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[Congressional Bills 113th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2719 Engrossed Amendment Senate (EAS)]

                  In the Senate of the United States,

                                                      December 9, 2014.
    Resolved, That the bill from the House of Representatives (H.R. 
2719) entitled ``An Act to require the Transportation Security 
Administration to implement best practices and improve transparency 
with regard to technology acquisition programs, and for other 
purposes.'', do pass with the following

                               AMENDMENT:

            Strike all after the enacting clause and insert the 
      following:

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Transportation Security Acquisition 
Reform Act''.

SEC. 2. FINDINGS.

    Congress finds the following:
            (1) The Transportation Security Administration has not 
        consistently implemented Department of Homeland Security 
        policies and Government best practices for acquisition and 
        procurement.
            (2) The Transportation Security Administration has only 
        recently developed a multiyear technology investment plan, and 
        has underutilized innovation opportunities within the private 
        sector, including from small businesses.
            (3) The Transportation Security Administration has faced 
        challenges in meeting key performance requirements for several 
        major acquisitions and procurements, resulting in reduced 
        security effectiveness and wasted expenditures.

SEC. 3. TRANSPORTATION SECURITY ADMINISTRATION ACQUISITION REFORM.

    (a) In General.--Title XVI of the Homeland Security Act of 2002 
(Public Law 107-296; 116 Stat. 2312) is amended to read as follows:

                  ``TITLE XVI--TRANSPORTATION SECURITY

                    ``Subtitle A--General Provisions

``SEC. 1601. DEFINITIONS.

    ``In this title:
            ``(1) Administration.--The term `Administration' means the 
        Transportation Security Administration.
            ``(2) Administrator.--The term `Administrator' means the 
        Administrator of the Transportation Security Administration.
            ``(3) Plan.--The term `Plan' means the strategic 5-year 
        technology investment plan developed by the Administrator under 
        section 1611.
            ``(4) Security-related technology.--The term `security-
        related technology' means any technology that assists the 
        Administration in the prevention of, or defense against, 
        threats to United States transportation systems, including 
        threats to people, property, and information.

   ``Subtitle B--Transportation Security Administration Acquisition 
                              Improvements

``SEC. 1611. 5-YEAR TECHNOLOGY INVESTMENT PLAN.

    ``(a) In General.--The Administrator shall--
            ``(1) not later than 180 days after the date of the 
        enactment of the Transportation Security Acquisition Reform 
        Act, develop and submit to Congress a strategic 5-year 
        technology investment plan, that may include a classified 
        addendum to report sensitive transportation security risks, 
        technology vulnerabilities, or other sensitive security 
        information; and
            ``(2) to the extent possible, publish the Plan in an 
        unclassified format in the public domain.
    ``(b) Consultation.--The Administrator shall develop the Plan in 
consultation with--
            ``(1) the Under Secretary for Management;
            ``(2) the Under Secretary for Science and Technology;
            ``(3) the Chief Information Officer; and
            ``(4) the aviation industry stakeholder advisory committee 
        established by the Administrator.
    ``(c) Approval.--The Administrator may not publish the Plan under 
subsection (a)(2) until it has been approved by the Secretary.
    ``(d) Contents of Plan.--The Plan shall include--
            ``(1) an analysis of transportation security risks and the 
        associated capability gaps that would be best addressed by 
        security-related technology, including consideration of the 
        most recent quadrennial homeland security review under section 
        707;
            ``(2) a set of security-related technology acquisition 
        needs that--
                    ``(A) is prioritized based on risk and associated 
                capability gaps identified under paragraph (1); and
                    ``(B) includes planned technology programs and 
                projects with defined objectives, goals, timelines, and 
                measures;
            ``(3) an analysis of current and forecast trends in 
        domestic and international passenger travel;
            ``(4) an identification of currently deployed security-
        related technologies that are at or near the end of their 
        lifecycles;
            ``(5) an identification of test, evaluation, modeling, and 
        simulation capabilities, including target methodologies, 
        rationales, and timelines necessary to support the acquisition 
        of the security-related technologies expected to meet the needs 
        under paragraph (2);
            ``(6) an identification of opportunities for public-private 
        partnerships, small and disadvantaged company participation, 
        intragovernment collaboration, university centers of 
        excellence, and national laboratory technology transfer;
            ``(7) an identification of the Administration's acquisition 
        workforce needs for the management of planned security-related 
        technology acquisitions, including consideration of leveraging 
        acquisition expertise of other Federal agencies;
            ``(8) an identification of the security resources, 
        including information security resources, that will be required 
        to protect security-related technology from physical or cyber 
        theft, diversion, sabotage, or attack;
            ``(9) an identification of initiatives to streamline the 
        Administration's acquisition process and provide greater 
        predictability and clarity to small, medium, and large 
        businesses, including the timeline for testing and evaluation;
            ``(10) an assessment of the impact to commercial aviation 
        passengers;
            ``(11) a strategy for consulting airport management, air 
        carrier representatives, and Federal security directors 
        whenever an acquisition will lead to the removal of equipment 
        at airports, and how the strategy for consulting with such 
        officials of the relevant airports will address potential 
        negative impacts on commercial passengers or airport 
        operations; and
            ``(12) in consultation with the National Institutes of 
        Standards and Technology, an identification of security-related 
        technology interface standards, in existence or if implemented, 
        that could promote more interoperable passenger, baggage, and 
        cargo screening systems.
    ``(e) Leveraging the Private Sector.--To the extent possible, and 
in a manner that is consistent with fair and equitable practices, the 
Plan shall--
            ``(1) leverage emerging technology trends and research and 
        development investment trends within the public and private 
        sectors;
            ``(2) incorporate private sector input, including from the 
        aviation industry stakeholder advisory committee established by 
        the Administrator, through requests for information, industry 
        days, and other innovative means consistent with the Federal 
        Acquisition Regulation; and
            ``(3) in consultation with the Under Secretary for Science 
        and Technology, identify technologies in existence or in 
        development that, with or without adaptation, are expected to 
        be suitable to meeting mission needs.
    ``(f) Disclosure.--The Administrator shall include with the Plan a 
list of nongovernment persons that contributed to the writing of the 
Plan.
    ``(g) Update and Report.--Beginning 2 years after the date the Plan 
is submitted to Congress under subsection (a), and biennially 
thereafter, the Administrator shall submit to Congress--
            ``(1) an update of the Plan; and
            ``(2) a report on the extent to which each security-related 
        technology acquired by the Administration since the last 
        issuance or update of the Plan is consistent with the planned 
        technology programs and projects identified under subsection 
        (d)(2) for that security-related technology.

``SEC. 1612. ACQUISITION JUSTIFICATION AND REPORTS.

    ``(a) Acquisition Justification.--Before the Administration 
implements any security-related technology acquisition, the 
Administrator, in accordance with the Department's policies and 
directives, shall determine whether the acquisition is justified by 
conducting an analysis that includes--
            ``(1) an identification of the scenarios and level of risk 
        to transportation security from those scenarios that would be 
        addressed by the security-related technology acquisition;
            ``(2) an assessment of how the proposed acquisition aligns 
        to the Plan;
            ``(3) a comparison of the total expected lifecycle cost 
        against the total expected quantitative and qualitative 
        benefits to transportation security;
            ``(4) an analysis of alternative security solutions, 
        including policy or procedure solutions, to determine if the 
        proposed security-related technology acquisition is the most 
        effective and cost-efficient solution based on cost-benefit 
        considerations;
            ``(5) an assessment of the potential privacy and civil 
        liberties implications of the proposed acquisition that 
        includes, to the extent practicable, consultation with 
        organizations that advocate for the protection of privacy and 
        civil liberties;
            ``(6) a determination that the proposed acquisition is 
        consistent with fair information practice principles issued by 
        the Privacy Officer of the Department;
            ``(7) confirmation that there are no significant risks to 
        human health or safety posed by the proposed acquisition; and
            ``(8) an estimate of the benefits to commercial aviation 
        passengers.
    ``(b) Reports and Certification to Congress.--
            ``(1) In general.--Not later than the end of the 30-day 
        period preceding the award by the Administration of a contract 
        for any security-related technology acquisition exceeding 
        $30,000,000, the Administrator shall submit to the Committee on 
        Commerce, Science, and Transportation of the Senate and the 
        Committee on Homeland Security of the House of 
        Representatives--
                    ``(A) the results of the comprehensive acquisition 
                justification under subsection (a); and
                    ``(B) a certification by the Administrator that the 
                benefits to transportation security justify the 
                contract cost.
            ``(2) Extension due to imminent terrorist threat.--If there 
        is a known or suspected imminent threat to transportation 
        security, the Administrator--
                    ``(A) may reduce the 30-day period under paragraph 
                (1) to 5 days to rapidly respond to the threat; and
                    ``(B) shall immediately notify the Committee on 
                Commerce, Science, and Transportation of the Senate and 
                the Committee on Homeland Security of the House of 
                Representatives of the known or suspected imminent 
                threat.

``SEC. 1613. ACQUISITION BASELINE ESTABLISHMENT AND REPORTS.

    ``(a) Baseline Requirements.--
            ``(1) In general.--Before the Administration implements any 
        security-related technology acquisition, the appropriate 
        acquisition official of the Department shall establish and 
        document a set of formal baseline requirements.
            ``(2) Contents.--The baseline requirements under paragraph 
        (1) shall--
                    ``(A) include the estimated costs (including 
                lifecycle costs), schedule, and performance milestones 
                for the planned duration of the acquisition;
                    ``(B) identify the acquisition risks and a plan for 
                mitigating those risks; and
                    ``(C) assess the personnel necessary to manage the 
                acquisition process, manage the ongoing program, and 
                support training and other operations as necessary.
            ``(3) Feasibility.--In establishing the performance 
        milestones under paragraph (2)(A), the appropriate acquisition 
        official of the Department, to the extent possible and in 
        consultation with the Under Secretary for Science and 
        Technology, shall ensure that achieving those milestones is 
        technologically feasible.
            ``(4) Test and evaluation plan.--The Administrator, in 
        consultation with the Under Secretary for Science and 
        Technology, shall develop a test and evaluation plan that 
        describes--
                    ``(A) the activities that are expected to be 
                required to assess acquired technologies against the 
                performance milestones established under paragraph 
                (2)(A);
                    ``(B) the necessary and cost-effective combination 
                of laboratory testing, field testing, modeling, 
                simulation, and supporting analysis to ensure that such 
                technologies meet the Administration's mission needs;
                    ``(C) an efficient planning schedule to ensure that 
                test and evaluation activities are completed without 
                undue delay; and
                    ``(D) if commercial aviation passengers are 
                expected to interact with the security-related 
                technology, methods that could be used to measure 
                passenger acceptance of and familiarization with the 
                security-related technology.
            ``(5) Verification and validation.--The appropriate 
        acquisition official of the Department--
                    ``(A) subject to subparagraph (B), shall utilize 
                independent reviewers to verify and validate the 
                performance milestones and cost estimates developed 
                under paragraph (2) for a security-related technology 
                that pursuant to section 1611(d)(2) has been identified 
                as a high priority need in the most recent Plan; and
                    ``(B) shall ensure that the use of independent 
                reviewers does not unduly delay the schedule of any 
                acquisition.
            ``(6) Streamlining access for interested vendors.--The 
        Administrator shall establish a streamlined process for an 
        interested vendor of a security-related technology to request 
        and receive appropriate access to the baseline requirements and 
        test and evaluation plans that are necessary for the vendor to 
        participate in the acquisitions process for that technology.
    ``(b) Review of Baseline Requirements and Deviation; Report to 
Congress.--
            ``(1) Review.--
                    ``(A) In general.--The appropriate acquisition 
                official of the Department shall review and assess each 
                implemented acquisition to determine if the acquisition 
                is meeting the baseline requirements established under 
                subsection (a).
                    ``(B) Test and evaluation assessment.--The review 
                shall include an assessment of whether--
                            ``(i) the planned testing and evaluation 
                        activities have been completed; and
                            ``(ii) the results of that testing and 
                        evaluation demonstrate that the performance 
                        milestones are technologically feasible.
            ``(2) Report.--Not later than 30 days after making a 
        finding described in clause (i), (ii), or (iii) of subparagraph 
        (A), the Administrator shall submit a report to the Committee 
        on Commerce, Science, and Transportation of the Senate and the 
        Committee on Homeland Security of the House of Representatives 
        that includes--
                    ``(A) the results of any assessment that finds 
                that--
                            ``(i) the actual or planned costs exceed 
                        the baseline costs by more than 10 percent;
                            ``(ii) the actual or planned schedule for 
                        delivery has been delayed by more than 180 
                        days; or
                            ``(iii) there is a failure to meet any 
                        performance milestone that directly impacts 
                        security effectiveness;
                    ``(B) the cause for such excessive costs, delay, or 
                failure; and
                    ``(C) a plan for corrective action.

``SEC. 1614. INVENTORY UTILIZATION.

    ``(a) In General.--Before the procurement of additional quantities 
of equipment to fulfill a mission need, the Administrator, to the 
extent practicable, shall utilize any existing units in the 
Administration's inventory to meet that need.
    ``(b) Tracking of Inventory.--
            ``(1) In general.--The Administrator shall establish a 
        process for tracking--
                    ``(A) the location of security-related equipment in 
                the inventory under subsection (a);
                    ``(B) the utilization status of security-related 
                technology in the inventory under subsection (a); and
                    ``(C) the quantity of security-related equipment in 
                the inventory under subsection (a).
            ``(2) Internal controls.--The Administrator shall implement 
        internal controls to ensure up-to-date accurate data on 
        security-related technology owned, deployed, and in use.
    ``(c) Logistics Management.--
            ``(1) In general.--The Administrator shall establish 
        logistics principles for managing inventory in an effective and 
        efficient manner.
            ``(2) Limitation on just-in-time logistics.--The 
        Administrator may not use just-in-time logistics if doing so--
                    ``(A) would inhibit necessary planning for large-
                scale delivery of equipment to airports or other 
                facilities; or
                    ``(B) would unduly diminish surge capacity for 
                response to a terrorist threat.

``SEC. 1615. SMALL BUSINESS CONTRACTING GOALS.

    ``Not later than 90 days after the date of enactment of the 
Transportation Security Acquisition Reform Act, and annually 
thereafter, the Administrator shall submit a report to the Committee on 
Commerce, Science, and Transportation of the Senate and the Committee 
on Homeland Security of the House of Representatives that includes--
            ``(1) the Administration's performance record with respect 
        to meeting its published small-business contracting goals 
        during the preceding fiscal year;
            ``(2) if the goals described in paragraph (1) were not met 
        or the Administration's performance was below the published 
        small-business contracting goals of the Department--
                    ``(A) a list of challenges, including deviations 
                from the Administration's subcontracting plans, and 
                factors that contributed to the level of performance 
                during the preceding fiscal year;
                    ``(B) an action plan, with benchmarks, for 
                addressing each of the challenges identified in 
                subparagraph (A) that--
                            ``(i) is prepared after consultation with 
                        the Secretary of Defense and the heads of 
                        Federal departments and agencies that achieved 
                        their published goals for prime contracting 
                        with small and minority-owned businesses, 
                        including small and disadvantaged businesses, 
                        in prior fiscal years; and
                            ``(ii) identifies policies and procedures 
                        that could be incorporated by the 
                        Administration in furtherance of achieving the 
                        Administration's published goal for such 
                        contracting; and
            ``(3) a status report on the implementation of the action 
        plan that was developed in the preceding fiscal year in 
        accordance with paragraph (2)(B), if such a plan was required.

``SEC. 1616. CONSISTENCY WITH THE FEDERAL ACQUISITION REGULATION AND 
              DEPARTMENTAL POLICIES AND DIRECTIVES.

    ``The Administrator shall execute the responsibilities set forth in 
this subtitle in a manner consistent with, and not duplicative of, the 
Federal Acquisition Regulation and the Department's policies and 
directives.''.
    (b) Conforming Amendment.--The table of contents in section 1(b) of 
the Homeland Security Act of 2002 is amended by striking the items 
relating to title XVI and inserting the following:

                  ``TITLE XVI--TRANSPORTATION SECURITY

                    ``Subtitle A--General Provisions

``Sec. 1601. Definitions.

   ``Subtitle B--Transportation Security Administration Acquisition 
                              Improvements

``Sec. 1611. 5-year technology investment plan.
``Sec. 1612. Acquisition justification and reports.
``Sec. 1613. Acquisition baseline establishment and reports.
``Sec. 1614. Inventory utilization.
``Sec. 1615. Small business contracting goals.
``Sec. 1616. Consistency with the Federal acquisition regulation and 
                            departmental policies and directives.''.
    (c) Prior Amendments Not Affected.--Nothing in this section may be 
construed to affect any amendment made by title XVI of the Homeland 
Security Act of 2002 as in effect before the date of enactment of this 
Act.

SEC. 4. GOVERNMENT ACCOUNTABILITY OFFICE REPORTS.

    (a) Implementation of Previous Recommendations.--Not later than 1 
year after the date of enactment of this Act, the Comptroller General 
of the United States shall submit a report to Congress that contains an 
assessment of the Transportation Security Administration's 
implementation of recommendations regarding the acquisition of 
security-related technology that were made by the Government 
Accountability Office before the date of the enactment of this Act.
    (b) Implementation of Subtitle B of Title XVI.--Not later than 1 
year after the date of enactment of this Act and 3 years thereafter, 
the Comptroller General of the United States shall submit a report to 
Congress that contains an evaluation of the Transportation Security 
Administration's progress in implementing subtitle B of title XVI of 
the Homeland Security Act of 2002, as amended by section 3, including 
any efficiencies, cost savings, or delays that have resulted from such 
implementation.

SEC. 5. REPORT ON FEASIBILITY OF INVENTORY TRACKING.

    Not later than 90 days after the date of enactment of this Act, the 
Administrator of the Transportation Security Administration shall 
submit a report to Congress on the feasibility of tracking security-
related technology, including software solutions, of the Administration 
through automated information and data capture technologies.

SEC. 6. GOVERNMENT ACCOUNTABILITY OFFICE REVIEW OF TSA'S TEST AND 
              EVALUATION PROCESS.

    Not later than 1 year after the date of enactment of this Act, the 
Comptroller General of the United States shall submit a report to 
Congress that includes--
            (1) an evaluation of the Transportation Security 
        Administration's testing and evaluation activities related to 
        security-related technology;
            (2) information on the extent to which--
                    (A) the execution of such testing and evaluation 
                activities is aligned, temporally and otherwise, with 
                the Administration's annual budget request, acquisition 
                needs, planned procurements, and acquisitions for 
                technology programs and projects; and
                    (B) security-related technology that has been 
                tested, evaluated, and certified for use by the 
                Administration but was not procured by the 
                Administration, including the reasons the procurement 
                did not occur; and
            (3) recommendations--
                    (A) to improve the efficiency and efficacy of such 
                testing and evaluation activities; and
                    (B) to better align such testing and evaluation 
                with the acquisitions process.

SEC. 7. NO ADDITIONAL AUTHORIZATION OF APPROPRIATIONS.

    No additional funds are authorized to be appropriated to carry out 
this Act or the amendments made by this Act.

            Attest:

                                                             Secretary.
113th CONGRESS

  1st Session

                               H.R. 2719

_______________________________________________________________________

                               AMENDMENT
```