FY2024 NDAA: Military Construction and Housing Authorizations

The Biden Administration's Fiscal Year 2024 (FY2024) budget requested $16.675 billion for U.S. Department of Defense (DOD) Military Construction (MILCON) accounts, which included funding for Military Construction and Family Housing programs. The funding requested was 12.4% percent less than the FY2023 enacted amount.

The House Armed Services Committee-reported version of an FY2024 NDAA (H.R. 2670; H.Rept. 118-125) would have authorized $17.475 billion for DOD's MILCON programs—$800 million (4.8%) more than requested. Of that amount, H.R. 2670 would have authorized 26 earmarks, known as Community Project Funding items, totaling $480 million.

The Senate Armed Services Committee-reported FY2024 NDAA (S. 2226; S.Rept. 118-58) would have authorized $16.675 billion for DOD's MILCON programs, as requested. S. 2226 did not contain any earmarks, known as Congressionally Directed Spending items.

Congress passed the FY2024 NDAA (P.L. 118-31; H.Rept. 118-301), which became law on December 22, 2023. The law authorized $18.175 billion for Military Construction (MILCON) accounts—$1.5 billion more (9.0%) more than the Biden Administration's request. Of that amount, the law contained 25 Community Project Funding items totaling $559.4 million. See Table 1.

Selected Policy Provisions

Policy provisions in the FY2024 NDAA that may affect military construction and housing programs include the following:

Military Construction

Section 2801 amended 10 U.S.C. §2391 to make the Defense Community Infrastructure Pilot (DCIP) program permanent.

Section 2802 modified thresholds for minor MILCON as codified in 10 U.S.C. §2805 to define an unspecified minor MILCON project as a construction project that has an approved cost equal to or less than $9 million.

Section 2805 created 10 U.S.C. §2817, expanding authority to use O&M funds for certain MILCON projects in friendly foreign countries if the projects support air or sea ports of debarkation, or rail or other logistical support locations.

Section 2807 granted authority to utilize cost-plus incentive-fee contracting for MILCON projects associated with the Sentinel intercontinental ballistic missile weapons system.

Section 2810 raised the threshold for minor MILCON projects in the Indo-Pacific Command (INDOPACOM) area of operations to define an unspecified minor MILCON project as one that has an approved cost up to $15 million. The law also authorized $62 million for unspecified minor MILCON in INDOPACOM.

Privatized Housing

Section 2821 establishes a DOD Military Family Readiness Working Group for Military Housing.

Section 2822 amended 10 U.S.C. §2878(f)(2), requiring DOD to notify Congress when negotiating with a privatized housing company for the extension of any ground lease of property. The provision requires notification about whether the privatized housing company is in compliance with the Military Housing Privatization Initiative (MHPI) Tenant Bill of Rights codified at 10 U.S.C. §2890. The provision also prohibits certain payments to MHPI companies unless DOD determines that the company is in compliance with the MHPI Tenant Bill of Rights.

Section 2823 requires MHPI companies to notify tenants about a proposed nondisclosure agreement and provide a waiting period of 10 business days so tenants may seek legal counsel before being required to sign such an agreement.

Section 2825 requires the Secretary of Defense to implement the recommendations made in an April 2023 report from the U.S. Government Accountability Office.

Unaccompanied Housing

Section 2831 amended 10 U.S.C. §2856 to require the Secretary of Defense to establish and enforce standards for DOD unaccompanied housing facilities regarding design, floor space, and level of maintenance required. The provision requires that all housing assigned to servicemembers meet the new requirements within two years of the law's enactment.

Section 2832 required the Secretary of Defense to establish standards for unaccompanied housing facilities regarding condition; safety and security; and "habitability, health and environmental comfort."

Section 2833 modified the procedures for a military department to waive requirements related to unaccompanied housing standards. The provision created 10 U.S.C. 2856a, requiring the Secretary of a military department to approve any such waivers and stipulates that the Secretary may do so only after exhausting options that include a) use of available privately-owned military housing; b) modifying the "unit integrity" policies that typically require servicemembers from the same unit to live in the same housing facility; and c) authorizing servicemembers to receive a Basic Allowance for Housing (BAH).

Section 2834 required the Secretary of Defense to submit annual certifications that the repairs and improvements needed for unaccompanied housing facilities do not exceed 20% of the total replacement costs of such facilities, a standard set by current DOD policy.

Section 2835 authorized a pilot program for replacing substandard enlisted barracks using O&M or unspecified minor MILCON funding.

Section 2836 required the establishment a civilian employee at the housing office at each military installation to oversee unaccompanied housing facilities and related issues.

Section 2837 requires the Secretary of Defense to issue rules for managing work orders related to maintenance work for unaccompanied housing facilities and to establish performance metrics to track the maintenance work performed.

Section 2838 requires the establishment of a DOD-wide index for evaluating the condition of unaccompanied housing facilities.

Section 2839 requires annual reports to Congress on the condition of unaccompanied military housing facilities based on the uniform index required under Section 2838.

Section 2840 requires the Secretary of Defense to notify Members of Congress if the Secretary enters into any agreement that provides DOD housing facilities for use by another federal agency in the Member's district.

Section 2841 required DOD to eliminate the use of waivers for construction standards for new unaccompanied housing facilities.

Installation Management

Section 2851 required the Secretary of Defense to initiate standardization of rules for installation access across DOD.