DoD Leasing of Family Housing

Abstract

The fiscal year 1984 Military Construction Authorization Act (Public Law 98-115, Section 801) authorized a program for build-to-lease family housing projects. The program is available to installations with a valid housing shortage that can be satisfied economically through a 20-year lease. Since the program's inception, Congress has authorized 19,500 family housing units under Section 801. The audit objectives were to determine if the Services acquire family housing under build-to-lease arrangements in compliance with Public Law 98-115, if leasing of family housing is an economical long-term alternative to military construction, and if internal controls over the build-to-lease program are effective. During the audit we expanded our objectives to also determine if the family housing requirements were computed accurately. We will issue a separate report on the methods used to compute family housing requirements. Implementation of the build-to-lease program did not ensure that family housing was acquired in the most economical manner. The audit showed that Office of Management and Budget guidance used to justify Section 801 housing was inappropriate. Estimates for the military construction alternative included property taxes, which the U.S. Constitution prohibits state and local governments from imposing on the Federal Government, while other costs that the Government will incur were excluded from the analysis. Moreover, D9D1s economic analysis was designed to show that leasing was always the most cost-effective alternative and to establish a ceiling price. In addition, contracting procedures did not ensure that adequate housing was obtained at the least possible cost and that the Government's interests were adequately protecte

Open PDF

Document Details

Document Type
Technical Report
Publication Date
Oct 16, 1991
Accession Number
ADA378766

Entities

People

  • David K. Steensma
  • Gary R. Padgett
  • Michael G. Huston
  • Paul J. Granetto
  • Wayne K. Million

Organizations

  • Office of the Inspector General, U.S. Department of Defense

Tags

Communities of Interest

  • Human Systems

DTIC Thesaurus Topics

  • Air Force
  • Business Administration
  • Congress
  • Contracts
  • Department Of Defense
  • Economic Analysis
  • Financial Management
  • Governments
  • Law
  • Local Governments
  • Money
  • National Governments
  • Naval Shore Facilities
  • Procurement
  • Resource Management
  • United States
  • United States Government

Readers

  • Government Contracting/Procurement.
  • Government and Public Administration Law.
  • Housing Policy Studies in Military Families with Privatization and Telomerase Allowance Units, Multi-Family Housing, and Telomere Lengths.