327
(2) by inserting after subsection (c) the fol-
lowing new subsection: 
‘‘(d) RE-BASELINING.—
‘‘(1) RE-BASELINE
AUTHORIZED.—For pur-
poses of this chapter, a baseline for a major defense 
acquisition program may be re-baselined only if a 
percentage increase in program acquisition unit cost 
or procurement unit cost of the program exceeding 
25 percent occurs (as determined by the Secretary 
under section 2433(d)). 
‘‘(2) NOTIFICATION TO CONGRESS OF RE-BASE-
LINING.—The Secretary shall notify the congres-
sional defense committees not later than 30 days 
after a re-baselining has been conducted for a major 
defense acquisition program.’’. 
Subtitle B—Acquisition Policy and 
Management 
SEC. 811. APPLICABILITY OF STATUTORY EXECUTIVE COM-
PENSATION CAP MADE PROSPECTIVE. 
(a) PROSPECTIVE APPLICABILITY
OF EXECUTIVE 
COMPENSATION CAP.—Section 808(e)(2) of Public Law 
105–85 (41 U.S.C. 435 note; 111 Stat. 1838) is amended 
by striking ‘‘before, on,’’ and inserting ‘‘on’’.
328
(b) EFFECTIVE DATE.—The amendment made by 
subsection (a) shall apply as if included in Public Law 
105–85 as enacted. 
SEC. 812. USE OF COMMERCIALLY AVAILABLE ONLINE 
SERVICES FOR FEDERAL PROCUREMENT OF 
COMMERCIAL ITEMS. 
(a) AMENDMENT
TO
THE FEDERAL ACQUISITION 
REGULATION.—Not later than 180 days after the date of 
the enactment of this Act, the Federal Acquisition Regula-
tion shall be revised to include provisions that require the 
head of an executive agency, to the maximum extent prac-
ticable, to use commercially available online procurement 
services to purchase commercial items, including those 
procurement services that allow the agency to conduct re-
verse auctions. 
(b) REPORT.—Not later than one year after the revi-
sions to the Federal Acquisition Regulation are issued 
pursuant to subsection (a), the Administrator for Federal 
Procurement Policy shall submit to the Committees on 
Governmental Affairs and Homeland Security and on 
Armed Services of the Senate and the Committees on Gov-
ernment Reform and on Armed Services of the House of 
Representatives a report on the use of commercially avail-
able online procurement services. The report shall in-
clude—
329
(1) a list of the executive agencies that have 
used commercially available online procurement serv-
ices, and the number of times each has so used such 
services; 
(2) a list of the types of commercially available 
online procurement services used by each executive 
agency and the dollar value of the procurements con-
ducted through each type of commercially available 
online procurement service; and 
(3) the Administrator’s recommendations for 
further encouraging the use of commercially avail-
able online procurement services, particularly those 
that afford the Federal Government the opportunity 
to conduct reverse auctions. 
(c) DEFINITIONS.—In this section: 
(1) The term ‘‘commercially available online 
procurement services’’, with respect to procurement 
by executive agencies, includes reverse auctions and 
other services accessible on the Internet that allow 
executive agencies to purchase commercial items 
from electronic catalogs and offerors to bid for deliv-
ery orders of such items. 
(2) The term ‘‘reverse auction’’, with respect to 
procurement by executive agencies, means a method 
of soliciting offers on the Internet for commercial