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(1) IN
GENERAL.—The Fund shall consist of
amounts as follows:
(A) Amounts credited to the Fund under
paragraph (2).
(B) Any other amounts appropriated to,
credited to, or deposited into the Fund by law.
(2) CREDITS TO THE FUND.—(A) There shall be
credited to the Fund an amount equal to the applica-
ble percentage for a fiscal year of all amounts ex-
pended by the Department of Defense in such fiscal
year for contract services, other than services relating
to research and development and services relating to
military construction.
(B) Not later than 30 days after the end of the
first fiscal year quarter of fiscal year 2008, and 30
days after the end of each fiscal year quarter there-
after, the head of each military department and De-
fense Agency shall remit to the Secretary of Defense
an amount equal to the applicable percentage for such
fiscal year of the amount expended by such military
department or Defense Agency, as the case may be,
during such fiscal year quarter for services covered by
subparagraph (A). Any amount so remitted shall be
credited to the Fund under subparagraph (A).
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(C) For purposes of this paragraph, the applica-
ble percentage for a fiscal year is a percentage as fol-
lows:
(i) For fiscal year 2008, 0.5 percent.
(ii) For fiscal year 2009, 1 percent.
(iii) For fiscal year 2010, 1.5 percent.
(iv) For any fiscal year after fiscal year
2010, 2 percent.
(d) AVAILABILITY OF FUNDS.—
(1) IN GENERAL.—Subject to the provisions of
this subsection, amounts in the Fund shall be avail-
able to the Secretary of Defense for expenditure, or for
transfer to a military department or Defense Agency,
for the recruitment, training, and retention of acqui-
sition personnel of the Department of Defense for the
purpose of this section, including for the provision of
training and retention incentives to the acquisition
workforce of the Department as of the date of the en-
actment of this Act.
(2) LIMITATION ON PAYMENTS TO OR FOR CON-
TRACTORS.—Amounts in the Fund shall not be avail-
able for payments to contractors or contractor em-
ployees, other than for the purpose of providing train-
ing to Department of Defense employees.
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(3) PROHIBITION ON PAYMENT OF BASE SALARY
OF
CURRENT
EMPLOYEES.—Amounts in the Fund
may not be used to pay the base salary of any person
who is an employee of the Department as of the date
of the enactment of this Act.
(4) DURATION OF AVAILABILITY.—Amounts cred-
ited to the Fund under subsection (c)(2) shall remain
available for expenditure in the fiscal year for which
credited and the two succeeding fiscal years.
(e) ANNUAL REPORT.—Not later than 60 days after
the end of each fiscal year beginning with fiscal year 2008,
the Secretary of Defense shall submit to the congressional
defense committees a report on the operation of the Fund
during such fiscal year. Each report shall include, for the
fiscal year covered by such report, the following:
(1) A statement of the amounts remitted to the
Secretary for crediting to the Fund for such fiscal
year by each military department and Defense Agen-
cy, and a statement of the amounts credited to the
Fund for such fiscal year.
(2) A description of the expenditures made from
the Fund (including expenditures following a transfer
of amounts in the Fund to a military department or
Defense Agency) in such fiscal year, including the
purpose of such expenditures.
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(3) A description and assessment of improve-
ments in the Department of Defense acquisition work-
force resulting from such expenditures.
(4) A statement of the balance remaining in the
Fund at the end of such fiscal year.
(f) DEFENSE AGENCY DEFINED.—In this section, the
term ‘‘Defense Agency’’ has the meaning given that term
in section 101(a) of title 10, United States Code.
(g) EXPEDITED HIRING AUTHORITY.—
(1) IN GENERAL.—For purposes of sections 3304,
5333, and 5753 of title 5, United States Code, the
Secretary of Defense may—
(A) designate any category of acquisition
positions within the Department of Defense as
shortage category positions; and
(B) utilize the authorities in such sections
to recruit and appoint highly qualified persons
directly to positions so designated.
(2) SUNSET.—The Secretary may not appoint a
person to a position of employment under this sub-
section after September 30, 2012.
(h) ACQUISITION
WORKFORCE
ASSESSMENT
AND
PLAN.—
(1) IN GENERAL.—Not later than 180 days after
the date of the enactment of this Act, the Secretary of
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Defense shall develop an assessment and plan for ad-
dressing gaps in the acquisition workforce of the De-
partment of Defense.
(2) CONTENT OF ASSESSMENT.—The assessment
developed under paragraph (1) shall identify—
(A) the skills and competencies needed in
the military and civilian workforce of the De-
partment of Defense to effectively manage the ac-
quisition programs and activities of the Depart-
ment over the next decade;
(B) the skills and competencies of the exist-
ing military and civilian acquisition workforce
of the Department and projected trends in that
workforce based on expected losses due to retire-
ment and other attrition; and
(C) gaps in the existing or projected mili-
tary and civilian acquisition workforce that
should be addressed to ensure that the Depart-
ment has access to the skills and competencies
identified pursuant to subparagraph (A).
(3) CONTENT
OF
PLAN.—The plan developed
under paragraph (1) shall establish specific objectives
for developing and reshaping the military and civil-
ian acquisition workforce of the Department of De-
fense to address the gaps in skills and competencies