10 U.S.C. § 8682 — Service craft stricken from Naval Vessel Register; obsolete boats: use of proceeds from exchange or sale
submitted 22 years ago by Pub. L. 108-375 to r/title-10-ARMED-FORCES · 454 words · no verdicts yet
When the Navy sells or trades an obsolete service craft or boat, it can keep the money. That money can pay for a replacement, reimburse prep costs, or go into a special account. Money in that account funds prepping future obsolete craft and boats for sale or trade.
(a) Exchange or Sale of Similar Items — When the Secretary sells an obsolete service craft or boat, or trades one in for a similar replacement, the Secretary can keep the sale proceeds or trade-in allowance and use it for: (1) paying, in whole or part, for a similar replacement craft or boat under section 503 of title 40; (2) reimbursing the Navy's accounts for the cost of preparing the obsolete craft or boat for sale or trade; or (3) depositing into the special account described in (b).
(b) Special Account — Money not used under (a)(1) or (2) goes into a special account. That money stays available under (c) with no fiscal-year time limit. Any amount the Secretary decides isn't needed for the purpose in (c) gets moved at least once a year to the Treasury's General Fund.
(c) Costs of Preparation of Obsolete Service Craft and Boats for Future Sale or Exchange — The Secretary can use the special account to pay*, in whole or part, for preparing obsolete service craft and boats for future sale or trade.
(d) Costs of Preparation for Sale or Exchange — "Full costs of preparation" means all direct and indirect Navy costs of prepping a craft or boat for sale or trade, including towing, storage, defueling, removing and disposing of hazardous waste, surveying for and removing PCB-containing materials, and other related costs.
(e) Obsolete Service Craft — "Obsolete service craft" means a service craft struck from the Naval Vessel Register.
(f) Inapplicability of Advertising Requirement — Section 6101 of title 41, which normally requires advertising a sale, does not apply to sales of service craft and boats under this section.
(g) Regulations — The Secretary of the Navy must write regulations to carry out this section.
When the Secretary of the Navy sells an obsolete service craft or an obsolete boat, or exchanges such a craft or boat in a transaction for which a similar craft or boat is acquired, the Secretary may retain the proceeds of the sale or the exchange allowance from the exchange, as the case may be, and apply the proceeds of sale or the exchange allowance for any of the following purposes:
For payment, in whole or in part, for a similar service craft or boat acquired as a replacement, as authorized by section 503 of title 40.
For reimbursement, to the extent practicable, of the appropriate accounts of the Navy for the full costs of preparation of such obsolete craft or boat for such sale or exchange.
For deposit to the special account established under subsection (b), to be available in accordance with that subsection.
Amounts retained under subsection (a) that are not applied as provided in paragraph (1) or (2) of that subsection shall be deposited into a special account. Amounts in the account shall be available under subsection (c) without regard to fiscal year limitation. Amounts in the account that the Secretary of the Navy determines are not needed for the purpose stated in subsection (c) shall be transferred at least annually to the General Fund of the Treasury.
The Secretary may use amounts in the account under subsection (b) for payment, in whole or in part, for the full costs of preparation of obsolete service craft and obsolete boats for future sale or exchange.
In this section, the term “full costs of preparation” means the full costs (direct and indirect) incurred by the Navy in preparing an obsolete service craft or an obsolete boat for exchange or sale, including the cost of the following:
Towing.
Storage.
Defueling.
Removal and disposal of hazardous wastes.
Environmental surveys to determine the presence of regulated materials containing polychlorinated biphenyl (PCB) and, if such materials are found, the removal and disposal of such materials.
Other costs related to such preparation.
For purposes of this section, an obsolete service craft is a service craft that has been stricken from the Naval Vessel Register.
Section 6101 of title 41 does not apply to sales of service craft and boats described in subsection (a).
The Secretary of the Navy shall prescribe regulations for the purposes of this section.
Source credit: (Added Pub. L. 108–375, div. A, title X, § 1012(a)(1), Oct. 28, 2004, 118 Stat. 2039, § 7312; amended Pub. L. 113–291, div. A, title X, § 1071(a)(12), Dec. 19, 2014, 128 Stat. 3505; renumbered § 8682, Pub. L. 115–232, div. A, title VIII, § 807(d)(2), Aug. 13, 2018, 132 Stat. 1836.)
- 2004Enacted · Pub. L. 108-375 · 118 Stat. 2039
- 2014Amended · Pub. L. 113-291 · 128 Stat. 3505
- 2018Amended · Pub. L. 115-232 · 132 Stat. 1836
A history note hasn’t been published yet. The record shows enactment by Pub. L. 108-375 on 2004-10-28.
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