H. R. 6395—832 
(ii) by inserting ‘‘HEAD OF THE AGENCY.—’’ before ‘‘The 
term’’ in paragraph (4), as so redesignated; and 
(iii) by inserting ‘‘AGENCY.—’’ before ‘‘The term’’ in 
paragraph (5), as so redesignated. 
(4) Subparagraph (B) of paragraph (1) of such section 
2324(l) is transferred to section 3742 of such title, as added 
by subsection (a), inserted after the section heading, and 
amended— 
(A) by realigning the text 2 ems to the left; 
(B) by striking the subparagraph designation; and 
(C) by striking ‘‘subparagraph (A)’’ and inserting ‘‘sec-
tion 3741(2) of this title’’. 
(c) TRANSFER OF SUBSECTIONS (A)-(D) OF SECTION 2324.— 
(1) TRANSFER.—Subsections (a), (b), (c), and (d) of section 
2324 of title 10, United States Code, are transferred to section 
3743 of such title, as added by subsection (a), and inserted 
after the section heading. 
(2) AMENDMENTS TO NEW 3743(B).—Such subsection (b) is 
amended— 
(A) by striking ‘‘PRINCIPLE.—(1) If the’’ and inserting 
‘‘PRINCIPLE.— 
‘‘(1) If the’’; and 
(B) by realigning paragraph (2) 2 ems to the right 
and inserting ‘‘COST
DETERMINED
TO
BE
UNALLOWABLE 
BEFORE PROPOSAL SUBMITTED.—’’ before ‘‘If the’’. 
(d) TRANSFER OF SUBSECTION (E) OF SECTION 2324.— 
(1) TRANSFER.—Subsection (e) of section 2324 of title 10, 
United States Code, is transferred to section 3744 of such 
title, as added by subsection (a), inserted after the section 
heading, and amended— 
(A) by striking the subsection designation and sub-
section heading; 
(B) by redesignating paragraphs (1), (2), (3), and (4) 
as subsections (a), (d), (b), and (c), respectively; and 
(C) by transferring subsection (d), as so redesignated, 
to the end of such section, after subsection (c), as so redesig-
nated. 
(2) AMENDMENTS TO NEW 3744(A).—Subsection (a) of such 
section, as so redesignated, is amended— 
(A) by inserting ‘‘SPECIFIC COSTS.—’’ before ‘‘The fol-
lowing costs’’; 
(B) by redesignating subparagraphs (A) through (Q) 
as paragraphs (1) through (17), respectively (including 
redesignating both subparagraphs (P) as paragraph (16)); 
(C) in paragraph (15), as so redesignated, by striking 
‘‘subsection (k)’’ and inserting ‘‘section 3750 of this title’’; 
and 
(D) in paragraph (17), as so redesignated, by striking 
‘‘subsection (k)(2)’’ and inserting ‘‘section 3750(c) of this 
title’’. 
(3) AMENDMENTS TO NEW 3744(B).—Subsection (b) of such 
section, as so redesignated, is amended— 
(A) by striking ‘‘(A) Pursuant to’’ and inserting ‘‘WAIVER 
OF
SEVERANCE
PAY
RESTRICTIONS
FOR
FOREIGN 
NATIONALS.— 
‘‘(1) HEAD OF AN AGENCY DETERMINATION.—Pursuant to’’;
H. R. 6395—833 
(B) by redesignating subparagraphs (B) and (C) as 
paragraphs (2) and (3), respectively; 
(C) in paragraph (1), as designated by subparagraph 
(A)— 
(i) by striking ‘‘paragraph (2)’’ and inserting ‘‘sub-
section (d)’’; 
(ii) by striking ‘‘paragraphs (1)(M) and (1)(N)’’ and 
inserting ‘‘subsections (a)(13) and (a)(14)’’; and 
(iii) by redesignating clauses (i), (ii), and (iii) as 
subparagraphs (A), (B), and (C), respectively; 
(D) in paragraph (2), as so redesignated by subpara-
graph (B)— 
(i) by realigning that paragraph 2 ems to the right; 
(ii) by inserting ‘‘SOLICITATION TO INCLUDE STATE-
MENT ABOUT WAIVER.—’’ before ‘‘The head of’’; 
(iii) by redesignating clauses (i) and (ii) as subpara-
graphs (A) and (B), respectively; and 
(iv) in subparagraph (A), as so redesignated, by 
striking ‘‘subparagraph (A)’’ and inserting ‘‘paragraph 
(1)’’; and 
(E) in paragraph (3), as so redesignated by subpara-
graph (B)— 
(i) by realigning that paragraph 2 ems to the right; 
(ii) by inserting ‘‘DETERMINATION
TO
BE
MADE 
BEFORE CONTRACT AWARDED.—’’ before ‘‘The head of’’; 
and 
(iii) by striking ‘‘subparagraph (A)’’ and inserting 
‘‘paragraph (1)’’. 
(4) AMENDMENTS TO NEW 3744(C).—Subsection (c) of such 
section, as so redesignated, is amended— 
(A) by inserting ‘‘ESTABLISHMENT
OF DEFINITIONS, 
EXCLUSIONS, LIMITATIONS, AND QUALIFICATIONS.—’’ before 
‘‘The provisions of’’; and 
(B) by striking ‘‘this section’’ and inserting ‘‘this sub-
chapter’’. 
(5) AMENDMENTS TO NEW 3744(D).—Subsection (d) of such 
section, as so redesignated and transferred, is amended— 
(A) by striking ‘‘(A) The Secretary’’ and inserting ‘‘SPE-
CIFIC
COSTS
UNDER
MILITARY
BANKING
CONTRACTS 
RELATING TO FOREIGN NATIONALS.— 
‘‘(1) AUTHORITY.—The Secretary’’; 
(B) by redesignating subparagraphs (B) and (C) as 
paragraphs (2) and (3), respectively, and realigning those 
paragraph 2 ems to the right; 
(C) in paragraph (1), as designated by subparagraph 
(A), by striking ‘‘paragraphs (1)(M) and (1)(N)’’ and 
inserting ‘‘subsections (a)(13) and (a)(14)’’; 
(D) in paragraph (2), as so redesignated by subpara-
graph (B)— 
(i) by inserting ‘‘DEFINITIONS.—’’ before ‘‘In’’; 
(ii) by striking ‘‘subparagraph (A)’’ and inserting 
‘‘paragraph (1)’’; 
(iii) by redesignating clauses (i) and (ii) as subpara-
graphs (A) and (B), respectively; 
(iv) in subparagraph (A), as so redesignated, by 
inserting ‘‘MILITARY BANKING CONTRACT.—’’ before ‘‘The 
term’’; and
H. R. 6395—834 
(v) in subparagraph (B), as so redesignated, by 
inserting ‘‘MANDATED
FOREIGN
NATIONAL
SEVERANCE 
PAY.—’’ before ‘‘The term’’; and 
(E) in paragraph (3), as so redesignated by subpara-
graph (B)— 
(i) by inserting ‘‘EXCEPTION FOR FOREIGN-OWNED 
FINANCIAL INSTITUTIONS.—’’ after the paragraph des-
ignation; and 
(ii) by striking ‘‘Subparagraph (A)’’ and inserting 
‘‘Paragraph (1)’’. 
(e) TRANSFER OF SUBSECTION (F) OF SECTION 2324.— 
(1) TRANSFER.—Subsection (f) of section 2324 of title 10, 
United States Code, is transferred to section 3745 of such 
title, as added by subsection (a), inserted after the section 
heading, and amended— 
(A) by striking the subsection designation and sub-
section heading; 
(B) by redesignating paragraph (1) as subsection (a); 
(C) by designating the third sentence of such subsection 
as subsection (b); 
(D) by redesignating paragraph (2) as subsection (c); 
and 
(E) by redesignating paragraphs (3) and (4) as para-
graphs (2) and (3), respectively, and realigning those para-
graphs 2 ems to the right. 
(2) AMENDMENT TO NEW 3745(A).—Subsection (a) of such 
section, as so redesignated, is amended by inserting ‘‘IN GEN-
ERAL.—’’ before ‘‘The Federal’’. 
(3) AMENDMENTS TO NEW 3745(B).—Subsection (b) of such 
section, as so designated by paragraph (1)(C), is amended— 
(A) by inserting ‘‘SPECIFIC ITEMS.—’’ before ‘‘The regu-
lations’’; and 
(B) by redesignating subparagraphs (A) through (Q) 
as paragraphs (1) through (17), respectively. 
(4) AMENDMENTS TO NEW 3745(C).—Subsection (c) of such 
section, as so redesignated by paragraph (1)(D), is amended— 
(A) by striking ‘‘The Federal’’ and inserting ‘‘ADDI-
TIONAL REQUIREMENTS.— 
‘‘(1) WHEN QUESTIONED COSTS MAY BE RESOLVED.—The Fed-
eral’’; 
(B) in paragraph (2), as so redesignated by paragraph 
(1)(E), by inserting ‘‘PRESENCE OF CONTRACT AUDITOR.— 
’’ before ‘‘The Federal’’; and 
(C) in paragraph (3), as so redesignated by paragraph 
(1)(E), by inserting ‘‘SETTLEMENT TO REFLECT AMOUNT OF 
INDIVIDUAL
QUESTIONED
COSTS.—’’ before ‘‘The Federal’’. 
(e) TRANSFER OF SUBSECTION (G) OF SECTION 2324.—Subsection 
(g) of section 2324 of title 10, United States Code, is transferred 
to section 3746 of such title, as added by subsection (a), inserted 
after the section heading, and amended— 
(1) by striking the subsection designation and subsection 
heading; and 
(2) by striking ‘‘subsections (e) and (f)(1)’’ and inserting 
‘‘sections 3744 and 3745(a) and (b) of this title’’. 
(f) TRANSFER OF SUBSECTION (H) OF SECTION 2324.— 
(1) TRANSFER.—Subsection (h) of section 2324 of title 10, 
United States Code, is transferred to section 3747 of such
H. R. 6395—835 
title, as added by subsection (a), inserted after the section 
heading, and amended— 
(A) by striking the subsection designation and sub-
section heading; and 
(B) by redesignating paragraphs (1) and (2) as sub-
sections (a) and (b), respectively. 
(2) AMENDMENT TO NEW 3747(A).—Subsection (a) of such 
section, as so redesignated, is amended by inserting ‘‘CONTENT 
AND FORM.—’’ before ‘‘A proposal’’. 
(3) AMENDMENTS TO NEW 3747(B).—Subsection (b) of such 
section, as so redesignated, is amended— 
(A) by inserting ‘‘WAIVER.—’’ before ‘‘The head’’; 
(B) by striking ‘‘paragraph (1)’’ and inserting ‘‘sub-
section (a)’’; and 
(C) by redesignating subparagraphs (A) and (B) as 
paragraphs (1) and (2), respectively. 
(g) TRANSFER OF SUBSECTION (I) OF SECTION 2324.—Subsection 
(i) of section 2324 of title 10, United States Code, is transferred 
to section 3748 of such title, as added by subsection (a), inserted 
after the section heading, and amended by striking the subsection 
designation and subsection heading. 
(h) TRANSFER OF SUBSECTION (J) OF SECTION 2324.—Subsection 
(j) of section 2324 of title 10, United States Code, is transferred 
to section 3749 of such title, as added by subsection (a), inserted 
after the section heading, and amended by striking the subsection 
designation and subsection heading. 
(i) TRANSFER OF SUBSECTION (K) OF SECTION 2324.— 
(1) TRANSFER OF PARAGRAPH (6) OF 2324(K).— 
(A) TRANSFER.—Paragraph (6) of Subsection (k) of sec-
tion 2324 of title 10, United States Code, is transferred 
to section 3750 of such title, as added by subsection (a), 
inserted after the section heading, redesignated as sub-
section (a), and amended by striking ‘‘In this subsection’’ 
and inserting ‘‘DEFINITIONS.—In this section’’. 
(B) REDESIGNATION
OF
SUBPARAGRAPHS.—Such sub-
section (a), as so transferred and redesignated, is further 
amended by redesignating subparagraphs (A), (B), and (C) 
as paragraphs (3), (1), and (2), respectively, and transfer-
ring paragraph (3), as so redesignated to the end of such 
subsection so as to appear after paragraph (2), as so 
redesignated. 
(C) AMENDMENTS TO NEW 3750(A)(1).—Paragraph (1) of 
such subsection, as so redesignated, is amended— 
(i) by inserting ‘‘COSTS.—’’ before ‘‘The term’’; 
(ii) by redesignating clauses (i) and (ii) as subpara-
graphs (A) and (B), respectively; and 
(iii) in subparagraph (B), as so redesignated, by 
redesignating subclauses (I), (II), (III), and (IV) as 
clauses (i), (ii), (iii), and (iv), respectively. 
(D) AMENDMENT TO NEW 3750(A)(2).—Paragraph (2) of 
such subsection, as so redesignated, is amended by 
inserting ‘‘PENALTY.—’’ before ‘‘The term’’. 
(E) AMENDMENT TO NEW 3750(A)(3).—Paragraph (3) of 
such subsection, as so redesignated and transferred, is 
amended by inserting ‘‘PROCEEDINGS.—’’ before ‘‘The term’’. 
(2) TRANSFER OF PARAGRAPHS (1)-(5) OF 2324(K).—Subsection 
(k) of section 2324 of title 10, United States Code (other than
H. R. 6395—836 
the portion transferred by paragraph (1)), is transferred to 
section 3750 of such title, as added by subsection (a), inserted 
after subsection (a), as transferred and redesignated by para-
graph (1), and amended by striking the subsection designation 
and heading and by redesignating paragraphs (1), (2), (3), (4), 
and (5) as subsections (b), (c), (d), (e), and (f), respectively. 
(3) AMENDMENTS TO NEW 3750(B).—Subsection (b) of such 
section, as so transferred and redesignated, is amended— 
(A) by inserting ‘‘IN GENERAL.—’’ before ‘‘Except as’’; 
(B) by striking ‘‘this subsection’’ and inserting ‘‘this 
section’’; 
(C) by striking ‘‘section 2409’’ and inserting ‘‘section 
4701’’; 
(D) by striking ‘‘if the proceeding (A) relates to’’ and 
inserting ‘‘if the proceeding— 
‘‘(1) relates to’’; 
(E) by striking ‘‘in subparagraphs (A) through (C) of 
section 2409(a)(1)’’ and inserting ‘‘in section 4701(a)(1)’’; 
(F) by striking ‘‘this title, and (B) results in’’ and 
inserting ‘‘this title; and 
‘‘(2) results in’’; and 
(G) by striking ‘‘paragraph (2)’’ and inserting ‘‘sub-
section (c)’’. 
(4) AMENDMENTS TO NEW 3750(C).—Subsection (c) of such 
section, as so transferred and redesignated, is amended— 
(A) by inserting ‘‘COVERED DISPOSITIONS.—’’ before ‘‘A 
disposition’’; 
(B) by striking ‘‘paragraph (1)(B)’’ and inserting ‘‘sub-
section (b)(2)’’; 
(C) by striking ‘‘paragraph (1)’’ each place it appears 
and inserting ‘‘subsection (b)’’; 
(D) by redesignating subparagraphs (A), (B), (C), (D), 
and (E) as paragraphs (1), (2), (3), (4), and (5), respectively; 
(E) in paragraph (3), as so redesignated, by striking 
‘‘section 2409’’ and inserting ‘‘section 4701’’; 
(F) in paragraph (4), as so redesignated, by redesig-
nating clauses (i), (ii), and (iii) as subparagraphs (A), (B), 
and (C), respectively; and 
(G) in paragraph (5), as so redesignated, by striking 
‘‘subparagraph (A), (B), (C), or (D)’’ and inserting ‘‘para-
graphs (1), (2), (3), or (4)’’. 
(5) AMENDMENTS TO NEW 3750(D).—Subsection (d) of such 
section, as so transferred and redesignated, is amended— 
(A) by inserting ‘‘COSTS ALLOWED
BY SETTLEMENT 
AGREEMENT
IN
PROCEEDING
COMMENCED
BY
UNITED 
STATES.—’’ before ‘‘In the case of’’; 
(B) by striking ‘‘paragraph (1)’’ and inserting ‘‘sub-
section (b)’’; and 
(C) by striking ‘‘such paragraph’’ and inserting ‘‘such 
subsection’’. 
(6) AMENDMENTS TO NEW 3750(E).—Subsection (e) of such 
section, as so transferred and redesignated, is amended— 
(A) By inserting ‘‘COSTS SPECIFICALLY AUTHORIZED IN 
PROCEEDING COMMENCED BY STATE.—’’ before ‘‘In the case 
of’’; 
(B) by striking ‘‘paragraph (1)’’ and inserting ‘‘sub-
section (b)’’; and
H. R. 6395—837 
(C) by striking ‘‘(A)’’ and ‘‘(B)’’ and inserting ‘‘(1)’’ and 
‘‘(2)’’, respectively. 
(7) AMENDMENTS TO NEW 3750(F).—Subsection (f) of such 
section, as so transferred and redesignated, is amended— 
(A) by striking ‘‘(A) Except as provided in’’ and 
inserting ‘‘OTHER ALLOWABLE COSTS.— 
‘‘(1) IN GENERAL.—Except as provided in’’; 
(B) by redesignating subparagraphs (B) and (C) as 
paragraphs (2) and (3), respectively, and realigning those 
paragraphs 2 ems to the right; 
(C) in paragraph (1), as designated by subparagraph 
(A)— 
(i) by striking ‘‘subparagraph (C)’’ and inserting 
‘‘paragraph (3)’’; 
(ii) by striking ‘‘paragraph (1)’’ and inserting ‘‘sub-
section (b)’’; and 
(iii) by striking ‘‘subparagraph (B)’’ and inserting 
‘‘paragraph (2)’’; 
(D) in paragraph (2), as redesignated by subparagraph 
(B)— 
(i) by striking ‘‘(i) The amount of’’ and inserting 
‘‘AMOUNT OF ALLOWABLE COSTS.— 
‘‘(A) MAXIMUM
AMOUNT
ALLOWED.—The amount of’’; 
(ii) by redesignating clause (ii) as subparagraph 
(B); 
(iii) in subparagraph (A), as designated by clause 
(i), by striking ‘‘subparagraph (A)’’ and inserting ‘‘para-
graph (1)’’; and 
(iv) in subparagraph (B), as redesignated by clause 
(ii)— 
(I) by inserting ‘‘CONTENT OF REGULATIONS.— 
’’ before ‘‘Regulations issued’’; 
(II) by striking ‘‘clause (i)’’ and inserting 
‘‘subparagraph (A)’’; 
(III) by striking ‘‘consideration of the com-
plexity of’’ and inserting ‘‘consideration of— 
‘‘(i) the complexity of’’; 
(IV) by striking ‘‘procurement litigation, gen-
erally accepted’’ and inserting ‘‘procurement litiga-
tion; 
‘‘(ii) generally accepted’’; and 
(E) by striking ‘‘as a party and such other’’ and 
inserting ‘‘as a party; and 
‘‘(iii) such other’’; and 
(F) in paragraph (3), as redesignated by subparagraph 
(B)— 
(i) by inserting ‘‘WHEN
OTHERWISE
ALLOWABLE 
COSTS ARE NOT ALLOWABLE.—’’ before ‘‘In the case of’’; 
(ii) by striking ‘‘subparagraph (A)’’ and inserting 
‘‘paragraph (1)’’; 
(iii) by striking ‘‘under this paragraph’’ and 
inserting ‘‘under this subsection’’; 
(iv) by striking ‘‘not allowable if (i) such pro-
ceeding’’ and inserting ‘‘not allowable if— 
‘‘(A) such proceeding’’; and 
(v) by striking ‘‘proceeding, and (ii) the costs’’ and 
inserting ‘‘proceeding; and
H. R. 6395—838 
‘‘(B) the costs’’. 
(j) ADDITIONAL ALLOWABLE COST PROVISIONS.— 
(1) IN GENERAL.—Chapter 273 of title 10, United States 
Code, as added by subsection (a), is amended by adding at 
the end the following new subchapter: 
‘‘Subchapter II—Other Allowable Cost Provisions 
‘‘Sec. 
‘‘3761. Restructuring costs. 
‘‘3762. Independent research and development costs: allowable costs. 
‘‘3763. Bid and proposal costs: allowable costs. 
‘‘3764. Excessive pass-through charges. 
‘‘3765. Institutions of higher education: reimbursement of indirect costs under De-
partment of Defense contracts.’’. 
(2) TRANSFER
OF
SECTIONS
ON
RESTRUCTURING
COSTS, 
ALLOWABILITY OF INDEPENDENT RESEARCH AND DEVELOPMENT 
COSTS, AND ALLOWABILITY OF BID AND PROPOSAL COSTS.—Sec-
tions 2325, 2372, and 2372a of title 10, United States Code, 
are transferred to subchapter II of chapter 273 of such title, 
as added by paragraph (1), inserted (in that order) after the 
table of sections, and redesignated as sections 3761, 3762, and 
3763, respectively. 
(3) AMENDMENTS TO NEW 3761.—Section 3761 of title 10, 
United States Code, as so transferred and redesignated, is 
amended— 
(A) by redesignating subsection (b) as subsection (c); 
(B) in subsection (a)— 
(i) by striking ‘‘(1)’’ before ‘‘The Secretary’’; and 
(ii) by striking ‘‘section 2324 of this title’’ and 
inserting ‘‘subchapter I’’: 
(C) by redesignating paragraph (2) as subsection (b); 
(D) in subsection (b), as so redesignated— 
(i) by inserting ‘‘LIMITATION ON DELEGATION.—’’ 
before ‘‘The Secretary may not’’; and 
(ii) by striking ‘‘paragraph (1)’’ and inserting ‘‘sub-
section (a)’’; and 
(E) in each of such subsections (a) and (b), by redesig-
nating subparagraphs (A) and (B) as paragraphs (1) and 
(2), respectively. 
(4) AMENDMENTS TO NEW 3763.—Section 3763 of such title, 
as so transferred and redesignated by paragraph (2), is 
amended by striking ‘‘section 2324(l)’’ in subsection (b) and 
inserting ‘‘section 3741’’. 
SEC. 1833. PROPRIETARY CONTRACTOR DATA AND RIGHTS IN TECH-
NICAL DATA. 
(a) NEW CHAPTER.— 
(1) IN GENERAL.—Part V of subtitle A of title 10, United 
States Code, as added by section 801 of the John S. McCain 
National Defense Authorization Act for Fiscal Year 2019 (Public 
Law 115–232), is amended by striking chapter 275 and 
inserting the following: 
‘‘CHAPTER 275—PROPRIETARY CONTRACTOR DATA AND 
RIGHTS IN TECHNICAL DATA 
‘‘Subchapter Sec. 
‘‘I. Rights in Technical Data .................................................................................
3771
H. R. 6395—839 
‘‘II. Validation of Proprietary Data Restrictions .................................................
3781 
‘‘III. Other Provisions Relating to Proprietary Contractor Data and Rights in 
Technical Data .........................................................................................
3791 
‘‘SUBCHAPTER I—RIGHTS IN TECHNICAL DATA 
‘‘Sec. 
‘‘3771. Rights in technical data: regulations. 
‘‘3772. Rights in technical data: provisions required in contracts. 
‘‘3773. Domestic business concerns: programs for replenishment parts. 
‘‘3774. Major weapon systems and subsystems: long-term technical data needs. 
‘‘3775. Definitions. 
‘‘§ 3771. Rights in technical data: regulations 
‘‘§ 3772. Rights in technical data: provisions required in con-
tracts 
‘‘§ 3773. Domestic business concerns: programs for replenish-
ment parts 
‘‘§ 3774. Major weapon systems and subsystems: long-term 
technical data needs 
‘‘§ 3775. Definitions’’. 
(2) TABLES OF CHAPTERS AMENDMENTS.—The tables of chap-
ters at the beginning of subtitle A, and at the beginning of 
part V of subtitle A, of title 10, United States Code, are 
amended by striking the item relating to chapter 275 and 
inserting the following new item: 
‘‘275. Proprietary Contractor Data and Rights in Technical Data .................... 3771’’. 
(b) TRANSFER OF SUBSECTION (A) OF SECTION 2320.— 
(1) TRANSFER.—Subsection (a) of section 2320 of title 10, 
United States Code, is transferred to section 3771 of such 
title, as added by subsection (a), inserted after the section 
heading, and amended by redesignating paragraphs (2) and 
(3) as subsections (b) and (c), respectively. 
(2) INTERNAL REDESIGNATIONS AND INSERTION OF HEADINGS 
IN NEW 3771(A).—Subsection (a) of such section, as so transferred 
and amended, is amended— 
(A) by striking ‘‘(1) The Secretary of’’ and inserting 
‘‘REGULATIONS REQUIRED.— 
‘‘(1) IN GENERAL.—The Secretary of’’; and 
(B) by designating the third sentence as paragraph 
(2) and in that paragraph— 
(i) by striking ‘‘Such regulations may not’’ and 
inserting ‘‘OTHER RIGHTS NOT IMPAIRED.—Regulations 
prescribed under paragraph (1) may not’’; 
(ii) by striking ‘‘impair any right of the’’ and 
inserting ‘‘impair— 
‘‘(A) any right of the’’; and 
(iii) by striking ‘‘by law’’ and all that follows 
through ‘‘the right of a contractor’’ and inserting ‘‘by 
law; or 
‘‘(B) the right of a contractor’’. 
(3) INTERNAL REDESIGNATIONS AND INSERTION OF HEADINGS 
IN NEW 3771(B).—Subsection (b) of such section, as so transferred 
and redesignated, is amended— 
(A) by striking ‘‘Such regulations’’ and inserting 
‘‘REQUIRED
PROVISIONS.—Regulations prescribed under 
subsection (a)’’;
H. R. 6395—840 
(B) by redesignating subparagraphs (A) through (I) 
as paragraphs (1) through (9), respectively; 
(C) in paragraph (1), as so redesignated, by redesig-
nating clauses (i) and (ii) as subparagraphs (A) and (B), 
respectively; 
(D) in paragraph (2), as so redesignated, by striking 
‘‘subparagraphs (C), (D), and (G)’’ and inserting ‘‘para-
graphs (3), (4), and (7)’’; 
(E) in paragraph (3), as so redesignated— 
(i) by striking ‘‘SUBPARAGRAPH (B).—Subparagraph 
(B) does not’’ and inserting ‘‘PARAGRAPH (2).—Paragraph 
(2) does not’’; and 
(ii) by redesignating clauses (i), (ii), (iii), and (iv) 
as subparagraphs (A), (B), (C), and (D), respectively; 
(F) in paragraph (4), as so redesignated— 
(i) by striking ‘‘SUBPARAGRAPH
(B).—Notwith-
standing subparagraph (B)’’ and inserting ‘‘PARA-
GRAPH(2).— Notwithstanding paragraph (2)’’; 
(ii) by redesignating clauses (i), (ii), and (iii) as 
subparagraphs (A), (B), and (C), respectively; and 
(iii) in subparagraph (A), as so redesignated, by 
redesignating subclauses (I), (II), and (III) as clauses 
(i), (ii), and (iii), respectively; 
(G) in paragraph (5), as so redesignated— 
(i) by striking ‘‘MIXED FUNDING.—Except as pro-
vided in subparagraphs (F) and (G),’’ and inserting 
‘‘MIXED FUNDING.— 
‘‘(A) IN GENERAL.—Except as provided in paragraphs 
(6) and (7),’’; and 
(ii) by designating the second sentence as subpara-
graph (B), realigning that subparagraph 2 ems to the 
right, and inserting ‘‘FACTORS TO BE CONSIDERED.— 
’’ before ‘‘The establishment of’’; 
(H) in paragraph (6), as so redesignated, by striking 
‘‘subparagraph (E)’’ and inserting ‘‘paragraph (5)’’; 
(I) in paragraph (7), as so redesignated— 
(i) by striking ‘‘MIXED FUNDING.—Notwithstanding 
subparagraphs (B) and (E)’’ and inserting ‘‘MIXED 
FUNDING.— 
‘‘(A) Notwithstanding paragraphs (2) and (5)’’; 
(ii) by striking ‘‘section 2446a’’ and inserting ‘‘sec-
tion 4401’’; and 
(iii) by designating the second and third sentences 
as subparagraphs (B) and (C), respectively; 
(J) in paragraph (8), as so redesignated— 
(i) by inserting ‘‘LIMITATIONS ON REQUIREMENTS 
RELATED TO CONTRACTOR OR SUBCONTRACTOR RIGHTS 
IN TECHNICAL DATA.—’’ before ‘‘A contractor or subcon-
tractor’’; 
(ii) by redesignating clauses (i) and (ii) as subpara-
graphs (A) and (B), respectively; 
(iii) in subparagraph (A), as so redesignated, by 
redesignating subclauses (I), (II), and (III) as clauses 
(i), (ii), and (iii), respectively; 
(iv) in clause (i), as so redesignated, by striking 
‘‘subparagraph (A)’’ and inserting ‘‘paragraph (1)’’;
H. R. 6395—841 
(v) in clause (ii), as so redesignated, by striking 
‘‘subparagraph (C)’’ and inserting ‘‘paragraph (3)’’; 
(vi) in clause (iii), as so redesignated, by striking 
‘‘subparagraph (D)’’ and inserting ‘‘paragraph (4)’’; and 
(vii) in subparagraph (B), as so redesignated, by 
striking ‘‘subparagraph (B)’’ and inserting ‘‘paragraph 
(2)’’; and 
(K) in paragraph (9), as so redesignated— 
(i) by inserting ‘‘ACTIONS
AUTHORIZED
IF
NEC-
ESSARY TO DEVELOP ALTERNATIVE SOURCES OF SUPPLY 
AND
MANUFACTURE.—’’ before ‘‘The Secretary of 
Defense’’; 
(ii) by redesignating clauses (i), (ii), and (ii) as 
subparagraphs (A), (B), and (C), respectively; 
(iii) in subparagraph (A), as so redesignated, by 
striking ‘‘subparagraph (C) or (D)’’ and inserting ‘‘para-
graph (3) or (4)’’; and 
(iv) in subparagraph (B), as so redesignated, by 
striking ‘‘this section’’ and inserting ‘‘this subchapter’’. 
(4) INTERNAL REDESIGNATIONS AND INSERTION OF HEADINGS 
IN NEW 3771(C).—Subsection (c) of such section, as so transferred 
and redesignated, is amended— 
(A) by inserting ‘‘SECRETARY OF DEFENSE TO DEFINE 
TERMS.—’’ before ‘‘The Secretary of’’; 
(B) by striking ‘‘paragraph (1)’’ and inserting ‘‘sub-
section (a)’’; 
(C) by striking ‘‘the Secretary shall specify’’ and 
inserting ‘‘the Secretary— 
‘‘(1) shall specify’’; 
(D) by striking ‘‘treated and shall specify’’ and inserting 
‘‘treated; and 
‘‘(2) shall specify’’; and 
(E) by striking ‘‘this paragraph’’ and inserting ‘‘this 
subsection’’. 
(c) TRANSFER OF SUBSECTIONS (B) AND (C) OF SECTION 2320.— 
(1) TRANSFER.—Subsections (b) and (c) of section 2320 of 
title 10, United States Code, are transferred to section 3772 
of such title, as added by subsection (a), inserted after the 
section heading, and redesignated as subsections (a) and (b), 
respectively. 
(2) INTERNAL REDESIGNATIONS AND INSERTION OF HEADINGS 
IN NEW 3772(A).—Subsection (a) of such section, as so transferred 
and redesignated, is amended— 
(A) by inserting ‘‘CONTRACT PROVISIONS RELATING TO 
TECHNICAL DATA.—’’ before ‘‘Regulations prescribed under’’; 
(B) by striking ‘‘subsection (a)’’ and inserting ‘‘section 
3771 of this title’’; 
(C) by striking ‘‘section 2303’’ and inserting ‘‘section 
3063’’; 
(D) in paragraph (1), by striking ‘‘section 2321(f)’’ and 
inserting ‘‘section 3784’’; 
(E) in paragraph (6)— 
(i) by striking ‘‘the contractor to revise’’ and 
inserting ‘‘the contractor— 
‘‘(A) to revise’’; and 
(ii) by striking ‘‘the contract and to deliver’’ and 
inserting ‘‘the contract; and
H. R. 6395—842 
‘‘(B) to deliver’’; 
(F) in paragraph (7)— 
(i) by striking ‘‘is found to be’’ and inserting ‘‘is 
found— 
‘‘(A) to be’’; and 
(ii) by striking ‘‘or inadequate or to not’’ and 
inserting ‘‘or inadequate; or 
‘‘(B) to not’’; 
(G) in paragraph (9)(B)(ii), by striking ‘‘subparagraphs 
(D)(i)(II), (F), and (G) of subsection (a)(2)’’ and inserting 
‘‘paragraphs (4)(A)(ii), (6), and (7) of section 3771(b) of 
this title’’; and 
(H) in paragraph (10), by striking ‘‘section 2321(d)’’ 
and inserting ‘‘section 3782’’. 
(3) INTERNAL REDESIGNATIONS IN NEW 3772(B).—Subsection 
(b) of such section, as so transferred and redesignated, is 
amended— 
(A) by striking ‘‘in this section or in section 2305(a)’’ 
and inserting ‘‘in this subchapter or in section 3208’’; and 
(B) in paragraph (2), by striking ‘‘subsection (a)’’ and 
inserting ‘‘section 3771 of this title’’. 
(d) TRANSFER OF SUBSECTION (D) OF SECTION 2320.—Subsection 
(d) of section 2320 of title 10, United States Code, is transferred 
to section 3773 of such title, as added by subsection (a), inserted 
after the section heading, and amended— 
(1) by striking the subsection designation; and 
(2) by striking ‘‘this subsection’’ and inserting ‘‘this section’’. 
(e) TRANSFER OF SUBSECTION (E) AND (F) OF SECTION 2320.— 
(1) TRANSFER.—Subsections (e) and (f) of section 2320 of 
title 10, United States Code, are transferred to section 3774 
of such title, as added by subsection (a), inserted after the 
section heading, and redesigned as subsections (a) and (c), 
respectively. 
(2) DESIGNATION OF NEW 3774(B).—The third sentence of 
subsection (a) of such section, as so transferred and redesig-
nated, is designated as subsection (b). 
(3) AMENDMENTS TO NEW 3774(A).—Subsection (a) of such 
section, as so amended, is further amended— 
(A) by striking ‘‘The Secretary of Defense shall require’’ 
and inserting ‘‘ASSESSMENTS
AND ACQUISITIONS STRATE-
GIES.— 
‘‘(1) The Secretary of Defense shall require’’; 
(B) by designating the second sentence as paragraph 
(2); 
(C) in paragraph (1), as designated by subparagraph 
(A)— 
(i) by striking ‘‘to assess the long-term’’ and 
inserting ‘‘to— 
‘‘(A) assess the long-term’’; and 
(ii) by striking ‘‘systems and subsystems and estab-
lish’’ and inserting ‘‘systems and subsystems; and 
‘‘(B) establish’’; and 
(D) in paragraph (2), as designated by subparagraph 
(B)— 
(i) by striking ‘‘may include the development’’ and 
inserting ‘‘may include— 
‘‘(A) the development’’; and
H. R. 6395—843 
(ii) by striking ‘‘Department of Defense or competi-
tion for’’ and inserting ‘‘Department of Defense; or 
‘‘(B) competition for’’. 
(4) AMENDMENTS TO NEW 3774(B).—Subsection (b) of such 
section, as designated by paragraph (2), is amended— 
(A) by inserting ‘‘REQUIREMENTS RELATING TO ASSESS-
MENTS
AND ACQUISITION STRATEGIES.—’’ before ‘‘Assess-
ments and corresponding’’; and 
(B) by striking ‘‘developed under’’ and all that follows 
through ‘‘with respect to’’ and inserting ‘‘developed under 
subsection (a) with respect to’’. 
(5) AMENDMENTS TO NEW 3774(C).—Subsection (c) of such 
section, as redesignated by paragraph (1), is amended— 
(A) by striking ‘‘LICENSES.—The Secretary’’ and 
inserting ‘‘LICENSES.— 
‘‘(1) The Secretary’’; 
(B) by designating the second sentence as paragraph 
(2); and 
(C) in paragraph (2), as so designated, by striking 
‘‘subsection (e)’’ and inserting ‘‘subsection (a)’’. 
(f) TRANSFER OF SUBSECTION (G) AND (H) OF SECTION 2320.— 
(1) TRANSFER.—Subsections (g) and (h) of section 2320 of 
title 10, United States Code, are transferred to section 3775 
of such title, as added by subsection (a), inserted after the 
section heading, and redesigned as subsections (a) and (b), 
respectively. 
(2) CONFORMING AMENDMENTS.— 
(A) Such subsections (a) and (b), as so transferred 
and redesignated, are each amended by striking ‘‘In this 
section,’’ and inserting ‘‘In this subchapter,’’. 
(B) Such subsection (b) is amended by striking ‘‘section 
2446a’’ and inserting ‘‘section 4401’’. 
(g) NEW SUBCHAPTER.—Chapter 275 of title 10, United States 
Code, as added by subsection (a), is amended by adding at the 
end the following new subchapter: 
‘‘SUBCHAPTER II—VALIDATION OF PROPRIETARY DATA 
RESTRICTIONS 
‘‘Sec. 
‘‘3781. Technical data: contractor justification for restrictions; review of restrictions. 
‘‘3782. Technical data: challenges to contractor restrictions. 
‘‘3783. Technical data: time for contractors to submit justifications. 
‘‘3784. Technical data under contracts for commercial items: presumption of develop-
ment exclusively at private expense. 
‘‘3785. Technical data: decision by contracting officer; claims; rights and liability 
upon final disposition. 
‘‘3786. Use or release restriction: definition.
H. R. 6395—844 
‘‘§ 3781. Technical data: contractor justification for restric-
tions; review of restrictions 
‘‘§ 3782. Technical data: challenges to contractor restrictions 
‘‘§ 3783. Technical data: time for contractors to submit jus-
tifications 
‘‘§ 3784. Technical data under contracts for commercial items: 
presumption of development exclusively at private 
expense 
‘‘§ 3785. Technical data: decision by contracting officer; 
claims; rights and liability upon final disposition 
‘‘§ 3786. Use or release restriction: definition’’. 
(h) TRANSFER OF SUBSECTIONS (A), (B), AND (C) OF SECTION 
2321.— 
(1) TRANSFER.—Subsections (a), (b), and (c) of section 2321 
of title 10, United States Code, are transferred to section 3781 
of such title, as added by subsection (g), and inserted after 
the section heading. 
(2) CONFORMING AMENDMENTS TO NEW 3781(A).—Subsection 
(a) of such section, as so transferred, is amended by striking 
‘‘CONTRACTS COVERED BY SECTION.—This section’’ and inserting 
‘‘CONTRACTS COVERED BY SUBCHAPTER.—This subchapter’’. 
(3) CONFORMING AMENDMENTS TO NEW 3781(B).—Subsection 
(b) of such section, as so transferred, is amended— 
(A) by striking ‘‘this section’’ and inserting ‘‘this sub-
chapter’’; and 
(B) by striking ‘‘(as defined’’ and all that follows 
through ‘‘asserted’’ and inserting ‘‘(as defined in section 
3786 of this title) asserted’’. 
(4) CONFORMING AMENDMENTS TO NEW 3781(C).—Subsection 
(c) of such section, as so transferred, is amended— 
(A) by striking ‘‘RESTRICTIONS.—(1) The Secretary’’ and 
inserting ‘‘RESTRICTIONS.— 
‘‘(1) The Secretary’’; 
(B) in paragraph (1), by striking ‘‘this section’’ and 
inserting ‘‘this subchapter’’; and 
(C) by realigning paragraph (2) 2 ems to the right. 
(i) TRANSFER OF SUBSECTION (D) OF SECTION 2321.— 
(1) TRANSFER.—Subsection (d) of section 2321 of title 10, 
United States Code, is transferred to section 3782 of such 
title, as added by subsection (g), inserted after the section 
heading, and amended— 
(A) by striking the subsection designation and sub-
section heading; and 
(B) by redesignating paragraphs (1), (2), (3), and (4) 
as subsections (a), (b), (c), and (d), respectively. 
(2) CONFORMING AMENDMENTS TO NEW 3782(A).—Subsection 
(a) of such section 3782, as so transferred and redesignated, 
is amended— 
(A) by inserting ‘‘CHALLENGES
BY
SECRETARY
OF 
DEFENSE.—’’ before ‘‘The Secretary of Defense’’; 
(B) by striking ‘‘this section’’ and inserting ‘‘this sub-
chapter’’; and 
(C) by redesignating subparagraphs (A) and (B) as 
paragraphs (1) and (2), respectively.
H. R. 6395—845 
(3) CONFORMING AMENDMENTS TO NEW 3782(B).—Subsection 
(b) of such section 3782, as so transferred and redesignated, 
is amended— 
(A) by striking ‘‘(A) A challenge’’ and inserting ‘‘TIME 
LIMIT FOR CHALLENGES; EXCEPTIONS.— 
‘‘(1) A challenge’’; 
(B) by redesignating subparagraph (B) as paragraph 
(2) and realigning that paragraph 2 ems to the right; 
(C) in paragraph (1), as designated by subparagraph 
(A)— 
(i) by striking ‘‘paragraph (1)’’ and inserting ‘‘sub-
section (a)’’; 
(ii) by striking ‘‘subparagraph (B)’’ and inserting 
‘‘paragraph (2)’’; and 
(iii) by redesignating clauses (i), (ii), (iii), and (iv) 
as subparagraphs (A), (B), (C), and (D), respectively; 
and 
(D) in paragraph (2), as redesignated by subparagraph 
(B)— 
(i) by striking ‘‘subparagraph (A)’’ and inserting 
‘‘paragraph (1)’’; and 
(ii) by redesignating clauses (i) and (ii) as subpara-
graphs (A) and (B), respectively. 
(4) CONFORMING AMENDMENTS TO NEW 3782(C).—Subsection 
(c) of such section 3782, as so transferred and redesignated, 
is amended— 
(A) by inserting ‘‘WRITTEN NOTICE
TO CONTRACTOR 
OR SUBCONTRACTOR.—’’ before ‘‘If the Secretary’’; 
(B) by striking ‘‘paragraph (1)’’ and inserting ‘‘sub-
section (a)’’; 
(C) by redesignating subparagraphs (A), (B), and (C) 
as paragraphs (1), (2), and (3), respectively; and 
(D) in paragraph (3), as so redesignated, by striking 
‘‘paragraph (4)’’ and inserting ‘‘subsection (d)’’. 
(5) CONFORMING AMENDMENTS TO NEW 3782(D).—Subsection 
(d) of such section 3782, as so transferred and redesignated, 
is amended— 
(A) by inserting ‘‘JUSTIFICATION.—’’ before ‘‘It is a jus-
tification’’; 
(B) by striking ‘‘paragraph (1)’’ and inserting ‘‘sub-
section (a)’’; 
(C) by redesignating subparagraphs (A) and (B) as 
paragraphs (1) and (2), respectively; and 
(D) in paragraph (1), as so redesignated, by striking 
‘‘this subsection’’ and inserting ‘‘this section’’. 
(j) TRANSFER OF SUBSECTION (E) OF SECTION 2321.— 
(1) TRANSFER.—Subsection (e) of section 2321 of title 10, 
United States Code, is transferred to section 3783 of such 
title, as added by subsection (g), inserted after the section 
heading, and amended by striking the subsection designation 
and subsection heading. 
(2) DESIGNATION OF NEW SUBSECTIONS (A) AND (B).—Such 
section, as so transferred and amended, is further amended— 
(A) by designating the first sentence as subsection 
(a) and inserting ‘‘ADDITIONAL TIME TO SUBMIT JUSTIFICA-
TIONS.—’’ before ‘‘If a contractor’’; and
H. R. 6395—846 
(B) by designating the second sentence as subsection 
(b) and inserting ‘‘MULTIPLE CHALLENGES; SCHEDULE OF 
RESPONSES.—’’ before ‘‘If a party’’. 
(k) TRANSFER OF SUBSECTION (F) OF SECTION 2321.—Subsection 
(f) of section 2321 of title 10, United States Code, is transferred 
to section 3784 of such title, as added by subsection (g), inserted 
after the section heading, and amended— 
(1) by striking the subsection designation and subsection 
heading; and 
(2) by striking ‘‘subsection (d)(3)’’ and inserting ‘‘section 
3782(c) of this title’’. 
(l) TRANSFER
OF SUBSECTIONS (G), (H), AND (I) OF SECTION 
2321.— 
(1) TRANSFER.—Subsections (g), (h), and (i) of section 2321 
of title 10, United States Code, are transferred to section 3785 
of such title, as added by subsection (g), inserted after the 
section heading, and redesignated as subsections (a), (b), and 
(c), respectively. 
(2) CONFORMING AMENDMENTS TO NEW 3785(A).—Subsection 
(a) of such section, as so transferred and redesignated, is 
amended— 
(A) by striking ‘‘subsection (d)(3)’’ both places it appears 
and inserting ‘‘section 3782(c) of this title’’; 
(B) by striking ‘‘OFFICER.—(1) Upon failure’’ and 
inserting ‘‘OFFICER.— 
‘‘(1) Upon failure’’; and 
(C) by realigning paragraph (2) 2 ems to the right. 
(3) CONFORMING AMENDMENTS TO NEW 3785(C).—Subsection 
(c) of such section 3786, as so transferred and redesignated, 
is amended— 
(A) by striking ‘‘DISPOSITION.—(1) If, upon final’’ and 
inserting ‘‘DISPOSITION.— 
‘‘(1) If, upon final’’; and 
(B) by realigning paragraph (2) 2 ems to the right. 
(m) TRANSFER OF SUBSECTION (J) OF SECTION 2321.—Subsection 
(j) of section 2321 of title 10, United States Code, is transferred 
to section 3786 of such title, as added by subsection (g), inserted 
after the section heading, and amended— 
(1) by striking the subsection designation and subsection 
heading; and 
(2) by striking ‘‘In this section’’ and inserting ‘‘In this 
subchapter’’. 
(n) NEW SUBCHAPTER.—Chapter 275 of title 10, United States 
Code, as added by subsection (a), is amended by adding after 
subchapter II, as added by subsections (g), the following new sub-
chapter: 
‘‘SUBCHAPTER III—OTHER PROVISIONS RELATING TO PRO-
PRIETARY CONTRACTOR DATA AND RIGHTS IN TECH-
NICAL DATA 
‘‘Sec. 
‘‘3791. Management of intellectual property matters within the Department of De-
fense. 
‘‘3792. Technical data rights: non-FAR agreements. 
‘‘3793. Copyrights, patents, designs, etc.; acquisition. 
‘‘3794. Release of technical data under Freedom of Information Act: recovery of 
costs.
H. R. 6395—847 
‘‘§ 3791. Management of intellectual property matters within 
the department of defense 
‘‘(b) CADRE OF INTELLECTUAL PROPERTY EXPERTS.—For a provi-
sion requiring establishment of a cadre of personnel who are experts 
in intellectual property matters, see section 1707 of this title.’’. 
(o) TRANSFERS.— 
(1) TRANSFER OF SECTION 2322(A).—Subsection (a) of section 
2322 of title 10, United States Code, is transferred to section 
3791 of such title, as added by subsection (n), and inserted 
after the section heading. 
(2) TRANSFER OF SECTIONS 2386 AND 2328.—Section 2386 
and 2328 of such title are transferred to subchapter III of 
chapter 275 of such title, as added by subsection (n), inserted 
(in that order) after section 3791, and redesignated as section 
3793 and 3794, respectively. 
(p) CROSS REFERENCE AMENDMENTS.—Section 8687(a) of title 
10, United States Code, is amended by striking ‘‘section 2320’’ 
each place it appears and inserting ‘‘subchapter I of chapter 275’’. 
SEC. 1834. CONTRACT FINANCING. 
(a) NEW CHAPTER.—Part V of subtitle A of title 10, United 
States Code, as added by section 801 of the John S. McCain National 
Defense Authorization Act for Fiscal Year 2019 (Public Law 115– 
232), is amended by striking chapter 277 and inserting the fol-
lowing: 
‘‘CHAPTER 277—CONTRACT FINANCING 
‘‘Sec. 
‘‘3801. Authority of agency. 
‘‘3802. Payment. 
‘‘3803. Security for advance payments. 
‘‘3804. Conditions for progress payments. 
‘‘3805. Payments for commercial products and commercial services. 
‘‘3806. Action in case of fraud. 
‘‘3807. Vesting of title in the United States. 
‘‘§ 3801. Authority of agency 
‘‘§ 3802. Payment 
‘‘§ 3803. Security for advance payments 
‘‘§ 3804. Conditions for progress payments 
‘‘§ 3805. Payments for commercial products and commercial 
services 
‘‘§ 3806. Action in case of fraud 
‘‘§ 3807. Vesting of title in the United States’’. 
(b) TRANSFER OF SUBSECTION (A) OF SECTION 2307.— 
(1) TRANSFER.—Subsection (a) of section 2307 of title 10, 
United States Code, is transferred to section 3801 of such 
title, as added by subsection (a), inserted after the section 
heading, and amended— 
(A) by striking ‘‘(1)’’ before ‘‘The head of’’; and 
(B) by redesignating paragraph (2) as subsection (b). 
(2) CONFORMING AMENDMENTS TO NEW 3801(A).—Such sub-
section (a), as so transferred and amended, is further amended 
by redesignating subparagraphs (A) and (B) as paragraphs 
(1) and (2), respectively.
H. R. 6395—848 
(3) CONFORMING AMENDMENTS TO NEW 3801(B).—Subsection 
(b) of such section 3801, as redesignated by paragraph (1)(B), 
is amended— 
(A) by striking ‘‘(A) For a prime’’ and inserting ‘‘PAY-
MENT DATES FOR CONTRACTORS THAT ARE SMALL BUSINESS 
CONCERNS.— 
‘‘(1) PRIME CONTRACTORS.—For a prime’’; 
(B) by redesignating subparagraph (B) as paragraph 
(2); and 
(C) in paragraph (2), as so redesignated— 
(i) by inserting ‘‘SUBCONTRACTORS.—’’ before ‘‘For 
a prime’’; and 
(ii) by redesignating clauses (i) and (ii) as subpara-
graphs (A) and (B), respectively. 
(c) TRANSFER OF SUBSECTIONS (B) AND (C) OF SECTION 2307.— 
(1) TRANSFER.—Subsections (b) and (c) of section 2307 of 
title 10, United States Code, are transferred to section 3802 
of such title, as added by subsection (a), inserted after the 
section heading, and redesignated as subsections (a) and (d), 
respectively. 
(2) FURTHER
INTERNAL
REDESIGNATION
AMENDMENTS
TO 
NEW
3802.—Such section 3802, as so amended, is further 
amended 
(A) in subsection (a), by striking ‘‘(1)’’ before ‘‘Whenever 
possible’’; 
(B) by redesignating paragraph (2) of subsection (a) 
as subsection (b); 
(C) by transferring paragraph (3) of such subsection 
to the end of the section and redesignating such paragraph 
as subsection (e); 
(D) by redesignating paragraph (4) of subsection (a) 
as subsection (c); and 
(E) by redesignating subparagraphs (A), (B), and (C) 
of subsection (a) as paragraphs (1), (2), and (3), respectively. 
(3) CONFORMING AMENDMENT TO NEW 3802(A).—Subsection 
(a) of such section is further amended by striking ‘‘subsection 
(a)’’ and inserting ‘‘section 3801 of this title’’. 
(4) CONFORMING AMENDMENTS TO NEW 3802(B).—Subsection 
(b) of such section, as so redesignated, is amended— 
(A) by inserting ‘‘Basis for performance-based pay-
ments.—’’ before ‘‘Performance-based payments’’; and 
(B) by striking ‘‘paragraph (1)’’ and inserting ‘‘sub-
section (a)’’. 
(5) CONFORMING AMENDMENTS TO NEW 3802(C).—Subsection 
(c) of such section, as so redesignated, is amended— 
(A) by striking ‘‘(A) In order to’’ and inserting ‘‘CON-
TRACTOR ACCOUNTING SYSTEMS.— 
‘‘(1) In order to’’; and 
(B) by redesignating subparagraph (B) as paragraph 
(2), realigning that paragraph 2 ems to the right, and 
striking ‘‘this section’’ therein and inserting ‘‘this chapter’’. 
(6) CONFORMING AMENDMENT TO NEW 3802(D).—Subsection 
(d) of such section, as redesignated by paragraph (1), is 
amended by striking ‘‘subsection (a)’’ and inserting ‘‘section 
3801 of this title’’.
H. R. 6395—849 
(7) CONFORMING AMENDMENT TO NEW 3802(E).—Subsection 
(e) of such section, as transferred and redesignated by para-
graph (2)(C), is amended by inserting ‘‘ELIGIBILITY OF NON-
TRADITIONAL DEFENSE CONTRACTORS.—’’ before ‘‘The Secretary 
of’’. 
(d) TRANSFER OF SUBSECTION (D) OF SECTION 2307.—Subsection 
(d) of section 2307 of title 10, United States Code, is transferred 
to section 3803 of such title, as added by subsection (a), inserted 
after the section heading, and amended— 
(1) by striking the subsection designation and subsection 
heading; and 
(2) by striking ‘‘subsection (a)’’ and inserting ‘‘section 3801 
of this title’’. 
(e) TRANSFER OF SUBSECTION (E) OF SECTION 2307.— 
(1) TRANSFER.—Subsection (e) of section 2307 of title 10, 
United States Code, is transferred to section 3804 of such 
title, as added by subsection (a), inserted after the section 
heading, and amended— 
(A) by striking the subsection designation and sub-
section heading; and 
(B) by redesignating paragraphs (1), (2), and (3) as 
subsections (a), (b), and (c), respectively. 
(2) CONFORMING AMENDMENT TO NEW 3804(A).—Subsection 
(a) of such section 3804, as so transferred and redesignated, 
is amended by inserting ‘‘PAYMENT COMMENSURATE WITH 
WORK.—’’ before ‘‘The Secretary of Defense’’. 
(3) CONFORMING AMENDMENTS TO NEW 3804(B).—Subsection 
(b) of such section 3804, as so transferred and redesignated, 
is amended— 
(A) by inserting ‘‘LIMITATION.—’’ before ‘‘The Sec-
retary’’; and 
(B) by striking ‘‘paragraph (1)’’ and inserting ‘‘sub-
section (a)’’. 
(4) CONFORMING AMENDMENTS TO NEW 3804(C).—Subsection 
(c) of such section 3804, as so transferred and redesignated, 
is amended— 
(A) by inserting ‘‘APPLICABILITY.—’’ before ‘‘This’’; and 
(B) by striking ‘‘subsection’’ and inserting ‘‘section’’. 
(f) TRANSFER OF SUBSECTION (F) OF SECTION 2307.— 
(1) TRANSFER.—Subsection (f) of section 2307 of title 10, 
United States Code, is transferred to section 3805 of such 
title, as added by subsection (a), inserted after the section 
heading, and amended— 
(A) by striking the subsection designation and sub-
section heading; and 
(B) by redesignating paragraphs (1), (2), and (3) as 
subsections (a), (c), and (d), respectively. 
(2) FURTHER
INTERNAL
REDESIGNATION
AMENDMENTS
TO 
NEW
3805.—Such section 3805, as so amended, is further 
amended by designating the second sentence of subsection (a) 
as subsection (b). 
(4) CONFORMING AMENDMENTS TO NEW 3805(A).—Subsection 
(a) of such section, as so transferred and redesignated, is 
amended— 
(A) by inserting ‘‘TERMS AND CONDITIONS FOR PAY-
MENTS.—’’ before ‘‘Payments under’’; and
H. R. 6395—850 
(B) by striking ‘‘subsection (a)’’ and inserting ‘‘section 
3801 of this title’’. 
(4) CONFORMING AMENDMENT TO NEW 3805(B).—Subsection 
(b) of such section, as designated by paragraph (2), is amended 
by inserting ‘‘SECURITY FOR PAYMENTS.—’’ before ‘‘The head 
of the agency’’. 
(5) CONFORMING AMENDMENTS TO NEW 3805(C).—Subsection 
(c) of such section, as so transferred and redesignated, is 
amended— 
(A) by inserting ‘‘LIMITATION ON ADVANCE PAYMENTS.— 
’’ before ‘‘Advance payments’’; and 
(B) by striking ‘‘subsection (a)’’ and inserting ‘‘section 
3801 of this title’’. 
(6) CONFORMING AMENDMENTS TO NEW 3805(D).—Subsection 
(d) of such section, as so transferred and redesignated, is 
amended— 
(A) by inserting ‘‘NONAPPLICATION OF CERTAIN CONDI-
TIONS.—’’ before ‘‘The conditions of’’; 
(B) by striking ‘‘subsections (d) and (e)’’ and inserting 
‘‘sections 3803 and 3804 of this title’’; and 
(C) by striking ‘‘paragraphs (1) and (2)’’ and inserting 
‘‘this section’’. 
(g) TRANSFER OF SUBSECTION (I) OF SECTION 2307.— 
(1) TRANSFER.—Subsection (i) of section 2307 of title 10, 
United States Code, is transferred to section 3806 of such 
title, as added by subsection (a), inserted after the section 
heading, and amended by striking the subsection designation 
and subsection heading. 
(2) FURTHER
INTERNAL
REDESIGNATION
AMENDMENTS
TO 
NEW
3806.—Such section 3806, as so amended, is further 
amended— 
(A) by redesignating paragraphs (1) through (9) as 
subsections (b) through (j), respectively; and 
(B) by transferring paragraph (10) to the beginning 
of such section so as to appear before subsection (b), as 
redesignated by subparagraph (A), and redesignating that 
paragraph as subsection (a). 
(3) CONFORMING AMENDMENTS TO NEW 3806(A).—Subsection 
(a) of such section, as transferred and redesignated by para-
graph (2)(B), is amended— 
(A) by inserting ‘‘REMEDY COORDINATION OFFICIAL 
DEFINED.—’’ before ‘‘In this’’; and 
(B) by striking ‘‘this subsection’’ and inserting ‘‘this 
section’’. 
(4) CONFORMING AMENDMENT TO NEW 3806(B).—Subsection 
(b) of such section, as transferred and redesignated by para-
graphs (1) and (2)(A), is amended by inserting ‘‘RECOMMENDA-
TION TO REDUCE OR SUSPEND PAYMENTS.—’’ before ‘‘In any 
case’’. 
(5) CONFORMING AMENDMENTS TO NEW 3806(C).—Subsection 
(c) of such section, as transferred and redesignated by para-
graphs (1) and (2)(A), is amended— 
(A) by inserting ‘‘REDUCTION OR SUSPENSION OF PAY-
MENTS.—’’ before ‘‘The head of’’; and 
(B) by striking ‘‘paragraph (1)’’ and inserting ‘‘sub-
section (b)’’.
H. R. 6395—851 
(6) CONFORMING AMENDMENTS TO NEW 3806(D).—Subsection 
(d) of such section, as transferred and redesignated by para-
graphs (1) and (2)(A), is amended— 
(A) by inserting ‘‘EXTENT OF REDUCTION OR SUSPEN-
SION.—’’ before ‘‘The extent of’’; and 
(B) by striking ‘‘paragraph (2)’’ and inserting ‘‘sub-
section (c)’’. 
(7) CONFORMING AMENDMENTS TO NEW 3806(E).—Subsection 
(e) of such section, as transferred and redesignated by para-
graphs (1) and (2)(A), is amended— 
(A) by inserting ‘‘WRITTEN JUSTIFICATION.—’’ before ‘‘A 
written’’; and 
(B) by striking ‘‘paragraph (2)’’ and inserting ‘‘sub-
section (c)’’. 
(8) CONFORMING AMENDMENTS TO NEW 3806(F).—Subsection 
(f) of such section, as transferred and redesignated by para-
graphs (1) and (2)(A), is amended— 
(A) by inserting ‘‘NOTICE.—’’ before ‘‘The head of an 
agency shall’’; and 
(B) by striking ‘‘paragraph (2)’’ and inserting ‘‘sub-
section (c)’’. 
(9) CONFORMING AMENDMENTS TO NEW 3806(G).—Subsection 
(g) of such section, as transferred and redesignated by para-
graphs (1) and (2)(A), is amended— 
(A) by inserting ‘‘REVIEW.—’’ before ‘‘Not later than’’; 
(B) by striking ‘‘paragraph (2)’’ and inserting ‘‘sub-
section (c)’’; and 
(C) by redesignating subparagraphs (A) and (B) as 
paragraphs (1) and (2), respectively. 
(10) CONFORMING
AMENDMENTS
TO
NEW
3806(H).—Sub-
section (h) of such section, as transferred and redesignated 
by paragraphs (1) and (2)(A), is amended— 
(A) by inserting ‘‘ANNUAL REPORT.—’’ before ‘‘The head 
of’’; and 
(B) by striking ‘‘paragraph (2)’’ and inserting ‘‘sub-
section (c)’’. 
(11) REORDERING AND REDESIGNATION FOR TITLE 41 CONSIST-
ENCY.—Subsections (i) and (j) of such section, as transferred 
and redesignated by paragraphs (1) and (2)(A), are reversed 
in order and are redesignated accordingly. 
(12) CONFORMING AMENDMENTS TO NEW 3806(I).—Subsection 
(i) of such section, as transferred and redesignated by para-
graphs (1), (2)(A), and (11), is amended— 
(A) by inserting ‘‘RESTRICTION
ON
DELEGATION.—’’ 
before ‘‘The head of’’; and 
(B) by striking ‘‘this subsection’’ and inserting ‘‘this 
section’’. 
(13) CONFORMING AMENDMENTS TO NEW 3806(J).—Subsection 
(j) of such section, as transferred and redesignated by para-
graphs (1), (2)(A), and (11), is amended— 
(A) by inserting ‘‘INAPPLICABILITY TO COAST GUARD.— 
’’ before ‘‘This’’; 
(B) by striking ‘‘subsection applies’’ and inserting ‘‘sec-
tion applies’’; and 
(C) by striking ‘‘section 2303(a)’’ and inserting ‘‘section 
3063’’.
H. R. 6395—852 
(h) TRANSFER OF SUBSECTION (H) OF SECTION 2307.—Subsection 
(h) of section 2307 of title 10, United States Code, is transferred 
to section 3807 of such title, as added by subsection (a), inserted 
after the section heading, and amended— 
(1) by striking the subsection designation and subsection 
heading; and 
(2) by striking ‘‘subsection (a)(1)’’ and inserting ‘‘section 
3801(1) of this title’’. 
SEC. 1835. CONTRACTOR AUDITS AND ACCOUNTING. 
(a) NEW CHAPTER.—Part V of subtitle A of title 10, United 
States Code, as added by section 801 of the John S. McCain National 
Defense Authorization Act for Fiscal Year 2019 (Public Law 115– 
232), is amended by striking chapter 279 and inserting the fol-
lowing: 
‘‘CHAPTER 279—CONTRACTOR AUDITS AND 
ACCOUNTING 
‘‘Sec. 
‘‘3841. Examination of records of contractor. 
‘‘3842. Performance of incurred cost audits. 
‘‘3843. Contractor internal audit reports: Department of Defense access to, use of, 
and safeguards and protections for. 
‘‘3844. Contractor business systems. 
‘‘3845. Contractor inventory accounting systems: standards. 
‘‘3846. Defense Contract Audit Agency: legal resources and expertise. 
‘‘3847. Defense Contract Audit Agency: annual report. 
‘‘3848. Defense audit agencies: Small Business Ombudsmen. 
‘‘§ 3841. Examination of records of contractor’’. 
(b) TRANSFER OF SECTION 2313.— 
(1) TRANSFER
OF
SUBSECTIONS
(A)
THROUGH
(H).—Sub-
sections (a) through (h) of section 2313 of title 10, United 
States Code, are transferred to section 3841 of such title, as 
added by subsection (a), inserted after the section heading, 
and redesignated as subsections (b) through (i), respectively. 
(2) TRANSFER OF SUBSECTION (I).—Subsection (i) of section 
2313 of such title is transferred to section 3841 of such title, 
as amended by paragraph (1), inserted before subsection (b), 
as transferred and redesignated by paragraph (1), and redesig-
nated as subsection (a). 
(3) CONFORMING AMENDMENTS TO NEW 3841(B).—Subsection 
(b) of such section 3841, as redesignated by paragraph (1), 
is amended— 
(A) by striking ‘‘AGENCY AUTHORITY.—(1) The head 
of’’ and inserting ‘‘AGENCY AUTHORITY.— 
‘‘(1) The head of’’; 
(B) in paragraph (1)(A), by striking ‘‘made by that 
agency under this chapter’’ and inserting ‘‘made by that 
agency under a chapter 137 legacy provision’’; 
(C) by realigning paragraph (2) 2 ems to the right; 
and 
(D) in paragraph (2), by striking ‘‘section 2306a’’ and 
inserting ‘‘chapter 271’’. 
(4) CONFORMING AMENDMENTS TO NEW 3841(C).—Subsection 
(c) of such section 3841, as redesignated by paragraph (1), 
is amended— 
(A) by striking ‘‘AUTHORITY.—(1) The Director of’’ and 
inserting ‘‘AUTHORITY.—
H. R. 6395—853 
‘‘(1) 
AUTHORITY
TO
REQUIRE
THE
PRODUCTION
OF 
RECORDS.—The Director of’’; 
(B) in paragraph (1), by striking ‘‘subsection (a)’’ and 
inserting ‘‘subsection (b)’’; 
(C) by realigning paragraphs (2) and (3) 2 ems to 
the right; 
(D) in paragraph (2), by inserting ‘‘ENFORCEMENT OF 
SUBPOENA.—’’ before ‘‘Any such subpoena’’; and 
(E) in paragraph (3), by inserting ‘‘AUTHORITY
NOT 
DELEGABLE.—’’ before ‘‘The authority provided by’’. 
(5) CONFORMING AMENDMENTS TO NEW 3841(D).—Subsection 
(d) of such section 3841, as redesignated by paragraph (1), 
is amended— 
(A) by striking ‘‘AUTHORITY.—(1) Except as’’ and 
inserting ‘‘AUTHORITY.— 
‘‘(1) IN GENERAL.—Except as’’; 
(B) by realigning paragraphs (2) and (3) 2 ems to 
the right; 
(C) in paragraph (2), by inserting ‘‘EXCEPTION
FOR 
FOREIGN CONTRACTOR OR SUBCONTRACTOR.—’’ before ‘‘Para-
graph (1) does not apply’’; and 
(D) in paragraph (3), by inserting ‘‘ADDITIONAL 
RECORDS NOT REQUIRED.—’’ before ‘‘Paragraph (1) may not’’. 
(6) CONFORMING AMENDMENTS TO NEW 3841(F).—Subsection 
(f) of such section 3841, as redesignated by paragraph (1), 
is amended— 
(A) by striking ‘‘subsection (a)’’ and inserting ‘‘sub-
section (b)’’; and 
(B) by striking ‘‘subsection (c)’’ and inserting ‘‘sub-
section (d)’’. 
(c) TRANSFER OF TITLE 10 SECTIONS.—Sections 2313b, 2410b, 
2313a, and 204 of title 10, United States Code, are transferred 
to chapter 279 of such title, as added by subsection (a), inserted 
(in that order) after section 3841, as amended by subsection (b), 
and redesignated as sections 3842, 3845, 3847, and 3848, respec-
tively. 
(d) AMENDMENTS TO TRANSFERRED SECTIONS.— 
(1) Section 3842 of such title, as so transferred and redesig-
nated, is amended by striking ‘‘section 2313a’’ in subsection 
(g)(5) and inserting ‘‘section 3847’’. 
(2) Section 3845 of such title, as so transferred and redesig-
nated, is amended by striking ‘‘(as defined in section 103 of 
title 41)’’ in subsection (c). 
(3) Section 3847 of such title, as so transferred and redesig-
nated, is amended by striking ‘‘section 2313b’’ in subsection 
(d)(1) and inserting ‘‘section 3842’’. 
(4) The heading of section 3848 of such title, as so trans-
ferred and redesignated, is amended to read as follows: 
‘‘§ 3848. Defense audit agencies: Small Business Ombuds-
men’’. 
(e) PLACEHOLDER SECTIONS.—Chapter 279 of such title, as 
added and amended by this section, is further amended— 
(1) by inserting after section 3842, as transferred and 
redesignated by subsection (c), the following:
H. R. 6395—854 
‘‘§ 3843. Contractor internal audit reports: Department of 
Defense access to, use of, and safeguards and 
protections for 
‘‘øReserved.¿ 
‘‘§ 3844. Contractor business systems 
‘‘øReserved.¿’’; and 
(2) by inserting after section 3845, as transferred and 
redesignated by subsection (c), the following: 
‘‘§ 3846. Defense Contract Audit Agency: legal resources and 
expertise 
‘‘øReserved.¿’’. 
SEC. 1836. CLAIMS AND DISPUTES. 
(a) NEW CHAPTER.—Part V of subtitle A of title 10, United 
States Code, as added by section 801 of the John S. McCain National 
Defense Authorization Act for Fiscal Year 2019 (Public Law 115– 
232), is amended by striking chapter 281 and inserting the fol-
lowing: 
‘‘CHAPTER 281—CLAIMS AND DISPUTES 
‘‘Sec. 
‘‘3861. Research and development contracts: indemnification provisions. 
‘‘3862. Requests for equitable adjustment or other relief: certification. 
‘‘3863. Retention of amounts collected from contractor during the pendency of con-
tract dispute.’’. 
(b) TRANSFER OF SECTIONS.—Sections 2354, 2410, and 2410m 
of title 10, United States Code, are transferred to chapter 281 
of such title, as added by subsection (a), inserted (in that order) 
after the table of sections, and redesignated as sections 3861, 3862, 
and 3863, respectively. 
(c) HEADING AMENDMENT.—The heading of section 3861 of title 
10, United States Code, as so transferred and redesignated, is 
amended to read as follows: 
‘‘§ 3861. Research and development contracts: indemnifica-
tion provisions’’. 
SEC. 1837. FOREIGN ACQUISITIONS. 
(a) NEW CHAPTER.—Part V of subtitle A of title 10, United 
States Code, as added by section 801 of the John S. McCain National 
Defense Authorization Act for Fiscal Year 2019 (Public Law 115– 
232), is amended by striking chapter 283 and inserting the fol-
lowing: 
‘‘CHAPTER 283—FOREIGN ACQUISITIONS 
‘‘Subchapter Sec. 
‘‘I. General ..............................................................................................................
3881 
‘‘II. Prohibition on Contracting with the Enemy .................................................
3891 
‘‘SUBCHAPTER I—GENERAL 
‘‘Sec. 
‘‘3881. Contracts: consideration of national security objectives.’’. 
(b) TRANSFER OF SECTION 2327.— 
(1) TRANSFER.—Section 2327 of title 10, United States 
Code, is transferred to chapter 283 of such title, as added
H. R. 6395—855 
by subsection (a), inserted after the table of sections at the 
beginning of subchapter I, and redesignated as section 3881. 
(2) 
APPLICABILITY
OF
DEFINITIONS.—Such 
section 
is 
amended in subsection (f)(2) by striking ‘‘This section does 
not’’ and inserting ‘‘The provisions of section 3011 of this title 
apply in this section, except that this section does not’’. 
(c) FUTURE CODIFICATION
OF SECTIONS 841-843 OF FY2015 
NDAA.—Chapter 283 of title 10, United States Code, is further 
amended by adding at the end the following: 
‘‘Subchapter II—Prohibition on Contracting With the Enemy 
‘‘Sec. 
‘‘3891. øReserved¿. 
‘‘3892. øReserved¿. 
‘‘3893. øReserved¿.’’. 
SEC. 1838. SOCIOECONOMIC PROGRAMS. 
(a) NEW CHAPTER.—Part V of subtitle A of title 10, United 
States Code, as added by section 801 of the John S. McCain National 
Defense Authorization Act for Fiscal Year 2019 (Public Law 115– 
232), is amended by striking chapter 287 and inserting the fol-
lowing: 
‘‘CHAPTER 287—SOCIOECONOMIC PROGRAMS 
‘‘Sec. 
‘‘3901. Contracts: prohibition on competition between Department of Defense and 
small businesses. 
‘‘3902. Credit for Indian contracting in meeting certain subcontracting goals for 
small disadvantaged businesses. 
‘‘3903. Subcontracting plans: credit for certain purchases. 
‘‘3904. Research and educational programs and activities: historically black colleges 
and universities and minority-serving institutions of higher education. 
‘‘3905. Products of Federal Prison Industries: procedural requirements.’’. 
(b) TRANSFER OF SECTIONS.—Section 2304e, 2323a, 2410d, 2362, 
and 2410n of such title are transferred to chapter 285 of such 
title, as added by subsection (a), inserted (in that order) after 
the table of sections, and redesignated as section 3901, 3902, 3903, 
3904, and 3905, respectively. 
Subtitle E—Research and Engineering 
SEC. 1841. RESEARCH AND ENGINEERING GENERALLY. 
(a) SWITCHING OF SUBPARTS E AND F.— 
(1) NEW
SUBPART
E.—Part V of subtitle A of title 10, 
United States Code, as added by section 801 of the John S. 
McCain National Defense Authorization Act for Fiscal Year 
2019 (Public Law 115–232), is amended— 
(A) by striking subparts E and F; and 
(B) by inserting after subpart D the following new 
subpart E: 
‘‘Subpart E—Research and Engineering 
‘‘CHAPTER 301— RESEARCH AND ENGINEERING 
GENERALLY 
‘‘Sec. 
‘‘4001. Research and development projects.
H. R. 6395—856 
‘‘4002. Research projects: transactions other than contracts and grants. 
‘‘4003. Authority of the Department of Defense to carry out certain prototype 
projects. 
‘‘4004. Procurement for experimental purposes. 
‘‘4005. øReserved¿. 
‘‘4006. øReserved¿. 
‘‘4007. Science and technology programs to be conducted so as to foster the transi-
tion of science and technology to higher levels of research, development, 
test, and evaluation. 
‘‘4008. Merit-based award of grants for research and development. 
‘‘4009. Technology protection features activities. 
‘‘4010. øReserved¿. 
‘‘4011. øReserved¿. 
‘‘4012. øReserved¿. 
‘‘4013. øReserved¿. 
‘‘4014. Coordination and communication of defense research activities and tech-
nology domain awareness. 
‘‘4015. Award of grants and contracts to colleges and universities: requirement of 
competition.’’. 
(2) TABLES OF CHAPTERS.—The tables of chapters at the 
beginning of subtitle A, and at the beginning of part V of 
subtitle A, of title 10, United States Code, are amended by 
striking the items relating to subparts E and F and inserting 
the following: 
‘‘Subpart E—Research and Engineering 
‘‘301. Research and Engineering Generally 
‘‘303. Innovation 
‘‘305. Department of Defense Laboratories 
‘‘307. Research and Development Centers and Facilities 
‘‘309. Test and Evaluation’’. 
(b) TRANSFER OF TITLE 10 SECTIONS TO NEW CHAPTER 301.— 
(1) TRANSFERS.—Sections 2358, 2371, 2371b and 2373 of 
title 10, United States Code, are transferred to chapter 301 
of such title, as added by subsection (a), inserted (in that 
order) after the table of sections, and redesignated as sections 
4001, 4002, 4003, and 4004, respectively. 
(2) CONFORMING CROSS-REFERENCE AMENDMENTS.— 
(A) Section 4001 of such title, as transferred and 
redesignated by paragraph (1), is amended— 
(i) in subsection (b)(5), by striking ‘‘sections 2371 
or 2371b’’ and inserting ‘‘sections 4002 or 4003’’; 
(ii) in subsection (b)(6), by striking ‘‘section 2373’’ 
and inserting ‘‘sections 4004’’; and 
(iii) in subsection (d), by striking ‘‘sections 2371 
and 2371a’’ and inserting ‘‘sections 4002 and 4143’’. 
(B) Section 4002 of such title, as so transferred and 
redesignated, is amended by striking ‘‘section 2358’’ each 
place it appears and inserting ‘‘section 4001’’. 
(C) Section 4003 of such title, as so transferred and 
redesignated, is amended by striking ‘‘section 2371’’ in sub-
sections (a)(1), (b)(1), and (c)(3)(A) and inserting ‘‘section 
4002’’. 
(c) TRANSFER
OF ADDITIONAL TITLE 10 SECTIONS
TO NEW 
CHAPTER.—Sections 2359, 2374, 2357, and 2361 of title 10, United 
States Code, are transferred to chapter 301 of such title, as added 
by subsection (a), added (in that order) after section 4004, as trans-
ferred and redesignated by subsection (b), and redesignated as 
sections 4007, 4008, 4009, and 4015, respectively. 
(d) TRANSFER OF SECTION 2364(A).— 
(1) TRANSFER.—The heading and subsection (a) of section 
2364 of title 10, United States Code, are transferred to chapter
H. R. 6395—857 
301 of such title, as so amended, inserted after section 4009, 
as transferred and redesignated by subsection (c), and redesig-
nated as section 4014. 
(2) PRESERVATION
OF
DEFINITION.—Section 4014, as 
redesignated by paragraph (1), is amended by adding at the 
end the following new subsection: 
‘‘(b) DEFENSE RESEARCH FACILITY DEFINED.—In this section, 
the term ‘Defense research facility’ has the meaning given that 
term by section 4142(b) of this title.’’. 
(e) 
ADDITIONAL
CONFORMING
CROSS-REFERENCE
AMEND-
MENTS.— 
(1) Sections 1746(d)(1) and 2165(f)(1) of title 10, United 
States Code, are amended by striking ‘‘section 2358’’ and 
inserting ‘‘section 4001’’. 
(2) Section 218(b)(1) of the National Defense Authorization 
Act for Fiscal Year 2016 (Public Law 114–92; 10 U.S.C. 2501 
note) is amended by striking ‘‘section 2371b’’ and inserting 
‘‘section 4003’’. 
SEC. 1842. INNOVATION. 
(a) NEW CHAPTER.—Part V of subtitle A of title 10, United 
States Code, as added by section 801 of the John S. McCain National 
Defense Authorization Act for Fiscal Year 2019 (Public Law 115– 
232), is amended by inserting after chapter 301, as added by the 
preceding section, the following new chapter: 
‘‘CHAPTER 303—INNOVATION 
‘‘Sec. 
‘‘4061. Defense Research and Development Rapid Innovation Program. 
‘‘4062. Defense Acquisition Challenge Program. 
‘‘4063. Extramural acquisition innovation and research activities. 
‘‘4064. Joint reserve detachment of the Defense Innovation Unit. 
‘‘4065. Prizes for advanced technology achievements. 
‘‘4066. Global Research Watch Program.’’. 
(b) TRANSFER OF TITLE 10 SECTIONS.—Sections 2359a, 2359b, 
2361a, 2358b, 2374a, and 2365 of title 10, United States Code, 
are transferred to chapter 303 of such title, as added by subsection 
(a), inserted (in that order) after the table of sections, and redesig-
nated as sections 4061, 4062, 4063, 4064, 4065, and 4066, respec-
tively. 
(c) CONFORMING CROSS-REFERENCE AMENDMENTS.— 
(1) Section 1089(a) of the National Defense Authorization 
Act for Fiscal Year 2018 (Public Law 115–91; 10 U.S.C. 2374a 
note) is amended by striking ‘‘section 2374a’’ and inserting 
‘‘section 4065’’. 
(2) Section 905(a)(1) of the John S. McCain National 
Defense Authorization Act for Fiscal Year 2019 (Public Law 
115–232; 10 U.S.C. 2364 note) is amended by striking ‘‘section 
2365’’ and inserting ‘‘section 4066’’. 
SEC. 1843. DEPARTMENT OF DEFENSE LABORATORIES. 
(a) NEW CHAPTER.—Part V of subtitle A of title 10, United 
States Code, as added by section 801 of the John S. McCain National 
Defense Authorization Act for Fiscal Year 2019 (Public Law 115– 
232), is amended by inserting after chapter 303, as added by the 
preceding section, the following new chapter:
H. R. 6395—858 
‘‘CHAPTER 305—DEPARTMENT OF DEFENSE 
LABORATORIES 
‘‘Subchapter
Sec. 
‘‘I. General Matters ...............................................................................................
4101 
‘‘II. Personnel-Related Matters .............................................................................
4111 
‘‘SUBCHAPTER I—GENERAL MATTERS 
‘‘Sec. 
‘‘4101. øReserved¿. 
‘‘4102. øReserved¿. 
‘‘4103. Mechanisms to provide funds for defense laboratories for research and devel-
opment of technologies for military missions. 
‘‘SUBCHAPTER II—PERSONNEL-RELATED MATTERS 
‘‘Sec. 
‘‘4111. Authorities for certain positions at science and technology reinvention labora-
tories. 
‘‘4112. Research and development laboratories: contracts for services of university 
students.’’. 
(b) TRANSFER OF TITLE 10 SECTIONS.— 
(1) TRANSFER TO SUBCHAPTER I.—Section 2363 of title 10, 
United States Code, is transferred to subchapter I of chapter 
305 of such title, as added by subsection (a), inserted after 
the table of sections at the beginning of such subchapter, and 
redesignated as section 4103. 
(2) TRANSFERS TO SUBCHAPTER II.—Sections 2358a and 2360 
of title 10, United States Code, are transferred to subchapter 
II of chapter 305 of such title, as added by subsection (a), 
inserted (in that order) after the table of sections at the begin-
ning of such subchapter, and redesignated as sections 4111 
and 4112, respectively. 
(c) 
CONFORMING
CROSS-REFERENCE
AMENDMENT.—Section 
2805(d)(1)(B) of title 10, United States Code, is amended by striking 
‘‘section 2363(a)’’ and inserting ‘‘section 4103(a)’’. 
SEC. 1844. RESEARCH AND DEVELOPMENT CENTERS AND FACILITIES. 
(a) NEW CHAPTER.—Part V of subtitle A of title 10, United 
States Code, as added by section 801 of the John S. McCain National 
Defense Authorization Act for Fiscal Year 2019 (Public Law 115– 
232), is amended by inserting after chapter 305, as added by the 
preceding section, the following new chapter: 
‘‘CHAPTER 307—RESEARCH AND DEVELOPMENT 
CENTERS AND FACILITIES 
‘‘Sec. 
‘‘4141. Contracts: acquisition, construction, or furnishing of test facilities and equip-
ment. 
‘‘4142. Functions of Defense research facilities. 
‘‘4143. Cooperative research and development agreements under Stevenson-Wydler 
Technology Innovation Act of 1980. 
‘‘4144. Use of test and evaluation installations by commercial entities. 
‘‘4145. Cooperative agreements for reciprocal use of test facilities: foreign countries 
and international organizations. 
‘‘4146. Centers for Science, Technology, and Engineering Partnership. 
‘‘4147. Use of federally funded research and development centers.’’. 
(b) TRANSFER OF TITLE 10 SECTIONS.— 
(1) IN GENERAL.—The sections of title 10, United States 
Code, specified in the left-hand column of the table below
H. R. 6395—859 
are transferred to chapter 307 of such title, as added by sub-
section (a), inserted (in that order), after the table of sections, 
and redesignated as shown in the right-hand column: 
Section 
Redesignated Section 
2353 
4141 
2371a 
4143 
2681 
4144 
2350l 
4145 
2368 
4146 
2367 
4147 
(2) CLERICAL AMENDMENTS.— 
(A) The table of sections at the beginning of subchapter 
II of chapter 138 of title 10, United States Code, is amended 
by striking the item relating to section 2350l. 
(B) The table of sections at the beginning of chapter 
159 of such title is amended by striking the item relating 
to section 2681. 
(c) CONFORMING
AMENDMENTS
TO
TRANSFERRED
SECTION 
4146.—Section 4146 of such title, as transferred and redesignated 
by subsection (b), is amended— 
(1) in subsection (b)(3)(B)(ii), by striking ‘‘2358, 2371, 2511, 
2539b,’’ and inserting ‘‘4001, 4002, 4831, 4892,’’; and 
(2) in subsection (d)(2), by striking ‘‘section 219’’ and all 
that follows and inserting ‘‘section 4103 of this title.’’. 
(d) TRANSFER OF SECTION 2364(B) AND (C).— 
(1) HEADING.—Chapter 307 of title 10, United States Code, 
as amended by subsection (a), is further amended by inserting 
after section 4141, as transferred and redesignated by sub-
section (b), the following: 
‘‘§ 4142. Functions of Defense research facilities’’. 
(2) TEXT.—Subsections (b) and (c) of section 2364 of such 
title are transferred to chapter 307 of such title, as so amended, 
inserted after the section heading for section 4142 added by 
paragraph (1), and redesignated as subsections (a) and (b), 
respectively. 
(e) CONFORMING CROSS-REFERENCE AMENDMENTS.— 
(1) Section 114(b) of title 10, United States Code, is 
amended by striking ‘‘section 2353’’ and inserting ‘‘section 
4141’’. 
(2) Section 1644(f)(2) of the John S. McCain National 
Defense Authorization Act for Fiscal Year 2019 (Public Law 
115–232; 10 U.S.C. 2224 note) is amended by striking ‘‘section 
2368’’ and inserting ‘‘section 4146’’. 
SEC. 1845. TEST AND EVALUATION. 
(a) NEW CHAPTER.—Part V of subtitle A of title 10, United 
States Code, as added by section 801 of the John S. McCain National 
Defense Authorization Act for Fiscal Year 2019 (Public Law 115– 
232), is amended by inserting after chapter 307, as added by the 
preceding section, the following new chapter:
H. R. 6395—860 
‘‘CHAPTER 309—TEST AND EVALUATION 
‘‘Sec. 
‘‘4171. Operational test and evaluation of defense acquisition programs. 
‘‘4172. Major systems and munitions programs: survivability testing and lethality 
testing required before full-scale production. 
‘‘4173. Department of Defense Test Resource Management Center.’’. 
(b) TRANSFER
OF TITLE 10 SECTIONS.—Sections 2399, 2366, 
and 196 of title 10, United States Code, are transferred to chapter 
309 of such title, as amended by subsection (a), inserted after 
the table of sections (in that order), and redesignated as section 
4171, 4172, and 4173, respectively. 
(c) CONFORMING CROSS-REFERENCE AMENDMENTS.— 
(1) Section 139(b)(6) of title 10, United States Code, is 
amended by striking ‘‘section 2366’’ and inserting ‘‘section 
4172’’. 
(2) Section 171a(i)(3) of such title is amended by striking 
‘‘section 2366(e)’’ and inserting ‘‘sections 4172(e)’’. 
(3) Section 2275(g)(3) of such title is amended by striking 
‘‘section 2366(e)(7)’’ and inserting ‘‘sections 4172(e)(7)’’. 
(4) Section 130i(j)(3)(C)(ix) of such title is amended by 
striking ‘‘section 196(i)’’ and inserting ‘‘sections 4173(i)’’. 
(5) Section 4111 of such title, as transferred and redesig-
nated by section 503(b)(2), is amended by striking ‘‘section 
196’’ in subsection (f)(1) and inserting ‘‘section 4173’’. 
(6) Section 220(c) of the National Defense Authorization 
Act for Fiscal Year 2010 (Public Law 111–84; 10 U.S.C. 221 
note) is amended by striking ‘‘section 196(h)’’ and inserting 
‘‘sections 4173(i)’’. 
Subtitle F—Major Systems, Major Defense 
Acquisition Programs, and Weapon Sys-
tems Development 
SEC. 1846. GENERAL MATTERS. 
(a) TABLES
OF CHAPTERS AMENDMENTS SHOWING CHAPTER 
ORGANIZATION FOR SUBPART F.—The tables of chapters at the begin-
ning of subtitle A, and at the beginning of part V of subtitle 
A (as added by section 801 of Public Law 115–232), of title 10, 
United States Code, are amended by inserting before the item 
for the heading for subpart G of part V the following: 
‘‘Subpart F—Major Systems, Major Defense Acqui-
sition Programs, and Weapon Systems Develop-
ment 
‘‘321. General Matters 
‘‘322. Major Systems and Major Defense Acquisition Programs Generally 
‘‘323. Life-Cycle And Sustainment 
‘‘324. Program Status—Selected Acquisition Reports 
‘‘325. Cost Growth—Unit Cost Reports (Nunn-McCurdy) 
‘‘327. Weapon Systems Development and Related Matters’’. 
(b) DESIGNATION OF REVISED SUBPART F AND INSERTION OF 
NEW CHAPTER 321.—Part V of subtitle A of title 10, United States 
Code, as added by section 801 of the John S. McCain National 
Defense Authorization Act for Fiscal Year 2019 (Public Law 115–
H. R. 6395—861 
232), is amended by inserting before subpart G the following new 
subpart: 
‘‘Subpart F—Major Systems, Major Defense Acqui-
sition Programs, and Weapon Systems Develop-
ment 
‘‘CHAPTER 321—GENERAL MATTERS 
‘‘Sec. 
‘‘4201. Major defense acquisition programs: definition; exceptions. 
‘‘4202. Authority to increase definitional threshold amounts: major defense acquisi-
tion programs; major systems. 
‘‘4203. Major subprograms. 
‘‘4204. Milestone decision authority. 
‘‘4205. Weapon systems for which procurement funding requested in budget: devel-
opment and procurement schedules. 
‘‘§ 4201. Major defense acquisition programs: definition; 
exceptions 
‘‘§ 4202. Authority to increase definitional threshold amounts: 
major defense acquisition programs; major systems 
‘‘§ 4204. Milestone decision authority’’. 
(c) TRANSFER OF SUBSECTION (A) OF SECTION 2430.— 
(1) HEADINGS AND INTERNAL REDESIGNATIONS.—Subsection 
(a) of section 2430 of title 10, United States Code, is transferred 
to section 4201 of such title, as added by subsection (b), inserted 
after the section heading, and amended— 
(A) by striking ‘‘(1) Except as’’ and inserting ‘‘DEFINI-
TION.—Except as’’; 
(B) by striking ‘‘under paragraph (2)’’ and inserting 
‘‘under subsection (b)’’; 
(C) by striking ‘‘in this chapter’’ and inserting ‘‘in this 
part’’; 
(D) by redesignating paragraph (2) as subsection (b) 
and striking ‘‘In this chapter’’ and inserting ‘‘EXCEPTIONS.— 
In this part’’; and 
(E) by redesignating subparagraphs (A) and (B) of sub-
section (a) and of subsection (b), as so redesignated, as 
paragraphs (1) and (2), respectively. 
(2) REVISIONS TO NEW SECTION 4201(A)(2).—Subsection (a)(2) 
of such section 4201, as redesignated and amended by para-
graph (1), is amended— 
(A) by striking ‘‘to require an eventual’’ and inserting 
‘‘to require— 
‘‘(A) an eventual’’; and 
(B) by striking ‘‘or an eventual’’ and inserting ‘‘; or 
‘‘(B) an eventual’’. 
(3) REVISIONS TO NEW SECTION 4201(B).—Subsection (b) of 
such section 4201, as redesignated and amended by paragraph 
(1)(D), is amended— 
(A) by striking ‘‘include—’’ and inserting ‘‘include the 
following:’’; 
(B) by striking ‘‘an’’ at the beginning of paragraphs 
(1) and (2), as redesignated by paragraph (1)(E) and 
inserting ‘‘An’’; and
H. R. 6395—862 
(C) by striking ‘‘; or’’ at the end of paragraph (1), 
as so redesignated, and inserting a period. 
(d) TRANSFER OF SUBSECTIONS (B) AND (C) OF SECTION 2430.— 
(1) TRANSFER AND INTERNAL REDESIGNATIONS.—Subsections 
(b) and (c) of section 2430 of title 10, United States Code, 
are transferred to section 4202 of such title, as added by sub-
section (b), inserted after the section heading, and amended— 
(A) by redesignating subsection (b) as subsection (a); 
(B) by striking the second sentence of that subsection; 
and 
(C) by redesignating subsection (c) as paragraph (2), 
realigning that paragraph 2 ems to the right, and redesig-
nating paragraphs (1), (2), (3), and (4) therein as subpara-
graphs (A), (B), (C), and (D), respectively. 
(2) Subsection (a) of such section, as so redesignated, is 
further amended— 
(A) by striking ‘‘The Secretary’’ and inserting ‘‘ADJUST-
MENTS TO THRESHOLDS FOR MAJOR DEFENSE ACQUISITION 
PROGRAMS.— 
‘‘(1) AUTHORITY.—The Secretary’’; 
(B) by striking ‘‘in subsection (a)(1)(B)’’ and inserting 
‘‘in section 4201(a)(2) of this title’’; 
(C) in paragraph (2), as redesignated by paragraph 
(1)(C)— 
(i) by inserting ‘‘MATTERS TO BE CONSIDERED.— 
’’ before ‘‘For purposes of’’; 
(ii) by striking ‘‘subsection (a)(1)(B)’’ and inserting 
‘‘section 4201(a)(2) of this title’’; 
(iii) in subparagraph (B), as redesignated by para-
graph (1)(C), by striking ‘‘section 2366a(a)(6)’’ and 
inserting ‘‘section 4251(a)(6)’’; 
(iv) in subparagraph (C), as so redesignated, by 
striking ‘‘section 2366b(a)(1)(C)’’ and inserting ‘‘section 
4252(a)(1)(C)’’; and 
(v) in subparagraph (D), as so redesignated, by 
striking ‘‘section 2435’’ and inserting ‘‘section 4214’’. 
(e) TRANSFER OF SUBSECTION (C) OF SECTION 2302D.— 
(1) TRANSFER AND INTERNAL REDESIGNATIONS.—Subsection 
(c) of section 2302d of title 10, United States Code, is trans-
ferred to section 4202 of such title, as added by subsection 
(b), inserted after subsection (a) of that section, as transferred 
and amended by subsection (d), and amended— 
(A) by redesignating such subsection as subsection (b); 
and 
(B) by redesignating paragraph (3) thereof as sub-
section (c). 
(2) AMENDMENTS TO NEW 4202(B).—Subsection (b) of section 
4202 of such title, as so transferred and redesignated, is 
amended— 
(A) by striking ‘‘ADJUSTMENT AUTHORITY.—(1) The Sec-
retary’’ and inserting ‘‘ADJUSTMENT AUTHORITY FOR MAJOR 
SYSTEMS.— 
‘‘(1) AUTHORITY.—The Secretary’’; 
(B) by striking ‘‘subsection (a)’’ and inserting ‘‘section 
3041(c)(1) of this title’’; and
H. R. 6395—863 
(C) by realigning paragraph (2) 2 ems from the left 
margin and inserting ‘‘ROUNDING.—’’ in that paragraph 
after ‘‘(2)’’. 
(3) AMENDMENTS TO NEW 4202(C).—Subsection (c) of section 
4202 of such title, as redesignated by paragraph (1), is 
amended— 
(A) by inserting ‘‘NOTIFICATION
TO CONGRESSIONAL 
COMMITTEES.—’’ before ‘‘An adjustment’’; and 
(B) by striking ‘‘under this subsection’’ and inserting 
‘‘under subsection (a) or (b)’’. 
(f) TRANSFER OF SUBSECTION (D) OF SECTION 2430.— 
(1) TRANSFER AND INTERNAL REDESIGNATIONS.—Subsection 
(d) of section 2430 of title 10, United States Code, is transferred 
to section 4204 of such title, as added by subsection (b), inserted 
after the section heading, and amended by striking the sub-
section designation and redesignating paragraphs (1), (2), (3), 
(4), and (5) as subsections (a), (b), (c), (d), and (f), respectively. 
(2) AMENDMENTS TO NEW SECTION 4204(A).—Subsection (a) 
of such section 4204, as transferred and redesignated by para-
graph (1), is amended— 
(A) by inserting ‘‘SERVICE ACQUISITION EXECUTIVE.— 
’’ before ‘‘The milestone’’; and 
(B) by striking ‘‘under paragraph (2)’’ and inserting 
‘‘under subsection (b)’’. 
(3) AMENDMENTS TO NEW SECTION 4204(B).—Subsection (b) 
of such section 4204, as redesignated by paragraph (1), is 
amended— 
(A) by inserting ‘‘DESIGNATION OF ALTERNATE MILE-
STONE DECISION AUTHORITY.—’’ before ‘‘The Secretary’’; 
(B) by striking ‘‘to which—’’ and inserting ‘‘to which 
any of the following applies:’’; 
(C) by redesignating subparagraphs (A) through (E) 
as paragraphs (1) through (5), respectively; 
(D) in paragraph (1), as so redesignated, by striking 
‘‘subject to paragraph (5)’’ and inserting ‘‘Subject to sub-
section (f)’’; 
(E) in paragraph (3), as so redesignated, by striking 
‘‘section 2433’’ and inserting ‘‘sections 4371 through 4375’’; 
(F) by striking ‘‘the’’ at the beginning of paragraphs 
(2), (3), (4), and (5), as so redesignated, and inserting 
‘‘The’’; 
(G) by striking the semicolon at the end of paragraphs 
(1), (2), and (3), as so redesignated, and inserting a period; 
and 
(H) by striking ‘‘; or’’ at the end of paragraph (4), 
as so redesignated, and inserting a period. 
(4) AMENDMENTS TO NEW SECTION 4204(C).—Subsection (c) 
of section 4204 of such title, as so redesignated, is amended— 
(A) by striking ‘‘(A) After designating’’ and inserting 
‘‘REVERSION TO SERVICE ACQUISITION EXECUTIVE.— 
‘‘(1) After designating’’; 
(B) by striking ‘‘under paragraph (2)’’ and inserting 
‘‘under subsection (b)’’; and 
(C) by redesignating subparagraph (B) as paragraph 
(2), realigning that paragraph 2 ems from the left margin, 
and striking ‘‘section 2433’’ and inserting ‘‘sections 4371 
through 4375’’.
H. R. 6395—864 
(5) AMENDMENTS TO NEW SECTION 4204(D).—Subsection (d) 
of section 4204 of such title, as so redesignated, is amended— 
(A) by striking ‘‘(A) For each’’ and inserting ‘‘CERTIFI-
CATIONS
RELATING
TO
PROGRAM
REQUIREMENTS
AND 
FUNDING.—For each’’; 
(B) by redesignating subparagraph (B) as subsection 
(e); 
(C) by striking ‘‘under section 2432 of this title, certify 
that’’ and inserting ‘‘under sections 4351 through 4358 
of this title— 
‘‘(1) certify that’’; and 
(D) by striking ‘‘the program and identify and report’’ 
and inserting ‘‘the program; and 
‘‘(2) identify and report’’. 
(6) AMENDMENTS TO NEW SECTION 4204(E).—Subsection (e) 
of section 4204 of such title, as redesignated by paragraph 
(5)(B), is amended— 
(A) by inserting ‘‘DOCUMENTATION AND OVERSIGHT— 
’’ before ‘‘The Secretary of Defense’’; 
(B) by striking ‘‘programs and shall limit outside 
requirements’’ and inserting ‘‘programs and shall— 
‘‘(1) limit outside requirements’’; and 
(C) by striking ‘‘decision authority and ensure that’’ 
and inserting ‘‘decision authority; and 
‘‘(2) ensure that’’. 
(7) AMENDMENTS TO NEW SECTION 4204(F).—Subsection (f) 
of section 4204 of such title, as redesignated by paragraph 
(1), is amended— 
(A) by inserting ‘‘LIMITATION ON AUTHORITY TO DES-
IGNATE ALTERNATIVE MDA FOR PROGRAMS ADDRESSING 
JOINT REQUIREMENTS.—’’ before ‘‘The authority of’’; and 
(B) by striking ‘‘in paragraph (2)(A)’’ and inserting 
‘‘in subsection (b)(1)’’. 
(8) CONFORMING REPEAL.—Section 2430 of title 10, United 
States Code, is repealed. 
(g) TRANSFER OF SECTION 2430A.—Section 2430a of such title 
is transferred to chapter 321 of such title, as added by subsection 
(b), inserted after section 4202, redesignated as section 4203, and 
amended— 
(1) by striking ‘‘section 2432(a)’’ in subsection (d) and 
inserting ‘‘section 4351’’; and 
(2) by striking ‘‘this chapter’’ each place it appears and 
inserting ‘‘this subpart’’. 
(h) TRANSFER OF SECTION 2431.— 
(1) Section 2431 of such title is transferred to chapter 
321, as added by subsection (b), added at the end, and redesig-
nated as section 4205. 
(2) The heading of such section is amended to read as 
follows: 
‘‘§ 4205. Weapon systems for which procurement funding 
requested in budget: development and procure-
ment schedules’’. 
(i) CROSS REFERENCES.—The following provisions of law are 
amended by striking ‘‘section 2430’’ or ‘‘section 2430(a)’’, as the 
case may be, and inserting ‘‘section 4201’’: 
(1) Section 139(a)(2)(B) of title 10, United States Code.
H. R. 6395—865 
(2) Section 189(c)(1) of such title. 
(3) Section 1706(c)(1) of such title. 
(4) Sections 1731(b)(1)(B)(ii) and 1737(a)(3) of such title. 
(5) Section 2275(g)(2) of such title. 
(6) Section 141(a) of the Bob Stump National Defense 
Authorization Act for Fiscal Year 2003 (Public Law 107–314; 
50 U.S.C. 1521a). 
SEC. 1847. MAJOR SYSTEMS AND MAJOR DEFENSE ACQUISITION PRO-
GRAMS GENERALLY. 
(a) NEW CHAPTER.—Part V of subtitle A of title 10, United 
States Code, as added by section 801 of the John S. McCain National 
Defense Authorization Act for Fiscal Year 2019 (Public Law 115- 
232), is amended by inserting after chapter 321, as added by the 
preceding section, the following new chapter: 
‘‘CHAPTER 322—MAJOR SYSTEMS AND MAJOR DEFENSE 
ACQUISITION PROGRAMS GENERALLY 
‘‘Subchapter
Sec. 
‘‘I. Management .....................................................................................................
4211 
‘‘II. Contracting ......................................................................................................
4231 
‘‘III. Milestones for Major Defense Acquisition Programs ..................................
4251 
‘‘IV. Additional Provisions Applicable Specifically to Major Defense Acquisi-
tion Programs ...........................................................................................
4271 
‘‘III. Contractors .....................................................................................................
4291 
‘‘SUBCHAPTER I—MANAGEMENT 
‘‘Sec. 
‘‘4211. Acquisition strategy. 
‘‘4212. Risk management and mitigation. 
‘‘4213. øReserved¿. 
‘‘4214. Baseline description. 
‘‘4215. øReserved¿. 
‘‘4216. øReserved¿. 
‘‘4217. øReserved¿. 
‘‘4218. øReserved¿. 
‘‘SUBCHAPTER II—CONTRACTING 
‘‘Sec. 
‘‘4231. Major systems: determination of quantity for low-rate initial production. 
‘‘4232. Use of lowest price technically acceptable source selection process: prohibi-
tion. 
‘‘4233. øReserved¿. 
‘‘4234. øReserved¿. 
‘‘4235. øReserved¿. 
‘‘4236. Negotiation of price for technical data before development, production, or 
sustainment of major weapon systems. 
‘‘SUBCHAPTER III—MILESTONES FOR MAJOR DEFENSE 
ACQUISITION PROGRAMS 
‘‘Sec. 
‘‘4251. Major defense acquisition programs: determination required before Milestone 
A approval. 
‘‘4252. Major defense acquisition programs: certification required before Milestone B 
approval. 
‘‘4253. Major defense acquisition programs: submissions to Congress on Milestone 
C. 
‘‘4254. øReserved¿.
H. R. 6395—866 
‘‘SUBCHAPTER IV—ADDITIONAL PROVISIONS APPLICABLE 
SPECIFICALLY TO MAJOR DEFENSE ACQUISITION PRO-
GRAMS 
‘‘Sec. 
‘‘4271. Program cost, fielding, and performance goals in planning major defense ac-
quisition programs. 
‘‘4272. Independent technical risk assessments. 
‘‘4273. Performance assessments and root cause analyses. 
‘‘4274. Acquisition-related functions of chiefs: adherence to requirements in major 
defense acquisition programs. 
‘‘4275. øReserved¿. 
‘‘4276. øReserved¿. 
‘‘SUBCHAPTER V—CONTRACTORS 
‘‘Sec. 
‘‘4291. øReserved¿. 
‘‘4292. Contracts: limitations on lead system integrators. 
‘‘4293. Major defense acquisition programs: incentive program for contractors to pur-
chase capital assets manufactured in United States.’’. 
(b) SUBCHAPTER I (MANAGEMENT).— 
(1) TRANSFER OF SECTION 2431A.— 
(A) TRANSFER.—Section 2431a of 10, United States 
Code, is transferred to chapter 322, as added by subsection 
(a), inserted after the table of sections at the beginning 
of subchapter I, and redesignated as section 4211. 
(B) CONFORMING
CROSS-REFERENCE
AMENDMENTS.— 
Such section is amended— 
(i) in subsection (c)(2)— 
(I) in subparagraph (D), by striking ‘‘section 
2337’’ and inserting ‘‘section 4324’’; 
(II) in subparagraph (F), by striking ‘‘section 
2320’’ and inserting ‘‘sections 3771 through 3775’’; 
and 
(III) in subparagraph (H), by striking ‘‘section 
2306b’’ and inserting ‘‘sections 3501 through 3511’’; 
and 
(ii) in subsection (e)— 
(I) in paragraph (4), by striking ‘‘section 
2366(e)(7)’’ and inserting ‘‘section 4172(e)(7)’’; 
(II) in paragraph (7), by striking ‘‘section 
2433(a)(4)’’ and inserting ‘‘section 4371(a)(2)’’; and 
(III) in paragraph (8), by striking ‘‘section 
2433(a)(5)’’ and inserting ‘‘section 4371(a)(3)’’. 
(C) DEFINITIONS.—Subsection (e) of such section is fur-
ther amended— 
(i) by striking paragraphs (1) and (2); and 
(ii) redesignating paragraphs (3) through (10) (as 
amended by subparagraph (B)(ii)) as paragraphs (1) 
through (8), respectively; 
(2) TRANSFER OF SECTION 2440.— 
(A) TRANSFER.—The text of section 2440 of title 10, 
United States Code, is transferred to section 4211 of such 
title, as transferred and redesignated by paragraph (1), 
inserted at the end of subsection (c), designated as para-
graph (3), and amended by striking ‘‘section 2501’’ and 
inserting ‘‘section 4811’’. 
(B) CROSS-REFERENCE.—Subsection (c)(2)(B) of such 
section 4211 is amended by striking ‘‘section 2440 of this 
title’’ and inserting ‘‘paragraph (3)’’;
H. R. 6395—867 
(3) TRANSFER OF SECTION 2431B.—Section 2431b of such 
title is transferred to chapter 322 of such title, as added by 
subsection (a), inserted after section 4211, as transferred and 
redesignated by paragraph (1) and amended by paragraph (2), 
redesignated as section 4212, and amended— 
(A) in subsection (a), by striking ‘‘section 2431a’’ and 
inserting ‘‘section 4211’’; and 
(B) in subsection (d)— 
(i) by striking ‘‘DEFINITIONS.—’’ and all that follows 
through ‘‘The term’’ and inserting ‘‘CONCURRENCY 
DEFINED.—In this section, the term’’; and 
(ii) by striking paragraph (2). 
(4) TRANSFER OF SECTION 2435.—Section 2435 of title 10, 
United States Code, is transferred to chapter 322 of such title, 
as added by subsection (a), inserted after section 4212, as 
transferred and redesignated by paragraph (3), redesignated 
as section 4214, and amended— 
(A) in subsections (a)(2) and (d)(2), by striking ‘‘section 
2433’’ and inserting ‘‘sections 4371 through 4375’’; and 
(B) in subsection (d)— 
(i) in paragraph (1), by striking ‘‘In this chapter’’ 
and inserting ‘‘In this subpart’’; 
(ii) in paragraph (2), by striking ‘‘subsection (d) 
of such section’’ and inserting ‘‘section 4374 of this 
title’’; and 
(iii) in paragraph (3), by striking ‘‘section 2432’’ 
and inserting ‘‘sections 4351 through 4358’’. 
(c) SUBCHAPTER II (CONTRACTING).— 
(1) TRANSFER OF SECTION 2400.— 
(A) Section 2400 of title 10, United States Code, is 
transferred to chapter 322 of such title, as added by sub-
section (a), inserted after the table of sections at the begin-
ning of subchapter II, redesignated as section 4231, and 
amended— 
(i) in subsection (a)(5), by striking ‘‘section 2432’’ 
and inserting ‘‘sections 4351 through 4358’’; and 
(ii) in subsection (b)(1), by striking ‘‘section 2399’’ 
and inserting ‘‘section 4171’’. 
(B) The heading of such section is amended to read 
as follows: 
‘‘§ 4231. Major systems: determination of quantity for low- 
rate initial production’’. 
(2) TRANSFER OF SECTION 2442.—Section 2442 of such title 
is transferred to chapter 322 of such title, as added by sub-
section (a), inserted after section 4231, as transferred and 
redesignated by paragraph (1), redesignated as section 4232, 
and amended in subsection (b) by striking paragraph (2) and 
redesignating paragraph (3) as paragraph (2). 
(3) TRANSFER OF SECTION 2439.—Section 2439 of title 10, 
United States Code, is transferred to chapter 322, as added 
by subsection (a), inserted after section 4232, as transferred 
and redesignated by paragraph (2), and redesignated as section 
4236. 
(d) SUBCHAPTER III (MILESTONES).— 
(1) TRANSFER OF SECTION 2366A.—
H. R. 6395—868 
(A) TRANSFER.—Section 2366a of title 10, United States 
Code, is transferred to chapter 322 of such title, as added 
by subsection (a), inserted after the table of sections at 
the beginning of subchapter III, and redesignated as section 
4251. 
(B) AMENDMENTS TO SUBSECTION (B).—Subsection (b) 
of such section is amended— 
(i) 
in 
paragraph 
(4), 
by 
striking 
‘‘section 
2448b(a)(1)’’ and inserting ‘‘section 4272(a)(1)’’; and 
(ii) in paragraph (8), by striking ‘‘subchapter II 
of chapter 144B’’ and inserting ‘‘subchapter II of 
chapter 327’’. 
(C) AMENDMENTS TO SUBSECTION (C).—Subsection (c)(1) 
of such section is amended— 
(i) in subparagraph (A), by striking ‘‘section 
2448a(a)’’ and inserting ‘‘section 4271(a)’’; 
(ii) in subparagraph (C), by striking ‘‘section 
2334(a)(6)’’ and inserting ‘‘section 3221(b)(6)’’; and 
(iii) in subparagraph (E), by striking ‘‘section 
2448b’’ and inserting ‘‘section 4272’’. 
(D) AMENDMENTS TO SUBSECTION (D).—Subsection (d) 
of such section is amended— 
(i) by striking paragraphs (1) and (6) and redesig-
nating paragraphs (2), (3), (4), (5), (7), (8), (9), and 
(10) as paragraphs (1), (2), (3), (4), (5), (6), (7), and 
(8), respectively; 
(ii) in paragraph (3) (as so redesignated), by 
striking ‘‘section 2366(e)(7)’’ and inserting ‘‘section 
4172(e)(7)’’; 
(iii) in paragraph (6) (as so redesignated), by 
striking ‘‘section 2448a(a)’’ and inserting ‘‘section 
4271(a)’’; and 
(iv) in paragraph (7) (as so redesignated), by 
striking ‘‘section 2446a(b)(3)’’ and inserting ‘‘section 
4401(b)(3)’’. 
(2) TRANSFER OF SECTION 2366B.— 
(A) TRANSFER.—Section 2366b of title 10, United States 
Code, is transferred to chapter 322 of such title, inserted 
after section 4251, as transferred and redesignated by para-
graph (1), and redesignated as section 4252. 
(B) AMENDMENTS TO SUBSECTION (A).—Subsection (a) 
of such section is amended— 
(i) in paragraph (2), by striking ‘‘section 2448b’’ 
and inserting ‘‘section 4272’’; and 
(ii) in paragraph (3)— 
(I) in subparagraph (D), by striking ‘‘section 
2435’’ and ‘‘section 2448a(a)’’ and inserting ‘‘section 
4214 of this title’’ and ‘‘section 4271(a)’’, respec-
tively; and 
(II) in subparagraph (N), by striking ‘‘section 
2446b(e)’’ and inserting ‘‘section 4402(e)’’. 
(C) AMENDMENTS TO SUBSECTION (C).—Subsection (c) 
of such section is amended— 
(i) in paragraph (1)— 
(I) in subparagraph (A), by striking ‘‘section 
2448a(a)’’ and inserting ‘‘section 4271(a)’’;
H. R. 6395—869 
(II) in subparagraph (C), by striking ‘‘section 
2334(a)(6)’’ and inserting ‘‘section 3221(b)(6)’’; and 
(III) in subparagraph (E), by striking ‘‘section 
2448b’’ and inserting ‘‘section 4272’’; and 
(ii) in paragraph (2)(A), by striking ‘‘section 2432’’ 
and inserting ‘‘sections 4351 through 4358’’. 
(D) AMENDMENTS TO SUBSECTION (D).—Subsection (d)(3) 
of such section is amended by striking ‘‘section 2433a(c)’’ 
and inserting ‘‘section 4377’’. 
(E) AMENDMENTS TO SUBSECTION (G).—Subsection (g) 
of such section is amended— 
(i) by striking paragraphs (1) and (2) and redesig-
nating paragraphs (3), (4), (5), (6), (7), and (8) as para-
graphs (1), (2), (3), (4), (5), and (6), respectively; 
(ii) in paragraph (2) (as so redesignated), by 
striking ‘‘section 2366(e)(7)’’ and inserting ‘‘section 
4172(e)(7)’’; 
(iii) in paragraph (4) (as so redesignated), by 
striking ‘‘section 2448a(a)’’ and inserting ‘‘section 
4271(a)’’; and 
(iv) in paragraph (5) (as so redesignated), by 
striking ‘‘section 2446a(b)(3)’’ and inserting ‘‘section 
4401(b)(3)’’. 
(3) TRANSFER
OF
SECTION
2366C.—Section 2366c of title 
10, United States Code, is transferred to chapter 322 of such 
title, inserted after section 4252, as transferred and redesig-
nated by paragraph (3), redesignated as section 4253, and 
amended by striking ‘‘section 2334(a)(6)’’ in subsection (a)(2) 
and inserting ‘‘section 3221(b)(6)’’. 
(e) SUBCHAPTER
IV
(ADDITIONAL
PROVISIONS
APPLICABLE 
SPECIFICALLY TO MDAPS).— 
(1) TRANSFER
OF
SECTION
2448A.—Section 2448a of title 
10, United States Code, is transferred to chapter 322 of such 
title, inserted after the table of sections at the beginning of 
subchapter IV, redesignated as section 4271, and amended— 
(A) in subsection (b)(1), by striking ‘‘section 2432(a)(2)’’ 
and inserting ‘‘section 4351(2)’’; and 
(B) 
in 
subsection 
(b)(2), 
by 
striking 
‘‘section 
2366a(d)(2)’’ and inserting ‘‘section 4251(d)(1)’’. 
(2) TRANSFER
OF
SECTION
2448B.—Section 2448b of title 
10, United States Code, is transferred to chapter 322 of such 
title, inserted after section 4271, as transferred and redesig-
nated by paragraph (1), redesignated as section 4272, and 
amended— 
(A) in subsection (a)(1), by striking ‘‘section 2366a’’ 
and inserting ‘‘section 4251’’; and 
(B) in subsection (a)(2), by striking ‘‘section 2366b’’ 
and inserting ‘‘section 4252’’. 
(3) TRANSFER OF SECTION 2438.—Section 2438 of title 10, 
United States Code, is transferred to chapter 322 of such title, 
inserted after section 4272, as transferred and redesignated 
by paragraph (2), redesignated as section 4273, and amended— 
(A) 
in 
subsection 
(b)(2), 
by 
striking 
‘‘section 
2433a(a)(1)’’ and inserting ‘‘4376(a)(1)’’; and 
(B) in subsections (b)(5)(A) and (d), by striking ‘‘section 
2433a’’ and inserting ‘‘sections 4736 and 4377’’. 
(4) TRANSFER OF SECTION 2547(B).—
H. R. 6395—870 
(A) NEW SECTION.—Chapter 322 of title 10, United 
States Code, as added by subsection (a), is further amended 
by inserting after section 4273, as transferred and redesig-
nated by paragraph (3), the following new section: 
‘‘§ 4274. Acquisition-related functions of chiefs of the armed 
forces: adherence to requirements in major defense 
acquisition programs’’. 
(B) TRANSFER.—Subsection (b) of section 2547 of such 
title is transferred to section 4274 of such title, as added 
by subparagraph (A), inserted after the section heading, 
and amended— 
(i) by redesignating such subsection as subsection 
(a); and 
(ii) by redesignating paragraph (2) as subsection 
(b). 
(C) AMENDMENTS TO NEW SECTION 4274(A).—Subsection 
(a) of such section 4274, as so transferred and redesignated, 
is amended— 
(i) by striking ‘‘ADHERENCE TO’’ and all that follows 
through ‘‘(1)’’ and inserting ‘‘ROLE OF SERVICE CHIEFS 
IN PROGRAM CAPABILITY DOCUMENT APPROVAL.—’’; and 
(ii) by striking ‘‘section 2448a(a)’’ and inserting 
‘‘4271(a)’’. 
(D) AMENDMENTS TO NEW SECTION 4274(B).—Subsection 
(b) of such section 4274, as redesignated by subparagraph 
(B)(ii), is amended— 
(i) by inserting ‘‘ROLE OF SERVICE CHIEFS IN MATE-
RIAL DEVELOPMENT DECISION AND ACQUISITION SYSTEM 
MILESTONES.—’’ before ‘‘Consistent with’’; 
(ii) by striking ‘‘under subsection (a)’’ and inserting 
‘‘under section 3053 of this title’’; 
(iii) by redesignating subparagraphs (A), (B), (C), 
and (D) as paragraphs (1), (2), (3), and (4), respectively; 
(iv) in paragraph (2), as so redesignated, by 
striking ‘‘section 2366a’’ and inserting ‘‘section 4251’’; 
and 
(v) in paragraph (3), as so redesignated, by striking 
‘‘section 2366b’’ and inserting ‘‘section 4252’’. 
(5) RESTATEMENT OF SECTION 2547(C) & (D)(3).—Such section 
4274 is further amended by adding at the end— 
(A) a new subsection (c) identical to section 2547(c) 
of such title, as in effect on the day before the effective 
date of this section; and 
(B) a new subsection (d) as follows: 
‘‘(d) PROGRAM CAPABILITY DOCUMENT DEFINED.—In this section, 
the term ‘program capability document’ has the meaning provided 
that term in section 4401(b)(5) of this title.’’. 
(6) CROSS-REFERENCE AMENDMENTS.— 
(A) Section 131(b)(8) of title 10, United States Code, 
is amended by striking ‘‘section 2438(a)’’ in the last 
subparagraph and inserting ‘‘section 4273(a)’’. 
(B) Sections 7033(d)(5), 8033(d)(5), 8043(e)(5), and 
9033(d)(5) of such title are amended by striking ‘‘and 2547’’ 
and inserting ‘‘, 3103, and 4274’’. 
(f) SUBCHAPTER V (CONTRACTORS).—
H. R. 6395—871 
(1) TRANSFER
OF
SECTION
2410P.—Section 2410p of title 
10, United States Code, is transferred to subchapter V of 
chapter 322, as added by subsection (a), inserted after the 
table of sections, and redesignated as section 4292. 
(2) TRANSFER OF SECTION 2436.—Section 2436 of such title 
is transferred to chapter 322 of such title, inserted after section 
4292, as added by paragraph (1), and redesignated as section 
4293. 
SEC. 1848. LIFE-CYCLE AND SUSTAINMENT. 
(a) NEW CHAPTER.—Part V of subtitle A of title 10, United 
States Code, as added by section 801 of the John S. McCain National 
Defense Authorization Act for Fiscal Year 2019 (Public Law 115– 
232), is amended by inserting after chapter 322, as added by the 
preceding section, the following new chapter: 
‘‘CHAPTER 323—LIFE-CYCLE AND SUSTAINMENT 
‘‘Sec. 
‘‘4321. Development of major defense acquisition programs: sustainment of system 
to be replaced. 
‘‘4322. øReserved¿. 
‘‘4323. Sustainment reviews. 
‘‘4324. Major systems: life-cycle management and product support. 
‘‘4325. Major weapon systems: assessment, management, and control of operating 
and support costs. 
‘‘4326. øReserved¿. 
‘‘4327. øReserved¿. 
‘‘4328. Weapon system design: sustainment factors.’’. 
(b) TRANSFER
OF SECTION 2437.—Section 2437 of title 10, 
United States Code, is transferred to chapter 323 of such title, 
as added by subsection (a), inserted after the table of sections 
at the beginning, and redesignated as section 4321. 
(c) TRANSFER OF SECTION 2441.—Section 2441 of title 10, United 
States Code, is transferred to chapter 323 of such title, as added 
by subsection (a), inserted after section 4321, as transferred and 
redesignated by subsection (b), redesignated as section 4323, and 
amended by striking ‘‘sections 2337 and 2337a’’ in subsection (c) 
and inserting ‘‘sections 4324 and 4325’’. 
(d) TRANSFER OF SECTIONS 2337 AND 2337A.— 
(1) TRANSFER.—Sections 2337 and 2337a of title 10, United 
States Code, are transferred to chapter 323 of such title, as 
added by subsection (a), inserted (in that order) after section 
4323, as transferred and redesignated by subsection (c), and 
redesignated as sections 4324 and 4325, respectively. 
(2) AMENDMENT TO TRANSFERRED SECTION 4324.—Section 
4324 of title 10, United States Code, as transferred and redesig-
nated by paragraph (1), is amended by striking ‘‘section 
2302d(a)’’ in subsection (c)(5) and inserting ‘‘section 3041(c)(1)’’. 
(3) AMENDMENTS TO TRANSFERRED SECTION 4325.— 
(A) Section 4325 of such title, as transferred and 
redesignated by paragraph (1), is amended— 
(i) in subsection (b)(1), by striking ‘‘section 2337’’ 
and inserting ‘‘section 4324’’; and 
(ii) in subsection (d), by striking ‘‘section 2379(f)’’ 
and inserting ‘‘section 3455(f)’’. 
(B) The heading of such section is amended to read 
as follows:
H. R. 6395—872 
‘‘§ 4325. Major weapon systems: assessment, management, 
and control of operating and support costs’’. 
(e) TRANSFER OF SECTION 2443.— 
(1) Section 2443 of title 10, United States Code, is trans-
ferred to chapter 323, as added by subsection (a), inserted 
after section 4235, as transferred and redesignated by sub-
section (d), and redesignated as section 4328. 
(2) The heading of such section is amended to read as 
follows: 
‘‘§ 4328. Weapon system design: sustainment factors’’. 
SEC. 1849. PROGRAM STATUS–SELECTED ACQUISITION REPORTS. 
(a) RESTATEMENT OF SECTION 2432.—Part V of subtitle A of 
title 10, United States Code, as added by section 801 of the John 
S. McCain National Defense Authorization Act for Fiscal Year 2019 
(Public Law 115–232), is amended by inserting after chapter 323, 
as added by the preceding section, the following new chapter: 
‘‘CHAPTER 324—PROGRAM STATUS–SELECTED 
ACQUISITION REPORTS 
‘‘Sec. 
‘‘4350. Selected acquisition reports: termination. 
‘‘4351. Selected acquisition reports: definitions. 
‘‘4352. Selected acquisition reports: requirement for quarterly reports. 
‘‘4353. Selected acquisition reports for 1st quarter of a fiscal year: comprehensive 
annual report. 
‘‘4354. Selected acquisition reports for 2d, 3d, and 4th quarters. 
‘‘4355. Selected acquisition reports: quarterly SAR report content. 
‘‘4356. Selected acquisition reports: time for submission to Congress; form of report. 
‘‘4357. Selected acquisition reports: termination of requirements with respect to a 
program or subprogram. 
‘‘4358. Selected acquisition reports: when total program reporting begins; limited re-
ports before approval to proceed to system development and demonstra-
tion. 
‘‘§ 4350. Selected acquisition reports: termination 
‘‘§ 4351. Selected acquisition reports: definitions 
‘‘§ 4352. Selected acquisition reports: requirement for quar-
terly reports 
‘‘§ 4353. Selected acquisition reports for 1st quarter of a fiscal 
year: comprehensive annual report 
‘‘§ 4354. Selected acquisition reports for 2d, 3d, and 4th quar-
ters 
‘‘§ 4355. Selected acquisition reports: quarterly SAR report 
content 
‘‘§ 4356. Selected acquisition reports: time for submission to 
Congress; form of report 
‘‘§ 4357. Selected acquisition reports: termination of require-
ments with respect to a program or subprogram 
‘‘§ 4358. Selected acquisition reports: when total program 
reporting begins; limited reports before approval 
to proceed to system development and demonstra-
tion’’. 
(b) TRANSFER OF SUBSECTION (J) OF SECTION 2432.—Subsection 
(j) of section 2432 of title 10, United States Code, is transferred
H. R. 6395—873 
to section 4350 of such title, as added by subsection (a), inserted 
after the section heading, and amended— 
(1) by striking the subsection designation and subsection 
heading; and 
(2) by striking ‘‘this section’’ and inserting ‘‘this chapter’’. 
(c) TRANSFER OF SUBSECTION (A) OF SECTION 2432.—Subsection 
(a) of section 2432 of title 10, United States Code, is transferred 
to section 4351 of such title, as added by subsection (a), inserted 
after the section heading, and amended— 
(1) by striking the subsection designation; 
(2) in paragraph (1), by inserting ‘‘PROGRAM ACQUISITION 
UNIT COST.—’’ after ‘‘(1)’’; 
(3) in paragraph (2), by inserting ‘‘PROCUREMENT
UNIT 
COST.—’’ after ‘‘(2)’’; 
(4) in paragraph (3), by inserting ‘‘MAJOR
CONTRACT.— 
’’ after ‘‘(3)’’ ; and 
(5) in paragraph (4), by inserting ‘‘FULL LIFE-CYCLE COST.— 
’’ after ‘‘(4)’’. 
(d) TRANSFER OF SUBSECTION (B) OF SECTION 2432.— 
(1) TRANSFER.—Subsection (b) of section 2432 of title 10, 
United States Code, is transferred to section 4352 of such 
title, as added by subsection (a), inserted after the section 
heading, and amended— 
(A) by striking the subsection designation; and 
(B) by redesignating paragraphs (1), (2), and (3) as 
subsections (a), (b), and (c), respectively. 
(2) REVISIONS TO NEW 4352(A).—Subsection (a) of such sec-
tion 4352, as redesignated by paragraph (1)(B), is amended— 
(A) by striking ‘‘The Secretary’’ and inserting ‘‘IN GEN-
ERAL.— 
‘‘(1) The Secretary’’; 
(B) by striking ‘‘a report on’’ and all that follows in 
the first sentence and inserting ‘‘a report on— 
‘‘(A) current major defense acquisition programs; and 
‘‘(B) any program that is estimated by the Secretary 
of Defense to require— 
‘‘(i) an eventual total expenditure for research, 
development, test, and evaluation of more than 
$300,000,000 (based on fiscal year 1990 constant dol-
lars); or 
‘‘(ii) an eventual total expenditure for procurement, 
including all planned increments or spirals, of more 
than $1,800,000,000 (based on fiscal year 1990 constant 
dollars).’’; 
(C) by designating the second and third sentences as 
paragraphs (2) and (3), respectively, and realigning those 
paragraphs 2 ems from the left margin; 
(D) in paragraph (2), as so designated, by striking 
‘‘paragraphs (2) and (3)’’ and inserting ‘‘subsections (b) 
and (c)’’ ; and 
(E) in paragraph (3), as so designated, by striking 
‘‘this section’’ and inserting ‘‘this chapter’’. 
(3) REVISIONS TO NEW 4352(B).—Subsection (b) of such sec-
tion 4352, as redesignated by paragraph (1)(B), is amended— 
(A) by inserting ‘‘REPORTS NOT REQUIRED FOR 2D, 3D, 
AND 4TH QUARTERS FOR CERTAIN PROGRAMS.—’’ before ‘‘A 
status report’’; and
H. R. 6395—874 
(B) by redesignating subparagraphs (A) and (B) as 
paragraphs (1) and (2), respectively. 
(4) REVISIONS TO NEW 4352(C).—Subsection (c) of such sec-
tion 4352, as redesignated by paragraph (1)(B), is amended— 
(A) by striking ‘‘(A) The Secretary’’ and inserting ‘‘SEC-
RETARY OF DEFENSE WAIVER AUTHORITY.— 
‘‘(1) AUTHORITY.—The Secretary’’; 
(B) by redesignating subparagraph (B) as paragraph 
(2) and realigning that paragraph 2 ems from the left 
margin; 
(C) by redesignating clauses (i), (ii), and (iii) of para-
graph (1), as designated by the amendment made by 
subparagraph (A), as subparagraphs (A), (B), and (C), 
respectively, and realigning those subparagraphs 4 ems 
from the left margin; and 
(D) in paragraph (2), as redesignated by subparagraph 
(B)— 
(i) by inserting ‘‘NOTIFICATION TO CONGRESSIONAL 
COMMITTEES.—’’ before ‘‘The Secretary shall’’; and 
(ii) by striking ‘‘subparagraph (A)’’ and inserting 
‘‘paragraph (1)’’. 
(e) TRANSFER OF SUBSECTION (C) OF SECTION 2432.— 
(1) TRANSFER.—Subsection (c) of section 2432 of title 10, 
United States Code, is transferred to section 4353 of such 
title, as added by subsection (a), inserted after the section 
heading, and amended— 
(A) by striking the subsection designation; and 
(B) by redesignating paragraphs (1), (2), (3), and (4) 
as subsections (a), (b), (c), and (d), respectively. 
(2) REVISIONS TO NEW 4353(A).—Subsection (a) of such sec-
tion 4353, as redesignated by paragraph (1)(B), is amended 
as follows: 
(A) 
SUBSECTION
HEADING.—Such 
subsection 
is 
amended by inserting ‘‘CONTENT OF SAR SUBMITTED FOR 
FIRST
QUARTER.—’’ before ‘‘Each Selected Acquisition 
Report for’’. 
(B) INTERNAL
REDESIGNATIONS.—Such subsection is 
further amended— 
(i) by redesignating subparagraphs (A) through (H) 
as paragraphs (1) through (8), respectively; and 
(ii) by redesignating clauses (i) through (iv) of para-
graph (2), as so redesignated, as subparagraphs (A) 
through (D), respectively. 
(C) REVISION OF LIST FORMAT.—Such subsection is fur-
ther amended— 
(i) by striking ‘‘for a fiscal year shall include— 
’’ in the matter preceding such paragraph (1), as so 
redesignated, and inserting ‘‘for a fiscal year shall 
include the following:’’; 
(ii) in each of such paragraphs (1) through (8), 
as so redesignated, by capitalizing the first letter of 
the first word after the paragraph designation; 
(iii) in each of such paragraphs (1) through (6), 
as so redesignated, by striking the semicolon at the 
end and inserting a period; and 
(iv) by striking ‘‘; and’’ at the end of paragraph 
(7), as so redesignated, and inserting a period.
H. R. 6395—875 
(D) CONFORMING
CROSS-REFERENCE
AMENDMENTS.— 
Such subsection is further amended— 
(i) by striking ‘‘section 2431’’ in paragraph (1), 
as so redesignated, and inserting ‘‘section 4205’’; 
(ii) by striking ‘‘section 2433(a)(2)’’ in paragraph 
(2)(A), as so redesignated, and inserting ‘‘section 
4371(a)(4)’’; 
(iii) by striking ‘‘section 2435(d)(1)’’ in paragraph 
(2)(B), as so redesignated, and inserting ‘‘section 
4214(d)(1)’’; 
(iv) by striking ‘‘section 2435(d)(2)’’ in paragraph 
(2)(C), as so redesignated, and inserting ‘‘section 
4214(d)(2)’’; 
(v) by striking ‘‘section 2432(e)(4)’’ in paragraph 
(2)(D), as so redesignated, and inserting ‘‘section 
4355(4)’’; and 
(vi) by striking ‘‘section 2446a’’ in paragraph (7), 
as so redesignated, and inserting ‘‘section 4401’’. 
(3) REVISIONS TO NEW 4353(B).—Subsection (b) of such sec-
tion 4353, as redesignated by paragraph (1)(B), is amended— 
(A) 
by 
striking 
‘‘Each 
Selected’’ 
and 
inserting 
‘‘CONGRESSIONAL COMMITTEES.— 
‘‘(1) INFORMATION
NEEDED
BY
CONGRESSIONAL
COMMIT-
TEES.—Each Selected’’; and 
(B) by designating the text after the first sentence 
as paragraph (2), aligning that paragraph 2 ems from 
the left margin, and inserting ‘‘NOTIFICATION TO CONGRES-
SIONAL
COMMITTEES
OF
PROPOSED
CHANGES.—’’ before 
‘‘Whenever the Secretary’’. 
(4) REVISIONS TO NEW 4353(C).—Subsection (c) of such sec-
tion 4353, as redesignated by paragraph (1)(B), is amended— 
(A) by inserting ‘‘LIFE-CYCLE COST ANALYSES.—’’ before 
‘‘In addition to’’; 
(B) by striking ‘‘paragraphs (1) and (2)’’; and inserting 
‘‘subsections (a) and (b)’’, and 
(C) by redesignating subparagraphs (A) and (B) as 
paragraphs (1) and (2), respectively. 
(5) REVISION TO NEW 4353(D).—Subsection (d) of such section 
4353, as redesignated by paragraph (1)(B), is amended by 
inserting ‘‘REFERENCE TO 1ST QUARTER SAR AS COMPREHENSIVE 
ANNUAL SAR.—’’ before ‘‘Selected Acquisition Reports’’. 
(f) TRANSFER OF SUBSECTION (D) OF SECTION 2432.— 
(1) TRANSFER.—Subsection (d) of section 2432 of title 10, 
United States Code, is transferred to section 4354 of such 
title, as added by subsection (a), inserted after the section 
heading, and amended by striking the subsection designation. 
(2) 
CONFORMING
AMENDMENTS
AND
SUBSECTION 
HEADINGS.—Such section is amended— 
(A) by redesignating paragraphs (1) and (2) as sub-
sections (a) and (b), respectively; 
(B) in subsection (a), as so redesignated— 
(i) by inserting ‘‘CONTINGENT
REQUIRED
CON-
TENT.—’’ before ‘‘Each Selected Acquisition Report’’; 
(ii) by redesignating subparagraphs (A) and (B) 
as paragraphs (1) and (2), respectively;
H. R. 6395—876 
(iii) in paragraph (1), as so redesignated, by 
striking ‘‘subsection (e)’’ and inserting ‘‘section 4355 
of this title’’; and 
(iv) in paragraph (2), as so redesignated, by 
striking ‘‘subsection (c)’’ and inserting ‘‘section 4353 
of this title’’; and 
(C) in subsection (b), as so redesignated, by inserting 
‘‘REFERENCE TO 2D, 3D, AND 4TH QUARTERS SARS AS QUAR-
TERLY SARS.—’’ before ‘‘Selected Acquisition Reports for’’. 
(g) TRANSFER OF SUBSECTION (E) OF SECTION 2432.—Subsection 
(e) of section 2432 of title 10, United States Code, is transferred 
to section 4355 of such title, as added by subsection (a), inserted 
after the section heading, and amended by striking the subsection 
designation. 
(h) TRANSFER OF SUBSECTION (F) OF SECTION 2432.— 
(1) TRANSFER.—Subsection (f) of section 2432 of title 10, 
United States Code, is transferred to section 4356 of such 
title, as added by subsection (a), inserted after the section 
heading, and redesignated as subsection (a). 
(2) SUBSECTION HEADING.—Such subsection is amended by 
inserting ‘‘TIME FOR SUBMISSION.—’’ before ‘‘Each comprehen-
sive’’. 
(i) TRANSFER OF SUBSECTION (I) OF SECTION 2432.—Subsection 
(i) of section 2432 of title 10, United States Code, is transferred 
to section 4356 of such title, as added by subsection (a), inserted 
after subsection (a), as transferred and redesignated by subsection 
(h)(1), redesignated as subsection (b), and amended by striking 
‘‘under this section’’ and inserting ‘‘under this chapter’’. 
(j) TRANSFER OF SUBSECTION (G) OF SECTION 2432.—Subsection 
(g) of section 2432 of title 10, United States Code, is transferred 
to section 4357 of such title, as added by subsection (a), inserted 
after the section heading, and amended— 
(1) by striking the subsection designation; and 
(2) by striking ‘‘of this section’’ and inserting ‘‘of this 
chapter’’. 
(k) TRANSFER OF SUBSECTION (H) OF SECTION 2432.— 
(1) TRANSFER.—Subsection (h) of section 2432 of title 10, 
United States Code, is transferred to section 4358 of such 
title, as added by subsection (a), inserted after the section 
heading, and amended— 
(A) by striking the subsection designation; and 
(B) by redesignating paragraphs (1), (2), and (3) as 
subsections (a), (b), and (c), respectively. 
(2) REVISIONS TO NEW 4358(A).—Subsection (a) of such sec-
tion 4358, as redesignated by paragraph (1)(B), is amended— 
(A) by striking ‘‘Total program reporting under this 
section’’ and inserting ‘‘IN GENERAL.— 
‘‘(1) COMMENCEMENT OF TOTAL PROGRAM REPORTING.—Total 
program reporting under this chapter’’; and 
(B) by designating the second sentence as paragraph 
(2) and in that paragraph— 
(i) by inserting ‘‘LIMITED
REPORTS.—’’ before 
‘‘Reporting may be’’; 
(ii) by striking ‘‘paragraph (2)’’ and inserting ‘‘sub-
section (b)’’; 
(iii) by striking ‘‘under this subsection’’ and 
inserting ‘‘under this section’’; and
H. R. 6395—877 
(iv) by striking ‘‘under this section.’’ and inserting 
‘‘under this chapter.’’. 
(3) REVISIONS TO NEW 4358(B).—Subsection (b) of such sec-
tion 4358, as redesignated by paragraph (1)(B), is amended— 
(A) by inserting ‘‘CONTENT OF LIMITED REPORTS.—’’ 
before ‘‘A limited report’’; 
(B) by striking ‘‘under this subsection’’ and inserting 
‘‘under this section’’; 
(C) by redesignating subparagraphs (A) through (E) 
as paragraphs (1) through (5), respectively; and 
(D) in paragraph (1), as so redesignated, by striking 
‘‘section 2431’’ and inserting ‘‘section 4205’’. 
(4) REVISIONS TO NEW 4358(C).—Subsection (c) of such sec-
tion 4358, as redesignated by paragraph (1)(B), is amended— 
(A) by inserting ‘‘SUBMISSION OF LIMITED REPORTS.— 
’’ before ‘‘The submission requirements’’; and 
(B) by striking ‘‘under this subsection’’ and inserting 
‘‘under this section’’. 
(l) CONFORMING AMENDMENTS.—Section 2432 of title 10, United 
States Code, is repealed. 
(m) CONFORMING CROSS-REFERENCE AMENDMENTS.—Sections 
1734(c)(2) and 8671(b)(2) of title 10, United States Code, are 
amended by striking ‘‘section 2432’’ and inserting ‘‘chapter 324’’. 
SEC. 1850. COST GROWTH—UNIT COST REPORTS (NUNN-MCCURDY). 
(a) RESTATEMENT OF SECTIONS 2433 AND 2433A.—Part V of 
subtitle A of title 10, United States Code, as added by section 
801 of the John S. McCain National Defense Authorization Act 
for Fiscal Year 2019 (Public Law 115–232), is amended by inserting 
after chapter 324, as added by the preceding section, the following 
new chapter: 
‘‘CHAPTER 325—COST GROWTH—UNIT COST REPORTS 
(NUNN-MCCURDY) 
‘‘Sec. 
‘‘4371. Cost growth definitions; applicability of reporting requirements; constant 
base year dollars. 
‘‘4372. Unit cost reports: quarterly report from program manager to service acquisi-
tion executive. 
‘‘4373. Unit cost reports: immediate report from program manager to service acquisi-
tion executive upon breach of significant cost growth threshold. 
‘‘4374. Unit cost reports: determinations by service acquisition executive and sec-
retary concerned of breach of significant cost growth threshold or critical 
cost growth threshold; reports to Congress. 
‘‘4375. Breach of significant cost growth threshold or critical cost growth threshold: 
required action. 
‘‘4376. Breach of critical cost growth threshold: reassessment of program; presump-
tion of program termination. 
‘‘4377. Breach of critical cost growth threshold: actions if program not terminated.
H. R. 6395—878 
‘‘§ 4371. Cost growth definitions; applicability of reporting 
requirements; constant base year dollars 
‘‘§ 4372. Unit cost reports: quarterly report from program 
manager to service acquisition executive 
‘‘§ 4373. Unit cost reports: immediate report from program 
manager to service acquisition executive upon 
breach of significant cost growth threshold 
‘‘§ 4374. Unit cost reports: determinations by service acquisi-
tion executive and secretary concerned of breach 
of significant cost growth threshold or critical cost 
growth threshold; reports to Congress 
‘‘§ 4375. Breach of significant cost growth threshold or crit-
ical cost growth threshold: required action 
‘‘§ 4376. Breach of critical cost growth threshold: reassess-
ment of program; presumption of program termi-
nation 
‘‘§ 4377. Breach of critical cost growth threshold: actions if 
program not terminated’’. 
(b) TRANSFER OF SUBSECTION (A) OF SECTION 2433.— 
(1) TRANSFER.—Subsection (a) of section 2433 of title 10, 
United States Code, is transferred to section 4371 of such 
title, as added by subsection (a), inserted after the section 
heading, and amended by striking ‘‘this section’’ in the matter 
preceding paragraph (1) and in paragraph (2) and inserting 
‘‘this chapter’’. 
(2) INSERTION OF SIDE HEADINGS.—Such subsection is fur-
ther amended— 
(A) in the matter preceding paragraph (1), by inserting 
‘‘DEFINITIONS.—’’ after ‘‘(a)’’; 
(B) in paragraph (1), by inserting ‘‘PROGRAM ACQUISI-
TION
UNIT
COST; PROCUREMENT
UNIT
COST; MAJOR
CON-
TRACT.—’’ after ‘‘(1)’’; 
(C) in paragraph (2), by inserting ‘‘BASELINE
ESTI-
MATE.—’’ after ‘‘(2)’’; 
(D) in paragraph (3), by inserting ‘‘PROCUREMENT PRO-
GRAM.—’’ after ‘‘(3)’’; 
(E) in paragraph (4), by inserting ‘‘SIGNIFICANT COST 
GROWTH THRESHOLD.—’’ after ‘‘(4)’’; 
(F) in paragraph (5), by inserting ‘‘CRITICAL
COST 
GROWTH THRESHOLD.—’’ after ‘‘(5)’’; and 
(G) in paragraph (6), by inserting ‘‘ORIGINAL BASELINE 
ESTIMATE.—’’ after ‘‘(6)’’. 
(3) CONFORMING
CROSS-REFERENCE
AMENDMENTS.—Such 
subsection is further amended— 
(A) in paragraph (1)— 
(i) by striking ‘‘section 2430a(d)’’ and inserting ‘‘sec-
tion 4203(d)’’; and 
(ii) by striking ‘‘section 2432(a)’’ and inserting ‘‘sec-
tion 4351’’; 
(B) in paragraph (2), by striking ‘‘section 2435’’ and 
inserting ‘‘section 4214’’; and 
(C) in paragraph (6), by striking ‘‘section 2435(d)’’ and 
inserting ‘‘section 4214(d)’’.
H. R. 6395—879 
(4) REVISION OF ORDER OF PARAGRAPHS.—Such subsection 
is further amended— 
(A) by redesignating paragraphs (2), (3), (4), (5), and 
(6) as paragraphs (4), (6), (2), (3), and (5), respectively; 
and 
(B) by revising the order of those paragraphs within 
that section so they appear in the numeric order of their 
respective paragraph designations, as redesignated by 
paragraph (A). 
(c) TRANSFER OF SUBSECTION (H) OF SECTION 2433.—Subsection 
(h) of section 2433 of title 10, United States Code, is transferred 
to section 4371 of such title, as added by subsection (a), inserted 
after subsection (a), as transferred and redesignated by subsection 
(b)(1), redesignated as subsection (b), and amended— 
(1) by striking ‘‘under this section’’ and inserting ‘‘under 
this chapter’’; and 
(2) by striking ‘‘section 2432(h)’’ and inserting ‘‘section 
4358’’. 
(d) TRANSFER OF SUBSECTION (F) OF SECTION 2433.—Subsection 
(f) of section 2433 of title 10, United States Code, is transferred 
to section 4371 of such title, as added by subsection (a), inserted 
after subsection (b), as transferred and redesignated by subsection 
(c), redesignated as subsection (c), and amended— 
(1) by striking ‘‘under this section’’ and inserting ‘‘under 
this chapter’’; and 
(2) by striking ‘‘section 2430’’ and inserting ‘‘section 4202’’. 
(e) TRANSFER OF SUBSECTION (B) OF SECTION 2433.— 
(1) TRANSFER.—Subsection (b) of section 2433 of title 10, 
United States Code, is transferred to section 4372 of such 
title, as added by subsection (a), inserted after the section 
heading, and redesignated as subsection (a). 
(2) DESIGNATION
OF
NEW
SUBSECTION
(B).—Such section 
4372, as redesignated by paragraph (1), is amended by desig-
nating the third sentence as subsection (b) and inserting 
‘‘MATTER TO BE INCLUDED IN UNIT COST REPORTS.—’’ therein 
before ‘‘The program manager shall’’. 
(3) DESIGNATION OF NEW PARAGRAPHS (1) AND (2).—Sub-
section (a) of such section, as redesignated by paragraph (1), 
is amended— 
(A) by striking ‘‘The program manager for’’ and 
inserting ‘‘REQUIRED REPORTS.— 
‘‘(1) REQUIREMENT.—The program manager for’’; and 
(B) by designating the second sentence as paragraph 
(2) and inserting ‘‘TIME FOR SUBMITTAL.—’’ before ‘‘Each 
report’’. 
(4) CONFORMING
CROSS-REFERENCE
AMENDMENTS.—Such 
section is further amended— 
(A) in paragraph (1) of subsection (a), as designated 
by paragraph (3)(A), by striking ‘‘section 2432(b)(3)’’ and 
inserting ‘‘section 4352(c)’’; and 
(B) in paragraph (4) of subsection (b), as designated 
by paragraph (2), by striking ‘‘section 2435’’ and inserting 
‘‘section 4214’’. 
(f) TRANSFER OF SUBSECTION (C) OF SECTION 2433.—Subsection 
(c) of section 2433 of title 10, United States Code, is transferred 
to section 4373 of such title, as added by subsection (a), inserted 
after the section heading, and amended—
H. R. 6395—880 
(1) by striking the subsection designation; and 
(2) by striking ‘‘subsection (b)’’ both places it appears and 
inserting ‘‘section 4372 of this title’’. 
(g) TRANSFER OF SUBSECTION (D) OF SECTION 2433.— 
(1) TRANSFER.—Subsection (d) of section 2433 of title 10, 
United States Code, is transferred to section 4374 of such 
title, as added by subsection (a), inserted after the section 
heading, and amended— 
(A) by striking the subsection designation; and 
(B) by redesignating paragraphs (1), (2), and (3) as 
subsections (a), (b), and (c), respectively. 
(2) REVISION TO NEW 4374(A).—Subsection (a) of such section, 
as so redesignated, is amended— 
(A) by inserting ‘‘DETERMINATION
OF
BREACH
BY 
SERVICE ACQUISITION EXECUTIVE.—’’ before ‘‘When a’’; and 
(B) by striking ‘‘under this section’’ and inserting 
‘‘under this chapter’’. 
(3) REVISION TO NEW 4374(B).—Subsection (b) of such section, 
as so redesignated, is amended— 
(A) by inserting ‘‘ADDITIONAL
DETERMINATION
BY 
SERVICE ACQUISITION EXECUTIVE WHEN PROGRAM OR SUB-
PROGRAM IS A PROCUREMENT PROGRAM.—’’ before ‘‘When 
a’’; 
(B) by striking ‘‘under this section’’ and inserting 
‘‘under this chapter’’; and 
(C) by striking ‘‘paragraph (1)’’ and inserting ‘‘sub-
section (a)’’. 
(4) REVISION TO NEW 4374(C).—Subsection (c) of such section, 
as so redesignated, is amended— 
(A) by striking ‘‘If, based upon’’ and inserting ‘‘DETER-
MINATION OF BREACH BY SECRETARY CONCERNED; NOTIFICA-
TION TO CONGRESS.— 
‘‘(1) IN GENERAL.—If, based upon’’; 
(B) by designating the second sentence as paragraph 
(2) and the fourth sentence as paragraph (3); 
(C) in paragraph (2), as so designated— 
(i) by inserting ‘‘TIME FOR SUBMISSION OF NOTIFICA-
TION TO CONGRESS.—’’ before ‘‘In the case of’’ the first 
place it appears; 
(ii) by striking ‘‘subsection (b)’’ and inserting ‘‘sec-
tion 4372 of this title’’; and 
(iii) by striking ‘‘subsection (c)’’ and inserting ‘‘sec-
tion 4373 of this title’’; and 
(D) in paragraph (3), as so designated, by inserting 
‘‘INCLUSION
OF
DATE
OF
DETERMINATION.—’’ before ‘‘The 
Secretary shall’’. 
(h) TRANSFER OF SUBSECTION (E) OF SECTION 2433.— 
(1) TRANSFER.—Subsection (e) of section 2433 of title 10, 
United States Code, is transferred to section 4375 of such 
title, as added by subsection (a), inserted after the section 
heading, and amended— 
(A) by striking the subsection designation; and 
(B) by redesignating paragraphs (1), (2), and (3) as 
subsections (a), (b), and (c), respectively. 
(2) REVISION TO NEW 4375(A).—Subsection (a) of such section, 
as so redesignated, is amended—
H. R. 6395—881 
(A) by striking ‘‘(A) Except as provided in subparagraph 
(B),’’ and inserting ‘‘BREACH OF SIGNIFICANT COST GROWTH 
THRESHOLD; 
SUBMISSION
OF
A
SELECTED
ACQUISITION 
REPORT.— 
‘‘(1) GENERAL RULE.—Except as provided in paragraph (2),’’; 
(B) by redesignating subparagraph (B) as paragraph 
(2); 
(C) in paragraph (1), as so designated— 
(i) by striking ‘‘under subsection (d)’’ and inserting 
‘‘under section 4374 of this title’’; and 
(ii) by striking ‘‘section 2432(e)’’ and ‘‘section 
2432(f)’’ and inserting ‘‘section 4355’’ and ‘‘section 
4356’’, respectively; and 
(D) in paragraph (2), as so designated— 
(i) by striking ‘‘subparagraph (A)’’ both places it 
appears and inserting ‘‘paragraph (1)’’; and 
(ii) by striking ‘‘subsection (g)’’ and inserting ‘‘sub-
section (d)’’. 
(3) REVISION TO NEW 4375(B).—Subsection (b) of such section, 
as so redesignated, is amended— 
(A) by inserting ‘‘BREACH OF CRITICAL COST GROWTH 
THRESHOLD.—’’ before ‘‘If the program’’; 
(B) by striking ‘‘subsection (d)’’ and inserting ‘‘section 
4374 of this title’’; and 
(C) by striking ‘‘section 2433a’’ and inserting ‘‘sections 
4376 and 4377’’. 
(4) REVISION TO NEW 4375(C).—Subsection (c) of such section, 
as so redesignated, is amended— 
(A) by striking ‘‘If a determination’’ and inserting 
‘‘PROHIBITION ON OBLIGATION OF FUNDS FOR CERTAIN PUR-
POSES WHEN REQUIRED ACTION NOT TAKEN.— 
‘‘(1) PROHIBITION.—If a determination’’; 
(B) by designating the second sentence as paragraph 
(2); 
(C) in paragraph (1), as so designated— 
(i) by striking ‘‘subsection (d)’’ both places it 
appears and inserting ‘‘section 4374 of this title’’; 
(ii) by striking ‘‘subsection (g)’’ and inserting ‘‘sub-
section (d)’’. 
(iii) by striking ‘‘paragraph (1)’’ and inserting ‘‘sub-
section (a)’’; and 
(iv) by striking ‘‘paragraph (2)’’ and inserting ‘‘sub-
section (b)’’; and 
(D) in paragraph (2), as so designated— 
(i) by striking ‘‘The prohibition’’ and inserting 
‘‘TERMINATION OF PROHIBITION.—The prohibition under 
paragraph (1)’’; 
(ii) in subparagraph (A)— 
(I) by striking ‘‘paragraph (1) or (2)(B)’’ and 
inserting ‘‘subsection (a) or (b)(2)’’; and 
(II) by striking ‘‘subsection (d)’’ and inserting 
‘‘section 4374 of this title’’; and 
(iii) in subparagraph (B)— 
(I) by striking ‘‘paragraph (1) or (2)(B)’’ and 
inserting ‘‘subsection (a) or (b)(2)’’; 
(II) 
by 
striking 
‘‘paragraph 
(2)(A)’’ 
and 
inserting ‘‘subsection (b)(1)’’; and
H. R. 6395—882 
(III) by striking ‘‘subsection (d)’’ and inserting 
‘‘section 4374 of this title’’. 
(i) TRANSFER OF SUBSECTION (G) OF SECTION 2433.— 
(1) TRANSFER.—Subsection (g) of section 2433 of title 10, 
United States Code, is transferred to section 4375 of such 
title, as added by subsection (a), inserted after subsection (c), 
as transferred and amended by subsection (h), and amended— 
(A) by striking the subsection designation; and 
(B) by redesignating paragraphs (1) and (2) as sub-
sections (d) and (e), respectively. 
(2) REVISION TO NEW 4375(D).—Subsection (d) of such section 
4375, as so redesignated, is amended— 
(A) by striking ‘‘Except as provided in paragraph (2), 
each report under subsection (e)’’ and inserting ‘‘MATTER 
TO BE INCLUDED IN REPORTS.—Except as provided in sub-
section (e), each report under this section’’; 
(B) by redesignating subparagraphs (A) through (Q) 
as paragraphs (1) through (17), respectively; 
(C) in paragraph (9), as so redesignated, by striking 
‘‘section 2435’’ and inserting ‘‘section 4214’’; and 
(D) in paragraph (16), as so redesignated, by redesig-
nating clauses (i) through (vi) as subparagraphs (A) 
through (F), respectively. 
(3) REVISION TO NEW 4375(E).—Subsection (e) of such section 
4375, as so redesignated, is amended— 
(A) by striking ‘‘If a program acquisition unit cost’’ 
and inserting ‘‘BREACH DUE TO TERMINATION OR CANCELLA-
TION OF PROGRAM OR SUBPROGRAM.— 
‘‘(1) LIMITED
REPORTING.—If a program acquisition unit 
cost’’; 
(B) by striking ‘‘clauses (A) through (F) of paragraph 
(1)’’ and inserting ‘‘paragraphs (1) through (6) of subsection 
(d)’’; 
(C) by designating the second sentence as paragraph 
(2); and 
(D) in paragraph (2), as so designated— 
(i) by inserting ‘‘CERTIFICATION NOT REQUIRED.— 
’’ before ‘‘The certification’’; and 
(ii) by striking ‘‘subsection (e)’’ and inserting ‘‘sub-
section (b)’’. 
(j) TRANSFER
OF SUBSECTION (A), (B), AND (D) OF SECTION 
2433A.— 
(1) TRANSFER OF SUBSECTIONS (A) AND (B).—Subsection (a) 
and (b) of section 2433a of title 10, United States Code, are 
transferred to section 4376 of such title, as added by subsection 
(a), and inserted after the section heading. 
(2) TRANSFER
AND
REDESIGNATION
OF
SUBSECTION
(D).— 
Subsection (d) of section 2433a of such title is transferred 
to such section 4376, inserted after subsection (b), as trans-
ferred by paragraph (1), and redesignated as subsection (c). 
(3) CONFORMING
CROSS-REFERENCE
AMENDMENTS.—Such 
section 4376 is amended— 
(A) in subsection (a), by striking ‘‘section 2433(d)’’ and 
inserting ‘‘section 4374’’; and 
(B) in subsection (b)(1)— 
(i) by striking ‘‘section 2433(g)’’ and inserting ‘‘sec-
tion 4375(d) and (e)’’; and
H. R. 6395—883 
(ii) by striking ‘‘section 2432(f)’’ and inserting ‘‘sec-
tion 4356(a)’’. 
(4) HEADINGS AND FORMAT IN SUBSECTION (B).—Subsection 
(b) of such section 4376 is amended— 
(A) by striking ‘‘TERMINATION.—(1) After conducting’’ 
and inserting ‘‘TERMINATION.— 
‘‘(1) TERMINATION
UNLESS
SECRETARY
SUBMITS
CERTIFI-
CATION AND REPORT.—After conducting’’; 
(B) by realigning paragraphs (2) and (3) 2 ems from 
the left margin; 
(C) in paragraph (2), by inserting ‘‘CERTIFICATION.— 
’’ after ‘‘(2)’’; and 
(D) in paragraph (3), by inserting ‘‘REPORT.—’’ after 
‘‘(3)’’. 
(k) TRANSFER OF SUBSECTION (C) OF SECTION 2433A.— 
(1) TRANSFER.—Subsection (c) of section 2433a of title 10, 
United States Code, is transferred to section 4377 of such 
title, as added by subsection (a), inserted after the section 
heading, and redesignated as subsection (a). 
(2) REDESIGNATIONS.—Paragraphs (2) and (3) of such sec-
tion 4377 are redesignated as subsections (b) and (c), respec-
tively. 
(3) REVISION TO NEW SECTION 4377(A).—Subsection (a) of 
such section, as redesignated by paragraph (1), is amended— 
(A) by striking ‘‘(1)’’ before ‘‘If the Secretary’’; 
(B) by inserting ‘‘of section 4376 of this title’’ after 
‘‘subsection (b)’’; 
(C) by redesignating subparagraphs (A), (B), (C), (D), 
and (E) as paragraphs (1), (2), (3), (4), and (5), respectively; 
(D) in paragraph (1), as so redesignated, by inserting 
‘‘of that section’’ after ‘‘subsection (a)’’ and after ‘‘subsection 
(b)(2)(E)’’; 
(E) in paragraph (2), as so redesignated, by striking 
‘‘section 2366a or 2366b’’ and inserting ‘‘section 4251 or 
4252’’; and 
(F) in paragraph (4), as so redesignated, by striking 
‘‘paragraph (2)’’ and inserting ‘‘subsection (b)’’. 
(4) REVISION TO NEW SECTION 4377(B).—Subsection (b) of 
such section, as redesignated by paragraph (2), is amended— 
(A) by inserting ‘‘IDENTIFICATION
OF
REPORT
FOR 
DESCRIPTION OF FUNDING CHANGES.—’’ before ‘‘For pur-
poses of’’; 
(B) by striking ‘‘paragraph (1)(D)’’ and inserting ‘‘sub-
section (a)(4)’’; 
(C) by striking ‘‘in this paragraph’’ and inserting ‘‘in 
this subsection’’; and 
(D) by striking ‘‘section 2432’’ and inserting ‘‘section 
4352’’. 
(5) REDESIGNATIONS
AND
HEADINGS
IN
NEW
SECTION 
4377(C).—Subsection (c) of such section, as redesignated by para-
graph (2), is amended— 
(A) by striking ‘‘(A) The requirements of subparagraphs 
(B), (C), and (E) of paragraph (1)’’ and inserting ‘‘INAPPLICA-
BILITY OF CERTAIN SUBSECTION (A) REQUIREMENTS.— 
‘‘(1) CONDITIONS FOR INAPPLICABILITY.—The requirements 
of paragraphs (2), (3), and (5) of subsection (a)’’; and
H. R. 6395—884 
(B) by redesignating subparagraph (B) as paragraph 
(2) and inserting ‘‘COST GROWTH THRESHOLDS.—’’ therein 
before ‘‘The cost growth thresholds’’. 
(6) REVISIONS TO NEW 4377(C)(1).—Paragraph (1) of such 
section 4377(c), as so designated, is amended— 
(A) by redesignating clauses (i), (ii), and (iii) as sub-
paragraphs (A), (B), and (C), respectively; 
(B) by redesignating subclauses (I) and (II) of each 
of subparagraphs (A) and (C) as clauses (i) and (ii), respec-
tively; 
(C) in subparagraph (A), as so redesignated— 
(i) in the matter preceding clause (i), as so redesig-
nated, by striking ‘‘pursuant to subsection (a)’’ and 
inserting ‘‘pursuant to section 4376(a) of this title’’; 
(ii) in clause (i), as so redesignated, by striking 
‘‘subparagraph (B)’’ and inserting ‘‘paragraph (2)’’; and 
(iii) in clause (ii), as so redesignated, by striking 
‘‘subclause (I)’’ and inserting ‘‘clause (i)’’; and 
(D) in subparagraph (C), as so redesignated— 
(i) in the matter preceding clause (i), as so redesig-
nated— 
(I) by striking ‘‘section 2433(g)’’ and inserting 
‘‘subsections (d) and (e) of section 4375’’; and 
(II) by striking ‘‘section 2432(f)’’ and inserting 
‘‘section 4356’’; 
(ii) in clause (i), as so redesignated, by striking 
‘‘clause (i)’’ and inserting ‘‘subparagraph (A)’’; and 
(iii) in clause (ii), as so redesignated, by striking 
‘‘clause (ii)’’ and inserting ‘‘subparagraph (B)’’. 
(7) REVISIONS TO NEW 4377(C)(2).—Paragraph (2) of such 
section 4377(c), as so designated, is amended— 
(A) in the matter preceding clause (i), by striking ‘‘this 
subparagraph’’ and inserting ‘‘this paragraph’’; 
(B) by redesignating clauses (i) and (ii) as subpara-
graphs (A) and (B), respectively; and 
(C) by redesignating subclauses (I) and (II) of each 
of subparagraphs (A) and (B) as clauses (i) and (ii), respec-
tively. 
(l) CONFORMING REPEALS.—Sections 2433 and 2433a of title 
10, United States Code, are repealed. 
(m) CROSS REFERENCE.—Section 181(b)(6) of title 10, United 
States Code, is amended by striking ‘‘2433(e)(2)’’ and inserting 
‘‘4375(b)’’. 
SEC. 1851. WEAPON SYSTEMS DEVELOPMENT AND RELATED MATTERS. 
(a) NEW CHAPTER.—Part V of subtitle A of title 10, United 
States Code, as added by section 801 of the John S. McCain National 
Defense Authorization Act for Fiscal Year 2019 (Public Law 115– 
232), is amended by inserting after chapter 325, as added by the 
preceding section, the following new chapter: 
‘‘CHAPTER 327—WEAPON SYSTEMS DEVELOPMENT AND 
RELATED MATTERS 
‘‘Subchapter
Sec. 
‘‘I. Modular Open System Approach in Development of Weapon Systems .......
4401 
‘‘II. Development, Prototyping, and Deployment of Weapon System Compo-
nents or Technology .................................................................................
4421
H. R. 6395—885 
‘‘SUBCHAPTER I—MODULAR OPEN SYSTEM APPROACH IN 
DEVELOPMENT OF WEAPON SYSTEMS 
‘‘Sec. 
‘‘4401. Requirement for modular open system approach in major defense acquisition 
programs; definitions. 
‘‘4402. Requirement to address modular open system approach in program capabili-
ties development and acquisition weapon system design. 
‘‘4403. Requirements relating to availability of major system interfaces and support 
for modular open system approach. 
‘‘SUBCHAPTER II—DEVELOPMENT, PROTOTYPING, AND DE-
PLOYMENT OF WEAPON SYSTEM COMPONENTS OR TECH-
NOLOGY 
‘‘Sec. 
‘‘4421. Weapon system component or technology prototype projects: display of budget 
information. 
‘‘4422. Weapon system component or technology prototype projects: oversight. 
‘‘4423. Requirements and limitations for weapon system component or technology 
prototype projects. 
‘‘4424. Mechanisms to speed deployment of successful weapon system component or 
technology prototypes. 
‘‘4425. Definition of weapon system component.’’. 
(b) TRANSFER
OF SECTIONS
OF SUBCHAPTER I OF CHAPTER 
144B.— 
(1) TRANSFER.—Sections 2446a, 2446b, and 2446c of 
chapter 144B of title 10, United States Code, are transferred 
to chapter 327, as added by subsection (a), inserted (in that 
order) after the table of sections at the beginning of subchapter 
I, and redesignated as sections 4401, 4402, and 4403, respec-
tively. 
(2) CONFORMING CROSS-REFERENCE AMENDMENTS TO SEC-
TION 4401.—Section 4401 of title 10, United States Code, as 
so transferred and redesignated, is amended— 
(A) in subsection (b)(1)(D), by striking ‘‘section 2320’’ 
and inserting ‘‘sections 3771 through 3775’’; 
(B) in subsection (b)(6), by striking ‘‘section 2448a(a)’’ 
and inserting ‘‘section 4271(a)’’; 
(C) in subsection (b)(7), by striking ‘‘section 2430’’ and 
inserting ‘‘section 4201’’; and 
(D) in subsection (b)(8), by striking ‘‘section 2379(f)’’ 
and inserting ‘‘section 3455(f)’’. 
(3) CONFORMING CROSS-REFERENCE AMENDMENTS TO SEC-
TION 4402.—Section 4402 of such title, as so transferred and 
redesignated, is amended— 
(A) in subsection (c), by striking ‘‘section 2431a’’ and 
inserting ‘‘section 4211’’; and 
(B) in subsection (e), by striking ‘‘section 2366b’’ and 
inserting ‘‘section 4252’’. 
(c) TRANSFER
OF SECTIONS
OF SUBCHAPTER II
OF CHAPTER 
144B.— 
(1) TRANSFER.—Sections 2447a, 2447b, 2447c, 2447d, and 
2447e of chapter 144B of title 10, United States Code, are 
transferred to chapter 327, as added by subsection (a), inserted 
(in that order) after the table of sections at the beginning 
of subchapter II, and redesignated as sections 4421, 4422, 4423, 
4424, and 4425, respectively. 
(2) CONFORMING CROSS-REFERENCE AMENDMENTS TO SEC-
TION 4422.—Section 4422 of such title, as so transferred and
H. R. 6395—886 
redesignated, is amended by striking ‘‘section 2447c’’ in sub-
section (c)(3) and inserting ‘‘section 4423’’. 
(3) CONFORMING CROSS-REFERENCE AMENDMENTS TO SEC-
TION 4423.—Section 4423 of such title, as so transferred and 
redesignated, is amended— 
(A) in subsection (b), by striking ‘‘section 2447b’’ and 
inserting ‘‘section 4422’’; and 
(B) in subsection (e), by striking ‘‘section 2371b’’ and 
inserting ‘‘section 4003’’. 
(4) CONFORMING CROSS-REFERENCE AMENDMENTS TO SEC-
TION 4424.—Section 4424 of such title, as so transferred and 
redesignated, is amended by striking ‘‘section 2304’’ in sub-
section (a) and inserting ‘‘sections 3201 through 3205’’. 
(5) CONFORMING CROSS-REFERENCE AMENDMENTS TO SEC-
TION 4425.—Section 4425 of such title, as so transferred and 
redesignated, is amended by striking ‘‘section 2446a’’ and 
inserting ‘‘section 4401’’. 
(d) CONFORMING AMENDMENTS.— 
(1) REPEAL OF CHAPTER 144B.—Chapter 144B of title 10, 
United States Code, is repealed. 
(2) CLERICAL AMENDMENTS.—The tables of chapters at the 
beginning of subtitle A, and at the beginning of part IV of 
subtitle A, of title 10, United States Code, are amended by 
striking the item relating to chapter 144B. 
Subtitle G—Other Special Categories of 
Contracting 
SEC. 1856. ACQUISITION OF SERVICES GENERALLY. 
(a) TABLES OF CHAPTERS AMENDMENTS.—The tables of chapters 
at the beginning of subtitle A, and at the beginning of part V 
of subtitle A (as added by section 801 of the John S. McCain 
National Defense Authorization Act for Fiscal Year 2019 (Public 
Law 115–232)), of title 10, United States Code, are amended by 
striking the items relating to chapters 341 and 343 and inserting 
the following: 
‘‘341. Acquisition of Services Generally ............................................................... 4501
‘‘343. Acquisition of Services of Contractors Performing Private Security 
Functions .................................................................................................. 4541’’. 
(b) NEW CHAPTER 341.—Part V of subtitle A of title 10, United 
States Code, as added by section 801 of the John S. McCain National 
Defense Authorization Act for Fiscal Year 2019 (Public Law 115– 
232), is amended by striking chapters 341 and 343 and inserting 
the following: 
‘‘CHAPTER 341—ACQUISITION OF SERVICES GENERALLY 
‘‘Sec. 
‘‘4501. Procurement of contract services: management structure. 
‘‘4502. Procurement of contract services: senior officials responsible for management 
of acquisition of contract services. 
‘‘4503. øReserved¿. 
‘‘4504. øReserved¿. 
‘‘4505. Procurement of services: tracking of purchases. 
‘‘4506. Procurement of services: data analysis and requirements validation. 
‘‘4507. Procurement of services: contracts for professional and technical services. 
‘‘4508. Contractor performance of acquisition functions closely associated with inher-
ently governmental functions. 
‘‘4509. Contracts for advisory and assistance services: cost comparison studies.’’.
H. R. 6395—887 
(c) TRANSFER OF SECTION 2330 OF TITLE 10.—Section 2330 
of title 10, United States Code, is transferred to chapter 341 of 
such title, as amended by subsection (b), inserted after the table 
of sections, and redesignated as section 4501. 
(d) DESIGNATION OF NEW SECTION 4502.—Such chapter is fur-
ther amended by inserting after paragraph (1) of subsection (a) 
of section 4501, as transferred and redesignated by subsection (c), 
the following: 
‘‘§ 4502. Procurement of contract services: senior officials 
responsible for management of acquisition of con-
tract services 
‘‘(a) SENIOR OFFICIALS.—The management structure imple-
mented pursuant to section 4501 of this title shall provide for 
the following:’’. 
(e) REVISION TO REMAINING TEXT OF SECTION 4501.—Such sec-
tion 4501 is amended— 
(1) by striking ‘‘for the following:’’ and inserting ‘‘for the 
matters specified in subsections (b), (c), (d), and (e).’’; 
(2) by redesignating paragraph (1) as subsection (b) and 
subparagraphs (B), (C), and (D) as subsections (c), (d), and 
(e), respectively; 
(3) in subsection (b), as so redesignated— 
(A) by realigning the margin of the subsection 2 ems 
to the left; 
(B) by striking ‘‘The Under’’ and all that follows 
through ‘‘develop and maintain’’ and inserting ‘‘POLICIES, 
PROCEDURES, 
AND
BEST
PRACTICES
GUIDELINES.—The 
management structure implemented pursuant to subsection 
(a) shall provide that the Under Secretary of Defense for 
Acquisition and Sustainment shall develop and maintain’’; 
(C) by redesignating clauses (i) through (vi) as para-
graphs (1) through (6), respectively, and realigning the 
margin of those paragraphs 2 ems to the left; and 
(D) by striking the semicolon at the end of such para-
graph (6), as so redesignated, and inserting a period; 
(4) in subsection (c), as redesignated by paragraph (2)— 
(A) by realigning the margin of the subsection 4 ems 
to the left; 
(B) by striking ‘‘work with’’ and inserting ‘‘PERSONNEL 
AND SUPPORT.—The management structure implemented 
pursuant to subsection (a) shall provide that the Under 
Secretary shall work with’’; 
(C) by redesignating clauses (i) through (iii) as para-
graphs (1) through (3), respectively; 
(D) by inserting ‘‘and section 4502 of this title’’ in 
paragraph (3), as so redesignated, after ‘‘under this sec-
tion’’; and 
(E) by striking the semicolon at the end and inserting 
a period; 
(5) in subsection (d), as redesignated by paragraph (2)— 
(A) by realigning the margin of the subsection 4 ems 
to the left; 
(B) by striking ‘‘establish contract’’ and inserting ‘‘CON-
TRACT SERVICES ACQUISITION CATEGORIES.—The manage-
ment structure implemented pursuant to subsection (a)
H. R. 6395—888 
shall provide that the Under Secretary shall establish con-
tract’’; and 
(C) by striking ‘‘; and’’ at the end and inserting a 
period; 
(6) in subsection (e), as redesignated by paragraph (2)— 
(A) by realigning the margin of the subsection 4 ems 
to the left; 
(B) by striking ‘‘oversee the’’ and inserting ‘‘OVERSIGHT 
OF IMPLEMENTATION.—The management structure imple-
mented pursuant to subsection (a) shall provide that the 
Under Secretary shall oversee the’’; 
(C) by inserting ‘‘and section 4502 of this title’’ after 
‘‘of this section’’; and 
(D) by striking ‘‘subparagraph (A)’’and inserting ‘‘sub-
section (b)’’; and 
(7) by adding at the end the following new subsection: 
‘‘(f) CONTRACT SERVICES.—In this section, the term ‘contract 
services’ has the meaning given that term in section 4502(d)(2) 
of this title.’’. 
(f) REVISION
TO SECTION 4502.—Section 4502 of such title, 
as designated by subsection (d), is amended— 
(1) by redesignating paragraphs (2) and (3) of subsection 
(a) as paragraphs (1) and (2), respectively; 
(2) in subsection (b)— 
(A) in paragraph (1), by striking ‘‘subsection (a)(1)(C)’’ 
and inserting ‘‘section 4501(d) of this title’’; and 
(B) in paragraph (2), by striking ‘‘subsection (a)(1)’’ 
and inserting ‘‘section 4501 of this title’’; 
(3) by redesignating subsection (c) as subsection (d); 
(4) by redesignating paragraph (3) of subsection (b) as 
subsection (c) and redesignating subparagraphs (A) through 
(F) thereof as paragraphs (1) through (6), respectively; and 
(5) in subsection (c), as so redesignated— 
(A) in the matter preceding paragraph (1), by striking 
‘‘In carrying out paragraph (1)’’ and inserting ‘‘DUTIES AND 
RESPONSIBILITIES.—In carrying out subsection (b)(1),’’; 
(B) in paragraph (1), as so redesignated— 
(i) by inserting ‘‘and section 4501 of this title’’ 
after ‘‘of this section’’; and 
(ii) by striking ‘‘subsection (a)(1)(A)’’ and inserting 
‘‘section 4501(b) of this title’’; and 
(C) in paragraph (6), as so redesignated, by striking 
‘‘section 2330a’’ and inserting ‘‘section 4505’’. 
(g) TRANSFER OF SECTIONS 2330A, 2329, 2331, 2383, AND 2410L 
OF TITLE 10.—Sections 2330a, 2329, 2331, 2383, and 2410l of title 
10, United States Code, are transferred to chapter 341 of such 
title, inserted (in that order) after section 4502, as designated 
by subsection (c), and redesignated as sections 4505, 4506, 4507, 
4508, and 4509, respectively. 
(h) CONFORMING CROSS-REFERENCE AMENDMENT.—Subsection 
(h)(3) of section 4505 of title 10, United States Code, as transferred 
and redesignated by subsection (d), is amended by striking ‘‘section 
2383(b)(2)’’ and inserting ‘‘section 4508(b)(2)’’. 
(i) CONFORMING AMENDMENT FOR DEFINED TERM APPLICABLE 
TO SECTION.—Subsection (b)(1) of section 4508 of title 10, United 
States Code, as transferred and redesignated by subsection (g),
H. R. 6395—889 
is amended by striking ‘‘has the meaning given in section 2302(1) 
of this title, except that such term’’. 
(j) PLACEHOLDER FOR CHAPTER FOR PROVISIONS RELATING TO 
ACQUISITION OF SERVICES OF CONTRACTORS PERFORMING PRIVATE 
SECURITY FUNCTIONS.—Part V of subtitle A of title 10, United 
States Code, as added by section 801 of the John S. McCain National 
Defense Authorization Act for Fiscal Year 2019 (Public Law 115– 
232), is amended by inserting after chapter 341, as added by this 
section, the following new chapter: 
‘‘CHAPTER 343—ACQUISITION OF SERVICES OF CON-
TRACTORS PERFORMING PRIVATE SECURITY FUNC-
TIONS 
‘‘Subchapter
Sec. 
‘‘I. Contractors Performing Private Security Functions in Areas of Combat 
Operations or Other Significant Military Operations ...........................
4541 
‘‘II. Standards and Certification for Private Security .........................................
4551 
‘‘SUBCHAPTER I—CONTRACTORS PERFORMING PRIVATE 
SECURITY FUNCTIONS IN AREAS OF COMBAT OPER-
ATIONS OR OTHER SIGNIFICANT MILITARY OPERATIONS 
‘‘Sec. 
‘‘4541. øReserved¿. 
‘‘SUBCHAPTER II—STANDARDS AND CERTIFICATION FOR 
PRIVATE SECURITY CONTRACTORS 
‘‘Sec. 
‘‘4551. øReserved¿.’’. 
SEC. 1857. ACQUISITION OF INFORMATION TECHNOLOGY. 
(a) NEW CHAPTER.—Part V of subtitle A of title 10, United 
States Code, as added by section 801 of the John S. McCain National 
Defense Authorization Act for Fiscal Year 2019 (Public Law 115– 
232), is amended by striking chapter 345 and inserting the fol-
lowing: 
‘‘CHAPTER 345—ACQUISITION OF INFORMATION 
TECHNOLOGY 
‘‘Sec. 
‘‘4571. Information technology acquisition: planning and oversight processes. 
‘‘4572. øReserved¿. 
‘‘4573. øReserved¿. 
‘‘4574. øReserved¿. 
‘‘4575. øReserved¿. 
‘‘4576. Requirement for consideration of certain matters during acquisition of non-
commercial computer software.’’. 
(b) TRANSFER OF SECTION 2223A.— 
(1) Section 2223a of title 10, United States Code, is trans-
ferred to chapter 345 of such title, as amended by subsection 
(a), inserted after the table of sections, and redesignated as 
section 4571. 
(2) The heading of such section is amended to read as 
follows: 
‘‘§ 4571. Information technology acquisition: planning and 
oversight processes’’. 
(c) TRANSFER OF SECTION 2322A.—Section 2322a of title 10, 
United States Code, is transferred to chapter 345 of such title,
H. R. 6395—890 
as amended by subsection (a), inserted after section 4571, as added 
by subsection (b), and redesignated as section 4576. 
Subtitle H—Contract Management 
SEC. 1861. CONTRACT ADMINISTRATION. 
(a) NEW CHAPTER.—Part V of subtitle A of title 10, United 
States Code, as added by section 801 of the John S. McCain National 
Defense Authorization Act for Fiscal Year 2019 (Public Law 115– 
232), is amended by striking chapter 361 and inserting the fol-
lowing: 
‘‘CHAPTER 361—CONTRACT ADMINISTRATION 
‘‘Sec. 
‘‘4601. Electronic submission and processing of claims for contract payments. 
‘‘4602. Contracted property and services: prompt payment of vouchers. 
‘‘4603. Advance notification of contract performance outside the United States.’’. 
(b) TRANSFER
OF TITLE 10 SECTIONS.—Sections 2227, 2226, 
and 2410g of title 10, United States Code, are transferred to chapter 
361 of such title, as amended by subsection (a), inserted (in that 
order) after the table of sections at the beginning of such chapter, 
and redesignated as section 4601, 4602, and 4603, respectively. 
SEC. 1862. PROHIBITIONS AND PENALTIES. 
(a) NEW CHAPTER.—Part V of subtitle A of title 10, United 
States Code, as added by section 801 of the John S. McCain National 
Defense Authorization Act for Fiscal Year 2019 (Public Law 115– 
232), is amended by striking chapter 363 and inserting the fol-
lowing: 
‘‘CHAPTER 363—PROHIBITION AND PENALTIES 
‘‘Sec. 
‘‘4651. Expenditure of appropriations: limitation. 
‘‘4652. Prohibition on use of funds for documenting economic or employment impact 
of certain acquisition programs. 
‘‘4653. Prohibition on use of funds to relieve economic dislocations. 
‘‘4654. Prohibition on doing business with certain offerors or contractors. 
‘‘4655. Prohibition of contractors limiting subcontractor sales directly to the United 
States. 
‘‘4656. Prohibition on persons convicted of defense-contract related felonies and re-
lated criminal penalty on defense contractors. 
‘‘4657. Prohibition on criminal history inquiries by contractors prior to conditional 
offer. 
‘‘4658. Debarment of persons convicted of fraudulent use of ‘Made in America’ labels. 
‘‘4659. Prohibition on contracting with entities that comply with the secondary Arab 
boycott of Israel. 
‘‘4660. Prohibition on collection of political information.’’. 
(b) TRANSFER AND REDESIGNATION OF TITLE 10 SECTIONS.— 
The sections of title 10, United States Code, specified in the left- 
hand column of the following table are transferred to chapter 363 
of such title, as amended by subsection (a), inserted (in the order 
shown in the following table) after the table of sections at the 
beginning of such chapter, and redesignated in accordance with 
the section numbers in the right-hand column, as follows: 
Section 
Redesignated Section 
2207 
4651
H. R. 6395—891 
Section 
Redesignated Section 
2249 
4652 
2392 
4653 
2393 
4654 
2402 
4655 
2408 
4656 
2339 
4657 
2410f 
4658 
2410i 
4659 
2335 
4660 
(c) CONFORMING CROSS-REFERENCE AMENDMENTS.— 
(1) Section 2343 of title 10, United States Code, is amended 
by striking ‘‘Sections 2207,’’ and inserting ‘‘Sections 4651,’’. 
(2) Subsection (b) of section 4657 of title 10, United States 
Code, as transferred and redesignated by subsection (b), is 
amended by striking ‘‘section 2393(c)’’ and inserting ‘‘section 
4654(c)’’. 
(3) Section 1123 of the National Defense Authorization 
Act for Fiscal Year 2020 (Public Law 116–92; 133 Stat.1614) 
is amended— 
(A) in subsection (b)(2), by striking ‘‘Section 2339(a)’’ 
and inserting ‘‘Section 4657(a)’’; and 
(B) in subsection (c)(1), by striking ‘‘section 2339’’ and 
inserting ‘‘section 4657’’. 
SEC. 1863. CONTRACTOR WORKFORCE. 
(a) NEW CHAPTER.—Part V of subtitle A of title 10, United 
States Code, as added by section 801 of the John S. McCain National 
Defense Authorization Act for Fiscal Year 2019 (Public Law 115– 
232), is amended by striking chapter 365 and inserting the fol-
lowing: 
‘‘CHAPTER 365—CONTRACTOR WORKFORCE 
‘‘Sec. 
‘‘4701. Contractor employees: protection from reprisal for disclosure of certain infor-
mation. 
‘‘4702. Incentives and consideration for qualified training programs. 
‘‘4703. Displaced contractor employees: assistance to obtain certification and employ-
ment as teachers or employment as teachers’ aides. 
‘‘4704. Defense contractors: listing of suitable employment openings with local em-
ployment service office.’’. 
(b) TRANSFER OF TITLE 10 SECTIONS.—Sections 2409, 2409a, 
2410j, and 2410k of title 10, United States Code, are transferred 
to chapter 365 of such title, as amended by subsection (a), inserted 
(in that order) after the table of sections, and redesignated as 
sections 4701, 4702, 4703, and 4704, respectively. 
(c) CONFORMING AMENDMENTS TO NEW 4701.—Subsection (g) 
of section 4701 of title 10, United States Code, as transferred 
and redesignated by subsection (b), is amended— 
(1) by striking ‘‘section 2303’’ in paragraph (1) and inserting 
‘‘section 3063’’; and 
(2) by striking paragraph (2).
H. R. 6395—892 
SEC. 1864. OTHER ADMINISTRATIVE MATTERS. 
(a) NEW CHAPTER.—Part V of subtitle A of title 10, United 
States Code, as added by section 801 of the John S. McCain National 
Defense Authorization Act for Fiscal Year 2019 (Public Law 115– 
232), is amended by striking chapter 367 and inserting the fol-
lowing: 
‘‘CHAPTER 367—OTHER ADMINISTRATIVE MATTERS 
‘‘Sec. 
‘‘4751. Determinations and decisions. 
‘‘4752. Remission of liquidated damages. 
‘‘4753. Supplies: identification of supplier and sources. 
‘‘4754. Management of purchase cards.’’. 
(b) TRANSFER
OF TITLE 10 SECTIONS.—Sections 2310, 2312, 
2384, and 2784 of title 10, United States Code, are transferred 
to chapter 367 of such title, as amended by subsection (a), inserted 
(in that order) after the table of sections, and redesignated as 
sections 4751, 4752, 4753, and 4754, respectively. 
(c) CONFORMING AMENDMENTS TO NEW SECTION 4751.—Section 
4751 of title 10, United States Code, as transferred and redesignated 
by subsection (b), is amended— 
(1) in subsection (a), by striking ‘‘made under this chapter’’ 
and inserting ‘‘made under any chapter 137 legacy provision’’; 
and 
(2) in subsection (b), by striking ‘‘section 2306(g)(1), 2307(d), 
or 2313(c)(2)(B)’’ and inserting ‘‘section 3531(a), 3803, or 
3841(c)(2)(B)’’. 
Subtitle I—Defense Industrial Base 
SEC. 1866. DEFENSE INDUSTRIAL BASE GENERALLY. 
(a) TABLES OF CHAPTERS AMENDMENTS.—The tables of chapters 
at the beginning of subtitle A, and at the beginning of part V 
of subtitle A (as added by section 801 of the John S. McCain 
National Defense Authorization Act for Fiscal Year 2019 (Public 
Law 115–232)), of title 10, United States Code, are amended by 
striking the item relating to chapter 381 and inserting the following: 
‘‘381. Defense Industrial Base Generally ............................................................. 4801
‘‘382. Policies and Planning .................................................................................. 4811
‘‘383. Development, Application, & Support of Dual-Use Technologies ............ 4831
‘‘384. Manufacturing Technology .......................................................................... 4841
‘‘385. Other Technology Base Policies and Programs ......................................... 4851’’. 
(b) NEW CHAPTER.—Part V of subtitle A of title 10, United 
States Code, as added by section 801 of the John S. McCain National 
Defense Authorization Act for Fiscal Year 2019 (Public Law 115– 
232), is amended by striking chapter 381 and inserting the fol-
lowing: 
‘‘CHAPTER 381—DEFENSE INDUSTRIAL BASE 
GENERALLY 
‘‘Sec. 
‘‘4801. Definitions.’’. 
(c) TRANSFER OF DEFINITIONS SECTION.—Section 2500 of such 
title is transferred to chapter 381 of such title, as amended by 
subsection (b), inserted after the table of sections at the beginning, 
redesignated as section 4801, and amended—
H. R. 6395—893 
(1) in the matter preceding paragraph (1), by striking ‘‘In 
this chapter’’ and inserting ‘‘In this subpart’’; 
(2) in paragraph (8), by striking ‘‘section 2505’’ and ‘‘section 
2501(a)’’ and inserting ‘‘section 4816’’ and ‘‘section 4811(a)’’, 
respectively; and 
(3) by adding at the end the following new paragraph: 
‘‘(16) The term ‘chapter 148 legacy provision’ means any 
of the following provisions of this subpart: sections 4801, 4811– 
4819, 4831–4834, 4841–4843, 4851, 4852, 4861–4864, 4871, 
4872, 4881–4884, 4891, and 4892, and chapter 389.’’. 
(d) CONFORMING CROSS-REFERENCE AMENDMENTS.— 
(1) Section 843(c) of the John S. McCain National Defense 
Authorization Act for Fiscal Year 2019 (Public Law 115–232; 
10 U.S.C. 2302 note) is amended— 
(A) in paragraph (4), by striking ‘‘section 2302(9)’’ and 
inserting ‘‘section 3021’’; and 
(B) in paragraph (5), by striking ‘‘section 2500(5)’’ and 
inserting ‘‘section 4801(5)’’. 
(2) Section 2474(a)(2) of title 10, United States Code, is 
amended by striking ‘‘section 2500(1)’’ and inserting ‘‘section 
4801(1)’’. 
(3) Section 881 of the National Defense Authorization Act 
for Fiscal Year 2017 (Public Law 114–328; 10 U.S.C. 2501 
note) is amended— 
(A) in subsection (a)— 
(i) in the matter preceding paragraph (1), by 
striking ‘‘section 2500’’ and inserting ‘‘section 4801’’; 
and 
(ii) in paragraph (4), by striking ‘‘section 2501(b)’’ 
and inserting ‘‘section 4811(b)’’; and 
(B) in subsection (c), by striking ‘‘section 2504’’ and 
inserting ‘‘section 4814’’. 
(4) The National Defense Authorization Act for Fiscal Year 
2004 (Public Law 108–136; 10 U.S.C. 2501 note) is amended— 
(A) in section 812— 
(i) in subsection (a)(1)(B), by striking ‘‘section 
2501’’ and inserting ‘‘section 4811’’; and 
(ii) in subsection (b)(3), by striking ‘‘section 2507’’ 
and inserting ‘‘section 4817’’; and 
(B) in section 814(c), by striking ‘‘section 2534’’ and 
inserting ‘‘section 4864’’. 
(5) Section 1712(c)(2) of the National Defense Authorization 
Act for Fiscal Year 2018 (Public Law 115–91; 10 U.S.C. 2536 
note) is amended by striking ‘‘section 2500’’ and inserting ‘‘sec-
tion 4801’’. 
SEC. 1867. POLICIES AND PLANNING. 
(a) NEW CHAPTER.—Part V of subtitle A of title 10, United 
States Code, as added by section 801 of the John S. McCain National 
Defense Authorization Act for Fiscal Year 2019 (Public Law 115– 
232), is amended by adding after chapter 381, as amended by 
the preceding section, the following new chapter: 
‘‘CHAPTER 382—POLICIES AND PLANNING 
‘‘Sec. 
‘‘4811. National security strategy for national technology and industrial base. 
‘‘4812. National Defense Technology and Industrial Base Council.
H. R. 6395—894 
‘‘4813. National defense program for analysis of the technology and industrial base. 
‘‘4814. Annual report to Congress. 
‘‘4815. Unfunded priorities of the national technology and industrial base: annual 
report. 
‘‘4816. National technology and industrial base: periodic defense capability assess-
ments. 
‘‘4817. Industrial Base Fund. 
‘‘4818. Data collection authority of President. 
‘‘4819. Modernization of acquisition processes to ensure integrity of industrial base.’’. 
(b) TRANSFER AND REDESIGNATION OF TITLE 10 SECTIONS.— 
The sections of title 10, United States Code, specified in the left- 
hand column of the following table are transferred to chapter 382 
of such title, as added by subsection (a), inserted (in the order 
shown in the following table) after the table of sections at the 
beginning of such chapter, and redesignated in accordance with 
the section numbers in the right-hand column, as follows: 
Section 
Redesignated Section 
2501 
4811 
2502 
4812 
2503 
4813 
2504 
4814 
2504a 
4815 
2505 
4816 
2508 
4817 
2507 
4818 
2509 
4819 
(c) SECTION 2506.— 
(1) INSERTION OF TEXT OF SECTION 2506 AT END OF SECTION 
4811.— 
(A) Section 4811 of such title, as transferred and 
redesignated by subsection (b), is amended by adding at 
the end the following new subsection: 
‘‘(c) DEPARTMENT OF DEFENSE TECHNOLOGY AND INDUSTRIAL 
BASE POLICY GUIDANCE.—’’. 
(B) Subsections (a) and (b) of section 2506 of such 
title are transferred to the end of subsection (c) of such 
section 4811, as added by subparagraph (A), redesignated 
as paragraphs (1) and (2), respectively, indented 2 ems 
from the left margin, and amended— 
(i) in paragraph (1), as so redesignated, by striking 
‘‘section 2501(a) of this title’’ and inserting ‘‘subsection 
(a)’’; and 
(ii) in paragraph (2), as so redesignated, by striking 
‘‘subsection (a)’’ and inserting ‘‘paragraph (1)’’. 
(2) CONFORMING
REPEAL.—Section 2506 of such title is 
repealed. 
(d) CONFORMING CROSS-REFERENCE AMENDMENTS.—Sections of 
chapter 382 of such title, as transferred and redesignated by sub-
section (b), are amended as follows: 
(1) Section 4812 is amended by striking ‘‘section 2501(a)’’ 
in subsection (c)(1) and inserting ‘‘section 4811(a)’’. 
(2) Section 4813 is amended by striking ‘‘section 2505’’ 
in subsection (c)(3)(A) and inserting ‘‘section 4816’’. 
(3) Section 4814 is amended—
H. R. 6395—895 
(A) in paragraph (1), by striking ‘‘section 2506’’ and 
inserting ‘‘section 4811(c)’’; 
(B) in paragraph (2), by striking ‘‘section 2505’’ and 
inserting ‘‘section 4816’’; and 
(C) in paragraph (3), by striking ‘‘section 2501’’ and 
‘‘section 2505’’ and inserting ‘‘section 4811’’ and ‘‘section 
4816’’, respectively. 
(4) Section 4816 is amended by striking ‘‘section 2501(a)’’ 
in subsection (a) and inserting ‘‘section 4811(a)’’. 
(5) Section 4818 is amended in subsection (a)— 
(A) by striking ‘‘of this chapter’’ and inserting ‘‘of the 
chapter 148 legacy provisions’’; and 
(B) by striking ‘‘under this chapter’’ and inserting 
‘‘under those provisions’’. 
(6) Section 4819(f)(1)(A) is amended by striking ‘‘section 
2339a(e)’’ and inserting ‘‘section 3252(c)’’. 
(e) CONFORMING CROSS-REFERENCE AMENDMENTS.— 
(1) Section 2198(c) of title 10, United States Code, is 
amended by striking ‘‘section 2505’’ and ‘‘section 2501(a)’’ and 
inserting ‘‘section 4816’’ and ‘‘section 4811(a)’’, respectively. 
(2) Section 2709(a) of such title is amended by striking 
‘‘section 2501’’ and inserting ‘‘section 4811’’. 
(3) Section 8685 of such title is amended by striking ‘‘sec-
tion 2501(b)’’ in subsections (a) and (c) and inserting ‘‘section 
4811(b)’’. 
SEC. 1868. DEVELOPMENT, APPLICATION, AND SUPPORT OF DUAL-USE 
TECHNOLOGIES. 
(a) NEW CHAPTER.—Part V of subtitle A of title 10, United 
States Code, as added by section 801 of the John S. McCain National 
Defense Authorization Act for Fiscal Year 2019 (Public Law 115– 
232), is amended by adding after chapter 382, as added by the 
preceding section, the following new chapter: 
‘‘CHAPTER 383—DEVELOPMENT, APPLICATION, AND 
SUPPORT OF DUAL-USE TECHNOLOGIES 
‘‘Sec. 
‘‘4831. Defense dual-use critical technology program. 
‘‘4832. Encouragement of technology transfer. 
‘‘4833. Federal Defense Laboratory Diversification Program. 
‘‘4834. Overseas foreign critical technology monitoring and assessment financial as-
sistance program.’’. 
(b) TRANSFER AND REDESIGNATION OF TITLE 10 SECTIONS.— 
The sections of title 10, United States Code, specified in the left- 
hand column of the following table are transferred to chapter 383 
of such title, as added by subsection (a), inserted (in the order 
shown in the following table) after the table of sections at the 
beginning of such chapter, and redesignated in accordance with 
the section numbers in the right-hand column, as follows: 
Section 
Redesignated Section 
2511 
4831 
2514 
4832 
2519 
4833 
2518 
4834