IB 
Union Calendar No. 172 
110TH CONGRESS 
1ST SESSION H. R. 2722 
[Report No. 110–270] 
To restructure the Coast Guard Integrated Deepwater Program, and for 
other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
JUNE 14, 2007 
Mr. CUMMINGS (for himself and Mr. OBERSTAR) introduced the following bill; 
which was referred to the Committee on Transportation and Infrastructure 
JULY 30, 2007 
Additional sponsor: Mr. BISHOP of New York 
JULY 30, 2007 
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 June 14, 2007] 
A BILL 
To restructure the Coast Guard Integrated Deepwater 
Program, and for other purposes. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
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SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Integrated Deepwater 
Program Reform Act’’. 
SEC. 2. IMPLEMENTATION OF COAST GUARD INTEGRATED 
DEEPWATER ACQUISITION PROGRAM. 
(a) USE OF PRIVATE SECTOR ENTITY AS A LEAD SYS-
TEMS INTEGRATOR.— 
(1) IN GENERAL.—Except as otherwise provided 
in this subsection, the Secretary may not use a pri-
vate sector entity as a lead systems integrator for pro-
curements under, or in support of, the Deepwater 
Program beginning on the earlier of October 1, 2011, 
or the date on which the Secretary certifies in writing 
to the Committee on Transportation and Infrastruc-
ture of the House of Representatives and the Com-
mittee on Commerce, Science, and Transportation of 
the Senate that the Coast Guard has available and 
can retain sufficient contracting personnel and exper-
tise within the Coast Guard, through an arrangement 
with other Federal agencies, or through contracts or 
other arrangements with private sector entities, to 
perform the functions and responsibilities of the lead 
system integrator in an efficient and cost-effective 
manner. 
(2) COMPLETION OF EXISTING DELIVERY ORDERS 
AND TASK ORDERS.—The Secretary may use a pri-
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vate sector entity as a lead systems integrator to com-
plete any delivery order or task order under the Deep-
water Program that was issued to the lead systems 
integrator on or before the date of enactment of this 
Act. 
(3) ASSISTANCE
OF
OTHER
FEDERAL
AGEN-
CIES.—In any case in which the Secretary is the sys-
tems integrator under the Deepwater Program, the 
Secretary may obtain any type of assistance the Sec-
retary considers appropriate, with any systems inte-
gration functions, from any Federal agency with ex-
perience in systems integration involving maritime 
vessels and aircraft. 
(4) ASSISTANCE
OF
PRIVATE
SECTOR
ENTI-
TIES.—In any case in which the Secretary is the sys-
tems integrator under the Deepwater Program, the 
Secretary may, subject to the availability of appro-
priations, obtain by grant, contract, or cooperative 
agreement any type of assistance the Secretary con-
siders appropriate, with any systems integration 
functions, from any private sector entity with experi-
ence in systems integration involving maritime vessels 
and aircraft. 
(b) COMPETITION.— 
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(1) IN GENERAL.—Except as otherwise provided 
in this subsection, the Secretary shall use full and 
open competition for each class of asset acquisitions 
under the Deepwater Program for which an outside 
contractor is used, if the asset is procured directly by 
the Coast Guard or by the Integrated Coast Guard 
System acting under a contract with the Coast 
Guard. 
(2) EXCEPTION.—The Secretary may use a pro-
curement method that is less than full and open com-
petition to procure an asset under the Deepwater Pro-
gram, if— 
(A) the Secretary determines that such 
method is in the best interests of the Federal 
Government; and 
(B) by not later than 30 days before the 
date of the award of a contract for the procure-
ment, the Secretary submits to the Committee on 
Transportation and Infrastructure of the House 
of Representatives and the Committee on Com-
merce, Science, and Transportation of the Senate 
a report explaining why such procurement is in 
the best interests of the Federal Government. 
(3) LIMITATION
ON
APPLICATION.—Paragraph 
(1) shall not apply to a contract, subcontract, or task 
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order that was issued before the date of enactment of 
this Act, if there is no change in the quantity of assets 
or the specific type of assets procured. 
(c) REQUIRED CONTRACT TERMS.—The Secretary 
shall include in each contract, subcontract, and task order 
issued under the Deepwater Program after the date of the 
enactment of this Act the following provisions, as applica-
ble: 
(1) TECHNICAL REVIEWS.—A requirement that 
the Secretary shall conduct a technical review of all 
proposed designs, design changes, and engineering 
changes, and a requirement that the contractor must 
specifically address all engineering concerns identified 
in the technical reviews, before any funds may be ob-
ligated. 
(2) RESPONSIBILITY FOR TECHNICAL REQUIRE-
MENTS.—A requirement that the Secretary shall 
maintain the authority to establish, approve, and 
maintain technical requirements. 
(3) COST ESTIMATE OF MAJOR CHANGES.—A re-
quirement that an independent cost estimate must be 
prepared and approved by the Secretary before the 
execution of any change order costing more than 5 
percent of the unit cost approved in the Deepwater 
Program baseline in effect as of May 2007. 
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(4) PERFORMANCE MEASUREMENT.—A require-
ment that any measurement of contractor and subcon-
tractor performance must be based on the status of all 
work performed, including the extent to which the 
work performed met all cost, schedule, and mission 
performance requirements outlined in the Deepwater 
Program contract. 
(5) EARLY OPERATIONAL ASSESSMENT.—For the 
acquisition of any cutter class for which an Early 
Operational Assessment has not been developed— 
(A) a requirement that the Secretary of the 
Department in which the Coast Guard is oper-
ating shall cause an Early Operational Assess-
ment to be conducted by the Department of the 
Navy after the development of the preliminary 
design of the cutter and before the conduct of the 
critical design review of the cutter; and 
(B) a requirement that the Coast Guard 
shall develop a plan to address the findings pre-
sented in the Early Operational Assessment. 
(6) TRANSIENT ELECTROMAGNETIC PULSE EMA-
NATION.—For the acquisition or upgrade of air, sur-
face, or shore assets for which compliance with tran-
sient electromagnetic pulse emanation (TEMPEST) is 
a requirement, a provision specifying that the stand-
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ard for determining such compliance shall be the air, 
surface, or shore asset standard then used by the De-
partment of the Navy. 
(7) OFFSHORE PATROL CUTTER UNDERWAY RE-
QUIREMENT.—For any contract issued to acquire an 
Offshore Patrol Cutter, provisions specifying the serv-
ice life, fatigue life, days underway in general Atlan-
tic and North Pacific Sea conditions, maximum 
range, and maximum speed the cutter shall be built 
to achieve. 
(8) INSPECTOR
GENERAL
ACCESS.—A require-
ment that the Department of Homeland Security’s Of-
fice of the Inspector General shall have access to all 
records maintained by all contractors working on the 
Deepwater Program, and shall have the right to pri-
vately interview any contractor personnel. 
(d) LIFE CYCLE COST ESTIMATE.— 
(1) IN GENERAL.—The Secretary shall develop 
an authoritative life cycle cost estimate for the Deep-
water Program. 
(2) CONTENTS.—The life cycle cost estimate shall 
include asset acquisition and logistics support deci-
sions and planned operational tempo and locations as 
of the date of enactment of this Act. 
(3) SUBMITTAL.—The Secretary shall— 
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(A) submit the life cycle cost estimate to the 
Committee on Transportation and Infrastructure 
of the House of Representatives and the Com-
mittee on Commerce, Science, and Transpor-
tation of the Senate within 4 months after the 
date of enactment of this Act; and 
(B) submit updates of the life cycle cost esti-
mate to such Committees annually. 
(e) CONTRACT OFFICERS.—The Secretary shall assign 
a separate contract officer for each class of cutter and air-
craft acquired or rehabilitated under the Deepwater Pro-
gram, including the National Security Cutter, the Offshore 
Patrol Cutter, the Fast Response Cutter A, the Fast Re-
sponse Cutter B, maritime patrol aircraft, the aircraft HC– 
130J, the helicopter HH–65, the helicopter HH–60, and the 
vertical unmanned aerial vehicle. 
(f) TECHNOLOGY RISK REPORT.—The Secretary shall 
submit to the Committee on Transportation and Infrastruc-
ture of the House of Representatives and the Committee on 
Commerce, Science, and Transportation of the Senate a re-
port identifying the technology risks and level of maturity 
for major technologies used on each class of asset acquisi-
tions under the Deepwater Program, including the Fast Re-
sponse Cutter A (FRC–A), the Fast Response Cutter B 
(FRC–B), the Offshore Patrol Cutter (OPC), and the 
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Vertical Unmanned Aerial Vehicle (VUAV), not later than 
90 days before the date of award of a contract for such an 
acquisition. 
(g) SUBMISSION
OF
ASSESSMENT
RESULTS
AND 
PLANS
TO CONGRESS.—The Commandant of the Coast 
Guard shall submit to the Committee on Transportation 
and Infrastructure of the House of Representatives and the 
Committee on Commerce, Science, and Transportation of 
the Senate— 
(1) the results of each Early Operational Assess-
ment conducted pursuant to subsection (c)(5)(A) and 
the plan approved by the Commandant pursuant to 
subsection (c)(5)(B) for addressing the findings of 
such assessment, within 30 days after the Com-
mandant approves the plan; and 
(2) a report describing how the recommendations 
of each Early Operational Assessment conducted pur-
suant to subsection (c)(5)(A) on the first in class of 
a new cutter class have been addressed in the design 
on which construction is to begin, within 30 days be-
fore initiation of construction. 
SEC. 3. CHIEF ACQUISITION OFFICER. 
(a) IN GENERAL.—Chapter 3 of title 14, United States 
Code, is amended by adding at the end the following: 
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‘‘§ 55. Chief Acquisition Officer 
‘‘(a) ESTABLISHMENT OF AGENCY CHIEF ACQUISITION 
OFFICER.—The Commandant shall appoint or designate a 
career reserved employee as Chief Acquisition Officer for the 
Coast Guard, who shall— 
‘‘(1) have acquisition management as that offi-
cial’s primary duty; and 
‘‘(2) report directly to the Commandant to ad-
vise and assist the Commandant to ensure that the 
mission of the Coast Guard is achieved through the 
management of the Coast Guard’s acquisition activi-
ties. 
‘‘(b) AUTHORITY AND FUNCTIONS OF THE CHIEF AC-
QUISITION OFFICER.—The functions of the Chief Acquisi-
tion Officer shall include— 
‘‘(1) monitoring the performance of acquisition 
activities and acquisition programs of the Coast 
Guard, evaluating the performance of those programs 
on the basis of applicable performance measurements, 
and advising the Commandant regarding the appro-
priate business strategy to achieve the mission of the 
Coast Guard; 
‘‘(2) increasing the use of full and open competi-
tion in the acquisition of property and services by the 
Coast Guard by establishing policies, procedures, and 
practices that ensure that the Coast Guard receives a 
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sufficient number of sealed bids or competitive pro-
posals from responsible sources to fulfill the Govern-
ment’s requirements (including performance and de-
livery schedules) at the lowest cost or best value con-
sidering the nature of the property or service pro-
cured; 
‘‘(3) ensuring the use of detailed performance 
specifications in instances in which performance- 
based contracting is used; 
‘‘(4) making acquisition decisions consistent 
with all applicable laws and establishing clear lines 
of authority, accountability, and responsibility for ac-
quisition decisionmaking within the Coast Guard; 
‘‘(5) managing the direction of acquisition policy 
for the Coast Guard, including implementation of the 
unique acquisition policies, regulations, and stand-
ards of the Coast Guard; 
‘‘(6) developing and maintaining an acquisition 
career management program in the Coast Guard to 
ensure that there is an adequate professional work-
force; and 
‘‘(7) as part of the strategic planning and per-
formance evaluation process required under section 
306 of title 5 and sections 1105(a)(28), 1115, 1116, 
and 9703 of title 31— 
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