress]
[From the U.S. Government Publishing Office]
[H.R. 570 Introduced in House (IH)]






109th CONGRESS
  1st Session
                                H. R. 570

 To amend title 10, United States Code, to authorize Army arsenals to 
 undertake to fulfill orders or contracts for articles or services in 
     advance of the receipt of payment under certain circumstances.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                            February 2, 2005

 Mr. McNulty introduced the following bill; which was referred to the 
                      Committee on Armed Services

_______________________________________________________________________

                                 A BILL


 
 To amend title 10, United States Code, to authorize Army arsenals to 
 undertake to fulfill orders or contracts for articles or services in 
     advance of the receipt of payment under certain circumstances.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. PERFORMANCE OF ORDERS FOR ARTICLES OR SERVICES BY ARMY 
              ARSENALS BEFORE RECEIPT OF PAYMENT.

    (a) Authority.--Chapter 433 of title 10, United States Code, is 
amended by inserting after section 4541 the following new section:
``Sec. 4541a. Army arsenals: performance before receipt of payment
    ``(a) Authority.--Regulations under section 2208(h) of this title 
shall authorize the Army arsenals to undertake, with working-capital 
funds, to fulfill orders or contracts of customers referred to in 
subsection (b) for articles or services in advance of the receipt of 
payment for the articles or services.
    ``(b) Transactions to Which Applicable.--The authority provided in 
subsection (a) applies with respect to an order or contract for 
articles or services that is placed or entered into, respectively, with 
an arsenal by a customer that--
            ``(1) is--
                    ``(A) a department or agency of the United States;
                    ``(B) a person using the articles or services in 
                fulfillment of a contract of a department or agency of 
                the United States; or
                    ``(C) a person supplying the articles or services 
                to a foreign government under sections 22, 23, and 24 
                of the Arms Export Control Act (22 U.S.C. 2762, 2763, 
                2764); and
            ``(2) is eligible under any other provision of law to 
        obtain the articles or services from the arsenal.''.
    (b) Clerical Amendment.--The table of sections at the beginning of 
such chapter is amended by inserting after the item relating to section 
4541 the following new item:

``4541a. Army arsenals: performance before receipt of payment.''.
    (c) Regulations.--The Secretary of Defense shall prescribe the 
regulations to carry out section 4541a of title 10, United States Code 
(as added by subsection (a)), not later than 60 days after the date of 
the enactment of this Act.
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