-CITE-
    10 USC CHAPTER 144 - MAJOR DEFENSE ACQUISITION PROGRAMS     01/03/2007

-EXPCITE-
    TITLE 10 - ARMED FORCES
    Subtitle A - General Military Law
    PART IV - SERVICE, SUPPLY, AND PROCUREMENT
    CHAPTER 144 - MAJOR DEFENSE ACQUISITION PROGRAMS

-HEAD-
             CHAPTER 144 - MAJOR DEFENSE ACQUISITION PROGRAMS         

-MISC1-
    Sec.                                                     
    2430.       Major defense acquisition program defined.            
    2431.       Weapons development and procurement schedules.        
    2432.       Selected Acquisition Reports.                         
    2433.       Unit cost reports.                                    
    2434.       Independent cost estimates; operational manpower
                 requirements.                                        
    2435.       Baseline description.                                 
    2436.       Major defense acquisition programs: incentive program
                 for contractors to purchase capital assets
                 manufactured in United States.                       
    2437.       Development of major defense acquisition programs:
                 sustainment of system to be replaced.                
    [2438, 2439. Repealed.]                                           
    2440.       Technology and industrial base plans.                 

                                AMENDMENTS                            
      2004 - Pub. L. 108-375, div. A, title VIII, Sec. 805(a)(2), Oct.
    28, 2004, 118 Stat. 2009, added item 2437.
      2003 - Pub. L. 108-136, div. A, title VIII, Sec. 822(a)(2), Nov.
    24, 2003, 117 Stat. 1547, added item 2436.
      1994 - Pub. L. 103-355, title III, Secs. 3005(b), 3006(b),
    3007(b), Oct. 13, 1994, 108 Stat. 3331, substituted "Baseline
    description" for "Enhanced program stability" in item 2435 and
    struck out items 2438 "Major programs: competitive phototyping" and
    2439 "Major programs: competitive alternative sources".
      1993 - Pub. L. 103-160, div. A, title VIII, Sec. 828(a)(4), Nov.
    30, 1993, 107 Stat. 1713, struck out items 2436 "Defense enterprise
    programs" and 2437 "Defense enterprise programs: milestone
    authorization".
      1992 - Pub. L. 102-484, div. A, title VIII, Sec. 821(a)(2), div.
    D, title XLII, Sec. 4216(b)(2), Oct. 23, 1992, 106 Stat. 2460,
    2670, added items 2438 and 2440 and redesignated former item 2438
    as 2439.
      1987 - Pub. L. 100-26, Sec. 7(b)(1), (2)(B), (9)(B), Apr. 21,
    1987, 100 Stat. 279, 280, substituted "Major Defense Acquisition
    Programs" for "Oversight of Cost Growth in Major Programs" in
    chapter heading, added item 2430, and transferred former item 2305a
    from chapter 137 and redesignated it as item 2438.
      1986 - Pub. L. 99-661, div. A, title XII, Sec. 1208(c)(2), Nov.
    14, 1986, 100 Stat. 3976, inserted "; operational manpower
    requirements" in item 2434.
      Pub. L. 99-500, Sec. 101(c) [title X, Secs. 904(a)(2), 905(a)(2),
    906(a)(2)], Oct. 18, 1986, 100 Stat. 1783-82, 1783-134, 1783-135,
    1783-137, and Pub. L. 99-591, Sec. 101(c) [title X, Secs.
    904(a)(2), 905(a)(2), 906(a)(2)], Oct. 30, 1986, 100 Stat. 3341-82,
    3341-134, 3341-135, 3341-137; Pub. L. 99-661, div. A, title IX,
    formerly title IV, Secs. 904(a)(2), 905(a)(2), 906(a)(2), Nov. 14,
    1986, 100 Stat. 3914-3916, renumbered title IX, Pub. L. 100-26,
    Sec. 3(5), Apr. 21, 1987, 101 Stat. 273, added items 2435 to 2437.
      Pub. L. 99-433, title I, Sec. 101(a)(4), Oct. 1, 1986, 100 Stat.
    994, added chapter heading and analysis of sections for chapter
    144, consisting of sections 2431 to 2434.

-End-



-CITE-
    10 USC Sec. 2430                                            01/03/2007

-EXPCITE-
    TITLE 10 - ARMED FORCES
    Subtitle A - General Military Law
    PART IV - SERVICE, SUPPLY, AND PROCUREMENT
    CHAPTER 144 - MAJOR DEFENSE ACQUISITION PROGRAMS

-HEAD-
    Sec. 2430. Major defense acquisition program defined

-STATUTE-
      (a) In this chapter, the term "major defense acquisition program"
    means a Department of Defense acquisition program that is not a
    highly sensitive classified program (as determined by the Secretary
    of Defense) and - 
        (1) that is designated by the Secretary of Defense as a major
      defense acquisition program; or
        (2) that is estimated by the Secretary of Defense to require an
      eventual total expenditure for research, development, test, and
      evaluation of more than $300,000,000 (based on fiscal year 1990
      constant dollars) or an eventual total expenditure for
      procurement of more than $1,800,000,000 (based on fiscal year
      1990 constant dollars).

      (b) The Secretary of Defense may adjust the amounts (and the base
    fiscal year) provided in subsection (a)(2) on the basis of
    Department of Defense escalation rates. An adjustment under this
    subsection shall be effective after the Secretary transmits a
    written notification of the adjustment to the Committee on Armed
    Services of the Senate and the Committee on Armed Services of the
    House of Representatives.

-SOURCE-
    (Added Pub. L. 100-26, Sec. 7(b)(2)(A), Apr. 21, 1987, 101 Stat.
    279; amended Pub. L. 102-484, div. A, title VIII, Sec. 817(b), Oct.
    23, 1992, 106 Stat. 2455; Pub. L. 104-106, div. A, title XV, Sec.
    1502(a)(1), Feb. 10, 1996, 110 Stat. 502; Pub. L. 106-65, div. A,
    title X, Sec. 1067(1), Oct. 5, 1999, 113 Stat. 774.)


-MISC1-
                                AMENDMENTS                            
      1999 - Subsec. (b). Pub. L. 106-65 substituted "and the Committee
    on Armed Services" for "and the Committee on National Security".
      1996 - Subsec. (b). Pub. L. 104-106 substituted "Committee on
    Armed Services of the Senate and the Committee on National Security
    of the House of Representatives" for "Committees on Armed Services
    of the Senate and House of Representatives".
      1992 - Pub. L. 102-484 designated existing provisions as subsec.
    (a), in par. (2) substituted "$300,000,000" for "$200,000,000",
    "1990" for "1980" in two places, and "$1,800,000,000" for
    "$1,000,000,000", and added subsec. (b).

          REQUIREMENTS MANAGEMENT CERTIFICATION TRAINING PROGRAM      
      Pub. L. 109-364, div. A, title VIII, Sec. 801, Oct. 17, 2006, 120
    Stat. 2312, provided that:
      "(a) Training Program. - 
        "(1) Requirement. - The Under Secretary of Defense for
      Acquisition, Technology, and Logistics, in consultation with the
      Defense Acquisition University, shall develop a training program
      to certify military and civilian personnel of the Department of
      Defense with responsibility for generating requirements for major
      defense acquisition programs (as defined in section 2430(a) of
      title 10, United States Code).
        "(2) Competency and other requirements. - The Under Secretary
      shall establish competency requirements for the personnel
      undergoing the training program. The Under Secretary shall define
      the target population for such training program by identifying
      which military and civilian personnel should have responsibility
      for generating requirements. The Under Secretary also may
      establish other training programs for personnel not subject to
      chapter 87 of title 10, United States Code, who contribute
      significantly to other types of acquisitions by the Department of
      Defense.
      "(b) Applicability. - Effective on and after September 30, 2008,
    a member of the Armed Forces or an employee of the Department of
    Defense with authority to generate requirements for a major defense
    acquisition program may not continue to participate in the
    requirements generation process unless the member or employee
    successfully completes the certification training program developed
    under this section.
      "(c) Reports. - The Secretary of Defense shall submit to the
    Committees on Armed Services of the Senate and House of
    Representatives an interim report, not later than March 1, 2007,
    and a final report, not later than March 1, 2008, on the
    implementation of the training program required under this
    section."

              PROGRAM MANAGER EMPOWERMENT AND ACCOUNTABILITY          
      Pub. L. 109-364, div. A, title VIII, Sec. 853, Oct. 17, 2006, 120
    Stat. 2342, provided that:
      "(a) Strategy. - The Secretary of Defense shall develop a
    comprehensive strategy for enhancing the role of Department of
    Defense program managers in developing and carrying out defense
    acquisition programs.
      "(b) Matters to Be Addressed. - The strategy required by this
    section shall address, at a minimum - 
        "(1) enhanced training and educational opportunities for
      program managers;
        "(2) increased emphasis on the mentoring of current and future
      program managers by experienced senior executives and program
      managers within the Department;
        "(3) improved career paths and career opportunities for program
      managers;
        "(4) additional incentives for the recruitment and retention of
      highly qualified individuals to serve as program managers;
        "(5) improved resources and support (including systems
      engineering expertise, cost estimating expertise, and software
      development expertise) for program managers;
        "(6) improved means of collecting and disseminating best
      practices and lessons learned to enhance program management
      throughout the Department;
        "(7) common templates and tools to support improved data
      gathering and analysis for program management and oversight
      purposes;
        "(8) increased accountability of program managers for the
      results of defense acquisition programs; and
        "(9) enhanced monetary and nonmonetary awards for successful
      accomplishment of program objectives by program managers.
      "(c) Guidance on Tenure and Accountability of Program Managers
    Before Milestone B. - Not later than 180 days after the date of the
    enactment of this Act [Oct. 17, 2006], the Secretary of Defense
    shall revise Department of Defense guidance for major defense
    acquisition programs to address the qualifications, resources,
    responsibilities, tenure, and accountability of program managers
    for the program development period (before Milestone B approval (or
    Key Decision Point B approval in the case of a space program)).
      "(d) Guidance on Tenure and Accountability of Program Managers
    After Milestone B. - Not later than 180 days after the date of
    enactment of this Act [Oct. 17, 2006], the Secretary of Defense
    shall revise Department of Defense guidance for major defense
    acquisition programs to address the qualifications, resources,
    responsibilities, tenure and accountability of program managers for
    the program execution period (from Milestone B approval (or Key
    Decision Point B approval in the case of a space program) until the
    delivery of the first production units of a program). The guidance
    issued pursuant to this subsection shall address, at a minimum - 
        "(1) the need for a performance agreement between a program
      manager and the milestone decision authority for the program,
      setting forth expected parameters for cost, schedule, and
      performance, and appropriate commitments by the program manager
      and the milestone decision authority to ensure that such
      parameters are met;
        "(2) authorities available to the program manager, including,
      to the extent appropriate, the authority to object to the
      addition of new program requirements that would be inconsistent
      with the parameters established at Milestone B (or Key Decision
      Point B in the case of a space program) and reflected in the
      performance agreement; and
        "(3) the extent to which a program manager for such period
      should continue in the position without interruption until the
      delivery of the first production units of the program.
      "(e) Reports. - 
        "(1) Report by secretary of defense. - Not later than 270 days
      after the date of enactment of this Act [Oct. 17, 2006], the
      Secretary of Defense shall submit to the congressional defense
      committees [Committees on Armed Services and Appropriations of
      the Senate and the House of Representatives] a report on the
      strategy developed pursuant to subsection (a) and the guidance
      issued pursuant to subsections (b) and (c).
        "(2) Report by comptroller general. - Not later than one year
      after the date of enactment of this Act, the Comptroller General
      shall submit to the congressional defense committees a report on
      the actions taken by the Secretary of Defense to implement the
      requirements of this section."

       MANAGEMENT OF NATIONAL SECURITY AGENCY MODERNIZATION PROGRAM   
      Pub. L. 108-136, div. A, title IX, Sec. 924, Nov. 24, 2003, 117
    Stat. 1576, provided that:
      "(a) Management of Acquisition Programs Through USD (AT&L). - The
    Secretary of Defense shall direct that, effective as of the date of
    the enactment of this Act [Nov. 24, 2003], acquisitions under the
    National Security Agency Modernization Program shall be directed
    and managed by the Under Secretary of Defense for Acquisition,
    Technology, and Logistics.
      "(b) Applicability of Major Defense Acquisition Program
    Authorities. - (1) Each project designated as a major defense
    acquisition program under paragraph (2) shall be managed under the
    laws, policies, and procedures that are applicable to major defense
    acquisition programs (as defined in section 2430 of title 10,
    United States Code).
      "(2) The Secretary of Defense (acting through the Under Secretary
    of Defense for Acquisition, Technology, and Logistics) shall
    designate those projects under the National Security Agency
    Modernization Program that are to be managed as major defense
    acquisition programs.
      "(c) Milestone Decision Authority. - (1) The authority to make a
    decision that a program is authorized to proceed from one milestone
    stage into another (referred to as the milestone decision
    authority) may only be exercised by the Under Secretary of Defense
    for Acquisition, Technology, and Logistics for the following:
        "(A) Each project of the National Security Agency Modernization
      Program that is to be managed as a major defense acquisition
      program, as designated under subsection (b).
        "(B) Each major system under the National Security Agency
      Modernization Program.
      "(2) The limitation in paragraph (1) shall terminate on, and the
    Under Secretary may delegate the milestone decision authority
    referred to in paragraph (1) to the Director of the National
    Security Agency at any time after, the date that is the later of - 
        "(A) September 30, 2005, or
        "(B) the date on which the Under Secretary submits to the
      appropriate committees of Congress a notification described in
      paragraph (3).
      "(3) A notification described in this paragraph is a notification
    by the Under Secretary of the Under Secretary's intention to
    delegate the milestone decision authority referred to in paragraph
    (1) to the Director of the National Security Agency, together with
    a detailed discussion of the justification for that delegation.
    Such a notification may not be submitted until - 
        "(A) the Under Secretary has determined (after consultation
      with the Under Secretary of Defense for Intelligence and the
      Deputy Director of Central Intelligence for Community Management)
      that the Director has implemented acquisition management
      policies, procedures, and practices that are sufficient to ensure
      that acquisitions by the National Security Agency are conducted
      in a manner consistent with sound, efficient acquisition
      practices;
        "(B) the Under Secretary has consulted with the Under Secretary
      of Defense for Intelligence and the Deputy Director of Central
      Intelligence for Community Management on the delegation of such
      milestone decision authority to the Director; and
        "(C) the Secretary of Defense has approved the delegation of
      such milestone decision authority to the Director.
      "(d) Projects Comprising Program. - The National Security Agency
    Modernization Program consists of the following projects of the
    National Security Agency:
        "(1) The Trailblazer project.
        "(2) The Groundbreaker project.
        "(3) Each cryptological mission management project.
        "(4) Each other project of that Agency that - 
          "(A) meets either of the dollar thresholds in effect under
        paragraph (2) of section 2430(a) of title 10, United States
        Code; and
          "(B) is determined by the Under Secretary of Defense for
        Acquisition, Technology, and Logistics as being a major project
        that is within, or properly should be within, the National
        Security Agency Modernization Project.
      "(e) Definitions. - In this section:
        "(1) Major system. - The term 'major system' has the meaning
      given that term in section 2302(5) of title 10, United States
      Code.
        "(2) Appropriate committees of congress. - The term
      'appropriate committees of Congress' means the following:
          "(A) The Committee on Armed Services and the Select Committee
        on Intelligence of the Senate.
          "(B) The Committee on Armed Services and the Permanent Select
        Committee on Intelligence of the House of Representatives."

        SPIRAL DEVELOPMENT UNDER MAJOR DEFENSE ACQUISITION PROGRAMS    
      Pub. L. 107-314, div. A, title VIII, Sec. 803, Dec. 2, 2002, 116
    Stat. 2603, provided that:
      "(a) Authority. - The Secretary of Defense is authorized to
    conduct major defense acquisition programs as spiral development
    programs.
      "(b) Limitation on Spiral Development Programs. - A research and
    development program for a major defense acquisition program of a
    military department or Defense Agency may not be conducted as a
    spiral development program unless the Secretary of Defense approves
    the spiral development plan for that research and development
    program in accordance with subsection (c). The Secretary of Defense
    may delegate authority to approve the plan to the Under Secretary
    of Defense for Acquisition, Technology, and Logistics, or to the
    senior acquisition executive of the military department or Defense
    Agency concerned, but such authority may not be further delegated.
      "(c) Spiral Development Plans. - A spiral development plan for a
    research and development program for a major defense acquisition
    program shall, at a minimum, include the following matters:
        "(1) A rationale for dividing the research and development
      program into separate spirals, together with a preliminary
      identification of the spirals to be included.
        "(2) A program strategy, including overall cost, schedule, and
      performance goals for the total research and development program.
        "(3) Specific cost, schedule, and performance parameters,
      including measurable exit criteria, for the first spiral to be
      conducted.
        "(4) A testing plan to ensure that performance goals,
      parameters, and exit criteria are met.
        "(5) An appropriate limitation on the number of prototype units
      that may be produced under the research and development program.
        "(6) Specific performance parameters, including measurable exit
      criteria, that must be met before the major defense acquisition
      program proceeds into production of units in excess of the
      limitation on the number of prototype units.
      "(d) Guidance. - Not later than 120 days after the date of the
    enactment of this Act [Dec. 2, 2002], the Secretary of Defense
    shall issue guidance for the implementation of spiral development
    programs authorized by this section. The guidance shall include
    appropriate processes for ensuring the independent validation of
    exit criteria being met, the operational assessment of fieldable
    prototypes, and the management of spiral development programs.
      "(e) Reporting Requirement. - The Secretary shall submit to
    Congress by September 30 of each of 2003 through 2008 a status
    report on each research and development program that is a spiral
    development program. The report shall contain information on unit
    costs that is similar to the information on unit costs under major
    defense acquisition programs that is required to be provided to
    Congress under chapter 144 of title 10, United States Code, except
    that the information on unit costs shall address projected
    prototype costs instead of production costs.
      "(f) Applicability of Existing Law. - Nothing in this section
    shall be construed to exempt any program of the Department of
    Defense from the application of any provision of chapter 144 of
    title 10, United States Code, section 139, 181, 2366, 2399, or 2400
    of such title, or any requirement under Department of Defense
    Directive 5000.1, Department of Defense Instruction 5000.2, or
    Chairman of the Joint Chiefs of Staff Instruction 3170.01B in
    accordance with the terms of such provision or requirement.
      "(g)  Definitions. - In this section:
        "(1) The term 'spiral development program', with respect to a
      research and development program, means a program that - 
          "(A) is conducted in discrete phases or blocks, each of which
        will result in the development of fieldable prototypes; and
          "(B) will not proceed into acquisition until specific
        performance parameters, including measurable exit criteria,
        have been met.
        "(2) The term 'spiral' means one of the discrete phases or
      blocks of a spiral development program.
        "(3) The term 'major defense acquisition program' has the
      meaning given such term in section 139(a)(2)(B) of title 10,
      United States Code."

      ENVIRONMENTAL CONSEQUENCE ANALYSIS OF MAJOR DEFENSE ACQUISITION
                                 PROGRAMS
      Pub. L. 103-337, div. A, title VIII, Sec. 815, Oct. 5, 1994, 108
    Stat. 2819, provided that:
      "(a) Guidance. - Before April 1, 1995, the Secretary of Defense
    shall issue guidance, to apply uniformly throughout the Department
    of Defense, regarding - 
        "(1) how to achieve the purposes and intent of the National
      Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.) by
      ensuring timely compliance for major defense acquisition programs
      (as defined in section 2430 of title 10, United States Code)
      through (A) initiation of compliance efforts before development
      begins, (B) appropriate environmental impact analysis in support
      of each milestone decision, and (C) accounting for all direct,
      indirect, and cumulative environmental effects before proceeding
      toward production; and
        "(2) how to analyze, as early in the process as feasible, the
      life-cycle environmental costs for such major defense acquisition
      programs, including the materials to be used, the mode of
      operations and maintenance, requirements for demilitarization,
      and methods of disposal, after consideration of all pollution
      prevention opportunities and in light of all environmental
      mitigation measures to which the department expressly commits.
      "(b) Analysis. - Beginning not later than March 31, 1995, the
    Secretary of Defense shall analyze the environmental costs of a
    major defense acquisition process as an integral part of the life-
    cycle cost analysis of the program pursuant to the guidance issued
    under subsection (a).
      "(c) Data Base for NEPA Documentation. - The Secretary of Defense
    shall establish and maintain a data base for documents prepared by
    the Department of Defense in complying with the National
    Environmental Policy Act of 1969 with respect to major defense
    acquisition programs. Any such document relating to a major defense
    acquisition program shall be maintained in the data base for 5
    years after commencement of low-rate initial production of the
    program."

                      EFFICIENT CONTRACTING PROCESSES                  
      Pub. L. 103-160, div. A, title VIII, Sec. 837, Nov. 30, 1993, 107
    Stat. 1718, as amended by Pub. L. 103-355, title V, Sec.
    5064(b)(2), Oct. 13, 1994, 108 Stat. 3360, provided that: "The
    Secretary of Defense shall take any additional actions that the
    Secretary considers necessary to waive regulations not required by
    statute that affect the efficiency of the contracting process
    within the Department of Defense. Such actions shall include, in
    the Secretary's discretion, developing methods to streamline the
    procurement process, streamlining the period for entering into
    contracts, and defining alternative techniques to reduce reliance
    on military specifications and standards, in contracts for the
    defense acquisition programs participating in the Defense
    Acquisition Pilot Program."

      CONTRACT ADMINISTRATION: PERFORMANCE BASED CONTRACT MANAGEMENT  
      Pub. L. 103-160, div. A, title VIII, Sec. 838, Nov. 30, 1993, 107
    Stat. 1718, as amended by Pub. L. 103-355, title V, Sec.
    5064(b)(3), Oct. 13, 1994, 108 Stat. 3360, provided that: "For at
    least one participating defense acquisition program for which a
    determination is made to make payments for work in progress under
    the authority of section 2307 of title 10, United States Code, the
    Secretary of Defense should define payment milestones on the basis
    of quantitative measures of results."

                     DEFENSE ACQUISITION PILOT PROGRAM                 
      Pub. L. 104-201, div. A, title VIII, Sec. 803, Sept. 23, 1996,
    110 Stat. 2604, as amended by Pub. L. 105-85, div. A, title VIII,
    Sec. 847(b)(2), Nov. 18, 1997, 111 Stat. 1845, provided that:
      "(a) Authority. - The Secretary of Defense may waive sections
    2399, 2432, and 2433 of title 10, United States Code, in accordance
    with this section for any defense acquisition program designated by
    the Secretary of Defense for participation in the defense
    acquisition pilot program authorized by section 809 of the National
    Defense Authorization Act for Fiscal Year 1991 (Public Law 101-510;
    10 U.S.C. 2430 note).
      "(b) Operational Test and Evaluation. - The Secretary of Defense
    may waive the requirements for operational test and evaluation for
    such a defense acquisition program as set forth in section 2399 of
    title 10, United States Code, if the Secretary - 
        "(1) determines (without delegation) that such test would be
      unreasonably expensive or impractical;
        "(2) develops a suitable alternate operational test program for
      the system concerned;
        "(3) describes in the test and evaluation master plan, as
      approved by the Director of Operational Test and Evaluation, the
      method of evaluation that will be used to evaluate whether the
      system will be effective and suitable for combat; and
        "(4) submits to the congressional defense committees
      [Committees on Armed Services and on Appropriations of the Senate
      and House of Representatives] a report containing the
      determination that was made under paragraph (1), a justification
      for that determination, and a copy of the plan required by
      paragraph (3).
      "(c) Selected Acquisition Reports. - The Secretary of Defense may
    waive the requirements of sections 2432 and 2433 of title 10,
    United States Code, for such a defense acquisition program if the
    Secretary provides a single annual report to Congress at the end of
    each fiscal year that describes the status of the program in
    relation to the baseline description for the program established
    under section 2435 of such title."
      Pub. L. 103-355, title V, Sec. 5064, Oct. 13, 1994, 108 Stat.
    3359, as amended by Pub. L. 106-398, Sec. 1 [[div. A], title VIII,
    Sec. 801(a), (b)], Oct. 30, 2000, 114 Stat. 1654, 1654A-202, 1654A-
    203, provided that:
      "(a) In General. - The Secretary of Defense is authorized to
    designate the following defense acquisition programs for
    participation in the defense acquisition pilot program authorized
    by section 809 of the National Defense Authorization Act for Fiscal
    Year 1991 [Pub. L. 101-510] (10 U.S.C. 2430 note):
        "(1) Fire support combined arms tactical trainer (fscatt). -
      The Fire Support Combined Arms Tactical Trainer program with
      respect to all contracts directly related to the procurement of a
      training simulation system (including related hardware, software,
      and subsystems) to perform collective training of field artillery
      gunnery team components, with development of software as required
      to generate the training exercises and component interfaces.
        "(2) Joint direct attack munition (jdam i). - The Joint Direct
      Attack Munition program with respect to all contracts directly
      related to the development and procurement of a strap-on guidance
      kit, using an inertially guided, Global Positioning System
      updated guidance kit to enhance the delivery accuracy of 500-
      pound, 1000-pound, and 2000-pound bombs in inventory.
        "(3) Joint primary aircraft training system (jpats). - The
      Joint Primary Aircraft Training System (JPATS) with respect to
      all contracts directly related to the acquisition of a new
      primary trainer aircraft to fulfill Air Force and Navy joint
      undergraduate aviation training requirements, and an associated
      ground-based training system consisting of air crew training
      devices (simulators), courseware, a Training Management System,
      and contractor support for the life of the system.
        "(4) Commercial-derivative aircraft (cda). - 
          "(A) All contracts directly related to the acquisition or
        upgrading of commercial-derivative aircraft for use in meeting
        airlift and tanker requirements and the air vehicle component
        for airborne warning and control systems.
          "(B) For purposes of this paragraph, the term 'commercial-
        derivative aircraft' means any of the following:
            "(i) Any aircraft (including spare parts, support services,
          support equipment, technical manuals, and data related
          thereto) that is or was of a type customarily used in the
          course of normal business operations for other than Federal
          Government purposes, that has been issued a type certificate
          by the Administrator of the Federal Aviation Administration,
          and that has been sold or leased for use in the commercial
          marketplace or that has been offered for sale or lease for
          use in the commercial marketplace.
            "(ii) Any aircraft that, but for modifications of a type
          customarily available in the commercial marketplace, or minor
          modifications made to meet Federal Government requirements,
          would satisfy or would have satisfied the criteria in
          subclause (I).
            "(iii) For purposes of a potential complement or
          alternative to the C-17 program, any nondevelopmental airlift
          aircraft, other than the C-17 or any aircraft derived from
          the C-17, shall be considered a commercial-derivative
          aircraft.
        "(5) Commercial-derivative engine (cde). - The commercial
      derivative engine program with respect to all contracts directly
      related to the acquisition of (A) commercial derivative engines
      (including spare engines and upgrades), logistics support
      equipment, technical orders, management data, and spare parts,
      and (B) commercially derived engines for use in supporting the
      purchase of commercial-derivative aircraft for use in airlift and
      tanker requirements (including engine replacement and upgrades)
      and the air vehicle component for airborne warning and control
      systems. For purposes of a potential complement or alternative to
      the C-17 program, any nondevelopmental airlift aircraft engine
      shall be considered a commercial-derivative engine.
      "(b) Pilot Program Implementation. - (1) [Amended section 833 of
    Pub. L. 103-160, set out below.]
      "(2) [Amended section 837 of Pub. L. 103-160, set out above.]
      "(3) [Amended section 838 of Pub. L. 103-160, set out above.]
      "(4) Not later than 45 days after the date of the enactment of
    the Federal Acquisition Streamlining Act of 1994 [Oct. 13, 1994],
    the Secretary of Defense shall identify for each defense
    acquisition program participating in the pilot program quantitative
    measures and goals for reducing acquisition management costs.
      "(5) For each defense acquisition program participating in the
    pilot program, the Secretary of Defense shall establish a review
    process that provides senior acquisition officials with reports on
    the minimum necessary data items required to ensure the appropriate
    expenditure of funds appropriated for the program and that - 
        "(A) contain essential information on program results at
      appropriate intervals, including the criteria to be used in
      measuring the success of the program; and
        "(B) reduce data requirements from the current program review
      reporting requirements.
      "(c) Special Authority. - The authority delegated under
    subsection (a) may include authority for the Secretary of Defense -
    
        "(1) to apply any amendment or repeal of a provision of law
      made in this Act [see Tables for classification] to the pilot
      programs before the effective date of such amendment or repeal
      [see Effective Date of 1994 Amendment note set out under section
      251 of Title 41, Public Contracts]; and
        "(2) to apply to a procurement of items other than commercial
      items under such programs - 
          "(A) any authority provided in this Act (or in an amendment
        made by a provision of this Act) to waive a provision of law in
        the case of commercial items, and
          "(B) any exception applicable under this Act (or an amendment
        made by a provision of this Act) in the case of commercial
        items,
      before the effective date of such provision (or amendment) to the
      extent that the Secretary determines necessary to test the
      application of such waiver or exception to procurements of items
      other than commercial items.
      "(d) Applicability. - (1) Subsection (c) applies with respect to -
     
        "(A) a contract that is awarded or modified during the period
      described in paragraph (2); and
        "(B) a contract that is awarded before the beginning of such
      period and is to be performed (or may be performed), in whole or
      in part, during such period.
      "(2) The period referred to in paragraph (1) is the period that
    begins on October 13, 1994, and ends on October 1, 2007.
      "(e) Rule of Construction. - Nothing in this section shall be
    construed as authorizing the appropriation or obligation of funds
    for the programs designated for participation in the defense
    acquisition pilot program under the authority of subsection (a)."
      Pub. L. 103-337, div. A, title VIII, Sec. 819, Oct. 5, 1994, 108
    Stat. 2822, provided that: "The Secretary of Defense is authorized
    to designate the following defense acquisition programs for
    participation, to the extent provided in the Federal Acquisition
    Streamlining Act of 1994 [Pub. L. 103-355, see Tables for
    classification], in the defense acquisition pilot program
    authorized by section 809 of the National Defense Authorization Act
    for Fiscal Year 1991 [Pub. L. 101-510] (10 U.S.C. 2430 note):
        "(1) The Fire Support Combined Arms Tactical Trainer program.
        "(2) The Joint Direct Attack Munition program.
        "(3) The Joint Primary Aircraft Training System.
        "(4) Commercial-derivative aircraft.
        "(5) Commercial-derivative engine."
      Pub. L. 103-160, div. A, title VIII, Sec. 833, Nov. 30, 1993, 107
    Stat. 1716, as amended by Pub. L. 103-355, title V, Sec.
    5064(b)(1), Oct. 13, 1994, 108 Stat. 3360, provided that:
      "(a) Mission-Oriented Program Management. - In the exercise of
    the authority provided in section 809 of the National Defense
    Authorization Act for Fiscal Year 1991 [Pub. L. 101-510] (10 U.S.C.
    2430 note), the Secretary of Defense should propose for one or more
    of the defense acquisition programs covered by the Defense
    Acquisition Pilot Program to utilize the concept of mission-
    oriented program management.
      "(b) Policies and Procedures. - In the case of each defense
    acquisition program covered by the Defense Acquisition Pilot
    Program, the Secretary of Defense should prescribe policies and
    procedures for the interaction of the program manager and the
    commander of the operational command (or a representative)
    responsible for the requirement for the equipment acquired, and for
    the interaction with the commanders of the unified and specified
    combatant commands. Such policies and procedures should include
    provisions for enabling the user commands to participate in
    acceptance testing."
      Pub. L. 103-160, div. A, title VIII, Sec. 835(b), Nov. 30, 1993,
    107 Stat. 1717, related to funding for Defense Acquisition Pilot
    Program, and authorized the Secretary of Defense to expend
    appropriated sums as necessary to carry out next phase of
    acquisition program cycle after Secretary determined that objective
    quantifiable performance expectations relating to execution of that
    phase had been identified, prior to repeal by Pub. L. 103-355,
    title V, Sec. 5002(b), Oct. 13, 1994, 108 Stat. 3350.
      Pub. L. 103-160, div. A, title VIII, Sec. 839, Nov. 30, 1993, 107
    Stat. 1718, provided that:
      "(a) Collection and Analysis of Performance Information. - The
    Secretary of Defense shall collect and analyze information on
    contractor performance under the Defense Acquisition Pilot Program.
      "(b) Information To Be Included. - Information collected under
    subsection (a) shall include the history of the performance of each
    contractor under the Defense Acquisition Pilot Program contracts
    and, for each such contract performed by the contractor, a
    technical evaluation of the contractor's performance prepared by
    the program manager responsible for the contract."
      Pub. L. 101-510, div. A, title VIII, Sec. 809, Nov. 5, 1990, 104
    Stat. 1593, as amended by Pub. L. 102-484, div. A, title VIII, Sec.
    811, Oct. 23, 1992, 106 Stat. 2450; Pub. L. 103-160, div. A, title
    VIII, Sec. 832, Nov. 30, 1993, 107 Stat. 1715, provided that:
      "(a) Authority To Conduct Pilot Program. - The Secretary of
    Defense may conduct a pilot program for the purpose of determining
    the potential for increasing the efficiency and effectiveness of
    the acquisition process in defense acquisition programs.
      "(b) Designation of Participating Programs. - (1) Subject to
    paragraph (2), the Secretary may designate defense acquisition
    programs for participation in the pilot program.
      "(2) The Secretary may designate for participation in the pilot
    program only those defense acquisition programs specifically
    authorized to be so designated in a law authorizing appropriations
    for such program enacted after the date of the enactment of this
    Act [Nov. 5, 1990].
      "(c) Conduct of Pilot Program. - (1) In the case of each defense
    acquisition program designated for participation in the pilot
    program, the Secretary - 
        "(A) shall conduct the program in accordance with standard
      commercial, industrial practices; and
        "(B) may waive or limit the applicability of any provision of
      law that is specifically authorized to be waived in the law
      authorizing appropriations referred to in subsection (b)(2) and
      that prescribes - 
          "(i) procedures for the procurement of supplies or services;
          "(ii) a preference or requirement for acquisition from any
        source or class of sources;
          "(iii) any requirement related to contractor performance;
          "(iv) any cost allowability, cost accounting, or auditing
        requirements; or
          "(v) any requirement for the management of, testing to be
        performed under, evaluation of, or reporting on a defense
        acquisition program.
      "(2) The waiver authority provided in paragraph (1)(B) does not
    apply to a provision of law if, as determined by the Secretary - 
        "(A) a purpose of the provision is to ensure the financial
      integrity of the conduct of a Federal Government program; or
        "(B) the provision relates to the authority of the Inspector
      General of the Department of Defense.
      "(d) Publication of Policies and Guidelines. - The Secretary
    shall publish in the Federal Register a proposed memorandum setting
    forth policies and guidelines for implementation of the pilot
    program under this section and provide an opportunity for public
    comment on the proposed memorandum for a period of 60 days after
    the date of publication. The Secretary shall publish in the Federal
    Register any subsequent proposed change to the memorandum and
    provide an opportunity for public comment on each such proposed
    change for a period of 60 days after the date of publication.
      "(e) Notification and Implementation. - (1) The Secretary shall
    transmit to the congressional defense committees a written
    notification of each defense acquisition program proposed to be
    designated by the Secretary for participation in the pilot program.
      "(2) If the Secretary proposes to waive or limit the
    applicability of any provision of law to a defense acquisition
    program under the pilot program in accordance with this section,
    the Secretary shall include in the notification regarding that
    acquisition program - 
        "(A) the provision of law proposed to be waived or limited;
        "(B) the effects of such provision of law on the acquisition,
      including specific examples;
        "(C) the actions taken to ensure that the waiver or limitation
      will not reduce the efficiency, integrity, and effectiveness of
      the acquisition process used for the defense acquisition program;
      and
        "(D) a discussion of the efficiencies or savings, if any, that
      will result from the waiver or limitation.
      "(f) Limitation on Waiver Authority. - The applicability of the
    following requirements of law may not be waived or limited under
    subsection (c)(1)(B) with respect to a defense acquisition program:
        "(1) The requirements of this section.
        "(2) The requirements contained in any law enacted on or after
      the date of the enactment of this Act [Nov. 5, 1990] if that law
      designates such defense acquisition program as a participant in
      the pilot program, except to the extent that a waiver of such
      requirement is specifically authorized for such defense
      acquisition program in a law enacted on or after such date.
      "(g) Termination of Authority. - The authority to waive or limit
    the applicability of any law under this section may not be
    exercised after September 30, 1995."

-End-



-CITE-
    10 USC Sec. 2431                                            01/03/2007

-EXPCITE-
    TITLE 10 - ARMED FORCES
    Subtitle A - General Military Law
    PART IV - SERVICE, SUPPLY, AND PROCUREMENT
    CHAPTER 144 - MAJOR DEFENSE ACQUISITION PROGRAMS

-HEAD-
    Sec. 2431. Weapons development and procurement schedules

-STATUTE-
      (a) The Secretary of Defense shall submit to Congress each
    calendar year, not later than 45 days after the President submits
    the budget to Congress under section 1105 of title 31, budget
    justification documents regarding development and procurement
    schedules for each weapon system for which fund authorization is
    required by section 114(a) of this title, and for which any funds
    for procurement are requested in that budget. The documents shall
    include data on operational testing and evaluation for each weapon
    system for which funds for procurement are requested (other than
    funds requested only for the procurement of units for operational
    testing and evaluation, or long lead-time items, or both). A weapon
    system shall also be included in the annual documents required
    under this subsection in each year thereafter until procurement of
    that system has been completed or terminated, or the Secretary of
    Defense certifies, in writing, that such inclusion would not serve
    any useful purpose and gives his reasons therefor.
      (b) Any documents required to be submitted under subsection (a)
    shall include detailed and summarized information with respect to
    each weapon system covered and shall specifically include each of
    the following:
        (1) The development schedule, including estimated annual costs
      until development is completed.
        (2) The planned procurement schedule, including the best
      estimate of the Secretary of Defense of the annual costs and
      units to be procured until procurement is completed.
        (3) To the extent required by the second sentence of subsection
      (a), the result of all operational testing and evaluation up to
      the time of the submission of the documents, or, if operational
      testing and evaluation has not been conducted, a statement of the
      reasons therefor and the results of such other testing and
      evaluation as has been conducted.
        (4)(A) The most efficient production rate, the most efficient
      acquisition rate, and the minimum sustaining rate, consistent
      with the program priority established for such weapon system by
      the Secretary concerned.
        (B) In this paragraph:
          (i) The term "most efficient production rate" means the
        maximum rate for each budget year at which the weapon system
        can be produced with existing or planned plant capacity and
        tooling, with one shift a day running for eight hours a day and
        five days a week.
          (ii) The term "minimum sustaining rate" means the production
        rate for each budget year that is necessary to keep production
        lines open while maintaining a base of responsive vendors and
        suppliers.

      (c) In the case of any weapon system for which procurement funds
    have not been previously requested and for which funds are first
    requested by the President in any fiscal year after the Budget for
    that fiscal year has been submitted to Congress, the same
    documentation requirements shall be applicable to that system in
    the same manner and to the same extent as if funds had been
    requested for that system in that budget.

-SOURCE-
    (Added Pub. L. 93-155, title VIII, Sec. 803(a), Nov. 16, 1973, 87
    Stat. 614, Sec. 139; amended Pub. L. 94-106, title VIII, Sec. 805,
    Oct. 7, 1975, 89 Stat. 538; Pub. L. 96-513, title V, Sec. 511(5),
    Dec. 12, 1980, 94 Stat. 2920; Pub. L. 97-86, title IX, Sec. 909(c),
    Dec. 1, 1981, 95 Stat. 1120; Pub. L. 97-258, Sec. 3(b)(1), Sept.
    13, 1982, 96 Stat. 1063; Pub. L. 98-525, title XIV, Sec. 1405(3),
    Oct. 19, 1984, 98 Stat. 2621; renumbered Sec. 2431 and amended Pub.
    L. 99-433, title I, Secs. 101(a)(5), 110(d)(12), (g)(6), Oct. 1,
    1986, 100 Stat. 995, 1003, 1004; Pub. L. 100-180, div. A, title
    XIII, Sec. 1314(a)(1), Dec. 4, 1987, 101 Stat. 1175; Pub. L. 101-
    510, div. A, title XIII, Sec. 1301(13), title XIV, Sec.
    1484(f)(3), Nov. 5, 1990, 104 Stat. 1668, 1717; Pub. L. 103-355,
    title III, Sec. 3001, Oct. 13, 1994, 108 Stat. 3327; Pub. L. 104-
    106, div. D, title XLIII, Sec. 4321(b)(18), Feb. 10, 1996, 110
    Stat. 673.)


-MISC1-
                             PRIOR PROVISIONS                         
      Provisions similar to those in this section were contained in
    Pub. L. 92-156, title V, Sec. 506, Nov. 17, 1971, 85 Stat. 429,
    prior to repeal by Pub. L. 93-155, Sec. 803(b)(2).

                                AMENDMENTS                            
      1996 - Subsec. (b). Pub. L. 104-106, Sec. 4321(b)(18)(A)(i),
    substituted "Any documents" for "Any report" in first sentence.
      Subsec. (b)(3). Pub. L. 104-106, Sec. 4321(b)(18)(A)(ii),
    substituted "the documents" for "the report".
      Subsec. (c). Pub. L. 104-106, Sec. 4321(b)(18)(B), substituted
    "documentation" for "reporting".
      1994 - Subsec. (a). Pub. L. 103-355, Sec. 3001(a), substituted
    "not later than 45 days after" for "at the same time" and "budget
    justification documents" for "a written report" in first sentence
    and "documents" for "report" in second and third sentences.
      Subsec. (b). Pub. L. 103-355, Sec. 3001(b)(1), substituted
    "include each of the following:" for "include - " in introductory
    provisions.
      Subsec. (b)(1) to (3). Pub. L. 103-355, Sec. 3001(b)(2)-(4),
    capitalized first letter of first word in pars. (1) to (3) and
    substituted period for semicolon at end of pars. (1) and (2) and
    period for "; and" at end of par. (3).
      Subsec. (b)(4). Pub. L. 103-355, Sec. 3001(b)(5) amended par. (4)
    generally. Prior to amendment, par. (4) read as follows: "the most
    efficient production rate and the most efficient acquisition rate
    consistent with the program priority established for such weapon
    system by the Secretary concerned."
      1990 - Subsec. (b). Pub. L. 101-510, Sec. 1484(f)(3), substituted
    "covered and shall specifically include" for "covered, and
    specifically include, but not be limited to" in introductory
    provisions.
      Pub. L. 101-510, Sec. 1301(13), redesignated subsec. (c) as (b),
    struck out "or (b)" after "under subsection (a)", and struck out
    former subsec. (b) which read as follows: "The Secretary of Defense
    shall submit a supplemental report to Congress not less than 30, or
    more than 90, days before the award of any contract, or the
    exercise of any option in a contract, for the procurement of any
    such weapon system (other than procurement of units for operational
    testing and evaluation, or long lead-time items, or both), unless -
    
        "(1) the contractor or contractors for that system have not yet
      been selected and the Secretary of Defense determines that the
      submission of that report would adversely affect the source
      selection process and notifies Congress in writing, prior to such
      award, of that determination, stating his reasons therefor; or
        "(2) the Secretary of Defense determines that the submission of
      that report would otherwise adversely affect the vital security
      interests of the United States and notifies Congress in writing
      of that determination at least 30 days prior to the award,
      stating his reasons therefor."
      Subsecs. (c), (d). Pub. L. 101-510, Sec. 1301(13)(C),
    redesignated subsecs. (c) and (d) as (b) and (c), respectively.
      1987 - Pub. L. 100-180 made technical amendment to directory
    language of Pub. L. 99-433, Sec. 101(a)(5). See 1986 Amendment note
    below.
      1986 - Pub. L. 99-433, Sec. 101(a)(5), as amended by Pub. L. 100-
    180, Sec. 1314(a)(1), renumbered section 139 of this title as this
    section.
      Pub. L. 99-433, Sec. 110(d)(12), substituted "Weapons development
    and procurement schedules" for "Secretary of Defense: weapons
    development and procurement schedules for armed forces; reports;
    supplemental reports" in section catchline.
      Subsec. (a). Pub. L. 99-433, Sec. 110(g)(6), substituted "section
    114(a)" for "section 138(a)".
      1984 - Subsec. (b). Pub. L. 98-525, Sec. 1405(3)(B), substituted
    "30" for "thirty" and "90" for "ninety" in introductory text.
      Subsec. (b)(2). Pub. L. 98-525, Sec. 1405(3)(A), substituted "30"
    for "thirty".
      1982 - Subsec. (a). Pub. L. 97-258 substituted "section 1105 of
    title 31" for "section 201 of the Budget and Accounting Act, 1921
    (31 U.S.C. 11)".
      1981 - Subsec. (c)(4). Pub. L. 97-86 added par. (4).
      1980 - Subsec. (a). Pub. L. 96-513 substituted "section 201 of
    the Budget and Accounting Act, 1921 (31 U.S.C. 11)" for "section 11
    of title 31".
      1975 - Subsec. (b). Pub. L. 94-106 substituted "or more than
    ninety, days before" for "or more than sixty, days before".

                     EFFECTIVE DATE OF 1996 AMENDMENT                 
      For effective date and applicability of amendment by Pub. L. 104-
    106, see section 4401 of Pub. L. 104-106, set out as a note under
    section 251 of Title 41, Public Contracts.

                     EFFECTIVE DATE OF 1987 AMENDMENT                 
      Amendment by Pub. L. 100-180 applicable as if included in
    enactment of the Goldwater-Nichols Department of Defense
    Reorganization Act of 1986, Pub. L. 99-433, see section 1314(e) of
    Pub. L. 100-180, set out as a note under section 743 of this title.

                     EFFECTIVE DATE OF 1980 AMENDMENT                 
      Amendment by Pub. L. 96-513 effective Dec. 12, 1980, see section
    701(b)(3) of Pub. L. 96-513, set out as a note under section 101 of
    this title.

       POLICY OF THE UNITED STATES ON PRIORITIES IN THE DEVELOPMENT,
           TESTING, AND FIELDING OF MISSILE DEFENSE CAPABILITIES
      Pub. L. 109-364, div. A, title II, Sec. 223, Oct. 17, 2006, 120
    Stat. 2130, provided that:
      "(a) Findings. - Congress makes the following findings:
        "(1) In response to the threat posed by ballistic missiles,
      President George W. Bush in December 2002 directed the Secretary
      of Defense to proceed with the fielding of an initial set of
      missile defense capabilities in 2004 and 2005.
        "(2) According to assessments by the intelligence community of
      the United States, North Korea tested in 2005 a new solid
      propellant short-range ballistic missile, conducted a launch of a
      Taepodong-2 ballistic missile/space launch vehicle in 2006, and
      is likely developing intermediate-range and intercontinental
      ballistic missile capabilities that could someday reach as far as
      the United States with a nuclear payload.
        "(3) According to assessments by the intelligence community of
      the United States, Iran continued in 2005 to test its medium-
      range ballistic missile, and the danger that Iran will acquire a
      nuclear weapon and integrate it with a ballistic missile Iran
      already possesses is a reason for immediate concern.
      "(b) Policy. - It is the policy of the United States that the
    Department of Defense accord a priority within the missile defense
    program to the development, testing, fielding, and improvement of
    effective near-term missile defense capabilities, including the
    ground-based midcourse defense system, the Aegis ballistic missile
    defense system, the Patriot PAC-3 system, the Terminal High
    Altitude Area Defense system, and the sensors necessary to support
    such systems."

      PLANS FOR TEST AND EVALUATION OF OPERATIONAL CAPABILITY OF THE
                     BALLISTIC MISSILE DEFENSE SYSTEM
      Pub. L. 109-163, div. A, title II, Sec. 234, Jan. 6, 2006, 119
    Stat. 3174, as amended by Pub. L. 109-364, div. A, title II, Sec.
    225, Oct. 17, 2006, 120 Stat. 2130, provided that:
      "(a) Test and Evaluation Plans for Blocks. - 
        "(1) Plans required. - With respect to block 06 and each
      subsequent block of the Ballistic Missile Defense System, the
      appropriate joint and service operational test and evaluation
      components of the Department of Defense concerned with the block
      shall prepare a plan, appropriate for the level of technological
      maturity of the block, to test, evaluate, and characterize the
      operational capability of the block.
        "(2) Consultation and review. - The preparation of each plan
      under this subsection shall be - 
          "(A) carried out in coordination with the Missile Defense
        Agency; and
          "(B) subject to the review and approval of the Director of
        Operational Test and Evaluation.
        "(3) Submittal to congress. - Each plan prepared under this
      subsection and approved by the Director of Operational Test and
      Evaluation shall be submitted to the congressional defense
      committees [Committees on Armed Services and Appropriations of
      the Senate and the House of Representatives] not later than 30
      days after the date of the approval of such plan by the Director.
      "(b) Reports on Test and Evaluation of Blocks. - At the
    conclusion of the test and evaluation of block 06 and each
    subsequent block of the Ballistic Missile Defense System, the
    Director of Operational Test and Evaluation shall submit to the
    Secretary of Defense and the congressional defense committees a
    report providing - 
        "(1) the assessment of the Director as to whether or not the
      test and evaluation was adequate to evaluate the operational
      capability of the block; and
        "(2) the characterization of the Director as to the operational
      effectiveness, suitability, and survivability of the block, as
      appropriate for the level of technological maturity of the block
      tested."

     INTEGRATION OF PATRIOT ADVANCED CAPABILITY-3 AND MEDIUM EXTENDED
         AIR DEFENSE SYSTEM INTO BALLISTIC MISSILE DEFENSE SYSTEM
      Pub. L. 108-375, div. A, title II, Sec. 232, Oct. 28, 2004, 118
    Stat. 1835, provided that:
      "(a) Relationship to Ballistic Missile Defense System. - The
    combined program of the Department of the Army known as the Patriot
    Advanced Capability-3/Medium Extended Air Defense System air and
    missile defense program (hereinafter in this section referred to as
    the 'PAC-3/MEADS program') is an element of the Ballistic Missile
    Defense System.
      "(b) Management of Configuration Changes. - The Director of the
    Missile Defense Agency, in consultation with the Secretary of the
    Army (acting through the Assistant Secretary of the Army for
    Acquisition, Logistics and Technology) shall ensure that any
    configuration change for the PAC-3/MEADS program is subject to the
    configuration control board processes of the Missile Defense Agency
    so as to ensure integration of the PAC-3/MEADS element with
    appropriate elements of the Ballistic Missile Defense System.
      "(c) Required Procedures. - (1) Except as otherwise directed by
    the Secretary of Defense, the Secretary of the Army (acting through
    the Assistant Secretary of the Army for Acquisition, Logistics and
    Technology) may make a significant change to the baseline technical
    specifications or the baseline schedule for the PAC-3/MEADS program
    only with the concurrence of the Director of the Missile Defense
    Agency.
      "(2) With respect to a proposal by the Secretary of the Army to
    make a significant change to the procurement quantity (including
    any quantity in any future block procurement) that, as of the date
    of such proposal, is planned for the PAC-3/MEADS program, the
    Secretary of Defense shall establish - 
        "(A) procedures for a determination of the effect of such
      change on Ballistic Missile Defense System capabilities and on
      the cost of the PAC-3/MEADS program; and
        "(B) procedures for review of the proposed change by all
      relevant commands and agencies of the Department of Defense,
      including determination of the concurrence or nonconcurrence of
      each such command and agency with respect to such proposed
      change.
      "(d) Report. - Not later than February 1, 2005, the Secretary of
    Defense shall submit to the congressional defense committees
    [Committees on Armed Services and Appropriations of Senate and
    House of Representatives] a report describing the procedures
    developed pursuant to subsection (c)(2).
      "(e) Definitions. - For purpose of this section:
        "(1) The term 'significant change' means, with respect to the
      PAC-3/MEADS program, a change that would substantially alter the
      role or contribution of that program in the Ballistic Missile
      Defense System.
        "(2) The term 'baseline technical specifications' means, with
      respect to the PAC-3/MEADS program, those technical
      specifications for that program that have been approved by the
      configuration control board of the Missile Defense Agency and are
      in effect as of the date of the review.
        "(3) The term 'baseline schedule' means, with respect to the
      PAC-3/MEADS program, the development and production schedule for
      the PAC-3/MEADS program in effect at the time of a review of such
      program conducted pursuant to subsection (b) or (c)(2)(B)."

    BASELINES AND OPERATIONAL TEST AND EVALUATION FOR BALLISTIC MISSILE
                              DEFENSE SYSTEM
      Pub. L. 108-375, div. A, title II, Sec. 234, Oct. 28, 2004, 118
    Stat. 1837, provided that:
      "(a) Testing Criteria. - Not later than February 1, 2005, the
    Secretary of Defense, in consultation with the Director of
    Operational Test and Evaluation, shall prescribe appropriate
    criteria for operationally realistic testing of fieldable
    prototypes developed under the ballistic missile defense spiral
    development program. The Secretary shall submit a copy of the
    prescribed criteria to the congressional defense committees
    [Committees on Armed Services and Appropriations of Senate and
    House of Representatives].
      "(b) Use of Criteria. - (1) The Secretary of Defense shall ensure
    that, not later than October 1, 2005, a test of the ballistic
    missile defense system is conducted consistent with the criteria
    prescribed under subsection (a).
      "(2) The Secretary of Defense shall ensure that each block
    configuration of the ballistic missile defense system is tested
    consistent with the criteria prescribed under subsection (a).
      "(c) Relationship to Other Law. - Nothing in this section shall
    be construed to exempt any spiral development program of the
    Department of Defense, after completion of the spiral development,
    from the applicability of any provision of chapter 144 of title 10,
    United States Code, or section 139, 181, 2366, 2399, or 2400 of
    such title in accordance with the terms and conditions of such
    provision.
      "(d) Evaluation. - (1) The Director of Operational Test and
    Evaluation shall evaluate the results of each test conducted under
    subsection (a) as soon as practicable after the completion of such
    test.
      "(2) The Director shall submit to the Secretary of Defense and
    the congressional defense committees [Committees on Armed Services
    and Appropriations of Senate and House of Representatives] a report
    on the evaluation of each test conducted under subsection (a) upon
    completion of the evaluation of such test under paragraph (1).
      "(e) Cost, Schedule, and Performance Baselines. - (1) The
    Director of the Missile Defense Agency shall establish cost,
    schedule, and performance baselines for each block configuration of
    the Ballistic Missile Defense System being fielded. The cost
    baseline for a block configuration shall include full life cycle
    costs for the block configuration.
      "(2) The Director shall include the baselines established under
    paragraph (1) in the first Selected Acquisition Report for the
    Ballistic Missile Defense System that is submitted to Congress
    under section 2432 of title 10, United States Code, after the
    establishment of such baselines.
      "(3) The Director shall also include in the Selected Acquisition
    Report submitted to Congress under paragraph (2) the significant
    assumptions used in determining the performance baseline under
    paragraph (1), including any assumptions regarding threat missile
    countermeasures and decoys.
      "(f) Variations Against Baselines. - In the event the cost,
    schedule, or performance of any block configuration of the
    Ballistic Missile Defense System varies significantly (as
    determined by the Director of the Ballistic Missile Defense Agency)
    from the applicable baseline established under subsection (d), the
    Director shall include such variation, and the reasons for such
    variation, in the Selected Acquisition Report submitted to Congress
    under section 2432 of title 10, United States Code.
      "(g) Modifications of Baselines. - In the event the Director of
    the Missile Defense Agency elects to undertake any modification of
    a baseline established under subsection (d), the Director shall
    submit to the congressional defense committees [Committees on Armed
    Services and Appropriations of Senate and House of Representatives]
    a report setting forth the reasons for such modification."

    REPORT REQUIREMENTS RELATING TO BALLISTIC MISSILE DEFENSE PROGRAMS
      Pub. L. 107-314, div. A, title II, Sec. 221, Dec. 2, 2002, 116
    Stat. 2484, provided that:
      "(a) Annual Submission of Current Performance Goals and
    Development Baselines. - (1) The Secretary of Defense shall submit
    to the congressional defense committees [Committees on Armed
    Services and Appropriations of the Senate and the House of
    Representatives] each year the performance goals and development
    baselines - 
        "(A) for those ballistic missile defense systems under
      development by the Missile Defense Agency that could be fielded;
      and
        "(B) for any other ballistic missile defense program or project
      that has been designated by Congress as a special interest item.
      "(2) Such performance goals and development baselines shall be
    provided for each block of each such system.
      "(3) The performance goals and development baselines under
    paragraph (1) shall be included annually with the defense budget
    justification materials submitted in support of the President's
    budget submitted to Congress under section 1105 of title 31, United
    States Code.
      "(b) RDT&E Budget Justification Materials. - The budget
    justification materials submitted to Congress for any fiscal year
    in support of a request for the authorization and appropriation of
    funds for research, development, test, and evaluation for ballistic
    missile defense systems shall include a funding profile for each
    block of each such system that could be fielded that reflects the
    development baseline submitted pursuant to subsection (a) for that
    fiscal year.
      "(c) Review of MDA Criteria in Relation to Military Requirements.
    - (1) The Joint Requirements Oversight Council established under
    section 181 of title 10, United States Code, shall review cost,
    schedule, and performance criteria for missile defense programs of
    the Missile Defense Agency in order to assess the validity of those
    criteria in relation to military requirements.
      "(2) The Secretary shall include the results of such review with
    the first annual statement of program goals submitted to the
    congressional defense committees under section 232(c) of the
    National Defense Authorization Act for Fiscal Year 2002 (Public Law
    107-107; 10 U.S.C. 2431 note) after the date of the enactment of
    this Act [Dec. 2, 2002]."

        PROVISION OF INFORMATION ON FLIGHT TESTING OF GROUND-BASED
                 MIDCOURSE NATIONAL MISSILE DEFENSE SYSTEM
      Pub. L. 107-314, div. A, title II, Sec. 224, Dec. 2, 2002, 116
    Stat. 2485, provided that:
      "(a) Information To Be Furnished to Congressional Committees. -
    The Director of the Missile Defense Agency shall provide to the
    congressional defense committees [Committees on Armed Services and
    Appropriations of the Senate and the House of Representatives]
    information on the results of each flight test of the Ground-based
    Midcourse national missile defense system.
      "(b) Content. - Information provided under subsection (a) on the
    results of a flight test shall include the following matters:
        "(1) A thorough discussion of the content and objectives of the
      test.
        "(2) For each such test objective, a statement regarding
      whether or not the objective was achieved.
        "(3) For any such test objective not achieved - 
          "(A) a thorough discussion describing the reasons that the
        objective was not achieved; and
          "(B) a discussion of any plans for future tests to achieve
        that objective."

                    MISSILE DEFENSE AGENCY TEST PROGRAM                
      Pub. L. 107-107, div. A, title II, Sec. 232(c)-(h), Dec. 28,
    2001, 115 Stat. 1037-1039, as amended by Pub. L. 107-314, div. A,
    title II, Sec. 225(b)(2)(A), Dec. 2, 2002, 116 Stat. 2486; Pub. L.
    108-136, div. A, title II, Sec. 221(b)(2), (c)(2), Nov. 24, 2003,
    117 Stat. 1419; Pub. L. 108-375, div. A, title II, Sec. 233, Oct.
    28, 2004, 118 Stat. 1836; Pub. L. 109-163, div. A, title II, Sec.
    232, Jan. 6, 2006, 119 Stat. 3174; Pub. L. 109-364, div. A, title
    II, Sec. 224, Oct. 17, 2006, 120 Stat. 2130, provided that:
      "(c) Requirement for Annual Program Goals. - (1) The Secretary of
    Defense shall each year establish cost, schedule, testing, and
    performance goals for the ballistic missile defense programs of the
    Department of Defense for the period covered by the future-years
    defense program that is submitted to Congress that year under
    section 221 of title 10, United States Code. Not later than
    February 1 each year, the Secretary shall submit to the
    congressional defense committees [Committees on Armed Services and
    Appropriations of the Senate and the House of Representatives] a
    statement of the goals so established.
      "(2) The statement of goals submitted under paragraph (1) for any
    year after 2002 shall be an update of the statement submitted under
    that paragraph for the preceding year.
      "(3) Each statement of goals submitted under paragraph (1) shall
    set forth cost, schedule, testing, and performance goals that
    pertain to each then-current program element for ballistic missile
    defense systems in effect pursuant to subsection (a) or (b) of
    section 223 of title 10, United States Code.
      "(d) Annual Program Plan. - (1) With the submission of the
    statement of goals under subsection (c) for any year, the Secretary
    of Defense shall submit to the congressional defense committees
    [Committees on Armed Services and Appropriations of the Senate and
    the House of Representatives] a program of activities planned to be
    carried out for each missile defense program that enters
    engineering and manufacturing development (as defined in section
    223(b)(2) of title 10, United States Code, as added by subsection
    (b)).
      "(2) Each program plan under paragraph (1) shall include the
    following:
        "(A) A funding profile that includes an estimate of - 
          "(i) the total expenditures to be made in the fiscal year in
        which the plan is submitted and the following fiscal year,
        together with the estimated total life-cycle costs of the
        program; and
          "(ii) a display of such expenditures (shown for significant
        procurement, construction, and research and development) for
        the fiscal year in which the plan is submitted and the
        following fiscal year.
        "(B) A program schedule for the fiscal year in which the plan
      is submitted and the following fiscal year for each of the
      following:
          "(i) Significant procurement.
          "(ii) Construction.
          "(iii) Research and development.
          "(iv) Flight tests.
          "(v) Other significant testing activities.
      "(3) Information specified in paragraph (2) need not be included
    in the plan for any year under paragraph (1) to the extent such
    information has already been provided, or will be provided in the
    current fiscal year, in annual budget justification documents of
    the Department of Defense submitted to Congress or in other
    required reports to Congress.
      "(e) Internal DOD Reviews. - (1) The officials and elements of
    the Department of Defense specified in paragraph (2) shall on an
    ongoing basis - 
        "(A) review the development of goals under subsection (c) and
      the annual program plan under subsection (d); and
        "(B) provide to the Secretary of Defense and the Director of
      the Missile Defense Agency any comments on such matters as
      considered appropriate.
      "(2) Paragraph (1) applies with respect to the following:
        "(A) The Under Secretary of Defense for Acquisition,
      Technology, and Logistics.
        "(B) The Director of Operational Test and Evaluation.
        "(C) The Director of Program Analysis and Evaluation.
        "(D) The Joint Requirements Oversight Council.
        "(E) The Cost Analysis and Improvement Group.
      "(f) Demonstration of Critical Technologies. - (1) The Director
    of the Missile Defense Agency shall develop a plan for ensuring
    that each critical technology for a missile defense program is
    successfully demonstrated in an appropriate environment before that
    technology enters into operational service as part of a missile
    defense program.
      "(2) The Director of Operational Test and Evaluation of the
    Department of Defense shall monitor the development of the plan
    under paragraph (1) and shall submit to the Director of the Missile
    Defense Agency any comments regarding that plan that the Director
    of Operational Test and Evaluation considers appropriate.
      "(g) Comptroller General Assessment. - (1) At the conclusion of
    each of fiscal years 2002 through 2008, the Comptroller General of
    the United States shall carry out an assessment of the extent to
    which the Missile Defense Agency achieved the goals established
    under subsection (c) for that fiscal year for each ballistic
    missile defense program of the Department of Defense.
      "(2) Not later than March 15 of each of 2003 through 2009, the
    Comptroller General shall submit to the congressional defense
    committees [Committees on Armed Services and Appropriations of
    Senate and House of Representatives] a report on the Comptroller
    General's assessment under paragraph (1) with respect to the
    preceding fiscal year.
      "(h) Annual OT&E Assessment of Test Program. - (1) The Director
    of Operational Test and Evaluation shall each year assess the
    adequacy and sufficiency of the Missile Defense Agency test program
    during the preceding fiscal year.
      "(2) Not later than February 15 each year the Director shall
    submit to the congressional defense committees a report on the
    assessment under paragraph (1) with respect to the preceding fiscal
    year."

                    MISSILE DEFENSE TESTING INITIATIVE                
      Pub. L. 107-107, div. A, title II, Sec. 234, Dec. 28, 2001, 115
    Stat. 1039, provided that:
      "(a) Testing Infrastructure. - (1) The Secretary of Defense shall
    ensure that each annual budget request of the Department of Defense
    - 
        "(A) is designed to provide for comprehensive testing of
      ballistic missile defense programs during early stages of
      development; and
        "(B) includes necessary funding to support and improve test
      infrastructure and provide adequate test assets for the testing
      of such programs.
      "(2) The Secretary shall ensure that ballistic missile defense
    programs incorporate, to the greatest possible extent,
    operationally realistic test configurations (referred to as 'test
    bed' configurations) to demonstrate system performance across a
    broad range of capability and, during final stages of operational
    testing, to demonstrate reliable performance.
      "(3) The Secretary shall ensure that the test infrastructure for
    ballistic missile defense programs is capable of supporting
    continued testing of ballistic missile defense systems after
    deployment.
      "(b) Requirements for Early Stages of System Development. - In
    order to demonstrate acceptable risk and developmental stability,
    the Secretary of Defense shall ensure that any ballistic missile
    defense program incorporates, to the maximum extent practicable,
    the following elements during the early stages of system
    development:
        "(1) Pursuit of parallel conceptual approaches and
      technological paths for all critical problematic components until
      effective and reliable solutions can be demonstrated.
        "(2) Comprehensive ground testing in conjunction with flight-
      testing for key elements of the proposed system that are
      considered to present high risk, with such ground testing to make
      use of existing facilities and combinations of facilities that
      support testing at the highest possible levels of integration.
        "(3) Where appropriate, expenditures to enhance the
      capabilities of existing test facilities, or to construct new
      test facilities, to support alternative complementary test
      methodologies.
        "(4) Sufficient funding of test instrumentation to ensure
      accurate measurement of all critical test events.
        "(5) Incorporation into the program of sufficient schedule
      flexibility and expendable test assets, including missile
      interceptors and targets, to ensure that failed or aborted tests
      can be repeated in a prudent, but expeditious manner.
        "(6) Incorporation into flight-test planning for the program,
      where possible, of - 
          "(A) methods that make the most cost-effective use of test
        opportunities;
          "(B) events to demonstrate engagement of multiple targets,
        'shoot-look-shoot', and other planned operational concepts; and
          "(C) exploitation of opportunities to facilitate early
        development and demonstration of 'family of systems' concepts.
      "(c) Specific Requirements for Ground-Based Mid-Course
    Interceptor Systems. - For ground-based mid-course interceptor
    systems, the Secretary of Defense shall initiate steps during
    fiscal year 2002 to establish a flight-test capability of launching
    not less than three missile defense interceptors and not less than
    two ballistic missile targets to provide a realistic test
    infrastructure."

                      NATIONAL MISSILE DEFENSE POLICY                  
      Pub. L. 106-38, Sec. 2, July 22, 1999, 113 Stat. 205, provided
    that: "It is the policy of the United States to deploy as soon as
    is technologically possible an effective National Missile Defense
    system capable of defending the territory of the United States
    against limited ballistic missile attack (whether accidental,
    unauthorized, or deliberate) with funding subject to the annual
    authorization of appropriations and the annual appropriation of
    funds for National Missile Defense."

                     NATIONAL MISSILE DEFENSE PROGRAM                 
      Pub. L. 105-85, div. A, title II, Sec. 231, Nov. 18, 1997, 111
    Stat. 1661, provided that the Secretary of Defense was to ensure
    that the National Missile Defense Program was structured and
    programmed for funding so as to support a test, in fiscal year
    1999, of an integrated national missile defense system that was
    representative of the national missile defense system architecture
    that could achieve initial operational capability in fiscal year
    2003, and that not later than Feb. 15, 1998, the Secretary was to
    submit to the congressional defense committees a plan for the
    development and deployment of a national missile defense system
    that could achieve initial operational capability in fiscal year
    2003.

          ENHANCED COOPERATION BETWEEN NATIONAL NUCLEAR SECURITY
                 ADMINISTRATION AND MISSILE DEFENSE AGENCY
      Pub. L. 106-398, Sec. 1 [div. C, title XXXI, Sec. 3132], Oct. 30,
    2000, 114 Stat. 1654, 1654A-455, as amended by Pub. L. 107-314,
    div. A, title II, Sec. 225(b)(3), Dec. 2, 2002, 116 Stat. 2486,
    provided that:
      "(a) Jointly Funded Projects. - The Secretary of Energy and the
    Secretary of Defense shall modify the memorandum of understanding
    for the use of the national laboratories for ballistic missile
    defense programs, entered into under section 3131 of the National
    Defense Authorization Act for Fiscal Year 1998 (Public Law 105-85;
    111 Stat. 2034; 10 U.S.C. 2431 note), to provide for jointly funded
    projects.
      "(b) Requirements for Projects. - The projects referred to in
    subsection (a) shall - 
        "(1) be carried out by the National Nuclear Security
      Administration and the Missile Defense Agency; and
        "(2) contribute to sustaining - 
          "(A) the expertise necessary for the viability of such
        laboratories; and
          "(B) the capabilities required to sustain the nuclear
        stockpile.
      "(c) Participation by NNSA in Certain MDA Activities. - The
    Administrator for Nuclear Security and the Director of the Missile
    Defense Agency shall implement mechanisms that increase the
    cooperative relationship between those organizations. Those
    mechanisms may include participation by personnel of the National
    Nuclear Security Administration in the following activities of the
    Missile Defense Agency:
        "(1) Peer reviews of technical efforts.
        "(2) Activities of so-called 'red teams'."
      Pub. L. 105-85, div. C, title XXXI, Sec. 3131, Nov. 18, 1997, 111
    Stat. 2034, provided that:
      "(a) Memorandum of Understanding. - The Secretary of Energy and
    the Secretary of Defense shall enter into a memorandum of
    understanding for the purpose of improving and facilitating the use
    by the Secretary of Defense of the expertise of the national
    laboratories for the ballistic missile defense programs of the
    Department of Defense.
      "(b) Assistance. - The memorandum of understanding shall provide
    that the Secretary of Defense shall request such assistance with
    respect to the ballistic missile defense programs of the Department
    of Defense as the Secretary of Defense and the Secretary of Energy
    determine can be provided through the technical skills and
    experience of the national laboratories, using such financial
    arrangements as the Secretaries determine are appropriate.
      "(c) Activities. - The memorandum of understanding shall provide
    that the national laboratories shall carry out those activities
    necessary to respond to requests for assistance from the Secretary
    of Defense referred to in subsection (b). Such activities may
    include the identification of technical modifications and test
    techniques, the analysis of physics problems, the consolidation of
    range and test activities, and the analysis and simulation of
    theater missile defense deployment problems.
      "(d) National Laboratories. - For purposes of this section, the
    national laboratories are - 
        "(1) the Lawrence Livermore National Laboratory, Livermore,
      California;
        "(2) the Los Alamos National Laboratory, Los Alamos, New
      Mexico; and
        "(3) the Sandia National Laboratories, Albuquerque, New
      Mexico."

                     BALLISTIC MISSILE DEFENSE PROGRAM                 
      Subtitle C of title II of div. A of Pub. L. 104-106, as amended
    by Pub. L. 105-85, div. A, title II, Sec. 236, Nov. 18, 1997, 111
    Stat. 1665; Pub. L. 106-65, div. A, title X, Sec. 1067(6), Oct. 5,
    1999, 113 Stat. 774; Pub. L. 107-314, div. A, title X, Sec.
    1041(c), Dec. 2, 2002, 116 Stat. 2646, provided that:

      "SEC. 231. SHORT TITLE.
      "This subtitle may be cited as the 'Ballistic Missile Defense Act
    of 1995'.

      "SEC. 232. FINDINGS.
      "Congress makes the following findings:
        "(1) The emerging threat that is posed to the national security
      interests of the United States by the proliferation of ballistic
      missiles is significant and growing, both in terms of numbers of
      missiles and in terms of the technical capabilities of those
      missiles.
        "(2) The deployment of ballistic missile defenses is a
      necessary, but not sufficient, element of a broader strategy to
      discourage both the proliferation of weapons of mass destruction
      and the proliferation of the means of their delivery and to
      defend against the consequences of such proliferation.
        "(3) The deployment of effective Theater Missile Defense
      systems can deter potential adversaries of the United States from
      escalating a conflict by threatening or attacking United States
      forces or the forces or territory of coalition partners or allies
      of the United States with ballistic missiles armed with weapons
      of mass destruction to offset the operational and technical
      advantages of the United States and its coalition partners and
      allies.
        "(4) United States intelligence officials have provided
      intelligence estimates to congressional committees that (A) the
      trend in missile proliferation is toward longer range and more
      sophisticated ballistic missiles, (B) North Korea may deploy an
      intercontinental ballistic missile capable of reaching Alaska or
      beyond within five years, and (C) although a new, indigenously
      developed ballistic missile threat to the continental United
      States is not foreseen within the next ten years, determined
      countries can acquire intercontinental ballistic missiles in the
      near future and with little warning by means other than
      indigenous development.
        "(5) The development and deployment by the United States and
      its allies of effective defenses against ballistic missiles of
      all ranges will reduce the incentives for countries to acquire
      such missiles or to augment existing missile capabilities.
        "(6) The concept of mutual assured destruction (based upon an
      offense-only form of deterrence), which is the major
      philosophical rationale underlying the ABM Treaty, is now
      questionable as a basis for stability in a multipolar world in
      which the United States and the states of the former Soviet Union
      are seeking to normalize relations and eliminate Cold War
      attitudes and arrangements.
        "(7) The development and deployment of a National Missile
      Defense system against the threat of limited ballistic missile
      attacks - 
          "(A) would strengthen deterrence at the levels of forces
        agreed to by the United States and Russia under the Strategic
        Arms Reduction Talks Treaty (START-I); and
          "(B) would further strengthen deterrence if reductions below
        the levels permitted under START-I should be agreed to and
        implemented in the future.
        "(8) The distinction made during the Cold War, based upon the
      technology of the time, between strategic ballistic missiles and
      nonstrategic ballistic missiles, which resulted in the
      distinction made in the ABM Treaty between strategic defense and
      nonstrategic defense, has become obsolete because of
      technological advancement (including the development by North
      Korea of long-range Taepo-Dong I and Taepo-Dong II missiles) and,
      therefore, that distinction in the ABM Treaty should be reviewed.

      "SEC. 233. BALLISTIC MISSILE DEFENSE POLICY.
      "It is the policy of the United States - 
        "(1) to deploy affordable and operationally effective theater
      missile defenses to protect forward-deployed and expeditionary
      elements of the Armed Forces of the United States and to
      complement the missile defense capabilities of forces of
      coalition partners and of allies of the United States; and
        "(2) to seek a cooperative, negotiated transition to a regime
      that does not feature an offense-only form of deterrence as the
      basis for strategic stability.

      "SEC. 234. THEATER MISSILE DEFENSE ARCHITECTURE.
      "(a) Establishment of Core Program. - To implement the policy
    established in paragraph (1) of section 233, the Secretary of
    Defense shall restructure the core theater missile defense program
    to consist of the following systems:
        "(1) The Patriot PAC-3 system.
        "(2) The Navy Area Defense system.
        "(3) The Theater High-Altitude Area Defense (THAAD) system.
        "(4) The Navy Theater Wide system.
      "(b) Use of Streamlined Acquisition Procedures. - The Secretary
    of Defense shall prescribe and use streamlined acquisition policies
    and procedures to reduce the cost and increase the efficiency of
    developing and deploying the theater missile defense systems
    specified in subsection (a).
      "(c) Interoperability and Support of Core Systems. - To maximize
    effectiveness and flexibility of the systems comprising the core
    theater missile defense program, the Secretary of Defense shall
    ensure that those systems are integrated and complementary and are
    fully capable of exploiting external sensor and battle management
    support from systems such as - 
        "(A) the Cooperative Engagement Capability (CEC) system of the
      Navy;
        "(B) airborne sensors; and
        "(C) space-based sensors (including, in particular, the Space
      and Missile Tracking System).
      "(d) Follow-on Systems. - (1) The Secretary of Defense shall
    prepare an affordable development plan for theater missile defense
    systems to be developed as follow-on systems to the core systems
    specified in subsection (a). The Secretary shall make the selection
    of a system for inclusion in the plan based on the capability of
    the system to satisfy military requirements not met by the systems
    in the core program and on the capability of the system to use
    prior investments in technologies, infrastructure, and battle-
    management capabilities that are incorporated in, or associated
    with, the systems in the core program.
      "(2) The Secretary may not proceed with the development of a
    follow-on theater missile defense system beyond the
    Demonstration/Validation stage of development unless the Secretary
    designates that system as a part of the core program under this
    section and submits to the congressional defense committees
    [Committees on Armed Services and on Appropriations of the Senate
    and House of Representatives] notice of that designation. The
    Secretary shall include with any such notification a report
    describing - 
        "(A) the requirements for the system and the specific threats
      that such system is designed to counter;
        "(B) how the system will relate to, support, and build upon
      existing core systems;
        "(C) the planned acquisition strategy for the system; and
        "(D) a preliminary estimate of total program cost for that
      system and the effect of development and acquisition of such
      system on Department of Defense budget projections.
      "(e) Program Accountability Report. - (1) As part of the annual
    report of the Ballistic Missile Defense Organization [now Missile
    Defense Agency] required by section 224 of Public Law 101-189 (10
    U.S.C. 2431 note), the Secretary of Defense shall describe the
    technical milestones, the schedule, and the cost of each phase of
    development and acquisition (together with total estimated program
    costs) for each core and follow-on theater missile defense program.
      "(2) As part of such report, the Secretary shall describe, with
    respect to each program covered in the report, any variance in the
    technical milestones, program schedule milestones, and costs for
    the program compared with the information relating to that program
    in the report submitted in the previous year and in the report
    submitted in the first year in which that program was covered.

      "SEC. 235. PROHIBITION ON USE OF FUNDS TO IMPLEMENT AN
        INTERNATIONAL AGREEMENT CONCERNING THEATER MISSILE DEFENSE
        SYSTEMS.
      "(a) Findings. - (1) Congress hereby reaffirms - 
        "(A) the finding in [former] section 234(a)(7) of the National
      Defense Authorization Act for Fiscal Year 1994 (Public Law 103-
      160; 107 Stat. 1595; 10 U.S.C. 2431 note) that the ABM Treaty
      was not intended to, and does not, apply to or limit research,
      development, testing, or deployment of missile defense systems,
      system upgrades, or system components that are designed to
      counter modern theater ballistic missiles, regardless of the
      capabilities of such missiles, unless those systems, system
      upgrades, or system components are tested against or have
      demonstrated capabilities to counter modern strategic ballistic
      missiles; and
        "(B) the statement in section 232 of the National Defense
      Authorization Act for Fiscal Year 1995 (Public Law 103-337; 108
      Stat. 2700) that the United States shall not be bound by any
      international agreement entered into by the President that would
      substantively modify the ABM Treaty unless the agreement is
      entered into pursuant to the treaty making power of the President
      under the Constitution.
      "(2) Congress also finds that the demarcation standard described
    in subsection (b)(1) for compliance of a missile defense system,
    system upgrade, or system component with the ABM Treaty is based
    upon current technology.
      "(b) Sense of Congress Concerning Compliance Policy. - It is the
    sense of Congress that - 
        "(1) unless a missile defense system, system upgrade, or system
      component (including one that exploits data from space-based or
      other external sensors) is flight tested in an ABM-qualifying
      flight test (as defined in subsection (e)), that system, system
      upgrade, or system component has not, for purposes of the ABM
      Treaty, been tested in an ABM mode nor been given capabilities to
      counter strategic ballistic missiles and, therefore, is not
      subject to any application, limitation, or obligation under the
      ABM Treaty; and
        "(2) any international agreement that would limit the research,
      development, testing, or deployment of missile defense systems,
      system upgrades, or system components that are designed to
      counter modern theater ballistic missiles in a manner that would
      be more restrictive than the compliance criteria specified in
      paragraph (1) should be entered into only pursuant to the treaty
      making powers of the President under the Constitution.
      "(c) Prohibition on Funding. - Funds appropriated or otherwise
    made available to the Department of Defense for fiscal year 1996
    may not be obligated or expended to implement an agreement, or any
    understanding with respect to interpretation of the ABM Treaty,
    between the United States and any of the independent states of the
    former Soviet Union entered into after January 1, 1995, that - 
        "(1) would establish a demarcation between theater missile
      defense systems and anti-ballistic missile systems for purposes
      of the ABM Treaty; or
        "(2) would restrict the performance, operation, or deployment
      of United States theater missile defense systems.
      "(d) Exceptions. - Subsection (c) does not apply - 
        "(1) to the extent provided by law in an Act enacted after this
      Act [Pub. L. 104-106, enacted Feb. 10, 1996];
        "(2) to expenditures to implement that portion of any such
      agreement or understanding that implements the policy set forth
      in subsection (b)(1); or
        "(3) to expenditures to implement any such agreement or
      understanding that is approved as a treaty or by law.
      "(e) ABM-Qualifying Flight Test Defined. - For purposes of this
    section, an ABM-qualifying flight test is a flight test against a
    ballistic missile which, in that flight test, exceeds (1) a range
    of 3,500 kilometers, or (2) a velocity of 5 kilometers per second.

      "SEC. 236. BALLISTIC MISSILE DEFENSE COOPERATION WITH ALLIES.
      "It is in the interest of the United States to develop its own
    missile defense capabilities in a manner that will permit the
    United States to complement the missile defense capabilities
    developed and deployed by its allies and possible coalition
    partners. Therefore, the Congress urges the President - 
        "(1) to pursue high-level discussions with allies of the United
      States and selected other states on the means and methods by
      which the parties on a bilateral basis can cooperate in the
      development, deployment, and operation of ballistic missile
      defenses;
        "(2) to take the initiative within the North Atlantic Treaty
      Organization to develop consensus in the Alliance for a timely
      deployment of effective ballistic missile defenses by the
      Alliance; and
        "(3) in the interim, to seek agreement with allies of the
      United States and selected other states on steps the parties
      should take, consistent with their national interests, to reduce
      the risks posed by the threat of limited ballistic missile
      attacks, such steps to include - 
          "(A) the sharing of early warning information derived from
        sensors deployed by the United States and other states;
          "(B) the exchange on a reciprocal basis of technical data and
        technology to support both joint development programs and the
        sale and purchase of missile defense systems and components;
        and
          "(C) operational level planning to exploit current missile
        defense capabilities and to help define future requirements.

      "SEC. 237. ABM TREATY DEFINED.
      "For purposes of this subtitle, the term 'ABM Treaty' means the
    Treaty Between the United States of America and the Union of Soviet
    Socialist Republics on the Limitation of Anti-Ballistic Missile
    Systems, and signed at Moscow on May 26, 1972, and includes the
    Protocols to that Treaty, signed at Moscow on July 3, 1974.

      "SEC. 238. REPEAL OF MISSILE DEFENSE ACT OF 1991.
      "The Missile Defense Act of 1991 [Pub. L. 102-190, div. A, title
    II, part C] (10 U.S.C. 2431 note) is repealed."

    COMPLIANCE OF BALLISTIC MISSILE DEFENSE SYSTEMS AND COMPONENTS WITH
                                ABM TREATY
      Pub. L. 103-337, div. A, title II, Sec. 231, Oct. 5, 1994, 108
    Stat. 2699, provided that:
      "(a) General Limitation. - Funds appropriated to the Department
    of Defense for fiscal year 1995, or otherwise made available to the
    Department of Defense from any funds appropriated for fiscal year
    1995 or for any fiscal year before 1995, may not be obligated or
    expended - 
        "(1) for any development or testing of anti-ballistic missile
      systems or components except for development and testing
      consistent with the interpretation of the ABM Treaty set forth in
      the enclosure to the July 13, 1993, ACDA letter; or
        "(2) for the acquisition of any material or equipment
      (including long lead materials, components, piece parts, or test
      equipment, or any modified space launch vehicle) required or to
      be used for the development or testing of anti-ballistic missile
      systems or components, except for material or equipment required
      for development or testing consistent with the interpretation of
      the ABM Treaty set forth in the enclosure to the July 13, 1993,
      ACDA letter.
      "(b) Limitation Relating to Brilliant Eyes. - Of the funds
    appropriated pursuant to the authorizations of appropriations in
    section 201 [108 Stat. 2690] that are made available for the space-
    based, midcourse missile tracking system known as the Brilliant
    Eyes program, not more than $80,000,000 may be obligated until the
    Secretary of Defense submits to the appropriate congressional
    committees a report on the compliance of that program with the ABM
    Treaty, as determined under the compliance review conducted
    pursuant to subsection (c).
      "(c) Compliance Review for Brilliant Eyes. - The Secretary of
    Defense shall review the Brilliant Eyes program to determine
    whether, and under what conditions, the development, testing, and
    deployment of the Brilliant Eyes missile tracking system in
    conjunction with a theater ballistic missile defense system, with a
    limited national missile defense system, and with both such
    systems, would be in compliance with the ABM Treaty, including the
    interpretation of that treaty set forth in the enclosure to the
    July 13, 1993, ACDA letter.
      "(d) Compliance Review for Navy Upper Tier System. - (1) The
    Secretary of Defense shall review the theater ballistic missile
    program known as the Navy Upper Tier program to determine whether
    the development, testing, and deployment of the system being
    developed under that program would be in compliance with the ABM
    Treaty, including the interpretation of the Treaty set forth in the
    enclosure to the July 13, 1993, ACDA letter.
      "(2) Of the funds made available to the Department of Defense for
    fiscal year 1995, not more than $40,000,000 may be obligated for
    the Navy Upper Tier program before the date on which the Secretary
    submits to the appropriate congressional committees a report on the
    compliance of that program with the ABM Treaty, as determined under
    the compliance review under paragraph (1).
      "(e) Definitions. - In this section:
        "(1) The term 'July 13, 1993, ACDA letter' means the letter
      dated July 13, 1993, from the Acting Director of the Arms Control
      and Disarmament Agency to the chairman of the Committee on
      Foreign Relations of the Senate relating to the correct
      interpretation of the ABM Treaty and accompanied by an enclosure
      setting forth such interpretation.
        "(2) The term 'ABM Treaty' means the Treaty between the United
      States of America and the Union of Soviet Socialist Republics on
      the Limitation of Anti-Ballistic Missiles, signed in Moscow on
      May 26, 1972.
        "(3) The term 'appropriate congressional committees' means - 
          "(A) the Committee on Armed Services, the Committee on
        Foreign Affairs [now Committee on International Relations], and
        the Committee on Appropriations of the House of
        Representatives; and
          "(B) the Committee on Armed Services, the Committee on
        Foreign Relations, and the Committee on Appropriations of the
        Senate."
      Pub. L. 103-160, div. A, title II, Sec. 234, Nov. 30, 1993, 107
    Stat. 1595, contained findings of Congress, required compliance
    review, and limited funding pending submission of report, prior to
    repeal by Pub. L. 104-106, div. A, title II, Sec. 253(6), Feb. 10,
    1996, 110 Stat. 235.

                    THEATER MISSILE DEFENSE MASTER PLAN                
      Pub. L. 103-160, div. A, title II, Sec. 235, Nov. 30, 1993, 107
    Stat. 1598, provided that:
      "(a) Integration and Compatibility. - In carrying out the Theater
    Missile Defense Initiative, the Secretary of Defense shall - 
        "(1) seek to maximize the use of existing systems and
      technologies; and
        "(2) seek to promote joint use by the military departments of
      existing and future ballistic missile defense equipment (rather
      than each military department developing its own systems that
      would largely overlap in their capabilities).
    The Secretaries of the military departments shall seek the maximum
    integration and compatibility of their ballistic missile defense
    systems as well as of the respective roles and missions of those
    systems.
      "(b) TMD Master Plan. - The Secretary of Defense shall submit to
    Congress a report (which shall constitute the TMD master plan)
    containing a thorough and complete analysis of the future of
    theater missile defense programs. The report shall include the
    following:
        "(1) A description of the mission and scope of Theater Missile
      Defense.
        "(2) A description of the role of each of the Armed Forces in
      Theater Missile Defense.
        "(3) A description of how those roles interact and complement
      each other.
        "(4) An evaluation of the cost and relative effectiveness of
      each interceptor and sensor under development as part of a
      Theater Missile Defense system by the Ballistic Missile Defense
      Organization [now Missile Defense Agency].
        "(5) A detailed acquisition strategy which includes an analysis
      and comparison of the projected acquisition and life-cycle costs
      of each Theater Missile Defense system intended for production
      (shown separately for research, development, test, and
      evaluation, for procurement, for operation and maintenance, and
      for personnel costs for each system).
        "(6) Specification of the baseline production rate for each
      year of the program through completion of procurement.
        "(7) An estimate of the unit cost and capabilities of each
      system.
        "(8) A description of plans for theater and tactical missile
      defense doctrine, training, tactics, and force structure.
      "(c) Description of Testing Program. - The Secretary of Defense
    shall include in the report under subsection (b) - 
        "(1) a description of the current and projected testing program
      for Theater Missile Defense systems and major components; and
        "(2) an evaluation of the adequacy of the testing program to
      simulate conditions similar to those the systems and components
      would actually be expected to encounter if and when deployed
      (such as the ability to track and engage multiple targets with
      multiple interceptors, to discriminate targets from decoys and
      other incoming objects, and to be employed in a shoot-look-shoot
      firing mode).
      "(d) Relationship to Arms Control Treaties. - The Secretary shall
    include in the report under subsection (b) a statement of how
    production and deployment of any projected Theater Missile Defense
    program will conform to all relevant arms control agreements. The
    report shall describe any potential noncompliance with any such
    agreement, when such noncompliance is expected to occur, and
    whether provisions need to be renegotiated within that agreement to
    address future contingencies.
      "(e) Submission of Report. - The report required by subsection
    (b) shall be submitted as part of the next annual report of the
    Secretary submitted to Congress under section 224 of Public Law 101-
    189 (10 U.S.C. 2431 note).
      "(f) Objectives of Plan. - In preparing the master plan, the
    Secretary shall - 
        "(1) seek to maximize the use of existing technologies (such as
      SM-2, AEGIS, Patriot, and THAAD) rather than develop new systems;
        "(2) seek to maximize integration and compatibility among the
      systems, roles, and missions of the military departments; and
        "(3) seek to promote cross-service use of existing equipment
      (such as development of Army equipment for the Marine Corps or
      ground utilization of an air or sea system).
      "(g) Review and Report on Deployment of Ballistic Missile
    Defenses. - (1) The Secretary of Defense shall conduct an intensive
    and extensive review of opportunities to streamline the weapon
    systems acquisition process applicable to the development, testing,
    and deployment of theater ballistic missile defenses with the
    objective of reducing the cost of deployment and accelerating the
    schedule for deployment without significantly increasing
    programmatic risk or concurrency.
      "(2) In conducting the review, the Secretary shall obtain
    recommendations and advice from - 
        "(A) the Defense Science Board;
        "(B) the faculty of the Industrial College of the Armed Forces;
      and
        "(C) federally funded research and development centers
      supporting the Office of the Secretary of Defense.
      "(3) Not later than May 1, 1994, the Secretary shall submit to
    the congressional defense committees a report on the Secretary's
    findings resulting from the review under paragraph (1), together
    with any recommendations of the Secretary for legislation. The
    Secretary shall submit the report in unclassified form, but may
    submit a classified version of the report if necessary to clarify
    any of the information in the findings or recommendations or any
    related information. The report may be submitted as part of the
    next annual report of the Secretary submitted to Congress under
    section 224 of Public Law 101-189 (10 U.S.C. 2431 note)."

    COOPERATION OF UNITED STATES ALLIES ON DEVELOPMENT OF TACTICAL AND
                         THEATER MISSILE DEFENSES
      Pub. L. 103-160, div. A, title II, Sec. 242(a)-(e), Nov. 30,
    1993, 107 Stat. 1603-1605, stated congressional findings, required
    Secretary of Defense to develop plan to coordinate development and
    implementation of Theater Missile Defense programs of United States
    with theater missile defense programs of allies of United States,
    specified contents of such plan, required Secretary to submit to
    Congress report on such plan in both classified and unclassified
    versions, required Secretary to include in each annual Theater
    Missile Defense Initiative report to Congress report on actions
    taken to implement such plan, specified contents of such report,
    related to restriction on funds, stated sense of Congress that
    whenever United States deployed theater ballistic missile defenses
    to protect country that had not provided support for development of
    such defenses United States was to consider seeking reimbursement
    from such country to cover at least incremental cost of such
    deployment, and related to congressional encouragement of allies of
    United States to participate in cooperative Theater Missile Defense
    programs of United States and encouragement of participation by
    United States in cooperative theater missile defense efforts of
    allied nations, prior to repeal by Pub. L. 104-106, div. A, title
    II, Sec. 253(7), Feb. 10, 1996, 110 Stat. 235.

                 TRANSFER OF FOLLOW-ON TECHNOLOGY PROGRAMS             
      Pub. L. 103-160, div. A, title II, Sec. 243, Nov. 30, 1993, 107
    Stat. 1605, as amended by Pub. L. 104-201, div. A, title X, Sec.
    1073(e)(1)(E), Sept. 23, 1996, 110 Stat. 2658; Pub. L. 107-314,
    div. A, title II, Sec. 225(b)(4)(B), Dec. 2, 2002, 116 Stat. 2486,
    provided that:
      "(a) Management Responsibility. - Except as provided in
    subsection (b), the Secretary of Defense shall provide that
    management and budget responsibility for research and development
    of any program, project, or activity to develop far-term follow-on
    technology relating to ballistic missile defense shall be provided
    through the Defense Advanced Research Projects Agency or the
    appropriate military department.
      "(b) Waiver Authority. - The Secretary may waive the provisions
    of subsection (a) in the case of a particular program, project, or
    activity if the Secretary certifies to the congressional defense
    committees that it is in the national security interest of the
    United States to provide management and budget responsibility for
    that program, project, or activity through the Missile Defense
    Agency.
      "(c) Report Required. - As a part of the report required by
    section 231(e) [107 Stat. 1593], the Secretary shall submit to the
    congressional defense committees a report identifying - 
        "(1) each program, project, and activity with respect to which
      the Secretary has transferred management and budget
      responsibility from the Missile Defense Agency in accordance with
      subsection (a);
        "(2) the agency or military department to which each such
      transfer was made; and
        "(3) the date on which each such transfer was made.
      "(d) Definition. - For the purposes of this section, the term
    'far-term follow-on technology' means a technology that is not
    incorporated into a ballistic missile defense architecture and is
    not likely to be incorporated within 15 years into a weapon system
    for ballistic missile defense.
      "(e) Conforming Amendment. - Section 234 of the Missile Defense
    Act of 1991 [Pub. L. 102-190; 10 U.S.C. 2431 note] is repealed."

                    THEATER MISSILE DEFENSE INITIATIVE                
      Pub. L. 102-484, div. A, title II, Sec. 231, Oct. 23, 1992, 106
    Stat. 2354, provided that:
      "(a) Establishment of Theater Missile Defense Initiative. - The
    Secretary of Defense shall establish a Theater Missile Defense
    Initiative office within the Department of Defense. All theater and
    tactical missile defense activities of the Department of Defense
    (including all programs, projects, and activities formerly
    associated with the Theater Missile Defense program element of the
    Strategic Defense Initiative) shall be carried out under the
    Theater Missile Defense Initiative.
      "(b) Funding for Fiscal Year 1993. - Of the amounts appropriated
    pursuant to section 201 [106 Stat. 2349] or otherwise made
    available to the Department of Defense for research, development,
    test, and evaluation for fiscal year 1993, not more than
    $935,000,000 may be obligated for activities of the Theater Missile
    Defense Initiative, of which not less than $90,000,000 shall be
    made available for exploration of promising concepts for naval
    theater missile defense.
      "(c) Report. - When the President's budget for fiscal year 1994
    is submitted to Congress pursuant to section 1105 of title 31,
    United States Code, the Secretary of Defense shall submit to the
    congressional defense committees a report - 
        "(1) setting forth the proposed allocation by the Secretary of
      funds for the Theater Missile Defense Initiative for fiscal year
      1994, shown for each program, project, and activity;
        "(2) describing an updated master plan for the Theater Missile
      Defense Initiative that includes (A) a detailed consideration of
      plans for theater and tactical missile defense doctrine,
      training, tactics, and force structure, and (B) a detailed
      acquisition strategy which includes a consideration of
      acquisition and life-cycle costs through the year 2005 for the
      programs, projects, and activities associated with the Theater
      Missile Defense Initiative;
        "(3) assessing the possible near-term contribution and cost-
      effectiveness for theater missile defense of exoatmospheric
      capabilities, to include at a minimum a consideration of - 
          "(A) the use of the Navy's Standard missile combined with a
        kick stage rocket motor and lightweight exoatmospheric
        projectile (LEAP); and
          "(B) the use of the Patriot missile combined with a kick
        stage rocket motor and LEAP.
      "(d) Effective Date. - The provisions of subsections (a), (b),
    and (c) shall be implemented not later than 90 days after the date
    of the enactment of this Act [Oct. 23, 1992]."

                          MISSILE DEFENSE PROGRAM                      
      Pub. L. 102-190, div. A, title II, part C, Dec. 5, 1991, 105
    Stat. 1321, as amended by Pub. L. 102-484, div. A, title II, Sec.
    234(a)-(d)(1), (e), (f), title X, Sec. 1053(1), (2), Oct. 23, 1992,
    106 Stat. 2356, 2357, 2501; Pub. L. 103-35, title II, Secs.
    202(a)(2), 203(b)(1), May 31, 1993, 107 Stat. 101, 102; Pub. L. 103-
    160, div. A, title II, Secs. 232, 243(e), Nov. 30, 1993, 107 Stat.
    1593, 1606; Pub. L. 103-337, div. A, title II, Sec. 233, Oct. 5,
    1994, 108 Stat. 2700, specified that such provisions could be cited
    as the "Missile Defense Act of 1991", and related to missile
    defense goal of United States, implementation of goal, review of
    follow-on deployment options, definition of term "ABM Treaty", and
    interpretation of such provisions, prior to repeal by Pub. L. 104-
    106, div. A, title II, Sec. 238, Feb. 10, 1996, 110 Stat. 233.
      Similar provisions were contained in the following prior
    authorization act:
      Pub. L. 101-510, div. A, title II, Sec. 221, Nov. 5, 1990, 104
    Stat. 1511.

             STRETCHOUT OF MAJOR DEFENSE ACQUISITION PROGRAMS         
      Pub. L. 100-456, div. A, title I, Sec. 117, 102 Stat. 1933, as
    amended by Pub. L. 104-106, div. D, title XLIII, Sec. 4321(i)(3),
    Feb. 10, 1996, 110 Stat. 676, required Secretary of Defense to
    submit a stretchout impact statement for certain major defense
    acquisition programs at same time the budget for any fiscal year is
    submitted to Congress and to submit to Committees on Armed Services
    of Senate and House of Representatives, no later than Mar. 15,
    1989, a report on feasibility and effect of establishing maximum
    production rates by December 1990 for certain major defense
    acquisition programs, prior to repeal by Pub. L. 105-85, div. A,
    title X, Sec. 1041(c), Nov. 18, 1997, 111 Stat. 1885.

          PROHIBITION OF CERTAIN CONTRACTS WITH FOREIGN ENTITIES      
      Section 222 of Pub. L. 100-180 provided that:
      "(a) SDI Contracts With Foreign Entities. - Funds appropriated to
    or for the use of the Department of Defense may not be used for the
    purpose of entering into or carrying out any contract with a
    foreign government or a foreign firm if the contract provides for
    the conduct of research, development, test, or evaluation in
    connection with the Strategic Defense Initiative program.
      "(b) Temporary Suspension of Prohibition Upon Certification of
    the Secretary of Defense. - The prohibition in subsection (a) shall
    not apply to a contract in any fiscal year if the Secretary of
    Defense certifies to Congress in writing at any time during such
    fiscal year that the research, development, testing, or evaluation
    to be performed under such contract cannot be competently performed
    by a United States firm at a price equal to or less than the price
    at which the research, development, testing, or evaluation would be
    performed by a foreign firm.
      "(c) Exceptions for Certain Contracts. - The prohibition in
    subsection (a) shall not apply to a contract awarded to a foreign
    government or foreign firm if - 
        "(1) the contract is to be performed within the United States;
        "(2) the contract is exclusively for research, development,
      test, or evaluation in connection with antitactical ballistic
      missile systems; or
        "(3) that foreign government or foreign firm agrees to share a
      substantial portion of the total contract cost.
      "(d) Definitions. - In this section:
        "(1) The term 'foreign firm' means a business entity owned or
      controlled by one or more foreign nationals or a business entity
      in which more than 50 percent of the stock is owned or controlled
      by one or more foreign nationals.
        "(2) The term 'United States firm' means a business entity
      other than a foreign firm.
      "(e) Transition. - The prohibition in subsection (a) shall not
    apply to a contract entered into before the date of the enactment
    of this Act [Dec. 4, 1987]."

         LIMITATION ON TRANSFER OF CERTAIN MILITARY TECHNOLOGY TO
                 INDEPENDENT STATES OF FORMER SOVIET UNION
      Section 223 of Pub. L. 100-180, as amended by Pub. L. 103-199,
    title II, Sec. 203(a)(1), Dec. 17, 1993, 107 Stat. 2321, provided
    that: "Military technology developed with funds appropriated or
    otherwise made available for the Ballistic Missile Defense Program
    may not be transferred (or made available for transfer) to Russia
    or any other independent state of the former Soviet Union by the
    United States (or with the consent of the United States) unless the
    President determines, and certifies to the Congress at least 15
    days prior to any such transfer, that such transfer is in the
    national interest of the United States and is to be made for the
    purpose of maintaining peace."

             SDI ARCHITECTURE TO REQUIRE HUMAN DECISION MAKING         
      Section 224 of Pub. L. 100-180 provided that: "No agency of the
    Federal Government may plan for, fund, or otherwise support the
    development of command and control systems for strategic defense in
    the boost or post-boost phase against ballistic missile threats
    that would permit such strategic defenses to initiate the directing
    of damaging or lethal fire except by affirmative human decision at
    an appropriate level of authority."

     PROHIBITION ON DEPLOYMENT OF ANTI-BALLISTIC MISSILE SYSTEM UNLESS
                             AUTHORIZED BY LAW
      Section 226 of Pub. L. 100-180 prohibited Secretary of Defense
    from deploying anti-ballistic missile system unless such deployment
    was specifically authorized by law after Dec. 4, 1987, prior to
    repeal by Pub. L. 104-106, div. A, title II, Sec. 253(3), Feb. 10,
    1996, 110 Stat. 234.

     ESTABLISHMENT OF FEDERALLY FUNDED RESEARCH AND DEVELOPMENT CENTER
                          TO SUPPORT SDI PROGRAM
      Pub. L. 100-180, div. A, title II, Sec. 227, Dec. 4, 1987, 101
    Stat. 1057, authorized the Secretary of Defense, using funds
    appropriated to the Department of Defense for the Strategic Defense
    Initiative program, to enter into a contract not to be awarded
    before Oct. 1, 1989, to provide for the establishment and operation
    of a federally funded research and development center (FFRDC) to
    provide independent and objective technical support to the
    Strategic Defense Initiative program, and provided that no Federal
    funds could be provided to the new FFRDC after the end of the five-
    year period beginning on the date of the award of the first
    contract awarded.

       LIMITATION ON ESTABLISHMENT OF FEDERALLY FUNDED RESEARCH AND
        DEVELOPMENT CENTER FOR STRATEGIC DEFENSE INITIATIVE PROGRAM
      Pub. L. 99-661, div. A, title II, Sec. 213, Nov. 14, 1986, 100
    Stat. 3841, prohibited the Secretary of Defense from obligating or
    expending any funds for the purpose of operating a Federally funded
    research and development center that was established for the
    support of the Strategic Defense Initiative Program after Nov. 14,
    1986, unless the Secretary submitted to the Committees on Armed
    Services of the Senate and House of Representatives a report with
    respect to such proposed center and funds were specifically
    authorized to be appropriated for such purpose in an Act other than
    an appropriations Act or a continuing resolution.

                           SHOULD-COST ANALYSES                       
      Pub. L. 99-145, title IX, Sec. 915, Nov. 8, 1985, 99 Stat. 688,
    as amended by Pub. L. 100-26, Sec. 11(a)(2), Apr. 21, 1987, 101
    Stat. 288, required Secretary of Defense to submit to Congress an
    annual report setting forth Secretary's plan for performance during
    next fiscal year of cost analyses for major defense acquisition
    programs for purpose of determining how much production of covered
    systems under such programs should cost, prior to repeal by Pub. L.
    101-510, div. A, title XIII, Sec. 1322(d)(2), Nov. 5, 1990, 104
    Stat. 1672.

    REQUIREMENT FOR SPECIFIC AUTHORIZATION FOR DEPLOYMENT OF STRATEGIC
                         DEFENSE INITIATIVE SYSTEM
      Pub. L. 99-145, title II, Sec. 222, Nov. 8, 1985, 99 Stat. 613,
    provided that strategic defense system developed as consequence of
    research, development, test, and evaluation conducted on Strategic
    Defense Initiative program could not be deployed in whole or in
    part unless President made a certain determination and
    certification to Congress and funding for deployment of such system
    was specifically authorized by legislation enacted after date of
    certification, prior to repeal by Pub. L. 104-106, div. A, title
    II, Sec. 253(1), Feb. 10, 1996, 110 Stat. 234.

            ANNUAL REPORT ON BALLISTIC MISSILE DEFENSE PROGRAM        
      Pub. L. 101-189, div. A, title II, Sec. 224, Nov. 29, 1989, 103
    Stat. 1398, as amended by Pub. L. 103-160, div. A, title II, Sec.
    240, Nov. 30, 1993, 107 Stat. 1603; Pub. L. 104-201, div. A, title
    II, Sec. 244, Sept. 23, 1996, 110 Stat. 2463, provided that not
    later than March 15 of each year, the Secretary of Defense was to
    transmit to Congress a report on the programs and projects that
    constitute the Ballistic Missile Defense program and on any other
    program or project relating to defense against ballistic missiles,
    prior to repeal by Pub. L. 106-65, div. A, title X, Sec.
    1032(b)(1), Oct. 5, 1999, 113 Stat. 751.
      Pub. L. 100-180, div. A, title II, Sec. 231(a), Dec. 4, 1987, 101
    Stat. 1059, provided that not later than Mar. 15, 1988 and Mar. 15,
    1989, the Secretary of Defense was to transmit to Congress a report
    on the programs that constitute the Strategic Defense Initiative
    and on any other program relating to defense against ballistic
    missiles.
      Pub. L. 98-525, title XI, Sec. 1102, Oct. 19, 1984, 98 Stat.
    2580, required Secretary of Defense, at time of his annual budget
    presentation to Congress beginning with fiscal year 1986 and ending
    with fiscal year 1990, to transmit to Committees on Armed Services
    and Foreign Affairs of House of Representatives and Committees on
    Armed Services and Foreign Relations of Senate, a detailed report
    on programs that constitute SDI, prior to repeal by Pub. L. 100-
    180, div. A, title II, Sec. 231(b), Dec. 4, 1987, 101 Stat. 1060.

      PLANS FOR MANAGEMENT OF TECHNICAL DATA AND COMPUTER CAPABILITY
                               IMPROVEMENTS
      Section 1252 of Pub. L. 98-525 directed Secretary of Defense, not
    later than one year after Oct. 19, 1984, to develop a plan for an
    improved system for the management of technical data relating to
    any major system of the Department of Defense and, not later than 5
    years after Oct. 19, 1984, to complete implementation of the
    management plan, directed Comptroller General, not later than 18
    months after Oct. 19, 1984, to transmit to Congress a report
    evaluating the plan developed, and directed Secretary of Defense,
    not later than 180 days after Oct. 19, 1984, to transmit to
    Congress a plan to improve substantially the computer capability of
    each of the military departments and of the Defense Logistics
    Agency to store and access rapidly data that is needed for the
    efficient procurement of supplies.

     CONSULTATION WITH ALLIES ON STRATEGIC DEFENSE INITIATIVE PROGRAM 
      Pub. L. 98-473, title I, Sec. 101(h) [title VIII, Sec. 8104],
    Oct. 12, 1984, 98 Stat. 1904, 1942, provided that: "It is the sense
    of the Congress that - (a) the President shall inform and make
    every effort to consult with other member nations of the North
    Atlantic Treaty Organization, Japan, and other appropriate allies
    concerning the research being conducted in the Strategic Defense
    Initiative program. (b) The Secretary of Defense, in coordination
    with the Secretary of State and the Director of the Arms Control
    and Disarmament Agency, shall at the time of the submission of the
    annual budget presentation materials for each fiscal year beginning
    after September 30, 1984, report to the Committees on
    Appropriations, Armed Services, and Foreign Relations of the Senate
    and the Committees on Appropriations, Armed Services, and Foreign
    Affairs [now International Relations] of the House of
    Representatives on the status of the consultations referred to
    under subsection (a)."
      [For abolition, transfer of functions, and treatment of
    references to United States Arms Control and Disarmament Agency,
    see section 6511 et seq. of Title 22, Foreign Relations and
    Intercourse.]

                        ANTISATELLITE WEAPONS TEST                    
      Pub. L. 100-180, div. A, title II, Sec. 208, Dec. 4, 1986, 101
    Stat. 1048, prohibited the Secretary of Defense, until Oct. 1,
    1988, from carrying out a test of the Space Defense System
    (antisatellite weapon) involving the F-15 launched miniature homing
    vehicle against an object in space until the President certified to
    Congress that the Soviet Union had conducted, after Dec. 4, 1987, a
    test against an object in space of a dedicated antisatellite
    weapon.
      Pub. L. 99-661, div. A, title II, Sec. 231, Nov. 14, 1986, 100
    Stat. 3847, prohibited the Secretary of Defense, until Oct. 1,
    1987, from carrying out a test of the Space Defense System (anti-
    satellite weapon) against an object in space until the President
    certified to Congress that the Soviet Union had conducted, after
    Nov. 14, 1986, a test against an object in space of a dedicated
    anti-satellite weapon.
      Similar provisions were contained in the following prior acts:
      Pub. L. 99-500, Sec. 101(c) [title XI, Sec. 1101], Oct. 18, 1986,
    100 Stat. 1783-82, 1783-177, and Pub. L. 99-591, Sec. 101(c) [title
    XI, Sec. 1101], Oct. 30, 1986, 100 Stat. 3341-82, 3341-177.
      Pub. L. 99-190, Sec. 101(b) [title VIII, Sec. 8097], Dec. 19,
    1985, 99 Stat. 1185, 1219.

      Pub. L. 99-145, title II, Sec. 208(a), (b), Nov. 8, 1985, 99
    Stat. 610, provided that:
      "(a) Requirement Regarding the Use of Funds. - None of the funds
    appropriated pursuant to an authorization in this or any other Act
    may be obligated or expended to test against an object in space the
    miniature homing vehicle (MHV) anti-satellite warhead launched from
    an F-15 aircraft unless the President has made a determination and
    a certification to the Congress as provided in section 8100 of the
    Department of Defense Appropriations Act, 1985 [set out as a note
    below] (as contained in section 101(h) of Public Law 98-473 (98
    Stat. 1941)).
      "(b) Limitation on Number of Tests. - Not more than three tests
    described in subsection (a) may be conducted before October 1,
    1986."
      Pub. L. 98-473, title I, Sec. 101(h) [title VIII, Sec. 8100],
    Oct. 12, 1984, 98 Stat. 1904, 1941, provided that:
      "(a) Notwithstanding any other provision of law, none of the
    funds appropriated or made available in this or any other Act may
    be obligated or expended to test against an object in space the
    miniature homing vehicle (MHV) anti-satellite warhead launched from
    an F-15 aircraft unless the President determines and certifies to
    Congress - 
        "(1) that the United States is endeavoring, in good faith, to
      negotiate with the Soviet Union a mutual and verifiable agreement
      with the strictest possible limitations on anti-satellite weapons
      consistent with the national security interests of the United
      States;
        "(2) that, pending agreement on such strict limitations,
      testing against objects in space of the F-15 launched miniature
      homing vehicle anti-satellite warhead by the United States is
      necessary to avert clear and irrevocable harm to the national
      security;
        "(3) that such testing would not constitute an irreversible
      step that would gravely impair prospects for negotiations on anti-
      satellite weapons; and
        "(4) that such testing is fully consistent with the rights and
      obligations of the United States under the Anti-Ballistic Missile
      Treaty of 1972 as those rights and obligations exist at the time
      of such testing.
      "(b) During fiscal year 1985, funds appropriated for the purpose
    of testing the F-15 launched miniature homing vehicle anti-
    satellite warhead may not be used to conduct more than three tests
    of that warhead against objects in space.
      "(c) The limitation on the expenditure of funds provided by
    subsection (a) of this section shall cease to apply fifteen
    calendar days after the date of the receipt by Congress of the
    certification referred to in subsection (a) or March 1, 1985,
    whichever occurs later."
      Similar provisions were contained in the following prior
    authorization act:
      Pub. L. 98-94, title XI, Sec. 1235, Sept. 24, 1983, 97 Stat. 695;
    as amended by Pub. L. 98-525, title II, Sec. 205, Oct. 19, 1984, 98
    Stat. 2509.

     EAST COAST TRIDENT BASE AND MX MISSILE SYSTEM SITES; USE OF FUNDS
        APPROPRIATED TO DEPARTMENT OF DEFENSE; ASSISTANCE TO NEARBY
      COMMUNITIES TO HELP MEET COSTS OF INCREASED MUNICIPAL SERVICES
      Pub. L. 96-418, title VIII, Sec. 802, Oct. 10, 1980, 94 Stat.
    1775, as amended by Pub. L. 97-99, title IX, Sec. 904(b), Dec. 23,
    1981, 95 Stat. 1382; Pub. L. 98-115, title VIII, Sec. 805, Oct. 11,
    1983, 97 Stat. 785; Pub. L. 101-510, div. A, title XIII, Sec.
    1322(f), Nov. 5, 1990, 104 Stat. 1672, provided that:
      "(a) The Secretary of Defense (hereinafter in this section
    referred to as the 'Secretary') may assist communities located near
    MX Missile System sites and communities located near the East Coast
    Trident Base, and the States in which such communities are located,
    in meeting the costs of providing increased municipal services and
    facilities to the residents of such communities, if the Secretary
    determines that there is an immediate and substantial increase in
    the need for such services and facilities in such communities as a
    direct result of work being carried out in connection with the
    construction, installation, or operation of the MX Missile System
    or the East Coast Trident Base, as the case may be, and that an
    unfair and excessive financial burden will be incurred by such
    communities, or the States in which such communities are located,
    as a result of such increased need for such services and
    facilities.
      "(b)(1) Whenever possible, the Secretary shall carry out the
    program of assistance authorized under this section through
    existing Federal programs. In carrying out such program of
    assistance, the Secretary may - 
        "(A) supplement funds made available under existing Federal
      programs through a direct transfer of funds from the Secretary to
      the department or agency concerned in such amounts as the
      Secretary considers necessary;
        "(B) provide financial assistance to communities described in
      subsection (a) to help such communities pay their share of the
      costs under such programs;
        "(C) guarantee State or municipal indebtedness, and make
      interest payments, in whole or in part, for State or municipal
      indebtedness, for improved public facilities related to the MX
      Missile System site or the East Coast Trident Base, as the case
      may be; and
        "(D) make direct grants to or on behalf of communities
      described in subsection (a) in cases in which Federal programs
      (or funds for such programs) do not exist or are not sufficient
      to meet the costs of providing increased municipal services and
      facilities to the residents of such communities.
      "(2) The head of each department and agency shall cooperate fully
    with the Secretary in carrying out the provisions of this section
    on a priority basis.
      "(3) Notwithstanding any other provision of law, the Secretary,
    in cooperation with the heads of other departments and agencies of
    the Federal Government, may provide assistance under this section
    in anticipation of the work to be carried out in connection with
    the MX Missile System sites or the East Coast Trident Base, as the
    case may be.
      "(c) In determining the amount of financial assistance to be made
    available under this section to any local community for any
    community service or facility, the Secretary shall consult with the
    head of the department or agency concerned with the type of service
    or facility for which financial assistance is being made available
    and shall take into consideration - 
        "(1) the time lag between the initial impact of increased
      population in any such community and any increase in the local
      tax base which will result from such increased population;
        "(2) the possible temporary nature of the increased population
      and the long-range cost impact on the permanent residents of any
      such community;
        "(3) the initial capitalization required for municipal sewer
      and water systems;
        "(4) the initial operating cost for upgrading municipal
      services; and
        "(5) such other pertinent factors as the Secretary considers
      appropriate.
      "(d) Funds appropriated to the Department of Defense for carrying
    out the MX Missile System deployment program and the East Coast
    Trident Base may, to the extent specifically authorized in Military
    Construction Authorization Acts, be used by the Secretary to
    provide assistance under this section."

                        MX MISSILE AND BASING MODE                    
      Pub. L. 96-342, title II, Sec. 202, Sept. 8, 1980, 94 Stat. 1079,
    provided that:
      "(a) The Congress finds that a survivable land-based
    intercontinental ballistic missile (ICBM) system is vital to the
    security of the United States and to a stable strategic balance
    between the United States and the Soviet Union and that timely
    deployment of a new basing mode is essential to the survivability
    of this Nation's land-based intercontinental ballistic missiles. It
    is, therefore, the purpose of this section to commit the Congress
    to the development and deployment of the MX missile system,
    consisting of 200 missiles and 4,600 hardened shelters, and to
    insure that deployment of the entire MX system is carried out as
    soon as practicable.
      "(b) The Secretary of Defense shall proceed immediately with the
    full-scale engineering development of the MX missile and a Multiple
    Protective Structure (MPS) basing mode and shall continue such
    development in a manner that will achieve an Initial Operational
    Capability of such missile and basing mode not later than December
    31, 1986.
      "(c) Notwithstanding any other provision of law, the initial
    phase of construction shall be limited to 2,300 protective shelters
    for the MX missile in the initial deployment area.
      "(d) In accordance with the finding of the Congress expressed in
    subsection (a), a full system of at least 4,600 protective shelters
    may be deployed in the initial deployment area if, after completion
    of a study to be conducted by the Secretary of Defense of an
    alternate site for a portion of the system, it is determined by the
    Congress that adverse cost, military considerations, or other
    reasons preclude split basing."

                     DEVELOPMENT OF MX MISSILE SYSTEM                 
      Pub. L. 96-29, title II, Sec. 202, June 27, 1979, 93 Stat. 79,
    provided that:
      "(a) It is the sense of the Congress that maintaining a
    survivable land-based intercontinental ballistic missile system is
    vital to the security of the United States and that development of
    a new basing mode for land-based intercontinental ballistic
    missiles is necessary to assure the survivability of the land-based
    system. To this end, the development of the MX missile, together
    with a new basing mode for such missile, should proceed so as to
    achieve Initial Operational Capability (IOC) for both such missile
    and such basing mode at the earliest practicable date.
      "(b) In addition, it is the sense of the Congress that the basing
    mode for the MX missile should be restricted to location on the
    least productive land available that is suitable for such purpose.
      "(c) In accordance with the sense of Congress expressed in
    subsection (a), the Secretary of Defense shall proceed immediately
    with full scale engineering development of the missile basing mode
    known as the Multiple Protective Structure (MPS) system
    concurrently with full scale engineering development of the MX
    missile, unless and until the Secretary of Defense certifies to the
    Congress that an alternative basing mode is militarily or
    technologically superior to, and is more cost effective than, the
    MPS system or the President informs the Congress that in his view
    the MPS system is not consistent with United States national
    security interests.
      "(d) Nothing in this section shall be construed to prohibit or
    restrict the study of alternative basing modes for land-based
    intercontinental ballistic missiles."

       REPORTS TO CONGRESS OF ACQUISITIONS FOR MAJOR DEFENSE SYSTEMS   
      Section 811 of Pub. L. 94-106, as amended by Pub. L. 96-107,
    title VIII, Sec. 809, Nov. 9, 1979, 93 Stat. 815; Pub. L. 97-86,
    title IX, Sec. 917(e), Dec. 1, 1981, 95 Stat. 1131, which required
    reports to Congress respecting acquisitions of major defense
    systems, including total program acquisition unit costs, was
    repealed by Pub. L. 97-252, title XI, Sec. 1107(b), Sept. 8, 1982,
    96 Stat. 746, effective Jan. 1, 1983, as provided in section
    1107(c) of Pub. L. 97-252, set out as an Effective Date note under
    section 2432 of this title. See sections 2432 and 2433 of this
    title.

     TRIDENT SUPPORT SITE, BANGOR, WASHINGTON; FINANCIAL AID TO LOCAL
                           COMMUNITIES; REPORTS
      Section 608 of Pub. L. 93-552, title VI, Dec. 27, 1974, 88 Stat.
    1763, provided:
      "(a) The Secretary of Defense is authorized to assist communities
    located near the TRIDENT Support Site Bangor, Washington, in
    meeting the costs of providing increased municipal services and
    facilities to the residents of such communities, if the Secretary
    determines that there is an immediate and substantial increase in
    the need for such services and facilities in such communities as a
    direct result of work being carried out in connection with the
    construction, installation, testing, and operation of the TRIDENT
    Weapon System and that an unfair and excessive financial burden
    will be incurred by such communities as a result of the increased
    need for such services and facilities.
      "(b) The Secretary of Defense shall carry out the provisions of
    this section through existing Federal programs. The Secretary is
    authorized to supplement funds made available under such Federal
    programs to the extent necessary to carry out the provisions of
    this section, and is authorized to provide financial assistance to
    communities described in subsection (a) of this section to help
    such communities pay their share of the costs under such programs.
    The heads of all departments and agencies concerned shall cooperate
    fully with the Secretary of Defense in carrying out the provisions
    of this section on a priority basis.
      "(c) In determining the amount of financial assistance to be made
    available under this section to any local community for any
    community service or facility, the Secretary of Defense shall
    consult with the head of the department or agency of the Federal
    Government concerned with the type of service or facility for which
    financial assistance is being made available and shall take into
    consideration (1) the time lag between the initial impact of
    increased population in any such community and any increase in the
    local tax base which will result from such increased population,
    (2) the possible temporary nature of the increased population and
    the long-range cost impact on the permanent residents of any such
    community, and (3) such other pertinent factors as the Secretary of
    Defense deems appropriate.
      "(d) Any funds appropriated to the Department of Defense for the
    fiscal year beginning July 1, 1974, for carrying out the TRIDENT
    Weapon System shall be utilized by the Secretary of Defense in
    carrying out the provisions of this section to the extent that
    funds are unavailable under other Federal programs. Funds
    appropriated to the Department of Defense for any fiscal year
    beginning after June 30, 1975, for carrying out the TRIDENT Weapon
    System may, to the extent specifically authorized in an annual
    Military Construction Authorization Act, be utilized by the
    Secretary of Defense in carrying out the provision of this section
    to the extent that funds are unavailable under other Federal
    programs.
      "(e) The Secretary shall transmit to the Committees on Armed
    Services of the Senate and the House of Representatives semiannual
    reports indicating the total amount expended in the case of each
    local community which was provided assistance under the authority
    of this section during the preceding six-month period, the specific
    projects for which assistance was provided during such period, and
    the total amount provided for each such project during such
    period."

-End-



-CITE-
    10 USC Sec. 2432                                            01/03/2007

-EXPCITE-
    TITLE 10 - ARMED FORCES
    Subtitle A - General Military Law
    PART IV - SERVICE, SUPPLY, AND PROCUREMENT
    CHAPTER 144 - MAJOR DEFENSE ACQUISITION PROGRAMS

-HEAD-
    Sec. 2432. Selected Acquisition Reports

-STATUTE-
      (a) In this section:
        (1) The term "program acquisition unit cost", with respect to a
      major defense acquisition program, means the amount equal to (A)
      the total cost for development and procurement of, and system-
      specific military construction for, the acquisition program,
      divided by (B) the number of fully-configured end items to be
      produced for the acquisition program.
        (2) The term "procurement unit cost", with respect to a major
      defense acquisition program, means the amount equal to (A) the
      total of all funds programmed to be available for obligation for
      procurement for the program, divided by (B) the number of fully-
      configured end items to be procured.
        (3) The term "major contract", with respect to a major defense
      acquisition program, means each of the six largest prime,
      associate, or Government-furnished equipment contracts under the
      program that is in excess of $40,000,000 and that is not a firm,
      fixed price contract.
        (4) The term "full life-cycle cost", with respect to a major
      defense acquisition program, means all costs of development,
      procurement, military construction, and operations and support,
      without regard to funding source or management control.

      (b)(1) The Secretary of Defense shall submit to Congress at the
    end of each fiscal-year quarter a report on current major defense
    acquisition programs. Except as provided in paragraphs (2) and (3),
    each such report shall include a status report on each defense
    acquisition program that at the end of such quarter is a major
    defense acquisition program. Reports under this section shall be
    known as Selected Acquisition Reports.
      (2) A status report on a major defense acquisition program need
    not be included in the Selected Acquisition Report for the second,
    third, or fourth quarter of a fiscal year if such a report was
    included in a previous Selected Acquisition Report for that fiscal
    year and during the period since that report there has been - 
        (A) less than a 15 percent increase in program acquisition unit
      cost and current procurement unit cost; and
        (B) less than a six-month delay in any program schedule
      milestone shown in the Selected Acquisition Report.

      (3)(A) The Secretary of Defense may waive the requirement for
    submission of Selected Acquisition Reports for a program for a
    fiscal year if - 
        (i) the program has not entered system development and
      demonstration;
        (ii) a reasonable cost estimate has not been established for
      such program; and
        (iii) the system configuration for such program is not well
      defined.

      (B) The Secretary shall submit to the Committee on Armed Services
    of the Senate and the Committee on Armed Services of the House of
    Representatives a written notification of each waiver under
    subparagraph (A) for a program for a fiscal year not later than 60
    days before the President submits the budget to Congress pursuant
    to section 1105 of title 31 in that fiscal year.
      (c)(1) Each Selected Acquisition Report for the first quarter for
    a fiscal year shall include - 
        (A) the same information, in detailed and summarized form, as
      is provided in reports submitted under section 2431 of this
      title;
        (B) the current program acquisition unit cost for each major
      defense acquisition program included in the report and the
      history of that cost from the date the program was first included
      in a Selected Acquisition Report to the end of the quarter for
      which the current report is submitted;
        (C) the current procurement unit cost for each major defense
      acquisition program included in the report and the history of
      that cost from the date the program was first included in a
      Selected Acquisition Report to the end of the quarter for which
      the current report is submitted; and
        (D) such other information as the Secretary of Defense
      considers appropriate.

      (2) Each Selected Acquisition Report for the first quarter of a
    fiscal year shall be designed to provide to the Committee on Armed
    Services of the Senate and the Committee on Armed Services of the
    House of Representatives the information such Committees need to
    perform their oversight functions. Whenever the Secretary of
    Defense proposes to make changes in the content of a Selected
    Acquisition Report, the Secretary shall submit a notice of the
    proposed changes to such committees. The changes shall be
    considered approved by the Secretary, and may be incorporated into
    the report, only after the end of the 60-day period beginning on
    the date on which the notice is received by those committees.
      (3) In addition to the material required by paragraphs (1) and
    (2), each Selected Acquisition Report for the first quarter of a
    fiscal year shall include the following:
        (A) A full life-cycle cost analysis for each major defense
      acquisition program included in the report that is in the system
      development and demonstration stage or has completed that stage.
      The Secretary of Defense shall ensure that this subparagraph is
      implemented in a uniform manner, to the extent practicable,
      throughout the Department of Defense.
        (B) If the system that is included in that major defense
      acquisition program has an antecedent system, a full life-cycle
      cost analysis for that system.

      (4) Selected Acquisition Reports for the first quarter of a
    fiscal year shall be known as comprehensive annual Selected
    Acquisition Reports.
      (d)(1) Each Selected Acquisition Report for the second, third,
    and fourth quarters of a fiscal year shall include - 
        (A) with respect to each major defense acquisition program that
      was included in the most recent comprehensive annual Selected
      Acquisition Report, the information described in subsection (e);
      and
        (B) with respect to each major defense acquisition program that
      was not included in the most recent comprehensive annual Selected
      Acquisition Report, the information described in subsection (c).

      (2) Selected Acquisition Reports for the second, third, and
    fourth quarters of a fiscal year shall be known as Quarterly
    Selected Acquisition Reports.
      (e) Information to be included under this subsection in a
    Quarterly Selected Acquisition Report with respect to a major
    defense acquisition program is as follows:
        (1) The quantity of items to be purchased under the program.
        (2) The program acquisition cost.
        (3) The program acquisition unit cost.
        (4) The current procurement cost for the program.
        (5) The current procurement unit cost for the program.
        (6) The reasons for any change in program acquisition cost,
      program acquisition unit cost, procurement cost, or procurement
      unit cost or in program schedule from the previous Selected
      Acquisition Report.
        (7) The reasons for any significant changes (from the previous
      Selected Acquisition Report) in the total program cost for
      development and procurement of the software component of the
      program, schedule milestones for the software component of the
      program, or expected performance for the software component of
      the program that are known, expected, or anticipated by the
      program manager.
        (8) The major contracts under the program and the reasons for
      any cost or schedule variances under those contracts since the
      last Selected Acquisition Report.
        (9) Program highlights since the last Selected Acquisition
      Report.

      (f) Each comprehensive annual Selected Acquisition Report shall
    be submitted within 60 days after the date on which the President
    transmits the Budget to Congress for the following fiscal year, and
    each Quarterly Selected Acquisition Report shall be submitted
    within 45 days after the end of the fiscal-year quarter.
      (g) The requirements of this section with respect to a major
    defense acquisition program shall cease to apply after 90 percent
    of the items to be delivered to the United States under the program
    (shown as the total quantity of items to be purchased under the
    program in the most recent Selected Acquisition Report) have been
    delivered or 90 percent of planned expenditures under the program
    have been made.
      (h)(1) Total program reporting under this section shall apply to
    a major defense acquisition program when funds have been
    appropriated for such program and the Secretary of Defense has
    decided to proceed to system development and demonstration of such
    program. Reporting may be limited to the development program as
    provided in paragraph (2) before a decision is made by the
    Secretary of Defense to proceed to system development and
    demonstration if the Secretary notifies the Committee on Armed
    Services of the Senate and the Committee on Armed Services of the
    House of Representatives of the intention to submit a limited
    report under this subsection not less than 15 days before a report
    is due under this section.
      (2) A limited report under this subsection shall include the
    following:
        (A) The same information, in detail and summarized form, as is
      provided in reports submitted under subsections (b)(1) and (b)(3)
      of section 2431 of this title.
        (B) Reasons for any change in the development cost and
      schedule.
        (C) The major contracts under the development program and the
      reasons for any cost or schedule variances under those contracts
      since the last Selected Acquisition Report.
        (D) Program highlights since the last Selected Acquisition
      Report.
        (E) Other information as the Secretary of Defense considers
      appropriate.

      (3) The submission requirements for a limited report under this
    subsection shall be the same as for quarterly Selected Acquisition
    Reports for total program reporting.

-SOURCE-
    (Added Pub. L. 97-252, title XI, Sec. 1107(a)(1), Sept. 8, 1982, 96
    Stat. 739, Sec. 139a; amended Pub. L. 98-525, title XII, Sec.
    1242(a), Oct. 19, 1984, 98 Stat. 2606; Pub. L. 99-145, title XII,
    Sec. 1201, Nov. 8, 1985, 99 Stat. 715; renumbered Sec. 2432 and
    amended Pub. L. 99-433, title I, Secs. 101(a)(5), 110(d)(13),
    (g)(7), Oct. 1, 1986, 100 Stat. 995, 1003, 1004; Pub. L. 99-500,
    Sec. 101(c) [title X, Sec. 961(a)], Oct. 18, 1986, 100 Stat. 1783-
    82, 1783-175, and Pub. L. 99-591, Sec. 101(c) [title X, Sec.
    961(a)], Oct. 30, 1986, 100 Stat. 3341-82, 3341-175; Pub. L. 99-
    661, div. A, title IX, formerly title IV, Sec. 961(a), Nov. 14,
    1986, 100 Stat. 3955, renumbered title IX, Pub. L. 100-26, Sec.
    3(5), Apr. 21, 1987, 101 Stat. 273; Pub. L. 100-26, Sec. 7(b)(3),
    (k)(2), Apr. 21, 1987, 101 Stat. 279, 284; Pub. L. 100-180, div. A,
    title XII, Sec. 1233(a)(1), title XIII, Sec. 1314(a)(1), Dec. 4,
    1987, 101 Stat. 1161, 1175; Pub. L. 101-189, div. A, title VIII,
    Sec. 811(c), Nov. 29, 1989, 103 Stat. 1493; Pub. L. 101-510, div.
    A, title XIV, Secs. 1407(a)-(c), 1484(f)(4), Nov. 5, 1990, 104
    Stat. 1681, 1717; Pub. L. 102-25, title VII, Sec. 701(f)(3), Apr.
    6, 1991, 105 Stat. 115; Pub. L. 102-190, div. A, title VIII, Sec.
    801(b)(2), title X, Sec. 1061(a)(14), Dec. 5, 1991, 105 Stat. 1412,
    1473; Pub. L. 102-484, div. A, title VIII, Sec. 817(c), Oct. 23,
    1992, 106 Stat. 2455; Pub. L. 103-355, title III, Sec. 3002(a)(1),
    (b)-(h), Oct. 13, 1994, 108 Stat. 3328, 3329; Pub. L. 104-106, div.
    A, title XV, Sec. 1502(a)(1), Feb. 10, 1996, 110 Stat. 502; Pub. L.
    104-201, div. A, title VIII, Sec. 806, Sept. 23, 1996, 110 Stat.
    2606; Pub. L. 105-85, div. A, title VIII, Sec. 841(c), Nov. 18,
    1997, 111 Stat. 1843; Pub. L. 106-65, div. A, title X, Sec.
    1067(1), Oct. 5, 1999, 113 Stat. 774; Pub. L. 107-107, div. A,
    title VIII, Sec. 821(a), Dec. 28, 2001, 115 Stat. 1181; Pub. L. 108-
    136, div. A, title X, Sec. 1045(a)(6), Nov. 24, 2003, 117 Stat.
    1612; Pub. L. 108-375, div. A, title VIII, Sec. 801(b)(2), Oct. 28,
    2004, 118 Stat. 2004; Pub. L. 109-364, div. A, title X, Sec.
    1071(g)(10), Oct. 17, 2006, 120 Stat. 2402.)

-COD-
                               CODIFICATION                           
      Pub. L. 99-591 is a corrected version of Pub. L. 99-500.


-MISC1-
                                AMENDMENTS                            
      2006 - Subsec. (e)(7) to (9). Pub. L. 109-364 made technical
    correction to directory language of Pub. L. 108-375, Sec.
    801(b)(2). See 2004 Amendment note below.
      2004 - Subsec. (e)(7) to (9). Pub. L. 108-375, Sec. 801(b)(2), as
    amended by Pub. L. 109-364, added par. (7) and redesignated former
    pars. (7) and (8) as (8) and (9), respectively.
      2003 - Subsec. (h)(1). Pub. L. 108-136 inserted "program" after
    "for such" in first sentence.
      2001 - Subsecs. (b)(3)(A)(i), (c)(3)(A), (h)(1). Pub. L. 107-107
    substituted "system development and demonstration" for "engineering
    and manufacturing development" wherever appearing.
      1999 - Subsecs. (b)(3)(B), (c)(2), (h)(1). Pub. L. 106-65
    substituted "and the Committee on Armed Services" for "and the
    Committee on National Security".
      1997 - Subsec. (h)(2)(D) to (F). Pub. L. 105-85 redesignated
    subpars. (E) and (F) as (D) and (E), respectively, and struck out
    former subpar. (D) which read as follows: "The completion status of
    the development program expressed - 
        "(i) as the percentage that the number of years for which funds
      have been appropriated for the development program is of the
      number of years for which it is planned that funds will be
      appropriated for the program; and
        "(ii) as the percentage that the amount of funds that have been
      appropriated for the development program is of the total amount
      of funds which it is planned will be appropriated for the
      program."
      1996 - Subsec. (b)(3)(B). Pub. L. 104-106 substituted "Committee
    on Armed Services of the Senate and the Committee on National
    Security of the House of Representatives" for "Committees on Armed
    Services of the Senate and House of Representatives".
      Subsec. (c)(1). Pub. L. 104-201, Sec. 806(1), struck out "and" at
    end of subpar. (B), added subpar. (C), and redesignated former
    subpar. (C) as (D).
      Subsec. (c)(2). Pub. L. 104-106 substituted "Committee on Armed
    Services of the Senate and the Committee on National Security of
    the House of Representatives" for "Committees on Armed Services of
    the Senate and House of Representatives".
      Subsec. (e)(8), (9). Pub. L. 104-201, Sec. 806(2), redesignated
    par. (9) as (8) and struck out former par. (8) which read as
    follows: "The completion status of the program (A) expressed as the
    percentage that the number of years for which funds have been
    appropriated for the program is of the number of years for which it
    is planned that funds will be appropriated for the program, and (B)
    expressed as the percentage that the amount of funds that have been
    appropriated for the program is of the total amount of funds which
    it is planned will be appropriated for the program."
      Subsec. (h)(1). Pub. L. 104-106 substituted "Committee on Armed
    Services of the Senate and the Committee on National Security of
    the House of Representatives" for "Committees on Armed Services of
    the Senate and House of Representatives".
      1994 - Subsec. (a)(2). Pub. L. 103-355, Sec. 3002(a)(1), struck
    out "for a fiscal year, reduced by the amount of funds programmed
    to be available for obligation for such fiscal year for advanced
    procurement for such program in any subsequent year and increased
    by any amount appropriated in years before such fiscal year for
    advanced procurement for such program in such fiscal year" after
    "procurement for the program" in cl. (A), "with such funds during
    such fiscal year" after "procured" in cl. (B), and last sentence
    which read as follows: "If for any fiscal year the funds
    appropriated, or the number of fully-configured end items to be
    purchased, differ from those programmed, the procurement unit cost
    shall be revised to reflect the appropriated amounts and
    quantities."
      Subsec. (a)(3). Pub. L. 103-355, Sec. 3002(b), inserted before
    period at end "and that is not a firm, fixed price contract".
      Subsec. (a)(4). Pub. L. 103-355, Sec. 3002(c), substituted "means
    all costs of development, procurement, military construction, and
    operations and support, without regard to funding source or
    management control." for "has the meaning given the term 'cost of
    the program' in section 2434(b)(2) of this title."
      Subsec. (b)(3)(A)(i). Pub. L. 103-355, Sec. 3002(h)(1), struck
    out "full scale development or" before "engineering".
      Subsec. (c)(2). Pub. L. 103-355, Sec. 3002(d), substituted second
    sentence for former second sentence which read as follows: "The
    Secretary of Defense may approve changes in the content of the
    Selected Acquisition Report if the Secretary provides such
    Committees with written notification of such changes at least 60
    days before the date of the report that incorporates the changes."
      Subsec. (c)(3)(A). Pub. L. 103-355, Sec. 3002(f)(2), (h)(2),
    substituted "engineering and manufacturing" for "full-scale
    engineering" and inserted at end "The Secretary of Defense shall
    ensure that this subparagraph is implemented in a uniform manner,
    to the extent practicable, throughout the Department of Defense."
      Subsec. (c)(3)(C). Pub. L. 103-355, Sec. 3002(e), struck out
    subpar. (C) which required production information for each major
    defense acquisition program included in report that is produced at
    rate of six units or more per year.
      Subsec. (c)(5). Pub. L. 103-355, Sec. 3002(f)(1), struck out par.
    (5) which read as follows: "The Secretary of Defense shall ensure
    that paragraph (4) of subsection (a) is implemented in a uniform
    manner, to the extent practicable, throughout the Department of
    Defense."
      Subsec. (f). Pub. L. 103-355, Sec. 3002(g), struck out last
    sentence which read as follows: "A preliminary report shall be
    submitted for each annual Selected Acquisition Report within 30
    days of the date on which the President submits the Budget to
    Congress."
      Subsec. (h)(1). Pub. L. 103-355, Sec. 3002(h)(3), substituted
    "engineering and manufacturing" for "full-scale engineering" in two
    places.
      1992 - Subsec. (a)(3). Pub. L. 102-484, Sec. 817(c)(1), added
    par. (3) and struck out former par. (3) which read as follows: "The
    term 'major contract', with respect to a major defense acquisition
    program, means (A) each prime contract under the program, and (B)
    each associate or Government-furnished equipment contract under the
    program that is one of the six largest contracts under the program
    in dollar amount and that is in excess of $40,000,000."
      Subsec. (b)(3). Pub. L. 102-484, Sec. 817(c)(2), added par. (3)
    and struck out former par. (3) which read as follows: "A status
    report on a particular major defense acquisition program need not
    be included in any Selected Acquisition Report with the approval of
    the Committees on Armed Services of the Senate and House of
    Representatives."
      Subsec. (c)(2). Pub. L. 102-484, Sec. 817(c)(3), added sentence
    at end and struck out former last sentence which read as follows:
    "A change in the content of the Selected Acquisition Report for the
    first quarter of a fiscal year from the content as reported for the
    first quarter of the previous fiscal year may not be made until
    appropriate officials of the Department of Defense consult with
    such Committees regarding the proposed changes."
      Subsec. (c)(3)(C)(i) to (vii). Pub. L. 102-484, Sec. 817(c)(4),
    added cls. (i) to (vii) and struck out former cls. (i) to (vii)
    which contained similar specification and estimation requirements.
      1991 - Subsec. (a)(4). Pub. L. 102-190, Sec. 801(b)(2),
    substituted "2434(b)(2)" for "2434(c)(2)".
      Subsec. (c)(5). Pub. L. 102-25 substituted "subsection (a)" for
    "section 2432(a) of title 10, United States Code, as added by
    subsection (a)(2),".
      Subsec. (h)(2)(A). Pub. L. 102-190, Sec. 1061(a)(14), substituted
    "(b)(1) and (b)(3)" for "(c)(1) and (c)(3)".
      1990 - Subsec. (a)(4). Pub. L. 101-510, Sec. 1407(b), added par.
    (4).
      Subsec. (c)(3). Pub. L. 101-510, Sec. 1484(f)(4)(A), substituted
    "include the following:" for "include - " in introductory
    provisions.
      Subsec. (c)(3)(A). Pub. L. 101-510, Sec. 1407(a), amended subpar.
    (A) generally. Prior to amendment, subpar. (A) read as follows: "a
    full life-cycle cost analysis for each major defense acquisition
    program included in the report that - 
        "(i) is in the full-scale engineering development stage or has
      completed that stage; and
        "(ii) was first included in a Selected Acquisition Report for a
      quarter after the first quarter of fiscal year 1985;".
      Subsec. (c)(3)(B). Pub. L. 101-510, Sec. 1484(f)(4)(B), (C),
    substituted "If" for "if" and a period for "; and".
      Subsec. (c)(3)(C). Pub. L. 101-510, Sec. 1484(f)(4)(B), (D),
    substituted "Production" for "production" and "program) the
    following:" for "program) - " in introductory provisions,
    "Specification" for "specification" in cls. (i) to (iv),
    "Estimation" for "estimation" in cls. (v) to (vii), a period for a
    semicolon in cls. (i) to (v), and a period for "; and" in cl. (vi).
      Subsec. (c)(5). Pub. L. 101-510, Sec. 1407(c), added par. (5).
      1989 - Subsec. (b)(2)(A). Pub. L. 101-189 substituted "15 percent
    increase in program acquisition unit cost and current procurement
    unit cost" for "5 percent change in total program cost".
      1987 - Pub. L. 100-180, Sec. 1314(a)(1), made technical amendment
    to directory language of Pub. L. 99-433, Sec. 101(a)(5). See 1986
    Amendment note below.
      Subsec. (a). Pub. L. 100-26, Sec. 7(b)(3)(A), as amended by Pub.
    L. 100-180, Sec. 1233(a)(1), redesignated pars. (2) to (4) as (1)
    to (3), respectively, and struck out former par. (1) which defined
    "major defense acquisition program".
      Pub. L. 100-26, Sec. 7(k)(2)(A), inserted "The term" after each
    par. designation and struck out uppercase letter of first word
    after first quotation marks in each par. and substituted lowercase
    letter.
      Subsec. (a)(2). Pub. L. 100-26, Sec. 7(b)(3)(B), substituted
    "programmed" for "programed" wherever appearing.
      1986 - Pub. L. 99-433, Sec. 101(a)(5), as amended by Pub. L. 100-
    180, Sec. 1314(a)(1), renumbered section 139a of this title as
    this section.
      Pub. L. 99-433, Sec. 110(d)(13), struck out "Oversight of cost
    growth in major programs:" before "Selected Acquisition Reports" in
    section catchline.
      Subsec. (a)(3). Pub. L. 99-500 and Pub. L. 99-591, Sec. 101(c)
    [Sec. 961(a)(1)], Pub. L. 99-661, Sec. 961(a)(1), amended par. (3)
    identically, inserting provision that if for any fiscal year the
    funds appropriated, or the number of fully-configured end items to
    be purchased, differ from those programmed, the procurement unit
    cost shall be revised to reflect the appropriated amounts and
    quantities.
      Subsec. (a)(4). Pub. L. 99-500 and Pub. L. 99-591, Sec. 101(c)
    [Sec. 961(a)(2)], Pub. L. 99-661, Sec. 961(a)(2), amended par. (4)
    identically, substituting "$40,000,000" for "$2,000,000".
      Subsec. (b)(2)(B). Pub. L. 99-500 and Pub. L. 99-591, Sec. 101(c)
    [Sec. 961(a)(3)], Pub. L. 99-661, Sec. 961(a)(3), amended subpar.
    (B) identically, substituting "six-month" for "three-month".
      Subsec. (c)(1). Pub. L. 99-433, Sec. 110(g)(7), substituted
    "section 2431" for "section 139".
      Subsec. (c)(2). Pub. L. 99-500 and Pub. L. 99-591, Sec. 101(c)
    [Sec. 961(a)(4)], Pub. L. 99-661, Sec. 961(a)(4), amended subsec.
    (c) identically, enacting a new par. (2) and striking out former
    par. (2) which read as follows: "Each Selected Acquisition Report
    for the first quarter of a fiscal year shall be prepared and
    submitted with the same content as was used for the Selected
    Acquisition Report for the first quarter of fiscal year 1984."
      Subsec. (c)(3)(C). Pub. L. 99-500 and Pub. L. 99-591, Sec. 101(c)
    [Sec. 961(a)(5)], Pub. L. 99-661, Sec. 961(a)(5), amended subpar.
    (C) identically, inserting in provision preceding cl. (i) "that is
    produced at a rate of six units or more per year" after "report".
      Subsec. (h). Pub. L. 99-500 and Pub. L. 99-591, Sec. 101(c) [Sec.
    961(a)(6)], Pub. L. 99-661, Sec. 961(a)(6), amended section
    identically, adding subsec. (h).
      1985 - Subsec. (c). Pub. L. 99-145 amended subsec. (c) generally.
    Prior to amendment, subsec. (c) read as follows: "Each Selected
    Acquisition Report for the first quarter of a fiscal year shall
    include (1) the same information, in detailed and summarized form,
    as is provided in reports submitted under section 139 of this
    title, (2) the current program acquisition unit cost for each major
    defense acquisition program included in the report and the history
    of that cost from the date the program was first included in a
    Selected Acquisition Report to the end of the quarter for which the
    current report is submitted, and (3) such other information as the
    Secretary of Defense considers appropriate. Selected Acquisition
    Reports for the first quarter of a fiscal year shall be known as
    comprehensive annual Selected Acquisition Reports."
      1984 - Subsec. (a)(3). Pub. L. 98-525, Sec. 1242(a)(1),
    substituted "funds programed to be available for obligation for
    procurement" for "procurement funds appropriated" and "of funds
    programed to be available for obligation" for "of funds
    appropriated".
      Subsec. (a)(4). Pub. L. 98-525, Sec. 1242(a)(2), inserted "and
    that is in excess of $2,000,000".
      Subsec. (b)(2). Pub. L. 98-525, Sec. 1242(a)(3), substituted
    "during the period since that report there has been -  (A) less
    than a 5 percent change in total program cost; and (B) less than a
    three-month delay in any program schedule milestone shown in the
    Selected Acquisition Report" for "there has been no change in
    program cost, performance, or schedule since the most recent such
    report".
      Subsec. (f). Pub. L. 98-525, Sec. 1242(a)(4), substituted: "60"
    for "30", "45" for "30, and "A preliminary report shall be
    submitted for each annual Selected Acquisition Report within 30
    days of the date on which the President submits the Budget to
    Congress" for "If a preliminary report is submitted for the
    comprehensive annual Selected Acquisition Report in any year, the
    final report shall be submitted within 15 days after the submission
    of the preliminary report".
      Subsec. (g). Pub. L. 98-525, Sec. 1242(a)(5), added subsec. (g).

                     EFFECTIVE DATE OF 2006 AMENDMENT                 
      Pub. L. 109-364, div. A, title X, Sec. 1071(g), Oct. 17, 2006,
    120 Stat. 2402, provided that the amendment made by section
    1071(g)(10) is effective as of Oct. 28, 2004, and as if included in
    Pub. L. 108-375 as enacted.

                     EFFECTIVE DATE OF 2004 AMENDMENT                 
      Pub. L. 108-375, div. A, title VIII, Sec. 801(c), Oct. 28, 2004,
    118 Stat. 2004, provided that: "The amendments made by this section
    [amending this section and section 2433 of this title] shall take
    effect on the date occurring 60 days after the date of the
    enactment of this Act [Oct. 28, 2004], and shall apply with respect
    to reports due to be submitted to Congress on or after such date."

                     EFFECTIVE DATE OF 1990 AMENDMENT                 
      Section 1407(d) of Pub. L. 101-510, as amended by Pub. L. 102-25,
    title VII, Sec. 704(a)(8), Apr. 6, 1991, 105 Stat. 119, provided
    that: "The amendments made by subsection (a) [amending this
    section] shall take effect with respect to Selected Acquisition
    Reports submitted under section 2432 of title 10, United States
    Code, after December 31, 1991."

                     EFFECTIVE DATE OF 1987 AMENDMENT                 
      Amendment by section 1233(a)(1) of Pub. L. 100-180 applicable as
    if included in enactment of the Defense Technical Corrections Act
    of 1987, Pub. L. 100-26, see section 1233(c) of Pub. L. 100-180,
    set out as a note under section 101 of this title.
      Amendment by section 1314(a)(1) of Pub. L. 100-180 applicable as
    if included in enactment of the Goldwater-Nichols Department of
    Defense Reorganization Act of 1986, Pub. L. 99-433, see section
    1314(e) of Pub. L. 100-180, set out as a note under section 743 of
    this title.

                     EFFECTIVE DATE OF 1986 AMENDMENT                 
      Section 101(c) [title IX, Sec. 961(c)] of Pub. L. 99-500 and Pub.
    L. 99-591, and section 961(c) of title IX, formerly title IV, of
    Pub. L. 99-661, renumbered title IX, Pub. L. 100-26, Sec. 3(5),
    Apr. 21, 1987, 101 Stat. 273, provided that: "The amendments made
    by subsections (a) and (b) [amending this section and section 2433
    of this title] shall take effect on January 1, 1987."

                              EFFECTIVE DATE                          
      Section 1107(c) of Pub. L. 97-252 provided that: "Sections 139a
    and 139b [now 2432 and 2433] of title 10, United States Code, as
    added by subsection (a), shall take effect on January 1, 1983, and
    shall apply beginning with respect to reports for the first quarter
    of fiscal year 1983. The repeal made by subsection (b) [repealing
    Pub. L. 94-106, as amended, set out as Reports to Congress of
    Acquisitions for Major Defense Systems note under section 2431 of
    this title] shall take effect on January 1, 1983."

             SELECTED ACQUISITION REPORTS FOR CERTAIN PROGRAMS         
      Section 127 of Pub. L. 100-180, as amended by Pub. L. 102-484,
    div. A, title VIII, Sec. 817(a), Oct. 23, 1992, 106 Stat. 2454,
    provided that:
      "(a) SAR Coverage for ATB, ACM, and ATA Programs. - The Secretary
    of Defense shall submit to the Committees on Armed Services of the
    Senate and House of Representatives, in accordance with the
    provisions of subsection (b) of section 2432 of title 10, United
    States Code, a Selected Acquisition Report with respect to each
    program referred to in subsection (b), notwithstanding that such a
    report would not otherwise be required under section 2432 of title
    10, United States Code.
      "(b) Covered Programs. - Subsection (a) applies to the Advanced
    Technology Bomber program, the Advanced Cruise Missile program, and
    the Advanced Tactical Aircraft program.
      "(c) Selected Acquisition Report Defined. - As used in subsection
    (a), the term 'Selected Acquisition Report' means a report
    containing the information referred to in section 2432 of title 10,
    United States Code."

      SENSE OF CONGRESS ON PREPARATION OF CERTAIN ECONOMIC IMPACT AND
        EMPLOYMENT INFORMATION CONCERNING NEW ACQUISITION PROGRAMS
      Section 825 of Pub. L. 100-180 related to the sense of Congress
    on preparation of certain economic impact and employment
    information concerning new acquisition programs, prior to repeal by
    Pub. L. 104-106, div. D, title XLIII, Sec. 4321(i)(4), Feb. 10,
    1996, 110 Stat. 676.

       DURATION OF ASSIGNMENT OF PROGRAM MANAGERS FOR MAJOR PROGRAMS   
      Section 1243 of Pub. L. 98-525, as amended by Pub. L. 100-26,
    Sec. 11(a)(1), Apr. 21, 1987, 101 Stat. 288, which related to
    waivable minimum four-year tour of duty of program managers for
    major defense acquisition programs, was repealed and restated in
    section 2435(c) of this title by Pub. L. 100-370, Sec. 1(i), July
    19, 1988, 102 Stat. 848.

-End-



-CITE-
    10 USC Sec. 2433                                            01/03/2007

-EXPCITE-
    TITLE 10 - ARMED FORCES
    Subtitle A - General Military Law
    PART IV - SERVICE, SUPPLY, AND PROCUREMENT
    CHAPTER 144 - MAJOR DEFENSE ACQUISITION PROGRAMS

-HEAD-
    Sec. 2433. Unit cost reports

-STATUTE-
      (a) In this section:
        (1) The terms "program acquisition unit cost", "procurement
      unit cost", and "major contract" have the same meanings as
      provided in section 2432(a) of this title.
        (2) The term "Baseline Estimate", with respect to a unit cost
      report that is submitted under this section to the service
      acquisition executive designated by the Secretary concerned on a
      major defense acquisition program, means the cost estimate
      included in the baseline description for the program under
      section 2435 of this title.
        (3) The term "procurement program" means a program for which
      funds for procurement are authorized to be appropriated in a
      fiscal year.
        (4) The term "significant cost growth threshold" means the
      following:
          (A) In the case of a major defense acquisition program, a
        percentage increase in the program acquisition unit cost for
        the program of - 
            (i) at least 15 percent over the program acquisition unit
          cost for the program as shown in the current Baseline
          Estimate for the program; or
            (ii) at least 30 percent over the program acquisition unit
          cost for the program as shown in the original Baseline
          Estimate for the program.

          (B) In the case of a major defense acquisition program that
        is a procurement program, a percentage increase in the
        procurement unit cost for the program of - 
            (i) at least 15 percent over the procurement unit cost for
          the program as shown in the current Baseline Estimate for the
          program; or
            (ii) at least 30 percent over the procurement unit cost for
          the program as shown in the original Baseline Estimate for
          the program.

        (5) The term "critical cost growth threshold" means the
      following:
          (A) In the case of a major defense acquisition program, a
        percentage increase in the program acquisition unit cost for
        the program of - 
            (i) at least 25 percent over the program acquisition unit
          cost for the program as shown in the current Baseline
          Estimate for the program; or
            (ii) at least 50 percent over the program acquisition unit
          cost for the program as shown in the original Baseline
          Estimate for the program.

          (B) In the case of a major defense acquisition program that
        is a procurement program, a percentage increase in the
        procurement unit cost for the program of - 
            (i) at least 25 percent over the procurement unit cost for
          the program as shown in the current Baseline Estimate for the
          program; or
            (ii) at least 50 percent over the procurement unit cost for
          the program as shown in the original Baseline Estimate for
          the program.

        (6) The term "original Baseline Estimate" has the same meaning
      as provided in section 2435(d) of this title.

      (b) The program manager for a major defense acquisition program
    (other than a program not required to be included in the Selected
    Acquisition Report for that quarter under section 2432(b)(3) of
    this title) shall, on a quarterly basis, submit to the service
    acquisition executive designated by the Secretary concerned a
    written report on the unit costs of the program. Each report shall
    be submitted not more than 30 calendar days after the end of that
    quarter. The program manager shall include in each such unit cost
    report the following information with respect to the program (as of
    the last day of the quarter for which the report is made):
        (1) The program acquisition unit cost.
        (2) In the case of a procurement program, the procurement unit
      cost.
        (3) Any cost variance or schedule variance in a major contract
      under the program since the contract was entered into.
        (4) Any changes from program schedule milestones or program
      performances reflected in the baseline description established
      under section 2435 of this title that are known, expected, or
      anticipated by the program manager.
        (5) Any significant changes in the total program cost for
      development and procurement of the software component of the
      program, schedule milestones for the software component of the
      program, or expected performance for the software component of
      the program that are known, expected, or anticipated by the
      program manager.

      (c) If the program manager of a major defense acquisition program
    for which a unit cost report has previously been submitted under
    subsection (b) determines at any time during a quarter that there
    is reasonable cause to believe that the program acquisition unit
    cost for the program or the procurement unit cost for the program,
    as applicable, has increased by a percentage equal to or greater
    than the significant cost growth threshold for the program; and if
    a unit cost report indicating an increase of such percentage or
    more has not previously been submitted to the service acquisition
    executive designated by the Secretary concerned, then the program
    manager shall immediately submit to such service acquisition
    executive a unit cost report containing the information, determined
    as of the date of the report, required under subsection (b).
      (d)(1) When a unit cost report is submitted to the service
    acquisition executive designated by the Secretary concerned under
    this section with respect to a major defense acquisition program,
    the service acquisition executive shall determine whether the
    current program acquisition unit cost for the program has increased
    by a percentage equal to or greater than the significant cost
    growth threshold, or the critical cost growth threshold, for the
    program.
      (2) When a unit cost report is submitted to the service
    acquisition executive designated by the Secretary concerned under
    this section with respect to a major defense acquisition program
    that is a procurement program, the service acquisition executive,
    in addition to the determination under paragraph (1), shall
    determine whether the procurement unit cost for the program has
    increased by a percentage equal to or greater than the significant
    cost growth threshold, or the critical cost growth threshold, for
    the program.
      (3) If, based upon the service acquisition executive's
    determination, the Secretary concerned determines that the current
    program acquisition unit cost has increased by a percentage equal
    to or greater than the significant cost growth threshold or
    critical cost growth threshold or that the procurement unit cost
    has increased by a percentage equal to or greater than the
    significant cost growth threshold or critical cost growth
    threshold, the Secretary shall notify Congress in writing of such
    determination and of the increase with respect to such program. In
    the case of a determination based on a quarterly report submitted
    in accordance with subsection (b), the Secretary shall submit the
    notification to Congress within 45 days after the end of the
    quarter. In the case of a determination based on a report submitted
    in accordance with subsection (c), the Secretary shall submit the
    notification to Congress within 45 days after the date of that
    report. The Secretary shall include in the notification the date on
    which the determination was made.
      (e)(1)(A) Except as provided in subparagraph (B), whenever the
    Secretary concerned determines under subsection (d) that the
    program acquisition unit cost or the procurement unit cost of a
    major defense acquisition program has increased by a percentage
    equal to or greater than the significant cost growth threshold for
    the program, a Selected Acquisition Report shall be submitted to
    Congress for the first fiscal-year quarter ending on or after the
    date of the determination or for the fiscal-year quarter which
    immediately precedes the first fiscal-year quarter ending on or
    after that date. The report shall include the information described
    in section 2432(e) of this title and shall be submitted in
    accordance with section 2432(f) of this title.
      (B) Whenever the Secretary makes a determination referred to in
    subparagraph (A) in the case of a major defense acquisition program
    during the second quarter of a fiscal year and before the date on
    which the President transmits the budget for the following fiscal
    year to Congress pursuant to section 1105 of title 31, the
    Secretary is not required to file a Selected Acquisition Report
    under subparagraph (A) but shall include the information described
    in subsection (g) regarding that program in the comprehensive
    annual Selected Acquisition Report submitted in that quarter.
      (2) If the program acquisition unit cost or procurement unit cost
    of a major defense acquisition program (as determined by the
    Secretary under subsection (d)) increases by a percentage equal to
    or greater than the critical cost growth threshold for the program,
    the Secretary of Defense shall - 
        (A) carry out an assessment of - 
          (i) any design, engineering, manufacturing, or technology
        integration issues that contributed significantly to the cost
        growth of the program;
          (ii) the projected cost of completing the program if current
        requirements are not modified;
          (iii) the projected cost of completing the program based on
        reasonable modification of such requirements; and
          (iv) the rough order of magnitude of the costs of any
        reasonable alternative system or capability;

        (B) submit to Congress, before the end of the 60-day period
      beginning on the day the Selected Acquisition Report containing
      the information described in subsection (g) is required to be
      submitted under section 2432(f) of this title, a written
      certification (with a supporting explanation) stating that - 
          (i) such acquisition program is essential to the national
        security;
          (ii) there are no alternatives to such acquisition program
        which will provide equal or greater military capability at less
        cost;
          (iii) the new estimates of the program acquisition unit cost
        or procurement unit cost are reasonable; and
          (iv) the management structure for the acquisition program is
        adequate to manage and control program acquisition unit cost or
        procurement unit cost; and

        (C) if a report under paragraph (1) has been previously
      submitted to Congress with respect to such program for the
      current fiscal year but was based upon a different unit cost
      report from the program manager to the service acquisition
      executive designated by the Secretary concerned, a further report
      containing the information described in subsection (g),
      determined from the time of the previous report to the time of
      the current report.

      (3) If a determination of an increase by a percentage equal to or
    greater than the significant cost growth threshold is made by the
    Secretary under subsection (d) and a Selected Acquisition Report
    containing the information described in subsection (g) is not
    submitted to Congress under paragraph (1), or if a determination of
    an increase by a percentage equal to or greater than the critical
    cost growth threshold is made by the Secretary under subsection (d)
    and the certification of the Secretary of Defense is not submitted
    to Congress under paragraph (2), funds appropriated for military
    construction, for research, development, test, and evaluation, and
    for procurement may not be obligated for a major contract under the
    program. The prohibition on the obligation of funds for a major
    defense acquisition program shall cease to apply at the end of a
    period of 30 days of continuous session of Congress (as determined
    under section 7307(b)(2) of this title) beginning on the date - 
        (A) on which Congress receives the Selected Acquisition Report
      under paragraph (1) or (2)(B) with respect to that program, in
      the case of a determination of an increase by a percentage equal
      to or greater than the significant cost growth threshold (as
      determined in subsection (d)); or
        (B) on which Congress has received both the Selected
      Acquisition Report under paragraph (1) or (2)(B) and the
      certification of the Secretary of Defense under paragraph (2)(A)
      with respect to that program, in the case of an increase by a
      percentage equal to or greater than the critical cost growth
      threshold (as determined under subsection (d)).

      (f) Any determination of a percentage increase under this section
    shall be stated in terms of constant base year dollars (as
    described in section 2430 of this title).
      (g)(1) Except as provided in paragraph (2), each report under
    subsection (e) with respect to a major defense acquisition program
    shall include the following:
        (A) The name of the major defense acquisition program.
        (B) The date of the preparation of the report.
        (C) The program phase as of the date of the preparation of the
      report.
        (D) The estimate of the program acquisition cost for the
      program as shown in the Selected Acquisition Report in which the
      program was first included, expressed in constant base-year
      dollars and in current dollars.
        (E) The current program acquisition cost in constant base-year
      dollars and in current dollars.
        (F) A statement of the reasons for any increase in program
      acquisition unit cost or procurement unit cost.
        (G) The completion status of the program (i) expressed as the
      percentage that the number of years for which funds have been
      appropriated for the program is of the number of years for which
      it is planned that funds will be appropriated for the program,
      and (ii) expressed as the percentage that the amount of funds
      that have been appropriated for the program is of the total
      amount of funds which it is planned will be appropriated for the
      program.
        (H) The fiscal year in which information on the program was
      first included in a Selected Acquisition Report (referred to in
      this paragraph as the "base year") and the date of that Selected
      Acquisition Report in which information on the program was first
      included.
        (I) The type of the Baseline Estimate that was included in the
      baseline description under section 2435 of this title and the
      date of the Baseline Estimate.
        (J) The current change and the total change, in dollars and
      expressed as a percentage, in the program acquisition unit cost,
      stated both in constant base-year dollars and in current dollars.
        (K) The current change and the total change, in dollars and
      expressed as a percentage, in the procurement unit cost, stated
      both in constant base-year dollars and in current dollars and the
      procurement unit cost for the succeeding fiscal year expressed in
      constant base-year dollars and in current year dollars.
        (L) The quantity of end items to be acquired under the program
      and the current change and total change, if any, in that
      quantity.
        (M) The identities of the military and civilian officers
      responsible for program management and cost control of the
      program.
        (N) The action taken and proposed to be taken to control future
      cost growth of the program.
        (O) Any changes made in the performance or schedule milestones
      of the program and the extent to which such changes have
      contributed to the increase in program acquisition unit cost or
      procurement unit cost.
        (P) The following contract performance assessment information
      with respect to each major contract under the program:
          (i) The name of the contractor.
          (ii) The phase that the contract is in at the time of the
        preparation of the report.
          (iii) The percentage of work under the contract that has been
        completed.
          (iv) Any current change and the total change, in dollars and
        expressed as a percentage, in the contract cost.
          (v) The percentage by which the contract is currently ahead
        of or behind schedule.
          (vi) A narrative providing a summary explanation of the most
        significant occurrences, including cost and schedule variances
        under major contracts of the program, contributing to the
        changes identified and a discussion of the effect these
        occurrences will have on future program costs and the program
        schedule.

        (Q) In any case in which one or more problems with the software
      component of the program significantly contributed to the
      increase in program unit costs, the action taken and proposed to
      be taken to solve such problems.

      (2) If a program acquisition unit cost increase or a procurement
    unit cost increase for a major defense acquisition program that
    results in a report under this subsection is due to termination or
    cancellation of the entire program, only the information specified
    in clauses (A) through (F) of paragraph (1) and the percentage
    change in program acquisition unit cost or procurement unit cost
    that resulted in the report need be included in the report. The
    certification of the Secretary of Defense under subsection (e) is
    not required to be submitted for termination or cancellation of a
    program.
      (h) Reporting under this section shall not apply if a program has
    received a limited reporting waiver under section 2432(h) of this
    title.

-SOURCE-
    (Added Pub. L. 97-252, title XI, Sec. 1107(a)(1), Sept. 8, 1982, 96
    Stat. 741, Sec. 139b; amended Pub. L. 98-94, title XII, Sec.
    1268(1), Sept. 24, 1983, 97 Stat. 705; Pub. L. 98-525, title XII,
    Sec. 1242(b), Oct. 19, 1984, 98 Stat. 2607; Pub. L. 99-145, title
    XIII, Sec. 1303(a)(2), Nov. 8, 1985, 99 Stat. 738; renumbered Sec.
    2433 and amended Pub. L. 99-433, title I, Secs. 101(a)(5),
    110(d)(14), (g)(8), Oct. 1, 1986, 100 Stat. 995, 1003, 1004; Pub.
    L. 99-500, Sec. 101(c) [title X, Sec. 961(b)], Oct. 18, 1986, 100
    Stat. 1783-82, 1783-176, and Pub. L. 99-591, Sec. 101(c) [title X,
    Sec. 961(b)], Oct. 30, 1986, 100 Stat. 3341-82, 3341-176; Pub. L.
    99-661, div. A, title IX, formerly title IV, Sec. 961(b), Nov. 14,
    1986, 100 Stat. 3956, renumbered title IX, Pub. L. 100-26, Sec.
    3(5), Apr. 21, 1987, 101 Stat. 273; Pub. L. 100-26, Sec. 7(b)(4),
    (k)(7), Apr. 21, 1987, 101 Stat. 279, 284; Pub. L. 100-180, div. A,
    title XIII, Sec. 1314(a)(1), Dec. 4, 1987, 101 Stat. 1175; Pub. L.
    101-189, div. A, title VIII, Sec. 811(a), Nov. 29, 1989, 103 Stat.
    1490; Pub. L. 101-510, div. A, title XIV, Sec. 1484(k)(10), Nov. 5,
    1990, 104 Stat. 1719; Pub. L. 102-484, div. A, title VIII, Sec.
    817(d), Oct. 23, 1992, 106 Stat. 2456; Pub. L. 103-35, title II,
    Sec. 201(i)(2), May 31, 1993, 107 Stat. 100; Pub. L. 103-355, title
    III, Secs. 3002(a)(2), 3003, Oct. 13, 1994, 108 Stat. 3328, 3329;
    Pub. L. 105-85, div. A, title VIII, Sec. 833, Nov. 18, 1997, 111
    Stat. 1842; Pub. L. 108-375, div. A, title VIII, Sec. 801(a),
    (b)(1), Oct. 28, 2004, 118 Stat. 2004; Pub. L. 109-163, div. A,
    title VIII, Sec. 802(a)-(c), (d)(2), Jan. 6, 2006, 119 Stat. 3367-
    3370; Pub. L. 109-364, div. A, title II, Sec. 213(a), Oct. 17,
    2006, 120 Stat. 2121.)

-COD-
                               CODIFICATION                           
      Pub. L. 99-591 is a corrected version of Pub. L. 99-500.


-MISC1-
                                AMENDMENTS                            
      2006 - Subsec. (a)(4), (5). Pub. L. 109-163, Sec. 802(a), added
    pars. (4) and (5).
      Subsec. (a)(6). Pub. L. 109-163, Sec. 802(d)(2), added par. (6).
      Subsec. (c). Pub. L. 109-163, Sec. 802(b)(1), substituted "cause
    to believe that the program acquisition unit cost for the program
    or the procurement unit cost for the program, as applicable, has
    increased by a percentage equal to or greater than the significant
    cost growth threshold for the program" for "cause to believe - 
        "(1) that the program acquisition unit cost for the program has
      increased by at least 15 percent over the program acquisition
      unit cost for the program as shown in the Baseline Estimate; or
        "(2) in the case of a major defense acquisition program that is
      a procurement program, that the procurement unit cost for the
      program has increased by at least 15 percent over the procurement
      unit cost for the program as reflected in the Baseline Estimate".
      Subsec. (d)(1). Pub. L. 109-163, Sec. 802(b)(2)(A), substituted
    "by a percentage equal to or greater than the significant cost
    growth threshold, or the critical cost growth threshold, for the
    program" for "by at least 15 percent, or by at least 25 percent,
    over the program acquisition unit cost for the program as shown in
    the Baseline Estimate".
      Subsec. (d)(2). Pub. L. 109-163, Sec. 802(b)(2)(B), substituted
    "by a percentage equal to or greater than the significant cost
    growth threshold, or the critical cost growth threshold, for the
    program" for "by at least 15 percent, or by at least 25 percent,
    over the procurement unit cost for the program as reflected in the
    Baseline Estimate".
      Subsec. (d)(3). Pub. L. 109-163, Sec. 802(b)(2)(C), substituted
    "by a percentage equal to or greater than the significant cost
    growth threshold or critical cost growth threshold or that" for "by
    at least 15 percent, or by at least 25 percent, as determined under
    paragraph (1) or that" and "by a percentage equal to or greater
    than the significant cost growth threshold or critical cost growth
    threshold, the Secretary" for "by at least 15 percent, or by at
    least 25 percent, as determined under paragraph (2), the
    Secretary".
      Subsec. (e)(1)(A). Pub. L. 109-163, Sec. 802(b)(3)(A),
    substituted "by a percentage equal to or greater than the
    significant cost growth threshold for the program" for "by at least
    15 percent".
      Subsec. (e)(2). Pub. L. 109-163, Sec. 802(c), redesignated
    subpar. (B) as (C) and substituted "the Secretary of Defense shall -
     ", par. (A) and introductory provisions of par. (B) for "the
    Secretary of Defense shall submit to Congress, before the end of
    the 30-day period beginning on the day the Selected Acquisition
    Report containing the information described in subsection (g) is
    required to be submitted under section 2432(f) of this title - 
        "(A) a written certification, stating that - ".
      Pub. L. 109-163, Sec. 802(b)(3)(B), in introductory provisions,
    struck out "percentage increase in the" before "program
    acquisition" and substituted "increases by a percentage equal to or
    greater than the critical cost growth threshold for the program"
    for "exceeds 25 percent".
      Subsec. (e)(2)(A). Pub. L. 109-364 added cl. (i) and redesignated
    former cls. (i) to (iii) as (ii) to (iv), respectively.
      Subsec. (e)(3). Pub. L. 109-163, Sec. 802(b)(3)(C)(ii),
    substituted "by a percentage equal to or greater than the critical
    cost growth threshold" for "of at least 25 percent" in introductory
    provisions and subpar. (B).
      Pub. L. 109-163, Sec. 802(b)(3)(C)(i), substituted "by a
    percentage equal to or greater than the significant cost growth
    threshold" for "of at least 15 percent" in introductory provisions
    and subpar. (A).
      2004 - Subsec. (b)(5). Pub. L. 108-375, Sec. 801(a), added par.
    (5).
      Subsec. (g)(1)(Q). Pub. L. 108-375, Sec. 801(b)(1), added subpar.
    (Q).
      1997 - Subsec. (c). Pub. L. 105-85, Sec. 833(a), in concluding
    provisions, struck out "during the current fiscal year (other than
    the last quarterly unit cost report under subsection (b) for the
    preceding fiscal year)" after "designated by the Secretary
    concerned".
      Subsec. (c)(1) to (3). Pub. L. 105-85, Sec. 833(b), inserted "or"
    at end of par. (1), struck out "or" at end of par. (2), and struck
    out par. (3), which read as follows: "that cost variances or
    schedule variances of a major contract under the program have
    resulted in an increase in the cost of the contract of at least 15
    percent over the cost of the contract as of the time the contract
    was made;".
      Subsec. (d)(3). Pub. L. 105-85, Sec. 833(c), struck out "(for the
    first time since the beginning of the current fiscal year)" after
    "the Secretary concerned determines".
      1994 - Subsec. (a)(2). Pub. L. 103-355, Sec. 3003(a)(1)(A),
    substituted "Baseline Estimate" for "Baseline Selected Acquisition
    Report" and "cost estimate included in the baseline description for
    the program under section 2435 of this title." for "Selected
    Acquisition Report in which information on the program is first
    included or the comprehensive annual Selected Acquisition Report
    for the fiscal year immediately before the fiscal year containing
    the quarter with respect to which the unit cost report is
    submitted, whichever is later."
      Subsec. (a)(4). Pub. L. 103-355, Sec. 3003(a)(1)(B), struck out
    par. (4) which defined "Baseline Report".
      Subsec. (b)(3). Pub. L. 103-355, Sec. 3003(b), substituted
    "contract was entered into" for "Baseline Report was submitted".
      Subsec. (c). Pub. L. 103-355, Secs. 3002(a)(2)(A), 3003(a)(2)(A),
    (c), struck out par. (1) designation and par. (2), redesignated
    subpars. (A) to (C) as pars. (1) to (3), respectively, substituted
    "Baseline Estimate" for "Baseline Report" in pars. (1) and (2), and
    struck out "current" before "procurement unit cost" in par. (2).
    Prior to amendment, former par. (2) related to submission of unit
    cost reports by major defense acquisition program manager to
    service acquisition executive designated by Secretary of Defense in
    certain circumstances.
      Subsec. (d)(1). Pub. L. 103-355, Sec. 3003(a)(2)(B), substituted
    "Baseline Estimate" for "Baseline Report".
      Subsec. (d)(2). Pub. L. 103-355, Secs. 3002(a)(2)(B),
    3003(a)(2)(B), struck out "current" before "procurement unit cost"
    and substituted "Baseline Estimate" for "Baseline Report".
      Subsec. (d)(3). Pub. L. 103-355, Sec. 3002(a)(2)(B), struck out
    "current" before "procurement unit cost".
      Subsec. (e)(1)(A), (2). Pub. L. 103-355, Sec. 3002(a)(2)(C),
    struck out "current" before "procurement unit cost".
      Subsec. (f). Pub. L. 103-355, Sec. 3003(d), substituted "be
    stated in terms of constant base year dollars (as described in
    section 2430 of this title)" for "include expected inflation".
      Subsec. (g)(1)(I). Pub. L. 103-355, Sec. 3003(e), amended subpar.
    (I) generally. Prior to amendment, subpar. (I) read as follows:
    "The type of the Baseline Report (under subsection (a)(4)) and the
    date of the Baseline Report."
      1993 - Subsec. (e)(3). Pub. L. 103-35 substituted "an increase of
    at least 15 percent" for "a at least 15 percent increase" in
    introductory provisions and in subpar. (A), and substituted "an
    increase of at least 25 percent" for "a at least 25 percent
    increase" in introductory provisions and in subpar. (B).
      1992 - Subsec. (a)(4)(C). Pub. L. 102-484, Sec. 817(d)(1),
    substituted "(e)(2)(B)" for "(e)(2)(B)(ii)".
      Subsec. (b). Pub. L. 102-484, Sec. 817(d)(2), substituted "30
    calendar days" for "7 days (excluding Saturdays, Sundays, and legal
    public holidays)" in second sentence.
      Subsec. (c)(1)(A), (B), (2)(A), (B). Pub. L. 102-484, Sec.
    817(d)(3), substituted "at least" for "more than".
      Subsec. (d)(1), (2). Pub. L. 102-484, Sec. 817(d)(4)(A),
    substituted "at least" for "more than" wherever appearing.
      Subsec. (d)(3). Pub. L. 102-484, Sec. 817(d)(4)(B), substituted
    "at least" for "more than" wherever appearing and "program. In the
    case of a determination based on a quarterly report submitted in
    accordance with subsection (b), the Secretary shall submit the
    notification to Congress within 45 days after the end of the
    quarter. In the case of a determination based on a report submitted
    in accordance with subsection (c), the Secretary shall submit the
    notification to Congress within 45 days after the date of that
    report. The Secretary shall include in the notification the date on
    which the determination was made." for "program within 30 days
    after the date on which the service acquisition executive reports
    his determination of such increase in such unit cost to the
    Secretary and shall include in such notification the date on which
    the determination was made."
      Subsec. (e)(1)(A). Pub. L. 102-484, Sec. 817(d)(5)(A), added
    subpar. (A) and struck out former subpar. (A) which read as
    follows: "Except as provided in subparagraph (B), whenever the
    Secretary concerned determines under subsection (d) that the
    current program acquisition cost of a major defense acquisition
    program has increased by more than 15 percent, a Selected
    Acquisition Report shall be submitted to Congress for the first
    fiscal-year quarter ending on or after the date of the
    determination and such report shall include the information
    described in section 2432(e) of this title. The report shall be
    submitted within 45 days after the end of that quarter."
      Subsec. (e)(2). Pub. L. 102-484, Sec. 817(d)(5)(B), substituted
    "program acquisition unit cost or current procurement unit cost"
    for "current program acquisition cost".
      Subsec. (e)(3). Pub. L. 102-484, Sec. 817(d)(5)(C), substituted
    "at least" for "more than" wherever appearing.
      1990 - Subsec. (c). Pub. L. 101-510 struck out "the" before "such
    service acquisition executive" wherever appearing.
      1989 - Subsec. (a)(2). Pub. L. 101-189, Sec. 811(a)(1)(A),
    inserted "the service acquisition executive designated by" before
    "the Secretary concerned".
      Subsec. (a)(4). Pub. L. 101-189, Sec. 811(a)(1)(B)(i), inserted
    "the service acquisition executive designated by" before "the
    Secretary concerned" in introductory provisions.
      Subsec. (a)(4)(A). Pub. L. 101-189, Sec. 811(a)(1)(B)(ii),
    substituted "Selected Acquisition Report submitted under subsection
    (e)(2)(B) that includes information on" for "unit cost report
    submitted under subsection (e)(2)(B)(ii) with respect to".
      Subsec. (a)(4)(B). Pub. L. 101-189, Sec. 811(a)(1)(B)(iii),
    substituted "subsection (e)(2)(B) with respect to the program
    during that three-quarter period, the most recent Selected
    Acquisition Report submitted under subsection (e)(1) that includes
    information on the program" for "subsection (e)(2)(B)(ii) with
    respect to the program during that three-quarter period, the most
    recent unit cost report submitted under subsection (e)(1) with
    respect to the program".
      Subsec. (b). Pub. L. 101-189, Sec. 811(a)(2)(A), amended
    introductory provisions generally. Prior to amendment, introductory
    provisions read as follows: "The program manager for a defense
    acquisition program that as of the end of a fiscal-year quarter is
    a major defense acquisition program (other than a program not
    required to be included in the Selected Acquisition Report for that
    quarter under section 2432(b)(3) of this title) shall, after the
    end of that quarter, submit to the Secretary concerned a written
    report on the unit costs of the program. Each report for the first
    quarter of a fiscal year shall be submitted not more than 7 days
    (excluding Saturdays, Sundays, and legal public holidays) after the
    date on which the President transmits the Budget to Congress for
    the following fiscal year, and each report for other quarters shall
    be submitted not more than 7 days (excluding Saturdays, Sundays,
    and legal public holidays) after the end of that quarter. The
    program manager shall include in each such unit cost report the
    following information with respect to the program (as of the last
    day of the quarter for which the report is made):".
      Subsec. (b)(4). Pub. L. 101-189, Sec. 811(a)(2)(B), substituted
    "description established under section 2435 of this title" for
    "Selected Acquisition Report".
      Subsec. (c)(1). Pub. L. 101-189, Sec. 811(a)(3)(A), in
    introductory provisions, struck out "fiscal-year" after "time
    during a", and in concluding provisions, inserted "the service
    acquisition executive designated by" before "the Secretary
    concerned during" and substituted "(other than the last quarterly
    unit cost report under subsection (b) for the preceding fiscal
    year)" for "(other than the unit cost report under subsection (b)
    for the last quarter of the preceding fiscal year)" and "such
    service acquisition executive a unit" for "Secretary concerned a
    unit".
      Subsec. (c)(2). Pub. L. 101-189, Sec. 811(a)(3)(B), in
    introductory provisions, inserted "the service acquisition
    executive designated by" before "the Secretary concerned a unit"
    and substituted "(other than the last quarterly unit cost report
    under subsection (b) for the preceding fiscal year)" for "(other
    than the unit cost report under subsection (b) for the last quarter
    of the preceding fiscal year)", and in cls. (A), (B), and (C), and
    concluding provisions, substituted "such service acquisition
    executive" for "Secretary concerned".
      Subsec. (d)(1). Pub. L. 101-189, Sec. 811(a)(4)(A), inserted "the
    service acquisition executive designated by" before "the Secretary
    concerned" and substituted "service acquisition executive shall
    determine" for "Secretary shall determine".
      Subsec. (d)(2). Pub. L. 101-189, Sec. 811(a)(4)(B), inserted "the
    service acquisition executive designated by" before "the Secretary
    concerned under" and substituted "service acquisition executive, in
    addition to the determination under paragraph (1), shall determine"
    for "Secretary concerned shall, in addition to the determination
    under paragraph (1), determine".
      Subsec. (d)(3). Pub. L. 101-189, Sec. 811(a)(4)(C), substituted
    par. (3) consisting of a single par., for former par. (3)
    consisting of subpars. (A) and (B).
      Subsec. (e)(1), (2). Pub. L. 101-189, Sec. 811(a)(5)(A), added
    pars. (1) and (2) and struck out former pars. (1) and (2) which
    contained exceptions to the prohibitions in subsec. (d)(3)(B)(i)
    and (ii).
      Subsec. (e)(3). Pub. L. 101-189, Sec. 811(a)(5)(B), in
    introductory provisions, inserted "If a determination of a more
    than 15 percent increase is made by the Secretary under subsection
    (d) and a Selected Acquisition Report containing the information
    described in subsection (g) is not submitted to Congress under
    paragraph (1), or if a determination of a more than 25 percent
    increase is made by the Secretary under subsection (d) and the
    certification of the Secretary of Defense is not submitted to
    Congress under paragraph (2), funds appropriated for military
    construction, for research, development, test, and evaluation, and
    for procurement may not be obligated for a major contract under the
    program." and struck out "in subsection (d)(3)(B)" after
    "prohibition", in subpar. (A), substituted "Selected Acquisition
    Report" for "report of the Secretary concerned" and "(2)(B)" for
    "(2)(B)(ii)", and in subpar. (B), substituted "Selected Acquisition
    Report" for "report of the Secretary concerned", "(2)(B)" for
    "(2)(B)(ii)", and "(2)(A)" for "(2)(B)(i)".
      Subsec. (g)(2). Pub. L. 101-189, Sec. 811(a)(6), inserted at end
    "The certification of the Secretary of Defense under subsection (e)
    is not required to be submitted for termination or cancellation of
    a program."
      1987 - Pub. L. 100-180 made technical amendment to directory
    language of Pub. L. 99-433, Sec. 101(a)(5). See 1986 Amendment note
    below.
      Subsec. (a)(1). Pub. L. 100-26, Sec. 7(b)(4), substituted "(1)
    The terms 'program' " for "(1) 'Major defense acquisition program',
    'program' ".
      Subsec. (a)(2). Pub. L. 100-26, Sec. 7(k)(7)(A), inserted "The
    term" after par. designation.
      Subsec. (a)(3). Pub. L. 100-26, Sec. 7(k)(7)(B), substituted "The
    term 'procurement' " for " 'Procurement' ".
      Subsec. (a)(4). Pub. L. 100-26, Sec. 7(k)(7)(A), inserted "The
    term" after par. designation.
      1986 - Pub. L. 99-433, Sec. 101(a)(5), as amended by Pub. L. 100-
    180, Sec. 1314(a)(1), renumbered section 139b of this title as
    this section.
      Pub. L. 99-433, Sec. 110(d)(14), substituted "Unit cost reports"
    for "Oversight of cost growth of major programs: unit cost reports"
    in section catchline.
      Subsec. (a)(1). Pub. L. 99-433, Sec. 110(g)(8)(A), substituted
    "section 2432(a)" for "section 139a(a)".
      Subsec. (b). Pub. L. 99-500 and Pub. L. 99-591, Sec. 101(c) [Sec.
    961(b)(1)], Pub. L. 99-661, Sec. 961(b)(1), amended subsec. (b)
    identically, inserting "(excluding Saturdays, Sundays, and legal
    public holidays)" in two places in second sentence.
      Pub. L. 99-433, Sec. 110(g)(8)(B), substituted "section
    2432(b)(3)" for "section 139a(b)(3)" in first sentence.
      Subsec. (h). Pub. L. 99-500 and Pub. L. 99-591, Sec. 101(c) [Sec.
    961(b)(2)], Pub. L. 99-661, Sec. 961(b)(2), amended section
    identically, adding subsec. (h).
      1985 - Subsec. (d)(3)(B)(i). Pub. L. 99-145 inserted "percent"
    after "15".
      1984 - Subsec. (a)(4). Pub. L. 98-525, Sec. 1242(b)(1), added
    par. (4).
      Subsec. (b). Pub. L. 98-525, Sec. 1242(b)(2)(A), (B), struck out
    "not more than 7 days" before "after the end of that quarter" and
    inserted "Each report for the first quarter of a fiscal year shall
    be submitted not more than 7 days after the date on which the
    President transmits the Budget to Congress for the following fiscal
    year, and each report for other quarters shall be submitted not
    more than 7 days after the end of that quarter."
      Subsec. (b)(3). Pub. L. 98-525, Sec. 1242(b)(2)(C), substituted
    "Baseline Report" for "baseline Selected Acquisition Report".
      Subsec. (c)(1)(A), (B). Pub. L. 98-525, Sec. 1242(b)(3),
    substituted "Baseline Report" for "baseline Selected Acquisition
    Report".
      Subsec. (d)(1), (2). Pub. L. 98-525, Sec. 1242(b)(4)(A),
    substituted "Baseline Report" for "baseline Selected Acquisition
    Report".
      Subsec. (d)(3)(B). Pub. L. 98-525, Sec. 1242(b)(4)(B)(i),
    substituted "funds appropriated for military construction, for
    research, development, test, and evaluation, and for procurement
    may not be obligated for a major contract under the program" for
    "additional funds may not be obligated in connection with such
    program".
      Subsec. (d)(3)(B)(i). Pub. L. 98-525, Sec. 1242(b)(4)(B)(ii),
    struck out "but less than 25 percent" after "more than 15".
      Subsec. (e)(1). Pub. L. 98-525, Sec. 1242(b)(5)(A), substituted
    "subsection (d)(3)(B)(i)" for "subsection (d)(3)(B)" and inserted
    "more than" before "15 percent".
      Subsec. (e)(2). Pub. L. 98-525, Sec. 1242(b)(5)(B), substituted
    "subsection (d)(3)(B)(ii)" for "subsection (d)(3)(B)" and inserted
    "more than" before "25 percent".
      Subsec. (e)(2)(A). Pub. L. 98-525, Sec. 1242(b)(5)(B)(iii),
    inserted "and the Secretary concerned submits to Congress, before
    the end of the 30-day period referred to in subsection
    (d)(3)(B)(i), a report containing the information described in
    subsection (g)".
      Subsec. (e)(2)(B). Pub. L. 98-525, Sec. 1242(b)(5)(B)(iv),
    substituted "subsection (d)(3)(B)(ii)" for "such subsection".
      Subsec. (e)(3). Pub. L. 98-525, Sec. 1242(b)(5)(C), substituted
    "at the end of a period of 30 days of continuous session of
    Congress (as determined under section 7307(b)(2) of this title)
    beginning on the date - 
        "(A) on which Congress receives the report of the Secretary
      concerned under paragraph (1) or (2)(B)(ii) with respect to that
      program, in the case of a determination of a more than 15 percent
      increase (as determined in subsection (d)); or
        "(B) on which Congress has received both the report of the
      Secretary concerned under paragraph (1) or (2)(B)(ii) and the
      certification of the Secretary of Defense under paragraph
      (2)(B)(i) with respect to that program, in the case of a more
      than 25 percent increase (as determined under subsection (d)).",
    for "in the case of a program to which it would otherwise apply if,
    after such prohibition has taken effect, the Committees on Armed
    Services of the Senate and House of Representatives waive the
    prohibition with respect to such program."
      Subsec. (g)(1)(I). Pub. L. 98-525, Sec. 1242(b)(6)(A),
    substituted "The type of the Baseline Report (under subsection
    (a)(4)) and the date of the Baseline Report" for "The date of the
    baseline Selected Acquisition Report".
      Subsec. (g)(1)(K). Pub. L. 98-525, Sec. 1242(b)(6)(B), required
    the report to include the procurement unit cost for the succeeding
    fiscal year expressed in constant base-year dollars and in current
    year dollars.
      1983 - Subsec. (g)(2). Pub. L. 98-94 substituted "procurement"
    for "procurment".

                     EFFECTIVE DATE OF 2006 AMENDMENT                 
      Pub. L. 109-163, div. A, title VIII, Sec. 802(e), Jan. 6, 2006,
    119 Stat. 3370, provided that:
      "(1) In general. - The amendments made by this section [amending
    this section and section 2435 of this title] shall take effect on
    the date of the enactment of this Act [Jan. 6, 2006], and shall
    apply with respect to any major defense acquisition program for
    which an original Baseline Estimate is first established before,
    on, or after that date.
      "(2) Applicability to current major defense acquisition programs.
    - In the case of a major defense acquisition program for which the
    program acquisition unit cost or procurement unit cost, as
    applicable, exceeds the original Baseline Estimate for the program
    by more than 50 percent on the date of the enactment of this Act - 
        "(A) the current Baseline Estimate for the program as of such
      date of enactment is deemed to be the original Baseline Estimate
      for the program for purposes of section 2433 of title 10, United
      States Code (as amended by this section); and
        "(B) each Selected Acquisition Report submitted on the program
      after the date of the enactment of this Act shall reflect each of
      the following:
          "(i) The original Baseline Estimate, as first established for
        the program, without adjustment or revision.
          "(ii) The Baseline Estimate for the program that is deemed to
        be the original Baseline Estimate for the program under
        subparagraph (A).
          "(iii) The current original Baseline Estimate for the program
        as adjusted or revised, if at all, in accordance with
        subsection (d)(2) of section 2435 of title 10, United States
        Code (as added by subsection (d) of this section)."

                      EFFECTIVE DATE OF 2004 AMENDMENT                 
      Amendment by Pub. L. 108-375 effective on the date occurring 60
    days after Oct. 28, 2004, and applicable with respect to reports
    due to be submitted to Congress on or after that date, see section
    801(c) of Pub. L. 108-375, set out as a note under section 2432 of
    this title.

                     EFFECTIVE DATE OF 1987 AMENDMENT                 
      Amendment by Pub. L. 100-180 applicable as if included in
    enactment of the Goldwater-Nichols Department of Defense
    Reorganization Act of 1986, Pub. L. 99-433, see section 1314(e) of
    Pub. L. 100-180, set out as a note under section 743 of this title.

                     EFFECTIVE DATE OF 1986 AMENDMENT                 
      Amendment by Pub. L. 99-500, Pub. L. 99-591, and Pub. L. 99-661
    effective Jan. 1, 1987, see section 101(c) [Sec. 961(c)] of Pub. L.
    99-500 and Pub. L. 99-591, and section 961(c) of Pub. L. 99-661,
    set out as a note under section 2432 of this title.

                              EFFECTIVE DATE                          
      Section effective Jan. 1, 1983, and applicable beginning with
    respect to reports for first quarter of fiscal year 1983, see
    section 1107(c) of Pub. L. 97-252, set out as a note under section
    2432 of this title.

-End-



-CITE-
    10 USC Sec. 2434                                            01/03/2007

-EXPCITE-
    TITLE 10 - ARMED FORCES
    Subtitle A - General Military Law
    PART IV - SERVICE, SUPPLY, AND PROCUREMENT
    CHAPTER 144 - MAJOR DEFENSE ACQUISITION PROGRAMS

-HEAD-
    Sec. 2434. Independent cost estimates; operational manpower
      requirements

-STATUTE-
      (a) Requirement for Approval. - The Secretary of Defense may not
    approve the system development and demonstration, or the production
    and deployment, of a major defense acquisition program unless an
    independent estimate of the full life-cycle cost of the program and
    a manpower estimate for the program have been considered by the
    Secretary.
      (b) Regulations. - The Secretary of Defense shall prescribe
    regulations governing the content and submission of the estimates
    required by subsection (a). The regulations shall require - 
        (1) that the independent estimate of the full life-cycle cost
      of a program - 
          (A) be prepared - 
            (i) by an office or other entity that is not under the
          supervision, direction, or control of the military
          department, Defense Agency, or other component of the
          Department of Defense that is directly responsible for
          carrying out the development or acquisition of the program;
          or
            (ii) if the decision authority for the program has been
          delegated to an official of a military department, Defense
          Agency, or other component of the Department of Defense, by
          an office or other entity that is not directly responsible
          for carrying out the development or acquisition of the
          program; and

          (B) include all costs of development, procurement, military
        construction, and operations and support, without regard to
        funding source or management control; and

        (2) that the manpower estimate include an estimate of the total
      number of personnel required - 
          (A) to operate, maintain, and support the program upon full
        operational deployment; and
          (B) to train personnel to carry out the activities referred
        to in subparagraph (A).

-SOURCE-
    (Added Pub. L. 98-94, title XII, Sec. 1203(a)(1), Sept. 24, 1983,
    97 Stat. 682, Sec. 139c; renumbered Sec. 2434 and amended Pub. L.
    99-433, title I, Secs. 101(a)(5), 110(d)(15), (g)(9), Oct. 1, 1986,
    100 Stat. 995, 1003, 1004; Pub. L. 99-661, div. A, title XII, Sec.
    1208(a)-(c)(1), Nov. 14, 1986, 100 Stat. 3975; Pub. L. 100-26, Sec.
    7(b)(5), Apr. 21, 1987, 101 Stat. 279; Pub. L. 100-180, div. A,
    title XIII, Sec. 1314(a)(1), Dec. 4, 1987, 101 Stat. 1175; Pub. L.
    100-456, div. A, title V, Sec. 525, Sept. 29, 1988, 102 Stat. 1975;
    Pub. L. 102-190, div. A, title VIII, Sec. 801(a), (b)(1), Dec. 5,
    1991, 105 Stat. 1412; Pub. L. 103-355, title III, Sec. 3004, Oct.
    13, 1994, 108 Stat. 3330; Pub. L. 104-106, div. A, title VIII, Sec.
    814, Feb. 10, 1996, 110 Stat. 395; Pub. L. 107-107, div. A, title
    VIII, Sec. 821(a), Dec. 28, 2001, 115 Stat. 1181.)


-MISC1-
                                AMENDMENTS                            
      2001 - Subsec. (a). Pub. L. 107-107 substituted "system
    development and demonstration" for "engineering and manufacturing
    development".
      1996 - Subsec. (b)(1)(A). Pub. L. 104-106 amended subpar. (A)
    generally. Prior to amendment, subpar. (A) read as follows: "be
    prepared by an office or other entity that is not under the
    supervision, direction, or control of the military department,
    Defense Agency, or other component of the Department of Defense
    that is directly responsible for carrying out the development or
    acquisition of the program; and".
      1994 - Subsec. (a). Pub. L. 103-355, Sec. 3004(b), substituted
    "engineering and manufacturing development" for "full-scale
    engineering development" and "full life-cycle cost of the program
    and a manpower estimate for the program have" for "cost of the
    program, together with a manpower estimate, has".
      Subsec. (b). Pub. L. 103-355, Sec. 3004(a), amended subsec. (b)
    generally. Prior to amendment, subsec. (b) defined "independent
    estimate", "cost of the program", and "manpower estimate".
      1991 - Subsec. (a). Pub. L. 102-190, Sec. 801(a), substituted
    "unless an independent estimate of the cost of the program,
    together with a manpower estimate, has been considered by the
    Secretary." for "unless - 
        "(1) an independent estimate of the cost of the program is
      first submitted to (and considered by) the Secretary; and
        "(2) the Secretary submits a manpower estimate of the program
      to the Committees on Armed Services of the Senate and the House
      of Representatives at least 30 days in advance of such approval."
      Subsecs. (b), (c). Pub. L. 102-190, Sec. 801(b)(1), redesignated
    subsec. (c) as (b) and struck out former subsec. (b) which read as
    follows:
      "(b) Exceptions. - (1) Subsection (a)(2) shall not apply during
    time of war or during a national emergency declared by Congress or
    the President.
      "(2) The 30-day period specified in subsection (a)(2) shall be
    reduced to 10 days in the case of a major defense acquisition
    program if the manpower estimate submitted by the Secretary of
    Defense under subsection (a)(2) with respect to that program
    indicates that no increase in military or civilian personnel end
    strengths described in subsection (c)(3)(B) will be required."
      1988 - Subsec. (a)(2). Pub. L. 100-456, Sec. 525(1), substituted
    "30 days" for "90 days".
      Subsec. (b). Pub. L. 100-456, Sec. 525(3), added subsec. (b).
    Former subsec. (b) redesignated (c).
      Subsec. (c). Pub. L. 100-456, Sec. 525(2), redesignated subsec.
    (b) as (c), and in par. (3)(A), substituted "in total personnel or
    in" for "both in total personnel and".
      1987 - Pub. L. 100-180 made technical amendment to directory
    language of Pub. L. 99-433, Sec. 101(a)(5). See 1986 Amendment note
    below.
      Subsec. (b). Pub. L. 100-26 redesignated pars. (2) to (4) as (1)
    to (3), respectively, and struck out former par. (1) which defined
    "major defense acquisition program".
      1986 - Pub. L. 99-433, Sec. 101(a)(5), as amended by Pub. L. 100-
    180, Sec. 1314(a)(1), renumbered section 139c of this title as
    this section.
      Pub. L. 99-661, Sec. 1208(c)(1), substituted "Independent cost
    estimates; operational manpower requirements" for "Independent cost
    estimates" in section catchline.
      Pub. L. 99-433, Sec. 110(d)(15), substituted "Independent cost
    estimates" for "Major defense acquisition programs: independent
    cost estimates" in section catchline.
      Subsec. (a). Pub. L. 99-661, Sec. 1208(a), inserted heading,
    designated existing provisions as par. (1), and added par. (2).
      Subsec. (b). Pub. L. 99-661, Sec. 1208(b)(1), inserted heading.
      Subsec. (b)(1). Pub. L. 99-661, Sec. 1208(b)(2), substituted "The
    term 'Major" for " 'Major".
      Pub. L. 99-433, Sec. 110(g)(9), substituted "section 2432(a)(1)"
    for "section 139a(a)(1)".
      Subsec. (b)(2). Pub. L. 99-661, Sec. 1208(b)(3), substituted "The
    term 'independent" for " 'Independent".
      Subsec. (b)(3). Pub. L. 99-661, Sec. 1208(b)(4), substituted "The
    term 'cost" for " 'Cost".
      Subsec. (b)(4). Pub. L. 99-661, Sec. 1208(b)(5), added par. (4).

                     EFFECTIVE DATE OF 1987 AMENDMENT                 
      Amendment by Pub. L. 100-180 applicable as if included in
    enactment of the Goldwater-Nichols Department of Defense
    Reorganization Act of 1986, Pub. L. 99-433, see section 1314(e) of
    Pub. L. 100-180, set out as a note under section 743 of this title.

                     EFFECTIVE DATE OF 1986 AMENDMENT                 
      Section 1208(d) of Pub. L. 99-661 provided that: "The amendments
    made by this section [amending this section] shall apply to
    approvals of full-scale engineering development and to approvals of
    production and deployment of major defense acquisition programs
    made after December 31, 1986."

                              EFFECTIVE DATE                          
      Section 1203(b) of Pub. L. 98-94 provided that: "Section 139c
    [now 2434] of title 10, United States Code, as added by subsection
    (a), shall take effect on October 1, 1983."

        REPORT TO CONGRESS ON USE OF INDEPENDENT COST ESTIMATES IN
     PLANNING, PROGRAMING, BUDGETING, AND SELECTION FOR MAJOR DEFENSE
                           ACQUISITION PROGRAMS
      Pub. L. 99-145, title IX, Sec. 952, Nov. 8, 1985, 99 Stat. 701,
    directed Secretary of Defense, not later than Apr. 1, 1986, to
    submit to Congress a report on the continued use of independent
    cost estimates in the planning, programing, budgeting, and
    selection process for major defense acquisition programs of the
    Department.
      Section 1203(c) of Pub. L. 98-94 directed Secretary of Defense,
    not later than May 1, 1984, to submit a written report to Congress
    on use of independent cost estimates in planning, programing,
    budgeting, and selection process for major defense acquisition
    programs in Department, such report to include an overall
    assessment of extent to which such estimates were adopted by
    Department in making decisions on the FY 1985 budget and a general
    explanation of why such estimates might have been modified or
    rejected, and a discussion of current and future initiatives to
    make greater or more productive use of independent cost estimates
    in the Department.

        ALLOCATION OF ADEQUATE PERSONNEL AND FINANCIAL RESOURCES IN
          DEVELOPING OR ASSESSING INDEPENDENT ESTIMATES OF COSTS
      Section 1203(d) of Pub. L. 98-94 provided that: "It is the sense
    of the Congress that the Secretary of Defense should ensure that
    adequate personnel and financial resources are allocated at all
    levels of the Department of Defense to those organizations or
    offices charged with developing or assessing independent estimates
    of the costs of major defense acquisition programs."

-End-



-CITE-
    10 USC Sec. 2435                                            01/03/2007

-EXPCITE-
    TITLE 10 - ARMED FORCES
    Subtitle A - General Military Law
    PART IV - SERVICE, SUPPLY, AND PROCUREMENT
    CHAPTER 144 - MAJOR DEFENSE ACQUISITION PROGRAMS

-HEAD-
    Sec. 2435. Baseline description

-STATUTE-
      (a) Baseline Description Requirement. - (1) The Secretary of a
    military department shall establish a baseline description for each
    major defense acquisition program under the jurisdiction of such
    Secretary.
      (2) The baseline shall include sufficient parameters to describe
    the cost estimate (referred to as the "Baseline Estimate" in
    section 2433 of this title), schedule, performance, supportability,
    and any other factor of such major defense acquisition program.
      (b) Funding Limit. - No amount appropriated or otherwise made
    available to the Department of Defense for carrying out a major
    defense acquisition program may be obligated after the program
    enters system development and demonstration without an approved
    baseline description unless such obligation is specifically
    approved by the Under Secretary of Defense for Acquisition,
    Technology, and Logistics.
      (c) Schedule. - A baseline description for a major defense
    acquisition program shall be prepared under this section - 
        (1) before the program enters system development and
      demonstration;
        (2) before the program enters production and deployment; and
        (3) before the program enters full rate production.

      (d) Original Baseline Estimate. - (1) In this chapter, the term
    "original Baseline Estimate", with respect to a major defense
    acquisition program, means the baseline description established
    with respect to the program under subsection (a) prepared before
    the program enters system development and demonstration, or at
    program initiation, whichever occurs later, without adjustment or
    revision (except as provided in paragraph (2)).
      (2) An adjustment or revision of the original baseline
    description of a major defense acquisition program may be treated
    as the original Baseline Estimate for the program for purposes of
    this chapter only if the percentage increase in the program
    acquisition unit cost or procurement unit cost under such
    adjustment or revision exceeds the critical cost growth threshold
    for the program under section 2433 of this title, as determined by
    the Secretary of the military department concerned under subsection
    (d) of such section.
      (3) In the event of an adjustment or revision of the original
    baseline description of a major defense acquisition program, the
    Secretary of Defense shall include in the next Selected Acquisition
    Report to be submitted under section 2432 of this title after such
    adjustment or revision a notification to the congressional defense
    committees of such adjustment or revision, together with the
    reasons for such adjustment or revision.
      (e) Regulations. - The Secretary of Defense shall prescribe
    regulations governing the following:
        (1) The content of baseline descriptions under this section.
        (2) The submission to the Secretary of the military department
      concerned and the Under Secretary of Defense for Acquisition,
      Technology, and Logistics by the program manager for a program
      for which there is an approved baseline description under this
      section of reports of deviations from the baseline of the cost,
      schedule, performance, supportability, or any other factor of the
      program.
        (3) Procedures for review of such deviation reports within the
      Department of Defense.
        (4) Procedures for submission to, and approval by, the
      Secretary of Defense of revised baseline descriptions.

-SOURCE-
    (Added Pub. L. 99-500, Sec. 101(c) [title X, Sec. 904(a)(1)], Oct.
    18, 1986, 100 Stat. 1783-82, 1783-133, and Pub. L. 99-591, Sec.
    101(c) [title X, Sec. 904(a)(1)], Oct. 30, 1986, 100 Stat. 3341-82,
    3341-133; Pub. L. 99-661, div. A, title IX, formerly title IV, Sec.
    904(a)(1), Nov. 14, 1986, 100 Stat. 3912, renumbered title IX, Pub.
    L. 100-26, Sec. 3(5), Apr. 21, 1987, 101 Stat. 273; amended Pub. L.
    100-26, Sec. 7(b)(6), Apr. 21, 1987, 101 Stat. 280; Pub. L. 100-
    180, div. A, title VIII, Sec. 803(a), Dec. 4, 1987, 101 Stat.
    1125; Pub. L. 100-370, Sec. 1(i)(1), July 19, 1988, 102 Stat. 848;
    Pub. L. 100-456, div. A, title XII, Sec. 1233(l)(4), Sept. 29,
    1988, 102 Stat. 2058; Pub. L. 101-189, div. A, title VIII, Sec.
    811(b), Nov. 29, 1989, 103 Stat. 1493; Pub. L. 101-510, div. A,
    title XII, Sec. 1207(b), title XIV, Sec. 1484(k)(11), Nov. 5, 1990,
    104 Stat. 1665, 1719; Pub. L. 103-160, div. A, title IX, Sec.
    904(d)(1), Nov. 30, 1993, 107 Stat. 1728; Pub. L. 103-355, title
    III, Sec. 3005(a), Oct. 13, 1994, 108 Stat. 3330; Pub. L. 107-107,
    div. A, title VIII, Sec. 821(d), title X, Sec. 1048(b)(2), Dec. 28,
    2001, 115 Stat. 1182, 1225; Pub. L. 109-163, div. A, title VIII,
    Sec. 802(d)(1), Jan. 6, 2006, 119 Stat. 3369; Pub. L. 109-364, div.
    A, title VIII, Sec. 806, Oct. 17, 2006, 120 Stat. 2315.)


-MISC1-
                       HISTORICAL AND REVISION NOTES                   

                                 1988 ACT                             
      Subsection (c) is based on Pub. L. 98-525, title XII, Sec. 1243,
    Oct. 19, 1984, 98 Stat. 2609, as amended by Pub. L. 100-26, Sec.
    110(a)(1), Apr. 21, 1987, 101 Stat. 288.

-COD-
                               CODIFICATION                           
      Pub. L. 99-591 is a corrected version of Pub. L. 99-500.
      Pub. L. 99-500, Pub. L. 99-591, and Pub. L. 99-661 added
    identical sections.


-MISC2-
                                AMENDMENTS                            
      2006 - Subsec. (d). Pub. L. 109-163 added subsec. (d). Former
    subsec. (d) redesignated (e).
      Subsec. (d)(1). Pub. L. 109-364 inserted "prepared before the
    program enters system development and demonstration, or at program
    initiation, whichever occurs later" after "program under subsection
    (a)".
      Subsec. (e). Pub. L. 109-163 redesignated subsec. (d) as (e).
      2001 - Subsec. (b). Pub. L. 107-107, Secs. 821(d)(1), 1048(b)(2),
    substituted "system development and demonstration" for "engineering
    and manufacturing development" and "Under Secretary of Defense for
    Acquisition, Technology, and Logistics" for "Under Secretary of
    Defense for Acquisition and Technology".
      Subsec. (c)(1). Pub. L. 107-107, Sec. 821(d)(2)(A), substituted
    "system development and demonstration" for "demonstration and
    validation".
      Subsec. (c)(2). Pub. L. 107-107, Sec. 821(d)(2)(B), substituted
    "production and deployment" for "engineering and manufacturing
    development".
      Subsec. (c)(3). Pub. L. 107-107, Sec. 821(d)(2)(C), substituted
    "full rate production" for "production and deployment".
      Subsec. (d)(2). Pub. L. 107-107, Sec. 1048(b)(2), substituted
    "Under Secretary of Defense for Acquisition, Technology, and
    Logistics" for "Under Secretary of Defense for Acquisition and
    Technology".
      1994 - Pub. L. 103-355 amended section generally. Prior to
    amendment, section related to enhanced program stability.
      1993 - Subsec. (b)(2)(B). Pub. L. 103-160 substituted "Under
    Secretary of Defense for Acquisition and Technology" for "Under
    Secretary of Defense for Acquisition".
      1990 - Subsec. (b)(1). Pub. L. 101-510, Sec. 1484(k)(11), struck
    out closing parenthesis after "such Secretary" in introductory
    provisions.
      Subsec. (c). Pub. L. 101-510, Sec. 1207(b), struck out subsec.
    (c) which read as follows: "Stability of Program Managers. - (1)
    The tour of duty of an officer of the armed forces as a program
    manager of a major defense acquisition program shall be (A) not
    less than four years, or (B) until completion of a major program
    milestone (as defined in regulations prescribed by the Secretary of
    Defense).
      "(2) The Secretary of the military department concerned may waive
    the length of the tour of duty prescribed in paragraph (1). The
    authority under the preceding sentence may not be delegated."
      1989 - Subsec. (a)(2)(B)(iv). Pub. L. 101-189, Sec. 811(b)(1),
    substituted "production" for "development".
      Subsec. (b)(1). Pub. L. 101-189, Sec. 811(b)(2)(A), substituted
    "service acquisition executive designated by such Secretary" for
    "senior procurement executive of such military department
    (designated pursuant to section 16(3) of the Office of Federal
    Procurement Policy Act (41 U.S.C. 414(3))".
      Subsec. (b)(2). Pub. L. 101-189, Sec. 811(b)(2)(B), substituted
    "180 days" for "90 days" in introductory provisions.
      1988 - Subsec. (b)(2). Pub. L. 100-456 clarified amendment by
    Pub. L. 100-180, Sec. 803(a). See 1987 Amendment note below.
      Subsec. (c). Pub. L. 100-370 added subsec. (c).
      1987 - Subsec. (b)(2). Pub. L. 100-180, as amended by Pub. L. 100-
    456, substituted "under paragraph (1), and for which the total
    cost of completion of the stage will exceed by 15 percent or more,
    in the case of a development stage, or by 5 percent or more, in the
    case of a production stage, the amount specified in the baseline
    description established under subsection (a) for such stage; or any
    milestone specified in such baseline description will be missed by
    more than 90 days" for first reference to "under paragraph (1)".
      Subsec. (c). Pub. L. 100-26, Sec. 7(b)(6), struck out subsec. (c)
    which defined "major defense acquisition program".

                     EFFECTIVE DATE OF 2006 AMENDMENT                 
      Amendment by Pub. L. 109-163 effective on Jan. 6, 2006, and
    applicable with respect to any major defense acquisition program
    for which an original Baseline Estimate is first established
    before, on, or after Jan. 6, 2006, see section 802(e) of Pub. L.
    109-163, set out as a note under section 2433 of this title.

                     EFFECTIVE DATE OF 1990 AMENDMENT                 
      Section 1207(b) of Pub. L. 101-510 provided that the amendment
    made by that section is effective Oct. 1, 1991.

                     EFFECTIVE DATE OF 1988 AMENDMENT                 
      Amendment by Pub. L. 100-456 applicable as if included in the
    enactment of Pub. L. 100-180, see section 1233(l)(5) of Pub. L. 100-
    456 set out as a note under section 2366 of this title.

                              EFFECTIVE DATE                          
      Section 101(c) [title IX, Sec. 904(b)] of Pub. L. 99-500 and Pub.
    L. 99-591, and section 904(b) of title IX, formerly title IV, of
    Pub. L. 99-661, renumbered title IX, Pub. L. 100-26, Sec. 3(5),
    Apr. 21, 1987, 101 Stat. 273, provided that: "Section 2435 of title
    10, United States Code (as added by subsection (a)(1)), shall apply
    to major defense acquisition programs that enter full-scale
    engineering development or full-rate production after the date of
    the enactment of this Act [Oct. 18, 1986]."

                    REVIEW OF ACQUISITION PROGRAM CYCLE                
      Section 5002(a) of Pub. L. 103-355 provided that: "The Secretary
    of Defense shall review the regulations of the Department of
    Defense to ensure that acquisition program cycle procedures are
    focused on achieving the goals that are consistent with the program
    baseline description established pursuant to section 2435 of title
    10, United States Code."

-End-



-CITE-
    10 USC Sec. 2436                                            01/03/2007

-EXPCITE-
    TITLE 10 - ARMED FORCES
    Subtitle A - General Military Law
    PART IV - SERVICE, SUPPLY, AND PROCUREMENT
    CHAPTER 144 - MAJOR DEFENSE ACQUISITION PROGRAMS

-HEAD-
    Sec. 2436. Major defense acquisition programs: incentive program
      for contractors to purchase capital assets manufactured in United
      States

-STATUTE-
      (a) Establishment of Incentive Program. - The Secretary of
    Defense shall plan and establish an incentive program in accordance
    with this section for contractors to purchase capital assets
    manufactured in the United States in part with funds available to
    the Department of Defense.
      (b) Defense Industrial Capabilities Fund May Be Used. - The
    Secretary of Defense may use the Defense Industrial Capabilities
    Fund, established under section 814 of the National Defense
    Authorization Act for Fiscal Year 2004, for incentive payments
    under the program established under this section.
      (c) Applicability to Major Defense Acquisition Program Contracts.
    - The incentive program shall apply to contracts for the
    procurement of a major defense acquisition program.
      (d) Consideration. - The Secretary of Defense shall provide
    consideration in source selection in any request for proposals for
    a major defense acquisition program for offerors with eligible
    capital assets.

-SOURCE-
    (Added Pub. L. 108-136, div. A, title VIII, Sec. 822(a)(1), Nov.
    24, 2003, 117 Stat. 1546.)

-REFTEXT-
                            REFERENCES IN TEXT                        
      Section 814 of the National Defense Authorization Act for Fiscal
    Year 2004, referred to in subsec. (b), is section 814 of Pub. L.
    108-136, which is set out in a note under section 2501 of this
    title.


-MISC1-
                             PRIOR PROVISIONS                         
      A prior section 2436, added Pub. L. 99-500, Sec. 101(c) [title X,
    Sec. 905(a)(1)], Oct. 18, 1986, 100 Stat. 1783-82, 1783-134, and
    Pub. L. 99-591, Sec. 101(c) [title X, Sec. 905(a)(1)], Oct. 30,
    1986, 100 Stat. 3341-82, 3341-134; Pub. L. 99-661, div. A, title
    IX, formerly title IV, Sec. 905(a)(1), Nov. 14, 1986, 100 Stat.
    3914; renumbered title IX, Pub. L. 100-26, Sec. 3(5), Apr. 21,
    1987, 101 Stat. 273; amended Pub. L. 100-26, Sec. 7(b)(7), Apr. 21,
    1987, 101 Stat. 280; Pub. L. 100-180, div. A, title VIII, Sec.
    803(c), title XII, Sec. 1231(14), Dec. 4, 1987, 101 Stat. 1125,
    1160; Pub. L. 101-510, div. A, title XIV, Sec. 1484(h)(4), Nov. 5,
    1990, 104 Stat. 1718, related to establishment and conduct of the
    defense enterprise program, prior to repeal by Pub. L. 103-160,
    div. A, title VIII, Sec. 821(a)(5), Nov. 30, 1993, 107 Stat. 1704.

                              EFFECTIVE DATE                          
      Pub. L. 108-136, div. A, title VIII, Sec. 822(c), Nov. 24, 2003,
    117 Stat. 1547, provided that: "Section 2436 of title 10, United
    States Code, as added by subsection (a), shall apply with respect
    to contracts entered into after the expiration of the 18-month
    period beginning on the date of the enactment of this Act [Nov. 24,
    2003]."

                                REGULATIONS                            
      Pub. L. 108-136, div. A, title VIII, Sec. 822(b), Nov. 24, 2003,
    117 Stat. 1547, provided that:
      "(1) The Secretary of Defense shall prescribe regulations as
    necessary to carry out section 2436 of title 10, United States
    Code, as added by this section.
      "(2) The Secretary may prescribe interim regulations as necessary
    to carry out such section. For this purpose, the Secretary is
    excepted from compliance with the notice and comment requirements
    of section 553 of title 5, United States Code. All interim rules
    prescribed under the authority of this paragraph that are not
    earlier superseded by final rules shall expire no later than 270
    days after the effective date of section 2436 of title 10, United
    States Code [see Effective Date note above], as added by this
    section."

-End-



-CITE-
    10 USC Sec. 2437                                            01/03/2007

-EXPCITE-
    TITLE 10 - ARMED FORCES
    Subtitle A - General Military Law
    PART IV - SERVICE, SUPPLY, AND PROCUREMENT
    CHAPTER 144 - MAJOR DEFENSE ACQUISITION PROGRAMS

-HEAD-
    Sec. 2437. Development of major defense acquisition programs:
      sustainment of system to be replaced

-STATUTE-
      (a) Requirement for Sustaining Existing Forces. - (1) The
    Secretary of Defense shall require that, whenever a new major
    defense acquisition program begins development, the defense
    acquisition authority responsible for that program shall develop a
    plan (to be known as a "sustainment plan") for the existing system
    that the system under development is intended to replace. Any such
    sustainment plan shall provide for an appropriate level of
    budgeting for sustaining the existing system until the replacement
    system to be developed under the major defense acquisition program
    is fielded and assumes the majority of responsibility for the
    mission of the existing system. This section does not apply to a
    major defense acquisition that reaches initial operational
    capability before October 1, 2008.
      (2) In this section, the term "defense acquisition authority"
    means the Secretary of a military department or the commander of
    the United States Special Operations Command.
      (b) Sustainment Plan. - The Secretary of Defense shall require
    that each sustainment plan under this section include, at a
    minimum, the following:
        (1) The milestone schedule for the development of the major
      defense acquisition program, including the scheduled dates for
      low-rate initial production, initial operational capability, full-
      rate production, and full operational capability and the date as
      of when the replacement system is scheduled to assume the
      majority of responsibility for the mission of the existing
      system.
        (2) An analysis of the existing system to assess the following:
          (A) Anticipated funding levels necessary to - 
            (i) ensure acceptable reliability and availability rates
          for the existing system; and
            (ii) maintain mission capability of the existing system
          against the relevant threats.

          (B) The extent to which it is necessary and appropriate to - 
            (i) transfer mature technologies from the new system or
          other systems to enhance the mission capability of the
          existing system against relevant threats; and
            (ii) provide interoperability with the new system during
          the period from initial fielding until the new system assumes
          the majority of responsibility for the mission of the
          existing system.

      (c) Exceptions. - Subsection (a) shall not apply to a major
    defense acquisition program if the Secretary of Defense determines
    that - 
        (1) the existing system is no longer relevant to the mission;
        (2) the mission has been eliminated;
        (3) the mission has been consolidated with another mission in
      such a manner that another existing system can adequately meet
      the mission requirements; or
        (4) the duration of time until the new system assumes the
      majority of responsibility for the existing system's mission is
      sufficiently short so that mission availability, capability,
      interoperability, and force protection requirements are
      maintained.

      (d) Waiver. - The Secretary of Defense may waive the
    applicability of subsection (a) to a major defense acquisition
    program if the Secretary determines that, but for such a waiver,
    the Department would be unable to meet national security
    objectives. Whenever the Secretary makes such a determination and
    authorizes such a waiver, the Secretary shall submit notice of such
    waiver and of the Secretary's determination and the reasons
    therefor in writing to the congressional defense committees.

-SOURCE-
    (Added Pub. L. 108-375, div. A, title VIII, Sec. 805(a)(1), Oct.
    28, 2004, 118 Stat. 2008.)


-MISC1-
                             PRIOR PROVISIONS                         
      A prior section 2437, added Pub. L. 99-500, Sec. 101(c) [title X,
    Sec. 906(a)(1)], Oct. 18, 1986, 100 Stat. 1783-82, 1783-135, and
    Pub. L. 99-591, Sec. 101(c) [title X, Sec. 906(a)(1)], Oct. 30,
    1986, 100 Stat. 3341-82, 3341-135; Pub. L. 99-661, div. A, title
    IX, formerly title IV, Sec. 906(a)(1), Nov. 14, 1986, 100 Stat.
    3915; renumbered title IX, Pub. L. 100-26, Sec. 3(5), Apr. 21,
    1987, 101 Stat. 273; amended Pub. L. 100-26, Sec. 7(b)(8), Apr. 21,
    1987, 101 Stat. 280; Pub. L. 100-180, div. A, title VIII, Sec.
    803(b), Dec. 4, 1987, 101 Stat. 1125; Pub. L. 100-224, Sec.
    5(a)(3), Dec. 30, 1987, 101 Stat. 1538, related to designation of
    defense enterprise programs for milestone authorization, prior to
    repeal by Pub. L. 103-160, div. A, title VIII, Sec. 821(a)(5), Nov.
    30, 1993, 107 Stat. 1704.

                              EFFECTIVE DATE                          
      Pub. L. 108-375, div. A, title VIII, Sec. 805(b), Oct. 28, 2004,
    118 Stat. 2009, provided that: "Section 2437 of title 10, United
    States Code, as added by subsection (a), shall apply with respect
    to a major defense acquisition program for a system that is under
    development as of the date of the enactment of this Act [Oct. 28,
    2004] and is not expected to reach initial operational capability
    before October 1, 2008. The Secretary of Defense shall require that
    a sustainment plan under that section be developed not later than
    one year after the date of the enactment of this Act for the
    existing system that the system under development is intended to
    replace."

-End-



-CITE-
    10 USC Secs. 2438, 2439                                     01/03/2007

-EXPCITE-
    TITLE 10 - ARMED FORCES
    Subtitle A - General Military Law
    PART IV - SERVICE, SUPPLY, AND PROCUREMENT
    CHAPTER 144 - MAJOR DEFENSE ACQUISITION PROGRAMS

-HEAD-
    Secs. 2438, 2439. Repealed.

-MISC1-
    [Secs. 2438, 2439. Repealed. Pub. L. 103-355, title III, Secs.
      3006(a), 3007(a), Oct. 13, 1994, 108 Stat. 3331].
      Section 2438, added Pub. L. 102-484, div. A, title VIII, Sec.
    821(a)(1)(B), Oct. 23, 1992, 106 Stat. 2459; amended Pub. L. 103-
    160, div. A, title IX, Sec. 904(d)(1), Nov. 30, 1993, 107 Stat.
    1728, required competitive prototyping of major weapon systems and
    subsystems prior to development under major defense acquisition
    program.
      Provisions similar to those in section 2438 were contained in
    section 2365 of this title, prior to repeal by Pub. L. 102-484,
    Sec. 821(c)(1).
      A prior section 2438 was renumbered section 2439 of this title.
      Section 2439, added Pub. L. 99-145, title IX, Sec. 912(a)(1),
    Nov. 8, 1985, 99 Stat. 685, Sec. 2305a; amended Pub. L. 99-433,
    title I, Sec. 110(g)(3), Oct. 1, 1986, 100 Stat. 1004; renumbered
    Sec. 2438 and amended Pub. L. 100-26, Sec. 7(b)(9)(A), (k)(2), Apr.
    21, 1987, 101 Stat. 280, 284; Pub. L. 101-510, div. A, title VIII,
    Sec. 805, Nov. 5, 1990, 104 Stat. 1591; renumbered Sec. 2439, Pub.
    L. 102-484, div. A, title VIII, Sec. 821(a)(1)(A), Oct. 23, 1992,
    106 Stat. 2459, directed Secretary of Defense, before full-scale
    development under major program began, to prepare acquisition
    strategy which ensured that contracts for each major program,
    including each major subsystem under program, were awarded in
    accordance with acquisition strategy, and granted Secretary option
    of using competitive alternative sources for major programs and
    major subsystems throughout period.

-End-



-CITE-
    10 USC Sec. 2440                                            01/03/2007

-EXPCITE-
    TITLE 10 - ARMED FORCES
    Subtitle A - General Military Law
    PART IV - SERVICE, SUPPLY, AND PROCUREMENT
    CHAPTER 144 - MAJOR DEFENSE ACQUISITION PROGRAMS

-HEAD-
    Sec. 2440. Technology and industrial base plans

-STATUTE-
      The Secretary of Defense shall prescribe regulations requiring
    consideration of the national technology and industrial base in the
    development and implementation of acquisition plans for each major
    defense acquisition program.

-SOURCE-
    (Added Pub. L. 102-484, div. D, title XLII, Sec. 4216(b)(1), Oct.
    23, 1992, 106 Stat. 2669; amended Pub. L. 109-364, div. A, title X,
    Sec. 1071(a)(17), Oct. 17, 2006, 120 Stat. 2399.)


-MISC1-
                                AMENDMENTS                            
      2006 - Pub. L. 109-364 substituted "industrial base plans" for
    "Industrial Base Plans" in section catchline.

-End-