Clinger-Cohen Act 

On February 10, 1996, the President signed the Information Technology Management Reform 

Act (ITMRA) into law; ITMRA together with the Federal Acquisition Reform Act became 

knownas the Clinger-Cohen Act.

110 STAT. 186 PUBLIC LAW 104–106—FEB. 10, 1996

Public Law 104–106

104th Congress

An Act

To authorize appropriations for fiscal year 1996 for military activities of the Department of 

Defense, for military construction, and for defense activities of the Department of Energy, to 

prescribe personnel strengths for such fiscal year for the Armed Forces, to reform acquisition 

laws and information technology management of the Federal Government, and for other 

purposes.

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

Congress assembled,

SECTION 1. SHORT TITLE.

This Act may be cited as the ‘‘National Defense Authorization Act for Fiscal Year 1996’’.

SEC. 2. ORGANIZATION OF ACT INTO DIVISIONS; TABLE OF CONTENTS.

(a) DIVISIONS.—This Act is organized into five divisions as follows:

(1) Division A—Department of Defense Authorizations.

(2) Division B—Military Construction Authorizations.

(3) Division C—Department of Energy National Security Authorizations and Other 

Authorizations.

(4) Division D—Federal Acquisition Reform.

(5) Division E—Information Technology Management Reform.

(b) TABLE OF CONTENTS.—The table of contents for this Act

is as follows:

Sec. 1. Short title.

Sec. 2. Organization of Act into divisions; table of contents.

Sec. 3. Congressional defense committees defined.

Sec. 4. Extension of time for submission of reports.
DIVISION A—DEPARTMENT OF DEFENSE

AUTHORIZATIONS

TITLE I—PROCUREMENT

Subtitle A—Authorization of Appropriations

Sec. 101. Army.

Sec. 102. Navy and Marine Corps.

Sec. 103. Air Force.

Sec. 104. Defense-wide activities.

Sec. 105. Reserve components.

Sec. 106. Defense Inspector General.

Sec. 107. Chemical demilitarization program.

Sec. 108. Defense health programs.

Subtitle B—Army Programs

Sec. 111. Procurement of OH–58D Armed Kiowa Warrior helicopters.

Sec. 112. Repeal of requirements for armored vehicle upgrades.

Sec. 113. Multiyear procurement of helicopters.

Sec. 114. Report on AH–64D engine upgrades.

Sec. 115. Requirement for use of previously authorized multiyear procurement authority

for Army small arms procurement.

Subtitle C—Navy Programs

Sec. 131. Nuclear attack submarines.

Sec. 132. Research for advanced submarine technology.

Sec. 133. Cost limitation for Seawolf submarine program.

Sec. 134. Repeal of prohibition on backfit of Trident submarines.

Sec. 135. Arleigh Burke class destroyer program.

Sec. 136. Acquisition program for crash attenuating seats.

Sec. 137. T–39N trainer aircraft.

Sec. 138. Pioneer unmanned aerial vehicle program.

Subtitle D—Air Force Programs

Sec. 141. B–2 aircraft program.

Sec. 142. Procurement of B–2 bombers.

Sec. 143. MC–130H aircraft program.

Subtitle E—Chemical Demilitarization Program

Sec. 151. Repeal of requirement to proceed expeditiously with development of chemical 

demilitarization cryofracture facility at Tooele Army Depot, Utah.

Sec. 152. Destruction of existing stockpile of lethal chemical agents and munitions.

Sec. 153. Administration of chemical demilitarization program.
TITLE II—RESEARCH, DEVELOPMENT, TEST, AND EVALUATION

Subtitle A—Authorization of Appropriations

Sec. 201. Authorization of appropriations.

Sec. 202. Amount for basic research and exploratory development.

Sec. 203. Modifications to Strategic Environmental Research and Development Program.

Sec. 204. Defense dual use technology initiative.

Subtitle B—Program Requirements, Restrictions, and Limitations

Sec. 211. Space launch modernization.

Sec. 212. Tactical manned reconnaissance.

Sec. 213. Joint Advanced Strike Technology (JAST) program.

Sec. 214. Development of laser program.

Sec. 215. Navy mine countermeasures program.

Sec. 216. Space-based infrared system.

Sec. 217. Defense Nuclear Agency programs.

Sec. 218. Counterproliferation support program.

Sec. 219. Nonlethal weapons study.

Sec. 220. Federally funded research and development centers and university-affiliated

research centers.

Sec. 221. Joint seismic program and global seismic network.

Sec. 222. Hydra–70 rocket product improvement program.

Sec. 223. Limitation on obligation of funds until receipt of electronic combat consolidation

master plan.

Sec. 224. Report on reductions in research, development, test, and evaluation.

Sec. 225. Advanced Field Artillery System (Crusader).

Sec. 226. Demilitarization of conventional munitions, rockets, and explosives.

Sec. 227. Defense Airborne Reconnaissance program.

Subtitle C—Ballistic Missile Defense Act of 1995

Sec. 231. Short title.

Sec. 232. Findings.

Sec. 233. Ballistic Missile Defense policy.

Sec. 234. Theater Missile Defense architecture.

Sec. 235. Prohibition on use of funds to implement an international agreement concerning

Theater Missile Defense systems.

Sec. 236. Ballistic Missile Defense cooperation with allies.

Sec. 237. ABM Treaty defined.

Sec. 238. Repeal of Missile Defense Act of 1991.

Subtitle D—Other Ballistic Missile Defense Provisions

Sec. 251. Ballistic Missile Defense program elements.

Sec. 252. Testing of Theater Missile Defense interceptors.

Sec. 253. Repeal of missile defense provisions.
Subtitle E—Miscellaneous Reviews, Studies, and Reports

Sec. 261. Precision-guided munitions.

Sec. 262. Review of C4I by National Research Council.

Sec. 263. Analysis of consolidation of basic research accounts of military departments.

Sec. 264. Change in reporting period from calendar year to fiscal year for annual

report on certain contracts to colleges and universities.

Sec. 265. Aeronautical research and test capabilities assessment.

Subtitle F—Other Matters

Sec. 271. Advanced lithography program.

Sec. 272. Enhanced fiber optic guided missile (EFOG–M) system.

Sec. 273. States eligible for assistance under Defense Experimental Program To

Stimulate Competitive Research.

Sec. 274. Cruise missile defense initiative.

Sec. 275. Modification to university research initiative support program.

Sec. 276. Manufacturing technology program.

Sec. 277. Five-year plan for consolidation of defense laboratories and test and evaluation

centers.

Sec. 278. Limitation on T–38 avionics upgrade program.

Sec. 279. Global Positioning System.

Sec. 280. Revision of authority for providing Army support for the National Science

Center for Communications and Electronics.

TITLE III—OPERATION AND MAINTENANCE

Subtitle A—Authorization of Appropriations

Sec. 301. Operation and maintenance funding.

Sec. 302. Working capital funds.

Sec. 303. Armed Forces Retirement Home.

Sec. 304. Transfer from National Defense Stockpile Transaction Fund.

Sec. 305. Civil Air Patrol.

Subtitle B—Depot-Level Activities

Sec. 311. Policy regarding performance of depot-level maintenance and repair for

the Department of Defense.

Sec. 312. Management of depot employees.

Sec. 313. Extension of authority for aviation depots and naval shipyards to engage

in defense-related production and services.

Sec. 314. Modification of notification requirement regarding use of core logistics

functions waiver.

Subtitle C—Environmental Provisions

Sec. 321. Revision of requirements for agreements for services under environmental

restoration program.

Sec. 322. Addition of amounts creditable to Defense Environmental Restoration Account.

Sec. 323. Use of Defense Environmental Restoration Account.

Sec. 324. Revision of authorities relating to restoration advisory boards.

Sec. 325. Discharges from vessels of the Armed Forces.
Subtitle D—Commissaries and Nonappropriated Fund Instrumentalities

Sec. 331. Operation of commissary system.

Sec. 332. Limited release of commissary stores sales information to manufacturers,

distributors, and other vendors doing business with Defense Commissary Agency.

Sec. 333. Economical distribution of distilled spirits by nonappropriated fund instrumentalities.

Sec. 334. Transportation by commissaries and exchanges to overseas locations.

Sec. 335. Demonstration project for uniform funding of morale, welfare, and recreation

activities at certain military installations.

Sec. 336. Operation of combined exchange and commissary stores.

Sec. 337. Deferred payment programs of military exchanges.

Sec. 338. Availability of funds to offset expenses incurred by Army and Air Force

Exchange Service on account of troop reductions in Europe.

Sec. 339. Study regarding improving efficiencies in operation of military exchanges

and other morale, welfare, and recreation activities and commissary

stores.

Sec. 340. Repeal of requirement to convert ships’ stores to nonappropriated fund 

instrumentalities.

Sec. 341. Disposition of excess morale, welfare, and recreation funds.

Sec. 342. Clarification of entitlement to use of morale, welfare, and recreation facilities

by members of reserve components and dependents.

Subtitle E—Performance of Functions by Private-Sector Sources

Sec. 351. Competitive procurement of printing and duplication services.

Sec. 352. Direct vendor delivery system for consumable inventory items of Department

of Defense.

Sec. 353. Payroll, finance, and accounting functions of the Department of Defense.

Sec. 354. Demonstration program to identify overpayments made to vendors.

Sec. 355. Pilot program on private operation of defense dependents’ schools.

Sec. 356. Program for improved travel process for the Department of Defense.

Sec. 357. Increased reliance on private-sector sources for commercial products and

services.

Subtitle F—Miscellaneous Reviews, Studies, and Reports

Sec. 361. Quarterly readiness reports.

Sec. 362. Restatement of requirement for semiannual reports to Congress on transfers

from high-priority readiness appropriations.

Sec. 363. Report regarding reduction of costs associated with contract management

oversight.

Sec. 364. Reviews of management of inventory control points and Material Management

Standard System.

Sec. 365. Report on private performance of certain functions performed by military

aircraft.

Sec. 366. Strategy and report on automated information systems of Department of

Defense.

Subtitle G—Other Matters

Sec. 371. Codification of Defense Business Operations Fund.
Sec. 372. Clarification of services and property that may be exchanged to benefit

the historical collection of the Armed Forces.

Sec. 373. Financial management training.

Sec. 374. Permanent authority for use of proceeds from the sale of certain lost,

abandoned, or unclaimed property.

Sec. 375. Sale of military clothing and subsistence and other supplies of the Navy

and Marine Corps.

Sec. 376. Personnel services and logistical support for certain activities held on

military installations.

Sec. 377. Retention of monetary awards.

Sec. 378. Provision of equipment and facilities to assist in emergency response actions.

Sec. 379. Report on Department of Defense military and civil defense preparedness

to respond to emergencies resulting from a chemical, biological, radiological,

or nuclear attack.

TITLE IV—MILITARY PERSONNEL AUTHORIZATIONS

Subtitle A—Active Forces

Sec. 401. End strengths for active forces.

Sec. 402. Temporary variation in DOPMA authorized end strength limitations for

active duty Air Force and Navy officers in certain grades.

Sec. 403. Certain general and flag officers awaiting retirement not to be counted.

Subtitle B—Reserve Forces

Sec. 411. End strengths for Selected Reserve.

Sec. 412. End strengths for Reserves on active duty in support of the Reserves.

Sec. 413. Counting of certain active component personnel assigned in support of reserve

component training.

Sec. 414. Increase in number of members in certain grades authorized to serve on

active duty in support of the Reserves.

Sec. 415. Reserves on active duty in support of cooperative threat reduction programs

not to be counted.

Sec. 416. Reserves on active duty for military-to-military contacts and comparable

activities not to be counted.

Subtitle C—Military Training Student Loads

Sec. 421. Authorization of training student loads.

Subtitle D—Authorization of Appropriations

Sec. 431. Authorization of appropriations for military personnel.

Sec. 432. Authorization for increase in active-duty end strengths.

TITLE V—MILITARY PERSONNEL POLICY

Subtitle A—Officer Personnel Policy

Sec. 501. Joint officer management.

Sec. 502. Retired grade for officers in grades above major general and rear admiral.

Sec. 503. Wearing of insignia for higher grade before promotion.

Sec. 504. Authority to extend transition period for officers selected for early retirement.

Sec. 505. Army officer manning levels.
Sec. 506. Authority for medical department officers other than physicians to be appointed

as Surgeon General.

Sec. 507. Deputy Judge Advocate General of the Air Force.

Sec. 508. Authority for temporary promotions for certain Navy lieutenants with

critical skills.

Sec. 509. Retirement for years of service of Directors of Admissions of Military and

Air Force academies.

Subtitle B—Matters Relating to Reserve Components

Sec. 511. Extension of certain Reserve officer management authorities.

Sec. 512. Mobilization income insurance program for members of Ready Reserve.

Sec. 513. Military technician full-time support program for Army and Air Force reserve

components.

Sec. 514. Revisions to Army Guard Combat Reform Initiative to include Army Reserve

under certain provisions and make certain revisions.

Sec. 515. Active duty associate unit responsibility.

Sec. 516. Leave for members of reserve components performing public safety duty.

Sec. 517. Department of Defense funding for National Guard participation in joint

disaster and emergency assistance exercises.

Subtitle C—Decorations and Awards

Sec. 521. Award of Purple Heart to persons wounded while held as prisoners of war

before April 25, 1962.

Sec. 522. Authority to award decorations recognizing acts of valor performed in

combat during the Vietnam conflict.

Sec. 523. Military intelligence personnel prevented by secrecy from being considered

for decorations and awards.

Sec. 524. Review regarding upgrading of Distinguished-Service Crosses and Navy

Crosses awarded to Asian-Americans and Native American Pacific Islanders

for World War II service.

Sec. 525. Eligibility for Armed Forces Expeditionary Medal based upon service in

El Salvador.

Sec. 526. Procedure for consideration of military decorations not previously submitted

in timely fashion.

Subtitle D—Officer Education Programs

PART I—SERVICE ACADEMIES

Sec. 531. Revision of service obligation for graduates of the service academies.

Sec. 532. Nominations to service academies from Commonwealth of the Northern Marianas 

Islands.

Sec. 533. Repeal of requirement for athletic director and nonappropriated fund account

for the athletics programs at the service academies.

Sec. 534. Repeal of requirement for program to test privatization of service academy

preparatory schools.

PART II—RESERVE OFFICER TRAINING CORPS

Sec. 541. ROTC access to campuses.

Sec. 542. ROTC scholarships for the National Guard.

Sec. 543. Delay in reorganization of Army ROTC regional headquarters structure.

Sec. 544. Duration of field training or practice cruise required under the Senior Reserve Officers’ 

Training Corps program.
Sec. 545. Active duty officers detailed to ROTC duty at senior military colleges to serve as 

Commandant and Assistant Commandant of Cadets and as tactical officers.

Subtitle E—Miscellaneous Reviews, Studies, and Reports

Sec. 551. Report concerning appropriate forum for judicial review of Department of

Defense personnel actions.

Sec. 552. Comptroller General review of proposed Army end strength allocations.

Sec. 553. Report on manning status of highly deployable support units.

Sec. 554. Review of system for correction of military records.

Sec. 555. Report on the consistency of reporting of fingerprint cards and final disposition

forms to the Federal Bureau of Investigation.

Subtitle F—Other Matters

Sec. 561. Equalization of accrual of service credit for officers and enlisted members.

Sec. 562. Army Ranger training.

Sec. 563. Separation in cases involving extended confinement.

Sec. 564. Limitations on reductions in medical personnel.

Sec. 565. Sense of Congress concerning personnel tempo rates.

Sec. 566. Separation benefits during force reduction for officers of commissioned

corps of National Oceanic and Atmospheric Administration.

Sec. 567. Discharge of members of the Armed Forces who have the HIV–1 virus.

Sec. 568. Revision and codification of Military Family Act and Military Child Care Act.

Sec. 569. Determination of whereabouts and status of missing persons.

Sec. 570. Associate Director of Central Intelligence for Military Support.

Subtitle G—Support for Non-Department of Defense Activities

Sec. 571. Repeal of certain civil-military programs.

Sec. 572. Training activities resulting in incidental support and services for eligible

organizations and activities outside the Department of Defense.

Sec. 573. National Guard civilian youth opportunities pilot program.

Sec. 574. Termination of funding for Office of Civil-Military Programs in Office of

the Secretary of Defense.

TITLE VI—COMPENSATION AND OTHER PERSONNEL BENEFITS

Subtitle A—Pay and Allowances

Sec. 601. Military pay raise for fiscal year 1996.

Sec. 602. Limitation on basic allowance for subsistence for members residing without

dependents in Government quarters.

Sec. 603. Election of basic allowance for quarters instead of assignment to inadequate

quarters.

Sec. 604. Payment of basic allowance for quarters to members in pay grade E–6

who are assigned to sea duty.

Sec. 605. Limitation on reduction of variable housing allowance for certain members.

Sec. 606. Clarification of limitation on eligibility for family separation allowance.
Subtitle B—Bonuses and Special and Incentive Pays

Sec. 611. Extension of certain bonuses for reserve forces.

Sec. 612. Extension of certain bonuses and special pay for nurse officer candidates,

registered nurses, and nurse anesthetists.

Sec. 613. Extension of authority relating to payment of other bonuses and special

pays.

Sec. 614. Codification and extension of special pay for critically short wartime

health specialists in the Selected Reserves.

Sec. 615. Hazardous duty incentive pay for warrant officers and enlisted members

serving as air weapons controllers.

Sec. 616. Aviation career incentive pay.

Sec. 617. Clarification of authority to provide special pay for nurses.

Sec. 618. Continuous entitlement to career sea pay for crew members of ships designated

as tenders.

Sec. 619. Increase in maximum rate of special duty assignment pay for enlisted

members serving as recruiters.

Subtitle C—Travel and Transportation Allowances

Sec. 621. Repeal of requirement regarding calculation of allowances on basis of

mileage tables.

Sec. 622. Departure allowances.

Sec. 623. Transportation of nondependent child from member’s station overseas

after loss of dependent status while overseas.

Sec. 624. Authorization of dislocation allowance for moves in connection with base

realignments and closures.

Subtitle D—Retired Pay, Survivor Benefits, and Related Matters

Sec. 631. Effective date for military retiree cost-of-living adjustments for fiscal

years 1996, 1997, and 1998.

Sec. 632. Denial of non-regular service retired pay for Reserves receiving certain

court-martial sentences.

Sec. 633. Report on payment of annuities for certain military surviving spouses.

Sec. 634. Payment of back quarters and subsistence allowances to World War II

veterans who served as guerilla fighters in the Philippines.

Sec. 635. Authority for relief from previous overpayments under minimum income

widows program.

Sec. 636. Transitional compensation for dependents of members of the Armed

Forces separated for dependent abuse.

Subtitle E—Other Matters

Sec. 641. Payment to survivors of deceased members for all leave accrued.

Sec. 642. Repeal of reporting requirements regarding compensation matters.

Sec. 643. Recoupment of administrative expenses in garnishment actions.

Sec. 644. Report on extending to junior noncommissioned officers privileges provided

for senior noncommissioned officers.

Sec. 645. Study regarding joint process for determining location of recruiting stations.
Sec. 646. Automatic maximum coverage under Servicemen’s Group Life Insurance.

Sec. 647. Termination of Servicemen’s Group Life Insurance for members of the

Ready Reserve who fail to pay premiums.

TITLE VII—HEALTH CARE PROVISIONS

Subtitle A—Health Care Services

Sec. 701. Modification of requirements regarding routine physical examinations and

immunizations under CHAMPUS.

Sec. 702. Correction of inequities in medical and dental care and death and disability

benefits for certain Reserves.

Sec. 703. Medical care for surviving dependents of retired Reserves who die before

age 60.

Sec. 704. Medical and dental care for members of the Selected Reserve assigned to

early deploying units of the Army Selected Reserve.

Sec. 705. Dental insurance for members of the Selected Reserve.

Sec. 706. Permanent authority to carry out specialized treatment facility program.

Subtitle B—TRICARE Program

Sec. 711. Definition of TRICARE program.

Sec. 712. Priority use of military treatment facilities for persons enrolled in managed

care initiatives.

Sec. 713. Staggered payment of enrollment fees for TRICARE program.

Sec. 714. Requirement of budget neutrality for TRICARE program to be based on

entire program.

Sec. 715. Training in health care management and administration for TRICARE

lead agents.

Sec. 716. Pilot program of individualized residential mental health services.

Sec. 717. Evaluation and report on TRICARE program effectiveness.

Sec. 718. Sense of Congress regarding access to health care under TRICARE program

for covered beneficiaries who are medicare eligible.

Subtitle C—Uniformed Services Treatment Facilities

Sec. 721. Delay of termination of status of certain facilities as Uniformed Services

Treatment Facilities.

Sec. 722. Limitation on expenditures to support Uniformed Services Treatment Facilities.

Sec. 723. Application of CHAMPUS payment rules in certain cases.

Sec. 724. Application of Federal Acquisition Regulation to participation agreements

with Uniformed Services Treatment Facilities.

Sec. 725. Development of plan for integrating Uniformed Services Treatment Facilities

in managed care programs of Department of Defense.

Sec. 726. Equitable implementation of uniform cost sharing requirements for Uniformed

Services Treatment Facilities.

Sec. 727. Elimination of unnecessary annual reporting requirement regarding Uniformed

Services Treatment Facilities.
Subtitle D—Other Changes to Existing Laws Regarding Health Care Management

Sec. 731. Maximum allowable payments to individual health-care providers under

CHAMPUS.

Sec. 732. Notification of certain CHAMPUS covered beneficiaries of loss of

CHAMPUS eligibility.

Sec. 733. Personal services contracts for medical treatment facilities of the Coast

Guard.

Sec. 734. Identification of third-party payer situations.

Sec. 735. Redesignation of Military Health Care Account as Defense Health Program

Account and two-year availability of certain account funds.

Sec. 736. Expansion of financial assistance program for health-care professionals in

reserve components to include dental specialties.

Sec. 737. Applicability of limitation on prices of pharmaceuticals procured for Coast

Guard.

Sec. 738. Restriction on use of Department of Defense facilities for abortions.

Subtitle E—Other Matters

Sec. 741. Triservice nursing research.

Sec. 742. Termination of program to train military psychologists to prescribe psychotropic

medications.

Sec. 743. Waiver of collection of payments due from certain persons unaware of loss

of CHAMPUS eligibility.

Sec. 744. Demonstration program to train military medical personnel in civilian

shock trauma units.

Sec. 745. Study regarding Department of Defense efforts to determine appropriate

force levels of wartime medical personnel.

Sec. 746. Report on improved access to military health care for covered beneficiaries

entitled to medicare.

Sec. 747. Report on effect of closure of Fitzsimons Army Medical Center, Colorado,

on provision of care to military personnel, retired military personnel,

and their dependents.

Sec. 748. Sense of Congress on continuity of health care services for covered beneficiaries

adversely affected by closures of military medical treatment facilities.

Sec. 749. State recognition of military advance medical directives.

TITLE VIII—ACQUISITION POLICY, ACQUISITION MANAGEMENT, AND

RELATED MATTERS

Subtitle A—Acquisition Reform

Sec. 801. Inapplicability of limitation on expenditure of appropriations to contracts

at or below simplified acquisition threshold.

Sec. 802. Authority to delegate contracting authority.

Sec. 803. Control in procurements of critical aircraft and ship spare parts.

Sec. 804. Fees for certain testing services.

Sec. 805. Coordination and communication of defense research activities.

Sec. 806. Addition of certain items to domestic source limitation.

Sec. 807. Encouragement of use of leasing authority.

Sec. 808. Cost reimbursement rules for indirect costs attributable to private sector
work of defense contractors.

Sec. 809. Subcontracts for ocean transportation services.

Sec. 810. Prompt resolution of audit recommendations.

Sec. 811. Test program for negotiation of comprehensive subcontracting plans.

Sec. 812. Procurement of items for experimental or test purposes.

Sec. 813. Use of funds for acquisition of designs, processes, technical data, and computer

software.

Sec. 814. Independent cost estimates for major defense acquisition programs.

Sec. 815. Construction, repair, alteration, furnishing, and equipping of naval vessels.

Subtitle B—Other Matters

Sec. 821. Procurement technical assistance programs.

Sec. 822. Defense facility-wide pilot program.

Sec. 823. Treatment of Department of Defense cable television franchise agreements.

Sec. 824. Extension of pilot mentor-protege program.

TITLE IX—DEPARTMENT OF DEFENSE ORGANIZATION AND

MANAGEMENT

Subtitle A—General Matters

Sec. 901. Organization of the Office of the Secretary of Defense.

Sec. 902. Reduction in number of Assistant Secretary of Defense positions.

Sec. 903. Deferred repeal of various statutory positions and offices in Office of the

Secretary of Defense.

Sec. 904. Redesignation of the position of Assistant to the Secretary of Defense for

Atomic Energy.


Sfmt 6582 PUBL106.104 apps06

110 STAT. 194 PUBLIC LAW 104–106—FEB. 10, 1996

Sec. 905. Joint Requirements Oversight Council.

Sec. 906. Restructuring of Department of Defense acquisition organization and

workforce.

Sec. 907. Report on Nuclear Posture Review and on plans for nuclear weapons

management in event of abolition of Department of Energy.

Sec. 908. Redesignation of Advanced Research Projects Agency.

Subtitle B—Financial Management

Sec. 911. Transfer authority regarding funds available for foreign currency fluctuations.

Sec. 912. Defense Modernization Account.

Sec. 913. Designation and liability of disbursing and certifying officials.

Sec. 914. Fisher House trust funds.

Sec. 915. Limitation on use of authority to pay for emergency and extraordinary expenses.

TITLE X—GENERAL PROVISIONS

Subtitle A—Financial Matters

Sec. 1001. Transfer authority.

Sec. 1002. Incorporation of classified annex.
Sec. 1003. Improved funding mechanisms for unbudgeted operations.

Sec. 1004. Operation Provide Comfort.

Sec. 1005. Operation Enhanced Southern Watch.

Sec. 1006. Authority for obligation of certain unauthorized fiscal year 1995 defense

appropriations.

Sec. 1007. Authorization of prior emergency supplemental appropriations for fiscal

year 1995.

Sec. 1008. Authorization reductions to reflect savings from revised economic assumptions.

Subtitle B—Naval Vessels and Shipyards

Sec. 1011. Iowa class battleships.

Sec. 1012. Transfer of naval vessels to certain foreign countries.

Sec. 1013. Contract options for LMSR vessels.

Sec. 1014. National Defense Reserve Fleet.

Sec. 1015. Naval salvage facilities.

Sec. 1016. Vessels subject to repair under phased maintenance contracts.

Sec. 1017. Clarification of requirements relating to repairs of vessels.

Sec. 1018. Sense of Congress concerning naming of amphibious ships.

Sec. 1019. Sense of Congress concerning naming of naval vessel.

Sec. 1020. Transfer of riverine patrol craft.

Subtitle C—Counter-Drug Activities

Sec. 1021. Revision and clarification of authority for Federal support of drug interdiction

and counter-drug activities of the National Guard.

Subtitle D—Civilian Personnel

Sec. 1031. Management of Department of Defense civilian personnel.

Sec. 1032. Conversion of military positions to civilian positions.

Sec. 1033. Elimination of 120-day limitation on details of certain employees.

Sec. 1034. Authority for civilian employees of Department of Defense to participate

voluntarily in reductions in force.

Sec. 1035. Authority to pay severance payments in lump sums.

Sec. 1036. Continued health insurance coverage.

Sec. 1037. Revision of authority for appointments of involuntarily separated military

reserve technicians.

Sec. 1038. Wearing of uniform by National Guard technicians.

Sec. 1039. Military leave for military reserve technicians for certain duty overseas.

Sec. 1040. Personnel actions involving employees of nonappropriated fund instrumentalities.

Sec. 1041. Coverage of nonappropriated fund employees under authority for flexible

and compressed work schedules.

Sec. 1042. Limitation on provision of overseas living quarters allowances for

nonappropriated fund instrumentality employees.

Sec. 1043. Elections relating to retirement coverage.

Sec. 1044. Extension of temporary authority to pay civilian employees with respect

to the evacuation from Guantanamo, Cuba.

Subtitle E—Miscellaneous Reporting Requirements

Sec. 1051. Report on fiscal year 1997 budget submission regarding Guard and Reserve

components.

Sfmt 6582 PUBL106.104 apps06

PUBLIC LAW 104–106—FEB. 10, 1996 110 STAT. 195

Sec. 1052. Report on desirability and feasibility of providing authority for use of

funds derived from recovered losses resulting from contractor fraud.

Sec. 1053. Report of national policy on protecting the national information infrastructure

against strategic attacks.

Sec. 1054. Report on Department of Defense boards and commissions.

Sec. 1055. Date for submission of annual report on special access programs.

Subtitle F—Repeal of Certain Reporting and Other Requirements and Authorities

Sec. 1061. Repeal of miscellaneous provisions of law.

Sec. 1062. Reports required by title 10, United States Code.

Sec. 1063. Reports required by defense authorization and appropriations Acts.

Sec. 1064. Reports required by other provisions of law.

Subtitle G—Department of Defense Education Programs

Sec. 1071. Continuation of Uniformed Services University of the Health Sciences.

Sec. 1072. Additional graduate schools and programs at Uniformed Services University

of the Health Sciences.

Sec. 1073. Funding for adult education programs for military personnel and dependents

outside the United States.

Sec. 1074. Assistance to local educational agencies that benefit dependents of members

of the Armed Forces and Department of Defense civilian employees.

Sec. 1075. Sharing of personnel of Department of Defense domestic dependent

schools and defense dependents’ education system.

Sec. 1076. Increase in reserve component Montgomery GI Bill educational assistance

allowance with respect to skills or specialties for which there is

a critical shortage of personnel.

Sec. 1077. Date for annual report on reserve component Montgomery GI Bill educational

assistance program.

Sec. 1078. Scope of education programs of Community College of the Air Force.

Sec. 1079. Amendments to education loan repayment programs.

Subtitle H—Other Matters

Sec. 1081. National defense technology and industrial base, defense reinvestment, and defense 

conversion programs.

Sec. 1082. Ammunition industrial base.

Sec. 1083. Policy concerning excess defense industrial capacity.

Sec. 1084. Sense of Congress concerning access to secondary school student information

for recruiting purposes.

Sec. 1085. Disclosure of information concerning unaccounted for United States personnel

from the Korean Conflict, the Vietnam era, and the Cold War.

Sec. 1086. Operational support airlift aircraft fleet.

Sec. 1087. Civil Reserve Air Fleet.

Sec. 1088. Damage or loss to personal property due to emergency evacuation or extraordinary

circumstances.
Sec. 1089. Authority to suspend or terminate collection actions against deceased

members.

Sec. 1090. Check cashing and exchange transactions for dependents of United

States Government personnel.

Sec. 1091. Designation of National Maritime Center.

Sec. 1092. Sense of Congress regarding historic preservation of Midway Islands.

Sec. 1093. Sense of Senate regarding Federal spending.

Sec. 1094. Extension of authority for vessel war risk insurance.

TITLE XI—UNIFORM CODE OF MILITARY JUSTICE

Sec. 1101. Short title.

Sec. 1102. References to Uniform Code of Military Justice.

Subtitle A—Offenses

Sec. 1111. Refusal to testify before court-martial.

Sec. 1112. Flight from apprehension.

Sec. 1113. Carnal knowledge.

Subtitle B—Sentences

Sec. 1121. Effective date for forfeitures of pay and allowances and reductions in

grade by sentence of court-martial.

Sec. 1122. Required forfeiture of pay and allowances during confinement.

Sec. 1123. Deferment of confinement.

Subtitle C—Pretrial and Post-Trial Actions


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110 STAT. 196 PUBLIC LAW 104–106—FEB. 10, 1996

Sec. 1131. Article 32 investigations.

Sec. 1132. Submission of matters to the convening authority for consideration.

Sec. 1133. Commitment of accused to treatment facility by reason of lack of mental

capacity or mental responsibility.

Subtitle D—Appellate Matters

Sec. 1141. Appeals by the United States.

Sec. 1142. Repeal of termination of authority for Chief Justice of the United States

to designate Article III judges for temporary service on Court of Appeals

for the Armed Forces.

Subtitle E—Other Matters

Sec. 1151. Advisory committee on criminal law jurisdiction over civilians accompanying

the Armed Forces in time of armed conflict.

Sec. 1152. Time after accession for initial instruction in the Uniform Code of Military

Justice.

Sec. 1153. Technical amendment.

TITLE XII—COOPERATIVE THREAT REDUCTION WITH STATES OF

FORMER SOVIET UNION

Sec. 1201. Specification of Cooperative Threat Reduction programs.

Sec. 1202. Fiscal year 1996 funding allocations.

Sec. 1203. Prohibition on use of funds for peacekeeping exercises and related activities

with Russia.

Sec. 1204. Revision to authority for assistance for weapons destruction.
Sec. 1205. Prior notice to Congress of obligation of funds.

Sec. 1206. Report on accounting for United States assistance.

Sec. 1207. Limitation on assistance to nuclear weapons scientists of former Soviet

Union.

Sec. 1208. Limitations relating to offensive biological warfare program of Russia.

Sec. 1209. Limitation on use of funds for chemical weapons destruction facility.

TITLE XIII—MATTERS RELATING TO OTHER NATIONS

Subtitle A—Peacekeeping Provisions

Sec. 1301. Limitation on use of Department of Defense funds for United States

share of costs of United Nations peacekeeping activities.

Subtitle B—Humanitarian Assistance Programs

Sec. 1311. Overseas humanitarian, disaster, and civic aid programs.

Sec. 1312. Humanitarian assistance.

Sec. 1313. Landmine clearance program.

Subtitle C—Arms Exports and Military Assistance

Sec. 1321. Defense export loan guarantees.

Sec. 1322. National security implications of United States export control policy.

Sec. 1323. Department of Defense review of export licenses for certain biological

pathogens.

Sec. 1324. Annual reports on improving export control mechanisms and on military

assistance.

Sec. 1325. Report on personnel requirements for control of transfer of certain weapons.

Subtitle D—Burdensharing and Other Cooperative Activities Involving

Allies and NATO

Sec. 1331. Accounting for burdensharing contributions.

Sec. 1332. Authority to accept contributions for expenses of relocation within host

nation of United States Armed Forces overseas.

Sec. 1333. Revised goal for allied share of costs for United States installations in

Europe.

Sec. 1334. Exclusion of certain forces from European end strength limitation.

Sec. 1335. Cooperative research and development agreements with NATO organizations.

Sec. 1336. Support services for the Navy at the port of Haifa, Israel.

Subtitle E—Other Matters

Sec. 1341. Prohibition on financial assistance to terrorist countries.

Sec. 1342. Judicial assistance to the International Tribunal for Yugoslavia and to

the International Tribunal for Rwanda.

Sec. 1343. Semiannual reports concerning United States-People’s Republic of China

Joint Defense Conversion Commission.

TITLE XIV—ARMS CONTROL MATTERS

Sec. 1401. Revision of definition of landmine for purposes of landmine export moratorium.

Sec. 1402. Reports on moratorium on use by Armed Forces of antipersonnel landmines.

Sec. 1403. Extension and amendment of counter-proliferation authorities.

Sec. 1404. Limitation on retirement or dismantlement of strategic nuclear delivery

systems.
Sec. 1405. Congressional findings and sense of Congress concerning treaty violations.

Sec. 1406. Sense of Congress on ratification of Chemical Weapons Convention and

START II Treaty.

Sec. 1407. Implementation of arms control agreements.

Sec. 1408. Iran and Iraq arms nonproliferation.

TITLE XV—TECHNICAL AND CLERICAL AMENDMENTS

Sec. 1501. Amendments related to Reserve Officer Personnel Management Act.

Sec. 1502. Amendments to reflect name change of Committee on Armed Services of

the House of Representatives.

Sec. 1503. Miscellaneous amendments to title 10, United States Code.

Sec. 1504. Miscellaneous amendments to annual defense authorization Acts.

Sec. 1505. Miscellaneous amendments to other laws.

Sec. 1506. Coordination with other amendments.

TITLE XVI—CORPORATION FOR THE PROMOTION OF RIFLE PRACTICE

AND FIREARMS SAFETY

Sec. 1601. Short title.

Subtitle A—Establishment and Operation of Corporation

Sec. 1611. Establishment of the Corporation.

Sec. 1612. Conduct of Civilian Marksmanship Program.

Sec. 1613. Eligibility for participation in Civilian Marksmanship Program.

Sec. 1614. Issuance, loan, and sale of firearms and ammunition by the Corporation.

Sec. 1615. Transfer of firearms and ammunition from the Army to the Corporation.

Sec. 1616. Reservation by the Army of firearms and ammunition for the Corporation.

Sec. 1617. Army logistical support for the program.

Sec. 1618. General authorities of the Corporation.

Sec. 1619. Distribution of Corporate assets in event of dissolution.

Subtitle B—Transitional Provisions

Sec. 1621. Transfer of funds and property to the Corporation.

Sec. 1622. Continuation of eligibility for certain civil service benefits for former

Federal employees of Civilian Marksmanship Program.

Sec. 1623. Certification of completion of transition.

Sec. 1624. Repeal of authority for conduct of Civilian Marksmanship Program by

the Army.

DIVISION B—MILITARY CONSTRUCTION AUTHORIZATIONS

Sec. 2001. Short title.

TITLE XXI—ARMY

Sec. 2101. Authorized Army construction and land acquisition projects.

Sec. 2102. Family housing.

Sec. 2103. Improvements to military family housing units.

Sec. 2104. Authorization of appropriations, Army.
TITLE XXII—NAVY

Sec. 2201. Authorized Navy construction and land acquisition projects.

Sec. 2202. Family housing.

Sec. 2203. Improvements to military family housing units.

Sec. 2204. Authorization of appropriations, Navy.

Sec. 2205. Revision of fiscal year 1995 authorization of appropriations to clarify

availability of funds for large anechoic chamber facility, Patuxent River Naval Warfare Center, 

Maryland.

Sec. 2206. Authority to carry out land acquisition project, Hampton Roads, Virginia.

Sec. 2207. Acquisition of land, Henderson Hall, Arlington, Virginia.

Sec. 2208. Acquisition or construction of military family housing in vicinity of San

Diego, California.

TITLE XXIII—AIR FORCE

Sec. 2301. Authorized Air Force construction and land acquisition projects.

Sec. 2302. Family housing.

Sec. 2303. Improvements to military family housing units.

Sec. 2304. Authorization of appropriations, Air Force.

Sec. 2305. Retention of accrued interest on funds deposited for construction of family

housing, Scott Air Force Base, Illinois.

TITLE XXIV—DEFENSE AGENCIES

Sec. 2401. Authorized Defense Agencies construction and land acquisition projects.

Sec. 2402. Military family housing private investment.

Sec. 2403. Improvements to military family housing units.

Sec. 2404. Energy conservation projects.

Sec. 2405. Authorization of appropriations, Defense Agencies.

Sec. 2406. Limitations on use of Department of Defense Base Closure Account

1990.

Sec. 2407. Modification of authority to carry out fiscal year 1995 projects.

Sec. 2408. Reduction in amounts authorized to be appropriated for fiscal year 1994

contingency construction projects.

TITLE XXV—NORTH ATLANTIC TREATY ORGANIZATION

INFRASTRUCTURE

Sec. 2501. Authorized NATO construction and land acquisition projects.

Sec. 2502. Authorization of appropriations, NATO.

TITLE XXVI—GUARD AND RESERVE FORCES FACILITIES

Sec. 2601. Authorized Guard and Reserve construction and land acquisition

projects.

Sec. 2602. Reduction in amount authorized to be appropriated for fiscal year 1994

Air National Guard Projects.

Sec. 2603. Correction in authorized uses of funds for Army National Guard projects

in Mississippi.

TITLE XXVII—EXPIRATION AND EXTENSION OF AUTHORIZATIONS

Sec. 2701. Expiration of authorizations and amounts required to be specified by

law.

Sec. 2702. Extension of authorizations of certain fiscal year 1993 projects.

Sec. 2703. Extension of authorizations of certain fiscal year 1992 projects.

TITLE XXVIII—GENERAL PROVISIONS

Subtitle A—Military Housing Privatization Initiative
Sec. 2801. Alternative authority for construction and improvement of military housing.

Sec. 2802. Expansion of authority for limited partnerships for development of military

family housing.

Subtitle B—Other Military Construction Program and Military Family

Housing Changes

Sec. 2811. Special threshold for unspecified minor construction projects to correct

life, health, or safety deficiencies.

Sec. 2812. Clarification of scope of unspecified minor construction authority.

Sec. 2813. Temporary authority to waive net floor area limitation for family housing

acquired in lieu of construction.

Sec. 2814. Reestablishment of authority to waive net floor area limitation on acquisition

by purchase of certain military family housing.

Sec. 2815. Temporary authority to waive limitations on space by pay grade for military

family housing units.

Sec. 2816. Rental of family housing in foreign countries.

Sec. 2817. Clarification of scope of report requirement on cost increases under contracts

for military family housing construction.

Sec. 2818. Authority to convey damaged or deteriorated military family housing.

Sec. 2819. Energy and water conservation savings for the Department of Defense.

Sec. 2820. Extension of authority to enter into leases of land for special operations

activities.


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Sec. 2821. Disposition of amounts recovered as a result of damage to real property.

Sec. 2822. Pilot program to provide interest rate buy down authority on loans for

housing within housing shortage areas at military installations.

Subtitle C—Defense Base Closure and Realignment

Sec. 2831. Deposit of proceeds from leases of property located at installations being

closed or realigned.

Sec. 2832. In-kind consideration for leases at installations to be closed or realigned.

Sec. 2833. Interim leases of property approved for closure or realignment.

Sec. 2834. Authority to lease property requiring environmental remediation at

installations approved for closure or realignment.

Sec. 2835. Final funding for Defense Base Closure and Realignment Commission.

Sec. 2836. Exercise of authority delegated by the Administrator of General Services.

Sec. 2837. Lease back of property disposed from installations approved for closure

or realignment.

Sec. 2838. Improvement of base closure and realignment process regarding disposal

of property.

Sec. 2839. Agreements for certain services at installations being closed.

Sec. 2840. Authority to transfer property at military installations to be closed to

persons who construct or provide military family housing.

Sec. 2841. Use of single base closure authorities for disposal of property and facilities

at Fort Holabird, Maryland.

Subtitle D—Land Conveyances Generally
PART I—ARMY CONVEYANCES

Sec. 2851. Transfer of jurisdiction, Fort Sam Houston, Texas.

Sec. 2852. Transfer of jurisdiction, Fort Bliss, Texas.

Sec. 2853. Transfer of jurisdiction and land conveyance, Fort Devens Military Reservation,

Massachusetts.

Sec. 2854. Modification of land conveyance, Fort Belvoir, Virginia.

Sec. 2855. Land exchange, Fort Lewis, Washington.

Sec. 2856. Land exchange, Army Reserve Center, Gainesville, Georgia.

Sec. 2857. Land conveyance, Holston Army Ammunition Plant, Mount Carmel,

Tennessee.

Sec. 2858. Land conveyance, Indiana Army Ammunition Plant, Charlestown, Indiana.

Sec. 2859. Land conveyance, Fort Ord, California.

Sec. 2860. Land conveyance, Parks Reserve Forces Training Area, Dublin, California.

Sec. 2861. Land conveyance, Army Reserve Center, Youngstown, Ohio.

Sec. 2862. Land conveyance, Army Reserve Property, Fort Sheridan, Illinois.

Sec. 2863. Land conveyance, property underlying Cummins Apartment Complex,

Fort Holabird, Maryland.

Sec. 2864. Modification of existing land conveyance, Army property, Hamilton Air

Force Base, California.

PART II—NAVY CONVEYANCES

Sec. 2865. Transfer of jurisdiction, Naval Weapons Industrial Reserve Plant,

Calverton, New York.

Sec. 2866. Modification of land conveyance, Naval Weapons Industrial Reserve

Plant, Calverton, New York.

Sec. 2867. Land conveyance alternative to existing lease authority, Naval Supply

Center, Oakland, California.

Sec. 2868. Land conveyance, Naval Weapons Industrial Reserve Plant, McGregor,

Texas.

Sec. 2869. Land conveyance, Naval Surface Warfare Center, Memphis, Tennessee.

Sec. 2870. Land conveyance, Navy property, Fort Sheridan, Illinois.

Sec. 2871. Land conveyance, Naval Communications Station, Stockton, California.

Sec. 2872. Lease of property, Naval Air Station and Marine Corps Air Station,

Miramar, California.

PART III—AIR FORCE CONVEYANCES

Sec. 2874. Land acquisition or exchange, Shaw Air Force Base, South Carolina.

Sec. 2875. Land conveyance, Elmendorf Air Force Base, Alaska.

Sec. 2876. Land conveyance, Radar Bomb Scoring Site, Forsyth, Montana.

Sec. 2877. Land conveyance, Radar Bomb Scoring Site, Powell, Wyoming.

Sec. 2878. Land conveyance, Avon Park Air Force Range, Florida.

Subtitle E—Land Conveyances Involving Utilities


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Sec. 2881. Conveyance of resource recovery facility, Fort Dix, New Jersey.

Sec. 2882. Conveyance of water and wastewater treatment plants, Fort Gordon,

Georgia.

Sec. 2883. Conveyance of electricity distribution system, Fort Irwin, California.
Sec. 2884. Conveyance of water treatment plant, Fort Pickett, Virginia.

Subtitle F—Other Matters

Sec. 2891. Authority to use funds for certain educational purposes.

Sec. 2892. Department of Defense Laboratory Revitalization Demonstration Program.

Sec. 2893. Authority for Port Authority of State of Mississippi to use Navy property

at Naval Construction Battalion Center, Gulfport, Mississippi.

Sec. 2894. Prohibition on joint use of Naval Air Station and Marine Corps Air Station,

Miramar, California.

Sec. 2895. Report regarding Army water craft support facilities and activities.

Sec. 2896. Residual value reports.

Sec. 2897. Sense of Congress and report regarding Fitzsimons Army Medical Center,

Colorado.

TITLE XXIX—LAND CONVEYANCES INVOLVING JOLIET ARMY

AMMUNITION PLANT, ILLINOIS

Sec. 2901. Short title.

Sec. 2902. Definitions.

Subtitle A—Conversion of Joliet Army Ammunition Plant to Midewin

National Tallgrass Prairie

Sec. 2911. Principles of transfer.

Sec. 2912. Transfer of management responsibilities and jurisdiction over Arsenal.

Sec. 2913. Responsibility and liability.

Sec. 2914. Establishment and administration of Midewin National Tallgrass Prairie.

Sec. 2915. Special management requirements for Midewin National Tallgrass Prairie.

Sec. 2916. Special transfer rules for certain Arsenal parcels intended for MNP.

Subtitle B—Other Land Conveyances Involving Joliet Army Ammunition

Plant

Sec. 2921. Conveyance of certain real property at Arsenal for a national cemetery.

Sec. 2922. Conveyance of certain real property at Arsenal for a county landfill.

Sec. 2923. Conveyance of certain real property at Arsenal for industrial parks.

Subtitle C—Miscellaneous Provisions

Sec. 2931. Degree of environmental cleanup.

Sec. 2932. Retention of property used for environmental cleanup.

DIVISION C—DEPARTMENT OF ENERGY NATIONAL SECURITY

AUTHORIZATIONS AND OTHER AUTHORIZATIONS

TITLE XXXI—DEPARTMENT OF ENERGY NATIONAL SECURITY

PROGRAMS

Subtitle A—National Security Programs Authorizations

Sec. 3101. Weapons activities.

Sec. 3102. Environmental restoration and waste management.

Sec. 3103. Other defense activities.

Sec. 3104. Defense nuclear waste disposal.

Subtitle B—Recurring General Provisions

Sec. 3121. Reprogramming.

Sec. 3122. Limits on general plant projects.
Sec. 3123. Limits on construction projects.

Sec. 3124. Fund transfer authority.

Sec. 3125. Authority for conceptual and construction design.

Sec. 3126. Authority for emergency planning, design, and construction activities.

Sec. 3127. Funds available for all national security programs of the Department of

Energy.

Sec. 3128. Availability of funds.

Subtitle C—Program Authorizations, Restrictions, and Limitations

Sec. 3131. Authority to conduct program relating to fissile materials.

Sec. 3132. National Ignition Facility.

Sec. 3133. Tritium production program.

Sec. 3134. Payment of penalties.

Sec. 3135. Fissile materials disposition.

Sec. 3136. Tritium recycling.

Sec. 3137. Manufacturing infrastructure for refabrication and certification of nuclear

weapons stockpile.

Sec. 3138. Hydronuclear experiments.

Sec. 3139. Limitation on authority to conduct hydronuclear tests.

Sec. 3140. Fellowship program for development of skills critical to the Department

of Energy nuclear weapons complex.

Sec. 3141. Limitation on use of funds for certain research and development purposes.

Sec. 3142. Processing and treatment of high-level nuclear waste and spent nuclear

fuel rods.

Sec. 3143. Protection of workers at nuclear weapons facilities.

Sec. 3144. Department of Energy Declassification Productivity Initiative.

Subtitle D—Other Matters

Sec. 3151. Report on foreign tritium purchases.

Sec. 3152. Study on nuclear test readiness postures.

Sec. 3153. Master plan for the certification, stewardship, and management of warheads

in the nuclear weapons stockpile.

Sec. 3154. Prohibition on international inspections of Department of Energy facilities

unless protection of restricted data is certified.

Sec. 3155. Review of certain documents before declassification and release.

Sec. 3156. Accelerated schedule for environmental restoration and waste management

activities.

Sec. 3157. Sense of Congress regarding certain environmental restoration requirements.

Sec. 3158. Responsibility for Defense Programs Emergency Response Program.

Sec. 3159. Requirements for Department of Energy weapons activities budgets for

fiscal years after fiscal year 1996.

Sec. 3160. Report on hydronuclear testing.

Sec. 3161. Applicability of Atomic Energy Community Act of 1955 to Los Alamos,

New Mexico.

Sec. 3162. Sense of Congress regarding shipments of spent nuclear fuel.

TITLE XXXII—DEFENSE NUCLEAR FACILITIES SAFETY BOARD
Sec. 3201. Authorization.

TITLE XXXIII—NATIONAL DEFENSE STOCKPILE

Subtitle A—Authorization of Disposals and Use of Funds

Sec. 3301. Definitions.

Sec. 3302. Authorized uses of stockpile funds.

Sec. 3303. Disposal of chromite and manganese ores and chromium ferro and manganese

metal electrolytic.

Sec. 3304. Restrictions on disposal of manganese ferro.

Sec. 3305. Titanium initiative to support battle tank upgrade program.

Subtitle B—Programmatic Change

Sec. 3311. Transfer of excess defense-related materials to stockpile for disposal.

TITLE XXXIV—NAVAL PETROLEUM RESERVES

Subtitle A—Administration of Naval Petroleum Reserves

Sec. 3401. Authorization of appropriations.

Sec. 3402. Price requirement on sale of certain petroleum during fiscal year 1996.

Sec. 3403. Extension of operating contract for Naval Petroleum Reserve Num

bered 1.

Subtitle B—Sale of Naval Petroleum Reserve

Sec. 3411. Definitions.

Sec. 3412. Sale of Naval Petroleum Reserve Numbered 1.

Sec. 3413. Effect of sale of reserve.


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110 STAT. 202 PUBLIC LAW 104–106—FEB. 10, 1996

Sec. 3414. Conditions on sale process.

Sec. 3415. Treatment of State of California claim regarding reserve.

Sec. 3416. Study of future of other naval petroleum reserves.

TITLE XXXV—PANAMA CANAL COMMISSION

Subtitle A—Authorization of Appropriations

Sec. 3501. Short title.

Sec. 3502. Authorization of expenditures.

Sec. 3503. Expenditures in accordance with other laws.

Subtitle B—Reconstitution of Commission as Government Corporation

Sec. 3521. Short title.

Sec. 3522. Reconstitution of Commission as Government corporation.

Sec. 3523. Supervisory Board.

Sec. 3524. General and specific powers of Commission.

Sec. 3525. Congressional review of budget.

Sec. 3526. Audits.

Sec. 3527. Prescription of measurement rules and rates of tolls.

Sec. 3528. Procedures for changes in rules of measurement and rates of tolls.

Sec. 3529. Miscellaneous technical amendments.

Sec. 3530. Conforming amendment to title 31, United States Code.
DIVISION D—FEDERAL ACQUISITION REFORM

Sec. 4001. Short title.

TITLE XLI—COMPETITION

Sec. 4101. Efficient competition.

Sec. 4102. Efficient approval procedures.

Sec. 4103. Efficient competitive range determinations.

Sec. 4104. Preaward debriefings.

Sec. 4105. Design-build selection procedures.

TITLE XLII—COMMERCIAL ITEMS

Sec. 4201. Commercial item exception to requirement for certified cost or pricing

data.

Sec. 4202. Application of simplified procedures to certain commercial items.

Sec. 4203. Inapplicability of certain procurement laws to commercially available offtheshelf items.

Sec. 4204. Amendment of commercial items definition.

Sec. 4205. Inapplicability of cost accounting standards to contracts and subcontracts

for commercial items.

TITLE XLIII—ADDITIONAL REFORM PROVISIONS

Subtitle A—Additional Acquisition Reform Provisions

Sec. 4301. Elimination of certain certification requirements.

Sec. 4302. Authorities conditioned on FACNET capability.

Sec. 4303. International competitiveness.

Sec. 4304. Procurement integrity.

Sec. 4305. Further acquisition streamlining provisions.

Sec. 4306. Value engineering for Federal agencies.

Sec. 4307. Acquisition workforce.

Sec. 4308. Demonstration project relating to certain personnel management policies

and procedures.

Sec. 4309. Cooperative purchasing.

Sec. 4310. Procurement notice technical amendment.

Sec. 4311. Micro-purchases without competitive quotations.

Subtitle B—Technical Amendments

Sec. 4321. Amendments related to Federal Acquisition Streamlining Act of 1994.

Sec. 4322. Miscellaneous amendments to Federal acquisition laws.

TITLE XLIV—EFFECTIVE DATES AND IMPLEMENTATION

Sec. 4401. Effective date and applicability.

Sec. 4402. Implementing regulations.

DIVISION E—INFORMATION TECHNOLOGY

MANAGEMENT REFORM

Sec. 5001. Short title.


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Sec. 5002. Definitions.

TITLE LI—RESPONSIBILITY FOR ACQUISITIONS OF INFORMATION

TECHNOLOGY

Subtitle A—General Authority

Sec. 5101. Repeal of central authority of the Administrator of General Services.

Subtitle B—Director of the Office of Management and Budget

Sec. 5111. Responsibility of Director.

Sec. 5112. Capital planning and investment control.

Sec. 5113. Performance-based and results-based management.

Subtitle C—Executive Agencies

Sec. 5121. Responsibilities.

Sec. 5122. Capital planning and investment control.

Sec. 5123. Performance and results-based management.

Sec. 5124. Acquisitions of information technology.

Sec. 5125. Agency Chief Information Officer.

Sec. 5126. Accountability.

Sec. 5127. Significant deviations.

Sec. 5128. Interagency support.

Subtitle D—Other Responsibilities

Sec. 5131. Responsibilities regarding efficiency, security, and privacy of Federal

computer systems.

Sec. 5132. Sense of Congress.

Subtitle E—National Security Systems

Sec. 5141. Applicability to national security systems.

Sec. 5142. National security system defined.

TITLE LII—PROCESS FOR ACQUISITIONS OF INFORMATION

TECHNOLOGY

Sec. 5201. Procurement procedures.

Sec. 5202. Incremental acquisition of information technology.

TITLE LIII—INFORMATION TECHNOLOGY ACQUISITION PILOT

PROGRAMS

Subtitle A—Conduct of Pilot Programs

Sec. 5301. Authority to conduct pilot programs.

Sec. 5302. Evaluation criteria and plans.

Sec. 5303. Report.

Sec. 5304. Recommended legislation.

Sec. 5305. Rule of construction.

Subtitle B—Specific Pilot Programs

Sec. 5311. Share-in-savings pilot program.

Sec. 5312. Solutions-based contracting pilot program.
TITLE LIV—ADDITIONAL INFORMATION RESOURCES MANAGEMENT

MATTERS

Sec. 5401. On-line multiple award schedule contracting.

Sec. 5402. Identification of excess and surplus computer equipment.

Sec. 5403. Access of certain information in information systems to the directory established

under section 4101 of title 44, United States Code.

TITLE LV—PROCUREMENT PROTEST AUTHORITY OF THE

COMPTROLLER GENERAL

Sec. 5501. Period for processing protests.

Sec. 5502. Availability of funds following GAO resolution of challenge to contracting

action.

TITLE LVI—CONFORMING AND CLERICAL AMENDMENTS

Sec. 5601. Amendments to title 10, United States Code.

Sec. 5602. Amendments to title 28, United States Code.

Sec. 5603. Amendment to title 31, United States Code.

Sec. 5604. Amendments to title 38, United States Code.

Sec. 5605. Provisions of title 44, United States Code, relating to paperwork reduction.

Sec. 5606. Amendment to title 49, United States Code.

Sec. 5607. Other laws.

Sec. 5608. Clerical amendments.

TITLE LVII—EFFECTIVE DATE, SAVINGS PROVISIONS, AND RULES OF

CONSTRUCTION

Sec. 5701. Effective date.

Sec. 5702. Savings provisions.

Sec. 5703. Rules of construction.

SEC. 3. CONGRESSIONAL DEFENSE COMMITTEES DEFINED.

For purposes of this Act, the term ‘‘congressional defense

committees’’ means—

(1) the Committee on Armed Services and the Committee

on Appropriations of the Senate; and

(2) the Committee on National Security and the Committee

on Appropriations of the House of Representatives.

SEC. 4. EXTENSION OF TIME FOR SUBMISSION OF REPORTS.

In the case of any provision of this Act, or any amendment

made by a provision of this Act, requiring the submission of a

report to Congress (or any committee of Congress), that report

shall be submitted not later than the later of—

(1) the date established for submittal of the report in such

provision or amendment; or

(2) the date that is 45 days after the date of the enactment

of this Act.

DIVISION A—DEPARTMENT OF DEFENSE AUTHORIZATIONS

TITLE I—PROCUREMENT
Subtitle A—Authorization of Appropriations

SEC. 101. ARMY.

Funds are hereby authorized to be appropriated for fiscal year

1996 for procurement for the Army as follows:

(1) For aircraft, $1,558,805,000.

(2) For missiles, $865,555,000.

(3) For weapons and tracked combat vehicles,

$1,652,745,000.

(4) For ammunition, $1,093,991,000.

(5) For other procurement, $2,763,443,000.

SEC. 102. NAVY AND MARINE CORPS.

(a) NAVY.—Funds are hereby authorized to be appropriated for fiscal year 1996 for 

procurement for the Navy as follows:

(1) For aircraft, $4,572,394,000.

(2) For weapons, including missiles and torpedoes,

$1,659,827,000.

(3) For shipbuilding and conversion, $6,643,958,000.

(4) For other procurement, $2,414,771,000.

(2) RENEGOTIATION AND MODIFICATION OF PREEXISTING

CONTRACTS.—Except as specifically provided in this division,

nothing in this division shall be construed to require the renegotiation

or modification of contracts in existence on the date

of the enactment of this Act.

(3) CONTINUED APPLICABILITY OF PREEXISTING LAW.—Except

as otherwise provided in this division, a law amended by this

division shall continue to be applied according to the provisions

thereof as such law was in effect on the day before the date

of the enactment of this Act until—

(A) the date specified in final regulations implementing

the amendment of that law (as promulgated pursuant to

this section); or

(B) if no such date is specified in regulations, January

1, 1997.

DIVISION E—INFORMATION TECHNOLOGY MANAGEMENT REFORM

SEC. 5001. SHORT TITLE.

This division may be cited as the ‘‘Information Technology

Management Reform Act of 1996’’.

SEC. 5002. DEFINITIONS.

In this division:

(1) DIRECTOR.—The term ‘‘Director’’ means the Director of the Office of Management and 

Budget.

(2) EXECUTIVE AGENCY.—The term ‘‘executive agency’’ has the meaning given that term in 

section 4(1) of the Office of Federal Procurement Policy Act (41 U.S.C. 403(1)).

(3) INFORMATION TECHNOLOGY.—(A) The term ‘‘information
technology’’, with respect to an executive agency means any

equipment or interconnected system or subsystem of equipment,

that is used in the automatic acquisition, storage, manipulation,

management, movement, control, display, switching, interchange,

transmission, or reception of data or information by

the executive agency. For purposes of the preceding sentence,

equipment is used by an executive agency if the equipment

is used by the executive agency directly or is used by a contractor

under a contract with the executive agency which (i)

requires the use of such equipment, or (ii) requires the use,

to a significant extent, of such equipment in the performance

of a service or the furnishing of a product.

(B) The term ‘‘information technology’’ includes computers, ancillary equipment, software, 

firmware and similar procedures, services (including support services), and related

resources.

(C) Notwithstanding subparagraphs (A) and (B), the term

‘‘information technology’’ does not include any equipment that

is acquired by a Federal contractor incidental to a Federal

contract.

(4) INFORMATION RESOURCES.—The term ‘‘information

resources’’ has the meaning given such term in section 3502(6)

of title 44, United States Code.

40 USC 1401.

40 USC 1401

note.

Information

Technology

Management

Reform Act of

1996.


Sfmt 6581 PUBL106.104 apps06

110 STAT. 680 PUBLIC LAW 104–106—FEB. 10, 1996

(5) INFORMATION RESOURCES MANAGEMENT.—The term

‘‘information resources management’’ has the meaning given

such term in section 3502(7) of title 44, United States Code.

(6) INFORMATION SYSTEM.—The term ‘‘information system’’

has the meaning given such term in section 3502(8) of title

44, United States Code.

(7) COMMERCIAL ITEM.—The term ‘‘commercial item’’ has

the meaning given that term in section 4(12) of the Office

of Federal Procurement Policy Act (41 U.S.C. 403(12)).

TITLE LI—RESPONSIBILITY FOR ACQUISITIONS OF INFORMATION 

TECHNOLOGY

Subtitle A—General Authority

SEC. 5101. REPEAL OF CENTRAL AUTHORITY OF THE ADMINISTRATOR
OF GENERAL SERVICES.

Section 111 of the Federal Property and Administrative Services

Act of 1949 (40 U.S.C. 759) is repealed.

Subtitle B—Director of the Office of Management and Budget

SEC. 5111. RESPONSIBILITY OF DIRECTOR.

In fulfilling the responsibility to administer the functions

assigned under chapter 35 of title 44, United States Code, the

Director shall comply with this title with respect to the specific

matters covered by this title.

SEC. 5112. CAPITAL PLANNING AND INVESTMENT CONTROL.

(a) FEDERAL INFORMATION TECHNOLOGY.—The Director shall perform the 

responsibilities set forth in this section in fulfilling the responsibilities under section 3504(h) of 

title 44, United States Code.

(b) USE OF INFORMATION TECHNOLOGY IN FEDERAL PROGRAMS.—

The Director shall promote and be responsible for improving the acquisition, use, and disposal of 

information technology by the Federal Government to improve the productivity, efficiency,

and effectiveness of Federal programs, including through dissemination of public information 

and the reduction of information collection burdens on the public.

(c) USE OF BUDGET PROCESS.—The Director shall develop, as part of the budget process, a 

process for analyzing, tracking, and evaluating the risks and results of all major capital 

investments made by an executive agency for information systems. The process shall cover the 

life of each system and shall include explicit criteria for analyzing the projected and actual costs, 

benefits, and risks associated with the investments. At the same time that the President submits 

the budget for a fiscal year to Congress under section 1105(a) of title 31, United States Code, the 

Director shall submit to Congress a report on the net program performance benefits achieved as a 

result of major capital investments made by executive agencies in information systems and how 

the benefits relate to the accomplishment of the goals of the executive agencies.

(d) INFORMATION TECHNOLOGY STANDARDS.—The Director shall oversee the 

development and implementation of standards and guidelines pertaining to Federal computer 

systems by the Secretary of Commerce through the National Institute of Standards and 

Technology under section 5131 and section 20 of the National Institute of Standards and 

Technology Act (15 U.S.C. 278g–3).

(e) DESIGNATION OF EXECUTIVE AGENTS FOR ACQUISITIONS.—

The Director shall designate (as the Director considers appropriate) one or more heads of 

executive agencies as executive agent for Government-wide acquisitions of information 

technology.

(f) USE OF BEST PRACTICES IN ACQUISITIONS.—The Director

shall encourage the heads of the executive agencies to develop and use the best practices in the 

acquisition of information technology.

(g) ASSESSMENT OF OTHER MODELS FOR MANAGING INFORMATION
TECHNOLOGY.—The Director shall assess, on a continuing basis, the experiences of executive 

agencies, State and local governments, international organizations, and the private sector in 

managing information technology.

(h) COMPARISON OF AGENCY USES OF INFORMATION TECHNOLOGY.—

The Director shall compare the performances of the

executive agencies in using information technology and shall

disseminate the comparisons to the heads of the executive agencies.

(i) TRAINING.—The Director shall monitor the development and implementation of training in 

information resources management for executive agency personnel.

(j) INFORMING CONGRESS.—The Director shall keep Congress fully informed on the extent 

to which the executive agencies are improving the performance of agency programs and the 

accomplishment of agency missions through the use of the best practices in information 

resources management.

(k) PROCUREMENT POLICY AND ACQUISITIONS OF INFORMATION

TECHNOLOGY.—The Director shall coordinate the development and

review by the Administrator of the Office of Information and Regulatory

Affairs of policy associated with Federal acquisition of

information technology with the Office of Federal Procurement Policy.

SEC. 5113. PERFORMANCE-BASED AND RESULTS-BASED MANAGEMENT.

(a) IN GENERAL.—The Director shall encourage the use of

performance-based and results-based management in fulfilling the

responsibilities assigned under section 3504(h), of title 44, United

States Code.

(b) EVALUATION OF AGENCY PROGRAMS AND INVESTMENTS.—

(1) REQUIREMENT.—The Director shall evaluate the

information resources management practices of the executive

agencies with respect to the performance and results of the

investments made by the executive agencies in information

technology.

(2) DIRECTION FOR EXECUTIVE AGENCY ACTION.—The Director

shall issue to the head of each executive agency clear

and concise direction that the head of such agency shall—

(A) establish effective and efficient capital planning

processes for selecting, managing, and evaluating the results of all of its major investments in

information systems;

(B) determine, before making an investment in a new information system—

(i) whether the function to be supported by the

system should be performed by the private sector and,

if so, whether any component of the executive agency

performing that function should be converted from a

governmental organization to a private sector organization;

or

(ii) whether the function should be performed by
the executive agency and, if so, whether the function

should be performed by a private sector source under

contract or by executive agency personnel;

(C) analyze the missions of the executive agency and,

based on the analysis, revise the executive agency’s missionrelated processes and administrative processes, as

appropriate, before making significant investments in

information technology to be used in support of those missions;

and

(D) ensure that the information security policies, procedures,

and practices are adequate.

(3) GUIDANCE FOR MULTIAGENCY INVESTMENTS.—The direction

issued under paragraph (2) shall include guidance for

undertaking efficiently and effectively interagency and Governmentwide investments in information technology to improve

the accomplishment of missions that are common to the executive

agencies.

(4) PERIODIC REVIEWS.—The Director shall implement

through the budget process periodic reviews of selected information

resources management activities of the executive agencies

in order to ascertain the efficiency and effectiveness of information

technology in improving the performance of the executive

agency and the accomplishment of the missions of the executive

agency.

(5) ENFORCEMENT OF ACCOUNTABILITY.—

(A) IN GENERAL.—The Director may take any authorized

action that the Director considers appropriate,

including an action involving the budgetary process or

appropriations management process, to enforce accountability

of the head of an executive agency for information

resources management and for the investments made by

the executive agency in information technology.

(B) SPECIFIC ACTIONS.—Actions taken by the Director

in the case of an executive agency may include—

(i) recommending a reduction or an increase in

any amount for information resources that the head

of the executive agency proposes for the budget submitted

to Congress under section 1105(a) of title 31, United

States Code;

(ii) reducing or otherwise adjusting apportionments

and reapportionments of appropriations for information resources;

(iii) using other authorized administrative controls

over appropriations to restrict the availability of funds

for information resources; and

(iv) designating for the executive agency an executive agent to contract with private sector 

sources for the performance of information resources management or the acquisition of 

information technology.
Subtitle C—Executive Agencies

SEC. 5121. RESPONSIBILITIES.

In fulfilling the responsibilities assigned under chapter 35 of

title 44, United States Code, the head of each executive agency

shall comply with this subtitle with respect to the specific matters

covered by this subtitle.

SEC. 5122. CAPITAL PLANNING AND INVESTMENT CONTROL.

(a) DESIGN OF PROCESS.—In fulfilling the responsibilities

assigned under section 3506(h) of title 44, United States Code,

the head of each executive agency shall design and implement

in the executive agency a process for maximizing the value and

assessing and managing the risks of the information technology

acquisitions of the executive agency.

(b) CONTENT OF PROCESS.—The process of an executive agency

shall—

(1) provide for the selection of information technology

investments to be made by the executive agency, the management

of such investments, and the evaluation of the results

of such investments;

(2) be integrated with the processes for making budget,

financial, and program management decisions within the executive

agency;

(3) include minimum criteria to be applied in considering

whether to undertake a particular investment in information

systems, including criteria related to the quantitatively

expressed projected net, risk-adjusted return on investment

and specific quantitative and qualitative criteria for comparing

and prioritizing alternative information systems investment

projects;

(4) provide for identifying information systems investments

that would result in shared benefits or costs for other Federal

agencies or State or local governments;

(5) provide for identifying for a proposed investment quantifiable

measurements for determining the net benefits and

risks of the investment; and

(6) provide the means for senior management personnel

of the executive agency to obtain timely information regarding

the progress of an investment in an information system, including

a system of milestones for measuring progress, on an

independently verifiable basis, in terms of cost, capability of

the system to meet specified requirements, timeliness, and

quality.
SEC. 5123. PERFORMANCE AND RESULTS-BASED MANAGEMENT.

In fulfilling the responsibilities under section 3506(h) of title

44, United States Code, the head of an executive agency shall—

(1) establish goals for improving the efficiency and effectiveness

of agency operations and, as appropriate, the delivery

of services to the public through the effective use of information

technology;

40 USC 1423.

40 USC 1422.

40 USC 1421.


Sfmt 6581 PUBL106.104 apps06

110 STAT. 684 PUBLIC LAW 104–106—FEB. 10, 1996

(2) prepare an annual report, to be included in the executive

agency’s budget submission to Congress, on the progress in

achieving the goals;

(3) ensure that performance measurements are prescribed

for information technology used by or to be acquired for, the

executive agency and that the performance measurements

measure how well the information technology supports programs

of the executive agency;

(4) where comparable processes and organizations in the

public or private sectors exist, quantitatively benchmark agency

process performance against such processes in terms of cost,

speed, productivity, and quality of outputs and outcomes;

(5) analyze the missions of the executive agency and, based

on the analysis, revise the executive agency’s mission-related

processes and administrative processes as appropriate before

making significant investments in information technology that

is to be used in support of the performance of those missions;

and

(6) ensure that the information security policies, procedures,

and practices of the executive agency are adequate.

SEC. 5124. ACQUISITIONS OF INFORMATION TECHNOLOGY.

(a) IN GENERAL.—The authority of the head of an executive agency to conduct an acquisition 

of information technology includes the following authorities:

(1) To acquire information technology as authorized by law.

(2) To enter into a contract that provides for multiagency

acquisitions of information technology in accordance with guidance issued by the Director.

(3) If the Director finds that it would be advantageous

for the Federal Government to do so, to enter into a multiagency

contract for procurement of commercial items of information

technology that requires each executive agency covered by the

contract, when procuring such items, either to procure the

items under that contract or to justify an alternative procurement

of the items.
(b) FTS 2000 PROGRAM.—Notwithstanding any other provision

of this or any other law, the Administrator of General Services

shall continue to manage the FTS 2000 program, and to coordinate

the follow-on to that program, on behalf of and with the advice

of the heads of executive agencies.

SEC. 5125. AGENCY CHIEF INFORMATION OFFICER.

(a) DESIGNATION OF CHIEF INFORMATION OFFICERS.—Section

3506 of title 44, United States Code, is amended—

(1) in subsection (a)—

(A) in paragraph (2)(A), by striking out ‘‘senior official’’

and inserting in lieu thereof ‘‘Chief Information Officer’’;

(B) in paragraph (2)(B)—

(i) by striking out ‘‘senior officials’’ in the first

sentence and inserting in lieu thereof ‘‘Chief Information

Officers’’;

(ii) by striking out ‘‘official’’ in the second sentence

and inserting in lieu thereof ‘‘Chief Information Officer’’;

and

(iii) by striking out ‘‘officials’’ in the second sentence

and inserting in lieu thereof ‘‘Chief Information

Officers’’; and

(C) in paragraphs (3) and (4), by striking out ‘‘senior

official’’ each place it appears and inserting in lieu thereof

‘‘Chief Information Officer’’; and

(2) in subsection (c)(1), by striking out ‘‘official’’ in the

matter preceding subparagraph (A) and inserting in lieu thereof

‘‘Chief Information Officer’’.

(b) GENERAL RESPONSIBILITIES.—The Chief Information Officer of an executive agency 

shall be responsible for—

(1) providing advice and other assistance to the head of the executive agency and other senior 

management personnel of the executive agency to ensure that information technology is acquired 

and information resources are managed for the executive agency in a manner that implements the 

policies and procedures of this division, consistent with chapter 35 of title 44, United States 

Code, and the priorities established by the head of the executive agency;

(2) developing, maintaining, and facilitating the

implementation of a sound and integrated information technology

architecture for the executive agency; and

(3) promoting the effective and efficient design and operation

of all major information resources management processes

for the executive agency, including improvements to work processes

of the executive agency.

(c) DUTIES AND QUALIFICATIONS.—The Chief Information Officer

of an agency that is listed in section 901(b) of title 31, United

States Code, shall—
(1) have information resources management duties as that

official’s primary duty;

(2) monitor the performance of information technology programs

of the agency, evaluate the performance of those

programs on the basis of the applicable performance measurements,

and advise the head of the agency regarding whether

to continue, modify, or terminate a program or project; and

(3) annually, as part of the strategic planning and performance

evaluation process required (subject to section 1117 of

title 31, United States Code) under section 306 of title 5,

United States Code, and sections 1105(a)(29), 1115, 1116, 1117,

and 9703 of title 31, United States Code—

(A) assess the requirements established for agency

personnel regarding knowledge and skill in information

resources management and the adequacy of such requirements

for facilitating the achievement of the performance

goals established for information resources management;

(B) assess the extent to which the positions and personnel

at the executive level of the agency and the positions

and personnel at management level of the agency below

the executive level meet those requirements;

(C) in order to rectify any deficiency in meeting those

requirements, develop strategies and specific plans for hiring,

training, and professional development; and

(D) report to the head of the agency on the progress

made in improving information resources management

capability.

Reports.


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110 STAT. 686 PUBLIC LAW 104–106—FEB. 10, 1996

(d) INFORMATION TECHNOLOGY ARCHITECTURE DEFINED.—

In this section, the term ‘‘information technology architecture’’, with respect to an executive 

agency, means an integrated framework for evolving or maintaining existing information 

technology and acquiring new information technology to achieve the agency’s strategic

goals and information resources management goals.

(e) EXECUTIVE LEVEL IV.—Section 5315 of title 5, United States Code, is amended by 

adding at the end the following:

‘‘Chief Information Officer, Department of Agriculture.

‘‘Chief Information Officer, Department of Commerce.

‘‘Chief Information Officer, Department of Defense (unless the official designated as the Chief 

Information Officer of the Department of Defense is an official listed under section 5312,

5313, or 5314 of this title).

‘‘Chief Information Officer, Department of Education.

‘‘Chief Information Officer, Department of Energy.

‘‘Chief Information Officer, Department of Health and Human Services.
‘‘Chief Information Officer, Department of Housing and Urban Development.

‘‘Chief Information Officer, Department of Interior.

‘‘Chief Information Officer, Department of Justice.

‘‘Chief Information Officer, Department of Labor.

‘‘Chief Information Officer, Department of State.

‘‘Chief Information Officer, Department of Transportation.

‘‘Chief Information Officer, Department of Treasury.

‘‘Chief Information Officer, Department of Veterans Affairs.

‘‘Chief Information Officer, Environmental Protection Agency.

‘‘Chief Information Officer, National Aeronautics and Space Administration.

‘‘Chief Information Officer, Agency for International Development.

‘‘Chief Information Officer, Federal Emergency Management Agency.

‘‘Chief Information Officer, General Services Administration.

‘‘Chief Information Officer, National Science Foundation.

‘‘Chief Information Officer, Nuclear Regulatory Agency.

‘‘Chief Information Officer, Office of Personnel Management.

‘‘Chief Information Officer, Small Business Administration.’’.

SEC. 5126. ACCOUNTABILITY.

The head of each executive agency, in consultation with the Chief Information Officer and the 

Chief Financial Officer of that executive agency (or, in the case of an executive agency without

a Chief Financial Officer, any comparable official), shall establish policies and procedures that—

(1) ensure that the accounting, financial, and asset management systems and other information 

systems of the executive agency are designed, developed, maintained, and used effectively to 

provide financial or program performance data for financial statements of the executive agency;

(2) ensure that financial and related program performance data are provided on a reliable, 

consistent, and timely basis to executive agency financial management systems; and

(3) ensure that financial statements support—

(A) assessments and revisions of mission-related processes and administrative processes of the 

executive agency; and

(B) performance measurement of the performance in the case of investments made by the agency 

in information systems.

SEC. 5127. SIGNIFICANT DEVIATIONS.

The head of an executive agency shall identify in the strategic

information resources management plan required under section

3506(b)(2) of title 44, United States Code, any major information

technology acquisition program, or any phase or increment of such

a program, that has significantly deviated from the cost, performance,

or schedule goals established for the program.

SEC. 5128. INTERAGENCY SUPPORT.

Funds available for an executive agency for oversight, acquisition,

and procurement of information technology may be used by

the head of the executive agency to support jointly with other

executive agencies the activities of interagency groups that are
established to advise the Director in carrying out the Director’s

responsibilities under this title. The use of such funds for that

purpose shall be subject to such requirements and limitations on

uses and amounts as the Director may prescribe. The Director

shall prescribe any such requirements and limitations during the

Director’s review of the executive agency’s proposed budget submitted

to the Director by the head of the executive agency for purposes

of section 1105 of title 31, United States Code.

Subtitle D—Other Responsibilities

SEC. 5131. RESPONSIBILITIES REGARDING EFFICIENCY, SECURITY,

AND PRIVACY OF FEDERAL COMPUTER SYSTEMS.

(a) STANDARDS AND GUIDELINES.—

(1) AUTHORITY.—The Secretary of Commerce shall, on the

basis of standards and guidelines developed by the National

Institute of Standards and Technology pursuant to paragraphs

(2) and (3) of section 20(a) of the National Institute of Standards

and Technology Act (15 U.S.C. 278g–3(a)), promulgate standards

and guidelines pertaining to Federal computer systems.

The Secretary shall make such standards compulsory and binding to the extent to which the 

Secretary determines necessary to improve the efficiency of operation or security and privacy

of Federal computer systems. The President may disapprove or modify such standards and 

guidelines if the President determines such action to be in the public interest. The President’s

authority to disapprove or modify such standards and guidelines may not be delegated. Notice of 

such disapproval or modification shall be published promptly in the Federal Register. Upon

receiving notice of such disapproval or modification, the Secretary of Commerce shall 

immediately rescind or modify such standards or guidelines as directed by the President.

Federal Register, publication.

(2) EXERCISE OF AUTHORITY.—The authority conferred upon

the Secretary of Commerce by this section shall be exercised

subject to direction by the President and in coordination with

the Director to ensure fiscal and policy consistency.

(b) APPLICATION OF MORE STRINGENT STANDARDS.—The head

of a Federal agency may employ standards for the cost-effective

security and privacy of sensitive information in a Federal computer

system within or under the supervision of that agency that are

more stringent than the standards promulgated by the Secretary

of Commerce under this section, if such standards contain, at a

minimum, the provisions of those applicable standards made

compulsory and binding by the Secretary of Commerce.

(c) WAIVER OF STANDARDS.—The standards determined under

subsection (a) to be compulsory and binding may be waived by

the Secretary of Commerce in writing upon a determination that

compliance would adversely affect the accomplishment of the mission

of an operator of a Federal computer system, or cause a major adverse financial impact on the 

operator which is not offset by Government-wide savings. The Secretary may delegate to the
head of one or more Federal agencies authority to waive such standards to the extent to which 

the Secretary determines such action to be necessary and desirable to allow for timely and 

effective implementation of Federal computer system standards. The head

of such agency may redelegate such authority only to a Chief Information Officer designated 

pursuant to section 3506 of title 44, United States Code. Notice of each such waiver and 

delegation shall be transmitted promptly to Congress and shall be published

promptly in the Federal Register.

(d) DEFINITIONS.—In this section, the terms ‘‘Federal computer

system’’ and ‘‘operator of a Federal computer system’’ have the

meanings given such terms in section 20(d) of the National Institute

of Standards and Technology Act (15 U.S.C. 278g–3(d)).

(e) TECHNICAL AMENDMENTS.—Chapter 35 of title 44, United

States Code, is amended—

(1) in section 3504(g)—

(A) in paragraph (2), by striking out ‘‘the Computer

Security Act of 1987 (40 U.S.C. 759 note)’’ and inserting

in lieu thereof ‘‘sections 20 and 21 of the National Institute

of Standards and Technology Act (15 U.S.C. 278g–3 and

278g–4), section 5131 of the Information Technology

Management Reform Act of 1996, and sections 5 and 6

of the Computer Security Act of 1987 (40 U.S.C. 759 note)’’;

and

(B) in paragraph (3), by striking out ‘‘the Computer

Security Act of 1987 (40 U.S.C. 759 note)’’ and inserting

in lieu thereof ‘‘the standards and guidelines promulgated

under section 5131 of the Information Technology Management

Reform Act of 1996 and sections 5 and 6 of the

Computer Security Act of 1987 (40 U.S.C. 759 note)’’; and

(2) in section 3518(d), by striking out ‘‘Public Law 89–

306 on the Administrator of the General Services Administration,

the Secretary of Commerce, or’’ and inserting in lieu

thereof ‘‘section 5131 of the Information Technology Management

Reform Act of 1996 and the Computer Security Act of

1987 (40 U.S.C. 759 note) on the Secretary of Commerce or’’.

Federal Register,

publication.


Sfmt 6581 PUBL106.104 apps06

PUBLIC LAW 104–106—FEB. 10, 1996 110 STAT. 689

SEC. 5132. SENSE OF CONGRESS.

It is the sense of Congress that, during the next five-year

period beginning with 1996, executive agencies should achieve each

year at least a 5 percent decrease in the cost (in constant fiscal

year 1996 dollars) that is incurred by the agency for operating

and maintaining information technology, and each year a 5 percent

increase in the efficiency of the agency operations, by reason of

improvements in information resources management by the agency.
Subtitle E—National Security Systems

SEC. 5141. APPLICABILITY TO NATIONAL SECURITY SYSTEMS.

(a) IN GENERAL.—Except as provided in subsection (b), this title does not apply to national 

security systems.

(b) EXCEPTIONS.—

(1) IN GENERAL.—Sections 5123, 5125, and 5126 apply to national security systems.

(2) CAPITAL PLANNING AND INVESTMENT CONTROL.—The

heads of executive agencies shall apply sections 5112 and 5122

to national security systems to the extent practicable.

(3) PERFORMANCE AND RESULTS OF INFORMATION TECHNOLOGY

INVESTMENTS.—(A) Subject to subparagraph (B), the

heads of executive agencies shall apply section 5113 to national

security systems to the extent practicable.

(B) National security systems shall be subject to section

5113(b)(5) except for subparagraph (B)(iv) of that section.

SEC. 5142. NATIONAL SECURITY SYSTEM DEFINED.

(a) DEFINITION.—In this subtitle, the term ‘‘national security system’’ means any 

telecommunications or information system operated by the United States Government, the 

function, operation, or use of which—

(1) involves intelligence activities;

(2) involves cryptologic activities related to national security;

(3) involves command and control of military forces;

(4) involves equipment that is an integral part of a weapon or weapons system; or

(5) subject to subsection (b), is critical to the direct fulfillment of military or intelligence 

missions.

(b) LIMITATION.—Subsection (a)(5) does not include a system

that is to be used for routine administrative and business applications

(including payroll, finance, logistics, and personnel management

applications).

TITLE LII—PROCESS FOR ACQUISITIONS OF INFORMATION TECHNOLOGY

SEC. 5201. PROCUREMENT PROCEDURES.

The Federal Acquisition Regulatory Council shall ensure that, to the maximum extent 

practicable, the process for acquisition of information technology is a simplified, clear, and 

understandable process that specifically addresses the management of risk,

incremental acquisitions, and the need to incorporate commercial

information technology in a timely manner.

SEC. 5202. INCREMENTAL ACQUISITION OF INFORMATION TECHNOLOGY.
(a) POLICY.—The Office of Federal Procurement Policy Act (41

U.S.C. 401 et seq.) is amended by adding at the end the following

new section:

‘‘SEC. 35. MODULAR CONTRACTING FOR INFORMATION TECHNOLOGY.

‘‘(a) IN GENERAL.—The head of an executive agency should, to the maximum extent 

practicable, use modular contracting for an acquisition of a major system of information 

technology.

‘‘(b) MODULAR CONTRACTING DESCRIBED.—Under modular

contracting, an executive agency’s need for a system is satisfied

in successive acquisitions of interoperable increments. Each increment

complies with common or commercially accepted standards

applicable to information technology so that the increments are

compatible with other increments of information technology

comprising the system.

‘‘(c) IMPLEMENTATION.—The Federal Acquisition Regulation

shall provide that—

‘‘(1) under the modular contracting process, an acquisition

of a major system of information technology may be divided

into several smaller acquisition increments that—

‘‘(A) are easier to manage individually than would be

one comprehensive acquisition;

‘‘(B) address complex information technology objectives

incrementally in order to enhance the likelihood of achieving

workable solutions for attainment of those objectives;

‘‘(C) provide for delivery, implementation, and testing

of workable systems or solutions in discrete increments

each of which comprises a system or solution that is not

dependent on any subsequent increment in order to perform

its principal functions; and

‘‘(D) provide an opportunity for subsequent increments

of the acquisition to take advantage of any evolution in

technology or needs that occur during conduct of the earlier

increments;

‘‘(2) a contract for an increment of an information technology

acquisition should, to the maximum extent practicable,

be awarded within 180 days after the date on which the solicitation

is issued and, if the contract for that increment cannot

be awarded within such period, the increment should be considered

for cancellation; and

‘‘(3) the information technology provided for in a contract

for acquisition of information technology should be delivered

within 18 months after the date on which the solicitation resulting

in award of the contract was issued.’’.

(b) CLERICAL AMENDMENT.—The table of contents in section

1(b) of such Act is amended by inserting after the item relating

to section 34 the following new item:

‘‘Sec. 35. Modular contracting for information technology.’’.
TITLE LIII—INFORMATION TECHNOLOGY

ACQUISITION PILOT PROGRAMS

Subtitle A—Conduct of Pilot Programs

SEC. 5301. AUTHORITY TO CONDUCT PILOT PROGRAMS.

(a) IN GENERAL.—

(1) PURPOSE.—The Administrator for Federal Procurement

Policy (hereinafter referred to as the ‘‘Administrator’’), in consultation

with the Administrator for the Office of Information

and Regulatory Affairs, may conduct pilot programs in order

to test alternative approaches for acquisition of information

technology by executive agencies.

(2) MULTIAGENCY, MULTI-ACTIVITY CONDUCT OF EACH PROGRAM.—

Except as otherwise provided in this title, each pilot

program conducted under this title shall be carried out in

not more than two procuring activities in each of the executive

agencies that are designated by the Administrator in accordance

with this title to carry out the pilot program. The head of

each designated executive agency shall, with the approval of

the Administrator, select the procuring activities of the executive

agency that are to participate in the test and shall designate

a procurement testing official who shall be responsible

for the conduct and evaluation of the pilot program within

the executive agency.

(b) LIMITATIONS.—

(1) NUMBER.—Not more than two pilot programs may be

conducted under the authority of this title, including one pilot

program each pursuant to the requirements of sections 5311

and 5312.

(2) AMOUNT.—The total amount obligated for contracts

entered into under the pilot programs conducted under the

authority of this title may not exceed $750,000,000. The

Administrator shall monitor such contracts and ensure that

contracts are not entered into in violation of the limitation

in the preceding sentence.

(c) PERIOD OF PROGRAMS.—

(1) IN GENERAL.—Subject to paragraph (2), any pilot program

may be carried out under this title for the period, not

in excess of five years, that is determined by the Administrator

as being sufficient to establish reliable results.

(2) CONTINUING VALIDITY OF CONTRACTS.—A contract

entered into under the pilot program before the expiration

of that program shall remain in effect according to the terms

of the contract after the expiration of the program.

SEC. 5302. EVALUATION CRITERIA AND PLANS.

(a) MEASURABLE TEST CRITERIA.—The head of each executive

agency conducting a pilot program under section 5301 shall establish,

to the maximum extent practicable, measurable criteria for
evaluating the effects of the procedures or techniques to be tested

under the program.

(b) TEST PLAN.—Before a pilot program may be conducted under

section 5301, the Administrator shall submit to Congress a detailed

test plan for the program, including a detailed description of the

procedures to be used and a list of any regulations that are to

be waived.

SEC. 5303. REPORT.

(a) REQUIREMENT.—Not later than 180 days after the completion

of a pilot program under this title, the Administrator shall—

(1) submit to the Director a report on the results and

findings under the program; and

(2) provide a copy of the report to Congress.

(b) CONTENT.—The report shall include the following:

(1) A detailed description of the results of the program,

as measured by the criteria established for the program.

(2) A discussion of any legislation that the Administrator

recommends, or changes in regulations that the Administrator

considers necessary, in order to improve overall information

resources management within the Federal Government.

SEC. 5304. RECOMMENDED LEGISLATION.

If the Director determines that the results and findings under

a pilot program under this title indicate that legislation is necessary

or desirable in order to improve the process for acquisition of

information technology, the Director shall transmit the Director’s

recommendations for such legislation to Congress.

SEC. 5305. RULE OF CONSTRUCTION.

Nothing in this title shall be construed as authorizing the

appropriation or obligation of funds for the pilot programs authorized

under this title.

Subtitle B—Specific Pilot Programs

SEC. 5311. SHARE-IN-SAVINGS PILOT PROGRAM.

(a) REQUIREMENT.—The Administrator may authorize the heads

of two executive agencies to carry out a pilot program to test

the feasibility of—

(1) contracting on a competitive basis with a private sector

source to provide the Federal Government with an information

technology solution for improving mission-related or administrative

processes of the Federal Government; and

(2) paying the private sector source an amount equal to

a portion of the savings derived by the Federal Government

from any improvements in mission-related processes and

administrative processes that result from implementation of

the solution.

(b) LIMITATIONS.—The head of an executive agency authorized

to carry out the pilot program may, under the pilot program, carry

out one project and enter into not more than five contracts for

the project.

(c) SELECTION OF PROJECTS.—The projects shall be selected
by the Administrator, in consultation with the Administrator for

the Office of Information and Regulatory Affairs.

SEC. 5312. SOLUTIONS-BASED CONTRACTING PILOT PROGRAM.

(a) IN GENERAL.—The Administrator may authorize the heads

of any of the executive agencies, in accordance with subsection

(d)(2), to carry out a pilot program to test the feasibility of using solutions-based contracting for 

acquisition of information technology.

(b) SOLUTIONS-BASED CONTRACTING DESCRIBED.—For purposes

of this section, solutions-based contracting is an acquisition method

under which the acquisition objectives are defined by the Federal

Government user of the technology to be acquired, a streamlined

contractor selection process is used, and industry sources are

allowed to provide solutions that attain the objectives effectively.

(c) PROCESS REQUIREMENTS.—The Administrator shall require

use of a process with the following aspects for acquisitions under

the pilot program:

(1) ACQUISITION PLAN EMPHASIZING DESIRED RESULT.—

Preparation of an acquisition plan that defines the functional

requirements of the intended users of the information technology

to be acquired, identifies the operational improvements

to be achieved, and defines the performance measurements

to be applied in determining whether the information technology

acquired satisfies the defined requirements and attains

the identified results.

(2) RESULTS-ORIENTED STATEMENT OF WORK.—Use of a

statement of work that is limited to an expression of the end

results or performance capabilities desired under the acquisition

plan.

(3) SMALL ACQUISITION ORGANIZATION.—Assembly of a

small acquisition organization consisting of the following:

(A) An acquisition management team, the members

of which are to be evaluated and rewarded under the

pilot program for contributions toward attainment of the

desired results identified in the acquisition plan.

(B) A small source selection team composed of representatives

of the specific mission or administrative area

to be supported by the information technology to be

acquired, together with a contracting officer and persons

with relevant expertise.

(4) USE OF SOURCE SELECTION FACTORS EMPHASIZING

SOURCE QUALIFICATIONS AND COSTS.—Use of source selection

factors that emphasize—

(A) the qualifications of the offeror, including such

factors as personnel skills, previous experience in providing

other private or public sector organizations with solutions

for attaining objectives similar to the objectives of the

acquisition, past contract performance, qualifications of the
proposed program manager, and the proposed management

plan; and

(B) the costs likely to be associated with the conceptual

approach proposed by the offeror.

(5) OPEN COMMUNICATIONS WITH CONTRACTOR COMMUNITY.—

Open availability of the following information to potential

offerors:

(A) The agency mission to be served by the acquisition.

(B) The functional process to be performed by use

of information technology.

(C) The process improvements to be attained.

(6) SIMPLE SOLICITATION.—Use of a simple solicitation that

sets forth only the functional work description, the source selection

factors to be used in accordance with paragraph (4), the

required terms and conditions, instructions regarding submis- sion of offers, and the estimate of 

the Federal Government’s budget for the desired work.

(7) SIMPLE PROPOSALS.—Submission of oral presentations

and written proposals that are limited in size and scope and

contain information on—

(A) the offeror’s qualifications to perform the desired

work;

(B) past contract performance;

(C) the proposed conceptual approach; and

(D) the costs likely to be associated with the proposed

conceptual approach.

(8) SIMPLE EVALUATION.—Use of a simplified evaluation

process, to be completed within 45 days after receipt of proposals,

which consists of the following:

(A) Identification of the most qualified offerors that are within the competitive range.

(B) Issuance of invitations for at least three and not more than five of the identified offerors to 

make oral

presentations to, and engage in discussions with, the evaluating personnel regarding, for each 

offeror—

(i) the qualifications of the offeror, including how

the qualifications of the offeror relate to the approach

proposed to be taken by the offeror in the acquisition;

and

(ii) the costs likely to be associated with the approach.

(C) Evaluation of the qualifications of the identified

offerors and the costs likely to be associated with the

offerors’ proposals on the basis of submissions required

under the process and any oral presentations made by,

and any discussions with, the offerors.

(9) SELECTION OF MOST QUALIFIED OFFEROR.—A selection

process consisting of the following:

(A) Identification of the most qualified source, and

ranking of alternative sources, primarily on the basis of

the oral proposals, presentations, and discussions, and written

proposals submitted in accordance with paragraph (7).
(B) Conduct for 30 to 60 days of a program definition

phase (funded, in the case of the source ultimately awarded

the contract, by the Federal Government)—

(i) during which the selected source, in consultation

with one or more intended users, develops a

conceptual system design and technical approach,

defines logical phases for the project, and estimates

the total cost and the cost for each phase; and

(ii) after which a contract for performance of the

work may be awarded to that source on the basis

of cost, the responsiveness, reasonableness, and quality

of the proposed performance, and a sharing of risk

and benefits between the source and the Government.

(C) Conduct of as many successive program definition

phases with alternative sources (in the order ranked) as

is necessary in order to award a contract in accordance

with subparagraph (B).

(10) SYSTEM IMPLEMENTATION PHASING.—System implementation to be executed in 

phases that are tailored to the solution, with various contract arrangements being used,

as appropriate, for various phases and activities.

(11) MUTUAL AUTHORITY TO TERMINATE.—Authority for the

Federal Government or the contractor to terminate the contract

without penalty at the end of any phase defined for the project.

(12) TIME MANAGEMENT DISCIPLINE.—Application of a

standard for awarding a contract within 105 to 120 days after

issuance of the solicitation.

(d) PILOT PROGRAM DESIGN.—

(1) JOINT PUBLIC-PRIVATE WORKING GROUP.—The Administrator,

in consultation with the Administrator for the Office

of Information and Regulatory Affairs, shall establish a joint

working group of Federal Government personnel and representatives

of the information technology industry to design a plan

for conduct of any pilot program carried out under this section.

(2) CONTENT OF PLAN.—The plan shall provide for use

of solutions-based contracting in the Department of Defense

and not more than two other executive agencies for a total

of—

(A) not more than 10 projects, each of which has an

estimated cost of between $25,000,000 and $100,000,000;

and

(B) not more than 10 projects, each of which has an

estimated cost of between $1,000,000 and $5,000,000, to

be set aside for small business concerns.

(3) COMPLEXITY OF PROJECTS.—(A) Subject to subparagraph

(C), each acquisition project under the pilot program shall

be sufficiently complex to provide for meaningful evaluation

of the use of solutions-based contracting for acquisition of
information technology for executive agencies.

(B) In order for an acquisition project to satisfy the requirement

in subparagraph (A), the solution for attainment of the

executive agency’s objectives under the project should not be

obvious, but rather shall involve a need for some innovative

development and systems integration.

(C) An acquisition project should not be so extensive or

lengthy as to result in undue delay in the evaluation of the

use of solutions-based contracting.

(e) MONITORING BY GAO.—The Comptroller General of the

United States shall—

(1) monitor the conduct, and review the results, of acquisitions

under the pilot program; and

(2) submit to Congress periodic reports containing the views

of the Comptroller General on the activities, results, and findings

under the pilot program.

TITLE LIV—ADDITIONAL INFORMATION RESOURCES MANAGEMENT 

MATTERS

SEC. 5401. ON-LINE MULTIPLE AWARD SCHEDULE CONTRACTING.

(a) AUTOMATION OF MULTIPLE AWARD SCHEDULE CONTRACTING.—

In order to provide for the economic and efficient procurement

of information technology and other commercial items, the Administrator

of General Services shall provide through the Federal Acquisition

Computer Network (in this section referred to as ‘‘FACNET’’),

not later than January 1, 1998, Government-wide on-line computer access to information on 

products and services that are available for ordering under the multiple award schedules. If the 

Administrator determines it is not practicable to provide such access through

FACNET, the Administrator shall provide such access through

another automated system that has the capability to perform the

functions listed in subsection (b)(1) and meets the requirement

of subsection (b)(2).

(b) ADDITIONAL FACNET FUNCTIONS.—(1) In addition to the

functions specified in section 30(b) of the Office of Federal Procurement

Policy Act (41 U.S.C. 426(b)), the FACNET architecture shall

have the capability to perform the following functions:

(A) Provide basic information on prices, features, and

performance of all products and services available for ordering

through the multiple award schedules.

(B) Provide for updating that information to reflect changes

in prices, features, and performance as soon as information

on the changes becomes available.

(C) Enable users to make on-line computer comparisons

of the prices, features, and performance of similar products

and services offered by various vendors.

(2) The FACNET architecture shall be used to place orders

under the multiple award schedules in a fiscal year for an amount

equal to at least 60 percent of the total amount spent for all
orders under the multiple award schedules in that fiscal year.

(c) STREAMLINED PROCEDURES.—

(1) PILOT PROGRAM.—Upon certification by the Administrator

of General Services that the FACNET architecture meets

the requirements of subsection (b)(1) and was used as required

by subsection (b)(2) in the fiscal year preceding the fiscal year

in which the certification is made, the Administrator for Federal

Procurement Policy may establish a pilot program to test

streamlined procedures for the procurement of information technology

products and services available for ordering through

the multiple award schedules.

(2) APPLICABILITY TO MULTIPLE AWARD SCHEDULE CONTRACTS.—

Except as provided in paragraph (4), the pilot program

shall be applicable to all multiple award schedule contracts

for the purchase of information technology and shall test the

following procedures:

(A) A procedure under which negotiation of the terms

and conditions for a covered multiple award schedule contract

is limited to terms and conditions other than price.

(B) A procedure under which the vendor establishes

the prices under a covered multiple award schedule contract

and may adjust those prices at any time in the

discretion of the vendor.

(C) A procedure under which a covered multiple award

schedule contract is awarded to any responsible offeror

that—

(i) has a suitable record of past performance, which

may include past performance on multiple award

schedule contracts;

(ii) agrees to terms and conditions that the

Administrator determines as being required by law

or as being appropriate for the purchase of commercial

items; and

(iii) agrees to establish and update prices, features,

and performance and to accept orders electronically

through the automated system established pursuant

to subsection (a).

(3) COMPTROLLER GENERAL REVIEW AND REPORT.—(A) Not

later than three years after the date on which the pilot program

is established, the Comptroller General of the United States

shall review the pilot program and report to the Congress

on the results of the pilot program.

(B) The report shall include the following:

(i) An evaluation of the extent to which there is competition

for the orders placed under the pilot program.

(ii) The effect that the streamlined procedures under

the pilot program have on prices charged under multiple

award schedule contracts.

(iii) The effect that such procedures have on paperwork
requirements for multiple award schedule contracts and

orders.

(iv) The impact of the pilot program on small

businesses and socially and economically disadvantaged

small businesses.

(4) WITHDRAWAL OF SCHEDULE OR PORTION OF SCHEDULE

FROM PILOT PROGRAM.—The Administrator may withdraw a

multiple award schedule or portion of a schedule from the

pilot program if the Administrator determines that (A) price

competition is not available under such schedule or portion

thereof, or (B) the cost to the Government for that schedule

or portion thereof for the previous year was higher than it

would have been if the contracts for such schedule or portion

thereof had been awarded using procedures that would apply

if the pilot program were not in effect. The Administrator

shall notify Congress at least 30 days before the date on which

the Administrator withdraws a schedule or portion thereof

under this paragraph. The authority under this paragraph may

not be delegated.

(5) TERMINATION OF PILOT PROGRAM.—Unless reauthorized

by law, the authority of the Administrator to award contracts

under the pilot program shall expire four years after the date

on which the pilot program is established. Contracts entered

into before the authority expires shall remain in effect in accordance

with their terms notwithstanding the expiration of the

authority to award new contracts under the pilot program.

(d) DEFINITION.—In this section, the term ‘‘FACNET’’ means

the Federal Acquisition Computer Network established under section

30 of the Office of Federal Procurement Policy Act (41 U.S.C.

426).

SEC. 5402. IDENTIFICATION OF EXCESS AND SURPLUS COMPUTER

EQUIPMENT.

Not later than six months after the date of the enactment

of this Act, the head of an executive agency shall inventory all

computer equipment under the control of that official. After completion

of the inventory, the head of the executive agency shall maintain,

in accordance with title II of the Federal Property and

Administrative Services Act of 1949 (40 U.S.C. 481 et seq.), an

inventory of any such equipment that is excess or surplus property.

40 USC 1502.

Notification.
SEC. 5403. ACCESS OF CERTAIN INFORMATION IN INFORMATION SYSTEMS

TO THE DIRECTORY ESTABLISHED UNDER SECTION

4101 OF TITLE 44, UNITED STATES CODE.

Notwithstanding any other provision of this division, if in

designing an information technology system pursuant to this division,

the head of an executive agency determines that a purpose

of the system is to disseminate information to the public, then

the head of such executive agency shall reasonably ensure that

an index of information disseminated by such system is included

in the directory created pursuant to section 4101 of title 44, United

States Code. Nothing in this section authorizes the dissemination

of information to the public unless otherwise authorized.

TITLE LV—PROCUREMENT PROTEST

AUTHORITY OF THE COMPTROLLER

GENERAL

SEC. 5501. PERIOD FOR PROCESSING PROTESTS.

Title 31, United States Code, is amended as follows:

(1) Section 3553(b)(2)(A) is amended by striking out ‘‘35’’

and inserting in lieu thereof ‘‘30’’.

(2) Section 3554 is amended—

(A) in subsection (a)(1), by striking out ‘‘125’’ and

inserting in lieu thereof ‘‘100’’; and

(B) in subsection (e)—

(i) in paragraph (1), by striking out ‘‘Government

Operations’’ and inserting in lieu thereof ‘‘Government

Reform and Oversight’’; and

(ii) in paragraph (2), by striking out ‘‘125’’ and

inserting in lieu thereof ‘‘100’’.

SEC. 5502. AVAILABILITY OF FUNDS FOLLOWING GAO RESOLUTION

OF CHALLENGE TO CONTRACTING ACTION.

(a) IN GENERAL.—Section 1558 of title 31, United States Code,

is amended—

(1) in the first sentence of subsection (a)—

(A) by inserting ‘‘or other action referred to in subsection

(b)’’ after ‘‘protest’’ the first place it appears;

(B) by striking out ‘‘90 working days’’ and inserting

in lieu thereof ‘‘100 days’’; and

(C) by inserting ‘‘or other action’’ after ‘‘protest’’ the

second place it appears; and

(2) by striking out subsection (b) and inserting in lieu

thereof the following:

‘‘(b) Subsection (a) applies with respect to—

‘‘(1) any protest filed under subchapter V of chapter 35

of this title; or

‘‘(2) an action commenced under administrative procedures

or for a judicial remedy if—

‘‘(A) the action involves a challenge to—

‘‘(i) a solicitation for a contract;
‘‘(ii) a proposed award of a contract;

‘‘(iii) an award of a contract; or

40 USC 1503.


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PUBLIC LAW 104–106—FEB. 10, 1996 110 STAT. 699

‘‘(iv) the eligibility of an offeror or potential offeror

for a contract or of the contractor awarded the contract;

and

‘‘(B) commencement of the action delays or prevents

an executive agency from making an award of a contract

or proceeding with a procurement.’’.

(b) CONFORMING AMENDMENT.—The heading of such section

is amended to read as follows:

‘‘§ 1558. Availability of funds following resolution of a formal

protest or other challenge’’.

(c) CLERICAL AMENDMENT.—The item relating to such section

in the table of sections at the beginning of chapter 15 of title

31, United States Code, is amended to read as follows:

‘‘1558. Availability of funds following resolution of a formal protest or other

challenge.’’.

TITLE LVI—CONFORMING AND

CLERICAL AMENDMENTS

SEC. 5601. AMENDMENTS TO TITLE 10, UNITED STATES CODE.

(a) PROTEST FILE.—Section 2305(e) is amended by striking out

paragraph (3).

(b) MULTIYEAR CONTRACTS.—Section 2306b of such title is

amended—

(1) by striking out subsection (k); and

(2) by redesignating subsection (l) as subsection (k).

(c) LAW INAPPLICABLE TO PROCUREMENT OF INFORMATION TECHNOLOGY.—

Section 2315 of title 10, United States Code, is amended

by striking out ‘‘Section 111’’ and all that follows through ‘‘use

of equipment or services if,’’ and inserting in lieu thereof the following:

‘‘For the purposes of the Information Technology Management

Reform Act of 1996, the term ‘national security systems’ means

those telecommunications and information systems operated by the

Department of Defense, the functions, operation or use of which’’.

SEC. 5602. AMENDMENTS TO TITLE 28, UNITED STATES CODE.

(a) REFERENCES TO BROOKS AUTOMATIC DATA PROCESSING

ACT.—Section 612 of title 28, United States Code, is amended—

(1) in subsection (f), by striking out ‘‘section 111 of the

Federal Property and Administrative Services Act of 1949 (40

U.S.C. 759)’’ and inserting in lieu thereof ‘‘the provisions of

law, policies, and regulations applicable to executive agencies

under the Information Technology Management Reform Act

of 1996’’;

(2) in subsection (g), by striking out ‘‘sections 111 and

201 of the Federal Property and Administrative Services Act
of 1949 (40 U.S.C. 481 and 759)’’ and inserting in lieu thereof

‘‘section 201 of the Federal Property and Administrative Services

Act of 1949 (40 U.S.C. 481)’’;

(3) by striking out subsection (l); and

(4) by redesignating subsection (m) as subsection (l).

(b) REFERENCES TO AUTOMATIC DATA PROCESSING.—Section 612

of title 28, United States Code, is further amended—

(1) in the heading, by striking out the second word and

inserting in lieu thereof ‘‘Information Technology’’;


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110 STAT. 700 PUBLIC LAW 104–106—FEB. 10, 1996

(2) in subsection (a), by striking out ‘‘Judiciary Automation

Fund’’ and inserting in lieu thereof ‘‘Judiciary Information Technology

Fund’’; and

(3) by striking out ‘‘automatic data processing’’ and inserting

in lieu thereof ‘‘information technology’’ each place it

appears in subsections (a), (b), (c)(2), (e), (f), and (h)(1).

SEC. 5603. AMENDMENT TO TITLE 31, UNITED STATES CODE.

Section 3552 of title 31, United States Code, is amended by

striking out the second sentence.

SEC. 5604. AMENDMENTS TO TITLE 38, UNITED STATES CODE.

Section 310 of title 38, United States Code, is amended to

read as follows:

‘‘§ 310. Chief Information Officer

‘‘(a) The Chief Information Officer for the Department is designated

pursuant to section 3506(a)(2) of title 44.

‘‘(b) The Chief Information Officer performs the duties provided

for chief information officers of executive agencies under chapter

35 of title 44 and the Information Technology Management Reform

Act of 1996.’’.

SEC. 5605. PROVISIONS OF TITLE 44, UNITED STATES CODE, RELATING

TO PAPERWORK REDUCTION.

(a) DEFINITION.—Section 3502 of title 44, United States Code,

is amended by striking out paragraph (9) and inserting in lieu

thereof the following:

‘‘(9) the term ‘information technology’ has the meaning

given that term in section 5002 of the Information Technology

Management Reform Act of 1996 but does not include national

security systems as defined in section 5142 of that Act;’’.

(b) DEVELOPMENT OF STANDARDS AND GUIDELINES BY NATIONAL

INSTITUTE OF STANDARDS AND TECHNOLOGY.—Section 3504(h)(1)(B)

of such title is amended by striking out ‘‘section 111(d) of the

Federal Property and Administrative Services Act of 1949 (40 U.S.C.

759(d))’’ and inserting in lieu thereof ‘‘section 5131 of the Information

Technology Management Reform Act of 1996’’.

(c) COMPLIANCE WITH DIRECTIVES.—Section 3504(h)(2) of such

title is amended by striking out ‘‘sections 110 and 111 of the

Federal Property and Administrative Services Act of 1949 (40 U.S.C.
757 and 759)’’ and inserting in lieu thereof ‘‘the Information Technology

Management Reform Act of 1996 and directives issued under

section 110 of the Federal Property and Administrative Services

Act of 1949 (40 U.S.C. 757)’’.

(d) COLLECTION OF INFORMATION.—Section 3507(j)(2) of such

title is amended by striking out ‘‘90 days’’ in the second sentence

and inserting in lieu thereof ‘‘180 days’’.

SEC. 5606. AMENDMENT TO TITLE 49, UNITED STATES CODE.

Section 40112(a) of title 49, United States Code, is amended

by striking out ‘‘or a contract to purchase property to which section

111 of the Federal Property and Administrative Services Act of

1949 (40 U.S.C. 759) applies’’.


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PUBLIC LAW 104–106—FEB. 10, 1996 110 STAT. 701

SEC. 5607. OTHER LAWS.

(a) NATIONAL INSTITUTE OF STANDARDS AND TECHNOLOGY

ACT.—Section 20 of the National Institute of Standards and Technology

Act (15 U.S.C. 278g–3) is amended—

(1) in subsection (a)—

(A) by striking out ‘‘section 3502(2) of title 44’’ each

place it appears in paragraphs (2) and (3)(A) and inserting

in lieu thereof ‘‘section 3502(9) of title 44’’; and

(B) in paragraph (4), by striking out ‘‘section 111(d)

of the Federal Property and Administrative Services Act

of 1949’’ and inserting in lieu thereof ‘‘section 5131 of

the Information Technology Management Reform Act of

1996’’;

(2) in subsection (b)—

(A) by striking out paragraph (2);

(B) in paragraph (3), by striking out ‘‘section 111(d)

of the Federal Property and Administrative Services Act

of 1949’’ and inserting in lieu thereof ‘‘section 5131 of

the Information Technology Management Reform Act of

1996’’; and

(C) by redesignating paragraphs (3), (4), (5), and (6)

as paragraphs (2), (3), (4), and (5); and

(3) in subsection (d)—

(A) in paragraph (1)(B)(v), by striking out ‘‘as defined’’

and all that follows and inserting in lieu thereof a semicolon;

and

(B) in paragraph (2)—

(i) by striking out ‘‘system’—’’ and all that follows

through ‘‘means’’ in subparagraph (A) and inserting

in lieu thereof ‘‘system’ means’’; and

(ii) by striking out ‘‘; and’’ at the end of subparagraph

(A) and all that follows through the end of

subparagraph (B) and inserting in lieu thereof a semicolon.

(b) COMPUTER SECURITY ACT OF 1987.—
(1) PURPOSES.—Section 2(b)(2) of the Computer Security

Act of 1987 (Public Law 100–235; 101 Stat. 1724) is amended

by striking out ‘‘by amending section 111(d) of the Federal

Property and Administrative Services Act of 1949 (40 U.S.C.

759(d))’’.

(2) SECURITY PLAN.—Section 6(b) of such Act (101 Stat.

1729; 40 U.S.C. 759 note) is amended—

(A) by striking out ‘‘Within one year after the date

of enactment of this Act, each such agency shall, consistent

with the standards, guidelines, policies, and regulations

prescribed pursuant to section 111(d) of the Federal Property

and Administrative Services Act of 1949,’’ and inserting

in lieu thereof ‘‘Each such agency shall, consistent

with the standards, guidelines, policies, and regulations

prescribed pursuant to section 5131 of the Information

Technology Management Reform Act of 1996,’’; and

(B) by striking out ‘‘Copies’’ and all that follows through

‘‘Code.’’.

(c) FEDERAL PROPERTY AND ADMINISTRATIVE SERVICES ACT OF

1949.—Section 303B(h) of the Federal Property and Administrative

Services Act of 1949 (41 U.S.C. 253b(h)) is amended by striking

out paragraph (3).

40 USC 759 note.


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110 STAT. 702 PUBLIC LAW 104–106—FEB. 10, 1996

(d) OFFICE OF FEDERAL PROCUREMENT POLICY ACT.—Section

6(h)(1) of the Office of Federal Procurement Policy Act (41 U.S.C.

405(h)(1)) is amended by striking out ‘‘of automatic data processing

and telecommunications equipment and services or’’.

(e) NATIONAL ENERGY CONSERVATION POLICY ACT.—Section

801(b)(3) of the National Energy Conservation Policy Act (42 U.S.C.

8287(b)(3)) is amended by striking out the second sentence.

(f) CENTRAL INTELLIGENCE AGENCY ACT OF 1949.—Section 3

of the Central Intelligence Agency Act of 1949 (50 U.S.C. 403c)

is amended by striking out subsection (e).

SEC. 5608. CLERICAL AMENDMENTS.

(a) FEDERAL PROPERTY AND ADMINISTRATIVE SERVICES ACT OF

1949.—The table of contents in section 1(b) of the Federal Property

and Administrative Services Act of 1949 is amended by striking

out the item relating to section 111.

(b) TITLE 38, UNITED STATES CODE.—The table of sections

at the beginning of chapter 3 of title 38, United States Code,

is amended by striking out the item relating to section 310 and

inserting in lieu thereof the following:

‘‘310. Chief Information Officer.’’.

TITLE LVII—EFFECTIVE DATE, SAVINGS

PROVISIONS, AND RULES OF CONSTRUCTION

SEC. 5701. EFFECTIVE DATE.
This division and the amendments made by this division shall

take effect 180 days after the date of the enactment of this Act.

SEC. 5702. SAVINGS PROVISIONS.

(a) REGULATIONS, INSTRUMENTS, RIGHTS, AND PRIVILEGES.—

All rules, regulations, contracts, orders, determinations, permits,

certificates, licenses, grants, and privileges—

(1) which have been issued, made, granted, or allowed

to become effective by the Administrator of General Services

or the General Services Board of Contract Appeals, or by a

court of competent jurisdiction, in connection with an acquisition

activity carried out under section 111 of the Federal Property

and Administrative Services Act of 1949 (40 U.S.C. 759),

and

(2) which are in effect on the effective date of this division,

shall continue in effect according to their terms until modified,

terminated, superseded, set aside, or revoked in accordance with

law by the Director or any other authorized official, by a court

of competent jurisdiction, or by operation of law.

(b) PROCEEDINGS.—

(1) PROCEEDINGS GENERALLY.—This division and the

amendments made by this division shall not affect any proceeding,

including any proceeding involving a claim, application,

or protest in connection with an acquisition activity carried

out under section 111 of the Federal Property and Administrative

Services Act of 1949 (40 U.S.C. 759) that is pending before

the Administrator of General Services or the General Services

Board of Contract Appeals on the effective date of this division.

40 USC 1401

note.


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PUBLIC LAW 104–106—FEB. 10, 1996 110 STAT. 703

LEGISLATIVE HISTORY—S. 1124 (H.R. 1530) (S. 1026):

HOUSE REPORTS: Nos. 104–131 (Comm. on National Security) and 104–406

(Comm. of Conference), both accompanying H.R. 1530, and

104–450 (Comm. of Conference).

SENATE REPORTS: No. 104–112 accompanying S. 1026 (Comm. on Armed Services).

CONGRESSIONAL RECORD:

Vol. 141 (1995): Sept. 6, considered and passed Senate.

Vol. 142 (1996): Jan. 5, considered and passed House, amended, in lieu of

H.R. 1530.

Jan. 24, House agreed to conference report.

Jan. 26, Senate agreed to conference report.

WEEKLY COMPILATION OF PRESIDENTIAL DOCUMENTS, Vol. 32 (1996):

Feb. 10, Presidential statement.

®

(2) ORDERS.—Orders may be issued in any such proceeding,

appeals may be taken therefrom, and payments may be made

pursuant to such orders, as if this division had not been
enacted. An order issued in any such proceeding shall continue

in effect until modified, terminated, superseded, or revoked

in accordance with law by the Director or any other authorized

official, by a court of competent jurisdiction, or by operation

of law.

(3) DISCONTINUANCE OR MODIFICATION OF PROCEEDINGS NOT

PROHIBITED.—Nothing in this subsection prohibits the discontinuance

or modification of any such proceeding under the

same terms and conditions and to the same extent that such

proceeding could have been discontinued or modified if this

Act had not been enacted.

(4) OTHER AUTHORITY AND PROHIBITION.—Section 1558(a)

of title 31, United States Code, and the second sentence of

section 3552 of such title shall continue to apply with respect

to a protest process in accordance with this subsection.

(5) REGULATIONS FOR TRANSFER OF PROCEEDINGS.—The

Director may prescribe regulations providing for the orderly

transfer of proceedings continued under paragraph (1).

(c) STANDARDS AND GUIDELINES FOR FEDERAL COMPUTER SYSTEMS.—

Standards and guidelines that are in effect for Federal

computer systems under section 111(d) of the Federal Property

and Administrative Services Act of 1949 (40 U.S.C. 759(d)) on

the day before the effective date of this division shall remain in

effect until modified, terminated, superseded, revoked, or disapproved

under the authority of section 5131 of this Act.

SEC. 5703. RULES OF CONSTRUCTION.

(a) RELATIONSHIP TO TITLE 44, UNITED STATES CODE.—Nothing

in this division shall be construed to amend, modify, or supersede

any provision of title 44, United States Code, other than chapter

35 of such title.

(b) RELATIONSHIP TO COMPUTER SECURITY ACT OF 1987.—Nothing

in this division shall affect the limitations on authority that

is provided for in the administration of the Computer Security

Act of 1987 (Public Law 100–235) and the amendments made by

such Act.

Approved February 10, 1996.


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