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[Congressional Bills 118th Congress]
[From the U.S. Government Publishing Office]
[S. 4066 Reported in Senate (RS)]

<DOC>

                                                       Calendar No. 679
118th CONGRESS
  2d Session
                                S. 4066

                          [Report No. 118-276]

   To improve Federal technology procurement, and for other purposes.

_______________________________________________________________________

                   IN THE SENATE OF THE UNITED STATES

                             March 22, 2024

 Mr. Peters (for himself and Mr. Cruz) introduced the following bill; 
which was read twice and referred to the Committee on Homeland Security 
                        and Governmental Affairs

                            December 9, 2024

               Reported by Mr. Peters, with an amendment
 [Strike out all after the enacting clause and insert the part printed 
                               in italic]

_______________________________________________________________________

                                 A BILL

 
   To improve Federal technology procurement, and for other purposes.

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

<DELETED>SECTION 1. SHORT TITLE.</DELETED>

<DELETED>    This Act may be cited as the ``Federal Improvement in 
Technology Procurement Act'' or the ``FIT Procurement Act''.</DELETED>

<DELETED>SEC. 2. FINDINGS.</DELETED>

<DELETED>    Congress makes the following findings:</DELETED>
        <DELETED>    (1) The Government Accountability Office (GAO) has 
        conducted a trend analysis of Government-wide contracting for 
        each of the last several fiscal years. These analyses show that 
        the Federal dollars obligated through contracts has been 
        steadily increasing.</DELETED>
        <DELETED>    (2) Contract spending accounts for more than 80 
        percent of the Federal information technology budget.</DELETED>
        <DELETED>    (3) Spending on information security, software, 
        cloud computing, data center solutions and services, software 
        as a service, and artificial intelligence technologies is 
        projected to grow significantly.</DELETED>
        <DELETED>    (4) Rapid technological developments and increased 
        Government demand create a need for a Federal acquisition 
        workforce with an understanding of technology and related 
        procurement considerations.</DELETED>
        <DELETED>    (5) Federal agencies are challenged to shorten the 
        procurement cycle to meet agency technology requirements. 
        Technology acquired through procurements that take years from 
        requirements development to implementation may be obsolete by 
        the time it is fielded.</DELETED>
        <DELETED>    (6) While Federal contracting dollars are 
        increasing year over year, and the number of new business 
        applications filed is at an all-time high, the number of 
        Federal contractors receiving contract awards is shrinking. 
        This trend could impair the Federal Government's access to 
        innovative commercial technologies.</DELETED>

<DELETED>SEC. 3. DEFINITIONS.</DELETED>

<DELETED>    In this Act:</DELETED>
        <DELETED>    (1) Acquisition workforce.--The term ``acquisition 
        workforce'' means employees of an executive agency who are 
        responsible for procurement, contracting, program or project 
        management that involves the performance of acquisition-related 
        functions, or others as designated by the Chief Acquisition 
        Officer, senior procurement executive, or head of the 
        contracting activity.</DELETED>
        <DELETED>    (2) Administrator.--The term ``Administrator'' 
        means the Administrator for Federal Procurement 
        Policy.</DELETED>
        <DELETED>    (3) Cross-functional.--The term ``cross-
        functional'' means a structure in which individuals with 
        different functional expertise or from different areas of an 
        organization work together as a team.</DELETED>
        <DELETED>    (4) Executive agency.--The term ``executive 
        agency'' has the meaning given the term in section 133 of title 
        41, United States Code.</DELETED>
        <DELETED>    (5) Experiential learning.--The term 
        ``experiential learning'' means on-the-job experiences or 
        simulations that serve to enhance workforce professional 
        skills.</DELETED>
        <DELETED>    (6) Information and communications technology.--
        The term ``information and communications technology''--
        </DELETED>
                <DELETED>    (A) has the meaning given the term in 
                section 4713 of title 41, United States Code; 
                and</DELETED>
                <DELETED>    (B) includes information and 
                communications technologies covered by definitions 
                contained in the Federal Acquisition Regulation, 
                including definitions added after the date of the 
                enactment of this Act by the Federal Acquisition 
                Regulatory Council pursuant to notice and 
                comment.</DELETED>
        <DELETED>    (7) Relevant committees of congress.--The term 
        ``relevant committees of Congress'' means the Committee on 
        Homeland Security and Governmental Affairs of the Senate and 
        the Committee on Oversight and Accountability of the House of 
        Representatives.</DELETED>

<DELETED>SEC. 4. ACQUISITION WORKFORCE.</DELETED>

<DELETED>    (a) Experiential Learning.--Not later than 18 months after 
the date of the enactment of this Act, the Federal Acquisition 
Institute shall incorporate experiential learning into the Federal 
Credentials Program, the Federal Acquisition Certification-Contracting 
Officer's Representative (FAC-COR) Program, and the Federal Acquisition 
Certification for Program and Project Managers (FAC-P/PM) Program, or 
any successor programs.</DELETED>
<DELETED>    (b) Training on Information and Communications Technology 
Acquisition.--</DELETED>
        <DELETED>    (1) In general.--Not later than 18 months after 
        the date of the enactment of this Act, the Federal Acquisition 
        Institute, in coordination with the Administrator, the 
        Administrator of General Services, the Federal Chief 
        Information Officer, the Chief Information Officers Council, 
        and the United States Digital Service, and in consultation with 
        others as determined to be appropriate by the Director of the 
        Federal Acquisition Institute, shall develop and implement or 
        otherwise provide a cross-functional information and 
        communications technology acquisition training program for 
        acquisition workforce members involved in acquiring information 
        and communications technology. The training shall--</DELETED>
                <DELETED>    (A) include learning objectives related to 
                market research, communicating with industry and 
                industry perspectives on the procurement process, 
                including how investment decisions are impacted by 
                Government communication and engagement, developing 
                requirements, acquisition planning, best practices for 
                developing and executing outcome-based contracts, and 
                source selection strategy, evaluating proposals, and 
                awarding and administering contracts for information 
                and communications technology;</DELETED>
                <DELETED>    (B) include learning objectives that 
                provide a basic understanding of key technologies 
                Federal agencies need, such as cloud computing, 
                artificial intelligence and artificial intelligence-
                enabled applications, and cybersecurity 
                solutions;</DELETED>
                <DELETED>    (C) include learning objectives that 
                encourage the use of commercial or commercially 
                available off-the-shelf (COTS) technologies to the 
                greatest extent practicable;</DELETED>
                <DELETED>    (D) include case studies of lessons 
                learned from Federal information and communications 
                technology procurements and contracts, and related 
                matters as deemed relevant by the Director of the 
                Federal Acquisition Institute;</DELETED>
                <DELETED>    (E) include experiential learning 
                opportunities, and opportunities to practice 
                acquisition teaming involving collaboration of team 
                members with varied relevant domain expertise to 
                complete acquisition-related tasks, including tasks 
                with accelerated timelines;</DELETED>
                <DELETED>    (F) include continuous learning 
                recommendations and resources to keep the skills of 
                acquisition workforce members current, including tools 
                that help adopt or adapt the use of innovative 
                acquisition practices or other flexible business 
                practices commonly used in commercial buys;</DELETED>
                <DELETED>    (G) be made available to acquisition 
                workforce members designated by a Chief Acquisition 
                Officer, senior procurement executive, or head of the 
                contracting activity to participate in the training 
                program; and</DELETED>
                <DELETED>    (H) inform executive agencies about 
                streamlined and alternative procurement methods for 
                procurement of information and communications 
                technology, including--</DELETED>
                        <DELETED>    (i) simplified procedures for 
                        certain commercial products and commercial 
                        services in accordance with subpart 13.5 of the 
                        Federal Acquisition Regulation, prize 
                        competitions under the America COMPETES 
                        Reauthorization Act of 2010 (Public Law 111-
                        358), commercial solutions opening authorities 
                        as provided in section 5 of this Act or under 
                        separate authority, competitive programs that 
                        encourage businesses to engage in Federal 
                        research or research and development with the 
                        potential for commercialization, and joint 
                        venture partnerships;</DELETED>
                        <DELETED>    (ii) innovative procurement 
                        techniques designed to streamline the 
                        procurement process and lower barriers to 
                        entry, such as use of oral presentations and 
                        product demonstrations instead of lengthy 
                        written proposals, appropriately leveraging 
                        performance and outcomes-based contracting, and 
                        other techniques discussed on the Periodic 
                        Table of Acquisition Innovations or other 
                        similar successor knowledge management portals; 
                        and</DELETED>
                        <DELETED>    (iii) information on appropriate 
                        use, examples and templates, and any other 
                        information determined relevant by the 
                        Administrator to assist contracting officers 
                        and other members of the acquisition workforce 
                        in using the procedures described in clauses 
                        (i) and (ii).</DELETED>
        <DELETED>    (2) Report.--Not later than 2 years after the date 
        of the enactment of this Act, the Director of the Federal 
        Acquisition Institute shall provide to the relevant committees 
        of Congress, the Chief Acquisition Officers Council, and the 
        Chief Information Officers Council--</DELETED>
                <DELETED>    (A) a report on the Director's progress in 
                developing and implementing or otherwise providing the 
                information and communications technology acquisition 
                training described in paragraph (1); and</DELETED>
                <DELETED>    (B) a list of any congressionally mandated 
                acquisition training that the Director determines to be 
                outdated or no longer necessary for other 
                reasons.</DELETED>
        <DELETED>    (3) Duration.--The training program shall be 
        updated as appropriate as technology advances, but at least 
        every 2 years after implementation, and offered for a minimum 
        of 7 years following the date of implementation of the training 
        program.</DELETED>
<DELETED>    (c) Acquisition Workforce Training Fund.--</DELETED>
        <DELETED>    (1) Finding.--Congress finds that the Acquisition 
        Workforce Training Fund should be utilized in order to ensure 
        that the Federal acquisition workforce--</DELETED>
                <DELETED>    (A) continues to adapt to fundamental 
                changes in Federal Government acquisition of property 
                and services; and</DELETED>
                <DELETED>    (B) acquires new skills and knowledge to 
                enable it to contribute effectively in the changing 
                environment of the 21st century.</DELETED>
        <DELETED>    (2) Increased credits to fund.--Section 1703(i)(3) 
        of title 41, United States Code, is amended by striking ``Five 
        percent'' and inserting ``Seven and a half percent''.</DELETED>
<DELETED>    (d) Harmonization of Acquisition Workforce Training 
Requirements.--The responsibility for the requirement in subsection 
(b)(1) of section 2 of the AI Training Act (Public Law 117-207; 41 
U.S.C. 1703 note) is reassigned from the Director of the Office of 
Management and Budget to the Administrator of General 
Services.</DELETED>

<DELETED>SEC. 5. INNOVATIVE PROCUREMENT METHODS.</DELETED>

<DELETED>    (a) Expansion of Commercial Solutions Opening Authority.--
Section 880 of the National Defense Authorization Act for Fiscal Year 
2017 (Public Law 114-328; 41 U.S.C. 3301 note) is amended--</DELETED>
        <DELETED>    (1) in the section heading, by striking ``pilot 
        programs for authority to acquire innovative commercial 
        products'' and inserting ``programs for authority to acquire 
        innovative commercial products and commercial 
        services'';</DELETED>
        <DELETED>    (2) in subsection (a)--</DELETED>
                <DELETED>    (A) in paragraph (1), by inserting ``and 
                commercial services'' after ``commercial 
                products'';</DELETED>
                <DELETED>    (B) in paragraph (2), by adding at the end 
                the following new subparagraph:</DELETED>
                <DELETED>    ``(C) The head of an executive agency 
                approved for the program, on a temporary or permanent 
                basis, by the Director of the Office of Management and 
                Budget.''; and</DELETED>
                <DELETED>    (C) in paragraph (3), by adding at the end 
                the following new subparagraph:</DELETED>
                <DELETED>    ``(C) An executive agency approved for the 
                program by the Director of the Office of Management and 
                Budget.'';</DELETED>
        <DELETED>    (3) by amending subsection (d) to read as 
        follows:</DELETED>
<DELETED>    ``(d) Guidance.--The head of an agency shall issue 
guidance for the implementation of the program under this section 
within that agency. Such guidance shall be issued in consultation with 
the Office of Management and Budget and shall be posted for access by 
the public. The guidance shall also include requirements for each 
general solicitation to be posted publicly through a means that 
provides access to the notice of general solicitation through the 
System for Award Management or subsequent Government-wide point of 
entry, with classified solicitations posted to the appropriate 
Government portal.'';</DELETED>
        <DELETED>    (4) by amending subsection (e) to read as 
        follows:</DELETED>
<DELETED>    ``(e) Reporting and Data Collection.--The head of an 
agency shall report information on contracts made using procedures 
under this section to the Office of Management and Budget as determined 
by the Director of the Office of Management and Budget. The 
Administrator for Federal Procurement Policy shall collect and analyze 
data on the use of the authority under this section for the purposes 
of--</DELETED>
        <DELETED>    ``(1) developing and sharing best 
        practices;</DELETED>
        <DELETED>    ``(2) gathering information on the implementation 
        of the authority and related policy issues; and</DELETED>
        <DELETED>    ``(3) informing the Committee on Homeland Security 
        and Governmental Affairs of the Senate and the Committee on 
        Oversight and Accountability of the House of Representatives on 
        the use of the authority.'';</DELETED>
        <DELETED>    (5) in subsection (f)--</DELETED>
                <DELETED>    (A) in paragraph (1)(B), by striking ``; 
                and'' and inserting a semicolon;</DELETED>
                <DELETED>    (B) by redesignating paragraph (2) as 
                paragraph (3); and</DELETED>
                <DELETED>    (C) by inserting after paragraph (1) the 
                following new paragraph:</DELETED>
        <DELETED>    ``(2) the term `executive agency' has the meaning 
        given the term in section 133 of title 41, United States Code; 
        and'';</DELETED>
        <DELETED>    (6) by striking subsection (g); and</DELETED>
        <DELETED>    (7) by striking ``pilot'' each place it 
        appears.</DELETED>
<DELETED>    (b) Clerical Amendment.--The table of contents in section 
2(b) of such Act and the table of contents preceding subtitle A of 
title VIII of such Act are each amended by striking the item relating 
to section 880 and inserting the following new item:</DELETED>

<DELETED>``Sec. 880. Programs for authority to acquire innovative 
                            commercial products, commercial 
                            technologies, and commercial services using 
                            general solicitation competitive 
                            procedures.''.
<DELETED>    (c) Increase in Simplified Acquisition Threshold.--
</DELETED>
        <DELETED>    (1) Finding.--Congress finds that the threshold 
        under which agencies may use simplified acquisition procedures 
        to reduce costs, improve opportunities for qualified 
        businesses, promote efficiency and economy, and avoid 
        unnecessary burdens for agencies and their contractors should 
        be updated.</DELETED>
        <DELETED>    (2) Amendment.--</DELETED>
                <DELETED>    (A) In general.--Section 134 of title 41, 
                United States Code, is amended by striking ``$250,000'' 
                and inserting ``$500,000''.</DELETED>
                <DELETED>    (B) Authority to apply provisions below 
                the threshold.--The Federal Acquisition Regulatory 
                Council may apply a provision that would not otherwise 
                be applicable below the threshold as amended by 
                subparagraph (A) upon a written determination that it 
                would not be in the best interest of the Federal 
                Government to exempt contracts and subcontracts in 
                amounts not greater than such amended threshold from 
                such provision, such as for national security 
                reasons.</DELETED>
<DELETED>    (d) Multiple Award Schedule Program Competitive 
Procedures.--</DELETED>
        <DELETED>    (1) Finding.--Congress finds that the competition 
        standard established by the Administrator of General Services 
        for the multiple award schedule program of the General Services 
        Administration should be updated and made consistent with the 
        competition standard for other procurement methods, such as 
        simplified acquisitions and negotiated procurements. The term 
        ``best value'' is defined in the Federal Acquisition Regulation 
        as meaning the expected outcome of an acquisition that, in the 
        Government's estimation, provides the greatest overall benefit 
        in response to the requirement.</DELETED>
        <DELETED>    (2) Amendments.--</DELETED>
                <DELETED>    (A) Civilian contracts.--Section 152(3)(B) 
                of title 41, United States Code, is amended to read as 
                follows:</DELETED>
                <DELETED>    ``(B) contracts and orders under such 
                program result in the award of best value products and 
                services for the Federal Government;''.</DELETED>
                <DELETED>    (B) Defense contracts.--Section 3012(3)(B) 
                of title 10, United States Code, is amended to read as 
                follows:</DELETED>
                <DELETED>    ``(B) contracts and orders under such 
                program result in the award of best value products and 
                services for the Federal Government;''.</DELETED>
        <DELETED>    (3) Guidance.--The Federal Acquisition Regulatory 
        Council shall provide guidance to Federal agencies on 
        appropriate use of the best value competition standard for the 
        multiple award schedule program as part of the implementing 
        regulations promulgated in connection with the amendments made 
        by paragraph (2).</DELETED>
<DELETED>    (e) Advances for Commercial Technology Subscriptions and 
Tenancy.--</DELETED>
        <DELETED>    (1) Finding.--Congress finds that the authority to 
        make advance payments should be updated for purposes of 
        enabling the most cost-effective acquisition of cloud 
        computing, data center solutions and services, and other 
        information and communications technology acquired on a 
        subscription, reservation, or tenancy basis.</DELETED>
        <DELETED>    (2) Authority to pay advances.--Section 3324(d) of 
        title 31, United States Code, is amended--</DELETED>
                <DELETED>    (A) in paragraph (1)(C), by striking ``; 
                and'' and inserting a semicolon;</DELETED>
                <DELETED>    (B) in paragraph (2)--</DELETED>
                        <DELETED>    (i) by inserting ``or commercially 
                        available content'' after ``publication''; 
                        and</DELETED>
                        <DELETED>    (ii) by striking the period at the 
                        end and inserting ``; and''; and</DELETED>
                <DELETED>    (C) by adding at the end the following new 
                paragraph:</DELETED>
        <DELETED>    ``(3) charges for information and communications 
        technology subscriptions, reservations, or tenancy, which means 
        the sharing of computing resources in a private or public 
        environment, including cloud environments, for which the 
        ordering agency defines appropriate access and security 
        standards.''.</DELETED>

<DELETED>SEC. 6. INCREASING COMPETITION IN FEDERAL 
              CONTRACTING.</DELETED>

<DELETED>    (a) Use of Past Performance.--Not later than 1 year after 
the date of the enactment of this Act, the Administrator shall issue 
guidance, including examples and templates where appropriate, on--
</DELETED>
        <DELETED>    (1) when a wider range of projects, such as 
        commercial or non-government, as well as Government projects, 
        should be accepted as relevant past performance, in order to 
        have increased competition among eligible firms with capability 
        to perform a requirement, such as a requirement without much 
        precedent;</DELETED>
        <DELETED>    (2) a means by which an agency may validate non-
        government past performance references, such as by requiring an 
        official of an entity providing past performance references to 
        attest to their authenticity and by providing verifiable 
        contact information for the references; and</DELETED>
        <DELETED>    (3) use of alternative evaluation methods other 
        than past performance that may be appropriate for a requirement 
        without much precedent, such as demonstrations and testing of 
        technologies as part of the proposal process.</DELETED>
<DELETED>    (b) Ensuring a Capable Federal Vendor Base.--</DELETED>
        <DELETED>    (1) Working group.--Not later than 90 days after 
        the date of the enactment of this Act, the Administrator shall 
        convene a working group or an appropriate existing body (in 
        this section referred to as the ``working group''), to make 
        recommendations to address the Federal Government's shrinking 
        vendor base and related matters.</DELETED>
        <DELETED>    (2) Membership.--The working group convened under 
        paragraph (1) shall be chaired by the Administrator or a 
        designee of the Administrator and include, at a minimum, 
        representatives from the following departments and 
        agencies:</DELETED>
                <DELETED>    (A) The General Services 
                Administration.</DELETED>
                <DELETED>    (B) The Department of Homeland 
                Security.</DELETED>
                <DELETED>    (C) The Department of Commerce.</DELETED>
                <DELETED>    (D) The Department of Defense.</DELETED>
                <DELETED>    (E) The Department of Health and Human 
                Services.</DELETED>
                <DELETED>    (F) The Small Business 
                Administration.</DELETED>
                <DELETED>    (G) Any other agencies or organizations as 
                determined appropriate by the Administrator.</DELETED>
        <DELETED>    (3) Consultation.--The working group shall obtain 
        input from the public, including from the APEX Accelerators 
        program (formerly known as Procurement Technical Assistance 
        Center (PTAC) network) and other contractor representatives, to 
        identify Federal procurement policies and regulations that are 
        obsolete, overly burdensome or restrictive, not adequately 
        harmonized, or otherwise serve to create barriers to 
        participation in Federal contracting or unnecessarily increase 
        bid and proposal costs.</DELETED>
        <DELETED>    (4) Examination of actions.--The working group 
        shall consider the input obtained under paragraph (3) and any 
        other information determined to be relevant by the working 
        group to identify legislative, regulatory, and other actions to 
        remove barriers to qualified vendors in the procurement 
        process, in order to build the Federal vendor base, increase 
        competition, and address related matters.</DELETED>
        <DELETED>    (5) Implementation.--Not later than 2 years after 
        the date of the enactment of this Act, the Administrator shall, 
        in consultation with the Federal Acquisition Regulatory 
        Council, the Chief Acquisition Officers Council, the working 
        group, and other agencies as appropriate, implement the 
        regulatory and other non-legislative actions identified under 
        paragraph (4), as determined necessary by the Administrator, to 
        remove barriers to entry for those seeking to participate in 
        Federal Government procurement.</DELETED>
        <DELETED>    (6) Briefing.--Not later than 2 years after the 
        date of the enactment of this Act, the Administrator shall 
        brief the relevant committees of Congress on the legislative 
        actions identified under paragraph (4), and the actions 
        implemented under paragraph (5).</DELETED>

<DELETED>SEC. 7. INCENTIVIZING EMPLOYEE STOCK OWNERSHIP PLANS FOR 
              BUSINESS GROWTH.</DELETED>

<DELETED>    (a) Pilot Program To Use Noncompetitive Procedures for 
Certain Follow-On Contracts to Qualified Businesses Wholly-Owned 
Through an Employee Stock Ownership Plan (ESOP).--</DELETED>
        <DELETED>    (1) Establishment.--The Administrator may expand 
        the pilot program authorized by section 874 of the National 
        Defense Authorization Act for Fiscal Year 2022 (Public Law 117-
        81; 10 U.S.C. 3204 note) for Government-wide use, including by 
        coordinating as necessary with the Federal Acquisition 
        Regulatory Council to make related amendments to the Federal 
        Acquisition Regulation.</DELETED>
        <DELETED>    (2) Follow-on contracts.--Notwithstanding the 
        requirements of section 3301 of title 41, United States Code, 
        for purposes of carrying out a Government-wide ESOP pilot 
        program established under paragraph (1), the products or 
        services to be procured by an executive agency under a follow-
        on contract with a qualified business wholly-owned through an 
        ESOP for the continued development, production, or provision of 
        products or services that are the same as or substantially 
        similar to the products or services procured under a prior 
        contract may be procured through procedures other than 
        competitive procedures if the performance of the qualified 
        business on the prior contract was rated as satisfactory (or 
        the equivalent) or better.</DELETED>
        <DELETED>    (3) Limitation.--A qualified business wholly-owned 
        through an ESOP may have a single opportunity for award of a 
        sole-source follow-on contract under this subsection, unless 
        the senior procurement executive of the executive agency 
        awarding the contract approves a waiver of such 
        limitation.</DELETED>
<DELETED>    (b) Verification and Reporting of Qualified Businesses 
Wholly-Owned Through an Employee Stock Ownership Plan.--Under a pilot 
program established under this section, the Administrator shall 
establish procedures--</DELETED>
        <DELETED>    (1) for businesses to verify status as a qualified 
        business wholly-owned through an ESOP for the purposes of this 
        section by using existing Federal reporting 
        mechanisms;</DELETED>
        <DELETED>    (2) for a qualified businesses wholly-owned 
        through an ESOP to certify that not more than 50 percent of the 
        amount paid under the contract will be expended on 
        subcontracts, including similarly situated ESOPs if determined 
        appropriate by the Administrator, subject to such necessary and 
        reasonable waivers as the implementing guidance or regulations 
        may prescribe; and</DELETED>
        <DELETED>    (3) to record and provide to relevant committees 
        of Congress upon request information on each follow-on contract 
        awarded under authority of this subsection, including details 
        relevant to the nature of such contract and the qualified 
        business wholly-owned through an ESOP that received the 
        contract.</DELETED>
<DELETED>    (c) Sunset.--A pilot program established under this 
section shall expire on the date that is 5 years after the date of the 
enactment of this Act.</DELETED>

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Federal Improvement in Technology 
Procurement Act'' or the ``FIT Procurement Act''.

SEC. 2. DEFINITIONS.

    In this Act:
            (1) Acquisition workforce.--The term ``acquisition 
        workforce'' means employees of an executive agency who are 
        responsible for procurement, contracting, program or project 
        management that involves the performance of acquisition-related 
        functions, or others as designated by the Chief Acquisition 
        Officer, senior procurement executive, or head of the 
        contracting activity.
            (2) Administrator.--The term ``Administrator'' means the 
        Administrator for Federal Procurement Policy.
            (3) Cross-functional.--The term ``cross-functional'' means 
        a structure in which individuals with different functional 
        expertise or from different areas of an organization work 
        together as a team.
            (4) Executive agency.--The term ``executive agency'' has 
        the meaning given the term in section 133 of title 41, United 
        States Code.
            (5) Experiential learning.--The term ``experiential 
        learning'' means on-the-job experiences or simulations that 
        serve to enhance workforce professional skills.
            (6) Information and communications technology.--The term 
        ``information and communications technology''--
                    (A) has the meaning given the term in section 4713 
                of title 41, United States Code; and
                    (B) includes information and communications 
                technologies covered by definitions contained in the 
                Federal Acquisition Regulation, including definitions 
                added after the date of the enactment of this Act by 
                the Federal Acquisition Regulatory Council pursuant to 
                notice and comment.
            (7) Relevant committees of congress.--The term ``relevant 
        committees of Congress'' means the Committee on Homeland 
        Security and Governmental Affairs of the Senate and the 
        Committee on Oversight and Accountability of the House of 
        Representatives.
            (8) Small business.--The term ``small business'' has the 
        meaning given the term ``small business concern'' in section 3 
        of the Small Business Act (15 U.S.C. 632).

SEC. 3. ACQUISITION WORKFORCE.

    (a) Experiential Learning.--Not later than 18 months after the date 
of the enactment of this Act, the Federal Acquisition Institute shall 
establish a pilot program to consider the incorporation of experiential 
learning into the Federal Credentials Program, the Federal Acquisition 
Certification-Contracting Officer's Representative (FAC-COR) Program, 
and the Federal Acquisition Certification for Program and Project 
Managers (FAC-P/PM) Program, or any successor programs.
    (b) Training on Information and Communications Technology 
Acquisition.--
            (1) In general.--Not later than 18 months after the date of 
        the enactment of this Act, the Federal Acquisition Institute, 
        in coordination with the Administrator, the Administrator of 
        General Services, the Administrator of the Office of Electronic 
        Government, the Chief Information Officers Council, and the 
        United States Digital Service, and in consultation with others 
        as determined to be appropriate by the Director of the Federal 
        Acquisition Institute, shall develop and implement or otherwise 
        provide a cross-functional information and communications 
        technology acquisition training program for acquisition 
        workforce members involved in acquiring information and 
        communications technology. The training shall--
                    (A) include learning objectives related to market 
                research, communicating with industry and industry 
                perspectives on the procurement process, including how 
                investment decisions are impacted by Government 
                communication and engagement, developing requirements, 
                acquisition planning, best practices for developing and 
                executing outcome-based contracts, and source selection 
                strategy, evaluating proposals, and awarding and 
                administering contracts for information and 
                communications technology;
                    (B) include learning objectives that provide a 
                basic understanding of key technologies Federal 
                agencies need, such as cloud computing, artificial 
                intelligence and artificial intelligence-enabled 
                applications, and cybersecurity solutions;
                    (C) include learning objectives that encourage the 
                use of commercial or commercially available off-the-
                shelf (COTS) technologies to the greatest extent 
                practicable;
                    (D) include case studies of lessons learned from 
                Federal information and communications technology 
                procurements and contracts, and related matters as 
                deemed relevant by the Director of the Federal 
                Acquisition Institute;
                    (E) include experiential learning opportunities, 
                and opportunities to practice acquisition teaming 
                involving collaboration of team members with varied 
                relevant domain expertise to complete acquisition-
                related tasks, including tasks with accelerated 
                timelines;
                    (F) include continuous learning recommendations and 
                resources to keep the skills of acquisition workforce 
                members current, including tools that help adopt or 
                adapt the use of innovative acquisition practices or 
                other flexible business practices commonly used in 
                commercial buys;
                    (G) be made available to acquisition workforce 
                members designated by a Chief Acquisition Officer, 
                senior procurement executive, or head of the 
                contracting activity to participate in the training 
                program; and
                    (H) inform executive agencies about streamlined and 
                alternative procurement methods for procurement of 
                information and communications technology, including--
                            (i) simplified procedures for certain 
                        commercial products and commercial services in 
                        accordance with subpart 13.5 of the Federal 
                        Acquisition Regulation, prize competitions 
                        under the America COMPETES Reauthorization Act 
                        of 2010 (Public Law 111-358), competitive 
                        programs that encourage businesses to engage in 
                        Federal research or research and development 
                        with the potential for commercialization, and 
                        joint venture partnerships;
                            (ii) innovative procurement techniques 
                        designed to streamline the procurement process 
                        and lower barriers to entry, such as use of 
                        oral presentations and product demonstrations 
                        instead of lengthy written proposals, 
                        appropriately leveraging performance and 
                        outcomes-based contracting, and other 
                        techniques discussed on the Periodic Table of 
                        Acquisition Innovations or other similar 
                        successor knowledge management portals; and
                            (iii) information on appropriate use, 
                        examples and templates, and any other 
                        information determined relevant by the 
                        Administrator to assist contracting officers 
                        and other members of the acquisition workforce 
                        in using the procedures described in clauses 
                        (i) and (ii).
                    (I) includes ethical procurement practices as a 
                core component of trainings and provides a mechanism 
                for feedback from program participants to ensure 
                trainings cover ethical procurement practices that are 
                aligned with the evolving landscape of technology and 
                procurement;
                    (J) incorporates learning objectives for workforce 
                members to identify and mitigate wasteful practices and 
                unethical behaviors in procurement processes, with a 
                focus on practical applications rather than theoretical 
                knowledge; and
                    (K) incorporates learning objectives on privacy 
                protection and civil liberties safeguards, ensuring 
                that all acquisition workforce members understand the 
                importance of integrating these considerations into the 
                procurement process.
            (2) Report.--Not later than 2 years after the date of the 
        enactment of this Act, the Director of the Federal Acquisition 
        Institute shall provide to the relevant committees of Congress, 
        the Chief Acquisition Officers Council, and the Chief 
        Information Officers Council--
                    (A) a report on the Director's progress in 
                developing and implementing or otherwise providing the 
                information and communications technology acquisition 
                training described in paragraph (1); and
                    (B) a list of any acquisition training that the 
                Director determines to be outdated or no longer 
                necessary for other reasons.
            (3) Duration.--The training program shall be updated as 
        appropriate as technology advances, but at least every 2 years 
        after implementation, and offered for a minimum of 5 years 
        following the date of implementation of the training program.
    (c) Acquisition Workforce Training Fund.--Section 1703(i)(3) of 
title 41, United States Code, is amended by striking ``Five percent'' 
and inserting ``Seven and a half percent''.
    (d) Harmonization of Acquisition Workforce Training Requirements.--
The responsibility for the requirement in subsection (b)(1) of section 
2 of the AI Training Act (Public Law 117-207; 41 U.S.C. 1703 note) is 
reassigned from the Director of the Office of Management and Budget to 
the Administrator of General Services.

SEC. 4. INNOVATIVE PROCUREMENT METHODS.

    (a) Increase in Simplified Acquisition Threshold.--Section 134 of 
title 41, United States Code, is amended by striking ``$250,000'' and 
inserting ``$500,000''.
    (b) Advances for Commercial Technology Subscriptions and Tenancy.--
Section 3324(d) of title 31, United States Code, is amended--
            (1) in paragraph (1)(C), by striking ``; and'' and 
        inserting a semicolon;
            (2) in paragraph (2)--
                    (A) by inserting ``or commercially available 
                content'' after ``publication''; and
                    (B) by striking the period at the end and inserting 
                ``; and''; and
            (3) by adding at the end the following new paragraph:
            ``(3) charges for information and communications technology 
        subscriptions, reservations, or tenancy, which means the 
        sharing of computing resources in a private or public 
        environment, including cloud environments, for which the 
        ordering agency defines appropriate access and security 
        standards.''.

SEC. 5. INCREASING COMPETITION IN FEDERAL CONTRACTING.

    (a) Use of Past Performance.--
            (1) In general.--Not later than 1 year after the date of 
        the enactment of this Act, the Administrator shall issue 
        guidance, including examples and templates where appropriate, 
        on--
                    (A) when a wider range of projects, such as 
                commercial or non-government, as well as Government 
                projects, should be accepted as relevant past 
                performance, in order to have increased competition 
                among eligible firms with capability to perform a 
                requirement, such as a requirement without much 
                precedent;
                    (B) a means by which an agency may validate non-
                government past performance references, such as by 
                requiring an official of an entity providing past 
                performance references to attest to their authenticity 
                and by providing verifiable contact information for the 
                references; and
                    (C) use of alternative evaluation methods other 
                than past performance that may be appropriate for a 
                requirement without much precedent, such as 
                demonstrations and testing of technologies as part of 
                the proposal process.
            (2) Supplement not supplant.--The guidance issued under 
        paragraph (1) shall supplement, not replace, existing Federal 
        and agency policy and procedures for consideration of past 
        performance and other evaluation factors and methods.
    (b) Enhancing Competition in Federal Procurement.--
            (1) Council recommendations.--Not later than 90 days after 
        the date of the enactment of this Act, the Administrator shall 
        convene the Chief Acquisition Officers' Council (in this 
        section referred to as the ``Council''), to make 
        recommendations to identify and eliminate specific, unnecessary 
        procedural barriers that disproportionately affect the ability 
        of small businesses to compete for Federal contracts, with a 
        focus on streamlining documentation and qualification 
        requirements unrelated to the protection of privacy and civil 
        liberties, and related matters.
            (2) Consultation.--The Council shall obtain input from the 
        public, including from the APEX Accelerators program (formerly 
        known as Procurement Technical Assistance Center (PTAC) 
        network) and other contractor representatives, to identify 
        Federal procurement policies and regulations that are obsolete, 
        overly burdensome or restrictive, not adequately harmonized, or 
        otherwise serve to create barriers to small business 
        participation in Federal contracting or unnecessarily increase 
        bid and proposal costs.
            (3) Examination of actions.--The Council shall consider the 
        input obtained under paragraph (3) and any other information 
        determined to be relevant by the Council to identify 
        legislative, regulatory, and other actions to increase 
        competition and remove barriers to small business participation 
        in the procurement process.
            (4) Implementation.--Not later than 2 years after the date 
        of the enactment of this Act, the Administrator shall, in 
        consultation with the Federal Acquisition Regulatory Council, 
        the Chief Acquisition Officers Council, and other agencies as 
        appropriate, implement the regulatory and other non-legislative 
        actions identified under paragraph (4), as determined necessary 
        by the Administrator, to remove barriers to entry for small 
        businesses seeking to participate in Federal Government 
        procurement.
            (5) Briefing.--Not later than 2 years after the date of the 
        enactment of this Act, the Administrator shall brief the 
        relevant committees of Congress on the legislative actions 
        identified under paragraph (4), and the actions implemented 
        under paragraph (5).
    (c) Consideration of Cost-efficiency and Quality.--The 
Administrator shall advocate for and prioritize contracting policies 
that ensure that cost-efficiency and quality of goods and services are 
key determining factors in awarding Federal contracts.

SEC. 6. COMPTROLLER GENERAL ASSESSMENT OF SMALL BUSINESS PARTICIPATION 
              IN FEDERAL PROCUREMENT.

    Not later than 18 months after the date of the enactment of this 
Act, the Comptroller General of the United States shall submit to 
Congress and make publicly available a report that--
            (1) assesses the current level of small business 
        participation in Federal procurement, identifying barriers, 
        opportunities, and the impact of existing policies on the 
        ability of small businesses to compete in Federal procurement;
            (2) catalogs and evaluates the effectiveness of programs 
        intended to support small business participation in Federal 
        procurement; and
            (3) analyzes trends in small business involvement in 
        Federal technology projects, including data on contract awards, 
        the diversity of sectors represented, and the geographic 
        distribution of small business contractors.

SEC. 7. CONFLICT OF INTEREST PROCEDURES.

    The Federal Acquisition Regulatory Council and the Administrator 
shall update the Federal Acquisition Regulation as necessary to provide 
additional guidance to Federal agencies to address personal and 
organizational conflicts of interest involving members of the 
acquisition workforce.

SEC. 8. NO ADDITIONAL FUNDING.

    No additional funds are authorized to be appropriated for the 
purpose of carrying out this Act.
                                                       Calendar No. 679

118th CONGRESS

  2d Session

                                S. 4066

                          [Report No. 118-276]

_______________________________________________________________________

                                 A BILL

   To improve Federal technology procurement, and for other purposes.

_______________________________________________________________________

                            December 9, 2024

                       Reported with an amendment
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