455 
(ii) the selection of such suppliers is 
subject to review, audit, and approval by 
appropriate Department of Defense officials. 
(4) REPORTING REQUIREMENT.—The revised reg-
ulations issued pursuant to paragraph (1) shall re-
quire that any covered contractor provide a written 
report to the appropriate Government authorities and 
the Government-Industry Data Exchange Program 
(or a similar program designated by the Secretary) 
not later than 60 days after such covered contractor 
becomes aware, or has reason to suspect that— 
(A) any end item, component, part, or ma-
terial contained in supplies purchased by or for 
the Department contains suspect covered equip-
ment and services; or 
(B) a supplier of a covered contractor has 
provided suspect covered equipment and services. 
(e) IMPROVEMENT OF CONTRACTOR SYSTEMS FOR DE-
TECTION AND AVOIDANCE OF SUSPECT COVERED EQUIP-
MENT AND SERVICES.— 
(1) IN GENERAL.—Not later than 270 days after 
the date of the enactment of this Act, the Secretary 
shall implement a program to enhance the detection 
and avoidance of the acquisition of suspect covered 
equipment and services by covered contractors. 
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(2) ELEMENTS.—The program implemented pur-
suant to paragraph (1) shall— 
(A) require covered contractors to establish 
policies and procedures to eliminate suspect cov-
ered equipment and services from the defense 
supply chain, which policies and procedures 
shall address— 
(i) the training of personnel; and 
(ii) with respect to a procurement of 
telecommunications equipment or video sur-
veillance equipment, the inspection and test-
ing of related materials and mechanisms to 
enable traceability of parts of such equip-
ment; and 
(B) establish processes for the review and 
approval of contractor systems for the detection 
and avoidance of the acquisition of suspect cov-
ered equipment and services by covered contrac-
tors, which processes shall be comparable to the 
processes established for contractor business sys-
tems under section 893 of the Ike Skelton Na-
tional Defense Authorization Act for Fiscal Year 
2011 (Public Law 111–383; 124 Stat. 4311; 10 
U.S.C. 2302 note). 
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(f) RULE OF CONSTRUCTION.—Nothing in this section 
shall be construed to prohibit the Secretary from entering 
into a contract with a covered contractor to provide a serv-
ice that connects to the facilities of a third party, such as 
backhaul, roaming, or interconnection arrangements. 
(g) REPORT TO CONGRESS.—Not later than 180 days 
after completing the assessment required under subsection 
(a), the Secretary shall submit to the congressional defense 
committees a report on the results of the assessment and 
the actions taken following the assessment pursuant to sub-
section (c). 
(h) DEFINITIONS.—In this section: 
(1) COVERED EQUIPMENT AND SERVICES.—The 
term ‘‘covered equipment and services’’ means tele-
communications equipment, telecommunications serv-
ices, video surveillance equipment, and video surveil-
lance services manufactured or controlled by an entity 
for which the principal place of business of such enti-
ty is located in foreign country that is an adversary 
of the United States, but does not include tele-
communications equipment or video surveillance 
equipment (other than optical transmission compo-
nents) that cannot route or redirect user data traffic 
or permit visibility into any user data or packets 
that such equipment transmits or otherwise handles. 
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(2) COVERED CONTRACTOR.—The term ‘‘covered 
contractor’’ means a contractor or subcontractor (at 
any tier) that supplies covered equipment and serv-
ices to the Department of Defense. 
(3) EXECUTIVE
AGENCY.—The term ‘‘executive 
agency’’ has the meaning given in section 133 of title 
41, United States Code. 
(4) SECRETARY.—The term ‘‘Secretary’’ means 
the Secretary of Defense. 
(5) SUSPECT COVERED EQUIPMENT AND SERV-
ICES.—The term ‘‘suspect covered equipment and 
services’’ means covered equipment and services that 
is from any source, or that is a covered article, subject 
to an exclusion order or removal order under section 
1323(c) of title 41, United States Code. 
SEC. 852. ASSURED SECURITY AGAINST INTRUSION ON 
UNITED STATES MILITARY NETWORKS. 
(a) PROHIBITION.—Except as provided in subsections 
(b) and (c), the Secretary of Defense shall only award con-
tracts for the procurement of telecommunications services 
or the installation of telecommunications infrastructure on 
national security installations on territories of the United 
States located in the Pacific Ocean to allowed contractors. 
(b) EXCEPTION.—Subsection (a) shall not apply to 
contracts the procurement of telecommunications services or 
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the installation of telecommunications infrastructure if 
such telecommunications services or telecommunications in-
frastructure does not process or carry any information 
about the operations of the Armed Forces of the United 
States or otherwise concern the national security of the 
United States. 
(c) WAIVER.—The Secretary of Defense may waive the 
restriction of subsection (a) upon a written determination 
that such a waiver is in the national security interests of 
the United States and either— 
(1) a contractor that is not an allowed con-
tractor would not have the ability to track, record, lis-
ten, or otherwise access data or voice communications 
of the Department of Defense through the provision of 
the telecommunications service; or 
(2) a qualified allowed contractor is not avail-
able to perform the contract at a fair and reasonable 
price. 
(d) DEFINITIONS.—In this section: 
(1) ALLOWED CONTRACTOR.—The term ‘‘allowed 
contractor’’ means— 
(A) an entity that is 100 percent owned by 
persons located in the United States that has 
submitted an offer for a contract let by the De-
partment of Defense; or 
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(B) an entity that— 
(i) is 100 percent owned by persons lo-
cated in the United States or in a covered 
foreign country that has submitted an offer 
for a contract let by the Department of De-
fense; and 
(ii) does not have significant connec-
tions, including major equipment purchases, 
ownership interests, or joint ventures, with 
any entity identified in subsection (f)(3) of 
section 889 of the John S. McCain National 
Defense Authorization Act for Fiscal Year 
2019 (Pub. L. 115-232; 132 Stat. 1918; 41 
U.S.C. 3901 note) 
(2) COVERED
FOREIGN
COUNTRY.—The term 
‘‘covered foreign country’’ means a foreign country 
the government of which permits allowed contractors 
to compete on a fair basis for contracts for the pro-
curement of telecommunications services or the instal-
lation of telecommunications infrastructure let by the 
government of such foreign country. 
(3) NATIONAL
SECURITY
INSTALLATION.—The 
term ‘‘national security installation’’ means any fa-
cility operated by the Department of Defense. 
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(4) TELECOMMUNICATIONS SERVICE.—The term 
‘‘telecommunications service’’ has the meaning given 
in section 3 of the Communications Act of 1934 (47 
U.S.C. 153). 
(5) TELECOMMUNICATIONS INFRASTRUCTURE.— 
The term ‘‘telecommunications infrastructure’’ means 
any wire or switching facilities used to provide tele-
communications services. 
SEC. 853. REVISED AUTHORITIES TO DEFEAT ADVERSARY 
EFFORTS TO COMPROMISE UNITED STATES 
DEFENSE CAPABILITIES. 
(a) SENSE
OF CONGRESS.—Congress finds that to 
comprehensively address the supply chain vulnerabilities of 
the Department of Defense, defense contractors must be 
incentivized to prioritize security in a manner which ex-
ceeds basic compliance with mitigation practices relating 
to cybersecurity risk and supply chain security standards. 
Defense contractors can no longer pass unknown risks on 
to the Department of Defense but should be provided with 
the tools to meet the needs of the Department with respect 
to cybersecurity risk and supply chain security. Incentives 
for defense contractors will help stimulate efforts within the 
defense industrial base to minimize vulnerabilities in hard-
ware, software, and supply chain services. The Department 
of Defense must develop policies and regulations that move 
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security from a cost that defense contractors seek to mini-
mize to a key consideration in the award of contracts, equal 
in importance to cost, schedule, and performance. 
(b) INCLUSION OF SECURITY AS PRIMARY PURPOSE 
FOR THE DEPARTMENT OF DEFENSE ACQUISITION.— 
(1) IN GENERAL.—Not later than 180 days after 
the date of the enactment of this Act, the Secretary of 
Defense shall the revise the statement of purpose in 
the Defense Federal Acquisition Regulation Supple-
ment added by section 801(3) of the National Defense 
Authorization Act for Fiscal Year 2018 (Public Law 
115–91; 131 Stat. 1449; U.S.C. 2302 note) to include 
the security of goods acquired by the Department of 
Defense as one of the primary objectives of Depart-
ment of Defense acquisition. The Secretary shall re-
vise applicable Department of Defense Instructions, 
regulations, and directives to implement the inclusion 
of security as a primary purpose of Department of 
Defense acquisition. 
(2) CONGRESSIONAL
NOTIFICATION.—The Sec-
retary shall submit to the congressional defense com-
mittees— 
(A) not later than 60 days before issuing 
the revisions described in paragraph (1), the pro-
posed revisions; and 
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(B) not later than 180 days after the date 
of the enactment of this Act, recommendations 
for legislative action to implement the revisions 
described in this subsection. 
(c) CERTIFICATION OF RISK.— 
(1) IN GENERAL.—Before making a milestone de-
cision with respect to a major defense acquisition pro-
gram (as defined under section 2430 of title 10, 
United States Code), a major automated information 
system, or major system (as defined under section 
2302d of title 10, United States Code), the vice chief 
of the Armed Force concerned shall issue a written as-
sessment to the Vice Chief of the Joint Chiefs of Staff 
and the head of the Defense Acquisition Board stating 
the determination made by the vice chief of the armed 
force concerned of the risk to the supply chain associ-
ated with the procurement. Such assessment shall in-
clude— 
(A) a description of actions taken to miti-
gate potential vulnerabilities associated with the 
procurement; and 
(B) a certification from the Secretary of the 
military department concerned or the Vice Chief 
of the Joint Chief of Staff (as appropriate) that 
the procurement will not interfere with the oper-
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ations of the military department conducting the 
procurement. 
(2) AVAILABILITY TO THE CONGRESSIONAL DE-
FENSE COMMITTEES.—Upon request, the vice chief of 
the Armed Force concerned shall make available to the 
congressional defense committees a certification re-
quired under paragraph (1), along with the data on 
which such certification is based, not later than 15 
days after the submission of a request. 
(d) DISPUTES RELATING
TO ACQUISITIONS DECI-
SIONS.—The Under Secretary of Defense for Intelligence, 
the Vice Chairman of the Joint Chiefs of Staff, the Vice 
Chief of Staff of the Army, the Vice Chief of Naval Oper-
ations, the Vice Chief of Staff of the Air Force, and the As-
sistant Commandant of the Marine Corps shall each have 
the authority to submit to the Secretary of Defense a written 
statement of dispute relating to a decision made by the De-
fense Acquisition Board with respect to an acquisition. A 
dispute submitted under this subsection shall include any 
reason why the decision fails to effectively address concerns 
regarding the item to be acquired. 
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SEC. 854. PROHIBITION ON OPERATION OR PROCUREMENT 
OF 
FOREIGN-MADE 
UNMANNED 
AIRCRAFT 
SYSTEMS. 
(a) PROHIBITION ON AGENCY OPERATION OR PRO-
CUREMENT.—The Secretary of Defense may not operate or 
enter into or renew a contract for the procurement of— 
(1) a covered unmanned aircraft system that— 
(A) is manufactured in a covered foreign 
country or by an entity domiciled in a covered 
foreign country; 
(B) uses flight controllers, radios, data 
transmission devices, cameras, or gimbals manu-
factured in a covered foreign country or by an 
entity domiciled in a covered foreign country; 
(C) uses a ground control system or oper-
ating software developed in a covered foreign 
country or by an entity domiciled in a covered 
foreign country; or 
(D) uses network connectivity or data stor-
age located in or administered by an entity dom-
iciled in a covered foreign country; or 
(2) a system manufactured in a covered foreign 
country or by an entity domiciled in a covered for-
eign country for the detection or identification of cov-
ered unmanned aircraft systems. 
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(b) EXEMPTION.—The Secretary of Defense is exempt 
from the restriction under subsection (a) if the operation 
or procurement is for the purposes of— 
(1) Counter-UAS surrogate testing and training; 
or 
(2) intelligence, electronic warfare, and informa-
tion warfare operations, testing, analysis, and train-
ing. 
(c) WAIVER.—The Secretary of Defense may waive the 
restriction under subsection (a) on a case by case basis by 
certifying in writing to the congressional defense commit-
tees that the operation or procurement is required in the 
national interest of the United States. 
(d) DEFINITIONS.—In this section: 
(1) COVERED
FOREIGN
COUNTRY.—The term 
‘‘covered foreign country’’ means a country labeled as 
a strategic competitor in the ‘‘Summary of the 2018 
National Defense Strategy of the United States of 
America: Sharpening the American Military’s Com-
petitive Edge’’ issued by the Department of Defense 
pursuant to section 113 of title 10, United States 
Code. 
(2) COVERED UNMANNED AIRCRAFT SYSTEM.— 
The term ‘‘covered unmanned aircraft system’’ means 
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an unmanned aircraft system and any related serv-
ices and equipment. 
SEC. 855. SUPPLY CHAIN RISK MITIGATION POLICIES TO BE 
IMPLEMENTED 
THROUGH 
REQUIREMENTS 
GENERATION PROCESS. 
(a) PROCESS FOR ENHANCED SUPPLY CHAIN SCRU-
TINY.—Section 807(b) of the National Defense Authoriza-
tion Act for Fiscal Year 2018 (Public Law 115–91; 131 
Stat. 1456; 10 U.S.C. 2302 note) is amended— 
(1) by redesignating paragraphs (5) through (9) 
as paragraphs (6) through (10), respectively; and 
(2) by inserting after paragraph (4) the fol-
lowing new paragraph: 
‘‘(5) Development of tools for implementing sup-
ply chain risk management policies during the gen-
eration of requirements for a contract.’’. 
(b) TECHNICAL AMENDMENT.—Subsection (a) of such 
section is amended by striking ‘‘Not later than’’ and all 
that follows through ‘‘the Secretary’’ and inserting ‘‘The 
Secretary’’. 
(c) EFFECTIVE DATE.—Not later than 90 days after 
the date of the enactment of this Act, the Secretary of De-
fense shall revise the process established under section 807 
of the National Defense Authorization Act for Fiscal Year 
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2018 (Public Law 115–91; 10 U.S.C. 2302 note) to carry 
out the requirements of this section. 
Subtitle E—Provisions Relating to 
the Acquisition System 
SEC. 861. MODIFICATIONS TO THE DEFENSE ACQUISITION 
SYSTEM. 
(a) GUIDANCE, REPORTS, AND LIMITATION ON THE 
AVAILABILITY OF FUNDS RELATING TO COVERED DEFENSE 
BUSINESS SYSTEMS.— 
(1) AMENDMENTS TO GUIDANCE FOR COVERED 
DEFENSE
BUSINESS
SYSTEMS.—Section 2222(d) of 
title 10, United States Code, is amended— 
(A) in the matter preceding paragraph (1), 
by striking ‘‘subsection (c)(1)’’ and inserting 
‘‘subsection (c)’’; and 
(B) by adding at the end the following new 
paragraphs: 
‘‘(7) Policy to ensure a covered defense business 
system is in compliance with the Department’s 
auditability requirements. 
‘‘(8) Policy to ensure approvals required for the 
development of a covered defense business system.’’. 
(2) REPORTS.— 
(A) GUIDANCE.—The Secretary of Defense 
shall submit to the congressional defense commit-
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tees (as defined in section 101(a)(16) of title 10, 
United States Code) a report— 
(i) not later than December 31, 2019, 
that includes the guidance required under 
paragraph (1) of section 2222(c) of title 10, 
United States Code; and 
(ii) not later than March 31, 2020, 
that includes the guidance required under 
paragraph (2) of such section. 
(B) INFORMATION
TECHNOLOGY
ENTER-
PRISE ARCHITECTURE.—Not later than Decem-
ber 31, 2019, the Chief Information Officer of the 
Department of Defense shall submit to the con-
gressional defense committees the information 
technology 
enterprise 
architecture 
developed 
under section 2222(e)(4)(B) of title 10, United 
States Code, which shall include the plan for im-
proving the information technology and com-
puting infrastructure described in such section 
and a schedule for implementing the plan. 
(C) DEFENSE
BUSINESS
ENTERPRISE
AR-
CHITECTURE.—Not later than March 31, 2020, 
the Chief Management Officer of the Department 
of Defense and the Chief Information Officer of 
the Department of Defense shall jointly submit to 
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the congressional defense committees a plan and 
schedule for integrating the defense business en-
terprise architecture developed under subsection 
(e) of section 2222 of title 10, United States 
Code, into the information technology enterprise 
architecture, as required under paragraph (4)(A) 
of such subsection. 
(3) LIMITATION.— 
(A) Of the funds authorized to be appro-
priated by this Act or otherwise made available 
for fiscal year 2020 for the Department of De-
fense, not more than 75 percent may be obligated 
or expended for the Office of the Secretary of De-
fense after December 31, 2019, until the date on 
which the Secretary of Defense submits the report 
required under subsection (b)(1)(A). 
(B) Of the funds authorized to be appro-
priated by this Act or otherwise made available 
for fiscal year 2020 for the Department of De-
fense, not more than 75 percent may be obligated 
or expended for the Office of the Deputy Chief 
Management Officer, the Office of the Under Sec-
retary 
of 
Defense 
for 
Acquisition 
and 
Sustainment, the Office of the Chief Information 
Officer, and the Office of the Chief Management 
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Officer after March 31, 2020, until the date on 
which the Secretary of Defense submits the report 
required under subsection (b)(1)(B). 
(C) Of the funds authorized to be appro-
priated by this Act or otherwise made available 
for fiscal year 2020 for the Department of De-
fense, not more than 75 percent may be obligated 
or expended for the Office of the Chief Informa-
tion Officer after December 31, 2019, until the 
date on which the Secretary of Defense submits 
the report required under subsection (b)(2). 
(D) Of the funds authorized to be appro-
priated by this Act or otherwise made available 
for fiscal year 2020 for the Department of De-
fense, not more than 75 percent may be obligated 
or expended for the Office of the Chief Manage-
ment Officer and the Office of the Chief Informa-
tion Officer after March 31, 2020, until the date 
on which the Secretary of Defense submits the re-
port required under subsection (b)(3). 
(b) PILOT PROGRAM ON DATA RIGHTS AS AN EVALUA-
TION FACTOR.— 
(1) PILOT PROGRAM.—Not later than February 
1, 2020, the Secretary of Defense and the Secretaries 
of the military departments shall jointly carry out a 
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pilot program to assess mechanisms to evaluate intel-
lectual property to include technical data deliverables, 
associated license rights, and commercially available 
intellectual property valuation analysis and tech-
niques in major defense acquisition programs (as de-
fined in section 2430 of title 10, United States Code) 
selected pursuant to subsection (b) to ensure— 
(A) the development of cost-effective intellec-
tual property strategies; and 
(B) assessment and management of the 
value and costs of intellectual property during 
acquisition and sustainment activities through-
out the life cycle of a weapon system for each se-
lected major defense acquisition program. 
(2) SELECTION OF MAJOR DEFENSE ACQUISITION 
PROGRAMS.—Each Secretary of a military depart-
ment shall select one major defense acquisition pro-
gram for which such Secretary has responsibility to 
include in the pilot program established under sub-
section (a). 
(3) CADRE
OF
INTELLECTUAL
PROPERTY
EX-
PERTS.—At Milestone A and Milestone B for each 
major defense acquisition program selected pursuant 
to subsection (b), the cadre of intellectual property ex-
perts established under section 2322(b) of title 10, 
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United States Code, shall identify, to the maximum 
extent practicable, intellectual property evaluation 
techniques to obtain quantitative and qualitative 
analysis related to the value of intellectual property 
rights during the procurement, production, deploy-
ment, operations, and support phases of the acquisi-
tion of each such major defense acquisition program. 
(4) ACTIVITIES.—The pilot program established 
under this section shall include the following: 
(A) Assessment of commercial valuation 
techniques for intellectual property rights for use 
by the Department of Defense. 
(B) Assessment of feasibility of oversight by 
the Secretary of Defense to standardize practices 
and procedures. 
(C) Assessment of contracting mechanisms 
to increase the speed of delivery of intellectual 
property to the Armed Forces or to reduce 
sustainment costs. 
(D) Assessment of acquisition planning nec-
essary to ensure procurement of intellectual 
property deliverables and intellectual property 
rights 
necessary 
for 
Government-planned 
sustainment activities. 
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(E) Engagement with private-sector entities 
to— 
(i) support the development of strate-
gies and program requirements to aid in 
acquisition and transition planning for in-
tellectual property; 
(ii) support the development and im-
provement of intellectual property strategies 
as part of life-cycle sustainment plans and 
valuation techniques for the costs of intellec-
tual property rights as part of life-cycle 
costs; and 
(iii) propose and implement alter-
native and innovative methods of intellec-
tual property valuation, prioritization, and 
evaluation techniques for intellectual prop-
erty. 
(F) Recommendations to the program man-
ager for a major defense acquisition program se-
lected pursuant to subsection (b) such evaluation 
techniques and contracting mechanisms for im-
plementation 
into 
the 
acquisition 
and 
sustainment activities of that major defense ac-
quisition program. 
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(5) ASSESSMENT.—Not later than February 1, 
2021, and annually thereafter until the termination 
date of the pilot program, the Secretary of Defense 
shall submit to the congressional defense committees a 
report on the pilot program established under sub-
section (a). The report shall include— 
(A) a description of the major defense ac-
quisition programs selected pursuant to sub-
section (b); 
(B) a description of the specific activities in 
subsection (d) that were performed with respect 
to each major defense acquisition program se-
lected pursuant to subsection (b); 
(C) an assessment of the effectiveness of such 
activities; 
(D) an assessment of improvements to ac-
quisition or sustainment activities related to the 
pilot program; and 
(E) an assessment of cost savings from the 
activities related to the pilot program, including 
any improvement to mission success during the 
operations and support phase of a major defense 
acquisition program selected pursuant to sub-
section (b). 
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(6) TERMINATION.—The authority to carry out 
the pilot program under this section shall expire on 
September 30, 2026. 
(c) REPORT AND LIMITATION ON AVAILABILITY OF 
FUNDS RELATING TO MODULAR OPEN SYSTEM APPROACH 
FOR MAJOR DEFENSE ACQUISITION PROGRAMS.— 
(1) STUDY GUIDANCE FOR ANALYSES OF ALTER-
NATIVES
FOR
MAJOR
DEFENSE
ACQUISITION
PRO-
GRAMS.— 
(A) REPORT.—Not later than December 31, 
2019, the Secretary of Defense, acting through 
the Director of Cost Assessment and Performance 
Evaluation, shall submit to the congressional de-
fense committees a report that includes the study 
guidance required under section 2446b(b) of title 
10, United States Code. 
(B) LIMITATION.—Of the funds authorized 
to be appropriated by this Act or otherwise made 
available for fiscal year 2020 for the Department 
of Defense, not more than 75 percent may be ob-
ligated or expended for the Office of the Director 
of Cost Assessment and Performance Evaluation 
after December 31, 2019, until the date on which 
the Secretary of Defense submits the report re-
quired under paragraph (1). 
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(2) POLICY
RELATING
TO
AVAILABILITY
OF 
MAJOR SYSTEM INTERFACES AND SUPPORT FOR MOD-
ULAR OPEN SYSTEM APPROACH.— 
(A) IN GENERAL.—Section 2446c of title 10, 
United States Code, is amended— 
(i) in the matter preceding paragraph 
(1), by striking ‘‘shall—’’ and inserting 
‘‘develop policy on the support for the ac-
quisition for modular open system ap-
proaches. This policy shall—’’; and 
(ii) in subsection (a)(1), as so des-
ignated, by striking ‘‘coordinate’’ and in-
serting ‘‘ensure coordination’’. 
(B) REPORT.—Not later than December 31, 
2019, the Secretary of each military department 
shall submit to the congressional defense commit-
tees a report that includes the policy required 
under section 2446c of title 10, United States 
Code, as amended by paragraph (1). 
(C) LIMITATION.—Beginning on January 1, 
2020, if any report required under paragraph 
(2) has not been submitted to the congressional 
defense committees, not more than 75 percent of 
the funds specified in paragraph (4) may be ob-
ligated or expended until the date on which all 
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478 
of the reports required under paragraph (2) have 
been submitted. 
(D) FUNDS SPECIFIED.—The funds speci-
fied in this paragraph are funds made available 
for fiscal year 2020 for the Department of De-
fense for any of the Offices of the Secretaries of 
the military departments that remain unobli-
gated as of January 1, 2020. 
(d) REPORT
ON INTELLECTUAL PROPERTY POLICY 
AND
THE
CADRE
OF
INTELLECTUAL
PROPERTY
EX-
PERTS.— 
(1) IN GENERAL.—Section 802 of the National 
Defense Authorization Act for Fiscal Year 2018 (Pub-
lic Law 115–91; 131 Stat. 1450) is amended by add-
ing at the end the following new subsection: 
‘‘(c) REPORT.—Not later than October 1, 2019, the 
Secretary of Defense, acting through the Under Secretary 
of Defense for Acquisition and Sustainment, shall submit 
to the congressional defense committees a report that in-
cludes— 
‘‘(1) the policy required in subsection (a) of sec-
tion 2322 of title 10, United States Code; 
‘‘(2) an identification of each member of the 
cadre of intellectual property experts required in sub-
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479 
section (b) of such section and the office to which such 
member; and 
‘‘(3) a description of the leadership structure and 
the office that will manage the cadre of intellectual 
property experts.’’. 
(2) LIMITATION.—Of the funds authorized to be 
appropriated by this Act or otherwise made available 
for fiscal year 2020 for the Department of Defense, 
not more than 75 percent may be obligated or ex-
pended for the Defense Acquisition Workforce Develop-
ment Fund until the date on which the Secretary of 
Defense submits the report required under subsection 
(c) of section 802 of the National Defense Authoriza-
tion Act for Fiscal Year 2018 (Public Law 115–91; 
131 Stat. 1450), as added by this section. 
(e) LIMITATION ON AVAILABILITY OF FUNDS FOR THE 
OFFICE OF THE CHIEF MANAGEMENT OFFICER OF THE DE-
PARTMENT OF DEFENSE.—Of the funds authorized to be ap-
propriated or otherwise made available for fiscal year 2020 
for the Department of Defense, not more than 75 percent 
may be obligated or expended for the Office of the Chief 
Management Officer until the date on which the Chief Man-
agement Officer submits to the congressional defense com-
mittees— 
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(1) the certification of cost savings described in 
subparagraph (A) of section 921(b)(5) of the National 
Defense Authorization Act for Fiscal Year 2019 (Pub-
lic Law 115–232; 10 U.S.C. 2222 note); or 
(2) the notice and justification described in sub-
paragraph (B) of such section. 
(f) REPORT AND LIMITATION ON THE AVAILABILITY OF 
FUNDS RELATING TO THE ‘‘MIDDLE TIER’’ OF ACQUISI-
TION PROGRAMS.— 
(1) REPORT.—Not later than December 15, 2019, 
the Under Secretary of Defense for Acquisition and 
Sustainment shall submit to the congressional defense 
committees a report that includes the guidance re-
quired under section 804(a) of the National Defense 
Authorization Act for Fiscal Year 2016 (Public Law 
114–92; 10 U.S.C. 2302 note). The Under Secretary 
of Defense for Acquisition and Sustainment will en-
sure such guidance includes the business case elements 
required by an acquisition program established pur-
suant to such guidance and the metrics required to 
assess the performance of such a program. 
(2) LIMITATION.—Of the funds authorized to be 
appropriated by this Act or otherwise made available 
for fiscal year 2020 for the Department of Defense, 
not more than 75 percent may be obligated or ex-
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481 
pended for an acquisition program established pursu-
ant to the guidance required under section 804(a) of 
the National Defense Authorization Act for Fiscal 
Year 2016 (Public Law 114–92; 10 U.S.C. 2302 note) 
after December 15, 2019, and no such acquisition pro-
gram may be conducted under the authority provided 
by such section after December 15, 2019, until the 
Under Secretary of Defense for Acquisition and 
Sustainment submits the report required under sub-
section (a). 
(g) DEFENSE ACQUISITION WORKFORCE CERTIFI-
CATION AND EDUCATION REQUIREMENTS.— 
(1) PROFESSIONAL
CERTIFICATION
REQUIRE-
MENT.— 
(A) 
PROFESSIONAL
CERTIFICATION
RE-
QUIRED FOR ALL ACQUISITION WORKFORCE PER-
SONNEL.—Section 1701a of title 10, United 
States Code, is amended— 
(i) by redesignating subsections (c) and 
(d) as subsections (d) and (e), respectively; 
and 
(ii) by inserting after subsection (b) 
the following new subsection (c): 
‘‘(c) PROFESSIONAL CERTIFICATION.— 
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‘‘(1) The Secretary of Defense shall implement a 
certification program to provide for a professional 
certification requirement for all members of the acqui-
sition workforce. Except as provided in paragraph 
(2), the certification requirement for any acquisition 
workforce career field shall be based on standards 
under a third-party accredited program based on na-
tionally or internationally recognized standards. 
‘‘(2) If the Secretary determines that, for a par-
ticular acquisition workforce career field, a third- 
party accredited program based on nationally or 
internationally recognized standards does not exist, 
the Secretary shall establish the certification require-
ment for that career field that conforms with the 
practices of national or international accrediting bod-
ies. The certification requirement for any such career 
field shall be implemented using the best approach de-
termined by the Secretary for meeting the certifi-
cation requirement for that career field, including im-
plementation through entities outside the Department 
of Defense and may be designed and implemented 
without regard to section 1746 of this title.’’. 
(B) PERFORMANCE
MANAGEMENT.—Sub-
section (b) of such section is amended— 
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(i) in paragraph (5), by striking ‘‘en-
courage’’ and inserting ‘‘direct’’; and 
(ii) in paragraph (6), by inserting 
‘‘and consequences’’ after ‘‘warnings’’. 
(C) PARTICIPATION IN PROFESSIONAL ASSO-
CIATIONS.—Subsection (b) of such section is fur-
ther amended— 
(i) by redesignating paragraphs (6), 
(7), (8), and (9) as paragraphs (7), (8), (9), 
and (10), respectively; and 
(ii) by inserting after paragraph (5) 
the following new paragraph (6): 
‘‘(6) authorize members of the acquisition work-
force to participate in professional associations, con-
sistent with their individual performance plans, 
linked to both professional development and opportu-
nities to gain leadership and management skills;’’. 
(D) GENERAL EDUCATION, TRAINING, AND 
EXPERIENCE REQUIREMENTS.—Section 1723 of 
such title is amended— 
(i) in subsection (a)(3), by striking the 
second sentence; and 
(ii) in subsection (b)(1), by striking 
‘‘encourage’’ and inserting ‘‘require’’. 
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(E) EFFECTIVE
DATE.—The Secretary of 
Defense shall implement procedures to institute 
the program required by subsection (c) of section 
1701a of title 10, United States Code, as added 
by paragraph (1), not later than 180 days after 
the date of the enactment of this Act. 
(2) ELIMINATION OF STATUTORY REQUIREMENT 
FOR COMPLETION OF 24 SEMESTER CREDIT HOURS.— 
(A) QUALIFICATION
REQUIREMENTS
FOR 
CONTRACTING POSITIONS.—Section 1724 of title 
10, United States Code, is amended— 
(i) in subsection (a)(3)— 
(I) by striking ‘‘(A)’’ after ‘‘(3)’’; 
and 
(II) by striking ‘‘, and (B)’’ and 
all that follows through ‘‘and manage-
ment’’; and 
(ii) in subsection (b), by striking ‘‘re-
quirements’’ in the first sentences of para-
graphs (1) and (2) and inserting ‘‘require-
ment’’; 
(iii) in subsection (e)(2)— 
(I) by striking ‘‘shall have—’’ and 
all that follows through ‘‘been award-
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ed’’ and inserting ‘‘shall have been 
awarded’’; 
(II) by striking ‘‘; or’’ and insert-
ing a period; and 
(III) by striking subparagraph 
(B); and 
(iv) in subsection (f), by striking ‘‘, in-
cluding—’’ and all that follows and insert-
ing a period. 
(B) SELECTION
CRITERIA
AND
PROCE-
DURES.—Section 1732 of such title is amend-
ed— 
(i) in subsection (b)(1)— 
(I) by striking ‘‘Such require-
ments,’’ and all the follows through 
‘‘the person—’’ and inserting ‘‘Such 
requirements shall include a require-
ment that the person—’’; 
(II) by striking subparagraph 
(B); and 
(III) by redesignating clauses (i) 
and (ii) as subparagraphs (A) and 
(B), respectively, and realigning those 
subparagraphs so as to be 4 ems from 
the margin; and 
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(ii) in subsection (c), by striking ‘‘re-
quirements of subsections (b)(1)(A) and 
(b)(1)(B)’’ in paragraphs (1) and (2) and 
inserting ‘‘requirement of subsection (b)(1)’’. 
(3) DEFENSE
ACQUISITION
UNIVERSITY.—Sec-
tion 1746 of title 10, United States Code, is amend-
ed— 
(A) in subsection (b)(1), by adding at the 
end the following new sentence: ‘‘At least 25 per-
cent of such civilian instructors shall be visiting 
professors from civilian colleges or universities.’’; 
and 
(B) in subsection (c), by inserting ‘‘, and 
with commercial training providers,’’ after 
‘‘military departments’’. 
(h) ENHANCING DEFENSE ACQUISITION WORKFORCE 
CAREER FIELDS.— 
(1) CAREER PATHS.— 
(A) CAREER PATH REQUIRED FOR EACH AC-
QUISITION WORKFORCE CAREER FIELD.—Para-
graph (4) of section 1701a(b) of title 10, United 
States Code, is amended to read as follows: 
‘‘(4) develop and implement a career path, as de-
scribed in section 1722(a) of this title, for each career 
field designated by the Secretary under section 
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487 
1721(a) of this title as an acquisition workforce ca-
reer field;’’. 
(B) CONFORMING
AMENDMENTS.—Section 
1722(a) of such title is amended— 
(i) by striking ‘‘appropriate career 
paths’’ and inserting ‘‘an appropriate ca-
reer path’’; and 
(ii) by striking ‘‘are identified’’ and 
inserting ‘‘is identified for each acquisition 
workforce career field’’. 
(C) DEADLINE
FOR
IMPLEMENTATION
OF 
CAREER PATHS.—The implementation of a ca-
reer path for each acquisition workforce career 
field required by paragraph (4) of section 
1701a(b) of title 10, United States Code (as 
amended by paragraph (1)), shall be completed 
by the Secretary of Defense not later than the 
end of the two-year period beginning on the date 
of the enactment of this Act. 
(2) CAREER FIELDS.— 
(A) DESIGNATION OF ACQUISITION WORK-
FORCE
CAREER
FIELDS.—Section 1721(a) of 
such title is amended by adding at the end the 
following new sentence: ‘‘The Secretary shall also 
designate in regulations those career fields in the 
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488 
Department of Defense that are acquisition 
workforce career fields for purposes of this chap-
ter.’’. 
(B) 
CLERICAL
AMENDMENTS.—(i) 
The 
heading of such section is amended to read as 
follows: 
‘‘§ 1721. Designation of acquisition positions and ac-
quisition workforce career fields’’. 
(ii) The item relating to such section 
in the table of sections at the beginning of 
subchapter II of chapter 87 of such title is 
amended to read as follows: 
‘‘1721. Designation of acquisition positions and acquisition workforce career 
fields.’’. 
(C)(i) The heading of subchapter II of chap-
ter 87 of such title is amended to read as follows: 
‘‘SUBCHAPTER II—ACQUISITION POSITIONS AND ACQUISITION WORKFORCE 
CAREER FIELDS’’. 
(ii) The item relating to such subchapter in 
the table of subchapters at the beginning of such 
chapter is amended to read as follows: 
‘‘II. Acquisition Positions And Acquisition Workforce Career Fields .........
1721’’. 
(D) DEADLINE FOR DESIGNATION OF CA-
REER FIELDS.—The designation of acquisition 
workforce career fields required by the second 
sentence of section 1721(a) of title 10, United 
States Code (as added by paragraph (1)), shall 
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be made by the Secretary of Defense not later 
than the end of the six-month period beginning 
on the date of the enactment of this Act. 
(3) KEY WORK EXPERIENCES.— 
(A) DEVELOPMENT OF KEY WORK EXPERI-
ENCES FOR EACH ACQUISITION WORKFORCE CA-
REER
FIELD.—Section 1722b of such title is 
amended by adding at the end the following new 
subsection: 
‘‘(c) KEY WORK EXPERIENCES.—In carrying out sub-
section (b)(2), the Secretary shall ensure that key work expe-
riences, in the form of multidiscipline training, are devel-
oped for each acquisition workforce career field.’’. 
(B) PLAN
FOR
IMPLEMENTATION
OF
KEY 
WORK EXPERIENCES.—Not later than one year 
after the date of the enactment of this Act, the 
Secretary of Defense shall submit to the congres-
sional defense committees a plan identifying the 
specific actions the Department of Defense has 
taken, and is planning to take, to develop and 
establish key work experiences for each acquisi-
tion workforce career field as required by sub-
section (c) of section 1722b of title 10, United 
States Code, as added by paragraph (1). The 
plan shall include specification of the percentage 
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490 
of the acquisition workforce, or funds available 
for administration of the acquisition workforce 
on an annual basis, that the Secretary will dedi-
cate towards developing such key work experi-
ences. 
(4) APPLICABILITY OF CAREER PATH REQUIRE-
MENTS
TO
ALL
MEMBERS
OF
ACQUISITION
WORK-
FORCE.—Section 1723(b) of such title is amended by 
striking ‘‘the critical acquisition-related’’. 
(5) COMPETENCY DEVELOPMENT.— 
(A) IN
GENERAL.—(i) Subchapter V of 
chapter 87 of such title is amended by adding at 
the end the following new section: 
‘‘§ 1765. Competency development 
‘‘(a) IN GENERAL.—For each acquisition workforce ca-
reer field, the Secretary of Defense shall establish, for the 
civilian personnel in that career field, defined proficiency 
standards and technical and nontechnical competencies 
which shall be used in personnel qualification assessments. 
‘‘(b) NEGOTIATIONS.—Any action taken by the Sec-
retary under this section, or to implement this section, shall 
not be subject to the requirements of chapter 71 of title 5.’’. 
(ii) The table of sections at the begin-
ning of such subchapter II is amended by 
adding at the end the following new item: 
‘‘1765. Competency development.’’. 
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491 
(B) DEADLINE FOR IMPLEMENTATION.—The 
establishment of defined proficiency standards 
and technical and nontechnical competencies re-
quired by section 1765 of title 10, United States 
Code (as added by paragraph (1)), shall be made 
by the Secretary of Defense not later than the 
end of the two-year period beginning on the date 
of the enactment of this Act. 
(6) TERMINATION
OF
DEFENSE
ACQUISITION 
CORPS.— 
(A) The Acquisition Corps for the Depart-
ment of Defense referred to in section 1731(a) of 
title 10, United States Code, is terminated. 
(B) Section 1733 of title 10, United States 
Code, is amended— 
(i) by striking subsection (a); and 
(ii) by redesignating subsection (b) as 
subsection (a). 
(C) Subsection (b) of section 1731 of such 
title is transferred to the end of section 1733 of 
such title, as amended by paragraph (2), and 
amended— 
(i) by striking ‘‘ACQUISITION CORPS’’ 
in the heading and inserting ‘‘THE ACQUI-
SITION WORKFORCE’’; and 
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492 
(ii) by striking ‘‘selected for the Acqui-
sition Corps’’ and inserting ‘‘in the acquisi-
tion workforce’’. 
(D) Subsection (e) of section 1732 of such 
title is transferred to the end of section 1733 of 
such title, as amended by paragraphs (2) and 
(3), redesignated as subsection (c), and amend-
ed— 
(i) by striking ‘‘in the Acquisition 
Corps’’ in paragraphs (1) and (2) and in-
serting ‘‘in critical acquisition positions’’; 
and 
(ii) by striking ‘‘serving in the Corps’’ 
in paragraph (2) and inserting ‘‘employ-
ment’’. 
(E) Sections 1731 and 1732 of such title are 
repealed. 
(F)(i) Section 1733 of such title, as amend-
ed by paragraphs (2), (3), and (4), is redesig-
nated as section 1731. 
(ii) The table of sections at the beginning of 
subchapter III of chapter 87 of such title is 
amended by striking the items relating to sec-
tions 1731, 1732, and 1733 and inserting the fol-
lowing new item: 
‘‘1731. Critical acquisition positions.’’. 
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(G)(i) The heading of subchapter III of 
chapter 87 of such title is amended to read as 
follows: 
‘‘SUBCHAPTER III—CRITICAL ACQUISITION POSITIONS’’. 
(ii) The item relating to such subchapter in 
the table of subchapters at the beginning of such 
chapter is amended to read as follows: 
‘‘III. Critical Acquisition Positions ...............................................................
1731’’. 
(H) Section 1723(a)(2) of such title is 
amended by striking ‘‘section 1733 of this title’’ 
and inserting ‘‘section 1731 of this title’’. 
(I) Section 1725 of such title is amended— 
(i) in subsection (a)(1), by striking 
‘‘Defense Acquisition Corps’’ and inserting 
‘‘acquisition workforce’’; and 
(ii) in subsection (d)(2), by striking 
‘‘of the Defense Acquisition Corps’’ and in-
serting ‘‘in the acquisition workforce serving 
in critical acquisition positions’’. 
(J) Section 1734 of such title is amended— 
(i) by striking ‘‘of the Acquisition 
Corps’’ in subsections (e)(1) and (h) and in-
serting ‘‘of the acquisition workforce’’; and 
(ii) in subsection (g)— 
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(I) by striking ‘‘of the Acquisition 
Corps’’ in the first sentence and insert-
ing ‘‘of the acquisition workforce’’; 
(II) by striking ‘‘of the Corps’’ 
and inserting ‘‘of the acquisition work-
force’’; and 
(III) by striking ‘‘of the Acquisi-
tion Corps’’ in the second sentence and 
inserting ‘‘of the acquisition workforce 
in critical acquisition positions’’. 
(K) Section 1737 of such title is amended— 
(i) in subsection (a)(1), by striking ‘‘of 
the Acquisition Corps’’ and inserting ‘‘of the 
acquisition workforce’’; and 
(ii) in subsection (b), by striking ‘‘of 
the Corps’’ and inserting ‘‘of the acquisition 
workforce’’. 
(L) Section 1742(a)(1) of such title is 
amended by striking ‘‘the Acquisition Corps’’ 
and inserting ‘‘acquisition positions in the De-
partment of Defense’’. 
(M) Section 2228(a)(4) of such title is 
amended 
by 
striking 
‘‘under 
section 
1733(b)(1)(C) of this title’’ and inserting ‘‘under 
section 1731 of this title’’. 
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(N) Section 7016(b)(5)(B) of such title is 
amended by striking ‘‘under section 1733 of this 
title’’ and inserting ‘‘under section 1731 of this 
title’’. 
(O) Section 8016(b)(4)(B) of such title is 
amended by striking ‘‘under section 1733 of this 
title’’ and inserting ‘‘under section 1731 of this 
title’’. 
(P) Section 9016(b)(4)(B) of such title is 
amended by striking ‘‘under section 1733 of this 
title’’ and inserting ‘‘under section 1731 of this 
title’’. 
(Q) Paragraph (1) of section 317 of title 37, 
United States Code, is amended to read as fol-
lows: 
‘‘(1) is a member of the acquisition workforce se-
lected to serve in, or serving in, a critical acquisition 
position designated under section 1731 of title 10.’’. 
(i) ESTABLISHMENT OF DEFENSE CIVILIAN ACQUISI-
TION TRAINING CORPS.— 
(1) IN GENERAL.—Part III of subtitle A of title 
10, United States Code, is amended by inserting after 
chapter 112 the following new chapter: 
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‘‘CHAPTER 113—DEFENSE CIVILIAN 
ACQUISITION TRAINING CORPS 
‘‘2200n. Establishment. 
‘‘2200o. Program elements. 
‘‘2200p. Model authorities. 
‘‘2200q. Definitions. 
‘‘§ 2200n. Establishment 
‘‘For the purposes of preparing selected students for 
public service in Department of Defense occupations relat-
ing to acquisition, science, and engineering, the Secretary 
of Defense shall establish and maintain a Defense Civilian 
Acquisition Training Corps program, organized into one 
or more units, at civilian institutions of higher education 
offering a program leading to a baccalaureate degree. 
‘‘§ 2200o. Program elements 
‘‘In establishing the program, the Secretary of Defense 
shall determine the following: 
‘‘(1) Criteria for an institution of higher edu-
cation to participate in the program. 
‘‘(2) The eligibility of a student to join the pro-
gram. 
‘‘(3) Criteria required for a member of the pro-
gram to receive financial assistance. 
‘‘(4) The term of service required for a member 
of the program to receive financial assistance. 
‘‘(5) Criteria required for a member of the pro-
gram to be released from a term of service. 
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‘‘(6) The method by which a successful graduate 
of the program may gain immediate employment in 
the Department of Defense. 
‘‘(7) Resources required for implementation of 
the program. 
‘‘(8) A methodology to identify and target crit-
ical skills gaps in Department of Defense occupations 
relating to acquisition, science, and engineering. 
‘‘(9) A mechanism to track the success of the pro-
gram in eliminating the identified critical skills gap. 
‘‘§ 2200p. Model authorities 
‘‘In making determinations under section 2200o of this 
title, the Secretary of Defense shall use the authorities under 
chapters 103 and 111 of this title as guides. 
‘‘§ 2200q. Definitions 
‘‘In this chapter: 
‘‘(1) The term ‘program’ means the Defense Ci-
vilian Acquisition Training Corps of the Department 
of Defense. 
‘‘(2) The term ‘member of the program’ means a 
student at an institution of higher learning who is 
enrolled in the program. 
‘‘(3) The term ‘institution of higher education’ 
has the meaning given that term in section 101 of the 
Higher Education Act of 1965 (20 U.S.C. 1001).’’. 
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(2) IMPLEMENTATION TIMELINE.— 
(A) INITIAL
IMPLEMENTATION.—Not later 
than December 31, 2019, the Secretary of Defense 
shall submit to the congressional defense commit-
tees a plan and schedule that implements the 
program at one institution of higher learning 
not later than August 1, 2020. The plan shall in-
clude recommendations regarding any legislative 
changes required for effective implementation of 
the program. 
(B) EXPANSION.—Not later than December 
31, 2020, the Secretary of Defense shall submit 
to the congressional defense committees an ex-
pansion plan and schedule to expand the pro-
gram to five locations not later than by August 
1, 2021. 
(C) FULL
IMPLEMENTATION.—Not later 
than December 31, 2021, the Secretary of Defense 
shall submit to the congressional defense commit-
tees a full implementation plan and schedule to 
expand the program to at least 20 locations with 
not fewer than 400 members in the program not 
later than August 1, 2022. 
(j) CLARIFYING THE ROLES AND RESPONSIBILITIES 
OF THE UNDER SECRETARY OF DEFENSE FOR ACQUISITION 
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AND SUSTAINMENT AND THE UNDER SECRETARY OF DE-
FENSE FOR RESEARCH AND ENGINEERING.—The laws of 
the United States are amended as follows: 
(1) Section 129a(c)(3) of title 10, United States 
Code, is amended by striking ‘‘Under Secretary of De-
fense for Acquisition, Technology, and Logistics’’ and 
inserting ‘‘Under Secretary of Defense for Acquisition 
and Sustainment’’. 
(2) Section 133a(b)(2) of title 10, United States 
Code, is amended by striking ‘‘, including the alloca-
tion of resources for defense research and engineer-
ing,’’. 
(3) Section 134(c) of title 10, United States 
Code, is amended by striking ‘‘Under Secretary of De-
fense for Acquisition, Technology, and Logistics,’’ and 
inserting ‘‘Under Secretary of Defense for Acquisition 
and Sustainment, the Under Secretary of Defense for 
Research and Engineering,’’. 
(4) Section 139(b) of title 10, United States 
Code, is amended in the matter preceding paragraph 
(1) by striking ‘‘and the Under Secretary of Defense 
for Acquisition, Technology, and Logistics’’ and in-
serting ‘‘, the Under Secretary of Defense for Acquisi-
tion and Sustainment, and the Under Secretary of 
Defense for Research and Engineering’’. 
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500 
(5) Section 139(b)(2) of title 10, United States 
Code, is amended by striking ‘‘and the Under Sec-
retary of Defense for Acquisition, Technology, and Lo-
gistics’’ and inserting ‘‘, the Under Secretary of De-
fense for Acquisition and Sustainment, and the Under 
Secretary of Defense for Research and Engineering,’’. 
(6) Section 139 of title 10, United States Code, 
is amended in subsections (c) through (h) by striking 
‘‘Under Secretary of Defense for Acquisition, Tech-
nology, and Logistics’’ each place it appears and in-
serting ‘‘Under Secretary of Defense for Acquisition 
and Sustainment’’. 
(7) Section 139a(d)(6) of title 10, United States 
Code, is amended by striking ‘‘Under Secretary of De-
fense for Acquisition, Technology, and Logistics’’ and 
inserting ‘‘Under Secretary of Defense for Acquisition 
and Sustainment, the Under Secretary of Defense for 
Research and Engineering,’’. 
(8) Section 171(a) of title 10, United States 
Code, is amended— 
(A) in paragraph (3), by striking ‘‘Under 
Secretary of Defense for Acquisition, Technology, 
and Logistics’’ and inserting ‘‘Under Secretary 
of Defense for Acquisition and Sustainment’’; 
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(B) by inserting after paragraph (3) the fol-
lowing new paragraph: 
‘‘(4) the Under Secretary of Defense for Research 
and Engineering;’’; and 
(C) 
by 
redesignating 
paragraphs 
(4) 
through (13) as paragraphs (5) through (14), re-
spectively. 
(9) Section 171a of title 10, United States Code, 
is amended— 
(A) in subsection (b)(2), by striking ‘‘Under 
Secretary of Defense for Acquisition, Technology, 
and Logistics’’ and inserting ‘‘Under Secretary 
of Defense for Acquisition and Sustainment’’; 
(B) by inserting after subsection (b)(2) the 
following new paragraph: 
‘‘(3) the Under Secretary of Defense for Research 
and Engineering;’’; 
(C) in subsection (b), by redesignating 
paragraphs (3) through (7) as paragraphs (4) 
through (8), respectively; and 
(D) in subsection (c), by striking ‘‘Under 
Secretary of Defense for Acquisition, Technology, 
and Logistics’’ and inserting ‘‘Under Secretary 
of Defense for Acquisition and Sustainment’’. 
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502 
(10) Subsection (d)(1) of section 181 of title 10, 
United States Code, is amended— 
(A) in subparagraph (C), by striking 
‘‘Under Secretary of Defense for Acquisition, 
Technology, and Logistics’’ and inserting ‘‘Under 
Secretary 
of 
Defense 
for 
Acquisition 
and 
Sustainment’’; 
(B) by inserting after subparagraph (C) the 
following new subparagraph: 
‘‘(D) the Under Secretary of Defense for Research 
and Engineering.’’; and 
(C) 
by 
redesignating 
paragraphs 
(D) 
through (G) as paragraphs (E) through (H), re-
spectively. 
(11) Subsection (b)(2) of section 393 of title 10, 
United States Code, is amended— 
(A) in subparagraph (B), by striking 
‘‘Under Secretary of Defense for Acquisition, 
Technology, and Logistics’’ and inserting ‘‘Under 
Secretary 
of 
Defense 
for 
Acquisition 
and 
Sustainment’’; 
(B) by inserting after subparagraph (B) the 
following new subparagraph: 
‘‘(C) the Under Secretary of Defense for Re-
search and Engineering.’’; and 
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(C) by redesignating subparagraphs (C) 
through (E) as subparagraphs (D) through (F). 
(12) Section 1111 of the National Defense Au-
thorization Act for Fiscal Year 2016 (Public law 114– 
92; 129 Stat. 1032; 10 U.S.C. 1701 note) is amended 
by striking ‘‘Under Secretary of Defense for Acquisi-
tion, Technology, and Logistics’’ each place such term 
appears and inserting ‘‘Under Secretary of Defense 
for Acquisition and Sustainment’’. 
(13) Section 231(a) of the National Defense Au-
thorization Act for Fiscal Year 2008 (Public law 110– 
181; 122 Stat. 45; 10 U.S.C. 1701 note) is amended 
by striking ‘‘Under Secretary of Defense for Acquisi-
tion, Technology, and Logistics’’ and inserting 
‘‘Under Secretary of Defense for Acquisition and 
Sustainment’’. 
(14) Section 1702 of title 10, United States 
Code, is amended— 
(A) in the heading, by striking ‘‘Under 
Secretary of Defense for Acquisition, 
Technology, and Logistics’’ and inserting 
‘‘Under Secretary of Defense for Acqui-
sition and Sustainment’’; 
(B) in the section text, by striking ‘‘Under 
Secretary of Defense for Acquisition, Technology, 
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504 
and Logistics’’ and inserting ‘‘Under Secretary 
of Defense for Acquisition and Sustainment’’. 
(15) Section 807(a) of the Bob Stump National 
Defense Authorization Act for Fiscal Year 2003 (Pub-
lic Law 107–314; 116 Stat. 2608; 10 U.S.C. 1702 
note) is amended by striking ‘‘Under Secretary of De-
fense for Acquisition, Technology, and Logistics’’ and 
inserting ‘‘Under Secretary of Defense for Acquisition 
and Sustainment’’. 
(16) Section 1705 of title 10, United Stats Code, 
is amended— 
(A) in subsection (c), by striking ‘‘Under 
Secretary of Defense for Acquisition, Technology, 
and Logistics’’ and inserting ‘‘Under Secretary 
of Defense for Acquisition and Sustainment’’; 
(B) in subsection (e)(3), by striking ‘‘Under 
Secretary of Defense for Acquisition, Technology, 
and Logistics’’ and inserting ‘‘Under Secretary 
of Defense for Acquisition and Sustainment’’; 
and 
(C) in subsection (g)(2)(B), by striking 
‘‘Under Secretary of Defense for Acquisition, 
Technology, and Logistics’’ and inserting ‘‘Under 
Secretary 
of 
Defense 
for 
Acquisition 
and 
Sustainment’’. 
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505 
(17) Section 803(c) of the National Defense Au-
thorization Act for Fiscal Year 2013 (Public Law 
112–239; 126 Stat. 1825; 10 U.S.C. 1705 note) is 
amended by striking ‘‘Under Secretary of Defense for 
Acquisition, Technology, and Logistics’’ and inserting 
‘‘Under Secretary of Defense for Acquisition and 
Sustainment’’. 
(18) Section 1722 of title 10, United States 
Code, is amended— 
(A) in subsection (a), by striking ‘‘Under 
Secretary of Defense for Acquisition, Technology, 
and Logistics’’ and inserting ‘‘Under Secretary 
of Defense for Acquisition and Sustainment’’; 
and 
(B) in subsection (b)(2)(B), by striking 
‘‘Under Secretary of Defense for Acquisition, 
Technology, and Logistics’’ and inserting ‘‘Under 
Secretary 
of 
Defense 
for 
Acquisition 
and 
Sustainment’’. 
(19) Section 1722a of title 10, United States 
Code, is amended— 
(A) in subsection (a), by striking ‘‘Under 
Secretary of Defense for Acquisition, Technology, 
and Logistics’’ and inserting ‘‘Under Secretary 
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506 
of Defense for Acquisition and Sustainment’’; 
and 
(B) in subsection (e), by striking ‘‘Under 
Secretary of Defense for Acquisition, Technology, 
and Logistics’’ and inserting ‘‘Under Secretary 
of Defense for Acquisition and Sustainment’’. 
(20) Section 1722b(a) of title 10, United States 
Code, is amended by striking ‘‘Under Secretary of De-
fense for Acquisition, Technology, and Logistics’’ and 
inserting ‘‘Under Secretary of Defense for Acquisition 
and Sustainment’’. 
(21) Section 1723 of title 10, United States 
Code, is amended— 
(A) in subsection (a)(3), by striking ‘‘Under 
Secretary of Defense for Acquisition, Technology, 
and Logistics’’ and inserting ‘‘Under Secretary 
of Defense for Acquisition and Sustainment’’; 
and 
(B) in subsection (b), by striking ‘‘Under 
Secretary of Defense for Acquisition, Technology, 
and Logistics’’ and inserting ‘‘Under Secretary 
of Defense for Acquisition and Sustainment’’. 
(22) Section 1725(e)(2) of title 10, United States 
Code, is amended by striking ‘‘Under Secretary of De-
fense for Acquisition, Technology, and Logistics’’ and 
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507 
inserting ‘‘Under Secretary of Defense for Acquisition 
and Sustainment’’. 
(23) Section 1735(c)(1) of title 10, United States 
Code, is amended by striking ‘‘Under Secretary of De-
fense for Acquisition, Technology, and Logistics’’ and 
inserting ‘‘Under Secretary of Defense for Acquisition 
and Sustainment’’. 
(24) Section 1737(c) of title 10, United States 
Code, is amended by striking ‘‘Under Secretary of De-
fense for Acquisition, Technology, and Logistics’’ and 
inserting ‘‘Under Secretary of Defense for Acquisition 
and Sustainment’’. 
(25) Section 1741(b) of title 10, United States 
Code, is amended by striking ‘‘Under Secretary of De-
fense for Acquisition, Technology, and Logistics’’ and 
inserting ‘‘Under Secretary of Defense for Acquisition 
and Sustainment’’. 
(26) Section 1746(a) of title 10, United States 
Code, is amended by striking ‘‘Under Secretary of De-
fense for Acquisition, Technology, and Logistics’’ and 
inserting ‘‘Under Secretary of Defense for Acquisition 
and Sustainment’’. 
(27) Section 1748 of title 10, United States 
Code, is amended by striking ‘‘Under Secretary of De-
fense for Acquisition, Technology, and Logistics’’ and 
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509 
fense for Acquisition, Technology, and Logistics’’ and 
inserting ‘‘Under Secretary of Defense for Acquisition 
and Sustainment’’. 
(31) Section 2272 of title 10, United States 
Code, is amended by striking ‘‘Assistant Secretary of 
Defense for Research and Engineering’’ and inserting 
‘‘Under Secretary of Defense for Research and Engi-
neering’’. 
(32) Section 2275(a) of title 10, United States 
Code, is amended by striking ‘‘Under Secretary of De-
fense for Acquisition, Technology, and Logistics’’ and 
inserting ‘‘Under Secretary of Defense for Research 
and Engineering’’. 
(33) Section 2279(d) of title 10, United States 
Code, is amended by striking ‘‘Under Secretary of De-
fense for Acquisition, Technology, and Logistics’’ and 
inserting ‘‘Under Secretary of Defense for Acquisition 
and Sustainment’’. 
(34) Section 2279b of title 10, United States 
Code, is amended— 
(A) in subsection (b)— 
(i) in paragraph (2), by striking 
‘‘Under Secretary of Defense for Acquisi-
tion, Technology, and Logistics’’ and insert-
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510 
ing ‘‘Under Secretary of Defense for Acqui-
sition and Sustainment’’; 
(ii) by redesignating paragraphs (3) 
through (10) as paragraphs (4) through 
(11), respectively; and 
(iii) by inserting after paragraph (2) 
the following new paragraph: 
‘‘(3) the Under Secretary of Defense for Research 
and Engineering.’’; and 
(B) in subsection (c), by striking ‘‘Under 
Secretary of Defense for Acquisition, Technology, 
and Logistics’’ and inserting ‘‘Under Secretary 
of Defense for Acquisition and Sustainment’’. 
(35) Section 898(a)(2) of the National Defense 
Authorization Act for Fiscal Year 2017 (Public Law 
114–328; 130 Stat. 2000; 10 U.S.C. 2302 note) is 
amended by striking ‘‘Under Secretary of Defense for 
Acquisition, Technology, and Logistics’’ each place 
such term appears and inserting ‘‘Under Secretary of 
Defense for Acquisition and Sustainment’’. 
(36) Section 804 of the National Defense Author-
ization Act for Fiscal Year 2016 (Public Law 114– 
92; 129 Stat. 726; 10 U.S.C. 2302 note) is amended 
by striking ‘‘Under Secretary of Defense for Acquisi-
tion, Technology, and Logistics’’ each place such term 
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511 
appears and inserting ‘‘Under Secretary of Defense 
for Acquisition and Sustainment’’. 
(37) Section 852 of the Carl Levin and Howard 
P. ‘‘Buck’’ McKeon National Defense Authorization 
Act for Fiscal Year 2015 (Public Law 113–291; 130 
Stat. 3458; 10 U.S.C. 2302 note) is amended by strik-
ing ‘‘Under Secretary of Defense for Acquisition, 
Technology, and Logistics’’ and inserting ‘‘Under Sec-
retary of Defense for Acquisition and Sustainment’’. 
(38) Section 806 of the National Defense Author-
ization Act for Fiscal Year 2012 (Public Law 112– 
81; 125 Stat. 1487; 10 U.S.C. 2302 note) is amended 
by striking ‘‘Under Secretary of Defense for Acquisi-
tion, Technology, and Logistics’’ each place such term 
appears and inserting ‘‘Under Secretary of Defense 
for Acquisition and Sustainment’’. 
(39) Section 843 of the National Defense Author-
ization Act for Fiscal Year 2012 (Public Law 112– 
81; 125 Stat. 1487; 10 U.S.C. 2302 note) is amended 
by striking ‘‘Under Secretary of Defense for Acquisi-
tion, Technology, and Logistics’’ and inserting 
‘‘Under Secretary of Defense for Acquisition and 
Sustainment’’. 
(40) Section 254(b) of the Duncan Hunter Na-
tional Defense Authorization Act for Fiscal Year 2009 
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512 
(Public Law 110–417; 122 Stat. 4402; 10 U.S.C. 
2302 note) is amended by striking ‘‘Under Secretary 
of Defense for Acquisition, Technology, and Logistics’’ 
and inserting ‘‘Under Secretary of Defense for Acqui-
sition and Sustainment’’. 
(41) Section 802(d) of the Ronald W. Reagan 
National Defense Authorization Act for Fiscal Year 
2005 (Public Law 108–375; 118 Stat. 2004; 10 
U.S.C. 2302 note) is amended by striking ‘‘Under 
Secretary of Defense for Acquisition, Technology, and 
Logistics’’ each place such term appears and inserting 
‘‘Under Secretary of Defense for Acquisition and 
Sustainment’’. 
(42) Section 244 of the Bob Stump National De-
fense Authorization Act for Fiscal Year 2003 (Public 
Law 107–314; 116 Stat. 2498; 10 U.S.C. 2302 note) 
is amended by striking ‘‘Under Secretary of Defense 
for Acquisition, Technology, and Logistics’’ each place 
such term appears and inserting ‘‘Under Secretary of 
Defense for Acquisition and Sustainment’’. 
(43) Section 804(c) of the Bob Stump National 
Defense Authorization Act for Fiscal Year 2003 (Pub-
lic Law 107–314; 116 Stat. 2605; 10 U.S.C. 2302 
note) is amended by striking ‘‘Under Secretary of De-
fense for Acquisition, Technology, and Logistics’’ each 
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513 
place such term appears and inserting ‘‘Under Sec-
retary of Defense for Acquisition and Sustainment’’. 
(44) Section 2304 of title 10, United States 
Code, is amended by striking ‘‘Under Secretary of De-
fense for Acquisition, Technology, and Logistics’’ each 
place such term appears and inserting ‘‘Under Sec-
retary of Defense for Acquisition and Sustainment’’. 
(45) Section 895 of the National Defense Author-
ization Act for Fiscal Year 2016 (Public Law 114– 
92; 129 Stat. 954; 10 U.S.C. 2304 note) is amended 
by striking ‘‘Under Secretary of Defense for Acquisi-
tion, Technology, and Logistics’’ each place such term 
appears and inserting ‘‘Under Secretary of Defense 
for Acquisition and Sustainment’’. 
(46) Section 806(b) of the Ike Skelton National 
Defense Authorization Act for Fiscal Year 2011 (Pub-
lic Law 111–383; 124 Stat. 4260; 10 U.S.C. 2304 
note) is amended by striking ‘‘Under Secretary of De-
fense for Acquisition, Technology, and Logistics’’ each 
place such term appears and inserting ‘‘Under Sec-
retary of Defense for Acquisition and Sustainment’’. 
(47) Section 821(a) of the National Defense Au-
thorization Act for Fiscal Year 2008 (Public Law 
110–181; 122 Stat. 226; 10 U.S.C. 2304 note) is 
amended by striking ‘‘Under Secretary of Defense for 
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514 
Acquisition, Technology, and Logistics’’ and inserting 
‘‘Under Secretary of Defense for Acquisition and 
Sustainment’’. 
(48) Section 801(b)(2)(B) of the National De-
fense Authorization Act for Fiscal Year 2008 (Public 
Law 110–181; 122 Stat. 204; 10 U.S.C. 2304 note) is 
amended by striking ‘‘Under Secretary of Defense for 
Acquisition, Technology, and Logistics’’ and inserting 
‘‘Under Secretary of Defense for Acquisition and 
Sustainment’’. 
(49) Section 817(e) of the John Warner National 
Defense Authorization Act for Fiscal Year 2007 (Pub-
lic Law 109–364; 120 Stat. 2326; 10 U.S.C. 2304 
note) is amended by striking ‘‘Under Secretary of De-
fense for Acquisition, Technology, and Logistics’’ and 
inserting ‘‘Under Secretary of Defense for Acquisition 
and Sustainment’’. 
(50) Section 811(e)(1) of the National Defense 
Authorization Act for Fiscal Year 2006 (Public Law 
109–163; 120 Stat. 2326; 10 U.S.C. 2304 note) is 
amended by striking ‘‘Under Secretary of Defense for 
Acquisition, Technology, and Logistics’’ and inserting 
‘‘Under Secretary of Defense for Acquisition and 
Sustainment’’. 
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515 
(51) Section 875 of the National Defense Author-
ization Act for Fiscal Year 2017 (Public Law 114– 
328; 130 Stat. 2310; 10 U.S.C. 2305 note) is amend-
ed— 
(A) in subsection (b)(2), by striking ‘‘Under 
Secretary of Defense for Acquisition, Technology, 
and Logistics’’ and inserting ‘‘Under Secretary 
of Defense for Acquisition and Sustainment’’; 
(B) in subsection (c), by striking ‘‘Under 
Secretary of Defense for Acquisition, Technology, 
and Logistics’’ and inserting ‘‘Under Secretary 
of Defense for Acquisition and Sustainment’’; 
(C) in subsection (d), by striking ‘‘The 
Under Secretary for Acquisition, Technology, 
and Logistics’’ and inserting ‘‘The Under Sec-
retary of Defense for Research and Engineering’’; 
and 
(D) in subsection (e) through (f), by strik-
ing ‘‘Under Secretary of Defense for Acquisition, 
Technology, and Logistics’’ and inserting ‘‘Under 
Secretary 
of 
Defense 
for 
Acquisition 
and 
Sustainment’’. 
(52) Section 888(b)(1) of the National Defense 
Authorization Act for Fiscal Year 2017 (Public Law 
114–328; 130 Stat. 2322; 10 U.S.C. 2305 note) is 
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516 
amended by striking ‘‘Under Secretary of Defense for 
Acquisition, Technology, and Logistics’’ and inserting 
‘‘Under Secretary of Defense for Acquisition and 
Sustainment’’. 
(53) Section 829(b)(1) of the National Defense 
Authorization Act for Fiscal Year 2017 (Public Law 
114–328; 130 Stat. 2281; 10 U.S.C. 2306 note) is 
amended by striking ‘‘Under Secretary of Defense for 
Acquisition, Technology, and Logistics’’ and inserting 
‘‘Under Secretary of Defense for Acquisition and 
Sustainment’’. 
(54) Section 2306b(i)(7) of title 10, United 
States Code, is amended by striking ‘‘Under Secretary 
of Defense for Acquisition, Technology, and Logistics’’ 
and inserting ‘‘Under Secretary of Defense for Acqui-
sition and Sustainment’’. 
(55) Section 2311(c) of title 10, United States 
Code, is amended— 
(A) in paragraph (1), by striking ‘‘Under 
Secretary of Defense for Acquisition, Technology, 
and Logistics’’ and inserting ‘‘Under Secretary 
of Defense for Acquisition and Sustainment’’; 
and 
(B) in paragraph (2)(B), by striking 
‘‘Under Secretary of Defense for Acquisition, 
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517 
Technology, and Logistics’’ and inserting ‘‘Under 
Secretary 
of 
Defense 
for 
Acquisition 
and 
Sustainment’’. 
(56) Section 824(a) of the Ike Skelton National 
Defense Authorization Act for Fiscal Year 2011 (Pub-
lic Law 111–383; 124 Stat. 4269; 10 U.S.C. 2320 
note) is amended by striking ‘‘Under Secretary of De-
fense for Acquisition, Technology, and Logistics’’ and 
inserting ‘‘Under Secretary of Defense for Acquisition 
and Sustainment’’. 
(57) Section 2326(g) of title 10, United States 
Code, is amended by striking ‘‘Under Secretary of De-
fense for Acquisition, Technology, and Logistics’’ and 
inserting ‘‘Under Secretary of Defense for Acquisition 
and Sustainment’’. 
(58) Section 2330 of title 10, United States 
Code, is amended— 
(A) in subsection (a)(1), by striking ‘‘Under 
Secretary of Defense for Acquisition, Technology, 
and Logistics’’ and inserting ‘‘Under Secretary 
of Defense for Acquisition and Sustainment’’; 
(B) in subsection (a)(3), by striking ‘‘Under 
Secretary of Defense for Acquisition, Technology, 
and Logistics’’ and inserting ‘‘Under Secretary 
of Defense for Acquisition and Sustainment’’; 
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(C) in subsection (b)(2), by striking ‘‘Under 
Secretary of Defense for Acquisition, Technology, 
and Logistics’’ and inserting ‘‘Under Secretary 
of Defense for Acquisition and Sustainment’’; 
and 
(D) in subsection (b)(3)(A), by striking 
‘‘Under Secretary of Defense for Acquisition, 
Technology, and Logistics’’ and inserting ‘‘Under 
Secretary 
of 
Defense 
for 
Acquisition 
and 
Sustainment’’. 
(59) Section 882 of the National Defense Author-
ization Act for Fiscal Year 2016 (Public Law 114– 
92; 129 Stat. 942; 10 U.S.C. 2330 note) is amended 
in the matter preceding paragraph (1) by striking 
‘‘Under Secretary of Defense for Acquisition, Tech-
nology, and Logistics’’ and inserting ‘‘Under Sec-
retary of Defense for Acquisition and Sustainment’’. 
(60) Section 801(b)(2)(B) of the National De-
fense Authorization Act for Fiscal Year 2002 (Public 
Law 107–107; 115 Stat. 1176; 10 U.S.C. 2330 note) 
is amended by striking ‘‘Under Secretary of Defense 
for Acquisition, Technology, and Logistics’’ and in-
serting ‘‘Under Secretary of Defense for Acquisition 
and Sustainment’’. 
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(61) Section 2334 of title 10, United States 
Code, is amended by striking ‘‘Under Secretary of De-
fense for Acquisition, Technology, and Logistics’’ each 
place such term appears and inserting ‘‘Under Sec-
retary of Defense for Acquisition and Sustainment’’. 
(62) Section 2350a(b)(2) of title 10, United 
States Code, is amended by striking ‘‘Under Secretary 
of Defense for Acquisition, Technology, and Logistics, 
and the Assistant Secretary of Defense for Research 
and Engineering’’ and inserting ‘‘Under Secretary of 
Defense for Acquisition and Sustainment, and the 
Under Secretary of Defense for Research and Engi-
neering’’. 
(63) Section 2359(b)(1) of title 10, United States 
Code, is amended by striking ‘‘Under Secretary of De-
fense for Acquisition, Technology, and Logistics’’ and 
inserting ‘‘Under Secretary of Defense for Research 
and Engineering’’. 
(64) Section 2359b of title 10, United States 
Code, is amended— 
(A) in subsection (a)(1), by striking ‘‘Under 
Secretary of Defense for Acquisition, Technology, 
and Logistics’’ and inserting ‘‘Under Secretary 
of Defense for Research and Engineering’’; and 
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(B) in subsection (l)(1), by striking ‘‘Under 
Secretary of Defense for Acquisition, Technology, 
and Logistics’’ and inserting ‘‘Under Secretary 
of Defense for Research and Engineering’’. 
(65) Section 2365 of title 10, United States 
Code, is amended— 
(A) by striking ‘‘Assistant Secretary’’ each 
place it appears and inserting ‘‘Under Sec-
retary’’; and 
(B) in subsection (d), by striking paragraph 
(3). 
(66) Section 2375 of title 10, United States 
Code, is amended by striking ‘‘Under Secretary of De-
fense for Acquisition, Technology, and Logistics’’ each 
place such term appears and inserting ‘‘Under Sec-
retary of Defense for Acquisition and Sustainment’’. 
(67) Section 874(b)(1) of the National Defense 
Authorization Act for Fiscal Year 2017 (Public Law 
114–328; 130 Stat. 2310; 10 U.S.C. 2375 note) is 
amended by striking ‘‘Under Secretary of Defense for 
Acquisition, Technology, and Logistics’’ and inserting 
‘‘Under Secretary of Defense for Acquisition and 
Sustainment’’. 
(68) Section 876 of the National Defense Author-
ization Act for Fiscal Year 2017 (Public Law 114– 
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521 
328; 130 Stat. 2311; 10 U.S.C. 2377 note) is amended 
by striking ‘‘Under Secretary of Defense for Acquisi-
tion, Technology, and Logistics’’ and inserting 
‘‘Under Secretary of Defense for Acquisition and 
Sustainment’’. 
(69) Section 855 of the National Defense Author-
ization Act for Fiscal Year 2016 (Public Law 114– 
92; 129 Stat. 919; 10 U.S.C. 2377 note) is amended 
by striking ‘‘Under Secretary of Defense for Acquisi-
tion, Technology, and Logistics’’ each place such term 
appears and inserting ‘‘Under Secretary of Defense 
for Acquisition and Sustainment’’. 
(70) Section 856(a)(2)(B) of the National De-
fense Authorization Act for Fiscal Year 2016 (Public 
Law 114–92; 129 Stat. 920; 10 U.S.C. 2377 note) is 
amended by striking ‘‘Under Secretary of Defense for 
Acquisition, Technology, and Logistics’’ and inserting 
‘‘Under Secretary of Defense for Acquisition and 
Sustainment’’. 
(71) Section 2399(b)(3) of title 10, United States 
Code, is amended by striking ‘‘Under Secretary of De-
fense for Acquisition, Technology, and Logistics,’’ and 
inserting ‘‘Under Secretary of Defense for Acquisition 
and Sustainment, the Under Secretary of Defense for 
Research and Engineering,’’. 
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(72) Section 2419(a)(1) of title 10, United States 
Code, is amended by striking ‘‘Under Secretary of De-
fense for Acquisition, Technology, and Logistics’’ and 
inserting ‘‘Under Secretary of Defense for Acquisition 
and Sustainment’’. 
(73) Section 825(c)(2) of the National Defense 
Authorization Act for Fiscal Year 2016 (Public Law 
114–92; 129 Stat. 908; 10 U.S.C. 2430 note) is 
amended by striking ‘‘Under Secretary of Defense for 
Acquisition, Technology, and Logistics’’ and inserting 
‘‘Under Secretary of Defense for Acquisition and 
Sustainment’’. 
(74) Section 826(e) of the National Defense Au-
thorization Act for Fiscal Year 2016 (Public Law 
114–92; 129 Stat. 908; 10 U.S.C. 2430 note) is 
amended by striking ‘‘Under Secretary of Defense for 
Acquisition, Technology, and Logistics’’ and inserting 
‘‘Under Secretary of Defense for Acquisition and 
Sustainment’’. 
(75) Section 827(e) of the National Defense Au-
thorization Act for Fiscal Year 2016 (Public Law 
114–92; 129 Stat. 909; 10 U.S.C. 2430 note) is 
amended by striking ‘‘Under Secretary of Defense for 
Acquisition, Technology, and Logistics’’ and inserting 
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‘‘Under Secretary of Defense for Acquisition and 
Sustainment’’. 
(76) Section 811(b) of the National Defense Au-
thorization Act for Fiscal Year 2013 (Public Law 
112–239; 126 Stat. 1828; 10 U.S.C. 2430 note) is 
amended— 
(A) in paragraph (1), by striking ‘‘if the 
Under Secretary of Defense for Acquisition, 
Technology, and Logistics’’ and inserting ‘‘if the 
service acquisition executive, in the case of a 
major defense acquisition program of the mili-
tary department, or the Under Secretary of De-
fense for Acquisition and Sustainment, in the 
case of a Defense-wide or Defense Agency major 
defense acquisition program,’’; and 
(B) in paragraph (2), by inserting ‘‘the 
service acquisition executive or’’ before ‘‘the 
Under Secretary’’ each place such term appears. 
(77) Section 812(a) of the National Defense Au-
thorization Act for Fiscal Year 2013 (Public Law 
112–239; 126 Stat. 1829; 10 U.S.C. 2430 note) is 
amended by striking ‘‘Under Secretary of Defense for 
Acquisition, Technology, and Logistics’’ and inserting 
‘‘Under Secretary of Defense for Acquisition and 
Sustainment’’. 
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524 
(78) Section 814 of the Duncan Hunter National 
Defense Authorization Act for Fiscal Year 2009 (Pub-
lic Law 115–91; 131 Stat. 1467; 10 U.S.C. 2430 note) 
is amended— 
(A) in subsection (b), by striking paragraph 
(2) and inserting the following new paragraphs: 
‘‘(2) REQUIRED MEMBERS.—Each Configuration 
Steering Board under this section shall include a rep-
resentative of the following: 
‘‘(A) The Chief of Staff of the Armed Force 
concerned. 
‘‘(B) The Comptroller of the military de-
partment concerned. 
‘‘(C) The military deputy to the service ac-
quisition executive concerned. 
‘‘(D) The program executive officer for the 
major defense acquisition program concerned. 
‘‘(3) ADDITIONAL MEMBERS.—In addition to the 
members required in paragraph (2), when the mile-
stone decision authority for a major defense acquisi-
tion program is the Under Secretary of Defense for 
Acquisition and Sustainment, each Configuration 
Steering Board under this section shall also include 
a representative of the following: 
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‘‘(A) The Office of the Under Secretary of 
Defense for Acquisition and Sustainment. 
‘‘(B) Other armed forces, as appropriate. 
‘‘(C) The Joint Staff. 
‘‘(D) Other senior representatives of the Of-
fice of the Secretary of Defense and the military 
department concerned, as appropriate.’’; and 
(B) in subsection (c)(5)(B), by striking 
‘‘Under Secretary of Defense for Acquisition, 
Technology, and Logistics’’ and inserting ‘‘serv-
ice acquisition executive’’. 
(79) Section 801(a)(1) of the John Warner Na-
tional Defense Authorization Act for Fiscal Year 2007 
(Public Law 109–364; 120 Stat. 2312; 10 U.S.C. 
2430 note) is amended by striking ‘‘Under Secretary 
of Defense for Acquisition, Technology, and Logistics’’ 
and inserting ‘‘Under Secretary of Defense for Acqui-
sition and Sustainment’’. 
(80) Section 924 of the National Defense Author-
ization Act for Fiscal Year 2004 (Public Law 108– 
136; 117 Stat. 1576; 10 U.S.C. 2430 note) is amended 
by striking ‘‘Under Secretary of Defense for Acquisi-
tion, Technology, and Logistics’’ each place it appears 
and inserting ‘‘Under Secretary of Defense for Acqui-
sition and Sustainment’’. 
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526 
(81) Section 1675(a) of the National Defense Au-
thorization Act for Fiscal Year 2016 (Public Law 
114–92; 192 Stat. 1131; 10 U.S.C. 2431 note) is 
amended by striking ‘‘Under Secretary of Defense for 
Acquisition, Technology, and Logistics’’ and inserting 
‘‘the Under Secretary of Defense for Research and En-
gineering’’. 
(82) Section 2431a(b) of title 10, United States 
Code, is amended by striking ‘‘Under Secretary of De-
fense for Acquisition, Technology, and Logistics’’ and 
inserting ‘‘Under Secretary of Defense for Acquisition 
and Sustainment’’. 
(83) Section 2435 of title 10, United States 
Code, is amended by striking— 
(A) in subsection (b), by striking ‘‘Under 
Secretary of Defense for Acquisition, Technology, 
and Logistics’’ and inserting ‘‘service acquisition 
executive, in the case of a major defense acquisi-
tion program of a military department, or the 
Under Secretary of Defense for Acquisition and 
Sustainment, in the case of a Defense-wide or 
Defense Agency major defense acquisition pro-
gram’’; and 
(B) in subsection (e)(2), by striking ‘‘Under 
Secretary of Defense for Acquisition, Technology, 
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and Logistics’’ and inserting ‘‘Under Secretary 
of Defense for Acquisition and Sustainment’’. 
(84) Section 2438(b) of title 10, United States 
Code, is amended— 
(A) in paragraph (1), by striking ‘‘Under 
Secretary of Defense for Acquisition, Technology 
and Logistics’’ and inserting ‘‘Under Secretary 
of Defense for Acquisition and Sustainment’’; 
and 
(B) in paragraph (2), by striking ‘‘Under 
Secretary of Defense for Acquisition, Technology 
and Logistics’’ and inserting ‘‘Under Secretary 
of Defense for Acquisition and Sustainment’’. 
(85) Section 2448b(a) of title 10, United States 
Code, is amended in the matter preceding paragraph 
(1) by inserting ‘‘by an independent organization se-
lected by the service acquisition executive’’ after ‘‘con-
ducted’’. 
(86) Section 2503(b) of title 10, United States 
Code, is amended by striking ‘‘Under Secretary of De-
fense for Acquisition, Technology, and Logistics’’ and 
inserting ‘‘Under Secretary of Defense for Acquisition 
and Sustainment’’. 
(87) Section 2508(b) of title 10, United States 
Code, is amended by striking ‘‘Under Secretary of De-
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528 
fense for Acquisition, Technology, and Logistics’’ and 
inserting ‘‘Under Secretary of Defense for Acquisition 
and Sustainment’’. 
(88) Section 2521 of title 10, United States 
Code, is amended— 
(A) in subsection (a), by striking ‘‘The 
Under Secretary of Defense for Acquisition, 
Technology, and Logistics’’ and inserting ‘‘The 
Under Secretary of Defense for Research and En-
gineering’’; 
(B) in subsection (e)(4)(D), by striking 
‘‘Under Secretary of Defense for Acquisition, 
Technology, and Logistics’’ and inserting ‘‘Under 
Secretary of Defense for Research and Engineer-
ing’’; and 
(C) in subsection (e)(5), by striking ‘‘Under 
Secretary of Defense for Acquisition, Technology, 
and Logistics’’ and inserting ‘‘Under Secretary 
of Defense for Research and Engineering’’. 
(89) Section 2533b(k)(2)(A) of title 10, United 
States Code, is amended by striking ‘‘Under Secretary 
of Defense for Acquisition, Technology, and Logistics’’ 
and inserting ‘‘Under Secretary of Defense for Acqui-
sition and Sustainment’’. 
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529 
(90) Section 2546 of title 10, United States 
Code, is amended— 
(A) in the heading of subsection (a), by 
striking ‘‘UNDER SECRETARY OF DEFENSE FOR 
ACQUISITION, TECHNOLOGY, AND
LOGISTICS’’ 
and inserting ‘‘UNDER SECRETARY OF DEFENSE 
FOR ACQUISITION AND SUSTAINMENT’’; 
(B) in subsection (a), by striking ‘‘Under 
Secretary of Defense for Acquisition, Technology, 
and Logistics’’ and inserting ‘‘Under Secretary 
of Defense for Acquisition and Sustainment’’; 
and 
(C) in subsection (b), by striking ‘‘Under 
Secretary of Defense for Acquisition, Technology, 
and Logistics’’ and inserting ‘‘Under Secretary 
of Defense for Acquisition and Sustainment’’. 
(91) Section 2548 of title 10, United States 
Code, is amended— 
(A) in subsection (a), by striking ‘‘Under 
Secretary of Defense for Acquisition, Technology, 
and Logistics’’ and inserting ‘‘Under Secretary 
of Defense for Acquisition and Sustainment’’; 
and 
(B) in subsection (c)(8), by striking ‘‘Under 
Secretary of Defense for Acquisition, Technology, 
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and Logistics’’ and inserting ‘‘Under Secretary 
of Defense for Acquisition and Sustainment’’. 
(92) Section 2902(b) of title 10, United States 
Code, is amended— 
(A) in paragraph (1), by striking ‘‘Office of 
the Assistant Secretary of Defense for Research 
and Engineering’’ and inserting ‘‘Office of the 
Secretary of Defense for Research and Engineer-
ing’’; and 
(B) in paragraph (3), by striking ‘‘Office of 
the Under Secretary of Defense for Acquisition, 
Technology, and Logistics’’ and inserting ‘‘Office 
of the Under Secretary of Defense for Acquisition 
and Sustainment’’. 
(93) Section 2824(d) of the National Defense Au-
thorization Act for Fiscal Year 2013 (Public law 112– 
239; 126 Stat. 2154; 10 U.S.C. 2911 note) is amended 
by striking ‘‘Under Secretary of Defense for Acquisi-
tion, Technology, and Logistics and the Assistant Sec-
retary of Defense for Energy, Installations, and Envi-
ronment’’ and inserting ‘‘Under Secretary of Defense 
for Acquisition and Sustainment’’. 
(94) Section 315(d) of the National Defense Au-
thorization Act for Fiscal Year 2012 (Public law 112– 
81; 125 Stat. 1357; 10 U.S.C. 2911 note) is amended 
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by striking ‘‘Under Secretary of Defense for Acquisi-
tion, Technology, and Logistics’’ and inserting 
‘‘Under Secretary of Defense for Acquisition and 
Sustainment’’. 
(95) Section 2926(e)(5)(D) of title 10, United 
States Code, is amended by striking ‘‘Under Secretary 
of Defense for Acquisition, Technology, and Logistics’’ 
and inserting ‘‘Under Secretary for Defense for Ac-
quisition and Sustainment’’. 
(96) Section 836(a)(2) of the National Defense 
Authorization Act for Fiscal Year 2012 (Public Law 
112–81; 125 Stat. 1508; 22 U.S.C. 2767 note) is 
amended by striking ‘‘the Under Secretary of Defense 
for Acquisition, Technology, and Logistics, the Assist-
ant Secretary of Defense for Research,’’ and inserting 
‘‘the Under Secretary of Defense for Acquisition and 
Sustainment, the Under Secretary of Defense for Re-
search and Engineering,’’. 
(97) Section 7103(d)(7)(M)(v) of title 22, United 
States Code, is amended by striking ‘‘Under Secretary 
of Defense for Acquisition, Technology, and Logistics’’ 
and inserting ‘‘Under Secretary of Defense for Acqui-
sition and Sustainment’’. 
(98) Section 1126(a)(3) of title 31, United States 
Code, is amended by striking ‘‘Under Secretary of De-
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532 
fense for Acquisition, Technology, and Logistics’’ and 
inserting ‘‘Under Secretary of Defense for Acquisition 
and Sustainment’’. 
(99) Section 11319(d)(4) of title 40, United 
States Code, is amended by striking ‘‘Under Secretary 
of Defense for Acquisition, Technology, and Logistics’’ 
and inserting ‘‘Under Secretary of Defense for Acqui-
sition and Sustainment’’. 
(100) Section 1302(b)(2)(A)(i) of title 41, United 
States Code, is amended by striking ‘‘Under Secretary 
of Defense for Acquisition, Technology, and Logistics’’ 
and inserting ‘‘Under Secretary of Defense for Acqui-
sition and Sustainment’’. 
(101) Section 809 of the National Defense Au-
thorization Act for Fiscal Years 1992 and 1993 (Pub-
lic Law 102–190; 105 Stat. 1423; 41 U.S.C. 1302 
note) is amended by striking ‘‘Under Secretary of De-
fense for Acquisition, Technology, and Logistics’’ and 
inserting ‘‘Under Secretary of Defense for Acquisition 
and Sustainment’’. 
(102) Section 1311(b)(3) of title 41, United 
States Code, is amended by striking ‘‘Under Secretary 
of Defense for Acquisition, Technology, and Logistics’’ 
and inserting ‘‘Under Secretary of Defense for Acqui-
sition and Sustainment’’. 
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534 
after the date of submission of the national security 
strategy report required under section 108 of the Na-
tional Security Act of 1947 (50 U.S.C. 3043).’’. 
(2) ANNUAL
REPORT
TO
CONGRESS.—Section 
2504(3) of title 10, United States Code, is amended— 
(A) in the matter preceding subparagraph 
(A), by inserting ‘‘executive order or’’ after ‘‘pur-
suant to’’; 
(B) by amending subparagraph (A) to read 
as follows: 
‘‘(A) 
prioritized 
list 
of 
gaps 
or 
vulnerabilities in the national technology and 
industrial base, including— 
‘‘(i) a description of mitigation strate-
gies necessary to address such gaps or 
vulnerabilities; 
‘‘(ii) the identification of the indi-
vidual responsible for addressing such gaps 
or vulnerabilities; and 
‘‘(iii) a proposed timeline for action to 
address gaps or vulnerabilities.’’. 
(l) ESTABLISHMENT OF CENTER FOR ACQUISITION IN-
NOVATION.— 
(1) ESTABLISHMENT OF CENTER FOR ACQUISI-
TION INNOVATION.— 
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(A) IN GENERAL.—Chapter 97 of title 10, 
United States Code, is amended by inserting 
after section 1746 the following new section: 
‘‘§ 1746a. Center for Acquisition Innovation 
‘‘(a) ESTABLISHMENT.—The Secretary of Defense, act-
ing through the Under Secretary of Defense for Acquisition 
and Sustainment, shall establish and maintain a Center 
for Acquisition Innovation (hereinafter referred to as the 
‘Center’) at the Naval Postgraduate School. The Center shall 
operate as an academic entity specializing in innovation 
relating to the defense acquisition system. 
‘‘(b) MISSION.—(1) The mission of the Center is to 
provide to policymakers in the Department of Defense, Con-
gress, and throughout the Government, academic analyses 
and policy alternatives for innovation in the defense acqui-
sition system. The Center shall accomplish that mission by 
a variety of means intended to widely disseminate the re-
search findings of the Center. 
‘‘(2) In carrying out the mission under paragraph (1), 
the Center shall, on an ongoing basis, review the statutes 
and regulations applicable to the defense acquisition sys-
tem. The objective of such review is to provide policy alter-
natives for streamlining and improving the efficiency and 
effectiveness of the defense acquisition process in order to 
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ensure a defense technology advantage for the United States 
over potential adversaries. 
‘‘(c) IMPLEMENTATION
REVIEW
OF
SECTION
809 
PANEL RECOMMENDATIONS AND CENTER POLICY ALTER-
NATIVES.—(1) The Center shall, on an ongoing basis, review 
implementation of the recommendations of the Section 809 
Panel and policy alternatives provided by the Center. As 
part of such review, the Center shall— 
‘‘(A) for recommendations or policy alternatives 
for the enactment of legislation, identify whether (or 
to what extent) the recommendations or policy alter-
natives have been adopted by being enacted into law 
by Congress; 
‘‘(B) for recommendations or policy alternatives 
for the issuance of regulations, identify whether (or to 
what extent) the recommendations or policy alter-
natives have been adopted through issuance of new 
agency or Government-wide regulations; and 
‘‘(C) for recommendations or policy alternatives 
for revisions to policies and procedures in the execu-
tive branch, identify whether (or to what extent) the 
recommendations or policy alternatives have been 
adopted through issuance of an appropriate imple-
menting directive or other form of guidance. 
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‘‘(2) In this subsection, the term ‘Section 809 Panel’ 
means the panel established by the Secretary of Defense pur-
suant to section 809 of the National Defense Authorization 
Act for Fiscal Year 2016 (Public Law 114–92), as amended 
by section 863(d) of the National Defense Authorization Act 
for Fiscal Year 2017 (Public Law 114–328) and sections 
803(c) and 883 of the National Defense Authorization Act 
for Fiscal Year 2018 (Public Law 115–91). 
‘‘(d) FUNDING.—There shall be available for the Center 
for any fiscal year from the Defense Acquisition Workforce 
and Development Fund not less than the amount of 
$3,000,000 (in fiscal year 2019 constant dollars), in addi-
tion to any other amount available for that fiscal year for 
the Naval Postgraduate School. 
‘‘(e) ANNUAL REPORT.—(1) Not later than September 
30 each year, the Center shall submit to the Secretary of 
Defense, who shall forward to the Committees on Armed 
Services of the Senate and House of Representatives, a re-
port describing the activities of the Center during the pre-
vious year and providing the findings, analysis, and policy 
alternatives of the Center relating to the defense acquisition 
system. 
‘‘(2) Each such report shall be submitted in accordance 
with paragraph (1) without further review within the exec-
utive branch. 
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‘‘(3) Each report under paragraph (1) shall include 
the following: 
‘‘(A) Results of academic research and analysis. 
‘‘(B) Results of the implementation reviews con-
ducted pursuant to subsection (d). 
‘‘(C) Policy alternatives for such legislative and 
executive branch action as the Center considers war-
ranted. 
‘‘(D) Specific implementation language for any 
statutory changes recommended. 
‘‘(f) DEFINITION.—In this section, the term ‘defense ac-
quisition system’ has the meaning given that term in sec-
tion 2545(2) of this title.’’. 
(B) CLERICAL AMENDMENT.—The table of 
sections at the beginning of such chapter is 
amended by inserting after the item relating to 
section 2165 the following new item: 
‘‘1746a. Center for Acquisition Innovation.’’. 
(2) DEADLINE FOR IMPLEMENTATION.—The Sec-
retary of Defense shall establish the Center for Acqui-
sition Innovation under section 1746a of title 10, 
United States Code, as added by subsection (a), not 
later than March 1, 2020. The first Director of the 
Center shall be appointed not later than June 1, 
2020, and the Center should be fully operational not 
later than June 1, 2021. 
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(3) IMPLEMENTATION REPORT.— 
(A) IN GENERAL.—Not later than January 
1, 2021, the head of the Center of Acquisition In-
novation shall submit to the Secretary of Defense 
a report setting forth the organizational plan for 
the Center for Acquisition Innovation, the pro-
posed budget for the Center, and the timetable for 
initial and full operations of the Center. 
(B) TRANSMITTAL.—The Secretary of De-
fense shall transmit the report under paragraph 
(1), together with whatever comments the Sec-
retary considers appropriate, to the Committee 
on Armed Services of the Senate and the Com-
mittee on Armed Services of the House of Rep-
resentatives not later than February 1, 2021. 
(4) RECORDS OF THE SECTION 809 PANEL.— 
(A) TRANSFER
AND
MAINTENANCE
OF 
RECORDS.—Following termination of the Section 
809 Panel, the records of the panel shall be 
transferred to, and shall be maintained by, the 
Defense Technical Information Center. Such 
transfer shall be accomplished not later than Au-
gust 1, 2019. 
(B) STATUS
OF
RECORDS.—Working pa-
pers, records of interview, and any other draft 
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work products generated for any purpose by the 
Section 809 Panel during its research are cov-
ered by the deliberative process privilege exemp-
tion under paragraph (5) of section 552(b) of 
title 5, United States Code. 
(C) DEFINITION.—In this section, the term 
‘‘Section 809 Panel’’ means the panel established 
by the Secretary of Defense pursuant to section 
809 of the National Defense Authorization Act 
for Fiscal Year 2016 (Public Law 114–92), as 
amended by section 863(d) of the National De-
fense Authorization Act for Fiscal Year 2017 
(Public Law 114–328) and sections 803(c) and 
883 of the National Defense Authorization Act 
for Fiscal Year 2018 (Public Law 115–91). 
Subtitle F—Industrial Base Matters 
SEC. 871. CONSIDERATION OF SUBCONTRACTING TO MI-
NORITY INSTITUTIONS. 
(a) IN GENERAL.—Chapter 141 of title 10, United 
States Code, is amended by adding at the end the following 
new section: 
‘‘§ 2410t. Consideration of subcontracting to minority 
institutions 
‘‘(a) CONSIDERATION OF SUBCONTRACTING TO MINOR-
ITY INSTITUTIONS.—The Secretary of Defense shall revise 
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the Department of Defense Supplement to the Federal Ac-
quisition Regulation to require that the system used by the 
Federal Government to monitor or record contractor past 
performance for a grant or contract awarded to an institu-
tion of higher education includes incentives for the award 
of a sub-grant or subcontract to minority institutions. 
‘‘(b) MINORITY INSTITUTION DEFINED.—In this sec-
tion, the term ‘minority institution’ means— 
‘‘(1) a part B institution (as that term is de-
fined in section 322(2) of the Higher Education Act 
of 1965 (20 U.S.C. 1061(2)); or 
‘‘(2) any other institution of higher education 
(as that term is defined in section 101 of such Act (20 
U.S.C. 1001)) at which not less than 50 percent of the 
total student enrollment consists of students from eth-
nic groups that are underrepresented in the fields of 
science and engineering.’’. 
(b) CLERICAL AMENDMENT.—The table of sections at 
the beginning of such chapter is amended by adding at the 
end the following new item: 
‘‘2410t. Consideration of subcontracting to minority institutions.’’. 
SEC. 872. SIZE STANDARD CALCULATIONS FOR CERTAIN 
SMALL BUSINESS CONCERNS. 
(a) CLARIFYING AMENDMENT TO THE SMALL BUSI-
NESS
RUNWAY
EXTENSION
ACT
OF
2018.—Section 
3(a)(2)(C) of the Small Business Act (15 U.S.C. 
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632(a)(2)(C)) is amended by inserting ‘‘(including the Ad-
ministration when acting pursuant to subparagraph (A))’’ 
after ‘‘no Federal department or agency’’. 
(b) FINALIZATION OF SMALL BUSINESS RUNWAY EX-
TENSION ACT OF 2018 RULES.—The Administrator of the 
Small Business Administration shall issue a final rule im-
plementing the Small Business Runway Extension Act of 
2018 (Public Law 115–324) not later than December 17, 
2019. 
(c) AMENDMENT TO SIZE STANDARDS FOR CERTAIN 
SMALL BUSINESS CONCERNS.— 
(1) SIZE STANDARDS FOR SMALL BUSINESS CON-
CERNS
PROVIDING
SERVICES.—Section 
3(a)(2)(C)(ii)(II) of the Small Business Act (15 
U.S.C. 632(a)(2)(C)(ii)(II)) is amended by striking 
‘‘not less than’’. 
(2) SIZE STANDARDS FOR OTHER BUSINESS CON-
CERNS.—Section 3(a)(2)(C)(ii)(III) of the Small 
Business Act (15 U.S.C. 632(a)(2)(C)(ii)(III)) is 
amended by striking ‘‘not less than 3 years’’ and in-
serting ‘‘5 years’’. 
(d) TRANSITION PLAN
FOR
THE SMALL BUSINESS 
RUNWAY EXTENSION ACT OF 2018.— 
(1) PLAN REQUIRED.—Not later than 90 days 
after the date of the enactment of this Act, the Admin-
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istrator of the Small Business Administration shall 
implement a transition plan to assist business con-
cerns and Federal agencies with compliance with the 
requirements of the Small Business Runway Exten-
sion Act of 2018 (Public Law 115–324). 
(2) 3–YEAR
CALCULATION
FOR
SIZE
STAND-
ARDS.— 
(A) IN GENERAL.—The transition plan de-
scribed under paragraph (1) shall include a re-
quirement that, during the period beginning on 
December 17, 2018, and ending on the date that 
is 6 months after the date on which the Adminis-
trator issues final rules implementing the Small 
Business Runway Extension Act of 2018 (Public 
Law 115–324), allows the use of a 3-year cal-
culation for a size standard to be applied to a 
business concern if the use of such 3-year cal-
culation allows such concern to be considered a 
small business concern under section 3(a)(1) of 
the Small Business Act (15 U.S.C. 632(a)(1)). 
(B) 3-YEAR
CALCULATION
DEFINED.—In 
this subsection, the term ‘‘3-year calculation’’ 
means— 
(i) with respect to a business concern 
providing services described under clause 
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(ii)(II) of such section, a determination of 
the size of such concern on the basis of the 
annual average gross receipts of such con-
cern over a period of 3 years; and 
(ii) with respect to a business concern 
described under clause (ii)(III) of such sec-
tion, a determination of the size of such 
concern on the basis of data over a period 
of 3 years. 
(e) REQUIREMENT TO UPDATE SAM.—Not later than 
90 days after the date of the enactment of this Act, the Sys-
tem for Award Management (or any successor system) shall 
be updated to comply with the requirements of this Act. 
SEC. 873. MODIFICATIONS TO SMALL BUSINESS SUBCON-
TRACTING. 
(a) 
SMALL
BUSINESS
LOWER-TIER
SUBCON-
TRACTING.—Section 8(d) of the Small Business Act (15 
U.S.C. 637(d)) is amended— 
(1) by amending paragraph (16) to read as fol-
lows: 
‘‘(16) CREDIT
FOR
CERTAIN
SMALL
BUSINESS 
CONCERN SUBCONTRACTORS.— 
‘‘(A) IN GENERAL.—For purposes of deter-
mining whether or not a prime contractor has 
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attained the percentage goals specified in para-
graph (6)— 
‘‘(i) if the subcontracting goals pertain 
only to a single contract with the Federal 
agency, the prime contractor may elect to 
receive credit for small business concerns 
performing as first tier subcontractors or 
subcontractors at any tier pursuant to the 
subcontracting plans required under para-
graph (6)(D) in an amount equal to the 
total dollar value of any subcontracts 
awarded to such small business concerns; 
and 
‘‘(ii) if the subcontracting goals per-
tain to more than one contract with one or 
more Federal agencies, or to one contract 
with more than one Federal agency, the 
prime contractor may only receive credit for 
first tier subcontractors that are small busi-
ness concerns. 
‘‘(B) COLLECTION AND REVIEW OF DATA ON 
SUBCONTRACTING PLANS.—The head of each con-
tracting agency shall ensure that— 
‘‘(i) the agency collects and reports 
data on the extent to which contractors of 
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the agency meet the goals and objectives set 
forth in subcontracting plans submitted 
pursuant to this subsection; and 
‘‘(ii) the agency periodically reviews 
data collected and reported pursuant to sub-
paragraph (A) for the purpose of ensuring 
that such contractors comply in good faith 
with the requirements of this subsection and 
subcontracting plans submitted by the con-
tractors pursuant to this subsection. 
‘‘(C) RULE OF CONSTRUCTION.—Nothing in 
this paragraph shall be construed to allow a Fed-
eral agency to establish a goaling requirement 
for a prime contractor eligible to receive credit 
under this paragraph that establishes an amount 
of subcontracts with a subcontractor that is not 
a first tier subcontractor for such prime con-
tractor.’’; and 
(2) by adding at the end the following new para-
graph: 
‘‘(18) DISPUTE PROCESS FOR NON-PAYMENT TO 
SUBCONTRACTORS.— 
‘‘(A) NOTICE TO AGENCY.—With respect to 
a contract with a Federal agency, a subcon-
tractor of a prime contractor on such contract 
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may, if the subcontractor has not received pay-
ment for performance on such contract within 30 
days of the completion of such performance, no-
tify the Office of Small and Disadvantaged Busi-
ness Utilization (hereinafter referred to as 
‘OSDBU’) of the Federal agency and the prime 
contractor of such lack of payment. 
‘‘(B) AGENCY DETERMINATION.— 
‘‘(i) IN GENERAL.—Upon receipt of a 
notice described under subparagraph (A) 
and if such notice is provided to the agency 
within the 15-day period following the end 
the 30-day period described in subpara-
graph (A), the OSDBU shall verify whether 
such lack of payment has occurred and de-
termine whether such lack of payment is 
due to an undue restriction placed on the 
prime contractor by an action of the Fed-
eral agency. 
‘‘(ii) RESPONSE DURING DETERMINA-
TION.—During the period in which the 
OSDBU is making the determination under 
clause (i), the prime contractor may re-
spond to both the subcontractor and the 
OSDBU with relevant verifying documenta-
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tion to either prove payment or allowable 
status of nonpayment. 
‘‘(C) 
CURE
PERIOD.—If 
the 
OSDBU 
verifies that the lack of payment under subpara-
graph (B) is not due to an action of the Federal 
agency, and the prime contractor has not pro-
vided verifying documentation described in sub-
paragraph (B)(ii), the OSDBU shall notify the 
prime contractor and provide the prime con-
tractor with a 15-day period in which the prime 
contractor may make the payment owed to the 
subcontractor. 
‘‘(D) RESULT
OF
NONPAYMENT.—If, after 
notifying the prime contractor under subpara-
graph (C), the OSDBU determines that the 
prime contractor has not fully paid the amount 
owed within the 15-day period described under 
subparagraph (C), the OSDBU shall ensure that 
such failure to pay is reflected in the Contractor 
Performance Assessment Reporting system (or 
any successor system).’’. 
(b) MAINTENANCE OF RECORDS WITH RESPECT TO 
CREDIT
UNDER
A
SUBCONTRACTING
PLAN.—Section 
8(d)(6) of the Small Business Act (15 U.S.C. 637(d)(6)) is 
amended— 
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(1) by redesignating subparagraphs (G) and (H) 
as subparagraphs (H) and (I), respectively (and con-
forming the margins accordingly); and 
(2) by inserting after subparagraph (F) the fol-
lowing new subparagraph: 
‘‘(G) a recitation of the types of records the suc-
cessful offeror or bidder will maintain to demonstrate 
that procedures have been adopted to substantiate the 
credit the successful offeror or bidder will elect to re-
ceive under paragraph (16)(A)(i);’’. 
SEC. 874. INCLUSION OF BEST IN CLASS DESIGNATIONS IN 
ANNUAL 
REPORT 
ON 
SMALL 
BUSINESS 
GOALS. 
Section 15(h) of the Small Business Act (15 U.S.C. 
644(h)) is amended by adding at the end the following new 
paragraph: 
‘‘(4) BEST IN CLASS SMALL BUSINESS PARTICI-
PATION REPORTING.— 
‘‘(A) ADDENDUM.—The Administrator, in 
addition to the requirements under paragraph 
(2), shall include in the report required by such 
paragraph, for each best in class designation— 
‘‘(i) the total amount of spending Gov-
ernmentwide in such designation; 
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‘‘(ii) the number of small business con-
cerns awarded contracts and the dollar 
amount of such contracts awarded within 
each such designation to each of the fol-
lowing— 
‘‘(I) qualified HUBZone small 
business concerns; 
‘‘(II) 
small 
business 
concerns 
owned and controlled by women; 
‘‘(III) small business concerns 
owned and controlled by service-dis-
abled veterans; and 
‘‘(IV) small business concerns 
owned and controlled by socially and 
economically disadvantaged individ-
uals. 
‘‘(B) BEST IN CLASS DEFINED.—The term 
‘best in class’ has the meaning given such term 
by the Director of the Office of Management and 
Budget. 
‘‘(C) EFFECTIVE DATE.—The Administrator 
shall report on the information described by sub-
paragraph (A) beginning on the date that such 
information is available in the Federal Procure-
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ment Data System, the System for Award Man-
agement, or any successor to such systems.’’. 
SEC. 875. SMALL BUSINESS ADMINISTRATION CYBERSECU-
RITY REPORTS. 
Section 10 of the Small Business Act (15 U.S.C. 639) 
is amended by inserting after subsection (a) the following: 
‘‘(b) CYBERSECURITY REPORTS.— 
‘‘(1) ANNUAL REPORT.—Not later than 180 days 
after the date of enactment of this subsection, and 
every year thereafter, the Administrator shall submit 
a report to the appropriate congressional committees 
that includes— 
‘‘(A) an assessment of the information tech-
nology (as defined in section 11101 of title 40, 
United States Code) and cybersecurity infra-
structure of the Administration; 
‘‘(B) a strategy to increase the cybersecurity 
infrastructure of the Administration; 
‘‘(C) a detailed account of any information 
technology equipment or interconnected system 
or subsystem of equipment of the Administration 
that was manufactured by an entity that has its 
principal place of business located in China, 
Iran, Russia, or North Korea; and 
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‘‘(D) an account of any cybersecurity risk 
or incident that occurred at the Administration 
during the 2-year period preceding the date on 
which the report is submitted, and any action 
taken by the Administrator to respond to or re-
mediate any such cybersecurity risk or incident. 
‘‘(2) ADDITIONAL
REPORTS.—If the Adminis-
trator determines that there is a reasonable basis to 
conclude that a cybersecurity risk or incident oc-
curred at the Administration, the Administrator 
shall— 
‘‘(A) not later than 7 days after the date on 
which the Administrator makes that determina-
tion, notify the appropriate congressional com-
mittees of the cybersecurity risk or incident; and 
‘‘(B) not later than 30 days after the date 
on which the Administrator makes a determina-
tion under subparagraph (A)— 
‘‘(i) provide notice to individuals and 
small business concerns affected by the cy-
bersecurity risk or incident; and 
‘‘(ii) submit to the appropriate con-
gressional committees a report, based on in-
formation available to the Administrator as 
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of the date which the Administrator submits 
the report, that includes— 
‘‘(I) a summary of information 
about the cybersecurity risk or inci-
dent, including how the cybersecurity 
risk or incident occurred; and 
‘‘(II) an estimate of the number of 
individuals and small business con-
cerns affected by the cybersecurity risk 
or incident, including an assessment of 
the risk of harm to affected individuals 
and small business concerns. 
‘‘(3) RULE OF CONSTRUCTION.—Nothing in this 
subsection shall be construed to affect the reporting re-
quirements of the Administrator under chapter 35 of 
title 44, United States Code, in particular the re-
quirement to notify the Federal information security 
incident center under section 3554(b)(7)(C)(ii) of such 
title, or any other provision of law. 
‘‘(4) DEFINITIONS.—In this subsection: 
‘‘(A) APPROPRIATE
CONGRESSIONAL
COM-
MITTEES.—The term ‘appropriate congressional 
committees’ means— 
‘‘(i) the Committee on Small Business 
and Entrepreneurship of the Senate; and 
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‘‘(ii) the Committee on Small Business 
of the House of Representatives. 
‘‘(B) CYBERSECURITY
RISK; INCIDENT.— 
The terms ‘cybersecurity risk’ and ‘incident’ have 
the meanings given such terms, respectively, 
under section 2209(a) of the Homeland Security 
Act of 2002.’’. 
SEC. 876. CYBER COUNSELING CERTIFICATION PROGRAM 
FOR LEAD SMALL BUSINESS DEVELOPMENT 
CENTERS. 
Section 21 of the Small Business Act (15 U.S.C. 648) 
is amended by adding at the end the following: 
‘‘(o) CYBER COUNSELING CERTIFICATION PROGRAM 
FOR LEAD SMALL BUSINESS DEVELOPMENT CENTERS.— 
‘‘(1) CERTIFICATION
PROGRAM.—The Adminis-
trator shall establish a cyber counseling certification 
program, or approve a similar existing program, to 
certify employees of lead small business development 
centers to provide cyber planning assistance to small 
business concerns. 
‘‘(2) NUMBER OF CERTIFIED EMPLOYEES.—The 
Administrator shall ensure that each lead small busi-
ness development center has at least 1 employee, and 
not less than 10 percent of the total number of em-
ployees of the lead small business development center, 
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certified in providing cyber planning assistance 
under this subsection. 
‘‘(3) CONSIDERATION OF SMALL BUSINESS DE-
VELOPMENT CENTER CYBER STRATEGY.—In carrying 
out this subsection, the Administrator, to the extent 
practicable, shall consider any cyber strategy methods 
included in the Small Business Development Center 
Cyber Strategy developed under section 1841(a)(3)(B) 
of the National Defense Authorization Act for Fiscal 
Year 2017 (Public Law 114–328; 130 Stat. 2662) and 
any cybersecurity outreach conducted pursuant to sec-
tion 2209(l) of the Homeland Security Act of 2002. 
‘‘(4) REIMBURSEMENT
FOR
CERTIFICATION.— 
Subject to the availability of appropriations, the Ad-
ministrator shall reimburse a lead small business de-
velopment center in an amount not to exceed 
$350,000 in any fiscal year for costs relating to the 
certification of an employee of the lead small business 
development center under the program established 
under paragraph (1). 
‘‘(5) DEFINITIONS.—In this subsection: 
‘‘(A) CYBER
PLANNING
ASSISTANCE.—The 
term ‘cyber planning assistance’ means counsel 
and assistance to improve the cybersecurity in-
frastructure, awareness of cyber threat indica-
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tors, and cyber training programs for employees 
of a small business concern. 
‘‘(B) LEAD SMALL BUSINESS DEVELOPMENT 
CENTER.—The term ‘lead small business develop-
ment center’ means a small business development 
center that has received a grant under this sec-
tion.’’. 
SEC. 877. EXEMPTION OF CERTAIN CONTRACTS FROM THE 
PERIODIC INFLATION ADJUSTMENTS TO THE 
ACQUISITION-RELATED DOLLAR THRESHOLD. 
Subparagraph (B) of section 1908(b)(2) of title 41, 
United States Code, is amended by inserting ‘‘3131 to 
3134,’’ after ‘‘sections’’. 
SEC. 878. IMPROVEMENTS TO CERTAIN DEFENSE INNOVA-
TION PROGRAMS. 
(a) ALIGNMENT OF THE SMALL BUSINESS INNOVATION 
RESEARCH PROGRAM AND SMALL BUSINESS TECHNOLOGY 
TRANSFER PROGRAM OF THE DEPARTMENT OF DEFENSE 
WITH
THE NATIONAL DEFENSE SCIENCE
AND TECH-
NOLOGY STRATEGY.— 
(1) IN GENERAL.—The Secretary of Defense and 
Secretaries of the military departments shall, to the 
extent practicable, align the research topics selected 
for activities conducted under the Small Business In-
novation Research Program and Small Business 
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Technology Transfer Program (as defined under sec-
tion 9 of the Small Business Act (15 U.S.C. 638) with 
the National Defense Science and Technology Strategy 
established under section 218 of the John. S. McCain 
National Defense Authorization Act for Fiscal Year 
2019 (Public Law 115–232; 132 Stat. 1679). 
(2) USE OF NATIONAL DEFENSE SCIENCE AND 
TECHNOLOGY
STRATEGY
TO
DETERMINE
RESEARCH 
TOPICS.—Section 9 of the Small Business Act (15 
U.S.C. 638) is amended— 
(A) in subsection (g)(3)(B), by striking ‘‘, 
in the 1992 report’’ and all that follows through 
‘‘that authority’’ and inserting ‘‘in the National 
Defense Science and Technology Strategy estab-
lished under section 218 of the John. S. McCain 
National Defense Authorization Act for Fiscal 
Year 2019 (Public Law 115–232; 132 Stat. 
1679)’’; and 
(B) in subsection (o)(3)(B), by striking ‘‘, 
in accordance with section 2522 of title 10, 
United States Code’’ and inserting ‘‘in the Na-
tional Defense Science and Technology Strategy 
established under section 218 of the John. S. 
McCain National Defense Authorization Act for 
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Fiscal Year 2019 (Public Law 115–232; 132 
Stat. 1679)’’. 
(b) PILOT PROGRAM
FOR DOMESTIC INVESTMENT 
UNDER THE SBIR PROGRAM.— 
(1) SENSE
OF
CONGRESS.—It is the sense of 
Congress that the Administrator of the Small Busi-
ness Administration should promulgate regulations to 
carry out the requirements under section 9(dd) of the 
Small Business Act (15 U.S.C. 638(dd)) that— 
(A) permit small business concerns that are 
majority-owned by multiple venture capital op-
erating companies, hedge funds, or private eq-
uity firms to participate in the SBIR program 
in accordance with such section; 
(B) provide specific information regarding 
eligibility, participation, and affiliation rules to 
such small business concerns; and 
(C) preserve and maintain the integrity of 
the SBIR program as a program for small busi-
ness concerns in the United States by prohibiting 
large entities or foreign-owned entities from par-
ticipation in the SBIR program. 
(2) DOMESTIC INVESTMENT PILOT PROGRAM.— 
(A) IN GENERAL.—Not later than 1 year 
after the date of the enactment of this Act and 
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notwithstanding the requirements of section 
9(dd) of the Small Business Act (15 U.S.C. 
638(dd)), the Secretary of Defense shall create 
and administer a program to be known as the 
‘‘Domestic Investment Pilot Program’’ under 
which the Secretary and the service acquisition 
executive for each military department may 
make a SBIR award to a small business concern 
that is majority-owned by multiple United 
States-owned venture capital operating compa-
nies, hedge funds, or private equity firms with-
out providing the written determination de-
scribed under paragraph (2) of such section 
9(dd). 
(B) LIMITATION.—The Secretary of Defense 
may award not more than 10 percent of the 
funds allocated for the SBIR program of the De-
partment of Defense under section 9(f) of the 
Small Business Act (15 U.S.C. 638(f)) to small 
business concerns that are owned in majority 
part by multiple venture capital operating com-
panies, hedge funds, or private equity firms 
through competitive, merit-based procedures that 
are open to all eligible small business concerns. 
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(C) EVALUATION
CRITERIA.—In carrying 
out the Domestic Investment Pilot Program, the 
Secretary of Defense may not use investment of 
venture capital or investment from hedge funds 
or private equity firms as a criterion for the 
award of contracts under the SBIR program or 
STTR program. 
(D) ANNUAL REPORTING.—The Secretary of 
Defense shall include as part of each annual re-
port required under section 9(b)(7) of the Small 
Business Act (15 U.S.C. 638(9)(b)(7)) )— 
(i) information on the implementation 
of the Domestic Investment Pilot Program; 
(ii) the number of proposals received 
from small business concerns that are ma-
jority-owned by multiple venture capital 
operating companies, hedge funds, or pri-
vate equity firms for the Domestic Invest-
ment Pilot Program; and 
(iii) the number of awards made to 
such small business concerns. 
(E) TERMINATION.—The Domestic Invest-
ment Pilot Program established under this sub-
section shall terminate on September 30, 2022. 
(3) DEFINITIONS.—In this section: 
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(A) SBIR.—The term ‘‘SBIR’’ has the 
meaning given in section 9(e) of the Small Busi-
ness Act (15 U.S.C. 638(e)). 
(B) SMALL BUSINESS ACT DEFINITIONS.— 
The terms ‘‘small business concern’’, ‘‘venture 
capital operating company’’, ‘‘hedge fund’’, and 
‘‘private equity firm’’ have the meanings given 
those terms, respectively, in section 3 of the 
Small Business Act (15 U.S.C. 632). 
(c) CYBERSECURITY TECHNICAL ASSISTANCE
FOR 
SBIR AND STTR PROGRAMS.— 
(1) IN GENERAL.—The Secretary of Defense may 
enter into an agreement with 1 or more vendors se-
lected under section (9)(q)(2) of the Small Business 
Act (15 U.S.C. 638(q)(2)) to provide small business 
concerns engaged in SBIR or STTR projects with cy-
bersecurity technical assistance , such as access to a 
network of cybersecurity experts and engineers en-
gaged in designing and implementing cybersecurity 
practices. 
(2) AMOUNTS.—In carrying out paragraph (1), 
the Secretary of Defense may provide the amounts de-
scribed under section (9)(q)(3) of such Act (15 U.S.C. 
638(q)(3)) to a recipient that meets the eligibility re-
quirements under the applicable subparagraph, if the 
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recipient requests to seek cybersecurity technical as-
sistance from an individual or entity other than a 
vendor selected as described in paragraph (1). 
(d) PHASE 0 PROOF OF CONCEPT PARTNERSHIP PRO-
GRAM FOR THE DEPARTMENT OF DEFENSE.—Section 9(jj) 
of the Small Business Act (15 U.S.C. 638) is amended— 
(1) in paragraph (1), by striking ‘‘The Director 
of the National Institutes of Health’’ and inserting ‘‘A 
covered agency head’’; 
(2) by striking ‘‘The Director’’ each place it ap-
pears and inserting ‘‘A covered agency head’’; 
(3) by striking ‘‘the Director’’ each place it ap-
pears and inserting ‘‘a covered agency head’’; 
(4) in paragraph (2)— 
(A) by amending subparagraph (A) to read 
as follows: 
‘‘(A) 
the 
term 
‘covered 
agency 
head’ 
means— 
‘‘(i) with respect to the STTR program 
of the National Institutes of Health, the Di-
rector of the National Institutes of Health; 
or 
‘‘(ii) with respect to the STTR pro-
gram of the Department of Defense, the Sec-
retary of Defense;’’; and 
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(B) in subparagraph (C), by striking ‘‘in 
the National Institutes of Health’s STTR pro-
gram’’ and inserting ‘‘in either the STTR pro-
gram of the Department of Defense or the STTR 
program of the National Institutes of Health’’; 
and 
(5) in paragraph (4)(A), by inserting ‘‘partici-
pating in the STTR program administered by such 
agency head’’ after ‘‘a qualifying institution’’. 
(e) MODIFICATION TO THE DEFENSE RESEARCH AND 
DEVELOPMENT RAPID INNOVATION PROGRAM.— 
(1) 
INCREASE
TO
FUNDING.—Section 
2359a(b)(3) of title 10, United States Code, is amend-
ed 
by 
striking 
‘‘$3,000,000’’ 
and 
inserting 
‘‘$6,000,000’’. 
(2) REPORT.—Not later than 180 days after the 
date of the enactment of this Act, the Secretary of De-
fense shall submit to the congressional defense com-
mittees a report on the program established under sec-
tion 2359a(b)(3) of title 10, United States Code, 
(commonly known as the ‘‘Defense Research and De-
velopment Rapid Innovation Program’’), which shall 
include— 
(A) with respect to the two fiscal years pre-
ceding the submission of the report— 
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(i) a description of the total number of 
proposals funded under the program; 
(ii) the percent of funds made available 
under the program for Small Business In-
novation Research Program projects; and 
(iii) a list of Small Business Innova-
tion Research Program projects that re-
ceived funding under the program that were 
included in major defense acquisition pro-
grams (as defined in section 2430 of title 
10, United States Code) and other defense 
acquisition programs that meet critical na-
tional security needs; and 
(B) an assessment on the effectiveness of the 
program in stimulating innovation technologies, 
reducing acquisition or lifecycle costs, addressing 
technical risk, and improving the timeliness and 
thoroughness of test and evaluation outcomes. 
(f) ESTABLISHMENT
OF JOINT RESERVE DETACH-
MENTS AT DEFENSE INNOVATION UNIT.— 
(1) ESTABLISHMENT.—The Secretary of Defense, 
in consultation with the Secretaries of the military 
departments, shall establish not fewer than three joint 
reserve detachments (referred to in this section as 
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‘‘Detachments’’) at locations of the Defense Innova-
tion Unit— 
(A) to support engagement and collabora-
tion with commercial innovation hubs; and 
(B) to accelerate the transition and adop-
tion of commercial technologies for national secu-
rity purposes. 
(2) COMPOSITION.—Each Detachment shall be 
composed of members of the reserve components who 
possess relevant private sector experience in the fields 
of business, acquisition, intelligence, engineering, 
technology transfer, science, mathematics, contracting, 
procurement, logistics, cyberspace security, or such 
other fields as are determined to be relevant by the 
Under Secretary of Defense for Research and Engi-
neering. 
(3) RESPONSIBILITIES.—The Detachments shall 
have the following responsibilities: 
(A) Each Detachment shall provide the De-
partment of Defense with expertise, analysis, al-
ternatives for innovation, and opportunities for 
greater engagement and collaboration between 
the defense innovation ecosystem and commercial 
industry. 
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(B) Each Detachment shall, on an ongoing 
basis— 
(i) recruit, retain, and employ mem-
bers of the reserve components who possess 
relevant private sector experience, as de-
scribed in paragraph (2); 
(ii) partner with the military services, 
the combatant commands, and other De-
partment of Defense organizations to seek 
and rapidly prototype advanced commercial 
solutions while lowering the barrier to entry 
to serve defense requirements; 
(iii) increase awareness of— 
(I) the technology portfolios of the 
Defense Innovation Unit; and 
(II) the technology requirements of 
the Department of Defense as identified 
in the National Defense Science and 
Technology Strategy developed under 
section 218 of the John S. McCain Na-
tional Defense Authorization Act for 
Fiscal Year 2019 (Public Law 115– 
232; 132 Stat. 1679); 
(iv) capitalize on the growing invest-
ment in research and development made by 
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the commercial industry in assessing and 
maturing dual-use technologies; and 
(v) carry out such other activities as 
may be directed by the Under Secretary of 
Defense for Research and Engineering. 
(4) DEADLINE FOR ESTABLISHMENT OF DETACH-
MENTS.—The Secretary of Defense shall ensure that— 
(A) at least one Detachment is established 
on or before October 1, 2020; and 
(B) all three Detachments required under 
subsection (a) are established on or before Octo-
ber 1, 2022. 
(5) IMPLEMENTATION REPORT.— 
(A) IN GENERAL.—Not later than 120 days 
after the date of the enactment of this Act, the 
Under Secretary of Defense for Research and En-
gineering shall submit to the congressional de-
fense committees a report that includes— 
(i) an organizational plan for the De-
tachments; 
(ii) the estimated costs of establishing 
the Detachments; 
(iii) a timeline specifying when each 
Detachment will attain initial operational 
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capability and full operational capability, 
respectively. 
(B) CONSULTATION.—In preparing the re-
port required under subparagraph (A), the 
Under Secretary of Defense for Research and En-
gineering shall consult with the Director of the 
Defense Innovation Unit and the head of each 
military service. 
(g) MODIFICATION
TO DEPARTMENT
OF DEFENSE 
SBIR EXPENDITURES.—Section 9(f) of the Small Business 
Act (15 U.S.C. 638(f)) is amended— 
(1) in paragraph (1)(I), by inserting ‘‘, except as 
provided in paragraph (5)’’ after ‘‘thereafter,’’ and 
inserting ‘‘fiscal years 2017 through 2019; and’’; and 
(2) by adding at the end the following new para-
graph: 
‘‘(5) REQUIRED
EXPENDITURE
AMOUNTS
FOR 
THE DEPARTMENT OF DEFENSE.—With respect to fis-
cal year 2020 and each fiscal year thereafter, para-
graph (1)(I) shall apply to the Department of Defense 
with ‘4.0 percent’ substituted for ‘3.2 percent’.’’. 
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SEC. 879. PILOT PROGRAM FOR DEVELOPMENT OF TECH-
NOLOGY-ENHANCED 
CAPABILITIES 
WITH 
PARTNERSHIP INTERMEDIARIES. 
(a) ESTABLISHMENT.—The Secretary of Defense may 
authorize the Commander of the United States Special Op-
erations Command to use not more than 5 percent of the 
funds required to be expended by the Department of Defense 
under section 9(f)(1) of the Small Business Act (15 U.S.C. 
638(f)(1)) for a pilot program to increase participation by 
small business concerns in the development of technology- 
enhanced capabilities for special operations forces. 
(b) USE OF PARTNERSHIP INTERMEDIARY.— 
(1) AUTHORIZATION.—The Commander of the 
United States Special Operations Command may 
modify an existing agreement with a partnership 
intermediary to assist the Commander in carrying 
out the pilot program under this section, including 
with respect to the award of Small Business Innova-
tion Research Program contracts, Small Business 
Technology Transfer Program contracts, and other 
contracts and agreements to small business concerns. 
(2) USE OF FUNDS.—None of the funds referred 
to in subsection (a) shall be used to pay a partnership 
intermediary for any administrative costs associated 
with the pilot program. 
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(c) REPORT.—Not later than October 1, 2020, and Oc-
tober 1, 2021, the Commander of the United States Special 
Operations Command shall submit to the congressional de-
fense committees, the Committee on Small Business of the 
House of Representatives, and the Committee on Small 
Business and Entrepreneurship of the Senate a report de-
scribing any agreement with a partnership intermediary 
entered into pursuant to this section. The report shall in-
clude, for each such agreement, the amount of funds obli-
gated, an identification of the recipient of such funds, and 
a description of the use of such funds. 
(d) TERMINATION.—The authority to carry out a pilot 
program under this section shall terminate on September 
30, 2021. 
(e) DEFINITIONS.—In this section: 
(1) PARTNERSHIP
INTERMEDIARY.—The term 
‘‘partnership intermediary’’ has the meaning given 
the term in section 23(c) of the Stevenson-Wydler 
Technology Innovation Act of 1980 (15 U.S.C. 
3715(c)). 
(2) SMALL
BUSINESS
CONCERN.—The term 
‘‘small business concern’’ has the meaning given the 
term under section 3 of the Small Business Act (15 
U.S.C. 632). 
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571 
(3) SMALL
BUSINESS
INNOVATION
RESEARCH 
PROGRAM.—The term ‘‘Small Business Innovation 
Research Program’’ has the meaning given the term 
in section 9(e)(4) of the Small Business Act (15 
U.S.C. 638(e)). 
(4) SMALL
BUSINESS
TECHNOLOGY
TRANSFER 
PROGRAM.—The term ‘‘Small Business Technology 
Transfer Program’’ has the meaning given the term 
in section 9(e)(5) of the Small Business Act (15 
U.S.C. 638(e)). 
(5) TECHNOLOGY-ENHANCED
CAPABILITY.—The 
term ‘‘technology-enhanced capability’’ means a prod-
uct, concept, or process that improves the ability of a 
member of the Armed Forces to achieve an assigned 
mission. 
SEC. 880. AUTHORIZED OFFICIAL TO CARRY OUT THE PRO-
CUREMENT TECHNICAL ASSISTANCE COOP-
ERATIVE AGREEMENT PROGRAM. 
(a) AUTHORIZED
OFFICIAL.—Effective October 1, 
2021, section 2411(3) of title 10, United States Code, is 
amended by striking ‘‘Director of Defense Logistics Agency’’ 
and inserting ‘‘Under Secretary of Defense for Acquisition 
and Sustainment’’. 
(b) REPORT AND BRIEFING.—Not later than November 
1, 2020, the Secretary of Defense shall provide to the con-
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gressional defense committees a written report and briefing 
on the activities carried out in preparation for the transi-
tion of responsibilities for carrying out the procurement 
technical assistance cooperative agreement program under 
chapter 142 of title 10, United States Code, from the Direc-
tor of Defense Logistics Agency to the Under Secretary of 
Defense for Acquisition and Sustainment, as required by 
subsection (a). 
(c) ANNUAL BUDGET JUSTIFICATION DOCUMENTS.— 
Not later than February 1, 2022, and each fiscal year there-
after, the Secretary of Defense shall submit to the congres-
sional defense committees a budget justification display that 
includes the procurement technical assistance cooperative 
agreement program under chapter 142 of title 10, United 
States Code, as part of the budget justification for Oper-
ation and Maintenance, Defense-wide for the Office of the 
Secretary of Defense. 
SEC. 881. PERMANENT AUTHORIZATION AND IMPROVE-
MENT OF DEPARTMENT OF DEFENSE MEN-
TOR-PROTEGE PROGRAM. 
(a) PERMANENT AUTHORIZATION.—Section 831 of the 
National Defense Authorization Act for Fiscal Year 1991 
(Public Law 101–510; 10 U.S.C. 2302 note) is amended by 
striking subsection (j). 
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(b) OFFICE OF SMALL BUSINESS PROGRAMS OVER-
SIGHT.—Section 831 of the National Defense Authorization 
Act for Fiscal Year 1991 (Public Law 101–510; 10 U.S.C. 
2302 note) is amended— 
(1) by redesignating subsection (n) as subsection 
(o); and 
(2) by inserting after subsection (m) the fol-
lowing new subsection: 
‘‘(n) ESTABLISHMENT OF PERFORMANCE GOALS AND 
PERIODIC REVIEWS.—The Office of Small Business Pro-
grams of the Department of Defense shall— 
‘‘(1) establish performance goals consistent with 
the stated purpose of the Mentor-Protege Program and 
outcome-based metrics to measure progress in meeting 
those goals; and 
‘‘(2) submit to the congressional defense commit-
tees, not later than February 1, 2020, a report on 
progress made toward implementing these perform-
ance goals and metrics, based on periodic reviews of 
the procedures used to approve mentor-protege agree-
ments.’’. 
(c) MODIFICATION OF DISADVANTAGED SMALL BUSI-
NESS CONCERN DEFINITION.—Subsection (o)(2) of the Na-
tional Defense Authorization Act for Fiscal Year 1991 (Pub-
lic Law 101–510; 10 U.S.C. 2302 note), as redesignated by 
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subsection (b)(1) of this section, is amended by striking ‘‘has 
less than half the size standard corresponding to its pri-
mary North American Industry Classification System 
code’’ and inserting ‘‘is not more than the size standard 
corresponding to its primary North American Industry 
Classification System code’’. 
(d) REMOVAL OF PILOT PROGRAM REFERENCES.— 
Section 831 of the National Defense Authorization Act for 
Fiscal Year 1991 (Public Law 101–510; 10 U.S.C. 2302 
note) is amended— 
(1) in the subsection heading for subsection (a), 
by striking ‘‘PILOT’’; and 
(2) by striking ‘‘pilot’’ each place it appears. 
(e) INDEPENDENT REPORT ON PROGRAM EFFECTIVE-
NESS.— 
(1) IN GENERAL.—The Secretary of Defense shall 
direct the Defense Business Board to submit to the 
congressional defense committees a report evaluating 
the effectiveness of the Mentor-Protege Program estab-
lished under section 831 of the National Defense Au-
thorization Act for Fiscal Year 1991 (Public Law 
101–510; 10 U.S.C. 2302 note), including rec-
ommendations for improving the program in terms of 
performance metrics, forms of assistance, and overall 
program effectiveness not later than March 31, 2022. 
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(2) CONGRESSIONAL DEFENSE COMMITTEES DE-
FINED.—In this subsection, the term ‘‘congressional 
defense committees’’ has the meaning given that term 
in section 101(a)(16) of title 10, United States Code. 
Subtitle G—Other Matters 
SEC. 891. REQUIREMENT TO USE MODELS OF COMMERCIAL 
E-COMMERCE PORTAL PROGRAM. 
(a) IN GENERAL.—Before the award of a final contract 
to a commercial e-commerce portal provider pursuant to 
section 846 of the National Defense Authorization Act for 
Fiscal Year 2018 (Public Law 115–91; 41 U.S.C. 1901 
note), the Administrator of General Services shall establish 
a five-year program to test the three models for commercial 
e-commerce portals identified in section 4.1 of ‘‘Procure-
ment Through Commercial E-Commerce Portals Phase II 
Report: Market Research & Consultation’’ issued by the Ad-
ministrator in April 2019. 
(b) ANALYSIS.—The Administrator shall conduct an 
analysis of the use of the three models described in sub-
section (a) to determine which model is the most effective 
for procurement through commercial e-commerce portals. 
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SEC. 892. REPORT AND DATABASE ON ITEMS MANUFAC-
TURED IN THE UNITED STATES FOR MAJOR 
DEFENSE ACQUISITION PROGRAMS. 
(a) SENSE OF CONGRESS.—It is the sense of Congress 
that any equipment or products purchased for major defense 
acquisition programs (as defined in section 2430 of title 
10, United States Code) should be manufactured in the 
United States substantially all from articles, materials, or 
supplies mined, produced, or manufactured in the United 
States, and that any such equipment or products purchased 
by any entity of the Department of Defense should be Amer-
ican-made, provided that American-made equipment and 
products are of a quality similar to that of competitive of-
fers and are available in a timely manner to meet mission 
requirements. 
(b) IN GENERAL.—Chapter 144 of title 10, United 
States Code, is amended by inserting after section 2436 the 
following new section: 
‘‘§ 2436a. Major defense acquisition programs: report 
and database on items manufactured in 
the United States 
‘‘(a) REPORT.—Beginning not later than one year 
after the date of the enactment of this Act, the Secretary 
of Defense shall submit to the congressional defense commit-
tees an annual report on the percentage of any items pro-
cured in connection with a major defense acquisition pro-
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gram that are manufactured in the United States substan-
tially all from articles, materials, or supplies mined, pro-
duced, or manufactured in the United States. 
‘‘(b) DATABASE.—The Secretary of Defense shall estab-
lish a database for information related to items described 
in the report required under subsection (a) that can be used 
for continuous data analysis to inform acquisition decisions 
relating to major defense acquisition programs.’’. 
(c) CLERICAL AMENDMENT.—The table of section at 
the beginning of such chapter is amended by inserting after 
the item relating to section 2436 the following new item: 
‘‘2436a. Major defense acquisition programs: report and database on items manu-
factured in the United States.’’. 
SEC. 893. REQUIREMENTS RELATING TO SELECTED ACQUI-
SITION REPORTS. 
(a) INAPPLICABILITY OF TERMINATION OF REPORT 
SUBMITTAL TO CONGRESS.— 
(1) IN GENERAL.—Selected Acquisition Reports 
required by section 2432 of title 10, United States 
Code, shall not constitute reports covered by sub-
section (b) of section 1080 of the National Defense Au-
thorization Act for Fiscal Year 2016 (Public Law 
114–92; 129 Stat. 1000; 10 U.S.C. 111 note), and 
their submittal to Congress as required by such sec-
tion 2432 shall not be terminated by operation of sub-
section (a) of such section 1080. 
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(2) CONFORMING AMENDMENT.—Effective on De-
cember 30, 2021, section 1051(x) of the National De-
fense Authorization Act for Fiscal Year 2018 (Public 
Law 115–91; 131 Stat. 1567) is amended by striking 
paragraph (4). 
(b) FORM OF SELECTED ACQUISITION REPORTS.— 
Section 2432 of title 10, United States Code, is amended 
by adding at the end the following new subsection: 
‘‘(i) A report required under this section shall be sub-
mitted in unclassified form without any designation relat-
ing to dissemination control, but may contain a classified 
annex.’’. 
(c) REPORT ON ALTERNATIVE METHODOLOGY.—The 
Secretary of Defense shall include with the budget for fiscal 
year 2021, as submitted to Congress pursuant to section 
1105(a) of title 31, United States Code, a report proposing 
an alternative methodology for providing status reports on 
major defense acquisition programs and other acquisition 
activities, including programs carried out under section 
804 of the National Defense Authorization Act for Fiscal 
Year 2016 (Public Law 114–92; 10 U.S.C. 2302 note), 
where such status reports shall include information on— 
(1) scheduled and completed cybersecurity tests of 
software acquired through a program covered by the 
status report, including assessments on cooperative 
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vulnerability and penetration and adversarial assess-
ments; 
(2) software development metrics, including ini-
tial and most recent estimates of the projected value, 
sizing, schedule, and level of effort for software ac-
quired through a program covered by the status re-
port; and 
(3) quality metrics for software acquired through 
a program covered by the status report. 
(d) GUIDANCE ON CYBERSECURITY TESTS.—With re-
spect to cybersecurity tests included in the alternative meth-
odology report described in subsection (c)(1), the Secretary 
of Defense, in coordination with the Director of Operational 
Test and Evaluation, shall develop policies on the selection 
of cybersecurity tests, methods to consistently describe the 
cybersecurity tests, and methods to associate cybersecurity 
tests with a component part of a system or a version of 
the software tested. 
SEC. 894. CONTRACTOR SCIENCE, TECHNOLOGY, ENGI-
NEERING, AND MATH PROGRAMS. 
(a) IN GENERAL.—Section 862 of National Defense 
Authorization Act for Fiscal Year 2012 (Public Law 112– 
181; 125 Stat. 1521; 10 U.S.C. note prec. 2191) is amend-
ed— 
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(1) in subsection (a), in the matter preceding 
paragraph (1)— 
(A) by striking ‘‘Under Secretary of Defense 
for Acquisition, Technology, and Logistics’’ and 
inserting ‘‘Under Secretary of Defense for Re-
search and Engineering’’; and 
(B) by striking ‘‘ensure that Department of 
Defense contractors’’ and inserting ‘‘encourage 
Department of Defense contractors to’’; and 
(2) by amending subsection (b) to read as fol-
lows: 
‘‘(b) ALLOWABLE COST.—The cost of participating in 
activities described in subsection (a) to a Department of 
Defense contractor shall be deemed to be an allowable cost 
under a contract between the contractor and the Depart-
ment of Defense.’’. 
(b) IMPLEMENTATION.—Not later than 180 days after 
the date of the enactment of this Act, the Secretary of De-
fense shall issue such rules or guidance necessary to imple-
ment the amendments made by this section. 
SEC. 895. EXTENSION OF SUNSET RELATING TO FEDERAL 
DATA CENTER CONSOLIDATION INITIATIVE. 
Subsection (e) of section 834 of the National Defense 
Authorization Act for Fiscal Year 2015 (44 U.S.C. 3601 
note) is amended by striking ‘‘2020’’ and inserting ‘‘2022’’. 
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SEC. 896. REQUIREMENTS RELATING TO CERTAIN RAIL 
ROLLING STOCK PROCUREMENTS AND OPER-
ATIONS. 
(a) LIMITATION ON CERTAIN RAIL ROLLING STOCK 
PROCUREMENTS.—Section 5323 of title 49, United States 
Code, is amended by adding at the end the following: 
‘‘(u) LIMITATION ON CERTAIN RAIL ROLLING STOCK 
PROCUREMENTS.— 
‘‘(1) IN GENERAL.—Except as provided in para-
graph (5), financial assistance made available under 
this chapter shall not be used in awarding a contract 
or subcontract to an entity on or after the date of en-
actment of this subsection for the procurement of rail 
rolling stock for use in public transportation if the 
manufacturer of the rail rolling stock— 
‘‘(A) is incorporated in or has manufac-
turing facilities in the United States; and 
‘‘(B) is owned or controlled by, is a sub-
sidiary of, or is otherwise related legally or fi-
nancially to a corporation based in a country 
that— 
‘‘(i) is identified as a nonmarket econ-
omy country (as defined in section 771(18) 
of the Tariff Act of 1930 (19 U.S.C. 
1677(18))) as of the date of enactment of 
this subsection; 
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‘‘(ii) was identified by the United 
States Trade Representative in the most re-
cent report required by section 182 of the 
Trade Act of 1974 (19 U.S.C. 2242) as a 
priority foreign country under subsection 
(a)(2) of that section; and 
‘‘(iii) is subject to monitoring by the 
Trade Representative under section 306 of 
the Trade Act of 1974 (19 U.S.C. 2416). 
‘‘(2) EXCEPTION.—For purposes of paragraph 
(1), the term ‘otherwise related legally or financially’ 
does not include a minority relationship or invest-
ment. 
‘‘(3) INTERNATIONAL
AGREEMENTS.—This sub-
section shall be applied in a manner consistent with 
the obligations of the United States under inter-
national agreements. 
‘‘(4) 
CERTIFICATION
FOR
RAIL
ROLLING 
STOCK.— 
‘‘(A) IN GENERAL.—Except as provided in 
paragraph (5), as a condition of financial assist-
ance made available in a fiscal year under sec-
tion 5337, a recipient that operates rail fixed 
guideway service shall certify in that fiscal year 
that the recipient will not award any contract or 
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subcontract for the procurement of rail rolling 
stock for use in public transportation with a rail 
rolling stock manufacturer described in para-
graph (1). 
‘‘(B) SEPARATE CERTIFICATION.—The cer-
tification required under this paragraph shall be 
in addition to any certification the Secretary es-
tablishes to ensure compliance with the require-
ments of paragraph (1). 
‘‘(5) EXCEPTION.—This subsection, including the 
certification requirement under paragraph (4), shall 
not apply to the award of a contract or subcontract 
made by a public transportation agency with a rail 
rolling stock manufacturer described in paragraph (1) 
if the manufacturer and the public transportation 
agency have a contract for rail rolling stock that was 
executed before the date of enactment of this sub-
section.’’. 
(b) CYBERSECURITY CERTIFICATION FOR RAIL ROLL-
ING STOCK AND OPERATIONS.—Section 5323 of title 49, 
United States Code, as amended by subsection (a), is 
amended by adding at the end the following: 
‘‘(v) CYBERSECURITY CERTIFICATION FOR RAIL ROLL-
ING STOCK AND OPERATIONS.— 
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‘‘(1) CERTIFICATION.—As a condition of finan-
cial assistance made available under this chapter, a 
recipient that operates a rail fixed guideway public 
transportation system shall certify that the recipient 
has established a process to develop, maintain, and 
execute a written plan for identifying and reducing 
cybersecurity risks. 
‘‘(2) COMPLIANCE.—For the process required 
under paragraph (1), a recipient of assistance under 
this chapter shall— 
‘‘(A) utilize the approach described by the 
voluntary standards and best practices developed 
under section 2(c)(15) of the National Institute 
of Standards and Technology Act (15 U.S.C. 
272(c)(15)), as applicable; 
‘‘(B) identify hardware and software that 
the recipient determines should undergo third- 
party testing and analysis to mitigate cybersecu-
rity risks, such as hardware or software for rail 
rolling stock under proposed procurements; and 
‘‘(C) utilize the approach described in any 
voluntary standards and best practices for rail 
fixed guideway public transportation systems de-
veloped under the authority of the Secretary of 
Homeland Security, as applicable. 
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‘‘(3) LIMITATIONS
ON
STATUTORY
CONSTRUC-
TION.—Nothing in this subsection shall be construed 
to interfere with the authority of— 
‘‘(A) the Secretary of Homeland Security to 
publish or ensure compliance with requirements 
or standards concerning cybersecurity for rail 
fixed guideway public transportation systems; or 
‘‘(B) the Secretary of Transportation under 
section 5329 to address cybersecurity issues as 
those issues relate to the safety of rail fixed 
guideway public transportation systems.’’. 
SEC. 897. PROHIBITION ON CONTRACTING WITH PERSONS 
THAT HAVE BUSINESS OPERATIONS WITH 
THE MADURO REGIME. 
(a) PROHIBITION.—Except as provided under sub-
sections (c), (d), and (e), the Department of Defense may 
not enter into a contract for the procurement of goods or 
services with any person that has business operations with 
an authority of the Government of Venezuela that is not 
recognized as the legitimate Government of Venezuela by the 
United States Government. 
(b) DEFINITIONS.—In this section: 
(1) BUSINESS OPERATIONS.—The term ‘‘business 
operations’’ means engaging in commerce in any 
form, including acquiring, developing, maintaining, 
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owning, selling, possessing, leasing, or operating 
equipment, facilities, personnel, products, services, 
personal property, real property, or any other appa-
ratus of business or commerce. 
(2) GOVERNMENT OF VENEZUELA.—(A) The term 
‘‘Government of Venezuela’’ includes the government 
of any political subdivision of Venezuela, and any 
agency or instrumentality of the Government of Ven-
ezuela. 
(B) For purposes of subparagraph (A), the term 
‘‘agency or instrumentality of the Government of Ven-
ezuela’’ means an agency or instrumentality of a for-
eign state as defined in section 1603(b) of title 28, 
United States Code, with each reference in such sec-
tion to ‘‘a foreign state’’ deemed to be a reference to 
‘‘Venezuela’’. 
(3) PERSON.—The term ‘‘person’’ means— 
(A) a natural person, corporation, com-
pany, business association, partnership, society, 
trust, or any other nongovernmental entity, or-
ganization, or group; 
(B) any governmental entity or instrumen-
tality of a government, including a multilateral 
development institution (as defined in section 
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1701(c)(3) of the International Financial Insti-
tutions Act (22 U.S.C. 262r(c)(3))); and 
(C) any successor, subunit, parent entity, or 
subsidiary of, or any entity under common own-
ership or control with, any entity described in 
subparagraph (A) or (B). 
(c) EXCEPTIONS.— 
(1) IN GENERAL.—The prohibition under sub-
section (a) does not apply to a contract that the Sec-
retary of Defense and the Secretary of State jointly 
determine— 
(A) is necessary— 
(i) for purposes of providing humani-
tarian assistance to the people of Venezuela, 
(ii) for purposes of providing disaster 
relief and other urgent life-saving measures; 
or 
(iii) to carry out noncombatant evacu-
ations; or 
(B) is vital to the national security inter-
ests of the United States. 
(2) NOTIFICATION
REQUIREMENT.—The Sec-
retary of Defense shall notify the congressional defense 
committees, the Committee on Foreign Affairs of the 
House of Representatives, and the Committee on For-
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eign Relations of the Senate of any contract entered 
into on the basis of an exception provided for under 
paragraph (1). 
(d) OFFICE
OF
FOREIGN
ASSETS
CONTROL
LI-
CENSES.—The prohibition in subsection (a) shall not apply 
to a person that has a valid license to operate in Venezuela 
issued by the Office of Foreign Assets Control. 
(e) 
AMERICAN
DIPLOMATIC
MISSION
IN
VEN-
EZUELA.—The prohibition in subsection (a) shall not apply 
to contracts related to the operation and maintenance of 
the United States Government’s consular offices and diplo-
matic posts in Venezuela. 
(f) APPLICABILITY.—This section shall apply with re-
spect to any contract entered into on or after the date of 
the enactment of this section. 
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TITLE IX—DEPARTMENT OF DE-
FENSE 
ORGANIZATION 
AND 
MANAGEMENT 
Subtitle A—Office of the Secretary 
of Defense and Related Matters 
SEC. 901. UPDATE OF AUTHORITIES RELATING TO NUCLEAR 
COMMAND, 
CONTROL, 
AND 
COMMUNICA-
TIONS. 
(a) DUTIES AND POWERS OF UNDER SECRETARY OF 
DEFENSE FOR ACQUISITION AND SUSTAINMENT.—Section 
133b(b) of title 10, United States Code, is amended— 
(1) by redesignating paragraphs (4), (5), (6), 
and (7) as paragraphs (5), (6), (7), and (8), respec-
tively; 
(2) by inserting after paragraph (3) the fol-
lowing new paragraph (4): 
‘‘(4) establishing policies for, and providing 
oversight, guidance, and coordination for, nuclear 
command and control systems;’’; and 
(3) in paragraph (6), as so redesignated, by in-
serting after ‘‘overseeing the modernization of nuclear 
forces’’ the following: ‘‘, including the nuclear com-
mand, control, and communications system,’’. 
(b) CHIEF INFORMATION OFFICER.—Section 142(b)(1) 
of such title is amended— 
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(1) by striking subparagraph (G); and 
(2) by redesignating subparagraphs (H) and (I) 
as subparagraphs (G) and (H), respectively. 
Subtitle B—Other Department of 
Defense Organization and Man-
agement Matters 
SEC. 911. CODIFICATION OF ASSISTANT SECRETARIES FOR 
ENVIRONMENT, 
INSTALLATIONS, 
AND 
EN-
ERGY OF THE ARMY, NAVY, AND AIR FORCE. 
(a) ASSISTANT SECRETARY OF THE ARMY.—Section 
7016(b) of title 10, United States Code, is amended by add-
ing at the end the following new paragraph: 
‘‘(6)(A) One of the Assistant Secretaries shall be the 
Assistant Secretary for Installations, Energy, and Environ-
ment. 
‘‘(B) The principal duty of the Assistant Secretary for 
Installations, Energy, and Environment shall be the overall 
supervision of installation, energy, and environment mat-
ters for the Department of the Army.’’. 
(b) ASSISTANT SECRETARY OF THE NAVY.—Section 
8016(b) of title 10, United States Code, is amended by add-
ing at the end the following new paragraph: 
‘‘(5)(A) One of the Assistant Secretaries shall be the 
Assistant Secretary for Energy, Installations, and Environ-
ment. 
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‘‘(B) The principal duty of the Assistant Secretary for 
Energy, Installations, and Environment shall be the overall 
supervision of installation, energy, and environment mat-
ters for the Department of the Navy.’’. 
(c) ASSISTANT SECRETARY OF THE AIR FORCE.—Sec-
tion 9016(b) of title 10, United States Code, is amended 
by adding at the end the following new paragraph: 
‘‘(5)(A) One of the Assistant Secretaries shall be the 
Assistant Secretary for Installations, Environment, and 
Energy. 
‘‘(B) The principal duty of the Assistant Secretary for 
Installations, Environment, and Energy shall be the overall 
supervision of installation, energy, and environment mat-
ters for the Department of the Air Force.’’. 
SEC. 912. LIMITATION ON AVAILABILITY OF FUNDS FOR 
CONSOLIDATION OF DEFENSE MEDIA ACTIV-
ITY. 
None of the funds authorized to be appropriated by this 
Act or otherwise made available for fiscal year 2020 for the 
Department of Defense may be used to consolidate the De-
fense Media Activity until a period of 180 days has elapsed 
following the date of the enactment of this Act. 
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SEC. 913. MODERNIZATION OF CERTAIN FORMS AND SUR-
VEYS. 
(a) STUDY.—The Secretary of Defense shall conduct a 
study to identify each form and survey of the Department 
of Defense, in use on the date of the enactment of this Act, 
that contains a term or classification that the Secretary de-
termines may be considered racially or ethnically insensi-
tive. 
(b) REPORTS.— 
(1) INTERIM REPORTS.—On the date that is 90 
days after the date of the enactment of this Act, and 
on the date that is 180 days after such date of enact-
ment, the Secretary shall submit to the Committees on 
Armed Services of the House of Representatives and 
the Senate a report on the status of the study con-
ducted under subsection (a). 
(2) FINAL
REPORT.—Not later than one year 
after the date of the enactment of this Act, the Sec-
retary shall submit to the Committees on Armed Serv-
ices of the House of Representatives and the Senate a 
report on the results of the study conducted under 
subsection (a) that includes— 
(A) a list of each form and survey identified 
under such study; and 
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(B) a plan for modernizing the terms and 
classifications contained in such forms and sur-
veys, including legislative recommendations. 
(c) MODERNIZATION REQUIRED.—Not later than 18 
months after the date of the enactment of this Act, the Sec-
retary shall carry out the plan included in the report sub-
mitted under subsection (b). 
Subtitle C—Space Matters 
PART I—UNITED STATES SPACE CORPS 
SEC. 921. ESTABLISHMENT OF UNITED STATES SPACE 
CORPS IN THE DEPARTMENT OF THE AIR 
FORCE. 
(a) ESTABLISHMENT.—Part I of subtitle D of title 10, 
United States Code, is amended by adding at the end the 
following new chapter: 
‘‘CHAPTER 909—THE SPACE CORPS 
‘‘Sec. 
‘‘9091. Establishment of the Space Corps. 
‘‘9093. Commandant of the Space Corps. 
‘‘9095. Officer career field for space. 
‘‘§ 9091. Establishment of the Space Corps 
‘‘(a) ESTABLISHMENT.—There is established a United 
States Space Corps as an armed force within the Depart-
ment of the Air Force. 
‘‘(b) COMPOSITION.—(1) The Space Corps shall be 
composed of the following: 
‘‘(A) The Commandant of the Space Corps. 
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‘‘(B) The space forces and such assets as may be 
organic therein. 
‘‘(2)(A) The space forces specified in paragraph (1)(B) 
shall include the personnel and assets of the Air Force 
transferred to the Space Corps pursuant to the National 
Defense Authorization Act for Fiscal Year 2020. 
‘‘(B) The space forces specified in paragraph (1)(B) 
may not include the personnel or assets of the National Re-
connaissance Office or the National Geospatial-Intelligence 
Agency. Nothing in this section shall affect the authorities, 
duties, or responsibilities of the Director of the National Re-
connaissance Office and the Director of the National 
Geospatial-Intelligence Agency, including with respect to 
the authority of each such Director to— 
‘‘(i) carry out the research, development, test, 
and evaluation and procurement of satellites and user 
satellite terminals of the Defense Agency of the Direc-
tor; 
‘‘(ii) operate such terminals; and 
‘‘(iii) develop requirements to ensure that the 
space programs of the Department of Defense support 
the mission of the Director. 
‘‘(c) FUNCTIONS.—The Space Corps shall be organized, 
trained, and equipped to provide— 
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‘‘(1) freedom of operation for the United States 
in, from, and to space; and 
‘‘(2) prompt and sustained space operations. 
‘‘(d) DUTIES.—It shall be the duty of the Space Corps 
to— 
‘‘(1) protect the interests of the United States in 
space; 
‘‘(2) deter aggression in, from, and to space; and 
‘‘(3) conduct space operations. 
‘‘(e) ACQUISITION SYSTEM.—(1) The Secretary of the 
Air Force may establish a separate, alternative acquisition 
system for defense space acquisitions, including with respect 
to procuring space vehicles, ground segments relating to 
such vehicles, and satellite terminals, pursuant to the plan 
specified in paragraph (2). 
‘‘(2) The Deputy Secretary of Defense shall develop the 
plan, and submit such plan to the congressional defense 
committees, under section 1601(b) of the John S. McCain 
National Defense Authorization Act for Fiscal Year 2019 
(Public Law 115–232; 132 Stat. 2103). 
‘‘(3) The alternative acquisition system under para-
graph (1) shall cover defense space acquisitions except with 
respect to the National Reconnaissance Office and other ele-
ments of the Department of Defense that are elements of 
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the intelligence community (as defined in section 3 of the 
National Security Act of 1947 (50 U.S.C. 3003)). 
‘‘(f) PERSONNEL DEVELOPMENT.—(1) The Secretary 
may ensure the quality of the members of the Space Corps 
pursuant to the plan specified in paragraph (2) and section 
9095 of this title. 
‘‘(2) The Secretary shall develop the plan, and submit 
such plan to the congressional defense committees, under 
section 1601(c) of the John S. McCain National Defense Au-
thorization Act for Fiscal Year 2019 (Public Law 115–232; 
132 Stat. 2103). 
‘‘(3) In carrying out paragraph (1), the Secretary 
shall address the following: 
‘‘(A) Managing the career progression of mem-
bers of the Space Corps and civilian employees of the 
Space Corps throughout the military or civilian ca-
reer of the member or the employee, as the case may 
be, including with respect to— 
‘‘(i) defining career professional milestones; 
‘‘(ii) pay and incentive structures; 
‘‘(iii) the management and oversight of the 
Space Corps; 
‘‘(iv) training relating to planning and exe-
cuting warfighting missions and operations in 
space; 
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‘‘(v) conducting periodic Space Corps-wide 
professional assessments to determine how the 
Space Corps is developing as a group; and 
‘‘(vi) establishing a centralized method to 
control personnel assignments and distribution. 
‘‘(B) The identification of future space-related 
career fields that the Secretary determines appro-
priate, including a space acquisition career field. 
‘‘(C) The identification of any overlap that exists 
among operations and acquisitions career fields to de-
termine opportunities for cross-functional career op-
portunities. 
‘‘§ 9093. Commandant of the Space Corps 
‘‘(a) APPOINTMENT.—(1) There is a Commandant of 
the Space Corps, appointed by the President, by and with 
the advice and consent of the Senate, from the general offi-
cers of the Air Force. The Commandant serves at the pleas-
ure of the President. 
‘‘(2) The Commandant shall be appointed for a term 
of four years. In time of war or during a national emer-
gency declared by Congress, the Commandant may be re-
appointed for a term of not more than four years. 
‘‘(b) GRADE.—The Commandant, while so serving, has 
the grade of general without vacating the permanent grade 
of the officer. 
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‘‘(c) RELATIONSHIP TO THE SECRETARY OF THE AIR 
FORCE.—Except as otherwise prescribed by law and subject 
to section 9013(f) of this title, the Commandant performs 
the duties of such position under the authority, direction, 
and control of the Secretary of the Air Force and is directly 
responsible to the Secretary. 
‘‘(d) DUTIES.—Subject to the authority, direction, and 
control of the Secretary of the Air Force, the Commandant 
shall— 
‘‘(1) exercise supervision, consistent with the au-
thority assigned to commanders of unified or specified 
combatant commands under chapter 6 of this title, 
over such of the members and organizations of the 
Space Corps as the Secretary determines; and 
‘‘(2) perform such other military duties, not oth-
erwise assigned by law, as are assigned to the Com-
mandant by the President, the Secretary of Defense, 
or the Secretary of the Air Force. 
‘‘(e) JOINT CHIEFS OF STAFF.—(1) The Commandant 
shall also perform the duties prescribed for the Com-
mandant as a member of the Joint Chiefs of Staff under 
section 151 of this title. 
‘‘(2) To the extent that such action does not impair 
the independence of the Commandant in the performance 
of the duties of the Commandant as a member of the Joint 
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Chiefs of Staff, the Commandant shall inform the Secretary 
of the Air Force regarding military advice rendered by 
members of the Joint Chiefs of Staff on matters affecting 
the Department of the Air Force. 
‘‘(3) Subject to the authority, direction, and control 
of the Secretary of Defense, the Commandant shall keep the 
Secretary of the Air Force fully informed of significant 
military operations affecting the duties and responsibilities 
of the Secretary.’’. 
(d) CONFORMING AMENDMENTS.— 
(1) JOINT CHIEFS OF STAFF.— 
(A) MEMBERSHIP.—Section 151(a) of title 
10, United States Code, is amended— 
(i) by redesignating paragraph (7) as 
paragraph (8); and 
(ii) by inserting after paragraph (6) 
the following new paragraph: 
‘‘(7) The Commandant of the Space Corps.’’. 
(B) APPOINTMENT.—Section 152(b)(1)(B) 
of such title is amended by striking ‘‘or the Com-
mandant of the Marine Corps’’ and inserting 
‘‘the Commandant of the Marine Corps, or the 
Commandant of the Space Corps’’. 
(2) OFFICER
CAREERS.—Chapter 907 of such 
title is amended as follows: 
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(A) In section 9084, by striking ‘‘officers in 
the Air Force’’ and inserting ‘‘officers in the 
Space Corps’’. 
(B) By transferring section 9084, as 
amended by subparagraph (A), to chapter 909 
and redesignating such section as section 9095. 
(C) In the table of sections, by striking the 
item relating to section 9084. 
(3) SECRETARY
OF
THE
AIR
FORCE.—Section 
9013 of such title is amended— 
(A) in subsection (f), by inserting ‘‘and 
Space Corps’’ after ‘‘Officers of the Air Force’’; 
and 
(B) in subsection (g)(1), by inserting ‘‘and 
Space Corps’’ after ‘‘members of the Air Force’’. 
(4) DEFINITIONS.—Section 101 of such title is 
amended— 
(A) in subsection (a)— 
(i) in paragraph (4), by inserting 
‘‘Space Corps,’’ after ‘‘Marine Corps,’’; and 
(ii) in paragraph (9)(C), by inserting 
‘‘and the Space Corps’’ after ‘‘concerning 
the Air Force’’; and 
(B) in subsection (b)— 
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(i) in paragraph (4), by striking ‘‘or 
Marine Corps’’ and inserting ‘‘Marine 
Corps, or Space Corps’’; and 
(ii) in paragraph (13), by striking ‘‘or 
Marine Corps’’ and inserting ‘‘Marine 
Corps, or Space Corps’’. 
(e) CLERICAL AMENDMENT.—The table of chapters for 
part I of subtitle D of title 10, United States Code, is 
amended by adding at the end the following new item: 
‘‘909. The Space Corps’’. 
SEC. 922. TRANSFER OF PERSONNEL, FUNCTIONS, AND AS-
SETS TO THE SPACE CORPS. 
(a) TRANSFERS.— 
(1) TRANSFER OF MILITARY PERSONNEL.— 
(A) IN GENERAL.—The Secretary of Defense 
shall, during the transition period, transfer all 
covered military personnel to the Space Corps. 
(B) RETENTION IN GRADE AND STATUS.— 
Covered military personnel transferred to the 
Space Corps pursuant to subparagraph (A) shall 
retain the grade and date of obtaining such 
grade that the individual person had before the 
date of the transfer unless otherwise altered or 
terminated in accordance with law. 
(2) TRANSFER OF FUNCTIONS.—Except as other-
wise directed by the Secretary of Defense, all func-
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tions, assets, and obligations of the space elements of 
the Air Force (including all property, records, instal-
lations, activities, facilities, agencies, and projects of 
such elements) shall be transferred to the Space Corps. 
(b) CONFORMING REPEAL.— 
(1) IN
GENERAL.—Chapter 135 of title 10, 
United States Code, is amended by striking section 
2279c. 
(2) CLERICAL AMENDMENT.—The table of sec-
tions at the beginning of such chapter is amended by 
striking the item relating to section 2279c. 
(3) EFFECTIVE DATE.—The amendments made 
by paragraphs (1) and (2) shall take effect on the date 
on which the transition period terminates, as deter-
mined by the Secretary of Defense in accordance with 
subsection (c), which date shall be not later than De-
cember 30, 2023. 
(c) NOTICE TO CONGRESS.—Not later than 30 days be-
fore the date on which the transition period terminates, the 
Secretary of Defense shall submit to the congressional de-
fense committees a certification that identifies the date on 
which transition period will terminate. 
(d) DEFINITIONS.—In this section: 
(1) The term ‘‘covered military personnel’’ 
means commissioned officers and enlisted members of 
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the space elements of the Air Force who are assigned 
to such elements as of the date on which such officers 
and members are transferred under subsection (a)(1). 
(2) The term ‘‘transition period’’ means a period 
prescribed by the Secretary of Defense that— 
(A) begins on January 1, 2021; and 
(B) ends not later than December 30, 2023. 
SEC. 923. REPORTS ON SPACE CORPS. 
(a) REPORT ON STRUCTURE OF SPACE CORPS.— 
(1) IN GENERAL.—The Secretary of Defense shall 
submit to the congressional defense committees a re-
port that includes a detailed plan for the organiza-
tional structure of the Space Corps. 
(2) ELEMENTS.—The report required under 
paragraph (1) shall include— 
(A) a detailed description of the structure 
and organizational elements required for the 
Space Corps to perform its mission; 
(B) a detailed description of the organiza-
tion and staff required to support the Com-
mandant of the Space Corps; 
(C) a detailed explanation of how establish-
ment of the Space Corps is expected to affect the 
composition and function of the space elements of 
the Armed Forces; 
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(D) a description of how the Space Corps 
will be organized, trained, and equipped; 
(E) a description of how the Space Corps 
will exercise acquisition authorities; 
(F) a description of how the Space Corps 
will coordinate with the United States Space 
Command, the Space Development Agency, and 
other space elements of the Armed Forces; and 
(G) any other matters determined to be ap-
propriate by the Secretary. 
(b) REPORT ON MILITARY PERSONNEL.— 
(1) IN GENERAL.—The Secretary of Defense shall 
submit to the congressional defense committees a re-
port on the military personnel requirements of the 
Space Corps. 
(2) ELEMENTS.—The report required under 
paragraph (1) shall include— 
(A) a detailed plan setting forth— 
(i) the proposed military personnel 
composition and structure of the Space 
Corps; and 
(ii) plans for the transfer or reassign-
ment of military personnel from the space 
elements of the Armed Forces to the Space 
Corps; 
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(B) the number of officer and enlisted per-
sonnel to be transferred or reassigned to the 
Space Corps by functional area; 
(C) a detailed description of the billet re-
quirements for the Space Corps, including the 
staff organizational and rank structure; and 
(D) the number of additional officer and en-
listed billets that will be required for the Space 
Corps and a description of such billets. 
(c) REPORT ON CIVILIAN PERSONNEL.— 
(1) IN GENERAL.—The Secretary of Defense shall 
submit to the congressional defense committees a re-
port on the civilian personnel requirements of the 
Space Corps. 
(2) ELEMENTS.—The report required under 
paragraph (1) shall include— 
(A) an assessment of the projected size of the 
civilian workforce of the Space Corps in fiscal 
year 2021 and in each fiscal year covered by the 
most recent future-years defense program sub-
mitted to Congress under section 221 of title 10, 
United States Code; 
(B) a detailed explanation of any projected 
changes to the size of the civilian workforce of the 
Space Corps from year-to-year; and 
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(C) a detailed plan for the transfer of civil-
ian personnel from the space elements of the 
Armed Forces to the Space Corps. 
(d) REPORT ON TRANSFER OF FUNCTIONS AND AS-
SETS.— 
(1) IN GENERAL.—The Secretary of Defense shall 
submit to the congressional defense committees a re-
port that includes a detailed plan for the transfer of 
the functions, assets, and obligations of the space ele-
ments of the Armed Forces (including any property, 
records, installations, activities, facilities, agencies, 
and projects of such elements) to the Space Corps in 
accordance with section 922. 
(2) ELEMENTS.—The report required under 
paragraph (1) shall include— 
(A) a detailed list of the functions and as-
sets to be transferred; 
(B) a justification for each transfer pro-
posed to be made under subparagraph (A); 
(C) the location and value of each item pro-
posed to be transferred under subparagraph (A); 
and 
(D) the date on which each item is expected 
to be transferred. 
(e) REPORT ON FUNDING REQUIREMENTS.— 
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(1) IN GENERAL.—The Secretary of Defense shall 
submit to the congressional defense committees a re-
port on the funding requirements for the Space Corps. 
(2) ELEMENTS.—The report required under 
paragraph (1) shall include a detailed estimate of the 
funding that will be required to establish the Space 
Corps and to conduct the activities and operations of 
the Corps, including estimated expenditures and pro-
posed appropriations for each of fiscal years 2021 
through 2025 as follows: 
(A) With respect to procurement accounts— 
(i) amounts displayed by account, 
budget activity, line number, line item, and 
line item title; and 
(ii) a description of the requirements 
for each such amount specific to the Space 
Corps. 
(B) With respect to research, development, 
test, and evaluation accounts— 
(i) amounts displayed by account, 
budget activity, line number, program ele-
ment, and program element title; and 
(ii) a description of the requirements 
for each such amount specific to the Space 
Corps. 
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(C) With respect to operation and mainte-
nance accounts— 
(i) amounts displayed by account title, 
budget activity title, line number, and sub- 
activity group title; and 
(ii) a description of how such amounts 
will specifically be used. 
(D) With respect to military personnel ac-
counts— 
(i) amounts displayed by account, 
budget activity, budget sub-activity, and 
budget sub-activity title; and 
(ii) a description of the requirements 
for each such amount specific to the Space 
Corps. 
(E) With respect to each project under mili-
tary construction accounts (including with re-
spect to unspecified minor military construction 
and amounts for planning and design), the coun-
try, location, project title, and project amount by 
fiscal year. 
(F) With respect to any expenditures and 
proposed appropriations not included the mate-
rials 
submitted 
under 
subparagraphs 
(A) 
through (E), an explanation with a level of de-
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tail equivalent to or greater than the level of de-
tail provided in the future-years defense program 
submitted to Congress under section 221 of title 
10, United States Code. 
(3) FORM OF REPORT.—The report required by 
paragraph (1) shall be submitted in unclassified form, 
but may include a classified annex. 
(f) DEADLINE FOR SUBMITTAL.—Each of the reports 
required under subsections (a) through (e) shall be sub-
mitted to the congressional defense committees not later 
than February 1, 2020. 
SEC. 924. SPACE NATIONAL GUARD. 
The Secretary of Defense may not transfer any per-
sonnel or resources from any reserve components, including 
the National Guard, to the Space Corps established by sec-
tion 921 until the date on which a Space National Guard 
of the United States has been established by law. 
SEC. 925. EFFECTS ON MILITARY INSTALLATIONS. 
Nothing in this part, or the amendments made by this 
part, shall be construed to authorize or require the reloca-
tion of any facility, infrastructure, or military installation 
of the Air Force. 
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PART II—OTHER SPACE MATTERS 
SEC. 931. UNITED STATES SPACE COMMAND. 
(a) RESTORATION OF GENERAL AUTHORITY FOR ES-
TABLISHMENT OF UNIFIED COMMAND.— 
(1) IN
GENERAL.—Section 169 of title 10, 
United States Code, is repealed. 
(2) CLERICAL AMENDMENT.—The table of sec-
tions at the beginning of chapter 6 of title 10, United 
States Code, is amended by striking the item relating 
to section 169. 
(b) CONFORMING AMENDMENT.—Section 2273a(d)(3) 
of title 10, United States Code, is amended by striking ‘‘The 
Commander of the United States Strategic Command, act-
ing through the United States Space Command,’’ and in-
serting ‘‘The Commander of the United States Space Com-
mand, or, if no such command exists, the Commander of 
the United States Strategic Command,’’. 
TITLE X—GENERAL PROVISIONS 
Subtitle A—Financial Matters 
SEC. 1001. GENERAL TRANSFER AUTHORITY. 
(a) AUTHORITY TO TRANSFER AUTHORIZATIONS.— 
(1) AUTHORITY.—Upon determination by the 
Secretary of Defense that such action is necessary in 
the national interest, the Secretary may transfer 
amounts of authorizations made available to the De-
partment of Defense in this division for fiscal year 
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2019 between any such authorizations for that fiscal 
year (or any subdivisions thereof). Amounts of au-
thorizations so transferred shall be merged with and 
be available for the same purposes as the authoriza-
tion to which transferred. 
(2) LIMITATION.—Except as provided in para-
graph (3), the total amount of authorizations that the 
Secretary may transfer under the authority of this 
section may not exceed $1,000,000,000. 
(3) EXCEPTION FOR TRANSFERS BETWEEN MILI-
TARY
PERSONNEL
AUTHORIZATIONS.—A transfer of 
funds between military personnel authorizations 
under title IV shall not be counted toward the dollar 
limitation in paragraph (2). 
(b) LIMITATIONS.—The authority provided by sub-
section (a) to transfer authorizations— 
(1) may only be used to provide authority for 
items that have a higher priority than the items from 
which authority is transferred; and 
(2) may not be used to provide authority for an 
item that has been denied authorization by Congress. 
(c) ADDITIONAL LIMITATION
ON TRANSFERS
FOR 
DRUG INTERDICTION AND COUNTER DRUG ACTIVITIES.— 
The authority provided by subsection (a) may not be used 
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to transfer any amount to Drug Interdiction and Counter 
Drug Activities, Defense-wide. 
(d) EFFECT ON AUTHORIZATION AMOUNTS.—A trans-
fer made from one account to another under the authority 
of this section shall be deemed to increase the amount au-
thorized for the account to which the amount is transferred 
by an amount equal to the amount transferred. 
(e) NOTICE
TO
CONGRESS.—The Secretary shall 
promptly notify Congress of each transfer made under sub-
section (a). 
(f) CERTIFICATION REQUIREMENT.—The authority to 
transfer any authorization under this section may not be 
used until the Secretary of Defense and the head of each 
entity affected by such transfer submits to the congressional 
defense committees certification in writing that— 
(1) the amount transferred will be used for high-
er priority items, based on unforeseen military re-
quirements, than the items from which authority is 
transferred; and 
(2) the amount transferred will not be used for 
any item for which funds have been denied authoriza-
tion by Congress. 
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SEC. 1002. ADDITIONAL REQUIREMENTS FOR ANNUAL RE-
PORT AND BRIEFING ON FINANCIAL IM-
PROVEMENT AND AUDIT REMEDIATION PLAN. 
Section 240b(b) of title 10, United States Code, is 
amended— 
(1) in paragraph (1)(B)(iv), by adding at the 
end the following new subclause: 
‘‘(IV) A current accounting of the 
defense business systems of the Depart-
ment of Defense that will be intro-
duced, replaced, updated, modified, or 
retired in connection with the audit of 
the full financial statements of the De-
partment, including a comprehensive 
roadmap that displays— 
‘‘(aa) in-service, retirement, 
and other pertinent dates for af-
fected defense business systems; 
‘‘(bb) current cost-to-complete 
estimates for each affected system; 
and 
‘‘(cc) dependencies both be-
tween the various defense business 
systems and between the introduc-
tion, replacement, update, modi-
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fication, and retirement of such 
systems.’’; 
(2) in paragraph (2), by adding at the end the 
following new sentence: ‘‘Such briefing shall also in-
clude a description of any updates to the defense busi-
ness systems roadmap referred to in paragraph 
(1)(B)(iv)(IV).’’; and 
(3) by amending paragraph (3) to read as fol-
lows: 
‘‘(3) DEFINITIONS.—In this subsection: 
‘‘(A) The term ‘critical capabilities’ means 
the critical capabilities described in the Depart-
ment of Defense report titled ‘Financial Im-
provement and Audit Readiness (FIAR) Plan 
Status Report’ and dated May 2016. 
‘‘(B) The term ‘defense business system’ has 
the meaning given such term in section 
2222(i)(1)(A) of this title.’’. 
SEC. 1003. FINANCIAL IMPROVEMENT AND AUDIT REMEDI-
ATION PLAN. 
(a) ELEMENTS
OF
ANNUAL
REPORT.—Subsection 
(b)(1)(B) of section 240b of title 10, United States Code, 
is amended— 
(1) in clause (vii)— 
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(A) by striking ‘‘or if less than 50 percent 
of the audit remediation services’’; and 
(B) by striking ‘‘and audit remediation ac-
tivities’’; and 
(2) in clause (viii), by striking ‘‘or if less than 
25 percent of the audit remediation services’’. 
(b) SEMIANNUAL BRIEFINGS.—Subsection (b)(2) of 
such section is amended by striking ‘‘or audit remediation’’. 
(c) AUDIT REMEDIATION SERVICES.—Subsection (b) of 
such section is further amended— 
(1) in paragraph (1)(B), by adding at the end 
the following new clauses: 
‘‘(ix) If less than 50 percent of the 
audit remediation services under contract, 
as described in the briefing required under 
paragraph (2)(B), are being performed by 
individual professionals meeting the quali-
fications described in suhsection (c), a de-
tailed description of the risks associated 
with the risks of the acquisition strategy of 
the Department with respect to conducting 
audit remediation activities and an expla-
nation of how the strategy complies with the 
policies expressed by Congress. 
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‘‘(x) If less than 25 percent of the audit 
remediation services under contract, as de-
scribed in the briefing required under para-
graph (2)(B), are being performed by indi-
vidual professionals meeting the qualifica-
tions described in subsection (c), a written 
certification that the staffing ratio complies 
with commercial best practices and presents 
no increased risk of delay in the Depart-
ment’s ability to achieve a clean audit opin-
ion.’’; and 
(2) in paragraph (2)— 
(A) by striking ‘‘Not later’’ and inserting 
‘‘(A) Not later’’; and 
(B) by adding at the end the following new 
subparagraph: 
‘‘(B) Not later than January 31 and June 30 
each year, the Under Secretary of Defense (Comp-
troller) and the comptrollers of the military depart-
ments shall provide a briefing to the congressional de-
fense committees on the status of the corrective action 
plan. Such briefing shall include both the absolute 
number and percentage of personnel performing the 
amount of audit remediation services being performed 
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