102 
(4) criteria for prioritizing deferred maintenance 
tasks and also for upgrading or modernizing labora-
tories, facilities, and equipment and implementing 
processes, plans, and policies for guiding the Admin-
istration’s Centers on whether to maintain, repair, 
upgrade, or modernize a facility and for determining 
the type of instrument to be used; 
(5) an assessment of modifications needed to 
maximize usage of facilities that offer unique and 
highly specialized benefits to the aerospace industry 
and the American public; and 
(6) implementation steps, including a timeline, 
milestones, and an estimate of resources required for 
carrying out the plan. 
(d) POLICY.—Not later than 180 days after the date 
of enactment of this Act, the Administrator shall establish 
and make publically available a policy that guides the Ad-
ministration’s use of existing authorities to out-grant, lease, 
excess to the General Services Administration, sell, decom-
mission, demolish, or otherwise transfer property, facilities, 
or infrastructure. This policy shall establish criteria for the 
use of authorities, best practices, standardized procedures, 
and guidelines for how to appropriately manage property, 
infrastructure, and facilities. 
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103 
(e) TRANSMITTAL.—Not later than one year after the 
date of enactment of this Act, the Administrator shall trans-
mit the plan developed under subsection (c) to the Com-
mittee on Science, Space, and Technology of the House of 
Representatives and the Committee on Commerce, Science, 
and Transportation of the Senate. 
(f) ESTABLISHMENT OF CAPITAL FUND.—The Admin-
istrator shall establish a capital fund for the modernization 
of facilities and laboratories. The Administrator shall en-
sure to the maximum extent practicable that all financial 
savings achieved by closing outdated or surplus facilities 
at an Administration Center shall be made available to that 
Center for the purpose of modernizing the Center’s facilities 
and laboratories and for upgrading the infrastructure at 
the Center. 
(g) REPORT ON CAPITAL FUND.—Expenditures and 
other activities of the fund established under subsection (f) 
shall require review and approval by the Administrator and 
the status, including the amounts held in the capital fund, 
shall be reported to the Committee on Science, Space, and 
Technology of the House of Representatives and the Com-
mittee on Commerce, Science, and Transportation of the 
Senate in conjunction with the Administration’s annual 
budget request justification for each fiscal year. 
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104 
SEC. 711. DETECTION AND AVOIDANCE OF COUNTERFEIT 
ELECTRONIC PARTS. 
(a) REGULATIONS.— 
(1) IN GENERAL.—Not later than 270 days after 
the date of enactment of this Act, the Administrator 
shall revise the National Aeronautics and Space Ad-
ministration Supplement to the Federal Acquisition 
Regulation to address the detection and avoidance of 
counterfeit electronic parts. 
(2) CONTRACTOR
RESPONSIBILITIES.—The re-
vised regulations issued pursuant to paragraph (1) 
shall provide that— 
(A) Administration contractors who supply 
electronic parts or products that include elec-
tronic parts are responsible for detecting and 
avoiding the use or inclusion of counterfeit elec-
tronic parts or suspect counterfeit electronic 
parts in such products and for any rework or 
corrective action that may be required to remedy 
the use or inclusion of such parts; and 
(B) the cost of counterfeit electronic parts 
and suspect counterfeit electronic parts and the 
cost of rework or corrective action that may be 
required to remedy the use or inclusion of such 
parts are not allowable costs under Administra-
tion contracts, unless— 
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105 
(i) the covered contractor has an oper-
ational system to detect and avoid counter-
feit parts and suspect counterfeit electronic 
parts that has been reviewed and approved 
by the Administration or the Department of 
Defense; 
(ii) the covered contractor provides 
timely notice to the Administration pursu-
ant to paragraph (4); or 
(iii) the counterfeit electronic parts or 
suspect counterfeit electronic parts were 
provided to the contractor as Government 
property in accordance with part 45 of the 
Federal Acquisition Regulation. 
(3) SUPPLIERS OF ELECTRONIC PARTS.—The re-
vised regulations issued pursuant to paragraph (1) 
shall— 
(A) require that the Administration and 
Administration contractors and subcontractors 
at all tiers— 
(i) obtain electronic parts that are in 
production or currently available in stock 
from the original manufacturers of the 
parts or their authorized dealers, or from 
suppliers who obtain such parts exclusively 
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106 
from the original manufacturers of the 
parts or their authorized dealers; and 
(ii) obtain electronic parts that are not 
in production or currently available in 
stock from suppliers that meet qualification 
requirements established pursuant to sub-
paragraph (C); 
(B) establish documented requirements con-
sistent with published industry standards or 
Government contract requirements for— 
(i) notification of the Administration; 
and 
(ii) inspection, testing, and authentica-
tion of electronic parts that the Administra-
tion or an Administration contractor or 
subcontractor obtains from any source other 
than a source described in subparagraph 
(A); 
(C) establish qualification requirements, 
consistent with the requirements of section 2319 
of title 10, United States Code, pursuant to 
which the Administration may identify suppliers 
that have appropriate policies and procedures in 
place to detect and avoid counterfeit electronic 
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107 
parts and suspect counterfeit electronic parts; 
and 
(D) authorize Administration contractors 
and subcontractors to identify and use addi-
tional suppliers beyond those identified pursuant 
to subparagraph (C) provided that— 
(i) the standards and processes for 
identifying such suppliers comply with es-
tablished industry standards; 
(ii) the contractor or subcontractor as-
sumes responsibility for the authenticity of 
parts provided by such suppliers as pro-
vided in paragraph (2); and 
(iii) the selection of such suppliers is 
subject to review and audit by appropriate 
Administration officials. 
(4) TIMELY NOTIFICATION.—The revised regula-
tions issued pursuant to paragraph (1) shall require 
that any Administration contractor or subcontractor 
who becomes aware, or has reason to suspect, that any 
end item, component, part, or material contained in 
supplies purchased by the Administration, or pur-
chased by a contractor or subcontractor for delivery 
to, or on behalf of, the Administration, contains coun-
terfeit electronic parts or suspect counterfeit electronic 
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