major program unless the Administrator determines 
that— 
(A) the technical, cost, and schedule risks 
of the program are clearly identified and the 
program has developed a plan to minimize those 
risks; 
(B) the technologies required for the pro-
gram have been demonstrated in a relevant lab-
oratory or test environment; and 
(C) the program complies with all relevant 
policies, regulations, and directives of the Ad-
ministration. 
(2) REPORT.—The Administrator shall trans-
mit a report describing the basis for the determina-
tion required under paragraph (1) to the Committee 
on Science of the House of Representatives and the 
Committee on Commerce, Science, and Transpor-
tation of the Senate at least 30 days before entering 
into a contract for development under a major pro-
gram. 
(3) 
NON-DELEGATION.—The 
Administrator 
may not delegate the determination requirement 
under this subsection, except in cases in which the 
Administrator has a conflict of interest. 
(c) MAJOR PROGRAM ANNUAL REPORTS.— 
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(1) REQUIREMENT.—Annually, at the same 
time as the President’s annual budget submission to 
the Congress, the Administrator shall transmit to 
the Committee on Science of the House of Rep-
resentatives and the Committee on Commerce, 
Science, and Transportation of the Senate a report 
that includes the information required by this sec-
tion for each major program for which the Adminis-
tration proposes to expend funds in the subsequent 
fiscal year. Reports under this paragraph shall be 
known as Major Program Annual Reports. 
(2) BASELINE REPORT.—The first Major Pro-
gram Annual Report for each major program shall 
include a Baseline Report that shall, at a minimum, 
include— 
(A) the purposes of the program and key 
technical characteristics necessary to fulfill 
those purposes; 
(B) an estimate of the life-cycle cost for 
the program, with a detailed breakout of the 
development cost, program reserves, and an es-
timate of the annual costs until development is 
completed; 
(C) the schedule for development, including 
key program milestones; 
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(D) the plan for mitigating technical, cost, 
and schedule risks identified in accordance with 
subsection (b)(1)(A); and 
(E) the name of the person responsible for 
making notifications under subsection (d), who 
shall be an individual whose primary responsi-
bility is overseeing the program. 
(3) INFORMATION UPDATES.—For major pro-
grams for which a Baseline Report has been sub-
mitted, each subsequent Major Program Annual Re-
port shall describe any changes to the information 
that had been provided in the Baseline Report, and 
the reasons for those changes. 
(d) NOTIFICATION.— 
(1) REQUIREMENT.—The individual identified 
under subsection (c)(2)(E) shall immediately notify 
the Administrator any time that individual has rea-
sonable cause to believe that, for the major program 
for which he or she is responsible— 
(A) the development cost of the program is 
likely to exceed the estimate provided in the 
Baseline Report of the program by 15 percent 
or more; or 
(B) a milestone of the program is likely to 
be delayed by 6 months or more from the date 
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provided for it in the Baseline Report of the 
program. 
(2) REASONS.—Not later than 30 days after 
the notification required under paragraph (1), the 
individual identified under subsection (c)(2)(E) shall 
transmit to the Administrator a written notification 
explaining the reasons for the change in the cost or 
milestone of the program for which notification was 
provided under paragraph (1). 
(3) NOTIFICATION
OF
CONGRESS.—Not later 
than 15 days after the Administrator receives a writ-
ten notification under paragraph (2), the Adminis-
trator shall transmit the notification to the Com-
mittee on Science of the House of Representatives 
and the Committee on Commerce, Science, and 
Transportation of the Senate. 
(e) FIFTEEN PERCENT, SIX-MONTH THRESHOLD.— 
Not later than 30 days after receiving a written notifica-
tion under subsection (d)(2), the Administrator shall de-
termine whether the development cost of the program is 
likely to exceed the estimate provided in the Baseline Re-
port of the program by 15 percent or more, or whether 
a milestone is likely to be delayed by 6 months or more. 
If the determination is affirmative, the Administrator 
shall— 
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(1) transmit to the Committee on Science of the 
House of Representatives and the Committee on 
Commerce, Science, and Transportation of the Sen-
ate, not later than 15 days after making the deter-
mination, a report that includes— 
(A) a description of the increase in cost or 
delay in schedule and a detailed explanation for 
the increase or delay; 
(B) a description of actions taken or pro-
posed to be taken in response to the cost in-
crease or delay; and 
(C) a description of any impacts the cost 
increase or schedule delay, or the actions de-
scribed under subparagraph (B), will have on 
any other program within the Administration; 
and 
(2) if the Administrator intends to continue 
with the program, promptly initiate an analysis of 
the program, which shall include, at a minimum— 
(A) the projected cost and schedule for 
completing the program if current requirements 
of the program are not modified; 
(B) the projected cost and the schedule for 
completing the program after instituting the ac-
tions described under paragraph (1)(B); and 
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(C) a description of, and the projected cost 
and schedule for, a broad range of alternatives 
to the program. 
The Administration shall complete an analysis initi-
ated under paragraph (2) not later than 3 months 
after the Administrator makes a determination 
under this subsection. The Administrator shall 
transmit the analysis to the Committee on Science 
of the House of Representatives and Committee on 
Commerce, Science, and Transportation of the Sen-
ate not later than 30 days after its completion. 
(f) THIRTY PERCENT THRESHOLD.—If the Adminis-
trator determines under subsection (d) that the develop-
ment cost of a program will exceed the estimate provided 
in the Baseline Report of the program by more than 30 
percent, then, beginning 18 months after the date the Ad-
ministrator transmits a report under section (e)(1), the 
Administrator shall not expend any additional funds on 
the program, other than termination costs, unless the Con-
gress has subsequently authorized continuation of the pro-
gram by law. An appropriation for the specific program 
enacted subsequent to a report being transmitted shall be 
considered an authorization for purposes of this sub-
section. If the program is continued, the Administrator 
shall submit a new Baseline Report for the program no 
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