H.R. 1158: Freedom First Lend Lease Act

The proposed legislation, known as the Freedom First Lend Lease Act, aims to enhance the authority of the U.S. President in providing military support to Ukraine and select Eastern European nations. Here’s a breakdown of what the bill entails:

Purpose

The main purpose of the bill is to allow the U.S. government to lend or lease defense articles to Ukraine and other Eastern European countries that are facing military aggression from Russia. This is intended to help these nations strengthen their defense capabilities and protect their civilian populations.

Authority and Scope

• The President is granted the authority to authorize the lending or leasing of defense articles to Ukraine and certain Eastern European countries for the fiscal years 2026 and 2027.
• This authority is specifically aimed at bolstering defense against the Russian military invasion and ongoing aggression.

Exclusions from Law

There are certain provisions of existing laws that would not apply to the lending or leasing of defense articles to Ukraine under this Act. Specifically, these exclusions include:

• Section 503(b)(3) of the Foreign Assistance Act of 1961
• Section 61 of the Arms Export Control Act

Conditions for Loan or Lease

Any loan or lease of defense articles must adhere to existing laws regarding the return and repayment for such articles once they are loaned or leased to foreign governments.

Delegation of Authority

The President has the authority to delegate these enhanced powers, but only to an official who has been appointed by the President and confirmed by the Senate.

Delivery Procedures

Within 60 days of the enactment of this law, the President is required to establish expedited procedures to ensure the timely delivery of defense articles loaned or leased to Ukraine, under agreements made according to this legislation.

Definition of Defense Article

The term "defense article" is defined in accordance with existing laws related to arms export.

Relevant Companies

• LMT - Lockheed Martin Corporation: As a major defense contractor, Lockheed Martin could see an increase in demand for military equipment and technology as a result of this legislation.
• RYAAY - Raytheon Technologies Corporation: Similar to Lockheed Martin, Raytheon provides various defense systems and would likely be impacted by increased government spending on defense articles influenced by this bill.
• BA - The Boeing Company: Boeing's defense segment may benefit from increased orders for military aircraft and related equipment owing to the legislative changes proposed.