II 

109TH CONGRESS 

1ST SESSION S. 780 

To amend title 10, United States Code, to establish the position of Deputy 

Secretary of Defense for Management, and for other purposes. 

IN THE SENATE OF THE UNITED STATES 

APRIL 14, 2005 

Mr. ENSIGN (for himself, Mr. AKAKA, and Mr. VOINOVICH) introduced the following bill; which was read twice and referred to the Committee on 

Armed Services 

A BILL 

To amend title 10, United States Code, to establish the 

position of Deputy Secretary of Defense for Management, and for other purposes. 

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

3 SECTION 1. DEPUTY SECRETARY OF DEFENSE FOR MAN4 AGEMENT. 

5 (a) ESTABLISHMENT.— 

6 (1) POSITION AND DUTIES.— 

7 (A) Chapter 4 of title 10, United States 

8 Code, is amended— 
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1 (i) in section 131(b), by striking para2 graph (1) and inserting the following new 

3 paragraph: 

4 ‘‘(1) Two Deputy Secretaries of Defense, as fol5 lows: 

6 ‘‘(A) The Deputy Secretary of Defense. 

7 ‘‘(B) The Deputy Secretary of Defense for 

8 Management.’’; and 

9 (ii) by inserting after section 132 the 

10 following new section 132a: 

11 ‘‘§ 132a. Deputy Secretary of Defense for Management 

12 ‘‘(a) ESTABLISHMENT.—(1) There is a Deputy Sec13 retary of Defense for Management, appointed from civilian 

14 life by the President, by and with the advice and consent 

15 of the Senate, from among persons who have— 

16 ‘‘(A) extensive executive level leadership and 

17 management experience in the private or public sec18 tor; 

19 ‘‘(B) strong leadership skills; 

20 ‘‘(C) a demonstrated ability to manage large 

21 and complex organizations; and 

22 ‘‘(D) a record of achieving positive operational 

23 results. 

24 ‘‘(2) A person may not be appointed as Deputy Sec25 retary of Defense for Management within 10 years after 
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1 relief from active duty as a commissioned officer of a reg2 ular component of an armed force. 

3 ‘‘(3) The Deputy Secretary of Defense for Manage4 ment shall serve for a term of seven years, except that 

5 the Deputy Secretary may be removed earlier if the Sec6 retary of Defense determines under subsection (h)(2) that 

7 the Deputy Secretary’s performance has not been satisfac8 tory. 

9 ‘‘(b) GENERAL AUTHORITY.—(1) The Deputy Sec10 retary of Defense for Management— 

11 ‘‘(A) serves as the Chief Management Officer of 

12 the Department of Defense; 

13 ‘‘(B) is the principal adviser to the Secretary of 

14 Defense on matters relating to the management of 

15 the Department of Defense, including defense busi16 ness activities, to ensure departmentwide capability 

17 to carry out the strategic plan of the Department of 

18 Defense in support of national security objectives; 

19 and 

20 ‘‘(C) performs such additional duties and exer21 cises such other powers as the Secretary may pre22 scribe. 

23 ‘‘(2) The Deputy Secretary of Defense for Manage24 ment takes precedence in the Department of Defense im25 mediately after the Deputy Secretary of Defense. 
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1 ‘‘(3)(A) The Deputy Secretary of Defense for Man2 agement shall act for, and exercise the powers of, the Sec3 retary of Defense when— 

4 ‘‘(i) the Secretary is disabled or there is no Sec5 retary of Defense; and 

6 ‘‘(ii) the Deputy Secretary of Defense is dis7 abled or there is no Deputy Secretary of Defense. 

8 ‘‘(B) The Deputy Secretary of Defense for Manage9 ment shall act for, and exercise the powers of, the Deputy 

10 Secretary of Defense when the Deputy Secretary is dis11 abled or there is no Deputy Secretary of Defense. 

12 ‘‘(c) MANAGEMENT DUTIES.—To support the eco13 nomical, efficient, and effective execution of the national 

14 defense objectives, policies, and plans of the Department 

15 of Defense, the Deputy Secretary of Defense for Manage16 ment shall be responsible to the Secretary of Defense for 

17 the development, approval, implementation, integration, 

18 and oversight of policies, procedures, processes, and sys19 tems for the management of the Department of Defense 

20 that relate to performance of the following functions: 

21 ‘‘(1) Planning and budgeting, including per22 formance measurement. 

23 ‘‘(2) Acquisition. 

24 ‘‘(3) Logistics. 

25 ‘‘(4) Facilities, installations, and environment. 
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1 ‘‘(5) Financial management. 

2 ‘‘(6) Human resources and personnel. 

3 ‘‘(7) Management of information resources, in4 cluding information technology, networks, and tele5 communications functions. 

6 ‘‘(d) DEFENSE BUSINESS REFORM.—For the func7 tions specified in subsection (c), the Deputy Secretary of 

8 Defense for Management shall— 

9 ‘‘(1) develop and maintain a departmentwide 

10 management strategic plan for business reform, and 

11 identify key initiatives to be undertaken by the De12 partment and its components, together with related 

13 resource needs; 

14 ‘‘(2) establish performance goals and measures 

15 for improving and evaluating overall economy, effi16 ciency, and effectiveness; 

17 ‘‘(3) monitor and measure the progress of the 

18 Department of Defense and its components in meet19 ing established performance goals for improving 

20 economy, efficiency, and effectiveness; and 

21 ‘‘(4) review and approve plans and budgets for 

22 business reform, including any proposed changes to 

23 policies, procedures, processes, and systems, to en24 sure the compatibility of those plans and budgets 

25 with— 
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1 ‘‘(A) the overall strategic plan and budget 

2 of the Department of Defense; 

3 ‘‘(B) the strategic plan for business reform 

4 of the Department of Defense; and 

5 ‘‘(C) achievement of the integration of 

6 business activities throughout the Department 

7 of Defense. 

8 ‘‘(e) DEFENSE BUSINESS SYSTEMS.—(1) In carrying 

9 out the duties of the position under this section, the Dep10 uty Secretary of Defense for Management shall oversee 

11 the implementation of a defense business systems mod12 ernization program including the execution of any funds 

13 appropriated for maintaining legacy systems and for mod14 ernizing defense business systems. 

15 ‘‘(2) The Deputy Secretary of Defense for Manage16 ment shall— 

17 ‘‘(A) oversee the development of, and shall re18 view and approve, all budget requests for defense 

19 business systems, including the information to be 

20 submitted to Congress under section 2222(h) of this 

21 title; and 

22 ‘‘(B) subject to the authority, direction, and 

23 control of the Secretary of Defense, perform the re24 sponsibilities of the Secretary under section 2222 of 

25 this title. 
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1 ‘‘(3) In this subsection, the terms ‘defense business 

2 system’ and ‘defense business system modernization’ have 

3 the meanings given to those terms in section 2222(j) of 

4 this title. 

5 ‘‘(f) RELATIONSHIP TO OTHER DEFENSE OFFI6 CIALS.—The Deputy Secretary of Defense for Manage7 ment exercises the authority of the Secretary of Defense 

8 in the performance of the duties of the Deputy Secretary 

9 under this section, subject to the authority, direction, and 

10 control of the Secretary. The Secretaries of the military 

11 departments and the heads of the other elements of the 

12 Department of Defense are subject to the authority, direc13 tion, and control of the Deputy Secretary in the perform14 ance of their duties with respect to matters within the au15 thority of the Deputy Secretary, and the exercise of that 

16 authority by the Deputy Secretary is binding on the mili17 tary departments and such other elements. 

18 ‘‘(g) CONSULTATION WITH OTHER OFFICIALS.—In 

19 carrying out the duties of the position under this section, 

20 the Deputy Secretary of Defense for Management shall 

21 consult on a continuing basis with the Deputy Secretary 

22 of Defense, the Secretaries of the military departments, 

23 and the Chairman of the Joint Chiefs of Staff— 
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1 ‘‘(1) to support economical, efficient, and effec2 tive performance of the missions of the Department 

3 of Defense; and 

4 ‘‘(2) to support each of those officials— 

5 ‘‘(A) in the implementation of the national 

6 defense strategy and the strategic plan of the 

7 Department of Defense; and 

8 ‘‘(B) in the administration of related pro9 grams, plans, operations, and activities. 

10 ‘‘(h) PERFORMANCE AND EVALUATION.—(1) The 

11 Deputy Secretary of Defense for Management shall enter 

12 into an annual performance agreement with the Secretary 

13 of Defense each year. The agreement shall set forth meas14 urable individual and organizational goals that are con15 sistent with the goals and measures established under sub16 section (d) of this section. The agreement shall be avail17 able for public disclosure. 

18 ‘‘(2) The Secretary of Defense shall evaluate the per19 formance of the Deputy Secretary of Defense for Manage20 ment each year and shall determine as part of each such 

21 evaluation whether the Deputy Secretary has made satis22 factory progress toward achieving the goals set out in the 

23 performance agreement for that year under paragraph 

24 (1).’’. 
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1 (B) The table of sections at the beginning 

2 of such chapter is amended by inserting after 

3 the item relating to section 132 the following 

4 new item: 

‘‘132a. Deputy Secretary of Defense for Management.’’. 

5 (2) EXECUTIVE LEVEL II.—Section 5313 of 

6 title 5, United States Code, is amended by inserting 

7 after ‘‘Deputy Secretary of Defense’’ the following: 

8 ‘‘Deputy Secretary of Defense for Manage9 ment.’’. 

10 (b) MEMBERSHIP OF CERTAIN DEPARTMENT OF DE11 FENSE MANAGEMENT COMMITTEES.— 

12 (1) FINANCIAL MANAGEMENT MODERNIZATION

13 EXECUTIVE COMMITTEE.—Section 185(a) of title 10, 

14 United States Code, is amended— 

15 (A) in paragraph (2)— 

16 (i) by redesignating subparagraphs 

17 (A), (B), (C), (D), and (E) as subpara18 graphs (B), (C), (D), (E), and (F), respec19 tively; 

20 (ii) by inserting after ‘‘composed of 

21 the following:’’ the following new subpara22 graph (A): 

23 ‘‘(A) The Deputy Secretary of Defense for 

24 Management, who shall be the chairman of the com25 mittee.’’; and 
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1 (iii) in subparagraph (B), as redesig2 nated by clause (i), by striking ‘‘, who shall 

3 be the chairman of the committee’’; and 

4 (B) in paragraph (3), by inserting ‘‘the 

5 Deputy Secretary of Defense for Management,’’ 

6 after ‘‘the Deputy Secretary of Defense,’’. 

7 (2) DEFENSE BUSINESS SYSTEM MANAGEMENT

8 COMMITTEE.—Section 186 of such title is amended 

9 by striking ‘‘Deputy Secretary of Defense’’ each 

10 place it appears in subsections (a)(1) and (b) and in11 serting ‘‘Deputy Secretary of Defense for Manage12 ment’’. 

13 (c) ADJUSTMENTS TO DUTIES AND PRECEDENCE OF

14 OTHER OFFICIALS.— 

15 (1) UNDER SECRETARY OF DEFENSE FOR POL16 ICY.—Section 134 of title 10, United States Code, is 

17 amended— 

18 (A) in subsection (b)(2), by striking ‘‘Sec19 retary of Defense—’’ and inserting ‘‘Secretary 

20 of Defense and the Deputy Secretary of 

21 Defense—’’; and 

22 (B) in subsection (c), by inserting ‘‘the 

23 Deputy Secretary of Defense for Management,’’ 

24 after ‘‘the Deputy Secretary of Defense,’’. 
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1 (2) UNDER SECRETARY OF DEFENSE FOR AC2 QUISITION, TECHNOLOGY, AND LOGISTICS.—Section 

3 133(e) of such title is amended— 

4 (A) in paragraph (1), by striking ‘‘and the 

5 Deputy Secretary of Defense’’ and inserting ‘‘, 

6 the Deputy Secretary of Defense, and the Dep7 uty Secretary of Defense for Management’’; and 

8 (B) in paragraph (2), by inserting ‘‘the 

9 Deputy Secretary of Defense for Management,’’ 

10 after ‘‘the Deputy Secretary of Defense,’’. 

11 (3) DEPUTY UNDER SECRETARY OF DEFENSE

12 FOR LOGISTICS AND MATERIEL READINESS.—Sec13 tion 133b(c)(2) of such title is amended by inserting 

14 ‘‘the Deputy Secretary of Defense for Management,’’ 

15 after ‘‘the Deputy Secretary of Defense,’’. 

16 (4) DIRECTOR OF OPERATIONAL TEST AND

17 EVALUATION.—Section 139 of such title is amend18 ed— 

19 (A) in subsection (b)— 

20 (i) in paragraph (2), by striking ‘‘and 

21 the Under Secretary of Defense for Acqui22 sition, Technology, and Logistics’’ and in23 serting ‘‘, the Deputy Secretary of De24 fense, the Deputy Secretary of Defense for 

25 Management, the Under Secretary of De-
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1 fense for Acquisition, Technology, and Lo2 gistics,’’; and 

3 (ii) in paragraph (5), by inserting ‘‘, 

4 the Deputy Secretary of Defense, and the 

5 Deputy Secretary of Defense for Manage6 ment’’ after ‘‘the Secretary of Defense’’; 

7 and 

8 (B) in subsection (c), by striking ‘‘and the 

9 Deputy Secretary of Defense’’ in the first sen10 tence and inserting ‘‘, the Deputy Secretary of 

11 Defense, and the Deputy Secretary of Defense 

12 for Management’’. 

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