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Logistics’’ and inserting ‘‘Under Secretary of De-
fense for Acquisition and Sustainment’’. 
(100) Section 1302(b)(2)(A)(i) of title 41, 
United States Code, is amended by striking ‘‘Under 
Secretary of Defense for Acquisition, Technology, 
and Logistics’’ and inserting ‘‘Under Secretary of 
Defense for Acquisition and Sustainment’’. 
(101) Section 809 of the National Defense Au-
thorization Act for Fiscal Years 1992 and 1993 
(Public Law 102–190; 105 Stat. 1423; 41 U.S.C. 
1302 note) is amended by striking ‘‘Under Secretary 
of Defense for Acquisition, Technology, and Logis-
tics’’ and inserting ‘‘Under Secretary of Defense for 
Acquisition and Sustainment’’. 
(102) Section 1311(b)(3) of title 41, United 
States Code, is amended by striking ‘‘Under Sec-
retary of Defense for Acquisition, Technology, and 
Logistics’’ and inserting ‘‘Under Secretary of De-
fense for Acquisition and Sustainment’’. 
(103) Section 98f(a)(3) of title 50, United 
States Code, is amended by striking ‘‘Under Sec-
retary of Defense for Acquisition, Technology, and 
Logistics’’ and inserting ‘‘Under Secretary of De-
fense for Acquisition and Sustainment’’. 
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(104) Section 1521 of title 50, United States 
Code, is amended— 
(A) in subsection (f)(1), by striking 
‘‘Under Secretary of Defense for Acquisition, 
Technology, 
and 
Logistics’’ 
and 
inserting 
‘‘Under Secretary of Defense for Acquisition 
and Sustainment’’; and 
(B) in subsection (g)(2), by striking 
‘‘Under Secretary of Defense for Acquisition, 
Technology, 
and 
Logistics’’ 
and 
inserting 
‘‘Under Secretary of Defense for Acquisition 
and Sustainment.’’. 
(k) REQUIREMENTS FOR THE NATIONAL SECURITY 
STRATEGY
FOR NATIONAL TECHNOLOGY
AND INDUS-
TRIAL BASE.— 
(1) NATIONAL SECURITY STRATEGY FOR NA-
TIONAL TECHNOLOGY AND INDUSTRIAL BASE.—Sec-
tion 2501(a) of title 10, United States Code, is 
amended by inserting after the first sentence the fol-
lowing new sentence: ‘‘The Secretary shall submit 
such strategy to Congress not later than 180 days 
after the date of submission of the national security 
strategy report required under section 108 of the 
National Security Act of 1947 (50 U.S.C. 3043).’’. 
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(2) ANNUAL REPORT TO CONGRESS.—Section 
2504(3) of title 10, United States Code, is amend-
ed— 
(A) in the matter preceding subparagraph 
(A), by inserting ‘‘Executive order or’’ after 
‘‘pursuant to’’; 
(B) by amending subparagraph (A) to read 
as follows: 
‘‘(A) 
prioritized 
list 
of 
gaps 
or 
vulnerabilities in the national technology and 
industrial base, including— 
‘‘(i) a description of mitigation strate-
gies necessary to address such gaps or 
vulnerabilities; 
‘‘(ii) the identification of the indi-
vidual responsible for addressing such gaps 
or vulnerabilities; and 
‘‘(iii) a proposed timeline for action to 
address gaps or vulnerabilities.’’. 
(l) ESTABLISHMENT OF CENTER FOR ACQUISITION 
INNOVATION.— 
(1) ESTABLISHMENT OF CENTER FOR ACQUISI-
TION INNOVATION.— 
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(A) IN GENERAL.—Chapter 97 of title 10, 
United States Code, is amended by inserting 
after section 1746 the following new section: 
‘‘§ 1746a. Center for Acquisition Innovation 
‘‘(a) ESTABLISHMENT.—The Secretary of Defense, 
acting through the Under Secretary of Defense for Acqui-
sition and Sustainment, shall establish and maintain a 
Center for Acquisition Innovation (hereinafter referred to 
as the ‘Center’) at the Naval Postgraduate School. The 
Center shall operate as an academic entity specializing in 
innovation relating to the defense acquisition system. 
‘‘(b) MISSION.—(1) The mission of the Center is to 
provide to policymakers in the Department of Defense, 
Congress, and throughout the Government, academic anal-
yses and policy alternatives for innovation in the defense 
acquisition system. The Center shall accomplish that mis-
sion by a variety of means intended to widely disseminate 
the research findings of the Center. 
‘‘(2) In carrying out the mission under paragraph 
(1), the Center shall, on an ongoing basis, review the stat-
utes and regulations applicable to the defense acquisition 
system. The objective of such review is to provide policy 
alternatives for streamlining and improving the efficiency 
and effectiveness of the defense acquisition process in 
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order to ensure a defense technology advantage for the 
United States over potential adversaries. 
‘‘(c) IMPLEMENTATION REVIEW
OF SECTION 809 
PANEL RECOMMENDATIONS AND CENTER POLICY ALTER-
NATIVES.—(1) The Center shall, on an ongoing basis, re-
view implementation of the recommendations of the Sec-
tion 809 Panel and policy alternatives provided by the 
Center. As part of such review, the Center shall— 
‘‘(A) for recommendations or policy alternatives 
for the enactment of legislation, identify whether (or 
to what extent) the recommendations or policy alter-
natives have been adopted by being enacted into law 
by Congress; 
‘‘(B) for recommendations or policy alternatives 
for the issuance of regulations, identify whether (or 
to what extent) the recommendations or policy alter-
natives have been adopted through issuance of new 
agency or Government-wide regulations; and 
‘‘(C) for recommendations or policy alternatives 
for revisions to policies and procedures in the execu-
tive branch, identify whether (or to what extent) the 
recommendations or policy alternatives have been 
adopted through issuance of an appropriate imple-
menting directive or other form of guidance. 
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‘‘(2) In this subsection, the term ‘Section 809 Panel’ 
means the panel established by the Secretary of Defense 
pursuant to section 809 of the National Defense Author-
ization Act for Fiscal Year 2016 (Public Law 114–92), 
as amended by section 863(d) of the National Defense Au-
thorization Act for Fiscal Year 2017 (Public Law 114– 
328) and sections 803(c) and 883 of the National Defense 
Authorization Act for Fiscal Year 2018 (Public Law 115– 
91). 
‘‘(d) FUNDING.—There shall be available for the Cen-
ter for any fiscal year from the Defense Acquisition Work-
force and Development Fund not less than the amount 
of $3,000,000 (in fiscal year 2019 constant dollars), in 
addition to any other amount available for that fiscal year 
for the Naval Postgraduate School. 
‘‘(e) ANNUAL REPORT.—(1) Not later than Sep-
tember 30 each year, the Center shall submit to the Sec-
retary of Defense, who shall forward to the Committees 
on Armed Services of the Senate and House of Represent-
atives, a report describing the activities of the Center dur-
ing the previous year and providing the findings, analysis, 
and policy alternatives of the Center relating to the de-
fense acquisition system. 
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Subtitle F—Industrial Base Matters 
SEC. 871. CONSIDERATION OF SUBCONTRACTING TO MI-
NORITY INSTITUTIONS. 
(a) IN GENERAL.—Chapter 141 of title 10, United 
States Code, is amended by adding at the end the fol-
lowing new section: 
‘‘§ 2410t. Consideration of subcontracting to minority 
institutions 
‘‘(a) CONSIDERATION OF SUBCONTRACTING TO MI-
NORITY INSTITUTIONS.—The Secretary of Defense shall 
revise the Department of Defense Supplement to the Fed-
eral Acquisition Regulation to require that the system 
used by the Federal Government to monitor or record con-
tractor past performance for a grant or contract awarded 
to an institution of higher education includes incentives 
for the award of a sub-grant or subcontract to minority 
institutions. 
‘‘(b) MINORITY INSTITUTION DEFINED.—In this sec-
tion, the term ‘minority institution’ means— 
‘‘(1) a part B institution (as that term is de-
fined in section 322(2) of the Higher Education Act 
of 1965 (20 U.S.C. 1061(2)); or 
‘‘(2) any other institution of higher education 
(as that term is defined in section 101 of such Act 
(20 U.S.C. 1001)) at which not less than 50 percent 
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of the total student enrollment consists of students 
from ethnic groups that are underrepresented in the 
fields of science and engineering.’’. 
(b) CLERICAL AMENDMENT.—The table of sections 
at the beginning of such chapter is amended by adding 
at the end the following new item: 
‘‘2410t. Consideration of subcontracting to minority institutions.’’. 
SEC. 872. SIZE STANDARD CALCULATIONS FOR CERTAIN 
SMALL BUSINESS CONCERNS. 
(a) CLARIFYING AMENDMENT TO THE SMALL BUSI-
NESS
RUNWAY
EXTENSION
ACT
OF
2018.—Section 
3(a)(2)(C) of the Small Business Act (15 U.S.C. 
632(a)(2)(C)) is amended by inserting ‘‘(including the Ad-
ministration when acting pursuant to subparagraph (A))’’ 
after ‘‘no Federal department or agency’’. 
(b) FINALIZATION
OF SMALL BUSINESS RUNWAY 
EXTENSION ACT OF 2018 RULES.—The Administrator of 
the Small Business Administration shall issue a final rule 
implementing the Small Business Runway Extension Act 
of 2018 (Public Law 115–324) not later than December 
17, 2019. 
(c) AMENDMENT TO SIZE STANDARDS FOR CERTAIN 
SMALL BUSINESS CONCERNS.— 
(1) SIZE
STANDARDS
FOR
SMALL
BUSINESS 
CONCERNS
PROVIDING
SERVICES.—Section 
3(a)(2)(C)(ii)(II) of the Small Business Act (15 
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U.S.C. 632(a)(2)(C)(ii)(II)) is amended by striking 
‘‘not less than’’. 
(2) SIZE
STANDARDS
FOR
OTHER
BUSINESS 
CONCERNS.—Section 3(a)(2)(C)(ii)(III) of the Small 
Business Act (15 U.S.C. 632(a)(2)(C)(ii)(III)) is 
amended by striking ‘‘not less than 3 years’’ and in-
serting ‘‘5 years’’. 
(d) TRANSITION PLAN FOR THE SMALL BUSINESS 
RUNWAY EXTENSION ACT OF 2018.— 
(1) PLAN REQUIRED.—Not later than 30 days 
after the date of the enactment of this Act, the Ad-
ministrator of the Small Business Administration 
shall implement a transition plan to assist business 
concerns and Federal agencies with compliance with 
the requirements of the Small Business Runway Ex-
tension Act of 2018 (Public Law 115–324). 
(2) 3–YEAR
CALCULATION
FOR
SIZE
STAND-
ARDS.— 
(A) IN GENERAL.—The transition plan de-
scribed under paragraph (1) shall include a re-
quirement that, during the period beginning on 
December 17, 2018, and ending on the date 
that is 6 months after the date on which the 
Administrator issues final rules implementing 
the Small Business Runway Extension Act of 
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2018 (Public Law 115–324), allows the use of 
a 3-year calculation for a size standard to be 
applied to a business concern if the use of such 
3-year calculation allows such concern to be 
considered a small business concern under sec-
tion 3(a)(1) of the Small Business Act (15 
U.S.C. 632(a)(1)). 
(B) 3-YEAR
CALCULATION
DEFINED.—In 
this subsection, the term ‘‘3-year calculation’’ 
means— 
(i) with respect to a business concern 
providing services described under clause 
(ii)(II) of such section, a determination of 
the size of such concern on the basis of the 
annual average gross receipts of such con-
cern over a period of 3 years; and 
(ii) with respect to a business concern 
described under clause (ii)(III) of such sec-
tion, a determination of the size of such 
concern on the basis of data over a period 
of 3 years. 
(e) REQUIREMENT
TO UPDATE SAM.—Not later 
than 90 days after the date of the enactment of this Act, 
the System for Award Management (or any successor sys-
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tem) shall be updated to comply with the requirements of 
this Act. 
SEC. 873. MODIFICATIONS TO SMALL BUSINESS SUBCON-
TRACTING. 
(a) 
SMALL
BUSINESS
LOWER-TIER
SUBCON-
TRACTING.—Section 8(d) of the Small Business Act (15 
U.S.C. 637(d)) is amended— 
(1) by amending paragraph (16) to read as fol-
lows: 
‘‘(16) CREDIT FOR CERTAIN SMALL BUSINESS 
CONCERN SUBCONTRACTORS.— 
‘‘(A) IN GENERAL.—For purposes of deter-
mining whether or not a prime contractor has 
attained the percentage goals specified in para-
graph (6)— 
‘‘(i) if the subcontracting goals per-
tain only to a single contract with the Fed-
eral agency, the prime contractor may elect 
to receive credit for small business con-
cerns performing as first tier subcontrac-
tors or subcontractors at any tier pursuant 
to the subcontracting plans required under 
paragraph (6)(D) in an amount equal to 
the total dollar value of any subcontracts 
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awarded to such small business concerns; 
and 
‘‘(ii) if the subcontracting goals per-
tain to more than one contract with one or 
more Federal agencies, or to one contract 
with more than one Federal agency, the 
prime contractor may only receive credit 
for first tier subcontractors that are small 
business concerns. 
‘‘(B) COLLECTION AND REVIEW OF DATA 
ON
SUBCONTRACTING
PLANS.—The head of 
each contracting agency shall ensure that— 
‘‘(i) the agency collects and reports 
data on the extent to which contractors of 
the agency meet the goals and objectives 
set forth in subcontracting plans submitted 
pursuant to this subsection; and 
‘‘(ii) the agency periodically reviews 
data collected and reported pursuant to 
subparagraph (A) for the purpose of en-
suring that such contractors comply in 
good faith with the requirements of this 
subsection and subcontracting plans sub-
mitted by the contractors pursuant to this 
subsection. 
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‘‘(C) RULE OF CONSTRUCTION.—Nothing 
in this paragraph shall be construed to allow a 
Federal agency to establish a goaling require-
ment for a prime contractor eligible to receive 
credit under this paragraph that establishes an 
amount of subcontracts with a subcontractor 
that is not a first tier subcontractor for such 
prime contractor.’’; and 
(2) by adding at the end the following new 
paragraph: 
‘‘(18) DISPUTE PROCESS FOR NON-PAYMENT TO 
SUBCONTRACTORS.— 
‘‘(A) NOTICE TO AGENCY.—With respect 
to a contract with a Federal agency, a subcon-
tractor of a prime contractor on such contract 
may, if the subcontractor has not received pay-
ment for performance on such contract within 
30 days of the completion of such performance, 
notify the Office of Small and Disadvantaged 
Business Utilization (hereinafter referred to as 
‘OSDBU’) of the Federal agency and the prime 
contractor of such lack of payment. 
‘‘(B) AGENCY DETERMINATION.— 
‘‘(i) IN GENERAL.—Upon receipt of a 
notice described under subparagraph (A) 
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and if such notice is provided to the agen-
cy within the 15-day period following the 
end the 30-day period described in sub-
paragraph (A), the OSDBU shall verify 
whether such lack of payment has occurred 
and determine whether such lack of pay-
ment is due to an undue restriction placed 
on the prime contractor by an action of the 
Federal agency. 
‘‘(ii) RESPONSE DURING DETERMINA-
TION.—During the period in which the 
OSDBU is making the determination 
under clause (i), the prime contractor may 
respond to both the subcontractor and the 
OSDBU with relevant verifying docu-
mentation to either prove payment or al-
lowable status of nonpayment. 
‘‘(C) CURE
PERIOD.—If the OSDBU 
verifies that the lack of payment under sub-
paragraph (B) is not due to an action of the 
Federal agency, and the prime contractor has 
not provided verifying documentation described 
in subparagraph (B)(ii), the OSDBU shall no-
tify the prime contractor and provide the prime 
contractor with a 15-day period in which the 
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prime contractor may make the payment owed 
to the subcontractor. 
‘‘(D) RESULT OF NONPAYMENT.—If, after 
notifying the prime contractor under subpara-
graph (C), the OSDBU determines that the 
prime contractor has not fully paid the amount 
owed within the 15-day period described under 
subparagraph (C), the OSDBU shall ensure 
that such failure to pay is reflected in the Con-
tractor Performance Assessment Reporting sys-
tem (or any successor system).’’. 
(b) MAINTENANCE OF RECORDS WITH RESPECT TO 
CREDIT UNDER
A SUBCONTRACTING PLAN.—Section 
8(d)(6) of the Small Business Act (15 U.S.C. 637(d)(6)) 
is amended— 
(1) by redesignating subparagraphs (G) and 
(H) as subparagraphs (H) and (I), respectively (and 
conforming the margins accordingly); and 
(2) by inserting after subparagraph (F) the fol-
lowing new subparagraph: 
‘‘(G) a recitation of the types of records the 
successful offeror or bidder will maintain to dem-
onstrate that procedures have been adopted to sub-
stantiate the credit the successful offeror or bidder 
will elect to receive under paragraph (16)(A)(i);’’. 
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SEC. 874. INCLUSION OF BEST IN CLASS DESIGNATIONS IN 
ANNUAL 
REPORT 
ON 
SMALL 
BUSINESS 
GOALS. 
Section 15(h) of the Small Business Act (15 U.S.C. 
644(h)) is amended by adding at the end the following 
new paragraph: 
‘‘(4) BEST IN CLASS SMALL BUSINESS PARTICI-
PATION REPORTING.— 
‘‘(A) ADDENDUM.—The Administrator, in 
addition to the requirements under paragraph 
(2), shall include in the report required by such 
paragraph, for each best in class designation— 
‘‘(i) the total amount of spending 
Governmentwide in such designation; 
‘‘(ii) the number of small business 
concerns awarded contracts and the dollar 
amount of such contracts awarded within 
each such designation to each of the fol-
lowing— 
‘‘(I) qualified HUBZone small 
business concerns; 
‘‘(II) small business concerns 
owned and controlled by women; 
‘‘(III) small business concerns 
owned and controlled by service-dis-
abled veterans; and 
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‘‘(IV) small business concerns 
owned and controlled by socially and 
economically disadvantaged individ-
uals. 
‘‘(B) BEST IN CLASS DEFINED.—The term 
‘best in class’ has the meaning given such term 
by the Director of the Office of Management 
and Budget. 
‘‘(C) EFFECTIVE
DATE.—The Adminis-
trator shall report on the information described 
by subparagraph (A) beginning on the date that 
such information is available in the Federal 
Procurement Data System, the System for 
Award Management, or any successor to such 
systems.’’. 
SEC. 875. SMALL BUSINESS ADMINISTRATION CYBERSECU-
RITY REPORTS. 
Section 10 of the Small Business Act (15 U.S.C. 639) 
is amended by inserting after subsection (a) the following: 
‘‘(b) CYBERSECURITY REPORTS.— 
‘‘(1) ANNUAL
REPORT.—Not later than 180 
days after the date of enactment of this subsection, 
and every year thereafter, the Administrator shall 
submit a report to the appropriate congressional 
committees that includes— 
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‘‘(A) an assessment of the information 
technology (as defined in section 11101 of title 
40, United States Code) and cybersecurity in-
frastructure of the Administration; 
‘‘(B) a strategy to increase the cybersecu-
rity infrastructure of the Administration; 
‘‘(C) a detailed account of any information 
technology equipment or interconnected system 
or subsystem of equipment of the Administra-
tion that was manufactured by an entity that 
has its principal place of business located in 
China, Iran, Russia, or North Korea; and 
‘‘(D) an account of any cybersecurity risk 
or incident that occurred at the Administration 
during the 2-year period preceding the date on 
which the report is submitted, and any action 
taken by the Administrator to respond to or re-
mediate any such cybersecurity risk or incident. 
‘‘(2) ADDITIONAL REPORTS.—If the Adminis-
trator determines that there is a reasonable basis to 
conclude that a cybersecurity risk or incident oc-
curred at the Administration, the Administrator 
shall— 
‘‘(A) not later than 7 days after the date 
on which the Administrator makes that deter-
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mination, notify the appropriate congressional 
committees of the cybersecurity risk or incident; 
and 
‘‘(B) not later than 30 days after the date 
on which the Administrator makes a determina-
tion under subparagraph (A)— 
‘‘(i) provide notice to individuals and 
small business concerns affected by the cy-
bersecurity risk or incident; and 
‘‘(ii) submit to the appropriate con-
gressional committees a report, based on 
information available to the Administrator 
as of the date which the Administrator 
submits the report, that includes— 
‘‘(I) a summary of information 
about the cybersecurity risk or inci-
dent, including how the cybersecurity 
risk or incident occurred; and 
‘‘(II) an estimate of the number 
of individuals and small business con-
cerns affected by the cybersecurity 
risk or incident, including an assess-
ment of the risk of harm to affected 
individuals and small business con-
cerns. 
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‘‘(3) RULE
OF
CONSTRUCTION.—Nothing in 
this subsection shall be construed to affect the re-
porting requirements of the Administrator under 
chapter 35 of title 44, United States Code, in par-
ticular the requirement to notify the Federal infor-
mation security incident center under section 
3554(b)(7)(C)(ii) of such title, or any other provi-
sion of law. 
‘‘(4) DEFINITIONS.—In this subsection: 
‘‘(A) APPROPRIATE CONGRESSIONAL COM-
MITTEES.—The term ‘appropriate congressional 
committees’ means— 
‘‘(i) the Committee on Small Business 
and Entrepreneurship of the Senate; and 
‘‘(ii) the Committee on Small Busi-
ness of the House of Representatives. 
‘‘(B) CYBERSECURITY RISK; INCIDENT.— 
The terms ‘cybersecurity risk’ and ‘incident’ 
have the meanings given such terms, respec-
tively, under section 2209(a) of the Homeland 
Security Act of 2002.’’. 
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SEC. 876. CYBER COUNSELING CERTIFICATION PROGRAM 
FOR LEAD SMALL BUSINESS DEVELOPMENT 
CENTERS. 
Section 21 of the Small Business Act (15 U.S.C. 648) 
is amended by adding at the end the following: 
‘‘(o) CYBER COUNSELING CERTIFICATION PROGRAM 
FOR LEAD SMALL BUSINESS DEVELOPMENT CENTERS.— 
‘‘(1) CERTIFICATION PROGRAM.—The Adminis-
trator shall establish a cyber counseling certification 
program, or approve a similar existing program, to 
certify employees of lead small business development 
centers to provide cyber planning assistance to small 
business concerns. 
‘‘(2) NUMBER
OF
CERTIFIED
EMPLOYEES.— 
The Administrator shall ensure that each lead small 
business development center has at least 1 employee, 
and not less than 10 percent of the total number of 
employees of the lead small business development 
center, certified in providing cyber planning assist-
ance under this subsection. 
‘‘(3) CONSIDERATION OF SMALL BUSINESS DE-
VELOPMENT
CENTER
CYBER
STRATEGY.—In car-
rying out this subsection, the Administrator, to the 
extent practicable, shall consider any cyber strategy 
methods included in the Small Business Develop-
ment Center Cyber Strategy developed under section 
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1841(a)(3)(B) of the National Defense Authoriza-
tion Act for Fiscal Year 2017 (Public Law 114–328; 
130 Stat. 2662) and any cybersecurity outreach con-
ducted pursuant to section 2209(l) of the Homeland 
Security Act of 2002. 
‘‘(4) REIMBURSEMENT FOR CERTIFICATION.— 
Subject to the availability of appropriations, the Ad-
ministrator shall reimburse a lead small business de-
velopment center in an amount not to exceed 
$350,000 in any fiscal year for costs relating to the 
certification of an employee of the lead small busi-
ness development center under the program estab-
lished under paragraph (1). 
‘‘(5) DEFINITIONS.—In this subsection: 
‘‘(A) CYBER PLANNING ASSISTANCE.—The 
term ‘cyber planning assistance’ means counsel 
and assistance to improve the cybersecurity in-
frastructure, awareness of cyber threat indica-
tors, and cyber training programs for employees 
of a small business concern. 
‘‘(B) LEAD
SMALL
BUSINESS
DEVELOP-
MENT CENTER.—The term ‘lead small business 
development center’ means a small business de-
velopment center that has received a grant 
under this section.’’. 
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SEC. 877. EXEMPTION OF CERTAIN CONTRACTS FROM THE 
PERIODIC INFLATION ADJUSTMENTS TO THE 
ACQUISITION-RELATED 
DOLLAR 
THRESH-
OLD. 
Subparagraph (B) of section 1908(b)(2) of title 41, 
United States Code, is amended by inserting ‘‘3131 to 
3134,’’ after ‘‘sections’’. 
SEC. 878. IMPROVEMENTS TO CERTAIN DEFENSE INNOVA-
TION PROGRAMS. 
(a) ALIGNMENT OF THE SMALL BUSINESS INNOVA-
TION RESEARCH PROGRAM AND SMALL BUSINESS TECH-
NOLOGY TRANSFER PROGRAM OF THE DEPARTMENT OF 
DEFENSE WITH THE NATIONAL DEFENSE SCIENCE AND 
TECHNOLOGY STRATEGY.— 
(1) IN
GENERAL.—The Secretary of Defense 
and Secretaries of the military departments shall, to 
the extent practicable, align the research topics se-
lected for activities conducted under the Small Busi-
ness Innovation Research Program and Small Busi-
ness Technology Transfer Program (as defined 
under section 9 of the Small Business Act (15 
U.S.C. 638) with the National Defense Science and 
Technology Strategy established under section 218 
of the John. S. McCain National Defense Authoriza-
tion Act for Fiscal Year 2019 (Public Law 115–232; 
132 Stat. 1679). 
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(2) USE OF NATIONAL DEFENSE SCIENCE AND 
TECHNOLOGY STRATEGY TO DETERMINE RESEARCH 
TOPICS.—Section 9 of the Small Business Act (15 
U.S.C. 638) is amended— 
(A) in subsection (g)(3)(B), by striking ‘‘, 
in the 1992 report’’ and all that follows through 
‘‘that authority’’ and inserting ‘‘in the National 
Defense Science and Technology Strategy es-
tablished under section 218 of the John. S. 
McCain National Defense Authorization Act for 
Fiscal Year 2019 (Public Law 115–232; 132 
Stat. 1679)’’; and 
(B) in subsection (o)(3)(B), by striking ‘‘, 
in accordance with section 2522 of title 10, 
United States Code’’ and inserting ‘‘in the Na-
tional Defense Science and Technology Strategy 
established under section 218 of the John. S. 
McCain National Defense Authorization Act for 
Fiscal Year 2019 (Public Law 115–232; 132 
Stat. 1679)’’. 
(b) PILOT PROGRAM FOR DOMESTIC INVESTMENT 
UNDER THE SBIR PROGRAM.— 
(1) SENSE OF CONGRESS.—It is the sense of 
Congress that the Administrator of the Small Busi-
ness Administration should promulgate regulations 
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to carry out the requirements under section 9(dd) of 
the Small Business Act (15 U.S.C. 638(dd)) that— 
(A) permit small business concerns that 
are majority-owned by multiple venture capital 
operating companies, hedge funds, or private 
equity firms to participate in the SBIR pro-
gram in accordance with such section; 
(B) provide specific information regarding 
eligibility, participation, and affiliation rules to 
such small business concerns; and 
(C) preserve and maintain the integrity of 
the SBIR program as a program for small busi-
ness concerns in the United States by prohib-
iting large entities or foreign-owned entities 
from participation in the SBIR program. 
(2) DOMESTIC INVESTMENT PILOT PROGRAM.— 
(A) IN GENERAL.—Not later than 1 year 
after the date of the enactment of this Act and 
notwithstanding the requirements of section 
9(dd) of the Small Business Act (15 U.S.C. 
638(dd)), the Secretary of Defense shall create 
and administer a program to be known as the 
‘‘Domestic Investment Pilot Program’’ under 
which the Secretary and the service acquisition 
executive for each military department may 
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make a SBIR award to a small business con-
cern that is majority-owned by multiple United 
States-owned venture capital operating compa-
nies, hedge funds, or private equity firms with-
out providing the written determination de-
scribed under paragraph (2) of such section 
9(dd). 
(B) LIMITATION.—The Secretary of De-
fense may award not more than 10 percent of 
the funds allocated for the SBIR program of 
the Department of Defense under section 9(f) 
of the Small Business Act (15 U.S.C. 638(f)) to 
small business concerns that are owned in ma-
jority part by multiple venture capital operating 
companies, hedge funds, or private equity firms 
through competitive, merit-based procedures 
that are open to all eligible small business con-
cerns. 
(C) EVALUATION CRITERIA.—In carrying 
out the Domestic Investment Pilot Program, 
the Secretary of Defense may not use invest-
ment of venture capital or investment from 
hedge funds or private equity firms as a cri-
terion for the award of contracts under the 
SBIR program or STTR program. 
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(D) ANNUAL REPORTING.—The Secretary 
of Defense shall include as part of each annual 
report required under section 9(b)(7) of the 
Small 
Business 
Act 
(15 
U.S.C. 
638(9)(b)(7)))— 
(i) information on the implementation 
of the Domestic Investment Pilot Program; 
(ii) the number of proposals received 
from small business concerns that are ma-
jority-owned by multiple venture capital 
operating companies, hedge funds, or pri-
vate equity firms for the Domestic Invest-
ment Pilot Program; and 
(iii) the number of awards made to 
such small business concerns. 
(E) TERMINATION.—The Domestic Invest-
ment Pilot Program established under this sub-
section shall terminate on September 30, 2022. 
(3) DEFINITIONS.—In this section: 
(A) SBIR.—The term ‘‘SBIR’’ has the 
meaning given in section 9(e) of the Small 
Business Act (15 U.S.C. 638(e)). 
(B) SMALL BUSINESS ACT DEFINITIONS.— 
The terms ‘‘small business concern’’, ‘‘venture 
capital operating company’’, ‘‘hedge fund’’, and 
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‘‘private equity firm’’ have the meanings given 
those terms, respectively, in section 3 of the 
Small Business Act (15 U.S.C. 632). 
(c) CYBERSECURITY TECHNICAL ASSISTANCE FOR 
SBIR AND STTR PROGRAMS.— 
(1) IN
GENERAL.—The Secretary of Defense 
may enter into an agreement with 1 or more vendors 
selected under section (9)(q)(2) of the Small Busi-
ness Act (15 U.S.C. 638(q)(2)) to provide small 
business concerns engaged in SBIR or STTR 
projects with cybersecurity technical assistance , 
such as access to a network of cybersecurity experts 
and engineers engaged in designing and imple-
menting cybersecurity practices. 
(2) AMOUNTS.—In carrying out paragraph (1), 
the Secretary of Defense may provide the amounts 
described under section (9)(q)(3) of such Act (15 
U.S.C. 638(q)(3)) to a recipient that meets the eligi-
bility requirements under the applicable subpara-
graph, if the recipient requests to seek cybersecurity 
technical assistance from an individual or entity 
other than a vendor selected as described in para-
graph (1). 
(d) PHASE 0 PROOF OF CONCEPT PARTNERSHIP 
PROGRAM FOR THE DEPARTMENT OF DEFENSE.—Section 
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9(jj) of the Small Business Act (15 U.S.C. 638) is amend-
ed— 
(1) in paragraph (1), by striking ‘‘The Director 
of the National Institutes of Health’’ and inserting 
‘‘A covered agency head’’; 
(2) by striking ‘‘The Director’’ each place it ap-
pears and inserting ‘‘A covered agency head’’; 
(3) by striking ‘‘the Director’’ each place it ap-
pears and inserting ‘‘a covered agency head’’; 
(4) in paragraph (2)— 
(A) by amending subparagraph (A) to read 
as follows: 
‘‘(A) the term ‘covered agency head’ 
means— 
‘‘(i) with respect to the STTR pro-
gram of the National Institutes of Health, 
the Director of the National Institutes of 
Health; or 
‘‘(ii) with respect to the STTR pro-
gram of the Department of Defense, the 
Secretary of Defense;’’; and 
(B) in subparagraph (C), by striking ‘‘in 
the National Institutes of Health’s STTR pro-
gram’’ and inserting ‘‘in either the STTR pro-
gram of the Department of Defense or the 
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STTR program of the National Institutes of 
Health’’; and 
(5) in paragraph (4)(A), by inserting ‘‘partici-
pating in the STTR program administered by such 
agency head’’ after ‘‘a qualifying institution’’. 
(e) MODIFICATION TO THE DEFENSE RESEARCH AND 
DEVELOPMENT RAPID INNOVATION PROGRAM.— 
(1) 
INCREASE
TO
FUNDING.—Section 
2359a(b)(3) of title 10, United States Code, is 
amended by striking ‘‘$3,000,000’’ and inserting 
‘‘$6,000,000’’. 
(2) REPORT.—Not later than 180 days after 
the date of the enactment of this Act, the Secretary 
of Defense shall submit to the congressional defense 
committees a report on the program established 
under section 2359a(b)(3) of title 10, United States 
Code, (commonly known as the ‘‘Defense Research 
and Development Rapid Innovation Program’’), 
which shall include— 
(A) with respect to the two fiscal years 
preceding the submission of the report— 
(i) a description of the total number 
of proposals funded under the program; 
(ii) the percent of funds made avail-
able under the program for Small Business 
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Innovation Research Program projects; 
and 
(iii) a list of Small Business Innova-
tion Research Program projects that re-
ceived funding under the program that 
were included in major defense acquisition 
programs (as defined in section 2430 of 
title 10, United States Code) and other de-
fense acquisition programs that meet crit-
ical national security needs; and 
(B) an assessment on the effectiveness of 
the program in stimulating innovation tech-
nologies, reducing acquisition or lifecycle costs, 
addressing technical risk, and improving the 
timeliness and thoroughness of test and evalua-
tion outcomes. 
(f) ESTABLISHMENT OF JOINT RESERVE DETACH-
MENTS AT DEFENSE INNOVATION UNIT.— 
(1) ESTABLISHMENT.—The Secretary of De-
fense, in consultation with the Secretaries of the 
military departments, shall establish not fewer than 
three joint reserve detachments (referred to in this 
section as ‘‘Detachments’’) at locations of the De-
fense Innovation Unit— 
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(A) to support engagement and collabora-
tion with commercial innovation hubs; and 
(B) to accelerate the transition and adop-
tion of commercial technologies for national se-
curity purposes. 
(2) COMPOSITION.—Each Detachment shall be 
composed of members of the reserve components 
who possess relevant private sector experience in the 
fields of business, acquisition, intelligence, engineer-
ing, technology transfer, science, mathematics, con-
tracting, procurement, logistics, cyberspace security, 
or such other fields as are determined to be relevant 
by the Under Secretary of Defense for Research and 
Engineering. 
(3) 
RESPONSIBILITIES.—The 
Detachments 
shall have the following responsibilities: 
(A) Each Detachment shall provide the 
Department of Defense with expertise, analysis, 
alternatives for innovation, and opportunities 
for greater engagement and collaboration be-
tween the defense innovation ecosystem and 
commercial industry. 
(B) Each Detachment shall, on an ongoing 
basis— 
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(i) recruit, retain, and employ mem-
bers of the reserve components who pos-
sess relevant private sector experience, as 
described in paragraph (2); 
(ii) partner with the military services, 
the combatant commands, and other De-
partment of Defense organizations to seek 
and rapidly prototype advanced commercial 
solutions while lowering the barrier to 
entry to serve defense requirements; 
(iii) increase awareness of— 
(I) the technology portfolios of 
the Defense Innovation Unit; and 
(II) the technology requirements 
of the Department of Defense as iden-
tified in the National Defense Science 
and Technology Strategy developed 
under section 218 of the John S. 
McCain National Defense Authoriza-
tion Act for Fiscal Year 2019 (Public 
Law 115–232; 132 Stat. 1679); 
(iv) capitalize on the growing invest-
ment in research and development made by 
the commercial industry in assessing and 
maturing dual-use technologies; and 
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(v) carry out such other activities as 
may be directed by the Under Secretary of 
Defense for Research and Engineering. 
(4) DEADLINE
FOR
ESTABLISHMENT
OF
DE-
TACHMENTS.—The Secretary of Defense shall en-
sure that— 
(A) at least one Detachment is established 
on or before October 1, 2020; and 
(B) all three Detachments required under 
subsection (a) are established on or before Oc-
tober 1, 2022. 
(5) IMPLEMENTATION REPORT.— 
(A) IN
GENERAL.—Not later than 120 
days after the date of the enactment of this 
Act, the Under Secretary of Defense for Re-
search and Engineering shall submit to the con-
gressional defense committees a report that in-
cludes— 
(i) an organizational plan for the De-
tachments; 
(ii) the estimated costs of establishing 
the Detachments; 
(iii) a timeline specifying when each 
Detachment will attain initial operational 
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capability and full operational capability, 
respectively. 
(B) CONSULTATION.—In preparing the re-
port required under subparagraph (A), the 
Under Secretary of Defense for Research and 
Engineering shall consult with the Director of 
the Defense Innovation Unit and the head of 
each military service. 
(g) MODIFICATION TO DEPARTMENT OF DEFENSE 
SBIR EXPENDITURES.—Section 9(f) of the Small Busi-
ness Act (15 U.S.C. 638(f)) is amended— 
(1) in paragraph (1)(I), by inserting ‘‘, except 
as provided in paragraph (5)’’ after ‘‘thereafter,’’ 
and inserting ‘‘fiscal years 2017 through 2019; 
and’’; and 
(2) by adding at the end the following new 
paragraph: 
‘‘(5) REQUIRED EXPENDITURE AMOUNTS FOR 
THE DEPARTMENT OF DEFENSE.—With respect to 
fiscal year 2020 and each fiscal year thereafter, 
paragraph (1)(I) shall apply to the Department of 
Defense with ‘4.0 percent’ substituted for ‘3.2 per-
cent’.’’. 
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SEC. 879. PILOT PROGRAM FOR DEVELOPMENT OF TECH-
NOLOGY-ENHANCED 
CAPABILITIES 
WITH 
PARTNERSHIP INTERMEDIARIES. 
(a) ESTABLISHMENT.—The Secretary of Defense 
may authorize the Commander of the United States Spe-
cial Operations Command to use not more than 5 percent 
of the funds required to be expended by the Department 
of Defense under section 9(f)(1) of the Small Business 
Act (15 U.S.C. 638(f)(1)) for a pilot program to increase 
participation by small business concerns in the develop-
ment of technology-enhanced capabilities for special oper-
ations forces. 
(b) USE OF PARTNERSHIP INTERMEDIARY.— 
(1) AUTHORIZATION.—The Commander of the 
United States Special Operations Command may 
modify an existing agreement with a partnership 
intermediary to assist the Commander in carrying 
out the pilot program under this section, including 
with respect to the award of Small Business Innova-
tion Research Program contracts, Small Business 
Technology Transfer Program contracts, and other 
contracts and agreements to small business con-
cerns. 
(2) USE OF FUNDS.—None of the funds re-
ferred to in subsection (a) shall be used to pay a 
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partnership intermediary for any administrative 
costs associated with the pilot program. 
(c) REPORT.—Not later than October 1, 2020, and 
October 1, 2021, the Commander of the United States 
Special Operations Command shall submit to the congres-
sional defense committees, the Committee on Small Busi-
ness of the House of Representatives, and the Committee 
on Small Business and Entrepreneurship of the Senate a 
report describing any agreement with a partnership inter-
mediary entered into pursuant to this section. The report 
shall include, for each such agreement, the amount of 
funds obligated, an identification of the recipient of such 
funds, and a description of the use of such funds. 
(d) TERMINATION.—The authority to carry out a 
pilot program under this section shall terminate on Sep-
tember 30, 2021. 
(e) DEFINITIONS.—In this section: 
(1) PARTNERSHIP INTERMEDIARY.—The term 
‘‘partnership intermediary’’ has the meaning given 
the term in section 23(c) of the Stevenson-Wydler 
Technology Innovation Act of 1980 (15 U.S.C. 
3715(c)). 
(2) SMALL
BUSINESS
CONCERN.—The term 
‘‘small business concern’’ has the meaning given the 
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term under section 3 of the Small Business Act (15 
U.S.C. 632). 
(3) SMALL BUSINESS INNOVATION RESEARCH 
PROGRAM.—The term ‘‘Small Business Innovation 
Research Program’’ has the meaning given the term 
in section 9(e)(4) of the Small Business Act (15 
U.S.C. 638(e)). 
(4) SMALL BUSINESS TECHNOLOGY TRANSFER 
PROGRAM.—The term ‘‘Small Business Technology 
Transfer Program’’ has the meaning given the term 
in section 9(e)(5) of the Small Business Act (15 
U.S.C. 638(e)). 
(5) TECHNOLOGY-ENHANCED
CAPABILITY.— 
The term ‘‘technology-enhanced capability’’ means a 
product, concept, or process that improves the abil-
ity of a member of the Armed Forces to achieve an 
assigned mission. 
SEC. 880. AUTHORIZED OFFICIAL TO CARRY OUT THE PRO-
CUREMENT TECHNICAL ASSISTANCE COOP-
ERATIVE AGREEMENT PROGRAM. 
(a) AUTHORIZED OFFICIAL.—Effective October 1, 
2021, section 2411(3) of title 10, United States Code, is 
amended by striking ‘‘Director of Defense Logistics Agen-
cy’’ and inserting ‘‘Under Secretary of Defense for Acqui-
sition and Sustainment’’. 
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(b) REPORT AND BRIEFING.—Not later than Novem-
ber 1, 2020, the Secretary of Defense shall provide to the 
congressional defense committees a written report and 
briefing on the activities carried out in preparation for the 
transition of responsibilities for carrying out the procure-
ment technical assistance cooperative agreement program 
under chapter 142 of title 10, United States Code, from 
the Director of Defense Logistics Agency to the Under 
Secretary of Defense for Acquisition and Sustainment, as 
required by subsection (a). 
(c) 
ANNUAL
BUDGET
JUSTIFICATION
DOCU-
MENTS.—Not later than February 1, 2022, and each fiscal 
year thereafter, the Secretary of Defense shall submit to 
the congressional defense committees a budget justifica-
tion display that includes the procurement technical as-
sistance cooperative agreement program under chapter 
142 of title 10, United States Code, as part of the budget 
justification for Operation and Maintenance, Defense-wide 
for the Office of the Secretary of Defense. 
SEC. 881. PERMANENT AUTHORIZATION AND IMPROVE-
MENT OF DEPARTMENT OF DEFENSE MEN-
TOR-PROTEGE PROGRAM. 
(a) PERMANENT AUTHORIZATION.— 
(1) REPEAL OF EXPIRATION OF AUTHORITY.— 
Section 831 of the National Defense Authorization 
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Act for Fiscal Year 1991 (Public Law 101–510; 10 
U.S.C. 2302 note) is amended by striking subsection 
(j). 
(2) EFFECTIVE DATE.—The amendment made 
by paragraph (1) shall take effect on the date on 
which the Secretary of Defense submits to Congress 
the small business strategy required under section 
2283 of title 10, United States Code. The Secretary 
of Defense shall notify the Law Revision Counsel of 
the House of Representatives of the submission of 
the strategy so that the Law Revision Counsel may 
execute the amendment made by paragraph (1). 
(b) OFFICE OF SMALL BUSINESS PROGRAMS OVER-
SIGHT.—Section 831 of the National Defense Authoriza-
tion Act for Fiscal Year 1991 (Public Law 101–510; 10 
U.S.C. 2302 note) is amended— 
(1) by redesignating subsection (n) as sub-
section (o); and 
(2) by inserting after subsection (m) the fol-
lowing new subsection: 
‘‘(n) ESTABLISHMENT
OF PERFORMANCE GOALS 
AND PERIODIC REVIEWS.—The Office of Small Business 
Programs of the Department of Defense shall— 
‘‘(1) establish performance goals consistent with 
the stated purpose of the Mentor-Protege Program 
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and outcome-based metrics to measure progress in 
meeting those goals; and 
‘‘(2) submit to the congressional defense com-
mittees, not later than February 1, 2020, a report 
on progress made toward implementing these per-
formance goals and metrics, based on periodic re-
views of the procedures used to approve mentor-pro-
tege agreements.’’. 
(c) MODIFICATION
OF
DISADVANTAGED
SMALL 
BUSINESS CONCERN DEFINITION.—Subsection (o)(2) of 
the National Defense Authorization Act for Fiscal Year 
1991 (Public Law 101–510; 10 U.S.C. 2302 note), as re-
designated by subsection (b)(1) of this section, is amended 
by striking ‘‘has less than half the size standard cor-
responding to its primary North American Industry Clas-
sification System code’’ and inserting ‘‘is not more than 
the size standard corresponding to its primary North 
American Industry Classification System code’’. 
(d) REMOVAL OF PILOT PROGRAM REFERENCES.— 
Section 831 of the National Defense Authorization Act for 
Fiscal Year 1991 (Public Law 101–510; 10 U.S.C. 2302 
note) is amended— 
(1) in the subsection heading for subsection (a), 
by striking ‘‘PILOT’’; and 
(2) by striking ‘‘pilot’’ each place it appears. 
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(e) INDEPENDENT REPORT ON PROGRAM EFFEC-
TIVENESS.— 
(1) IN
GENERAL.—The Secretary of Defense 
shall direct the Defense Business Board to submit to 
the congressional defense committees a report evalu-
ating the effectiveness of the Mentor-Protege Pro-
gram established under section 831 of the National 
Defense Authorization Act for Fiscal Year 1991 
(Public Law 101–510; 10 U.S.C. 2302 note), includ-
ing recommendations for improving the program in 
terms of performance metrics, forms of assistance, 
and overall program effectiveness not later than 
March 31, 2022. 
(2) CONGRESSIONAL
DEFENSE
COMMITTEES 
DEFINED.—In this subsection, the term ‘‘congres-
sional defense committees’’ has the meaning given 
that term in section 101(a)(16) of title 10, United 
States Code. 
(f) REPORT.—Not later than 180 days after the date 
of the enactment of this Act, and annually thereafter until 
September 30, 2021, the Secretary of Defense shall sub-
mit to the congressional defense committees a report on 
the Mentor-Protege Program established under section 
831 of the National Defense Authorization Act for Fiscal 
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Year 1991 (Public Law 101–510; 10 U.S.C. 2302 note) 
that describes— 
(1) each mentor-protege agreement entered into 
under such section, disaggregated by the type of dis-
advantaged small business concern (as defined in 
subsection (o) of such section) receiving assistance 
pursuant to such an agreement; 
(2) the type of assistance provided to protege 
firms (as defined in subsection (o) of such section) 
under each such agreement; 
(3) the benefits provided to mentor firms (as 
defined in subsection (o) of such section) under each 
such agreement; and 
(4) the progress of protege firms under each 
such agreement with respect to competing for Fed-
eral prime contracts and subcontracts. 
SEC. 882. ASSISTANCE FOR SMALL BUSINESS CONCERNS 
PARTICIPATING IN THE SMALL BUSINESS IN-
NOVATION RESEARCH PROGRAM AND THE 
SMALL BUSINESS TECHNOLOGY TRANSFER 
PROGRAM. 
(a) DEFINITION OF SENIOR PROCUREMENT EXECU-
TIVE.—Section 9(e) of the Small Business Act (15 U.S.C. 
638(e)) is amended— 
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(1) in paragraph (12)(B), by striking ‘‘and’’ at 
the end; 
(2) in paragraph (13)(B), by striking the period 
at the end and inserting ‘‘; and’’; and 
(3) by adding at the end the following new 
paragraph: 
‘‘(13) the term ‘senior procurement executive’ 
means an official designated under section 1702(c) 
of title 41, United States Code, as the senior pro-
curement executive of a Federal agency participating 
in a SBIR or STTR program.’’. 
(b) INCLUSION OF SENIOR PROCUREMENT EXECU-
TIVES IN SBIR AND STTR.— 
(1) IN GENERAL.—Section 9(b) of the Small 
Business Act (15 U.S.C. 638(b)) is amended— 
(A) in paragraph (8), by striking ‘‘and’’ at 
the end; 
(B) in paragraph (9), by striking the pe-
riod at the end and inserting ‘‘; and’’; and 
(C) by adding at the end the following new 
paragraph: 
‘‘(10) to coordinate, where appropriate, with the 
senior procurement executive of the relevant Federal 
agency to assist small business concerns partici-
pating in a SBIR or STTR program with commer-
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cializing research developed under such a program 
before such small business concern is awarded a con-
tract from such Federal agency.’’. 
(2) TECHNICAL AMENDMENT.—Section 9(b)(3) 
of the Small Business Act (15 U.S.C. 638(b)(3)) is 
amended by striking ‘‘and’’ at the end. 
(c) MODIFICATIONS RELATING
TO PROCUREMENT 
CENTER REPRESENTATIVES
AND OTHER ACQUISITION 
PERSONNEL.— 
(1) SBIR AMENDMENT.—Section 9(j) of the 
Small Business Act (15 U.S.C. 638(j)) is amended 
by adding at the end the following new paragraph: 
‘‘(4) MODIFICATIONS RELATING TO PROCURE-
MENT
CENTER
REPRESENTATIVES.—Upon the en-
actment of this paragraph, the Administrator shall 
modify the policy directives issued pursuant to this 
subsection to require procurement center representa-
tives (as described in section 15(l)) to assist small 
business concerns participating in the SBIR pro-
gram with researching solicitations for the award of 
a Federal contract (particularly with the Federal 
agency that has a funding agreement with the con-
cern) and to provide technical assistance to such 
concerns to submit a bid for an award of a Federal 
contract. The procurement center representatives 
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shall coordinate with the appropriate senior procure-
ment executive and the appropriate Director of the 
Office of Small and Disadvantaged Business Utiliza-
tion established pursuant to section 15(k) for the 
agency letting the contract.’’. 
(2) STTR AMENDMENT.—Section 9(p)(2) of 
the Small Business Act (15 U.S.C. 638(p)(2)) is 
amended— 
(A) in subparagraph (E)(ii), by striking 
‘‘and’’ at the end; 
(B) in subparagraph (F), by striking the 
period at the end and inserting ‘‘; and’’; and 
(C) by adding at the end the following new 
subparagraph: 
‘‘(G) procedures to ensure that procure-
ment center representatives (as described in 
section 15(l))— 
‘‘(i) assist small business concerns 
participating in the STTR program with 
researching applicable solicitations for the 
award of a Federal contract (particularly 
with the Federal agency that has a funding 
agreement with the concern); 
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‘‘(ii) provide technical assistance to 
such concerns to submit a bid for an 
award of a Federal contract; and 
‘‘(iii) coordinate with the appropriate 
senior procurement executive and the ap-
propriate Director of the Office of Small 
and Disadvantaged Business Utilization 
established pursuant to section 15(k) for 
the Federal agency letting the contract in 
providing the assistance described in clause 
(i).’’. 
(d) AMENDMENT
TO DUTIES
OF PROCUREMENT 
CENTER REPRESENTATIVES.—Section 15(l)(2) of the 
Small Business Act (15 U.S.C. 644(l)(2)) is amended— 
(1) in subparagraph (I), by striking ‘‘and’’ at 
the end; 
(2) by redesignating subparagraph (J) as sub-
paragraph (L); and 
(3) by inserting after subparagraph (I) the fol-
lowing new subparagraphs: 
‘‘(J) assist small business concerns partici-
pating in a SBIR or STTR program under sec-
tion 9 with researching applicable solicitations 
for the award of a Federal contract to market 
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the research developed by such concern under 
such SBIR or STTR program; 
‘‘(K) provide technical assistance to small 
business concerns participating in a SBIR or 
STTR program under section 9 to submit a bid 
for an award of a Federal contract, including 
coordination with the appropriate senior pro-
curement executive and the appropriate Direc-
tor of the Office of Small and Disadvantaged 
Business Utilization established pursuant to 
subsection (k) for the agency letting the con-
tract; and’’. 
(e) AMENDMENT TO THE DUTIES OF THE DIRECTOR 
OF SMALL AND DISADVANTAGED BUSINESS UTILIZATION 
FOR FEDERAL AGENCIES.—Section 15(k) of the Small 
Business Act (15 U.S.C. 644(k)) is amended— 
(1) in paragraph (19), by striking ‘‘and’’ at the 
end; 
(2) in paragraph (20), by striking the period at 
the end and inserting a semicolon; and 
(3) by adding at the end the following new 
paragraphs: 
‘‘(21) shall assist small business concerns par-
ticipating in a SBIR or STTR program under sec-
tion 9 with researching applicable solicitations for 
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the award of a Federal contract (particularly with 
the Federal agency that has a funding agreement, as 
defined under section 9, with the concern) to market 
the research developed by such concern under such 
SBIR or STTR program; and 
‘‘(22) shall provide technical assistance to small 
business concerns participating in a SBIR or STTR 
program under section 9 to submit a bid for an 
award of a Federal contract, including coordination 
with procurement center representatives and the ap-
propriate senior procurement executive for the agen-
cy letting the contract.’’. 
SEC. 883. ACCELERATED PAYMENTS APPLICABLE TO CON-
TRACTS WITH CERTAIN SMALL BUSINESS 
CONCERNS UNDER THE PROMPT PAYMENT 
ACT. 
Section 3903(a) of title 31, United States Code, is 
amended— 
(1) in paragraph (1)(B), by inserting ‘‘except as 
provided in paragraphs (10) and (11),’’ before ‘‘30 
days’’; 
(2) in paragraph (8), by striking ‘‘and’’; 
(3) in paragraph (9), by striking the period at 
the end and inserting a semicolon; and 
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(4) by adding at the end the following new 
paragraphs: 
‘‘(10) for a prime contractor (as defined in sec-
tion 8701(5) of title 41) that is a small business 
concern (as defined under section 3 of the Small 
Business Act (15 U.S.C. 632)), to the fullest extent 
permitted by law, require that the head of an agency 
establish an accelerated payment date with a goal of 
15 days after a proper invoice for the amount due 
is received if a specific payment date is not estab-
lished by contract; and 
‘‘(11) for a prime contractor (as defined in sec-
tion 8701(5) of title 41) that subcontracts with a 
small business concern (as defined under section 3 
of the Small Business Act (15 U.S.C. 632)), to the 
fullest extent permitted by law, require that the 
head of an agency establish an accelerated payment 
date with a goal of 15 days after a proper invoice 
for the amount due is received if— 
‘‘(A) a specific payment date is not estab-
lished by contract; and 
‘‘(B) such prime contractor agrees to make 
payments to such subcontractor in accordance 
with such accelerated payment date, to the 
maximum extent practicable, without any fur-
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ther consideration from or fees charged to such 
subcontractor.’’. 
SEC. 884. POSTAWARD EXPLANATIONS FOR UNSUCCESSFUL 
OFFERORS FOR CERTAIN CONTRACTS. 
Not later than 180 days after the date of the enact-
ment of this Act, the Federal Acquisition Regulation shall 
be revised to require that with respect to an offer for a 
task order or delivery order in an amount greater than 
the simplified acquisition threshold (as defined in section 
134 of title 41, United States Code) and less than or equal 
to $5,500,000 issued under an indefinite delivery-indefi-
nite quantity contract, the contracting officer for such 
contract shall, upon written request from an unsuccessful 
offeror, provide a brief explanation as to why such offeror 
was unsuccessful that includes a summary of the rationale 
for the award and an evaluation of the significant weak 
or deficient factors in the offeror’s offer. 
SEC. 885. BRIEFING ON THE TRUSTED CAPITAL MARKET-
PLACE PILOT PROGRAM. 
Not later than December 15, 2019, the Secretary of 
Defense shall provide to the congressional defense commit-
tees a briefing on the progress of the Trusted Capital Mar-
ketplace pilot program (Solicitation number: CS–19– 
1701), to include plans for how the program will— 
(1) align with critical defense requirements; and 
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(2) become self-sustaining. 
SEC. 886. BOOTS TO BUSINESS PROGRAM. 
Section 32 of the Small Business Act (15 U.S.C. 
657b) is amended by adding at the end the following new 
subsection: 
‘‘(h) BOOTS TO BUSINESS PROGRAM.— 
‘‘(1) COVERED INDIVIDUAL DEFINED.—In this 
subsection, the term ‘covered individual’ means— 
‘‘(A) a member of the Armed Forces, in-
cluding the National Guard or Reserves; 
‘‘(B) an individual who is participating in 
the Transition Assistance Program established 
under section 1144 of title 10, United States 
Code; 
‘‘(C) an individual who— 
‘‘(i) served on active duty in any 
branch of the Armed Forces, including the 
National Guard or Reserves; and 
‘‘(ii) was discharged or released from 
such service under conditions other than 
dishonorable; and 
‘‘(D) a spouse or dependent of an indi-
vidual described in subparagraph (A), (B), or 
(C). 
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‘‘(2) ESTABLISHMENT.—Beginning on the first 
October 1 after the enactment of this subsection and 
for the subsequent 4 fiscal years, the Administrator 
shall carry out a program to be known as the ‘Boots 
to Business Program’ to provide entrepreneurship 
training to covered individuals. 
‘‘(3) GOALS.—The goals of the Boots to Busi-
ness Program are to— 
‘‘(A) provide assistance and in-depth train-
ing to covered individuals interested in business 
ownership; and 
‘‘(B) provide covered individuals with the 
tools, skills, and knowledge necessary to identify 
a business opportunity, draft a business plan, 
identify sources of capital, connect with local 
resources for small business concerns, and start 
up a small business concern. 
‘‘(4) PROGRAM COMPONENTS.— 
‘‘(A) IN GENERAL.—The Boots to Busi-
ness Program may include— 
‘‘(i) a presentation providing exposure 
to the considerations involved in self-em-
ployment and ownership of a small busi-
ness concern; 
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‘‘(ii) an online, self-study course fo-
cused on the basic skills of entrepreneur-
ship, the language of business, and the 
considerations involved in self-employment 
and ownership of a small business concern; 
‘‘(iii) an in-person classroom instruc-
tion component providing an introduction 
to the foundations of self employment and 
ownership of a small business concern; and 
‘‘(iv) 
in-depth 
training 
delivered 
through online instruction, including an 
online course that leads to the creation of 
a business plan. 
‘‘(B) 
COLLABORATION.—The 
Adminis-
trator may— 
‘‘(i) collaborate with public and pri-
vate entities to develop course curricula for 
the Boots to Business Program; and 
‘‘(ii) modify program components in 
coordination with entities participating in a 
Warriors in Transition program, as defined 
in section 738(e) of the National Defense 
Authorization Act for Fiscal Year 2013 
(10 U.S.C. 1071 note). 
‘‘(C) USE OF RESOURCE PARTNERS.— 
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‘‘(i) IN GENERAL.—The Administrator 
shall— 
‘‘(I) ensure that Veteran Busi-
ness Outreach Centers regularly par-
ticipate, on a nationwide basis, in the 
Boots to Business Program; and 
‘‘(II) to the maximum extent 
practicable, use a variety of other re-
source partners and entities in admin-
istering the Boots to Business Pro-
gram. 
‘‘(ii) GRANT AUTHORITY.—In carrying 
out clause (i), the Administrator may make 
grants to Veteran Business Outreach Cen-
ters, other resource partners, or other enti-
ties to carry out components of the Boots 
to Business Program. 
‘‘(D) AVAILABILITY TO DEPARTMENT OF 
DEFENSE.—The 
Administrator 
shall 
make 
available to the Secretary of Defense informa-
tion regarding the Boots to Business Program, 
including all course materials and outreach ma-
terials related to the Boots to Business Pro-
gram, for inclusion on the website of the De-
partment of Defense relating to the Transition 
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Assistance Program, in the Transition Assist-
ance Program manual, and in other relevant 
materials available for distribution from the 
Secretary of Defense. 
‘‘(E) AVAILABILITY
TO
VETERANS
AF-
FAIRS.—In consultation with the Secretary of 
Veterans Affairs, the Administrator shall make 
available for distribution and display at local fa-
cilities of the Department of Veterans Affairs 
outreach materials regarding the Boots to Busi-
ness Program which shall, at a minimum— 
‘‘(i) describe the Boots to Business 
Program and the services provided; and 
‘‘(ii) include eligibility requirements 
for participating in the Boots to Business 
Program. 
‘‘(5) REPORT.—Not later than 180 days after 
the date of the enactment of this subsection and 
every year thereafter, the Administrator shall submit 
to the Committee on Small Business and Entrepre-
neurship of the Senate and the Committee on Small 
Business of the House of Representatives a report 
on the performance and effectiveness of the Boots to 
Business Program, which may be included as part of 
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another report submitted to such Committees by the 
Administrator, and which shall include— 
‘‘(A) information regarding grants award-
ed under paragraph (4)(C); 
‘‘(B) the total cost of the Boots to Busi-
ness Program; 
‘‘(C) the number of program participants 
using each component of the Boots to Business 
Program; 
‘‘(D) the completion rates for each compo-
nent of the Boots to Business Program; 
‘‘(E) to the extent possible— 
‘‘(i) the demographics of program par-
ticipants, to include gender, age, race, rela-
tionship to military, military occupational 
specialty, and years of service of program 
participants; 
‘‘(ii) the number of small business 
concerns formed or expanded with assist-
ance under the Boots to Business Pro-
gram; 
‘‘(iii) the gross receipts of small busi-
ness concerns receiving assistance under 
the Boots to Business Program; 
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‘‘(iv) the number of jobs created with 
assistance under the Boots to Business 
Program; 
‘‘(v) the number of referrals to other 
resources and programs of the Administra-
tion; 
‘‘(vi) the number of program partici-
pants receiving financial assistance under 
loan programs of the Administration; 
‘‘(vii) the type and dollar amount of 
financial assistance received by program 
participants under any loan program of the 
Administration; and 
‘‘(viii) results of participant satisfac-
tion surveys, including a summary of any 
comments received from program partici-
pants; 
‘‘(F) an evaluation of the effectiveness of 
the Boots to Business Program in each region 
of the Administration during the most recent 
fiscal year; 
‘‘(G) an assessment of additional perform-
ance outcome measures for the Boots to Busi-
ness Program, as identified by the Adminis-
trator; 
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‘‘(H) any recommendations of the Admin-
istrator for improvement of the Boots to Busi-
ness Program, which may include expansion of 
the types of individuals who are covered individ-
uals; 
‘‘(I) an explanation of how the Boots to 
Business Program has been integrated with 
other transition programs and related resources 
of the Administration and other Federal agen-
cies; and 
‘‘(J) any additional information the Ad-
ministrator determines necessary.’’. 
SEC. 887. MODIFICATIONS TO BUDGET DISPLAY REQUIRE-
MENTS FOR THE DEPARTMENT OF DEFENSE 
SMALL BUSINESS INNOVATION RESEARCH 
PROGRAM 
AND 
SMALL 
BUSINESS 
TECH-
NOLOGY TRANSFER PROGRAM. 
Section 857 of the John S. McCain National Defense 
Authorization Act for Fiscal Year 2019 (Public Law 115– 
232; 132 Stat. 1891) is amended— 
(1) in subsection (a)— 
(A) by inserting ‘‘Under Secretary of De-
fense (Comptroller) and the’’ before ‘‘Under 
Secretary of Defense for Research and Engi-
neering’’; and 
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(B) by striking ‘‘a budget display’’ and in-
serting ‘‘one or more budget displays’’; 
(2) in subsection (b), by striking ‘‘The budget 
display’’ and inserting ‘‘The budget displays’’; and 
(3) in subsection (d), by striking ‘‘The budget 
display’’ and inserting ‘‘The budget displays’’. 
SEC. 888. SMALL BUSINESS CONTRACTING CREDIT FOR 
SUBCONTRACTORS THAT ARE PUERTO RICO 
BUSINESSES. 
Section 15(x)(1) of the Small Business Act (15 
U.S.C. 644(x)(1)) is amended— 
(1) by inserting ‘‘, or a prime contractor awards 
a subcontract (at any tier) to a subcontractor that 
is a Puerto Rico business,’’ after ‘‘Puerto Rico busi-
ness’’; 
(2) by inserting ‘‘or subcontract’’ after ‘‘the 
contract’’; and 
(3) by striking ‘‘subsection (g)(1)(A)(i)’’ and 
inserting ‘‘subsection (g)(1)(A)’’. 
SEC. 889. SMALL BUSINESS CONTRACTING CREDIT FOR 
CERTAIN SMALL BUSINESSES LOCATED IN 
UNITED STATES TERRITORIES. 
Section 15(x) of the Small Business Act (15 U.S.C. 
644(x)) is amended— 
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(1) in the subsection heading, by inserting 
‘‘AND
COVERED
TERRITORY
BUSINESSES’’ after 
‘‘PUERTO RICO BUSINESSES’’; 
(2) in paragraph (1), by inserting ‘‘or a covered 
territory business’’ after ‘‘Puerto Rico business’’; 
and 
(3) by adding at the end the following new 
paragraph: 
‘‘(3) COVERED
TERRITORY
BUSINESS
DE-
FINED.—In this subsection, the term ‘covered terri-
tory business’ means a small business concern that 
has its principal office located in one of the fol-
lowing: 
‘‘(A) The United States Virgin Islands. 
‘‘(B) American Samoa. 
‘‘(C) Guam. 
‘‘(D) The Northern Mariana Islands.’’. 
Subtitle G—Other Matters 
SEC. 891. REQUIREMENT TO USE MODELS OF COMMERCIAL 
E-COMMERCE PORTAL PROGRAM. 
(a) IN GENERAL.—Before the award of a final con-
tract to a commercial e-commerce portal provider pursu-
ant to section 846 of the National Defense Authorization 
Act for Fiscal Year 2018 (Public Law 115–91; 41 U.S.C. 
1901 note), the Administrator of General Services shall 
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establish a five-year program to test the three models for 
commercial e-commerce portals identified in section 4.1 of 
‘‘Procurement Through Commercial E-Commerce Portals 
Phase II Report: Market Research & Consultation’’ issued 
by the Administrator in April 2019. 
(b) ANALYSIS.—The Administrator shall conduct an 
analysis of the use of the three models described in sub-
section (a) to determine which model is the most effective 
for procurement through commercial e-commerce portals. 
SEC. 892. REPORT AND DATABASE ON ITEMS MANUFAC-
TURED IN THE UNITED STATES FOR MAJOR 
DEFENSE ACQUISITION PROGRAMS. 
(a) SENSE OF CONGRESS.—It is the sense of Con-
gress that any equipment or products purchased for major 
defense acquisition programs (as defined in section 2430 
of title 10, United States Code) should be manufactured 
in the United States substantially all from articles, mate-
rials, or supplies mined, produced, or manufactured in the 
United States, and that any such equipment or products 
purchased by any entity of the Department of Defense 
should be American-made, provided that American-made 
equipment and products are of a quality similar to that 
of competitive offers and are available in a timely manner 
to meet mission requirements. 
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(b) IN GENERAL.—Chapter 144 of title 10, United 
States Code, is amended by inserting after section 2436 
the following new section: 
‘‘§ 2436a. Major defense acquisition programs: report 
and database on items manufactured in 
the United States 
‘‘(a) REPORT.—Beginning not later than one year 
after the date of the enactment of this Act, the Secretary 
of Defense shall submit to the congressional defense com-
mittees an annual report on the percentage of any items 
procured in connection with a major defense acquisition 
program that are manufactured in the United States sub-
stantially all from articles, materials, or supplies mined, 
produced, or manufactured in the United States. 
‘‘(b) DATABASE.—The Secretary of Defense shall es-
tablish a database for information related to items de-
scribed in the report required under subsection (a) that 
can be used for continuous data analysis to inform acquisi-
tion decisions relating to major defense acquisition pro-
grams.’’. 
(c) CLERICAL AMENDMENT.—The table of section at 
the beginning of such chapter is amended by inserting 
after the item relating to section 2436 the following new 
item: 
‘‘2436a. Major defense acquisition programs: report and database on items man-
ufactured in the United States.’’. 
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SEC. 893. REQUIREMENTS RELATING TO SELECTED ACQUI-
SITION REPORTS. 
(a) INAPPLICABILITY OF TERMINATION OF REPORT 
SUBMITTAL TO CONGRESS.— 
(1) IN GENERAL.—Selected Acquisition Reports 
required by section 2432 of title 10, United States 
Code, shall not constitute reports covered by sub-
section (b) of section 1080 of the National Defense 
Authorization Act for Fiscal Year 2016 (Public Law 
114–92; 129 Stat. 1000; 10 U.S.C. 111 note), and 
their submittal to Congress as required by such sec-
tion 2432 shall not be terminated by operation of 
subsection (a) of such section 1080. 
(2) CONFORMING
AMENDMENT.—Effective on 
December 30, 2021, section 1051(x) of the National 
Defense Authorization Act for Fiscal Year 2018 
(Public Law 115–91; 131 Stat. 1567) is amended by 
striking paragraph (4). 
(b) FORM OF SELECTED ACQUISITION REPORTS.— 
Section 2432 of title 10, United States Code, is amended 
by adding at the end the following new subsection: 
‘‘(i) A report required under this section shall be sub-
mitted in unclassified form without any designation relat-
ing to dissemination control, but may contain a classified 
annex.’’. 
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(c) REPORT ON ALTERNATIVE METHODOLOGY.—The 
Secretary of Defense shall include with the budget for fis-
cal year 2021, as submitted to Congress pursuant to sec-
tion 1105(a) of title 31, United States Code, a report pro-
posing an alternative methodology for providing status re-
ports on major defense acquisition programs and other ac-
quisition activities, including programs carried out under 
section 804 of the National Defense Authorization Act for 
Fiscal Year 2016 (Public Law 114–92; 10 U.S.C. 2302 
note), where such status reports shall include information 
on— 
(1) scheduled and completed cybersecurity tests 
of software acquired through a program covered by 
the status report, including assessments on coopera-
tive vulnerability and penetration and adversarial as-
sessments; 
(2) software development metrics, including ini-
tial and most recent estimates of the projected value, 
sizing, schedule, and level of effort for software ac-
quired through a program covered by the status re-
port; and 
(3) quality metrics for software acquired 
through a program covered by the status report. 
(d) GUIDANCE ON CYBERSECURITY TESTS.—With 
respect to cybersecurity tests included in the alternative 
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methodology report described in subsection (c)(1), the 
Secretary of Defense, in coordination with the Director of 
Operational Test and Evaluation, shall develop policies on 
the selection of cybersecurity tests, methods to consist-
ently describe the cybersecurity tests, and methods to as-
sociate cybersecurity tests with a component part of a sys-
tem or a version of the software tested. 
SEC. 894. CONTRACTOR SCIENCE, TECHNOLOGY, ENGI-
NEERING, AND MATH PROGRAMS. 
(a) IN GENERAL.—Section 862 of National Defense 
Authorization Act for Fiscal Year 2012 (Public Law 112– 
181; 125 Stat. 1521; 10 U.S.C. note prec. 2191) is 
amended— 
(1) in subsection (a), in the matter preceding 
paragraph (1)— 
(A) by striking ‘‘Under Secretary of De-
fense for Acquisition, Technology, and Logis-
tics’’ and inserting ‘‘Under Secretary of De-
fense for Research and Engineering’’; and 
(B) by striking ‘‘ensure that Department 
of Defense contractors’’ and inserting ‘‘encour-
age Department of Defense contractors to’’; 
and 
(2) by amending subsection (b) to read as fol-
lows: 
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‘‘(b) ALLOWABLE COST.—The cost of participating 
in activities described in subsection (a) to a Department 
of Defense contractor shall be deemed to be an allowable 
cost under a contract between the contractor and the De-
partment of Defense.’’. 
(b) IMPLEMENTATION.—Not later than 180 days 
after the date of the enactment of this Act, the Secretary 
of Defense shall issue such rules or guidance necessary 
to implement the amendments made by this section. 
SEC. 895. EXTENSION OF SUNSET RELATING TO FEDERAL 
DATA CENTER CONSOLIDATION INITIATIVE. 
Subsection (e) of section 834 of the National Defense 
Authorization Act for Fiscal Year 2015 (44 U.S.C. 3601 
note) is amended by striking ‘‘2020’’ and inserting 
‘‘2022’’. 
SEC. 896. REQUIREMENTS RELATING TO CERTAIN RAIL 
ROLLING STOCK PROCUREMENTS AND OPER-
ATIONS. 
(a) LIMITATION ON CERTAIN RAIL ROLLING STOCK 
PROCUREMENTS.—Section 5323 of title 49, United States 
Code, is amended by adding at the end the following: 
‘‘(u) LIMITATION ON CERTAIN RAIL ROLLING STOCK 
PROCUREMENTS.— 
‘‘(1) IN GENERAL.—Except as provided in para-
graph (5), financial assistance made available under 
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this chapter shall not be used in awarding a contract 
or subcontract to an entity on or after the date of 
enactment of this subsection for the procurement of 
rail rolling stock for use in public transportation if 
the manufacturer of the rail rolling stock— 
‘‘(A) is incorporated in or has manufac-
turing facilities in the United States; and 
‘‘(B) is owned or controlled by, is a sub-
sidiary of, or is otherwise related legally or fi-
nancially to a corporation based in a country 
that— 
‘‘(i) is identified as a nonmarket econ-
omy country (as defined in section 771(18) 
of the Tariff Act of 1930 (19 U.S.C. 
1677(18))) as of the date of enactment of 
this subsection; 
‘‘(ii) was identified by the United 
States Trade Representative in the most 
recent report required by section 182 of 
the Trade Act of 1974 (19 U.S.C. 2242) 
as a priority foreign country under sub-
section (a)(2) of that section; and 
‘‘(iii) is subject to monitoring by the 
Trade Representative under section 306 of 
the Trade Act of 1974 (19 U.S.C. 2416). 
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‘‘(2) EXCEPTION.—For purposes of paragraph 
(1), the term ‘otherwise related legally or financially’ 
does not include a minority relationship or invest-
ment. 
‘‘(3) INTERNATIONAL AGREEMENTS.—This sub-
section shall be applied in a manner consistent with 
the obligations of the United States under inter-
national agreements. 
‘‘(4) 
CERTIFICATION
FOR
RAIL
ROLLING 
STOCK.— 
‘‘(A) IN GENERAL.—Except as provided in 
paragraph (5), as a condition of financial as-
sistance made available in a fiscal year under 
section 5337, a recipient that operates rail fixed 
guideway service shall certify in that fiscal year 
that the recipient will not award any contract 
or subcontract for the procurement of rail roll-
ing stock for use in public transportation with 
a rail rolling stock manufacturer described in 
paragraph (1). 
‘‘(B) SEPARATE CERTIFICATION.—The cer-
tification required under this paragraph shall be 
in addition to any certification the Secretary es-
tablishes to ensure compliance with the require-
ments of paragraph (1). 
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‘‘(5) EXCEPTION.—This subsection, including 
the certification requirement under paragraph (4), 
shall not apply to the award of a contract or sub-
contract made by a public transportation agency 
with a rail rolling stock manufacturer described in 
paragraph (1) if the manufacturer and the public 
transportation agency have a contract for rail rolling 
stock that was executed before the date of enact-
ment of this subsection.’’. 
(b) CYBERSECURITY
CERTIFICATION
FOR
RAIL 
ROLLING STOCK AND OPERATIONS.—Section 5323 of title 
49, United States Code, as amended by subsection (a), 
is amended by adding at the end the following: 
‘‘(v) CYBERSECURITY
CERTIFICATION
FOR
RAIL 
ROLLING STOCK AND OPERATIONS.— 
‘‘(1) CERTIFICATION.—As a condition of finan-
cial assistance made available under this chapter, a 
recipient that operates a rail fixed guideway public 
transportation system shall certify that the recipient 
has established a process to develop, maintain, and 
execute a written plan for identifying and reducing 
cybersecurity risks. 
‘‘(2) COMPLIANCE.—For the process required 
under paragraph (1), a recipient of assistance under 
this chapter shall— 
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‘‘(A) utilize the approach described by the 
voluntary standards and best practices devel-
oped under section 2(c)(15) of the National In-
stitute of Standards and Technology Act (15 
U.S.C. 272(c)(15)), as applicable; 
‘‘(B) identify hardware and software that 
the recipient determines should undergo third- 
party testing and analysis to mitigate cyberse-
curity risks, such as hardware or software for 
rail rolling stock under proposed procurements; 
and 
‘‘(C) utilize the approach described in any 
voluntary standards and best practices for rail 
fixed guideway public transportation systems 
developed under the authority of the Secretary 
of Homeland Security, as applicable. 
‘‘(3) LIMITATIONS ON STATUTORY CONSTRUC-
TION.—Nothing in this subsection shall be construed 
to interfere with the authority of— 
‘‘(A) the Secretary of Homeland Security 
to publish or ensure compliance with require-
ments or standards concerning cybersecurity for 
rail fixed guideway public transportation sys-
tems; or 
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‘‘(B) the Secretary of Transportation 
under section 5329 to address cybersecurity 
issues as those issues relate to the safety of rail 
fixed guideway public transportation systems.’’. 
SEC. 897. PROHIBITION ON CONTRACTING WITH PERSONS 
THAT HAVE BUSINESS OPERATIONS WITH 
THE MADURO REGIME. 
(a) PROHIBITION.—Except as provided under sub-
sections (c), (d), and (e), the Department of Defense may 
not enter into a contract for the procurement of goods 
or services with any person that has business operations 
with an authority of the Government of Venezuela that 
is not recognized as the legitimate Government of Ven-
ezuela by the United States Government. 
(b) DEFINITIONS.—In this section: 
(1) BUSINESS OPERATIONS.—The term ‘‘busi-
ness operations’’ means engaging in commerce in 
any form, including acquiring, developing, maintain-
ing, owning, selling, possessing, leasing, or operating 
equipment, facilities, personnel, products, services, 
personal property, real property, or any other appa-
ratus of business or commerce. 
(2) GOVERNMENT
OF
VENEZUELA.—(A) The 
term ‘‘Government of Venezuela’’ includes the gov-
ernment of any political subdivision of Venezuela, 
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and any agency or instrumentality of the Govern-
ment of Venezuela. 
(B) For purposes of subparagraph (A), the 
term ‘‘agency or instrumentality of the Government 
of Venezuela’’ means an agency or instrumentality 
of a foreign state as defined in section 1603(b) of 
title 28, United States Code, with each reference in 
such section to ‘‘a foreign state’’ deemed to be a ref-
erence to ‘‘Venezuela’’. 
(3) PERSON.—The term ‘‘person’’ means— 
(A) a natural person, corporation, com-
pany, business association, partnership, society, 
trust, or any other nongovernmental entity, or-
ganization, or group; 
(B) any governmental entity or instrumen-
tality of a government, including a multilateral 
development institution (as defined in section 
1701(c)(3) of the International Financial Insti-
tutions Act (22 U.S.C. 262r(c)(3))); and 
(C) any successor, subunit, parent entity, 
or subsidiary of, or any entity under common 
ownership or control with, any entity described 
in subparagraph (A) or (B). 
(c) EXCEPTIONS.— 
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(1) IN GENERAL.—The prohibition under sub-
section (a) does not apply to a contract that the Sec-
retary of Defense and the Secretary of State jointly 
determine— 
(A) is necessary— 
(i) for purposes of providing humani-
tarian assistance to the people of Ven-
ezuela, 
(ii) for purposes of providing disaster 
relief and other urgent life-saving meas-
ures; or 
(iii) to carry out noncombatant evacu-
ations; or 
(B) is vital to the national security inter-
ests of the United States. 
(2) NOTIFICATION
REQUIREMENT.—The Sec-
retary of Defense shall notify the congressional de-
fense committees, the Committee on Foreign Affairs 
of the House of Representatives, and the Committee 
on Foreign Relations of the Senate of any contract 
entered into on the basis of an exception provided 
for under paragraph (1). 
(d) OFFICE
OF FOREIGN ASSETS CONTROL LI-
CENSES.—The prohibition in subsection (a) shall not 
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apply to a person that has a valid license to operate in 
Venezuela issued by the Office of Foreign Assets Control. 
(e) AMERICAN
DIPLOMATIC
MISSION
IN
VEN-
EZUELA.—The prohibition in subsection (a) shall not 
apply to contracts related to the operation and mainte-
nance of the United States Government’s consular offices 
and diplomatic posts in Venezuela. 
(f) APPLICABILITY.—This section shall apply with re-
spect to any contract entered into on or after the date 
of the enactment of this section. 
SEC. 898. REPORT ON COST GROWTH OF MAJOR DEFENSE 
ACQUISITIONS PROGRAMS. 
The Comptroller General shall submit to the Com-
mittee on Armed Services of the Senate and the Com-
mittee on Armed Services of the House of Representatives 
a report analyzing cost growth of major defense acquisi-
tion programs (as defined in section 2430 of title 10, 
United States Code) during the 15 fiscal years preceding 
the date of the enactment of this Act. 
SEC. 899. INCLUSION OF OPERATIONAL ENERGY PROJECTS 
FOR USES OF ENERGY COST SAVINGS. 
Section 2912(b)(1) of title 10, United States Code, 
is amended by inserting ‘‘operational energy projects,’’ 
after ‘‘including’’. 
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SEC. 899A. REPORT AND STRATEGY ON TERMINATED FOR-
EIGN CONTRACTS. 
(a) REPORT.—Not later than 90 days after the date 
of the enactment of this Act, the Secretary of Defense 
shall submit to Congress a report on contracts performed 
in foreign countries for which the contract was terminated 
for convenience because of actions taken by the govern-
ment of, or an entity located in, the foreign country that 
impeded the ability of the contractor to perform the con-
tract. Such report shall include, for each contract so ter-
minated— 
(1) the specific contract type; 
(2) the good or service that is the subject of the 
contract; 
(3) the contracting entity within the Depart-
ment of Defense; 
(4) the annual and total value of the contract; 
(5) the foreign countries involved in imple-
menting the contract; 
(6) an identification of the government of, or 
entity located in, the foreign country that impeded 
the ability of the contractor to perform the contract; 
(7) the rationale, if any, for impeding the abil-
ity of the contractor to perform the contract, and an 
analysis of whether the rationale contradicted and 
requirements of the Federal Acquisition Regulation; 
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(8) the increased costs incurred by the Depart-
ment of Defense because of the termination; and 
(9) any additional information, as determined 
by the Secretary. 
(b) STRATEGY.—The Secretary of Defense, in col-
laboration with the Secretary of State, shall develop a 
strategy and accompanying guidelines for contractors and 
other Federal Government employees involved in the per-
formance of Department of Defense contracts in foreign 
countries to ensure such contracts are not subject to inter-
ference, contract meddling, or favoritism by government 
of, or an entity located in, the foreign country. Not later 
than 90 days after the date of the enactment of this Act, 
the Secretary of Defense shall submit to Congress a report 
on the strategy and accompanying guidelines. 
SEC. 899B. INDIVIDUAL ACQUISITION FOR COMMERCIAL 
LEASING SERVICES. 
(a) EXTENSION.—Section 877(c) of the John S. 
McCain National Defense Authorization Act For Fiscal 
Year 2019 (41 U.S.C. 3302 note) is amended by striking 
‘‘2022’’ and inserting ‘‘2025’’. 
(b) AUDIT.—Section 887(b)(1) of such Act is amend-
ed by striking ‘‘biennial audits’’ and inserting ‘‘audits 
every five years’’. 
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SEC. 899C. PROHIBITION ON CONTRACTING WITH ENTITIES 
LACKING A SEXUAL HARASSMENT POLICY. 
(a) IN GENERAL.—Not later than 270 days after the 
date of the enactment of this Act, the Secretary of Defense 
shall revise the Defense Federal Acquisition Regulation 
Supplement to state that the policy of the Department of 
Defense is that the Secretary of Defense may enter into 
a contract only with an entity that has an employee policy 
penalizing instances of sexual harassment. 
(b) DEBARMENT.—If an entity that does not have an 
employee policy penalizing instances of sexual harassment 
seeks to enter into a contract with the Department of De-
fense, the Secretary of Defense shall initiate a debarment 
proceeding in accordance with procedures in the Federal 
Acquisition Regulation against such entity. 
SEC. 899D. DOMESTIC PRODUCTION OF SMALL UNMANNED 
AIRCRAFT SYSTEMS. 
The Secretary of Defense shall take such action as 
necessary to strengthen the domestic production of small 
unmanned aircraft systems (as defined in section 331 of 
the FAA Modernization and Reform Act of 2012 (Public 
Law 112–95; 49 U.S.C. 44802 note)), as described under 
Presidential Determination No. 2019–13 of June 10, 
2019. 
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SEC. 899E. PROHIBITION ON CONTRACTING WITH PERSONS 
WITH WILLFUL OR REPEATED VIOLATIONS 
OF THE FAIR LABOR STANDARDS ACT OF 
1938. 
The head of a Federal department or agency (as de-
fined in section 102 of title 40, United States Code) shall 
initiate a debarment proceeding with respect to a person 
for whom information regarding a willful or repeated vio-
lation of the Fair Labor Standards Act of 1938 (29 
U.S.C. 201 et seq.) as determined by a disposition de-
scribed under subsection (c)(1) of section 2313 of title 41, 
United States Code, is included in the database estab-
lished under subsection (a) of such section. 
SEC. 899F. COMPTROLLER GENERAL REPORT ON CON-
TRACTOR VIOLATIONS OF CERTAIN LABOR 
LAWS. 
Not later than 180 days after the date of the enact-
ment of this Act, the Comptroller of the United States 
shall submit a report to Congress on the number of con-
tractors— 
(1) that performed a contract with the Depart-
ment of Defense during the five-year period pre-
ceding the date of the enactment of this Act; and 
(2) that have been found by the Department of 
Labor to have committed willful or repeat violations 
of the Occupational Safety and Health Act of 1970 
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(29 U.S.C. 651 et seq.) or the Fair Labor Standards 
Act of 1938 (29 U.S.C. 201 et seq.), and the nature 
of the violations committed. 
SEC. 899G. REESTABLISHMENT OF COMMISSION ON WAR-
TIME CONTRACTING. 
(a) IN GENERAL.—There is hereby reestablished in 
the legislative branch under section 841 of the National 
Defense Authorization Act for Fiscal Year 2008 (Public 
Law 110–181; 122 Stat. 230) the Commission on War-
time Contracting. 
(b) AMENDMENT TO DUTIES.—Section 841(c)(1) of 
the National Defense Authorization Act for Fiscal Year 
2008 (Public Law 110–181; 122 Stat. 231) is amended 
to read as follows: 
‘‘(1) GENERAL DUTIES.—The Commission shall 
study the following matters: 
‘‘(A) Federal agency contracting funded by 
overseas contingency operations funds. 
‘‘(B) Federal agency contracting for the 
logistical support of coalition forces operating 
under the authority of the 2001 or 2002 Au-
thorization for the Use of Military Force. 
‘‘(C) Federal agency contracting for the 
performance of security functions in countries 
where coalition forces operate under the author-
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ity of the 2001 or 2002 Authorization for the 
Use of Military Force’’. 
(c) CONFORMING AMENDMENTS.—Section 841 of the 
National Defense Authorization Act for Fiscal Year 2008 
(Public Law 110–181; 122 Stat. 230) is amended— 
(1) in subsection (b)— 
(A) in paragraph (1), by striking ‘‘the 
Committee on Oversight and Government Re-
form’’ each place it appears and inserting ‘‘the 
Committee on Oversight and Reform’’; 
(B) in paragraph (2), by striking ‘‘of this 
Act’’ and inserting ‘‘of the Wartime Con-
tracting Commission Reauthorization Act of 
2019’’; and 
(C) in paragraph (4), by striking ‘‘was 
first established’’ each place it appears and in-
serting ‘‘was reestablished by the Wartime Con-
tracting Commission Reauthorization Act of 
2019’’; and 
(2) in subsection (d)(1), by striking ‘‘On March 
1, 2009’’ and inserting ‘‘Not later than one year 
after the date of enactment of the Wartime Con-
tracting Commission Reauthorization Act of 2019’’. 
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SEC. 899H. FEDERAL CONTRACTOR DISCLOSURE OF UN-
PAID FEDERAL TAX LIABILITY. 
Section 2313(c) of title 41, United States Code, is 
amended by adding at the end the following: 
‘‘(9) Any unpaid Federal tax liability of the 
person, but only to the extent all judicial and admin-
istrative remedies have been exhausted or have 
lapsed with respect to the Federal tax liability.’’. 
SEC. 899I. UNIFORMITY IN APPLICATION OF MICRO-PUR-
CHASE THRESHOLD TO CERTAIN TASK OR 
DELIVERY ORDERS. 
Section 4106(c) of title 41, United States Code, is 
amended by striking ‘‘$2,500’’ and inserting ‘‘the micro- 
purchase threshold under section 1902 of this title’’. 
SEC. 899J. PILOT PROGRAM ON PAYMENT OF COSTS FOR 
DENIED GOVERNMENT ACCOUNTABILITY OF-
FICE BID PROTESTS. 
Section 827 of the National Defense Authorization 
Act for Fiscal Year 2018 (10 U.S.C. 2304 note) is amend-
ed— 
(1) in subsection (a)— 
(A) by inserting ‘‘direct’’ before ‘‘costs in-
curred’’; and 
(B) by striking ‘‘in processing’’ and insert-
ing ‘‘by the Department in support of hearings 
to adjudicate’’; and 
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(2) in subsection (b), by striking ‘‘two years 
after the date of the enactment of this Act’’ and in-
serting ‘‘60 days after the Secretary of Defense cer-
tifies in writing to the congressional defense commit-
tees that the Department of Defense has business 
systems that have been independently audited and 
that can accurately identify the direct costs incurred 
by the Department of Defense in support of hear-
ings to adjudicate covered protests’’. 
SEC. 899K. REQUIREMENT FOR CONTRACTORS TO REPORT 
GROSS VIOLATIONS INTERNATIONALLY REC-
OGNIZED HUMAN RIGHTS. 
(a) IN GENERAL.—A contractor performing a De-
partment of Defense contract in a foreign country shall 
report possible cases of gross violations of internationally 
recognized human rights to the Secretary of Defense. 
(b) REPORT.—Not later than 180 days after the en-
actment of this Act, the Secretary of Defense, with the 
concurrence of the Secretary of State, shall submit to the 
appropriate congressional committees a report that de-
scribes— 
(1) the policies and procedures in place to ob-
tain information about possible cases of gross viola-
tions of internationally recognized human rights 
from contractors described in subsection (a); and 
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(2) the resources needed to investigate reports 
made pursuant to subsection (a). 
(c) FORM OF REPORT.—The report required by sub-
section (b) shall be submitted in unclassified form, but 
may include a classified annex. 
(d) DEFINITIONS.—In this section: 
(1) APPROPRIATE
CONGRESSIONAL
COMMIT-
TEES.—the term ‘‘appropriate congressional commit-
tees’’ means— 
(A) the congressional defense committees; 
and 
(B) the Committee on Foreign Relations of 
the Senate and the Committee on Foreign Af-
fairs of the House of Representatives. 
(2) GROSS VIOLATIONS OF INTERNATIONALLY 
RECOGNIZED HUMAN RIGHTS.—The term ‘‘gross vio-
lations of internationally recognized human rights’’ 
means torture or cruel, inhuman, or degrading treat-
ment or punishment, prolonged detention without 
charges and trial, causing the disappearance of per-
sons by the abduction and clandestine detention of 
those persons, child sexual assault, and other fla-
grant denial of the right to life, liberty, or the secu-
rity of person. 
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SEC. 899L. CONGRESSIONAL OVERSIGHT OF PRIVATE SE-
CURITY CONTRACTOR CONTRACTS. 
(a) REPORT OF CERTAIN CONTRACTS AND TASK OR-
DERS.— 
(1) REQUIREMENT
REGARDING
CONTRACTS 
AND TASK ORDERS.—The Inspector General of the 
Department of Defense shall compile a report of the 
work performed or to be performed under a covered 
contract during the period beginning on October 1, 
2001, and ending on the last day of the month dur-
ing which this Act is enacted for work performed or 
work to be performed in areas of contingency oper-
ations. 
(2) FORM
OF
SUBMISSIONS.—The report re-
quired by paragraph (1) shall be submitted in un-
classified form, to the maximum extent possible, but 
may contain a classified annex, if necessary. 
(b) REPORTS ON CONTRACTS FOR WORK TO BE 
PERFORMED IN AREAS OF CONTINGENCY OPERATIONS 
AND OTHER SIGNIFICANT MILITARY OPERATIONS.—The 
Inspector General of the Department of Defense shall sub-
mit to each specified congressional committee a report not 
later than 60 days after the date of the enactment of this 
Act that contains the following information: 
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(1) The number of civilians performing work in 
areas of contingency operations under covered con-
tracts. 
(2) The total cost of such covered contracts. 
(3) The total number of civilians who have been 
wounded or killed in performing work under such 
covered contracts. 
(4) A description of the disciplinary actions 
that have been taken against persons performing 
work under such covered contracts by the con-
tractor, the United States Government, or the gov-
ernment of any country in which the area of contin-
gency operations is located. 
(c) DEFINITIONS.—In this section: 
(1) COVERED CONTRACT.—The term ‘‘covered 
contract’’ means a contract for private security en-
tered into by the Secretary of Defense in an amount 
greater than $5,000,000. 
(2) 
CONTINGENCY
OPERATION.—The 
term 
‘‘contingency operation’’ has the meaning provided 
by section 101(a)(13) of title 10, United States 
Code. 
(3) 
SPECIFIED
CONGRESSIONAL
COMMIT-
TEES.—The term ‘‘specified congressional commit-
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tees’’ means the Committees on Armed Services of 
the Senate and the House of Representatives. 
SEC. 899M. GAO REPORT ON CONTRACTING PRACTICES OF 
THE CORPS OF ENGINEERS. 
(a) STUDY REQUIRED.—The Comptroller General of 
the United States shall conduct a study on the contracting 
practices of the Corps of Engineers, with a specific focus 
on how the Corps of Engineers complies with and enforces 
the requirement to pay prevailing wages on federally fi-
nanced construction jobs, as required by subchapter IV 
of chapter 31 of title 40, United States Code (commonly 
referred to as the Davis-Bacon Act). The study shall con-
sider the following: 
(1) Any programs or protocols the Corps of En-
gineers has in place for the purpose of carrying out 
its Davis-Bacon Act enforcement obligations as set 
forth in the Federal Acquisition Regulation. 
(2) Any programs or protocols the Corps of En-
gineers has in place for the purpose of identifying 
and 
addressing 
independent 
contractor 
misclassification on projects subject to the Davis- 
Bacon Act. 
(3) The frequency with which the Corps of En-
gineers conducts site visits on each covered project 
to monitor Davis-Bacon Act compliance. 
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(4) The frequency with which the Corps of En-
gineers monitors certified payroll reports submitted 
by contractors and subcontractors on each covered 
project. 
(5) Whether the Corps of Engineers accepts 
and investigates complaints of Davis-Bacon Act vio-
lations submitted by third parties, such as contrac-
tors and workers’ rights organizations. 
(6) Whether the Corps of Engineers maintains 
a database listing all contractors and subcontractors 
who have, in one way or another, violated the Davis- 
Bacon Act and whether the Corps consults this 
database as part of its contract award process. 
(7) The frequency, over the last five years, with 
which the Corps of Engineers penalized, disqualified, 
terminated, or moved for debarment of a contractor 
for Davis-Bacon violations. 
(8) How the Corps of Engineers verifies that 
the contractors it hires for its projects are properly 
licensed. 
(b) REPORT TO CONGRESS.—Not later than 1 year 
after the date of enactment of this Act, the Comptroller 
General of the United States shall submit to the Com-
mittee on Education and Labor, the Committee on Armed 
Services, and the Committee on Transportation and Infra-
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structure of the House of Representatives and the Com-
mittee on Health, Education, Labor, and Pensions, the 
Committee on Armed Services, and the Committee on 
Commerce, Science, and Transportation of the Senate a 
report that summarizes the results of the study required 
under subsection (a), together with any recommendations 
for legislative or regulatory action that would improve the 
efforts of enforcing the requirement to pay prevailing 
wages on federally financed construction jobs. 
SEC. 899N. COMPTROLLER GENERAL REPORT ON DEFENSE 
BUSINESS PROCESSES. 
The Comptroller General of the United States shall 
submit to the congressional defense committees a report 
on the use of defense business processes (as described 
under section 2222 of title 10, United States Code) that 
includes— 
(1) an analysis of the extent to which the De-
partment of Defense is developing a culture that rec-
ognizes the importance of business processes to 
achieving operational success; 
(2) an analysis of the extent to which the De-
partment of Defense components are implementing 
business process reengineering initiatives necessary 
to achieving improved financial management; 
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(3) an analysis of the quality of financial man-
agement training provided to employees of the De-
partment; and 
(4) an identification of the steps taken by the 
Department of the Defense to institutionalize a cul-
ture that recognizes the importance of financial 
management. 
TITLE IX—DEPARTMENT OF DE-
FENSE ORGANIZATION AND 
MANAGEMENT 
Subtitle A—Office of the Secretary 
of Defense and Related Matters 
SEC. 901. UPDATE OF AUTHORITIES RELATING TO NU-
CLEAR COMMAND, CONTROL, AND COMMU-
NICATIONS. 
(a) DUTIES AND POWERS OF UNDER SECRETARY OF 
DEFENSE FOR ACQUISITION AND SUSTAINMENT.—Sec-
tion 133b(b) of title 10, United States Code, is amended— 
(1) by redesignating paragraphs (4), (5), (6), 
and (7) as paragraphs (5), (6), (7), and (8), respec-
tively; 
(2) by inserting after paragraph (3) the fol-
lowing new paragraph (4): 
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‘‘(4) establishing policies for, and providing 
oversight, guidance, and coordination for, nuclear 
command and control systems;’’; and 
(3) in paragraph (6), as so redesignated, by in-
serting after ‘‘overseeing the modernization of nu-
clear forces’’ the following: ‘‘, including the nuclear 
command, control, and communications system,’’. 
(b) 
CHIEF
INFORMATION
OFFICER.—Section 
142(b)(1) of such title is amended— 
(1) by striking subparagraph (G); and 
(2) by redesignating subparagraphs (H) and (I) 
as subparagraphs (G) and (H), respectively. 
Subtitle B—Other Department of 
Defense Organization and Man-
agement Matters 
SEC. 911. CODIFICATION OF ASSISTANT SECRETARIES FOR 
ENVIRONMENT, 
INSTALLATIONS, 
AND 
EN-
ERGY OF THE ARMY, NAVY, AND AIR FORCE. 
(a) ASSISTANT SECRETARY OF THE ARMY.—Section 
7016(b) of title 10, United States Code, is amended by 
adding at the end the following new paragraph: 
‘‘(6)(A) One of the Assistant Secretaries shall be the 
Assistant Secretary for Installations, Energy, and Envi-
ronment. 
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‘‘(B) The principal duty of the Assistant Secretary 
for Installations, Energy, and Environment shall be the 
overall supervision of installation, energy, and environ-
ment matters for the Department of the Army.’’. 
(b) ASSISTANT SECRETARY OF THE NAVY.—Section 
8016(b) of title 10, United States Code, is amended by 
adding at the end the following new paragraph: 
‘‘(5)(A) One of the Assistant Secretaries shall be the 
Assistant Secretary for Energy, Installations, and Envi-
ronment. 
‘‘(B) The principal duty of the Assistant Secretary 
for Energy, Installations, and Environment shall be the 
overall supervision of installation, energy, and environ-
ment matters for the Department of the Navy.’’. 
(c) ASSISTANT SECRETARY OF THE AIR FORCE.— 
Section 9016(b) of title 10, United States Code, is amend-
ed by adding at the end the following new paragraph: 
‘‘(5)(A) One of the Assistant Secretaries shall be the 
Assistant Secretary for Installations, Environment, and 
Energy. 
‘‘(B) The principal duty of the Assistant Secretary 
for Installations, Environment, and Energy shall be the 
overall supervision of installation, energy, and environ-
ment matters for the Department of the Air Force.’’. 
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SEC. 912. LIMITATION ON AVAILABILITY OF FUNDS FOR 
CONSOLIDATION OF DEFENSE MEDIA ACTIV-
ITY. 
(a) SENSE OF CONGRESS.—It is the sense of Con-
gress that— 
(1) the Defense Media Activity serves as a pre-
mier broadcasting and production center for Amer-
ica’s servicemembers and their families worldwide; 
and 
(2) as the Department of Defense considers re-
locating some or all of the functions of the Defense 
Media Activity, Congress must have the opportunity 
to consider the impact and scope that such a deci-
sion would have on the Department’s ability to meet 
its current warfighting capabilities and ensure that 
the Defense Media Activity does not consolidate its 
facilities at the expense of satisfying its current mis-
sion requirements. 
(b) LIMITATION.—None of the funds authorized to 
be appropriated by this Act or otherwise made available 
for fiscal year 2020 or any subsequent fiscal year for the 
Department of Defense may be used to consolidate the 
Defense Media Activity until a period of 180 days has 
elapsed following the date on which the Secretary of De-
fense submits the report required under subsection (c). 
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(c) REPORT REQUIRED.—The Secretary of Defense 
shall submit to the congressional defense committees a re-
port that includes the following: 
(1) Any current or future plans to restructure, 
reduce, or eliminate the functions, personnel, facili-
ties, or capabilities of the Defense Media Activity, 
including the timelines associated with such plans. 
(2) Any modifications that have been made, or 
that may be made, to personnel compensation or 
funding accounts in preparation for, or in response 
to, efforts to consolidate the Defense Media Activity. 
(3) Any contractual agreements that have been 
entered into to consolidate or explore the consolida-
tion of the Defense Media Activity. 
(4) Any Department of Defense directives or 
Administration guidance relating to efforts to con-
solidate the Defense Media Activity, including any 
directives or guidance intended to inform or instruct 
such efforts. 
(d) CONSOLIDATE DEFINED.—In this section, the 
term ‘‘consolidate’’, means any action to reduce or limit 
the functions, personnel, facilities, or capabilities of the 
Defense Media Activity, including entering into contracts 
or developing plans for such reduction or limitation. 
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SEC. 913. MODERNIZATION OF CERTAIN FORMS AND SUR-
VEYS. 
(a) STUDY.—The Secretary of Defense shall conduct 
a study to identify each form and survey of the Depart-
ment of Defense, in use on the date of the enactment of 
this Act, that contains a term or classification that the 
Secretary determines may be considered racially or eth-
nically insensitive. 
(b) REPORTS.— 
(1) INTERIM REPORTS.—On the date that is 90 
days after the date of the enactment of this Act, and 
on the date that is 180 days after such date of en-
actment, the Secretary shall submit to the Commit-
tees on Armed Services of the House of Representa-
tives and the Senate a report on the status of the 
study conducted under subsection (a). 
(2) FINAL REPORT.—Not later than one year 
after the date of the enactment of this Act, the Sec-
retary shall submit to the Committees on Armed 
Services of the House of Representatives and the 
Senate a report on the results of the study con-
ducted under subsection (a) that includes— 
(A) a list of each form and survey identi-
fied under such study; and 
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(B) a plan for modernizing the terms and 
classifications contained in such forms and sur-
veys, including legislative recommendations. 
(c) MODERNIZATION REQUIRED.—Not later than 18 
months after the date of the enactment of this Act, the 
Secretary shall carry out the plan included in the report 
submitted under subsection (b). 
Subtitle C—Space Matters 
PART 1—UNITED STATES SPACE CORPS 
SEC. 921. ESTABLISHMENT OF UNITED STATES SPACE 
CORPS IN THE DEPARTMENT OF THE AIR 
FORCE. 
(a) ESTABLISHMENT.—Part I of subtitle D of title 
10, United States Code, is amended by adding at the end 
the following new chapter: 
‘‘CHAPTER 909—THE SPACE CORPS 
‘‘Sec. 
‘‘9091. Establishment of the Space Corps. 
‘‘9093. Commandant of the Space Corps. 
‘‘9095. Officer career field for space. 
‘‘§ 9091. Establishment of the Space Corps 
‘‘(a) ESTABLISHMENT.—There is established a 
United States Space Corps as an armed force within the 
Department of the Air Force. 
‘‘(b) COMPOSITION.—(1) The Space Corps shall be 
composed of the following: 
‘‘(A) The Commandant of the Space Corps. 
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‘‘(B) The space forces and such assets as may 
be organic therein. 
‘‘(2)(A) The space forces specified in paragraph 
(1)(B) shall include the personnel and assets of the Air 
Force transferred to the Space Corps pursuant to the Na-
tional Defense Authorization Act for Fiscal Year 2020. 
‘‘(B) The space forces specified in paragraph (1)(B) 
may not include the personnel or assets of the National 
Reconnaissance Office or the National Geospatial-Intel-
ligence Agency. Nothing in this section shall affect the au-
thorities, duties, or responsibilities of the Director of the 
National Reconnaissance Office and the Director of the 
National Geospatial-Intelligence Agency, including with 
respect to the authority of each such Director to— 
‘‘(i) carry out the research, development, test, 
and evaluation and procurement of satellites and 
user satellite terminals of the Defense Agency of the 
Director; 
‘‘(ii) operate such terminals; and 
‘‘(iii) develop requirements to ensure that the 
space programs of the Department of Defense sup-
port the mission of the Director. 
‘‘(c) FUNCTIONS.—The Space Corps shall be orga-
nized, trained, and equipped to provide— 
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‘‘(1) freedom of operation for the United States 
in, from, and to space; and 
‘‘(2) prompt and sustained space operations. 
‘‘(d) DUTIES.—It shall be the duty of the Space 
Corps to— 
‘‘(1) protect the interests of the United States 
in space; 
‘‘(2) deter aggression in, from, and to space; 
and 
‘‘(3) conduct space operations. 
‘‘(e) ACQUISITION SYSTEM.—(1) The Secretary of 
the Air Force may establish a separate, alternative acqui-
sition system for defense space acquisitions, including with 
respect to procuring space vehicles, ground segments re-
lating to such vehicles, and satellite terminals, pursuant 
to the plan specified in paragraph (2). 
‘‘(2) The Deputy Secretary of Defense shall develop 
the plan, and submit such plan to the congressional de-
fense committees, under section 1601(b) of the John S. 
McCain National Defense Authorization Act for Fiscal 
Year 2019 (Public Law 115–232; 132 Stat. 2103). 
‘‘(3) The alternative acquisition system under para-
graph (1) shall cover defense space acquisitions except 
with respect to the National Reconnaissance Office and 
other elements of the Department of Defense that are ele-
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ments of the intelligence community (as defined in section 
3 of the National Security Act of 1947 (50 U.S.C. 3003)). 
‘‘(f) PERSONNEL
DEVELOPMENT.—(1) The Sec-
retary may ensure the quality of the members of the Space 
Corps pursuant to the plan specified in paragraph (2) and 
section 9095 of this title. 
‘‘(2) The Secretary shall develop the plan, and submit 
such plan to the congressional defense committees, under 
section 1601(c) of the John S. McCain National Defense 
Authorization Act for Fiscal Year 2019 (Public Law 115– 
232; 132 Stat. 2103). 
‘‘(3) In carrying out paragraph (1), the Secretary 
shall address the following: 
‘‘(A) Managing the career progression of mem-
bers of the Space Corps and civilian employees of 
the Space Corps throughout the military or civilian 
career of the member or the employee, as the case 
may be, including with respect to— 
‘‘(i) defining career professional mile-
stones; 
‘‘(ii) pay and incentive structures; 
‘‘(iii) the management and oversight of the 
Space Corps; 
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‘‘(iv) training relating to planning and exe-
cuting warfighting missions and operations in 
space; 
‘‘(v) conducting periodic Space Corps-wide 
professional assessments to determine how the 
Space Corps is developing as a group; and 
‘‘(vi) establishing a centralized method to 
control personnel assignments and distribution. 
‘‘(B) The identification of future space-related 
career fields that the Secretary determines appro-
priate, including a space acquisition career field. 
‘‘(C) The identification of any overlap that ex-
ists among operations and acquisitions career fields 
to determine opportunities for cross-functional ca-
reer opportunities. 
‘‘§ 9093. Commandant of the Space Corps 
‘‘(a) APPOINTMENT.—(1) There is a Commandant of 
the Space Corps, appointed by the President, by and with 
the advice and consent of the Senate, from the general 
officers of the Air Force. The Commandant serves at the 
pleasure of the President. 
‘‘(2) The Commandant shall be appointed for a term 
of four years. In time of war or during a national emer-
gency declared by Congress, the Commandant may be re-
appointed for a term of not more than four years. 
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‘‘(b) GRADE.—The Commandant, while so serving, 
has the grade of general without vacating the permanent 
grade of the officer. 
‘‘(c) RELATIONSHIP TO THE SECRETARY OF THE AIR 
FORCE.—Except as otherwise prescribed by law and sub-
ject to section 9013(f) of this title, the Commandant per-
forms the duties of such position under the authority, di-
rection, and control of the Secretary of the Air Force and 
is directly responsible to the Secretary. 
‘‘(d) DUTIES.—Subject to the authority, direction, 
and control of the Secretary of the Air Force, the Com-
mandant shall— 
‘‘(1) exercise supervision, consistent with the 
authority assigned to commanders of unified or spec-
ified combatant commands under chapter 6 of this 
title, over such of the members and organizations of 
the Space Corps as the Secretary determines; and 
‘‘(2) perform such other military duties, not 
otherwise assigned by law, as are assigned to the 
Commandant by the President, the Secretary of De-
fense, or the Secretary of the Air Force. 
‘‘(e) JOINT CHIEFS
OF STAFF.—(1) The Com-
mandant shall also perform the duties prescribed for the 
Commandant as a member of the Joint Chiefs of Staff 
under section 151 of this title. 
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‘‘(2) To the extent that such action does not impair 
the independence of the Commandant in the performance 
of the duties of the Commandant as a member of the Joint 
Chiefs of Staff, the Commandant shall inform the Sec-
retary of the Air Force regarding military advice rendered 
by members of the Joint Chiefs of Staff on matters affect-
ing the Department of the Air Force. 
‘‘(3) Subject to the authority, direction, and control 
of the Secretary of Defense, the Commandant shall keep 
the Secretary of the Air Force fully informed of significant 
military operations affecting the duties and responsibilities 
of the Secretary.’’. 
(d) CONFORMING AMENDMENTS.— 
(1) JOINT CHIEFS OF STAFF.— 
(A) MEMBERSHIP.—Section 151(a) of title 
10, United States Code, is amended— 
(i) by redesignating paragraph (7) as 
paragraph (8); and 
(ii) by inserting after paragraph (6) 
the following new paragraph: 
‘‘(7) The Commandant of the Space Corps.’’. 
(B) APPOINTMENT.—Section 152(b)(1)(B) 
of such title is amended by striking ‘‘or the 
Commandant of the Marine Corps’’ and insert-
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ing ‘‘the Commandant of the Marine Corps, or 
the Commandant of the Space Corps’’. 
(2) OFFICER CAREERS.—Chapter 907 of such 
title is amended as follows: 
(A) In section 9084, by striking ‘‘officers 
in the Air Force’’ and inserting ‘‘officers in the 
Space Corps’’. 
(B) By transferring section 9084, as 
amended by subparagraph (A), to chapter 909 
and redesignating such section as section 9095. 
(C) In the table of sections, by striking the 
item relating to section 9084. 
(3) SECRETARY OF THE AIR FORCE.—Section 
9013 of such title is amended— 
(A) in subsection (f), by inserting ‘‘and 
Space Corps’’ after ‘‘Officers of the Air Force’’; 
and 
(B) in subsection (g)(1), by inserting ‘‘and 
Space Corps’’ after ‘‘members of the Air 
Force’’. 
(4) DEFINITIONS.—Section 101 of such title is 
amended— 
(A) in subsection (a)— 
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(i) in paragraph (4), by inserting 
‘‘Space Corps,’’ after ‘‘Marine Corps,’’; 
and 
(ii) in paragraph (9)(C), by inserting 
‘‘and the Space Corps’’ after ‘‘concerning 
the Air Force’’; and 
(B) in subsection (b)— 
(i) in paragraph (4), by striking ‘‘or 
Marine Corps’’ and inserting ‘‘Marine 
Corps, or Space Corps’’; and 
(ii) in paragraph (13), by striking ‘‘or 
Marine Corps’’ and inserting ‘‘Marine 
Corps, or Space Corps’’. 
(e) CLERICAL AMENDMENT.—The table of chapters 
for part I of subtitle D of title 10, United States Code, 
is amended by adding at the end the following new item: 
‘‘909. The Space Corps’’. 
SEC. 922. TRANSFER OF PERSONNEL, FUNCTIONS, AND AS-
SETS TO THE SPACE CORPS. 
(a) TRANSFERS.— 
(1) TRANSFER OF MILITARY PERSONNEL.— 
(A) IN GENERAL.—The Secretary of De-
fense shall, during the transition period, trans-
fer all covered military personnel to the Space 
Corps. 
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(B) RETENTION IN GRADE AND STATUS.— 
Covered military personnel transferred to the 
Space Corps pursuant to subparagraph (A) 
shall retain the grade and date of obtaining 
such grade that the individual person had be-
fore the date of the transfer unless otherwise 
altered or terminated in accordance with law. 
(2) TRANSFER OF FUNCTIONS.—Except as oth-
erwise directed by the Secretary of Defense, all func-
tions, assets, and obligations of the space elements 
of the Air Force (including all property, records, in-
stallations, 
activities, 
facilities, 
agencies, 
and 
projects of such elements) shall be transferred to the 
Space Corps. 
(b) CONFORMING REPEAL.— 
(1) IN
GENERAL.—Chapter 135 of title 10, 
United States Code, is amended by striking section 
2279c. 
(2) CLERICAL AMENDMENT.—The table of sec-
tions at the beginning of such chapter is amended 
by striking the item relating to section 2279c. 
(3) EFFECTIVE DATE.—The amendments made 
by paragraphs (1) and (2) shall take effect on the 
date on which the transition period terminates, as 
determined by the Secretary of Defense in accord-
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ance with subsection (c), which date shall be not 
later than December 30, 2023. 
(c) NOTICE TO CONGRESS.—Not later than 30 days 
before the date on which the transition period terminates, 
the Secretary of Defense shall submit to the congressional 
defense committees a certification that identifies the date 
on which transition period will terminate. 
(d) DEFINITIONS.—In this section: 
(1) The term ‘‘covered military personnel’’ 
means commissioned officers and enlisted members 
of the space elements of the Air Force who are as-
signed to such elements as of the date on which such 
officers and members are transferred under sub-
section (a)(1). 
(2) The term ‘‘transition period’’ means a pe-
riod prescribed by the Secretary of Defense that— 
(A) begins on January 1, 2021; and 
(B) ends not later than December 30, 
2023. 
SEC. 923. REPORTS ON SPACE CORPS. 
(a) REPORT ON STRUCTURE OF SPACE CORPS.— 
(1) IN
GENERAL.—The Secretary of Defense 
shall submit to the congressional defense committees 
a report that includes a detailed plan for the organi-
zational structure of the Space Corps. 
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(2) ELEMENTS.—The report required under 
paragraph (1) shall include— 
(A) a detailed description of the structure 
and organizational elements required for the 
Space Corps to perform its mission; 
(B) a detailed description of the organiza-
tion and staff required to support the Com-
mandant of the Space Corps; 
(C) a detailed explanation of how establish-
ment of the Space Corps is expected to affect 
the composition and function of the space ele-
ments of the Armed Forces; 
(D) a description of how the Space Corps 
will be organized, trained, and equipped; 
(E) a description of how the Space Corps 
will exercise acquisition authorities; 
(F) a description of how the Space Corps 
will coordinate with the United States Space 
Command, the Space Development Agency, and 
other space elements of the Armed Forces; and 
(G) any other matters determined to be 
appropriate by the Secretary. 
(b) REPORT ON MILITARY PERSONNEL.— 
(1) IN
GENERAL.—The Secretary of Defense 
shall submit to the congressional defense committees 
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a report on the military personnel requirements of 
the Space Corps. 
(2) ELEMENTS.—The report required under 
paragraph (1) shall include— 
(A) a detailed plan setting forth— 
(i) the proposed military personnel 
composition and structure of the Space 
Corps; and 
(ii) plans for the transfer or reassign-
ment of military personnel from the space 
elements of the Armed Forces to the Space 
Corps; 
(B) the number of officer and enlisted per-
sonnel to be transferred or reassigned to the 
Space Corps by functional area; 
(C) a detailed description of the billet re-
quirements for the Space Corps, including the 
staff organizational and rank structure; and 
(D) the number of additional officer and 
enlisted billets that will be required for the 
Space Corps and a description of such billets. 
(c) REPORT ON CIVILIAN PERSONNEL.— 
(1) IN
GENERAL.—The Secretary of Defense 
shall submit to the congressional defense committees 
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a report on the civilian personnel requirements of 
the Space Corps. 
(2) ELEMENTS.—The report required under 
paragraph (1) shall include— 
(A) an assessment of the projected size of 
the civilian workforce of the Space Corps in fis-
cal year 2021 and in each fiscal year covered by 
the most recent future-years defense program 
submitted to Congress under section 221 of 
title 10, United States Code; 
(B) a detailed explanation of any projected 
changes to the size of the civilian workforce of 
the Space Corps from year-to-year; and 
(C) a detailed plan for the transfer of civil-
ian personnel from the space elements of the 
Armed Forces to the Space Corps. 
(d) REPORT ON TRANSFER OF FUNCTIONS AND AS-
SETS.— 
(1) IN
GENERAL.—The Secretary of Defense 
shall submit to the congressional defense committees 
a report that includes a detailed plan for the trans-
fer of the functions, assets, and obligations of the 
space elements of the Armed Forces (including any 
property, records, installations, activities, facilities, 
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agencies, and projects of such elements) to the 
Space Corps in accordance with section 922. 
(2) ELEMENTS.—The report required under 
paragraph (1) shall include— 
(A) a detailed list of the functions and as-
sets to be transferred; 
(B) a justification for each transfer pro-
posed to be made under subparagraph (A); 
(C) the location and value of each item 
proposed to be transferred under subparagraph 
(A); and 
(D) the date on which each item is ex-
pected to be transferred. 
(e) REPORT ON FUNDING REQUIREMENTS.— 
(1) IN
GENERAL.—The Secretary of Defense 
shall submit to the congressional defense committees 
a report on the funding requirements for the Space 
Corps. 
(2) ELEMENTS.—The report required under 
paragraph (1) shall include a detailed estimate of 
the funding that will be required to establish the 
Space Corps and to conduct the activities and oper-
ations of the Corps, including estimated expendi-
tures and proposed appropriations for each of fiscal 
years 2021 through 2025 as follows: 
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(A) With respect to procurement ac-
counts— 
(i) amounts displayed by account, 
budget activity, line number, line item, and 
line item title; and 
(ii) a description of the requirements 
for each such amount specific to the Space 
Corps. 
(B) With respect to research, development, 
test, and evaluation accounts— 
(i) amounts displayed by account, 
budget activity, line number, program ele-
ment, and program element title; and 
(ii) a description of the requirements 
for each such amount specific to the Space 
Corps. 
(C) With respect to operation and mainte-
nance accounts— 
(i) amounts displayed by account title, 
budget activity title, line number, and sub- 
activity group title; and 
(ii) a description of how such amounts 
will specifically be used. 
(D) With respect to military personnel ac-
counts— 
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(i) amounts displayed by account, 
budget activity, budget sub-activity, and 
budget sub-activity title; and 
(ii) a description of the requirements 
for each such amount specific to the Space 
Corps. 
(E) With respect to each project under 
military construction accounts (including with 
respect to unspecified minor military construc-
tion and amounts for planning and design), the 
country, location, project title, and project 
amount by fiscal year. 
(F) With respect to any expenditures and 
proposed appropriations not included the mate-
rials 
submitted 
under 
subparagraphs 
(A) 
through (E), an explanation with a level of de-
tail equivalent to or greater than the level of de-
tail provided in the future-years defense pro-
gram submitted to Congress under section 221 
of title 10, United States Code. 
(3) FORM OF REPORT.—The report required by 
paragraph (1) shall be submitted in unclassified 
form, but may include a classified annex. 
(f) DEADLINE FOR SUBMITTAL.—Each of the reports 
required under subsections (a) through (e) shall be sub-
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mitted to the congressional defense committees not later 
than February 1, 2020. 
SEC. 924. SPACE NATIONAL GUARD. 
The Secretary of Defense may not transfer any per-
sonnel or resources from any reserve components, includ-
ing the National Guard, to the Space Corps established 
by section 921 until the date on which a Space National 
Guard of the United States has been established by law. 
SEC. 925. EFFECTS ON MILITARY INSTALLATIONS. 
Nothing in this part, or the amendments made by 
this part, shall be construed to authorize or require the 
relocation of any facility, infrastructure, or military instal-
lation of the Air Force. 
PART 2—OTHER SPACE MATTERS 
SEC. 931. UNITED STATES SPACE COMMAND. 
(a) RESTORATION OF GENERAL AUTHORITY FOR ES-
TABLISHMENT OF UNIFIED COMMAND.— 
(1) IN
GENERAL.—Section 169 of title 10, 
United States Code, is repealed. 
(2) CLERICAL AMENDMENT.—The table of sec-
tions at the beginning of chapter 6 of title 10, 
United States Code, is amended by striking the item 
relating to section 169. 
(b) 
CONFORMING
AMENDMENT.—Section 
2273a(d)(3) of title 10, United States Code, is amended 
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by striking ‘‘The Commander of the United States Stra-
tegic Command, acting through the United States Space 
Command,’’ and inserting ‘‘The Commander of the United 
States Space Command, or, if no such command exists, 
the Commander of the United States Strategic Com-
mand,’’. 
TITLE X—GENERAL PROVISIONS 
Subtitle A—Financial Matters 
SEC. 1001. GENERAL TRANSFER AUTHORITY. 
(a) AUTHORITY TO TRANSFER AUTHORIZATIONS.— 
(1) AUTHORITY.—Upon determination by the 
Secretary of Defense that such action is necessary in 
the national interest, the Secretary may transfer 
amounts of authorizations made available to the De-
partment of Defense in this division for fiscal year 
2019 between any such authorizations for that fiscal 
year (or any subdivisions thereof). Amounts of au-
thorizations so transferred shall be merged with and 
be available for the same purposes as the authoriza-
tion to which transferred. 
(2) LIMITATION.—Except as provided in para-
graph (3), the total amount of authorizations that 
the Secretary may transfer under the authority of 
this section may not exceed $1,000,000,000. 
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(3) EXCEPTION
FOR
TRANSFERS
BETWEEN 
MILITARY PERSONNEL AUTHORIZATIONS.—A trans-
fer of funds between military personnel authoriza-
tions under title IV shall not be counted toward the 
dollar limitation in paragraph (2). 
(b) LIMITATIONS.—The authority provided by sub-
section (a) to transfer authorizations— 
(1) may only be used to provide authority for 
items that have a higher priority than the items 
from which authority is transferred; and 
(2) may not be used to provide authority for an 
item that has been denied authorization by Con-
gress. 
(c) ADDITIONAL LIMITATION ON TRANSFERS FOR 
DRUG INTERDICTION AND COUNTER DRUG ACTIVITIES.— 
The authority provided by subsection (a) may not be used 
to transfer any amount to Drug Interdiction and Counter 
Drug Activities, Defense-wide. 
(d) EFFECT
ON
AUTHORIZATION
AMOUNTS.—A 
transfer made from one account to another under the au-
thority of this section shall be deemed to increase the 
amount authorized for the account to which the amount 
is transferred by an amount equal to the amount trans-
ferred. 
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(e) NOTICE
TO CONGRESS.—The Secretary shall 
promptly notify Congress of each transfer made under 
subsection (a). 
(f) CERTIFICATION REQUIREMENT.—The authority 
to transfer any authorization under this section may not 
be used until the Secretary of Defense and the head of 
each entity affected by such transfer submits to the con-
gressional defense committees certification in writing 
that— 
(1) the amount transferred will be used for 
higher priority items, based on unforeseen military 
requirements, than the items from which authority is 
transferred; and 
(2) the amount transferred will not be used for 
any item for which funds have been denied author-
ization by Congress. 
SEC. 1002. ADDITIONAL REQUIREMENTS FOR ANNUAL RE-
PORT AND BRIEFING ON FINANCIAL IM-
PROVEMENT 
AND 
AUDIT 
REMEDIATION 
PLAN. 
Section 240b(b) of title 10, United States Code, is 
amended— 
(1) in paragraph (1)(B)(iv), by adding at the 
end the following new subclause: 
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‘‘(IV) A current accounting of 
the defense business systems of the 
Department of Defense that will be 
introduced, replaced, updated, modi-
fied, or retired in connection with the 
audit of the full financial statements 
of the Department, including a com-
prehensive roadmap that displays— 
‘‘(aa) in-service, retirement, 
and other pertinent dates for af-
fected defense business systems; 
‘‘(bb) current cost-to-com-
plete estimates for each affected 
system; and 
‘‘(cc) dependencies both be-
tween the various defense busi-
ness systems and between the in-
troduction, replacement, update, 
modification, and retirement of 
such systems.’’; 
(2) in paragraph (2), by adding at the end the 
following new sentence: ‘‘Such briefing shall also in-
clude a description of any updates to the defense 
business systems roadmap referred to in paragraph 
(1)(B)(iv)(IV).’’; and 
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(3) by amending paragraph (3) to read as fol-
lows: 
‘‘(3) DEFINITIONS.—In this subsection: 
‘‘(A) The term ‘critical capabilities’ means 
the critical capabilities described in the Depart-
ment of Defense report titled ‘Financial Im-
provement and Audit Readiness (FIAR) Plan 
Status Report’ and dated May 2016. 
‘‘(B) The term ‘defense business system’ 
has the meaning given such term in section 
2222(i)(1)(A) of this title.’’. 
SEC. 1003. FINANCIAL IMPROVEMENT AND AUDIT REMEDI-
ATION PLAN. 
(a) ELEMENTS
OF ANNUAL REPORT.—Subsection 
(b)(1)(B) of section 240b of title 10, United States Code, 
is amended— 
(1) in clause (vii)— 
(A) by striking ‘‘or if less than 50 percent 
of the audit remediation services’’; and 
(B) by striking ‘‘and audit remediation ac-
tivities’’; and 
(2) in clause (viii), by striking ‘‘or if less than 
25 percent of the audit remediation services’’. 
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(b) SEMIANNUAL BRIEFINGS.—Subsection (b)(2) of 
such section is amended by striking ‘‘or audit remedi-
ation’’. 
(c) AUDIT REMEDIATION SERVICES.—Subsection (b) 
of such section is further amended— 
(1) in paragraph (1)(B), by adding at the end 
the following new clauses: 
‘‘(ix) If less than 50 percent of the 
audit remediation services under contract, 
as described in the briefing required under 
paragraph (2)(B), are being performed by 
individual professionals meeting the quali-
fications described in suhsection (c), a de-
tailed description of the risks associated 
with the risks of the acquisition strategy of 
the Department with respect to conducting 
audit remediation activities and an expla-
nation of how the strategy complies with 
the policies expressed by Congress. 
‘‘(x) If less than 25 percent of the 
audit remediation services under contract, 
as described in the briefing required under 
paragraph (2)(B), are being performed by 
individual professionals meeting the quali-
fications described in subsection (c), a 
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written certification that the staffing ratio 
complies with commercial best practices 
and presents no increased risk of delay in 
the Department’s ability to achieve a clean 
audit opinion.’’; and 
(2) in paragraph (2)— 
(A) by striking ‘‘Not later’’ and inserting 
‘‘(A) Not later’’; and 
(B) by adding at the end the following new 
subparagraph: 
‘‘(B) Not later than January 31 and June 30 
each year, the Under Secretary of Defense (Comp-
troller) and the comptrollers of the military depart-
ments shall provide a briefing to the congressional 
defense committees on the status of the corrective 
action plan. Such briefing shall include both the ab-
solute number and percentage of personnel per-
forming the amount of audit remediation services 
being performed by professionals meeting the quali-
fications described in subsection (c).’’. 
(d) SELECTION
OF AUDIT REMEDIATION SERV-
ICES.—Such section is further amended by adding at the 
end the following new subsection: 
‘‘(c) SELECTION
OF AUDIT REMEDIATION SERV-
ICES.—The selection of audit remediation service pro-
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viders shall be based, among other appropriate criteria, 
on qualifications, relevant experience, and capacity to de-
velop and implement corrective action plans to address in-
ternal control and compliance deficiencies identified dur-
ing a financial statement or program audit.’’. 
SEC. 1004. REPORTING REQUIREMENTS RELATING TO DE-
PARTMENT OF DEFENSE AUDITS. 
(a) ANNUAL REPORT.— 
(1) IN
GENERAL.—Chapter 9A of title 10, 
United States Code, is amended by adding at the 
end the following new section: 
‘‘§ 240g. Annual report on auditable financial state-
ments 
‘‘(a) IN GENERAL.—Not later than January 30 of 
each year, the Secretary of Defense shall submit to the 
congressional defense committees a report ranking each 
of the military departments and Defense Agencies in order 
of how advanced they are in achieving auditable financial 
statements as required by law. In preparing the report, 
the Secretary shall seek to exclude information that is oth-
erwise available in other reports to Congress. 
‘‘(b) BOTTOM QUARTILE.—Not later than June 30 
of each year, the head of each of the military departments 
and Defense Agencies that were ranked in the bottom 
quartile of the report submitted under subsection (a) for 
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that year shall submit to the congressional defense com-
mittees a report that includes the following information 
for that military department or Defense Agency: 
‘‘(1) A description of the material weaknesses 
of the military department or Defense Agency. 
‘‘(2) The underlying causes of such weaknesses. 
‘‘(3) A plan for remediating such weaknesses.’’. 
(2) CLERICAL AMENDMENT.—The table of sec-
tions at the beginning of such chapter is amended 
by adding at the end the following new item: 
‘‘240g. Annual report on auditable financial statements.’’. 
(b) LIMITATION
ON
USE
OF
FUNDS.—Of the 
amounts authorized to be appropriated or otherwise made 
available by this Act for travel of persons for the head 
of a military department or Defense Agency described in 
subsection (b) of section 240g of title 10, United States 
Code, as added by subsection (a), for fiscal year 2020, 
not more than 80 percent may be obligated or expended 
before the submittal of the report required under that sub-
section for that military department or Defense Agency. 
(c) PLAN FOR ACHIEVING UNMODIFIED AUDIT OPIN-
ION ON CONSOLIDATED AUDIT.— 
(1) REPORT
REQUIRED.—Not later than 90 
days after the date of the enactment of this Act, the 
Secretary of Defense shall submit to the congres-
sional defense committees a report containing the 
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plan of the Secretary for achieving an unmodified 
audit opinion of the Department of Defense-wide 
consolidated audit by not later than five years after 
the date of the enactment of this Act. 
(2) LIMITATION ON USE OF FUNDS.—Of the 
amounts authorized to be appropriated or otherwise 
made available by this Act for Operation and Main-
tenance, Defense-Wide, Office of the Secretary of 
Defense, for Travel of Persons for fiscal year 2020, 
not more than 70 percent may be obligated or ex-
pended before the date on which the Secretary sub-
mits the report required under paragraph (1). 
SEC. 1005. ANNUAL BUDGET JUSTIFICATION DISPLAY FOR 
SERVICE-COMMON 
AND 
OTHER 
SUPPORT 
AND ENABLING CAPABILITIES FOR SPECIAL 
OPERATIONS FORCES. 
(a) IN GENERAL.—Chapter 9 of title 10, United 
States Code, is amended by inserting after section 225 the 
following new section: 
‘‘§ 226. Special operations forces: display of service- 
common and other support and enabling 
capabilities 
‘‘(a) IN GENERAL.—The Secretary shall include, in 
the budget materials submitted to Congress under section 
1105 of title 31 for fiscal year 2021 and any subsequent 
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fiscal year, a consolidated budget justification display 
showing service-common and other support and enabling 
capabilities for special operations forces requested by a 
military service or Defense Agency. Such budget justifica-
tion display shall include any amount for service-common 
or other capability development and acquisition, training, 
operations, pay, base operations sustainment, and other 
common services and support. 
‘‘(b) SERVICE-COMMON AND OTHER SUPPORT AND 
ENABLING CAPABILITIES.—In this section, the term ‘serv-
ice-common and other support and enabling capabilities’ 
means capabilities provided in support of special oper-
ations that are not reflected in Major Force Program–11 
or designated as special operations forces-peculiar.’’. 
(b) CLERICAL AMENDMENT.—The table of sections 
at the beginning of such chapter is amended by inserting 
after the item relating to section 225 the following new 
item: 
‘‘226. Special operations forces: display of service-common programs and activi-
ties.’’. 
SEC. 1006. DETERMINATION OF BUDGETARY EFFECTS. 
The budgetary effects of this Act, for the purpose of 
complying with the Statutory Pay-As-You-Go Act of 2010, 
shall be determined by reference to the latest statement 
titled ‘‘Budgetary Effects of PAYGO Legislation’’ for this 
Act, submitted for printing in the Congressional Record 
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by the Chairman of the House Budget Committee, pro-
vided that such statement has been submitted prior to the 
vote on passage. 
SEC. 1007. INDEPENDENT PUBLIC ACCOUNTANT AUDIT OF 
FINANCIAL SYSTEMS OF THE DEPARTMENT 
OF DEFENSE. 
The Secretary of Defense shall ensure that each 
major implementation of, or modification to, a financial 
system of the Department of Defense is reviewed by an 
independent public accountant to validate that such finan-
cial system will meet any applicable Federal requirements. 
SEC. 1008. TRANSPARENCY OF ACCOUNTING FIRMS USED 
TO SUPPORT DEPARTMENT OF DEFENSE 
AUDIT. 
Section 1006 of the John S. McCain National De-
fense Authorization Act for Fiscal Year 2019 (Public Law 
115–232) is amended— 
(1) by striking ‘‘For all contract actions’’ and 
inserting ‘‘(a) IN GENERAL.—For all contract ac-
tions’’; 
(2) by inserting ‘‘fully adjudicated’’ before ‘‘dis-
ciplinary proceedings’’; and 
(3) by adding at the end the following new sub-
sections: 
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