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Navy Policy on Home Based Businesses in Military Housing

Subject:    Family Member Employment For Government Quarters


1. In support of the intent of Section 806 of Public Law 99-145 (DoD Authorization Act, 1986) to increase employment opportunities for military spouses, private commercial enterprises are permitted in military family housing (MFH) within the guidelines of Ref. A.

2. Application to operate private commercial enterprises (such as tailoring/dressmaking, tax form preparation, etc.) in MFH must be made in writing to the installation commander or designee, via the Housing Authority (HA). The request must be approved in advance of starting the operation. 'The HA will ensure that occupants are aware of all requirements to be met prior to the conduct of any enterprise.

A. Local government licensing requirements, potential government liability, overseas Status of Forces Agreements, host country business practices, and prospective advertising practices should be taken into account as each request is considered. Legal advice must be sought if doubt exists concerning these issues. In no case will activates be authorized or continued at the expense of military community tranquillity or safety.

B. When feasible, the HA should allow occupants to make minor modifications to housing units at the occupant's personal expense. Any requests to perform minor modifications, and any actual modification approved, should be processed per existing regulations which govern self-help in MFH. External alterations and external advertising of such enterprises are prohibited. Utility costs associated with home enterprises should be recouped when cost effective.

C. Authorization of family member employment in MFH should be conditioned upon agreement by the family member to comply with the provisions in DODINST 5500.7 and SECNAVINST 5370.2H prohibiting solicited sales to subordinates.

D. Sales of specific brand name merchandise not available to exchange patrons through the military exchanges should not be construed to be competing with an installation's officially sanctioned commerce.

3. Commanding officers are encouraged to permit private commercial enterprises in MFH within established guidelines. This effort enhances the QOL of our families by recognizing the abilities and talents of members and spouses and supports the efforts of spouses who remain at home to supplement family income.

A. CNO 012258Z MAY 87

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