SEC. 5. PERIODIC REVIEW OF COMMERCIAL PRODUCT DE-
TERMINATIONS. 
(a) EXCEPTIONS.—Section 3703 of title 10, United 
States Code, is amended— 
(1) in subsection (d)(1), by inserting after 
‘‘such product or service’’ the following: ‘‘, subject to 
the limitation in subsection (e)’’; 
(2) by redesignating subsections (e) and (f) as 
subsections (f) and (g), respectively; and 
(3) by inserting after subsection (d) the fol-
lowing new subsection: 
‘‘(e) PERIODIC REVIEW OF CERTAIN COMMERCIAL 
PRODUCT DETERMINATIONS.—(1) Commercial product 
determinations shall be periodically reviewed, no less fre-
quently than every five years, to ensure that the initial 
decision was appropriate and that the market conditions 
continue to support the designation, if— 
‘‘(A) the product is not regularly sold in sub-
stantial quantities in the commercial marketplace in 
essentially the same form; and 
‘‘(B) the product has not been subject to ade-
quate 
competition, 
as 
defined 
in 
subsection 
(a)(1)(A), from a different product or products since 
the determination was made, unless the procurement 
is subject to the exception in subsection (a)(1)(B). 
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‘‘(2) Reviews of commercial product determinations 
shall be approved at a level above the contracting officer. 
The Director of the Defense Contract Management Agen-
cy, the Director of the Defense Contract Audit Agency, 
or other appropriate experts in the Department may sup-
port such reviews upon request, consistent with section 
3456(b)(1)(A) of this title.’’. 
(b) COMMERCIAL PRODUCT AND COMMERCIAL SERV-
ICE DETERMINATIONS BY DEPARTMENT OF DEFENSE.— 
Section 3456(c) of title 10, United States Code, is amend-
ed— 
(1) in paragraph (1), by inserting after ‘‘this 
chapter’’ the following: ‘‘subject to periodic reviews 
of certain commercial product determinations as set 
forth in section 3703(e) of this title, or’’; and 
(2) in paragraph (2)— 
(A) in the heading, by striking ‘‘LIMITA-
TION’’ and inserting ‘‘LIMITATIONS’’; 
(B) in subparagraph (A), by inserting 
‘‘and (C)’’ after ‘‘subparagraph (B)’’; and 
(C) by inserting at the end the following 
new subparagraph: 
‘‘(C) The limitation under subparagraph 
(A) does not apply to the periodic review of 
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commercial product determinations as set forth 
in 3703(e) of this title.’’. 
SEC. 6. GAO REVIEW AND REPORT ON GOVERNMENT CON-
TRACTORS USING DISTRIBUTORS TO AVOID 
SCRUTINY. 
(a) REVIEW REQUIRED.— 
(1) IN GENERAL.—The Comptroller General of 
the United States shall conduct a review of the prev-
alence and trends of contractors of executive agen-
cies using distributors or other intermediaries as a 
means of avoiding legal or regulatory requirements, 
such as requirements to provide certified or 
uncertified cost or pricing data. 
(2) ADDITIONAL
CONTENTS
OF
REVIEW.—In 
conducting the review under paragraph (1), the 
Comptroller General shall consider— 
(A) any effects of this practice on the abil-
ity of the Government to— 
(i) acquire needed goods at reasonable 
prices; and 
(ii) avoid waste, fraud, and abuse in 
the procurement process; and 
(B) how executive agencies may differen-
tiate between the legitimate business purposes 
for the use of distributor relationships, com-
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pared to situations where the distributors large-
ly serve to avoid legal and regulatory require-
ments. 
(b) REPORT REQUIRED.—Not later than one year 
after the date of the enactment of this Act, the Comp-
troller General shall submit a report containing the results 
of the review required by subsection (a) to— 
(1) the Committees on Armed Services of the 
Senate and the House of Representatives; 
(2) the Committee on Oversight and Reform of 
the House of Representatives; and 
(3) the Committee on Homeland Security and 
Governmental Affairs of the Senate. 
(c) EXECUTIVE AGENCY DEFINED.—In this section, 
the term ‘‘executive agency’’ has the meaning given that 
term in section 133 of title 41, United States Code. 
Æ 
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