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through 2003. The scope of the program shall be that
which the Secretary determines is sufficient to—
(1) gather data on the cost of scrapping and
scrap processing, in the United States, of Depart-
ment of Transportation vessels; and
(2) demonstrate cost effective technologies and
techniques to scrap and process such vessels in a
manner that is protective of worker safety and
health and the environment.
(b) CONTRACT AWARD.—(1) The Secretary, subject
to the availability of appropriations—
(A) shall award a contract under subsection (a)
for scrapping service to any person that the Sec-
retary determines will provide the best value to the
United States Government, taking into account any
factors that the Secretary considers appropriate; and
(B) may award, as appropriate, a contract to
manage the monitoring, inspection, and reporting
process of any scrapping facility that will perform a
contract under subparagraph (A).
(2) In making a best value determination under para-
graph (1)(A), the Secretary shall give a greater weight to
technical and performance-related factors than to cost and
price-related factors.
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(3) In selecting any contractor under this subsection,
the Secretary shall give significant consideration to the
technical and management qualifications and past per-
formance of the contractor and the major subcontractors
or team members of the contractor in complying with ap-
plicable Federal, State, and local laws and regulations for
environmental and worker protection. In accordance with
the requirements of the Federal Acquisition Regulation,
in the case of an offeror without a record of relevant past
performance or for whom information on past perform-
ance is not available, the offeror may not be evaluated fa-
vorably or unfavorably on past performance.
(4) The Secretary shall ensure regional diversity in
awarding contracts under this section.
(c) CONTRACT TERMS AND CONDITIONS.—Each con-
tract awarded by the Secretary pursuant to subsection (b)
shall, at a minimum, provide for—
(1) the sharing, by any appropriate contracting
method, of the costs of scrapping the vessel or ves-
sels between the Government and the contractor;
(2) a performance incentive for a successful
record of environmental and worker protection in
performance of the contract;
(3) Government rights for access to the facili-
ties, inspection of work, and monitoring of the facil-
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ity by Government personnel or an authorized rep-
resentatives to determine compliance with this Act
and the laws of the United States; and
(4) any other terms that the Secretary con-
siders appropriate.
(d) REPORTS.—(1) Not later than June 30, 2001,
the Secretary of Transportation shall submit an interim
report on the pilot program to the Committee on Trans-
portation and Infrastructure of the House of Representa-
tives and the Committee on Commerce, Science, and
Transportation of the Senate. The report shall contain the
following:
(A) The procedures used for the solicitation and
award of a contract or contracts under the pilot pro-
gram.
(B) The contract or contracts awarded under
the pilot program.
(2) Not later than September 30, 2004, the Secretary
of the Transportation shall submit a final report on the
pilot program to the committees specified in paragraph
(1). The report shall contain the following:
(A) The results of the pilot program and the
performance of the contractors under such program.
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(B) The Secretary’s recommended strategy to
carry out future ship scrapping activities, including
funding and personnel requirements.
(e) AUTHORIZATION OF APPROPRIATIONS.—There is
authorized 
to 
be 
appropriated 
to 
the 
Secretary
$40,000,000 for each of fiscal years 2001, 2002, and 2003
to carry out this section.
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