Requirements relating to long-term concessions agreements with certain retailers

10 U.S.C. § 4664

• Title: 10 — Armed Forces
• Chapter: 363 — PROHIBITION AND PENALTIES

Text

(a) Prohibition on Contracting With Certain Retailers.—Except as provided by subsections (b) and (c), the Secretary of Defense may not renew, extend, or enter into a long-term concessions agreement with a retailer that is controlled by a covered nation to permit such retailer to operate or conduct business through a physical location on a covered military installation.
(b) Waiver.—(1) The Secretary may waive the requirements of subsection (a) with respect to a long-term concessions agreement with a retailer if the Secretary determines that—
(A) the goods or services to be provided by the retailer under such long-term concessions agreement are vital for the welfare and morale of members of the Armed Forces and no reasonable alternatives exist; and
(B) the Secretary has implemented adequate measures to mitigate any potential national security risks of the retailer.
(2) Not later than 30 days after each use of the waiver authority under paragraph (1), the Secretary shall provide to the Committees on Armed Services of the House of Representatives and Senate a justification for such waiver and a description of any risk mitigation strategies described in paragraph (1)(B).
(c) Exceptions.—Subsection (a) does not apply with respect to a long-term concessions agreement with a retailer if—
(1) such retailer has received a determination from the Committee on Foreign Investment in the United States (in this section referred to as the "Committee") that there are no unresolved national security concerns with respect to the retailer in connection to a matter submitted to the Committee and which the Committee concluded all action pursuant to section 721 of the Defense Production Act of 1950 (50 U.S.C. 4565); or
(2) such retailer is organized under the laws of the United States or any jurisdiction of the United States and is operated by citizens of the United States and the products offered for sale by such retailer on the covered military installation under such long-term concessions agreement are not produced in a covered nation.
(d) Definitions.—In this section:
(1) The term "controlled by a covered nation" means, with respect to a retailer—
(A) that the retailer is organized under the laws of a covered nation or any jurisdiction within a covered nation;
(B) that the government of a covered nation—
(i) owns 50 percent or more of the shares of the retailer; or
(ii) otherwise owns the controlling interest in such retailer; or
(C) that the retailer is subject to the direct control of the government of a covered nation.
(2) The term "covered military installation" means a military installation (as defined in section 2801 of this title) located in the United States.
(3) The term "covered nation" has the meaning given in section 4872 of this title.
(4) The term "long-term concessions agreement" means a contract, subcontract, or other agreement, including a lease agreement or licensing agreement, to operate a business through a physical location on a covered military installation entered into by—
(A) the Secretary of Defense or a Secretary of a military department and a person; or
(B) a person and a nonappropriated fund instrumentality.
(5) The term "retailer" means a person that operates or seeks to operate a business providing goods or services on a covered military installation under a contract, subcontract, or other agreement, including a lease agreement or licensing agreement, with—
(A) a nonappropriated fund instrumentality;
(B) the Secretary of Defense; or
(C) a Secretary of a military department.

History

(Added Pub. L. 119–60, div. A, title VIII, §841(b), Dec. 18, 2025, 139 Stat. 972.)

Editorial Notes

Statutory Notes and Related Subsidiaries

Requirements Relating to Long-Term Concessions Agreements With Certain Retailers
Pub. L. 119–60, div. A, title VIII, §841(a), Dec. 18, 2025, 139 Stat. 971, provided that:
"(a) Assessment of Established Agreements.—
"(1) In general.—Not later than 180 days after the date of the enactment of this section [Dec. 18, 2025], the Secretary of Defense shall review each long-term concessions agreement to identify any such agreements with a retailer that is controlled by a covered nation that permit such retailer to operate or conduct business through a physical location on a covered military installation.
"(2) Termination of certain concessions agreements.—
"(A) In general.—Not later than 30 days after making the determinations described in subparagraph (B) with respect to a long-term concessions agreement with a retailer, the Secretary of Defense shall terminate such long-term concessions agreement unless the Secretary waives this paragraph with respect to such retailer in accordance with section 4664(b) of title 10, United States Code, as added by this section.
"(B) Determinations described.—The determinations described in this subparagraph are, with respect to a long-term concessions agreement—
"(i) a determination that the retailer that is a party to such long-term concessions agreement is controlled by a covered nation based on an assessment required by paragraph (1); and
"(ii) a determination that an exception under section 4664(c) of title 10, United States Code, as added by this section, would not apply with respect to such long-term concessions agreement with such retailer if such retailer entered into such long-term concessions agreement on or after the date of the enactment of this section.
"(3) Briefing.—Upon completing the review required by paragraph (1), the Secretary of Defense shall provide the Committees on Armed Services of the House of Representatives and Senate a briefing on the findings of such review and a summary of the actions taken to implement the requirements of section 4664 of title 10, United States Code, as added by this section.
"(4) Controlled by a covered nation; covered military installation; long-term concessions agreement; retailer defined.—The terms 'controlled by a covered nation', 'covered military installation', 'long-term concessions agreement', and 'retailer' have the meanings given such terms, respectively, in section 4664 of title 10, United States Code, as added by this section."

Editorial Notes

Prior Provisions
A prior chapter 365 "CONTRACTOR WORKFORCE", consisting of reserved section 4701, was repealed by Pub. L. 116–283, div. A, title XVIII, §1863(a), Jan. 1, 2021, 134 Stat. 4278.
Another prior chapter 365, consisting of sections 3881 to 3889 relating to retirement for age of certain commissioned officers, some of which had previously been repealed, was repealed in its entirety by Pub. L. 96–513, title II, §216, title VII, §701, Dec. 12, 1980, 94 Stat. 2886, 2955, effective Sept. 15, 1981.

Amendments
2024—Pub. L. 118–159, div. A, title VIII, §808, Dec. 23, 2024, 138 Stat. 1977, added item 4705. Amendment was made pursuant to operation of section 102 of this title.

Statutory Notes and Related Subsidiaries

Policies and Procedures for Contractors To Report Gross Violations of Internationally Recognized Human Rights
Pub. L. 116–92, div. A, title VIII, §888, Dec. 20, 2019, 133 Stat. 1536, provided that:
"(a) In General.—Not later than 180 days after the date of the enactment of this Act [Dec. 20, 2019], the Secretary of Defense shall update Department of Defense policy and guidance and the Department of Defense Supplement to the Federal Acquisition Regulation to provide specific guidance to Department of Defense employees and contractors performing a Department of Defense contract that supports United States Armed Forces deployed outside of the United States on monitoring and reporting allegations of gross violations of internationally recognized human rights.
"(b) Report.—Not later than 180 days after the date of the enactment of this Act [Dec. 20, 2019], the Secretary of Defense, with the concurrence of the Secretary of State, shall submit to the appropriate congressional committees a report that describes—
"(1) the policies and procedures in place to obtain information about possible cases of gross violations of internationally recognized human rights from Department of Defense contractors described in subsection (a), including the methods for tracking cases; and
"(2) the resources needed to investigate reports made pursuant to subsection (a).
"(c) Form of Report.—The report required by subsection (b) shall be submitted in unclassified form, but may include a classified annex.
"(d) Definitions.—In this section:
"(1) Appropriate congressional committees.—the term 'appropriate congressional committees' means—
"(A) the congressional defense committees [Committees on Armed Services and Appropriations of the Senate and the House of Representatives]; and
"(B) the Committee on Foreign Relations of the Senate and the Committee on Foreign Affairs of the House of Representatives.
"(2) Gross violations of internationally recognized human rights.—The term 'gross violations of internationally recognized human rights' has the meaning given such term in subsection (d)(1) of section 502B of the Foreign Assistance Act of 1961 (22 U.S.C. 2304)."

Prohibition on Contracting With Persons That Have Business Operations With the Maduro Regime
Pub. L. 116–92, div. A, title VIII, §890, Dec. 20, 2019, 133 Stat. 1538, provided that:
"(a) Prohibition.—Except as provided under subsections (c), (d), and (e), the Department of Defense may not enter into a contract for the procurement of goods or services with any person that has business operations with an authority of the Government of Venezuela that is not recognized as the legitimate Government of Venezuela by the United States Government.
"(b) Exceptions.—
"(1) In general.—The prohibition under subsection (a) does not apply to a contract that the Secretary of Defense and the Secretary of State jointly determine—
"(A) is necessary—
"(i) for purposes of providing humanitarian assistance to the people of Venezuela;
"(ii) for purposes of providing disaster relief and other urgent life-saving measures; or
"(iii) to carry out noncombatant evacuations; or
"(B) is vital to the national security interests of the United States.
"(2) Notification requirement.—The Secretary of Defense shall notify the congressional defense committees [Committees on Armed Services and Appropriations of the Senate and the House of Representatives], the Committee on Foreign Affairs of the House of Representatives, and the Committee on Foreign Relations of the Senate of any contract entered into on the basis of an exception provided for under paragraph (1).
"(c) Office of Foreign Assets Control Licenses.—The prohibition in subsection (a) shall not apply to a person that has a valid license to operate in Venezuela issued by the Office of Foreign Assets Control of the Department of the Treasury.
"(d) American Diplomatic Mission in Venezuela.—The prohibition in subsection (a) shall not apply to contracts related to the operation and maintenance of the United States Government's consular offices and diplomatic posts in Venezuela.
"(e) Definitions.—In this section:
"(1) Business operations.—The term 'business operations' means engaging in commerce in any form, including acquiring, developing, maintaining, owning, selling, possessing, leasing, or operating equipment, facilities, personnel, products, services, personal property, real property, or any other apparatus of business or commerce.
"(2) Government of venezuela.—The term 'Government of Venezuela' includes the government of any political subdivision of Venezuela, and any agency or instrumentality of the Government of Venezuela. For purposes of this paragraph, the term 'agency or instrumentality of the Government of Venezuela' means an agency or instrumentality of a foreign state as defined in section 1603(b) of title 28, United States Code, with each reference in such section to 'a foreign state' deemed to be a reference to 'Venezuela'.
"(3) Person.—The term 'person' means—
"(A) a natural person, corporation, company, business association, partnership, society, trust, or any other nongovernmental entity, organization, or group;
"(B) any governmental entity or instrumentality of a government, including a multilateral development institution (as defined in section 1701(c)(3) of the International Financial Institutions Act (22 U.S.C. 262r(c)(3))); and
"(C) any successor, subunit, parent entity, or subsidiary of, or any entity under common ownership or control with, any entity described in subparagraph (A) or (B).
"(f) Applicability.—This section shall apply with respect to any contract entered into on or after the date of the enactment of this section [Dec. 20, 2019]."