---
kind: "section"
citation: "10 U.S.C. § 2883"
title: "10"
title_heading: "Armed Forces"
number: "2883"
heading: "Department of Defense Housing Funds"
release: "119-102"
date: "2026-07-12"
url: "https://uscodex.org/usc/10/2883"
units:
  - "Subtitle A — General Military Law"
  - "Part IV — Service, Supply, and Property"
  - "Chapter 169 — Military Construction and Military Family Housing"
  - "Subchapter IV — Alternative Authority for Acquisition and Improvement of Military Housing"
---

# §2883. Department of Defense Housing Funds

- (a) **Establishment.—** There are hereby established on the books of the Treasury the following accounts:
  - (1) The [Department](/usc/10/101.md?p=a-6) of Defense Family Housing Improvement [Fund](/usc/10/2871.md?p=6).
  - (2) The [Department](/usc/10/101.md?p=a-6) of Defense [Military Unaccompanied Housing](/usc/10/2871.md?p=11) Improvement [Fund](/usc/10/2871.md?p=6).
- (b) **Commingling of Funds Prohibited.—**
  - (1) The [Secretary](/usc/10/4951.md?p=3) of Defense shall administer each [Fund](/usc/10/2871.md?p=6) separately.
  - (2) Amounts in the [Department](/usc/10/101.md?p=a-6) of Defense Family Housing Improvement [Fund](/usc/10/2871.md?p=6) may be used only to carry out activities under this subchapter with respect to [military](/usc/10/801.md?p=8) family housing.
  - (3) Amounts in the [Department](/usc/10/101.md?p=a-6) of Defense [Military Unaccompanied Housing](/usc/10/2871.md?p=11) Improvement [Fund](/usc/10/2871.md?p=6) may be used only to carry out activities under this subchapter with respect to [military unaccompanied housing](/usc/10/2871.md?p=11).
- (c) **Credits to Funds.—**
  - (1) There shall be credited to the [Department](/usc/10/101.md?p=a-6) of Defense Family Housing Improvement [Fund](/usc/10/2871.md?p=6) the following:
    - (A) Amounts authorized for and appropriated to that [Fund](/usc/10/2871.md?p=6).
    - (B) Subject to [subsection (f)](#f), any amounts that the [Secretary](/usc/10/4951.md?p=3) of Defense transfers, in such amounts as provided in appropriation Acts, to that [Fund](/usc/10/2871.md?p=6) from amounts authorized and appropriated to the [Department](/usc/10/101.md?p=a-6) of Defense for the acquisition, improvement, or [construction](/usc/10/2871.md?p=3) of [military](/usc/10/801.md?p=8) family housing.
    - (C) Proceeds from the conveyance or lease of property or [facilities](/usc/10/2700.md?p=2) under [section 2878 of this title](/usc/10/2878.md) for the purpose of carrying out activities under this subchapter with respect to [military](/usc/10/801.md?p=8) family housing.
    - (D) Income derived from any activities under this subchapter with respect to [military](/usc/10/801.md?p=8) family housing, including interest on loans made under [section 2873 of this title](/usc/10/2873.md), income and gains realized from investments under [section 2875 of this title](/usc/10/2875.md), and any return of capital invested as part of such investments.
    - (E) Any amounts that the [Secretary](/usc/10/4951.md?p=3) of the Navy transfers to that [Fund](/usc/10/2871.md?p=6) pursuant to [section 2814(i)(3) of this title](/usc/10/2814.md?p=i-3), subject to the restrictions on the use of the transferred amounts specified in that section.
    - (F) Any amounts that the [Secretary concerned](/usc/10/2801.md?p=c-5) transfers to that [Fund](/usc/10/2871.md?p=6) pursuant to [section 2869 of this title](/usc/10/2869.md).
  - (2) There shall be credited to the [Department](/usc/10/101.md?p=a-6) of Defense [Military Unaccompanied Housing](/usc/10/2871.md?p=11) Improvement [Fund](/usc/10/2871.md?p=6) the following:
    - (A) Amounts authorized for and appropriated to that [Fund](/usc/10/2871.md?p=6).
    - (B) Subject to [subsection (f)](#f), any amounts that the [Secretary](/usc/10/4951.md?p=3) of Defense transfers, in such amounts as provided in appropriation Acts, to that [Fund](/usc/10/2871.md?p=6) from amounts authorized and appropriated to the [Department](/usc/10/101.md?p=a-6) of Defense for the acquisition or [construction](/usc/10/2871.md?p=3) of [military unaccompanied housing](/usc/10/2871.md?p=11).
    - (C) Proceeds from the conveyance or lease of property or [facilities](/usc/10/2700.md?p=2) under [section 2878 of this title](/usc/10/2878.md) for the purpose of carrying out activities under this subchapter with respect to [military unaccompanied housing](/usc/10/2871.md?p=11).
    - (D) Income derived from any activities under this subchapter with respect to [military unaccompanied housing](/usc/10/2871.md?p=11), including interest on loans made under [section 2873 of this title](/usc/10/2873.md), income and gains realized from investments under [section 2875 of this title](/usc/10/2875.md), and any return of capital invested as part of such investments.
    - (E) Any amounts that the [Secretary](/usc/10/4951.md?p=3) of the Navy transfers to that [Fund](/usc/10/2871.md?p=6) pursuant to [section 2814(i)(3) of this title](/usc/10/2814.md?p=i-3), subject to the restrictions on the use of the transferred amounts specified in that section.
    - (F) Any amounts that the [Secretary concerned](/usc/10/2801.md?p=c-5) transfers to that [Fund](/usc/10/2871.md?p=6) pursuant to [section 2869 of this title](/usc/10/2869.md).
- (d) **Use of Amounts in Funds.—**
  - (1)
    - (A) In such amounts as provided in appropriation Acts and except as provided in [subsection (e)](#e), the [Secretary](/usc/10/4951.md?p=3) of Defense may use amounts in the [Department](/usc/10/101.md?p=a-6) of Defense Family Housing Improvement [Fund](/usc/10/2871.md?p=6) to carry out activities under this subchapter with respect to [military](/usc/10/801.md?p=8) family housing, including activities required in connection with the planning, execution, and administration of [contracts](/usc/10/2871.md?p=4) entered into under the authority of this subchapter. The [Secretary](/usc/10/4951.md?p=3) may also use for expenses of activities required in connection with the planning, execution, and administration of such [contracts](/usc/10/2871.md?p=4) [funds](/usc/10/2871.md?p=6) that are otherwise available to the [Department](/usc/10/101.md?p=a-6) of Defense for such types of expenses.
    - (B) The [Secretary](/usc/10/4951.md?p=3) of Defense shall require that [eligible entities](/usc/10/2871.md?p=5) receiving amounts from the [Department](/usc/10/101.md?p=a-6) of Defense Family Housing Improvement [Fund](/usc/10/2871.md?p=6) prioritize the use of such amounts for expenditures related to asset recapitalization, operating expenses, and debt payments before other [program](/usc/10/2101.md?p=1) management-incentive fee expenditures. In the case of asset recapitalization, the primary purpose of the expenditures must be to sustain existing [housing units](/usc/10/2871.md?p=8) owned or managed by the [eligible entity](/usc/10/2871.md?p=5) or for which the [eligible entity](/usc/10/2871.md?p=5) is otherwise responsible.
  - (2) In such amounts as provided in appropriation Acts and except as provided in [subsection (e)](#e), the [Secretary](/usc/10/4951.md?p=3) of Defense may use amounts in the [Department](/usc/10/101.md?p=a-6) of Defense [Military Unaccompanied Housing](/usc/10/2871.md?p=11) Improvement [Fund](/usc/10/2871.md?p=6) to carry out activities under this subchapter with respect to [military unaccompanied housing](/usc/10/2871.md?p=11), including activities required in connection with the planning, execution, and administration of [contracts](/usc/10/2871.md?p=4) entered into under the authority of this subchapter. The [Secretary](/usc/10/4951.md?p=3) may also use for expenses of activities required in connection with the planning, execution, and administration of such [contracts](/usc/10/2871.md?p=4) [funds](/usc/10/2871.md?p=6) that are otherwise available to the [Department](/usc/10/101.md?p=a-6) of Defense for such types of expenses.
  - (3) Amounts made available under this subsection shall remain available until expended. The [Secretary](/usc/10/4951.md?p=3) of Defense may transfer amounts made available under this subsection to the [Secretaries](/usc/10/4951.md?p=3) of the [military departments](/usc/10/101.md?p=a-8) to permit such [Secretaries](/usc/10/4951.md?p=3) to carry out the activities for which such amounts may be used.
- (e) **Limitation on Obligations.—**
  - (1) The [Secretary](/usc/10/4951.md?p=3) may not incur an obligation under a [contract](/usc/10/2871.md?p=4) or other agreement entered into under this subchapter in excess of the unobligated balance, at the time the [contract](/usc/10/2871.md?p=4) is entered into, of the [Fund](/usc/10/2871.md?p=6) required to be used to satisfy the obligation.
  - (2) The [Funds](/usc/10/2871.md?p=6) established under [subsection (a)](#a) shall be the sole source of [funds](/usc/10/2871.md?p=6) for activities carried out under this subchapter.
- (f) **Notification Required for Transfers.—** A transfer of appropriated amounts to a [Fund](/usc/10/2871.md?p=6) under subparagraph (B) of paragraph (1) or subparagraph (B) of paragraph (2) of [subsection (c)](#c) may be made only after the end of the 14-day period beginning on the date the [Secretary](/usc/10/4951.md?p=3) of Defense submits notice of, and justification for, the transfer to the [appropriate committees of Congress](/usc/10/301.md?p=1) in an electronic medium pursuant to [section 480 of this title](/usc/10/480.md).

## Source credit

(Added Pub. L. 104–106, div. B, title XXVIII, § 2801(a)(1), Feb. 10, 1996, 110 Stat. 548; amended Pub. L. 104–201, div. B, title XXVIII, § 2804, Sept. 23, 1996, 110 Stat. 2788; Pub. L. 106–65, div. B, title XXVIII, § 2802(b), Oct. 5, 1999, 113 Stat. 848; Pub. L. 108–136, div. A, title X, § 1031(a)(51), div. B, title XXVIII, § 2805(c), Nov. 24, 2003, 117 Stat. 1603, 1721; Pub. L. 108–375, div. B, title XXVIII, § 2805(a), Oct. 28, 2004, 118 Stat. 2122; Pub. L. 109–163, div. B, title XXVIII, § 2806(a), (b), Jan. 6, 2006, 119 Stat. 3507; Pub. L. 110–181, div. B, title XXVII, § 2705, Jan. 28, 2008, 122 Stat. 533; Pub. L. 112–239, div. B, title XXVII, § 2711(c)(5), Jan. 2, 2013, 126 Stat. 2144; Pub. L. 115–91, div. B, title XXVIII, § 2801(d)(2), Dec. 12, 2017, 131 Stat. 1844; Pub. L. 116–283, div. B, title XXVIII, § 2813(a), Jan. 1, 2021, 134 Stat. 4327.)

## Notes

### Editorial Notes

### Amendments

2021—Subsec. (d)(1). Pub. L. 116–283 designated existing provisions as subpar. (A) and added subpar. (B).

2017—Subsec. (f). Pub. L. 115–91 substituted “14-day period” for “30-day period” and struck out “written” before “notice” and “or, if earlier, the end of the 14-day period beginning on the date on which a copy of the notice and justification is provided” before “in an electronic medium”.

2013—Subsec. (c)(1)(G). Pub. L. 112–239, § 2711(c)(5)(A)(i), struck out subpar. (G), which read as follows: “Subject to subsection (f), any amounts that the Secretary of Defense transfers to that Fund from amounts in the Department of Defense Base Closure Account 2005.”

Subsec. (c)(2)(G). Pub. L. 112–239, § 2711(c)(5)(A)(ii), struck out subpar. (G), which read as follows: “Subject to subsection (f), any amounts that the Secretary of Defense transfers to that Fund from amounts in the Department of Defense Base Closure Account 2005.”

Subsec. (f). Pub. L. 112–239, § 2711(c)(5)(B), struck out “or (G)” after “subparagraph (B)” in two places in first sentence, and struck out second sentence which read: “In addition, the notice required in connection with a transfer under subparagraph (G) of paragraph (1) or subparagraph (G) of paragraph (2) shall include a certification that the amounts to be transferred from the Department of Defense Base Closure Account 2005 were specified in the conference report to accompany the most recent Military Construction Authorization Act.”

2008—Subsec. (c)(1)(G). Pub. L. 110–181, § 2705(a)(1), added subpar. (G).

Subsec. (c)(2)(G). Pub. L. 110–181, § 2705(a)(2), added subpar. (G).

Subsec. (f). Pub. L. 110–181, § 2705(b), substituted “subparagraph (B) or (G) of paragraph (1) or subparagraph (B) or (G) of paragraph (2)” for “paragraph (1)(B) or (2)(B)” and inserted at end “In addition, the notice required in connection with a transfer under subparagraph (G) of paragraph (1) or subparagraph (G) of paragraph (2) shall include a certification that the amounts to be transferred from the Department of Defense Base Closure Account 2005 were specified in the conference report to accompany the most recent Military Construction Authorization Act.”

2006—Subsec. (c)(1)(B). Pub. L. 109–163, § 2806(b), substituted “acquisition, improvement, or construction” for “acquisition or construction”.

Subsec. (e). Pub. L. 109–163, § 2806(a), designated existing provisions as par. (1) and added par. (2).

2004—Subsec. (g). Pub. L. 108–375 struck out heading and text of subsec. (g). Text read as follows: “The total value in budget authority of all contracts and investments undertaken using the authorities provided in this subchapter shall not exceed—

“(1) $850,000,000 for the acquisition or construction of military family housing; and

“(2) $150,000,000 for the acquisition or construction of military unaccompanied housing.”

2003—Subsec. (c)(1)(F). Pub. L. 108–136, § 2805(c)(1), added subpar. (F).

Subsec. (c)(2)(F). Pub. L. 108–136, § 2805(c)(2), added subpar. (F).

Subsec. (f). Pub. L. 108–136, § 1031(a)(51), inserted before period at end “or, if earlier, the end of the 14-day period beginning on the date on which a copy of the notice and justification is provided in an electronic medium pursuant to section 480 of this title”.

1999—Subsec. (c)(1)(E). Pub. L. 106–65, § 2802(b)(1), added subpar. (E).

Subsec. (c)(2)(E). Pub. L. 106–65, § 2802(b)(2), added subpar. (E).

1996—Subsec. (d)(1), (2). Pub. L. 104–201 inserted at end “The Secretary may also use for expenses of activities required in connection with the planning, execution, and administration of such contracts funds that are otherwise available to the Department of Defense for such types of expenses.”

### Statutory Notes and Related Subsidiaries

### Effective Date of 2021 Amendment

Pub. L. 116–283, div. B, title XXVIII, § 2813(b), Jan. 1, 2021, 134 Stat. 4327, provided that: “The requirements set forth in subparagraph (B) of section 2883(d)(1) of title 10, United States Code, as added by subsection (a), shall apply to appropriate legal documents entered into or renewed on or after the date of the enactment of this Act [Jan. 1, 2021] between the Secretary of a military department and a landlord regarding privatized military housing. In this subsection, the terms ‘landlord’ and ‘privatized military housing’ have the meanings given those terms in section 3001(a) of the Military Construction Authorization Act for Fiscal Year 2020 (division B of Public Law 116–92; 133 Stat. 1916; 10 U.S.C. 2821 note).”

### Effective Date of 2013 Amendment

Amendment by Pub. L. 112–239 effective on the later of Oct. 1, 2013, or the date of the enactment of an Act authorizing funds for military construction for fiscal year 2014 (div. J of Pub. L. 113–76, approved Jan. 17, 2014), see section 2711(d) of Pub. L. 112–239, set out as a note under section 2701 of this title.
