I 

112TH CONGRESS 

2D SESSION H. R. 5706 

To provide strategic workload to Army arsenals in their function as a critical 

component of the organic defense industrial base. 

IN THE HOUSE OF REPRESENTATIVES 

MAY 9, 2012 

Mr. SCHILLING (for himself and Mr. LOEBSACK) introduced the following bill; 

which was referred to the Committee on Armed Services 

A BILL 

To provide strategic workload to Army arsenals in their 

function as a critical component of the organic defense 

industrial base. 

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

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘Army Arsenal Stra5 tegic Workload Enhancement Act of 2012’’. 

6 SEC. 2. DEPARTMENT OF DEFENSE USE OF ARSENALS. 

7 (a) IN GENERAL.—Chapter 143 of title 10, United 

8 States Code, is amended by adding at the end the fol9 lowing new section: 


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1 ‘‘§ 2425. Department of Defense use of arsenals 

2 ‘‘(a) IN GENERAL.—The Secretary of Defense shall 

3 develop and promulgate measurable and enforceable 

4 guidelines for the Department of Defense, defense agen5 cies, and the military services to have supplies, compo6 nents, end items, parts, assemblies, and sub-assemblies 

7 made in factories or arsenals owned by the United States, 

8 to the extent those factories or arsenals can make those 

9 supplies, components, end items, parts, assemblies, and 

10 sub-assemblies on an economical basis while preserving the 

11 ability to provide an effective and timely response to mobi12 lizations, national defense contingency situations, and 

13 other emergency requirements. 

14 ‘‘(b) DETERMINATION OF ECONOMICAL BASIS.—For 

15 purposes of determining whether supplies, components, 

16 end items, parts, assemblies, and sub-assemblies can be 

17 made on an ‘economical basis’ under subsection (a), the 

18 Secretary of Defense shall analyze the direct costs associ19 ated with the manufacture of such supplies, components, 

20 end items, parts, assemblies, and sub-assemblies. If an 

21 analysis is not performed, the Secretary of Defense or the 

22 relevant defense agency or military service shall promptly 

23 report to the congressional defense committees the jus24 tification for not performing an analysis.’’. 


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1 (b) CLERICAL AMENDMENT.—The table of sections 

2 at the beginning of such chapter is amended by adding 

3 at the end the following new item: 

‘‘2425. Department of Defense use of arsenals.’’. 

4 SEC. 3. ASSIGNMENT OF WORKLOAD AT ARMY FACTORIES 

5 AND ARSENALS. 

6 (a) IN GENERAL.—Section 4532 of title 10, United 

7 States Code, is amended to read as follows: 

8 ‘‘§ 4532. Assignment of workload at Army factories 

9 and arsenals 

10 ‘‘(a) ASSIGNMENT OF WORKLOAD.—(1) The Sec11 retary of the Army shall assign Government-owned and 

12 Government-operated Department of the Army factories 

13 and arsenals sufficient workload to ensure cost efficiency 

14 and technical competence in peacetime, while preserving 

15 the ability to provide an effective and timely response to 

16 mobilizations, national defense contingency situations, and 

17 other emergency requirements. 

18 ‘‘(2) At a minimum, workload may be derived from 

19 manufacturing of supplies, components, parts, systems, 

20 subsystems, and foreign military sales. 

21 ‘‘(3) The Secretary of the Army shall develop and 

22 promulgate guidelines to make the arsenals available to 

23 the Department of Defense, defense agencies, and military 

24 services for procurement of supplies, components, parts, 

25 systems, and subsystems. 


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1 ‘‘(b) WAIVER AUTHORITY.—(1) The Secretary of the 

2 Army may waive the requirement under subsection (a)(1) 

3 if such a waiver is necessary for the national defense. 

4 ‘‘(2) A waiver under paragraph (1) shall not take ef5 fect until 30 days after the Secretary submits to the con6 gressional defense committees a notification of the deter7 mination, together with the justification for the determina8 tion. 

9 ‘‘(3) The authority to grant a waiver under para10 graph (1) may not be delegated. 

11 ‘‘(c) ANNUAL ARSENAL REPORT.—In 2013 and each 

12 year thereafter, not later than 60 days after the date on 

13 which the budget of the President for a fiscal year is sub14 mitted to Congress, the Secretary of Defense shall submit 

15 to Congress a report for the Army identifying, for the rel16 evant fiscal year, each of the following: 

17 ‘‘(1) The core arsenal manufacturing capability. 

18 ‘‘(2) The workload required to cost-effectively 

19 support the arsenals and the manufacturing capa20 bility inherent in these installations. 

21 ‘‘(3) The Secretary of the Army’s performance 

22 in maintaining the Department of the Army’s fac23 tories and arsenals with sufficient workload to en24 sure affordability and technical competence in peace25 time. 


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1 ‘‘(4) The capital investments required to be 

2 made in order to ensure compliance and operational 

3 capacity. 

4 ‘‘(d) COMPTROLLER GENERAL REVIEW.—The Comp5 troller General shall review each report required under 

6 subsection (c) for completeness and compliance and pro7 vide findings and recommendations to the congressional 

8 defense committees not later than 60 days after the report 

9 is submitted to Congress.’’. 

10 (b) CLERICAL AMENDMENT.—The table of sections 

11 at the beginning of chapter 433 of title 10, United States 

12 Code, is amended by striking the item relating to section 

13 4532 and inserting the following new item: 

‘‘4532. Assignment of workload at Army factories and arsenals.’’. 

14 (c) INITIAL WORKLOAD PLAN REPORT.—The first 

15 report required under subsection (c) of section 4532 of 

16 title 10, United States Code, as amended by subsection 

17 (a), shall be submitted not later than 180 days after the 

18 date of the enactment of this Act. 

Æ 


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