IB 

Union Calendar No. 172 

110TH CONGRESS 

1ST SESSION H. R. 2722 

[Report No. 110–270] 

To restructure the Coast Guard Integrated Deepwater Program, and for 

other purposes. 

IN THE HOUSE OF REPRESENTATIVES 

JUNE 14, 2007 

Mr. CUMMINGS (for himself and Mr. OBERSTAR) introduced the following bill; 

which was referred to the Committee on Transportation and Infrastructure 

JULY 30, 2007 

Additional sponsor: Mr. BISHOP of New York 

JULY 30, 2007 

Reported with an amendment, committed to the Committee of the Whole 

House on the State of the Union, and ordered to be printed 

[Strike out all after the enacting clause and insert the part printed in italic] 

[For text of introduced bill, see copy of bill as introduced on June 14, 2007] 

A BILL 

To restructure the Coast Guard Integrated Deepwater 

Program, and for other purposes. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

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1 SECTION 1. SHORT TITLE. 

2 This Act may be cited as the ‘‘Integrated Deepwater 

3 Program Reform Act’’. 

4 SEC. 2. IMPLEMENTATION OF COAST GUARD INTEGRATED 

5 DEEPWATER ACQUISITION PROGRAM. 

6 (a) USE OF PRIVATE SECTOR ENTITY AS A LEAD SYS7 TEMS INTEGRATOR.— 

8 (1) IN GENERAL.—Except as otherwise provided 

9 in this subsection, the Secretary may not use a pri10 vate sector entity as a lead systems integrator for pro11 curements under, or in support of, the Deepwater 

12 Program beginning on the earlier of October 1, 2011, 

13 or the date on which the Secretary certifies in writing 

14 to the Committee on Transportation and Infrastruc15 ture of the House of Representatives and the Com16 mittee on Commerce, Science, and Transportation of 

17 the Senate that the Coast Guard has available and 

18 can retain sufficient contracting personnel and exper19 tise within the Coast Guard, through an arrangement 

20 with other Federal agencies, or through contracts or 

21 other arrangements with private sector entities, to 

22 perform the functions and responsibilities of the lead 

23 system integrator in an efficient and cost-effective 

24 manner. 

25 (2) COMPLETION OF EXISTING DELIVERY ORDERS

26 AND TASK ORDERS.—The Secretary may use a primstockstill on PROD1PC66 with BILLS

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1 vate sector entity as a lead systems integrator to com2 plete any delivery order or task order under the Deep3 water Program that was issued to the lead systems 

4 integrator on or before the date of enactment of this 

5 Act. 

6 (3) ASSISTANCE OF OTHER FEDERAL AGEN7 CIES.—In any case in which the Secretary is the sys8 tems integrator under the Deepwater Program, the 

9 Secretary may obtain any type of assistance the Sec10 retary considers appropriate, with any systems inte11 gration functions, from any Federal agency with ex12 perience in systems integration involving maritime 

13 vessels and aircraft. 

14 (4) ASSISTANCE OF PRIVATE SECTOR ENTI15 TIES.—In any case in which the Secretary is the sys16 tems integrator under the Deepwater Program, the 

17 Secretary may, subject to the availability of appro18 priations, obtain by grant, contract, or cooperative 

19 agreement any type of assistance the Secretary con20 siders appropriate, with any systems integration 

21 functions, from any private sector entity with experi22 ence in systems integration involving maritime vessels 

23 and aircraft. 

24 (b) COMPETITION.— 

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1 (1) IN GENERAL.—Except as otherwise provided 

2 in this subsection, the Secretary shall use full and 

3 open competition for each class of asset acquisitions 

4 under the Deepwater Program for which an outside 

5 contractor is used, if the asset is procured directly by 

6 the Coast Guard or by the Integrated Coast Guard 

7 System acting under a contract with the Coast 

8 Guard. 

9 (2) EXCEPTION.—The Secretary may use a pro10 curement method that is less than full and open com11 petition to procure an asset under the Deepwater Pro12 gram, if— 

13 (A) the Secretary determines that such 

14 method is in the best interests of the Federal 

15 Government; and 

16 (B) by not later than 30 days before the 

17 date of the award of a contract for the procure18 ment, the Secretary submits to the Committee on 

19 Transportation and Infrastructure of the House 

20 of Representatives and the Committee on Com21 merce, Science, and Transportation of the Senate 

22 a report explaining why such procurement is in 

23 the best interests of the Federal Government. 

24 (3) LIMITATION ON APPLICATION.—Paragraph 

25 (1) shall not apply to a contract, subcontract, or task 

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1 order that was issued before the date of enactment of 

2 this Act, if there is no change in the quantity of assets 

3 or the specific type of assets procured. 

4 (c) REQUIRED CONTRACT TERMS.—The Secretary 

5 shall include in each contract, subcontract, and task order 

6 issued under the Deepwater Program after the date of the 

7 enactment of this Act the following provisions, as applica8 ble: 

9 (1) TECHNICAL REVIEWS.—A requirement that 

10 the Secretary shall conduct a technical review of all 

11 proposed designs, design changes, and engineering 

12 changes, and a requirement that the contractor must 

13 specifically address all engineering concerns identified 

14 in the technical reviews, before any funds may be ob15 ligated. 

16 (2) RESPONSIBILITY FOR TECHNICAL REQUIRE17 MENTS.—A requirement that the Secretary shall 

18 maintain the authority to establish, approve, and 

19 maintain technical requirements. 

20 (3) COST ESTIMATE OF MAJOR CHANGES.—A re21 quirement that an independent cost estimate must be 

22 prepared and approved by the Secretary before the 

23 execution of any change order costing more than 5 

24 percent of the unit cost approved in the Deepwater 

25 Program baseline in effect as of May 2007. 

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1 (4) PERFORMANCE MEASUREMENT.—A require2 ment that any measurement of contractor and subcon3 tractor performance must be based on the status of all 

4 work performed, including the extent to which the 

5 work performed met all cost, schedule, and mission 

6 performance requirements outlined in the Deepwater 

7 Program contract. 

8 (5) EARLY OPERATIONAL ASSESSMENT.—For the 

9 acquisition of any cutter class for which an Early 

10 Operational Assessment has not been developed— 

11 (A) a requirement that the Secretary of the 

12 Department in which the Coast Guard is oper13 ating shall cause an Early Operational Assess14 ment to be conducted by the Department of the 

15 Navy after the development of the preliminary 

16 design of the cutter and before the conduct of the 

17 critical design review of the cutter; and 

18 (B) a requirement that the Coast Guard 

19 shall develop a plan to address the findings pre20 sented in the Early Operational Assessment. 

21 (6) TRANSIENT ELECTROMAGNETIC PULSE EMA22 NATION.—For the acquisition or upgrade of air, sur23 face, or shore assets for which compliance with tran24 sient electromagnetic pulse emanation (TEMPEST) is 

25 a requirement, a provision specifying that the standmstockstill on PROD1PC66 with BILLS

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1 ard for determining such compliance shall be the air, 

2 surface, or shore asset standard then used by the De3 partment of the Navy. 

4 (7) OFFSHORE PATROL CUTTER UNDERWAY RE5 QUIREMENT.—For any contract issued to acquire an 

6 Offshore Patrol Cutter, provisions specifying the serv7 ice life, fatigue life, days underway in general Atlan8 tic and North Pacific Sea conditions, maximum 

9 range, and maximum speed the cutter shall be built 

10 to achieve. 

11 (8) INSPECTOR GENERAL ACCESS.—A require12 ment that the Department of Homeland Security’s Of13 fice of the Inspector General shall have access to all 

14 records maintained by all contractors working on the 

15 Deepwater Program, and shall have the right to pri16 vately interview any contractor personnel. 

17 (d) LIFE CYCLE COST ESTIMATE.— 

18 (1) IN GENERAL.—The Secretary shall develop 

19 an authoritative life cycle cost estimate for the Deep20 water Program. 

21 (2) CONTENTS.—The life cycle cost estimate shall 

22 include asset acquisition and logistics support deci23 sions and planned operational tempo and locations as 

24 of the date of enactment of this Act. 

25 (3) SUBMITTAL.—The Secretary shall— 

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1 (A) submit the life cycle cost estimate to the 

2 Committee on Transportation and Infrastructure 

3 of the House of Representatives and the Com4 mittee on Commerce, Science, and Transpor5 tation of the Senate within 4 months after the 

6 date of enactment of this Act; and 

7 (B) submit updates of the life cycle cost esti8 mate to such Committees annually. 

9 (e) CONTRACT OFFICERS.—The Secretary shall assign 

10 a separate contract officer for each class of cutter and air11 craft acquired or rehabilitated under the Deepwater Pro12 gram, including the National Security Cutter, the Offshore 

13 Patrol Cutter, the Fast Response Cutter A, the Fast Re14 sponse Cutter B, maritime patrol aircraft, the aircraft HC– 

15 130J, the helicopter HH–65, the helicopter HH–60, and the 

16 vertical unmanned aerial vehicle. 

17 (f) TECHNOLOGY RISK REPORT.—The Secretary shall 

18 submit to the Committee on Transportation and Infrastruc19 ture of the House of Representatives and the Committee on 

20 Commerce, Science, and Transportation of the Senate a re21 port identifying the technology risks and level of maturity 

22 for major technologies used on each class of asset acquisi23 tions under the Deepwater Program, including the Fast Re24 sponse Cutter A (FRC–A), the Fast Response Cutter B 

25 (FRC–B), the Offshore Patrol Cutter (OPC), and the 

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1 Vertical Unmanned Aerial Vehicle (VUAV), not later than 

2 90 days before the date of award of a contract for such an 

3 acquisition. 

4 (g) SUBMISSION OF ASSESSMENT RESULTS AND

5 PLANS TO CONGRESS.—The Commandant of the Coast 

6 Guard shall submit to the Committee on Transportation 

7 and Infrastructure of the House of Representatives and the 

8 Committee on Commerce, Science, and Transportation of 

9 the Senate— 

10 (1) the results of each Early Operational Assess11 ment conducted pursuant to subsection (c)(5)(A) and 

12 the plan approved by the Commandant pursuant to 

13 subsection (c)(5)(B) for addressing the findings of 

14 such assessment, within 30 days after the Com15 mandant approves the plan; and 

16 (2) a report describing how the recommendations 

17 of each Early Operational Assessment conducted pur18 suant to subsection (c)(5)(A) on the first in class of 

19 a new cutter class have been addressed in the design 

20 on which construction is to begin, within 30 days be21 fore initiation of construction. 

22 SEC. 3. CHIEF ACQUISITION OFFICER. 

23 (a) IN GENERAL.—Chapter 3 of title 14, United States 

24 Code, is amended by adding at the end the following: 

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1 ‘‘§ 55. Chief Acquisition Officer 

2 ‘‘(a) ESTABLISHMENT OF AGENCY CHIEF ACQUISITION

3 OFFICER.—The Commandant shall appoint or designate a 

4 career reserved employee as Chief Acquisition Officer for the 

5 Coast Guard, who shall— 

6 ‘‘(1) have acquisition management as that offi7 cial’s primary duty; and 

8 ‘‘(2) report directly to the Commandant to ad9 vise and assist the Commandant to ensure that the 

10 mission of the Coast Guard is achieved through the 

11 management of the Coast Guard’s acquisition activi12 ties. 

13 ‘‘(b) AUTHORITY AND FUNCTIONS OF THE CHIEF AC14 QUISITION OFFICER.—The functions of the Chief Acquisi15 tion Officer shall include— 

16 ‘‘(1) monitoring the performance of acquisition 

17 activities and acquisition programs of the Coast 

18 Guard, evaluating the performance of those programs 

19 on the basis of applicable performance measurements, 

20 and advising the Commandant regarding the appro21 priate business strategy to achieve the mission of the 

22 Coast Guard; 

23 ‘‘(2) increasing the use of full and open competi24 tion in the acquisition of property and services by the 

25 Coast Guard by establishing policies, procedures, and 

26 practices that ensure that the Coast Guard receives a 

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1 sufficient number of sealed bids or competitive pro2 posals from responsible sources to fulfill the Govern3 ment’s requirements (including performance and de4 livery schedules) at the lowest cost or best value con5 sidering the nature of the property or service pro6 cured; 

7 ‘‘(3) ensuring the use of detailed performance 

8 specifications in instances in which performance9 based contracting is used; 

10 ‘‘(4) making acquisition decisions consistent 

11 with all applicable laws and establishing clear lines 

12 of authority, accountability, and responsibility for ac13 quisition decisionmaking within the Coast Guard; 

14 ‘‘(5) managing the direction of acquisition policy 

15 for the Coast Guard, including implementation of the 

16 unique acquisition policies, regulations, and stand17 ards of the Coast Guard; 

18 ‘‘(6) developing and maintaining an acquisition 

19 career management program in the Coast Guard to 

20 ensure that there is an adequate professional work21 force; and 

22 ‘‘(7) as part of the strategic planning and per23 formance evaluation process required under section 

24 306 of title 5 and sections 1105(a)(28), 1115, 1116, 

25 and 9703 of title 31— 

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1 ‘‘(A) assessing the requirements established 

2 for Coast Guard personnel regarding knowledge 

3 and skill in acquisition resources management 

4 and the adequacy of such requirements for facili5 tating the achievement of the performance goals 

6 established for acquisition management; 

7 ‘‘(B) in order to rectify any deficiency in 

8 meeting such requirements, developing strategies 

9 and specific plans for hiring, training, and pro10 fessional development; and 

11 ‘‘(C) reporting to the Commandant on the 

12 progress made in improving acquisition manage13 ment capability.’’. 

14 (b) CLERICAL AMENDMENT.—The table of sections at 

15 the beginning of such chapter is amended by adding at the 

16 end the following: 

‘‘55. Chief Acquisition Officer.’’. 

17 (c) SPECIAL RATE SUPPLEMENTS.— 

18 (1) REQUIREMENT TO ESTABLISH.—Not later 

19 than 1 year after the date of enactment of this Act 

20 and in accordance with part 9701.333 of title 5, Code 

21 of Federal Regulations, the Commandant of the Coast 

22 Guard shall establish special rate supplements that 

23 provide higher pay levels for employees necessary to 

24 carry out the amendment made by this section. 

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1 (2) SUBJECT TO APPROPRIATIONS.—The require2 ment under paragraph (1) is subject to the avail3 ability of appropriations. 

4 SEC. 4. TESTING AND CERTIFICATION. 

5 (a) IN GENERAL.—The Secretary shall— 

6 (1) cause each cutter, other than a National Se7 curity Cutter, acquired by the Coast Guard and deliv8 ered after the date of enactment of this Act to be 

9 classed by the American Bureau of Shipping, before 

10 acceptance of delivery; 

11 (2) cause the design and construction of each Na12 tional Security Cutter, other than National Security 

13 Cutter 1 and 2, to be certified by an independent 

14 third party with expertise in vessel design and con15 struction certification to be able to meet a 185-under16 way-day requirement under general Atlantic and 

17 North Pacific sea conditions for a period of at least 

18 30 years; 

19 (3) cause all electronics on all aircraft, surface, 

20 and shore assets that require TEMPEST certification 

21 and that are delivered after the date of enactment of 

22 this Act to be tested and certified in accordance with 

23 TEMPEST standards and communications security 

24 (COMSEC) standards by an independent third party 

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1 that is authorized by the Federal Government to per2 form such testing and certification; and 

3 (4) cause all aircraft and aircraft engines ac4 quired by the Coast Guard and delivered after the 

5 date of enactment of this Act to be certified for air6 worthiness by an independent third party with exper7 tise in aircraft and aircraft engine certification, be8 fore acceptance of delivery. 

9 (b) FIRST IN CLASS OF A MAJOR ASSET ACQUISI10 TION.—The Secretary shall cause the first in class of a 

11 major asset acquisition of a cutter or an aircraft to be sub12 jected to an assessment of operational capability conducted 

13 by the Secretary of the Navy. 

14 (c) FINAL ARBITER.—The Secretary shall be the final 

15 arbiter of all technical disputes regarding designs and ac16 quisitions of vessels and aircraft for the Coast Guard. 

17 SEC. 5. NATIONAL SECURITY CUTTERS. 

18 (a) NATIONAL SECURITY CUTTERS 1 AND 2.— 

19 (1) REPORT ON OPTIONS UNDER CONSIDER20 ATION.—The Secretary shall submit to the Committee 

21 on Transportation and Infrastructure of the House of 

22 Representatives and the Committee on Commerce, 

23 Science, and Transportation of the Senate— 

24 (A) within 120 days after the date of enact25 ment of this Act, a report describing in detail the 

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1 cost increases that have been experienced on Na2 tional Security Cutters 1 and 2 since the date of 

3 the issuance of the task orders for construction of 

4 those cutters and explaining the causes of these 

5 cost increases; and 

6 (B) within 180 days after the date of enact7 ment of this Act, a report on the options that the 

8 Coast Guard is considering to strengthen the 

9 hulls of National Security Cutter 1 and National 

10 Security Cutter 2, including— 

11 (i) the costs of each of the options 

12 under consideration; 

13 (ii) a schedule for when the hull 

14 strengthening repairs are anticipated to be 

15 performed; and 

16 (iii) the impact that the weight likely 

17 to be added to each the cutter by each op18 tion will have on the cutter’s ability to meet 

19 both the original performance requirements 

20 included in the Deepwater Program con21 tract and the performance requirements cre22 ated by contract Amendment Modification 

23 00042 dated February 7, 2007. 

24 (2) DESIGN ASSESSMENT.—Not later than 30 

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1 ery order, or task order to strengthen the hull of either 

2 of National Security Cutter 1 or 2 to resolve the 

3 structural design and performance issues identified in 

4 the Department of Homeland Security Inspector Gen5 eral’s report OIG–07–23 dated January 2007, the 

6 Secretary shall submit to the Committee on Transpor7 tation and Infrastructure of the House of Representa8 tives and the Committee on Commerce, Science, and 

9 Transportation of the Senate all results of an assess10 ment of the proposed hull strengthening design con11 ducted by the Naval Surface Warfare Center, 

12 Carderock Division, including a description in detail 

13 of the extent to which the hull strengthening measures 

14 to be implemented on those cutters will enable the cut15 ters to meet a 185-underway-day requirement under 

16 general Atlantic and North Pacific sea conditions for 

17 a period of at least 30 years. 

18 (b) NATIONAL SECURITY CUTTERS 3 THROUGH 8.— 

19 Not later than 30 days before the Coast Guard signs any 

20 contract, delivery order, or task order authorizing construc21 tion of National Security Cutters 3 through 8, the Secretary 

22 shall submit to the Committee on Transportation and In23 frastructure of the House of Representatives and the Com24 mittee on Commerce, Science, and Transportation of the 

25 Senate all results of an assessment of the proposed designs 

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1 to resolve the structural design, safety, and performance 

2 issues identified by the Department of Homeland Security 

3 Office of Inspector General report OIG–07–23 for the hulls 

4 of those cutters conducted by the Naval Surface Warfare 

5 Center, Carderock Division, including a description in de6 tail of the extent to which such designs will enable the cut7 ters to meet a 185-underway-day requirement under general 

8 Atlantic and North Pacific sea conditions. 

9 SEC. 6. MISCELLANEOUS REPORTS. 

10 (a) IN GENERAL.—The Secretary shall submit the fol11 lowing reports to the Committee on Transportation and In12 frastructure of the House of Representatives and the Com13 mittee on Commerce, Science, and Transportation of the 

14 Senate: 

15 (1) Within 4 months after the date of enactment 

16 of this Act, a justification for why 8 National Secu17 rity Cutters are required to meet the operational 

18 needs of the Coast Guard, including— 

19 (A) how many days per year each National 

20 Security Cutter will be underway at sea; 

21 (B) where each National Security Cutter 

22 will be home ported; 

23 (C) the amount of funding that will be re24 quired to establish home port operations for each 

25 National Security Cutter; 

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1 (D) the extent to which 8 National Security 

2 Cutters deployed without vertical unmanned aer3 ial vehicles (VUAV) will meet or exceed the mis4 sion capability (including surveillance capacity) 

5 of the 12 Hamilton-class high endurance cutters 

6 that the National Security Cutters will replace; 

7 (E) the business case in support of con8 structing National Security Cutters 3 through 8, 

9 including a cost-benefit analysis; and 

10 (F) an analysis of how many Offshore Pa11 trol Cutters would be required to provide the pa12 trol coverage provided by a National Security 

13 Cutter. 

14 (2) Within 4 months after the date of enactment 

15 of this Act, a report on— 

16 (A) the impact that deployment of a Na17 tional Security Cutter and other cutter assets 

18 without the vertical unmanned aerial vehicle 

19 (VUAV) will have on the amount of patrol cov20 erage that will be able to be provided during 

21 missions conducted by the National Security 

22 Cutter and all other cutters planned to be 

23 equipped with a VUAV; 

24 (B) how the coverage gap will be made up; 

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1 (C) an update on the current status of the 

2 development of the VUAV; and 

3 (D) the timeline detailing the major mile4 stones to be achieved during development of the 

5 VUAV and identifying the delivery date for the 

6 first and last VUAV. 

7 (3) Within 30 days after the elevation to flag8 level for resolution of any design or other dispute re9 garding the Deepwater Program contract or an item 

10 to be procured under that contract, including a de11 tailed description of the issue and the rationale un12 derlying the decision taken by the flag officer to re13 solve the issue. 

14 (4) Within 4 months after the date of enactment 

15 of this Act, a report detailing the total number of 

16 change orders that have been created by the Coast 

17 Guard under the Deepwater Program before the date 

18 of enactment of this Act, the total cost of these change 

19 orders, and their impact on the Deepwater Program 

20 schedule. 

21 (5) Within 180 days after the date of enactment 

22 of this Act, a report detailing the technology risks and 

23 level of maturity for major technologies used on mari24 time patrol aircraft, the HC–130J, and the National 

25 Security Cutter. 

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1 (6) Not less than 60 days before signing a con2 tract to acquire any vessel or aircraft, a report com3 paring the cost of purchasing that vessel or aircraft 

4 directly from the manufacturer or shipyard with the 

5 cost of procuring it through the Integrated Coast 

6 Guard System. 

7 (7) Within 30 days after the Program Executive 

8 Officer of the Deepwater Program becomes aware of a 

9 likely cost overrun exceeding 5 percent of the overall 

10 asset acquisition contract cost or schedule delay ex11 ceeding 5 percent of the estimated asset construction 

12 period under the Deepwater Program, a report by the 

13 Commandant containing a description of the cost 

14 overrun or delay, an explanation of the overrun or 

15 delay, a description of Coast Guard’s response, and a 

16 description of significant delays in the procurement 

17 schedule likely to be caused by the overrun or delay. 

18 (8) Within 90 days after the date of enactment 

19 of this Act, articulation of a doctrine and description 

20 of an anticipated implementation of a plan for man21 agement of acquisitions programs, financial manage22 ment (including earned value management and cost 

23 estimating), engineering and logistics management, 

24 and contract management, that includes— 

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1 (A) a description of how the Coast Guard 

2 will cultivate among uniformed personnel exper3 tise in acquisitions management and financial 

4 management; 

5 (B) a description of the processes that will 

6 be followed to draft and ensure technical review 

7 of procurement packages, including statements of 

8 work, for any class of assets acquired by the 

9 Coast Guard; 

10 (C) a description of how the Coast Guard 

11 will conduct an independent cost estimating 

12 process, including independently developing cost 

13 estimates for major change orders; and 

14 (D) a description of how Coast Guard will 

15 strengthen the management of change orders. 

16 (9) Within 4 months after the date of enactment 

17 of this Act, a report on the development of a new ac18 quisitions office within the Coast Guard describing 

19 the specific staffing structure for that directorate, in20 cluding— 

21 (A) identification of all managerial posi22 tions proposed as part of the office, the functions 

23 that each managerial position will fill, and the 

24 number of employees each manager will super25 vise; and 

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1 (B) a formal organizational chart and iden2 tification of when managerial positions are to be 

3 filled. 

4 (10) Ninety days prior to the issuance of a Re5 quest for Proposals for construction of an Offshore 

6 Patrol Cutter, a report detailing the service life, fa7 tigue life, maximum range, maximum speed, and 

8 number of days underway under general Atlantic and 

9 North Pacific Sea conditions the cutter shall be built 

10 to achieve. 

11 (11) The Secretary shall report annually on the 

12 percentage of the total amount of funds expended on 

13 procurements under the Deepwater Program that has 

14 been paid to each of small businesses and minority15 owned businesses. 

16 (12) Within 120 days after the date of enactment 

17 of this Act, a report on any Coast Guard mission per18 formance gap due to the removal of Deepwater Pro19 gram assets from service. The report shall include the 

20 following: 

21 (A) A description of the mission perform22 ance gap detailing the geographic regions and 

23 Coast Guard capabilities affected. 

24 (B) An analysis of factors affecting the mis25 sion performance gap that are unrelated to the 

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1 Deepwater Program, including deployment of 

2 Coast Guard assets overseas and continuous ves3 sel shortages. 

4 (C) A description of measures being taken 

5 in the near term to fill the mission performance 

6 gap, including what those measures are and 

7 when they will be implemented. 

8 (D) A description of measures being taken 

9 in the long term to fill the mission performance 

10 gap, including what those measures are and 

11 when they will be implemented. 

12 (E) A description of the potential alter13 natives to fill the mission performance gap, in14 cluding any acquisition or lease considered and 

15 the reasons they were not pursued. 

16 (b) REPORT REQUIRED ON ACCEPTANCE OF DELIVERY

17 OF INCOMPLETE ASSET.— 

18 (1) IN GENERAL.—If the Secretary accepts deliv19 ery of an asset after the date of enactment of this Act 

20 for which a contractually required certification can21 not be achieved within 30 days after the date of deliv22 ery or with any system that is not fully functional 

23 for the mission for which it was intended, the Sec24 retary shall submit to the Committee on Transpor25 tation and Infrastructure of the House of Representamstockstill on PROD1PC66 with BILLS

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1 tives and the Committee on Commerce, Science, and 

2 Transportation of the United States Senate within 30 

3 days after accepting delivery of the asset a report ex4 plaining why acceptance of the asset in such a condi5 tion is in the best interests of the United States Gov6 ernment. 

7 (2) CONTENTS.—The report shall— 

8 (A) specify the systems that are not able to 

9 achieve contractually required certifications 

10 within 30 days after the date of delivery and the 

11 systems that are not fully functional at the time 

12 of delivery for the missions for which they were 

13 intended; 

14 (B) identify milestones for the completion of 

15 required certifications and to make all systems 

16 fully functional; and 

17 (C) identify when the milestones will be 

18 completed, who will complete them, and the cost 

19 to complete them. 

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1 SEC. 7. USE OF THE NAVAL SEA SYSTEMS COMMAND, THE 

2 NAVAL AIR SYSTEMS COMMAND, AND THE 

3 SPACE AND NAVAL WARFARE SYSTEMS COM4 MAND TO ASSIST THE COAST GUARD IN EXER5 CISING TECHNICAL AUTHORITY FOR THE 

6 DEEPWATER PROGRAM AND OTHER COAST 

7 GUARD ACQUISITION PROGRAMS. 

8 (a) FINDINGS.—Congress finds that the Coast Guard’s 

9 use of the technical, contractual, and program management 

10 oversight expertise of the Department of the Navy in ship 

11 and aircraft production complements and augments the 

12 Coast Guard’s organic expertise as it procures assets for the 

13 Deepwater Program. 

14 (b) INTER-SERVICE TECHNICAL ASSISTANCE.—The 

15 Secretary may enter into a memorandum of understanding 

16 or a memorandum of agreement with the Secretary of the 

17 Navy to provide for the use of the Navy Systems Commands 

18 to assist the Coast Guard with the oversight of Coast Guard 

19 major acquisition programs. Such memorandum of under20 standing or memorandum of agreement shall, at a min21 imum provide for— 

22 (1) the exchange of technical assistance and sup23 port that the Coast Guard Chief Engineer and the 

24 Coast Guard Chief Information Officer, as Coast 

25 Guard Technical Authorities, may identify; 

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1 (2) the use, as appropriate, of Navy technical ex2 pertise; and 

3 (3) the temporary assignment or exchange of per4 sonnel between the Coast Guard and the Navy Sys5 tems Commands to facilitate the development of or6 ganic capabilities in the Coast Guard. 

7 (c) TECHNICAL AUTHORITIES.—The Coast Guard 

8 Chief Engineer, Chief Information Officer, and Chief Acqui9 sition Officer shall adopt, to the extent practicable, proce10 dures that are similar to those used by the Navy Senior 

11 Acquisition Official to ensure the Coast Guard Technical 

12 Authorities, or designated Technical Warrant Holders, ap13 prove all technical requirements. 

14 (d) COORDINATION.—The Secretary, acting through 

15 the Commandant of the Coast Guard, may coordinate with 

16 the Secretary of the Navy, acting through the Chief of Naval 

17 Operations, to develop processes by which the assistance will 

18 be requested from the Navy Systems Commands and pro19 vided to the Coast Guard. 

20 (e) REPORT.—Not later than 120 days after the date 

21 of enactment of this Act and every twelve months thereafter, 

22 the Commandant of the Coast Guard shall report to the 

23 Committee on Transportation and Infrastructure of the 

24 House of Representatives and the Committee on Commerce, 

25 Science, and Transportation of the Senate on the activities 

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27 

•HR 2722 RH

1 undertaken pursuant to such memorandum of under2 standing or memorandum of agreement. 

3 SEC. 8. DEFINITIONS. 

4 In this Act: 

5 (1) DEEPWATER PROGRAM.—The term ‘‘Deep6 water Program’’ means the Integrated Deepwater 

7 Systems Program described by the Coast Guard in its 

8 report to Congress entitled ‘‘Revised Deepwater Imple9 mentation Plan 2005’’, dated March 25, 2005. The 

10 Deepwater Program primarily involves the procure11 ment of cutter and aviation assets that operate more 

12 than 50 miles offshore. 

13 (2) SECRETARY.—The term ‘‘Secretary’’ means 

14 the Secretary of the department in which the Coast 

15 Guard is operating. 

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Union Calendar No. 172 

110TH CONGRESS 

1ST SESSION H. R. 2722 

[Report No. 110

–270] 

A BILL 

Deepwater Program, and for other purposes. 

To restructure the Coast Guard Integrated 

JULY 30, 2007 

Reported with an amendment, committed to the Comand ordered to be printed mittee of the Whole House on the State of the Union, 

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