(1) Relocatable buildings may be authorized for interim facility requirements in accordance with minor construction authorities, DoD Directives 4270.24 and 7040.2 (references (b) and (c)), based on funded project cost. Funded and unfunded project costs and the source of funds shall be in accordance with these references, subject to the following clarifications:

(a) Cost of relocatable buildings is an unfunded cost.

(b) Site preparation, foundations, exterior utilities, and other supporting construction costs are funded project costs.

(c) Costs for packaging and transporting relocatable buildings used for interim requirements are unfunded project costs.

(d) Cost of erection is an unfunded project cost.

(e) Cost of maintenance, operation, disassembly, and refurbishment, and repacking of relocatable facilities used for interim requirements are expenses and are appropriately charged to appropriations available to fund such costs.

(f) Regardless of the funded cost when relocatable buildings are used for urgent requirements, pending approval and construction of facilities via normal military construction procedures the Military Construction Project Data (DD Form 1391) for normal military construction procedures shall indicate that relocatable buildings are in use.

(2) Relocatable buildings that are used to satisfy an interim facility requirements may be retained for the following reasons:

(a) Such facilities are used in support of continuing military contingency operations.

(b) A replacement facility has been authorized and funds appropriated by the Congress. In this case, the relocatable facility may be retained in use until construction of the replacement is completed.

(c) The relocatable facility subsequently has been incorporated as real property and the DoD Component has notified the Armed Services and Appropriations Committees of the Congress, and when the sum of the funded and unfunded project costs exceeds 20 percent of the maximum allowable amount for a minor construction project.

(3) For all the cases in subparagraphs E.2.2.(a)(1) through E.2.2.(2)(C), above, an engineering evaluation has been performed and the relocatable facility meets safety requirements and normal construction standards established by the applicable DoD Component.

Relocatable buildings may be used as substitutes for permanent or conventional buildings, particularly overseas, when the duration of the requirement is uncertain. In such cases, the project shall be programed through proper military construction procedures and the building cost, transportation, erection costs, site preparation, and related supporting costs shall be funded from military construction appropriations.