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[Congressional Bills 113th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2719 Reported in House (RH)]

                                                 Union Calendar No. 196
113th CONGRESS
  1st Session
                                H. R. 2719

                          [Report No. 113-275]

To require the Transportation Security Administration to implement best 
     practices and improve transparency with regard to technology 
             acquisition programs, and for other purposes.

_______________________________________________________________________

                    IN THE HOUSE OF REPRESENTATIVES

                             July 18, 2013

 Mr. Hudson (for himself, Mr. McCaul, Mr. Thompson of Mississippi, and 
Mr. Richmond) introduced the following bill; which was referred to the 
                     Committee on Homeland Security

                           November 21, 2013

  Reported with an amendment, committed to the Committee of the Whole 
       House on the State of the Union, and ordered to be printed
 [Strike out all after the enacting clause and insert the part printed 
                               in italic]
 [For text of introduced bill, see copy of bill as introduced on July 
                               18, 2013]

_______________________________________________________________________

                                 A BILL

 
To require the Transportation Security Administration to implement best 
     practices and improve transparency with regard to technology 
             acquisition programs, 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 ``Transportation Security Acquisition 
Reform Act''.

SEC. 2. FINDINGS.

    Congress finds the following:
            (1) The Transportation Security Administration (in this Act 
        referred to as ``TSA'') does not consistently implement 
        Department of Homeland Security policies and Government best 
        practices for acquisition and procurement.
            (2) TSA has not developed a multiyear technology investment 
        plan. As a result, TSA has underutilized innovation 
        opportunities within the private sector, including from small 
        businesses.
            (3) Due in part to the deficiencies referred to in 
        paragraphs (1) and (2), TSA 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 
(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) 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. MULTIYEAR TECHNOLOGY INVESTMENT PLAN.

    ``(a) In General.--The Administrator--
            ``(1) not later than 180 days after the date of enactment 
        of the Transportation Security Acquisition Reform Act, shall 
        develop and transmit to Congress a strategic multiyear 
        technology investment plan, which may include a classified 
        addendum to report sensitive transportation security risks, 
        technology vulnerabilities, or other sensitive security 
        information; and
            ``(2) to the extent possible, shall publish such plan in an 
        unclassified format within the public domain.
    ``(b) Consultation.--The Administrator shall develop the multiyear 
technology investment plan in consultation with the Under Secretary for 
Management, the Chief Information Officer, and the Under Secretary for 
Science and Technology.
    ``(c) Approval.--The Secretary must have approved the multiyear 
technology investment plan before it is published under subsection 
(a)(2).
    ``(d) Contents of Plan.--The multiyear technology investment plan 
shall include the following:
            ``(1) An analysis of transportation security risks and the 
        associated technology gaps, including consideration of the most 
        recent Quadrennial Homeland Security Review under section 707.
            ``(2) A set of transportation security-related technology 
        acquisition needs that--
                    ``(A) is prioritized based on risk and gaps 
                identified under paragraph (1); and
                    ``(B) includes planned technology programs and 
                projects with defined objectives, goals, and measures.
            ``(3) An analysis of current 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 
        lifecycle.
            ``(5) An identification of test, evaluation, modeling, and 
        simulation capabilities that will be required to support the 
        acquisition of the security-related technologies to meet those 
        needs.
            ``(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 that will be required 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.
    ``(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 feedback and input received from the 
        private sector through requests for information, industry days, 
        and other innovative means consistent with the Federal 
        Acquisition Regulation; and
            ``(3) leverage market research conducted by the Under 
        Secretary for Science and Technology to identify technologies 
        that exist or are in development that, with or without 
        adaptation, could be utilized to meet mission needs.
    ``(f) Disclosure.--The Administrator shall include with the plan 
required under this section a list of any nongovernment persons that 
contributed to the writing of the plan.
    ``(g) Update and Report.--Once every 2 years after the initial 
strategic plan is transmitted to Congress, the Administrator shall 
transmit to Congress an update of the plan and 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 technology.

``SEC. 1612. ACQUISITION JUSTIFICATION AND REPORTS.

    ``(a) Acquisition Justification.--Before the Administration 
implements any security-related technology acquisition, the 
Administrator shall, in accordance with the Department's policies and 
directives, conduct a comprehensive analysis to determine whether the 
acquisition is justified. The analysis shall include, but may not be 
limited to, the following:
            ``(1) An identification of the type and level of risk to 
        transportation security that would be addressed by such 
        technology acquisition.
            ``(2) An assessment of how the proposed acquisition aligns 
        to the multiyear technology investment plan developed under 
        section 1611.
            ``(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 to 
        determine if the proposed technology acquisition is the most 
        effective and cost-efficient solution based on cost-benefit 
        considerations.
            ``(5) An evaluation of the privacy and civil liberties 
        implications of the proposed acquisition, and a determination 
        that the proposed acquisition is consistent with fair 
        information practice principles issued by the Privacy Officer 
        of the Department. To the extent practicable, the evaluation 
        shall include consultation with organizations that advocate for 
        the protection of privacy and civil liberties.
            ``(6) Confirmation that there are no significant risks to 
        human health and safety posed by the proposed acquisition.
    ``(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 
        Homeland Security of the House of Representatives and the 
        Committee on Commerce, Science, and Transportation of the 
        Senate the results of the comprehensive acquisition analysis 
        required under this section and a certification by the 
        Administrator that the security benefits 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 may reduce the 30-day period under 
        paragraph (1) to 5 days in order to rapidly respond.
            ``(3) Notice to congress.--The Administrator shall provide 
        immediate notice of such imminent threat to the Committee on 
        Homeland Security of the House of Representatives and the 
        Committee on Commerce, Science, and Transportation of the 
        Senate.

``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 shall--
                    ``(A) include the estimated costs (including 
                lifecycle costs), schedule, and performance milestones 
                for the planned duration of the acquisition; and
                    ``(B) identify the acquisition risks and a plan for 
                mitigating these risks.
            ``(3) Feasibility.--In establishing the performance 
        milestones under paragraph (2), the appropriate acquisition 
        official of the Department shall, to the extent possible and in 
        consultation with the Under Secretary for Science and 
        Technology, ensure that achieving these 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, at a 
        minimum, describes--
                    ``(A) the activities that will be required to 
                assess acquired technologies against the performance 
                milestones established under paragraph (2);
                    ``(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; 
                and
                    ``(C) an efficient schedule to ensure that test and 
                evaluation activities are completed without undue 
                delay.
            ``(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 multiyear 
                technology investment plan; and
                    ``(B) shall ensure that the utilization 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 such 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 the planned 
                testing and evaluation activities have been completed 
                and the results of such testing and evaluation 
                demonstrate that the performance milestones are 
                technologically feasible.
            ``(2) Report.--
                    ``(A) In general.--The Administrator shall report 
                to the Committee on Homeland Security of the House of 
                Representatives and the Committee on Commerce, Science, 
                and Transportation of the Senate 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) Cause.--The report shall include the cause 
                for such excessive costs, delay, or failure, and a plan 
                for corrective action.
                    ``(C) Timeliness.--The report required under this 
                section shall be provided to the Committee on Homeland 
                Security of the House of Representatives and the 
                Committee on Commerce, Science, and Transportation of 
                the Senate no later than 30 days after identifying such 
                excessive costs, delay, or failure.

``SEC. 1614. INVENTORY UTILIZATION.

    ``(a) In General.--Before the procurement of additional quantities 
of equipment to fulfill a mission need, the Administrator shall, to the 
extent practicable, utilize any existing units in the Administration's 
inventory to meet that need.
    ``(b) Tracking of Inventory.--
            ``(1) Location.--The Administrator shall establish a 
        process for tracking the location of security-related equipment 
        in such inventory.
            ``(2) Utilization.--The Administrator shall--
                    ``(A) establish a process for tracking the 
                utilization status of security-related technology in 
                such inventory; and
                    ``(B) implement internal controls to ensure 
                accurate data on security-related technology 
                utilization.
            ``(3) Quantity.--The Administrator shall establish a 
        process for tracking the quantity of security-related equipment 
        in such inventory.
    ``(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 
        would--
                    ``(A) inhibit necessary planning for large-scale 
                delivery of equipment to airports or other facilities; 
                or
                    ``(B) 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 to the Committee on Homeland 
Security of the House of Representatives and the Committee on Commerce, 
Science, and Transportation of the Senate a report that includes the 
following:
            ``(1) A restatement of the Administration's published goals 
        for contracting with small businesses, including small and 
        disadvantaged businesses, and the Administration's performance 
        record with respect to meeting those goals during the preceding 
        fiscal year.
            ``(2) If such goals were not met, or the Administration's 
        performance was below the published goals of the Department, an 
        itemized list of challenges, including deviations from the 
        Administration's subcontracting plans and the extent to which 
        contract bundling was a factor, that contributed to the level 
        of performance during the preceding fiscal year.
            ``(3) An action plan, with benchmarks, for addressing each 
        of the challenges identified in paragraph (2), 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, to identify policies and procedures that 
        could be incorporated at the Administration in furtherance of 
        achieving the Administration's published goal for such 
        contracting.
            ``(4) The status of implementing such action plan that was 
        developed in the preceding fiscal year in accordance with 
        paragraph (3).

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

    ``The Administrator shall execute 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) Clerical Amendment.--The table of contents in section 1(b) of 
such Act 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. Multiyear 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.--This section shall not be 
construed to affect any amendment made by title XVI of such Act 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 assess and report to Congress on 
implementation by the Transportation Security Administration of 
recommendations regarding the acquisition of technology that were made 
by the Government Accountability Office before the date of 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 evaluate and report 
to Congress the Transportation Security Administration's progress in 
implementing subtitle B of title XVI of the Homeland Security Act of 
2002 (116 Stat. 2312), as amended by this Act (including provisions 
added to such subtitle after the date of enactment of this Act), 
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 
report to Congress on the feasibility of tracking transportation 
security-related technology 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 the enactment of this Act, 
the Comptroller General of the United States shall evaluate and report 
to Congress on the Transportation Security Administration's testing and 
evaluation activities related to security-related technologies. The 
report shall include--
            (1) information on the extent to which --
                    (A) the execution of such testing and evaluation 
                activities is aligned, temporally and otherwise, with 
                the Administration's acquisition needs, planned 
                procurements, and acquistions for technology programs 
                and projects; and
                    (B) the extent to which security-related 
                technologies that have been tested, evaluated, and 
                certified for use by the Administration are not 
                procured by the Administration, including information 
                about why that occurs; and
            (2) recommendations to--
                    (A) improve the efficiency and efficacy of such 
                testing and evaluation activities; and
                    (B) 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 and the amendments made by this Act, and this Act and such 
amendments shall be carried out using amounts otherwise available for 
such purpose.
                                                 Union Calendar No. 196

113th CONGRESS

  1st Session

                               H. R. 2719

                          [Report No. 113-275]

_______________________________________________________________________

                                 A BILL

To require the Transportation Security Administration to implement best 
     practices and improve transparency with regard to technology 
             acquisition programs, and for other purposes.

_______________________________________________________________________

                           November 21, 2013

  Reported with an amendment, committed to the Committee of the Whole 
       House on the State of the Union, and ordered to be printed
```