H. R. 1119—218
(A) in subsection (a), by striking out ‘‘2403,’’;
(B) by striking out subsection (c); and
(C) by redesignating subsection (d) as subsection (c).
SEC. 848. REQUIREMENTS RELATING TO MICRO-PURCHASES.
(a) REQUIREMENT.—(1) Not later than October 1, 1998, at least
60 percent of all eligible purchases made by the Department of
Defense for an amount less than the micro-purchase threshold
shall be made through streamlined micro-purchase procedures.
(2) Not later than October 1, 2000, at least 90 percent of
all eligible purchases made by the Department of Defense for an
amount less than the micro-purchase threshold shall be made
through streamlined micro-purchase procedures.
(b) ELIGIBLE PURCHASES.—The Secretary of Defense shall estab-
lish which purchases are eligible for purposes of subsection (a).
In establishing which purchases are eligible, the Secretary may
exclude those categories of purchases determined not to be appro-
priate or practicable for streamlined micro-purchase procedures.
(c) PLAN.—Not later than March 1, 1998, the Secretary of
Defense shall provide to the Committee on Armed Services of the
Senate and the Committee on National Security of the House of
Representatives a plan to implement this section.
(d) REPORT.—Not later than March 1 in each of the years
1999, 2000, and 2001, the Secretary of Defense shall submit to
the congressional defense committees a report on the implementa-
tion of this section. Each report shall include—
(A) the total dollar amount of all Department of Defense
purchases for an amount less than the micro-purchase threshold
in the fiscal year preceding the year in which the report is
submitted;
(B) the total dollar amount of such purchases that were
considered to be eligible purchases;
(C) the total amount of such eligible purchases that were
made through a streamlined micro-purchase method; and
(D) a description of the categories of purchases excluded
from the definition of eligible purchases established under sub-
section (b).
(e) DEFINITIONS.—In this section:
(1) The term ‘‘micro-purchase threshold’’ has the meaning
provided in section 32 of the Office of Federal Procurement
Policy Act (41 U.S.C. 428).
(2) The term ‘‘streamlined micro-purchase procedures’’
means procedures providing for the use of the Government-
wide commercial purchase card or any other method for carry-
ing out micro-purchases that the Secretary of Defense pre-
scribes in the regulations implementing this subsection.
SEC. 849. PROMOTION RATE FOR OFFICERS IN AN ACQUISITION
CORPS.
(a) REVIEW OF ACQUISITION CORPS PROMOTION SELECTIONS.—
Upon the approval of the President or his designee of the report
of a selection board convened under section 611(a) of title 10,
United States Code, which considered members of an Acquisition
Corps of a military department for promotion to a grade above
O–4, the Secretary of the military department shall submit a copy
of the report to the Under Secretary of Defense for Acquisition
and Technology for review.
H. R. 1119—219
(b) REPORTING REQUIREMENT.—Not later than January 31 of
each year, the Under Secretary of Defense for Acquisition and
Technology shall submit to the Committee on Armed Services of
the Senate and the Committee on National Security of the House
of Representatives a report containing the Under Secretary’s assess-
ment of the extent to which each military department is complying
with the requirement set forth in section 1731(b) of title 10, United
States Code.
(c) TERMINATION OF REQUIREMENTS.—This section shall cease
to be effective on October 1, 2000.
SEC. 850. USE OF ELECTRONIC COMMERCE IN FEDERAL PROCURE-
MENT.
(a) POLICY.—Section 30 of the Office of Federal Procurement
Policy Act (41 U.S.C. 426) is amended to read as follows:
‘‘SEC. 30. USE OF ELECTRONIC COMMERCE IN FEDERAL PROCURE-
MENT.
‘‘(a) IN GENERAL.—The head of each executive agency, after
consulting with the Administrator, shall establish, maintain, and
use, to the maximum extent that is practicable and cost-effective,
procedures and processes that employ electronic commerce in the
conduct and administration of its procurement system.
‘‘(b) APPLICABLE STANDARDS.—In conducting electronic com-
merce, the head of an agency shall apply nationally and internation-
ally recognized standards that broaden interoperability and ease
the electronic interchange of information.
‘‘(c) AGENCY PROCEDURES.—The head of each executive agency
shall ensure that systems, technologies, procedures, and processes
established pursuant to this section—
‘‘(1) are implemented with uniformity throughout the
agency, to the extent practicable;
‘‘(2) are implemented only after granting due consideration
to the use or partial use, as appropriate, of existing electronic
commerce and electronic data interchange systems and infra-
structures such the Federal acquisition computer network
architecture known as FACNET;
‘‘(3) facilitate access to Federal Government procurement
opportunities, including opportunities for small business con-
cerns, socially and economically disadvantaged small business
concerns, and business concerns owned predominantly by
women; and
‘‘(4) ensure that any notice of agency requirements or
agency solicitation for contract opportunities is provided in
a form that allows convenient and universal user access through
a single, Government-wide point of entry.
‘‘(d) IMPLEMENTATION.—The Administrator shall, in carrying
out the requirements of this section—
‘‘(1) issue policies to promote, to the maximum extent prac-
ticable, uniform implementation of this section by executive
agencies, with due regard for differences in program require-
ments among agencies that may require departures from uni-
form procedures and processes in appropriate cases, when war-
ranted because of the agency mission;
‘‘(2) ensure that the head of each executive agency complies
with the requirements of subsection (c) with respect to the
agency systems, technologies, procedures, and processes estab-
lished pursuant to this section; and
H. R. 1119—220
‘‘(3) consult with the heads of appropriate Federal agencies
with applicable technical and functional expertise, including
the Office of Information and Regulatory Affairs, the National
Institute of Standards and Technology, the General Services
Administration, and the Department of Defense.
‘‘(e) REPORT.—Not later than March 1, 1998, and every year
afterward through 2003, the Administrator shall submit to Congress
a report setting forth in detail the progress made in implementing
the requirements of this section. The report shall include the
following:
‘‘(1) A strategic plan for the implementation of a Govern-
ment-wide electronic commerce capability.
‘‘(2) An agency-by-agency summary of implementation of
the requirements of subsection (c), including timetables, as
appropriate, addressing when individual agencies will come
into full compliance.
‘‘(3) A specific assessment of compliance with the require-
ment in subsection (c) to provide universal public access
through a single, Government-wide point of entry.
‘‘(4) Beginning with the report submitted on March 1, 1999,
an agency-by-agency summary of the volume and dollar value
of transactions that were conducted using electronic commerce
methods during the previous calendar year.
‘‘(5) A discussion of possible incremental changes to the
electronic commerce capability referred to in subsection (c)(4)
to increase the level of government contract information avail-
able to the private sector, including an assessment of the advis-
ability of including contract award information in the electronic
commerce functional standard.
‘‘(f) ELECTRONIC COMMERCE DEFINED.—For the purposes of this
section, the term ‘electronic commerce’ means electronic techniques
for accomplishing business transactions, including electronic mail
or messaging, World Wide Web technology, electronic bulletin
boards, purchase cards, electronic funds transfers, and electronic
data interchange.’’.
(b) REPEAL
OF
REQUIREMENTS
FOR
IMPLEMENTATION
OF
FACNET CAPABILITY.—Section 30A of the Office of Federal Procure-
ment Policy Act (41 U.S.C. 426a) is repealed.
(c) REPEAL OF REQUIREMENT FOR GAO REPORT.—Section 9004
of the Federal Acquisition Streamlining Act of 1994 (41 U.S.C.
426a note) is repealed.
(d) REPEAL OF CONDITION FOR USE OF SIMPLIFIED ACQUISITION
PROCEDURES.—Section 31 of the Office of Federal Procurement
Policy Act (41 U.S.C. 427) is amended—
(1) by striking out subsection (e); and
(2) by redesignating subsections (f) and (g) as subsections
(e) and (f), respectively.
(e) AMENDMENTS TO PROCUREMENT NOTICE REQUIREMENTS.—
(1) Section 8(g)(1) of the Small Business Act (15 U.S.C. 637(g)(1))
is amended—
(A) by striking out subparagraphs (A) and (B);
(B) by redesignating subparagraphs (C), (D), (E), (F), (G),
and (H) as subparagraphs (B), (C), (D), (E), (F), and (G), respec-
tively; and
(C) by inserting before subparagraph (B), as so redesig-
nated, the following new subparagraph (A):
H. R. 1119—221
‘‘(A) the proposed procurement is for an amount not greater
than the simplified acquisition threshold and is to be conducted
by—
‘‘(i) using widespread electronic public notice of the
solicitation in a form that allows convenient and universal
user access through a single, Government-wide point of
entry; and
‘‘(ii) permitting the public to respond to the solicitation
electronically.’’.
(2) Section 18(c)(1) of the Office of Federal Procurement Policy
Act (41 U.S.C. 416(c)(1)) is amended—
(A) by striking out subparagraphs (A) and (B);
(B) by redesignating subparagraphs (C), (D), (E), (F), (G),
and (H) as subparagraphs (B), (C), (D), (E), (F), and (G), respec-
tively; and
(C) by inserting before subparagraph (B), as so redesig-
nated, the following new subparagraph (A):
‘‘(A) the proposed procurement is for an amount not greater
than the simplified acquisition threshold and is to be conducted
by—
‘‘(i) using widespread electronic public notice of the
solicitation in a form that allows convenient and universal
user access through a single, Government-wide point of
entry; and
‘‘(ii) permitting the public to respond to the solicitation
electronically.’’.
(3) The amendments made by paragraphs (1) and (2) shall
be implemented in a manner consistent with any applicable inter-
national agreements.
(f) CONFORMING
AND TECHNICAL AMENDMENTS.—(1) Section
5061 of the Federal Acquisition Streamlining Act of 1994 (41 U.S.C.
413 note) is amended—
(A) in subsection (c)(4)—
(i) by striking out ‘‘the Federal acquisition computer
network (‘FACNET’)’’ and inserting in lieu thereof ‘‘the
electronic commerce’’; and
(ii) by striking out ‘‘(as added by section 9001)’’; and
(B) in subsection (e)(9)(A), by striking out ‘‘, or by dissemi-
nation through FACNET,’’.
(2) Section 5401 of the Clinger-Cohen Act of 1996 (divisions
D and E of Public Law 104–106; 40 U.S.C. 1501) is amended—
(A) in subsection (a)—
(i) by striking out ‘‘through the Federal Acquisition
Computer Network (in this section referred to as
‘FACNET’)’’; and
(ii) by striking out the last sentence;
(B) in subsection (b)—
(i) 
by 
striking 
out 
‘‘ADDITIONAL
FACNET
FUNCTIONS.—’’ and all that follows through ‘‘(41 U.S.C.
426(b)), the FACNET architecture’’ and inserting in lieu
thereof ‘‘FUNCTIONS.—(1) The system for providing on-line
computer access’’; and
(ii) in paragraph (2), by striking out ‘‘The FACNET
architecture’’ and inserting in lieu thereof ‘‘The system
for providing on-line computer access’’;
H. R. 1119—222
(C) in subsection (c)(1), by striking out ‘‘the FACNET
architecture’’ and inserting in lieu thereof ‘‘the system for
providing on-line computer access’’; and
(D) by striking out subsection (d).
(3)(A) Section 2302c of title 10, United States Code, is amended
to read as follows:
‘‘§ 2302c. Implementation of electronic commerce capability
‘‘(a) IMPLEMENTATION OF ELECTRONIC COMMERCE CAPABILITY.—
(1) The head of each agency named in paragraphs (1), (5), and
(6) shall implement the electronic commerce capability required
by section 30 of the Office of Federal Procurement Policy Act (41
U.S.C. 426).
‘‘(2) The Secretary of Defense shall act through the Under
Secretary of Defense for Acquisition and Technology to implement
the capability within the Department of Defense.
‘‘(3) In implementing the electronic commerce capability pursu-
ant to paragraph (1), the head of an agency referred to in paragraph
(1) shall consult with the Administrator for Federal Procurement
Policy.
‘‘(b) DESIGNATION
OF AGENCY OFFICIAL.—The head of each
agency named in paragraph (5) or (6) of section 2303 of this title
shall designate a program manager to implement the electronic
commerce capability for that agency. The program manager shall
report directly to an official at a level not lower than the senior
procurement executive designated for the agency under section 16(3)
of the Office of Federal Procurement Policy Act (41 U.S.C. 414(3)).’’.
(B) Section 2304(g)(4) of such title is amended by striking
out ‘‘31(g)’’ and inserting in lieu thereof ‘‘31(f)’’.
(4)(A) Section 302C of the Federal Property and Administrative
Services Act of 1949 (41 U.S.C. 252c) is amended to read as follows:
‘‘SEC. 302C. IMPLEMENTATION OF ELECTRONIC COMMERCE CAPABIL-
ITY.
‘‘(a) IMPLEMENTATION OF ELECTRONIC COMMERCE CAPABILITY.—
(1) The head of each executive agency shall implement the electronic
commerce capability required by section 30 of the Office of Federal
Procurement Policy Act (41 U.S.C. 426).
‘‘(2) In implementing the electronic commerce capability pursu-
ant to paragraph (1), the head of an executive agency shall consult
with the Administrator for Federal Procurement Policy.
‘‘(b) DESIGNATION
OF AGENCY OFFICIAL.—The head of each
executive agency shall designate a program manager to implement
the electronic commerce capability for that agency. The program
manager shall report directly to an official at a level not lower
than the senior procurement executive designated for the executive
agency under section 16(3) of the Office of Federal Procurement
Policy Act (41 U.S.C. 414(3)).’’.
(B) Section 303(g)(5) of the Federal Property and Administrative
Services Act (41 U.S.C. 253(g)(5)) is amended by striking out ‘‘31(g)’’
and inserting in lieu thereof ‘‘31(f)’’.
(g) EFFECTIVE DATE.—(1) Except as provided in paragraph (2),
the amendments made by this section shall take effect 180 days
after the date of the enactment of this Act.
(2) The repeal made by subsection (c) of this section shall
take effect on the date of the enactment of this Act.
H. R. 1119—223
SEC. 851. CONFORMANCE OF POLICY ON PERFORMANCE BASED
MANAGEMENT OF CIVILIAN ACQUISITION PROGRAMS
WITH POLICY ESTABLISHED FOR DEFENSE ACQUISITION
PROGRAMS.
(a) PERFORMANCE GOALS.—Section 313(a) of the Federal Prop-
erty and Administrative Services Act of 1949 (41 U.S.C. 263(a))
is amended to read as follows:
‘‘(a) CONGRESSIONAL POLICY.—It is the policy of Congress that
the head of each executive agency should achieve, on average,
90 percent of the cost, performance, and schedule goals established
for major acquisition programs of the agency.’’.
(b) CONFORMING AMENDMENT TO REPORTING REQUIREMENT.—
Section 6(k) of the Office of Federal Procurement Policy Act (41
U.S.C. 405(k)) is amended by inserting ‘‘regarding major acquisi-
tions that is’’ in the first sentence after ‘‘policy’’.
SEC. 852. MODIFICATION OF PROCESS REQUIREMENTS FOR THE SOLU-
TIONS-BASED CONTRACTING PILOT PROGRAM.
(a) SOURCE SELECTION.—Paragraph (9) of section 5312(c) of
the Clinger-Cohen Act of 1996 (divisions D and E of Public Law
104–106; 40 U.S.C. 1492(c)) is amended—
(1) in subparagraph (A), by striking out ‘‘, and ranking
of alternative sources,’’ and inserting in lieu thereof ‘‘or
sources,’’;
(2) in subparagraph (B)—
(A) in the matter preceding clause (i), by inserting
‘‘(or a longer period, if approved by the Administrator)’’
after ‘‘30 to 60 days’’;
(B) in clause (i), by inserting ‘‘or sources’’ after ‘‘source’’;
and
(C) in clause (ii), by striking out ‘‘that source’’ and
inserting in lieu thereof ‘‘the source whose offer is deter-
mined to be most advantageous to the Government’’; and
(3) in subparagraph (C), by striking out ‘‘with alternative
sources (in the order ranked)’’.
(b) TIME MANAGEMENT DISCIPLINE.—Paragraph (12) of such
section is amended by inserting before the period at the end the
following: ‘‘, except that the Administrator may approve the applica-
tion of a longer standard period’’.
SEC. 853. GUIDANCE AND STANDARDS FOR DEFENSE ACQUISITION
WORKFORCE TRAINING REQUIREMENTS.
The Secretary of Defense shall develop appropriate guidance
and standards to ensure that the Department of Defense will con-
tinue, where appropriate and cost-effective, to enter into contracts
for the training requirements of sections 1723, 1724, and 1735
of title 10, United States Code, while maintaining appropriate con-
trol over the content and quality of such training.
SEC. 854. STUDY AND REPORT TO CONGRESS ASSESSING DEPENDENCE
ON FOREIGN SOURCES FOR RESISTORS AND CAPACI-
TORS.
(a) STUDY.—The Secretary of Defense shall conduct a study
of the capacitor and resistor industries in the United States and
the degree of United States dependence on foreign sources for
resistors and capacitors.
H. R. 1119—224
(b) REPORT.—Not later than May 1, 1998, the Secretary shall
submit to Congress a report on the results of the study under
subsection (a). The report shall include the following:
(1) An assessment of the industrial base for the production
of resistors and capacitors within the United States and a
projection of any changes in that base that are likely to occur
after the implementation of relevant tariff reductions required
by the Information Technology Agreement entered into at the
World Trade Organization Ministerial in Singapore in Decem-
ber 1996.
(2) An assessment of the level of dependence on foreign
sources for procurement of resistors and capacitors and a projec-
tion of the level of dependence on foreign sources that is likely
to occur after the implementation of relevant tariff reductions
required by the Information Technology Agreement.
(3) The implications for the national security of the United
States of the projections reported under paragraphs (1) and
(2).
(4) Recommendations for appropriate changes, if any, in
defense procurement policies or other Federal policies based
on such implications.
SEC. 855. DEPARTMENT OF DEFENSE AND FEDERAL PRISON INDUS-
TRIES JOINT STUDY.
(a) STUDY OF EXISTING PROCUREMENT PROCEDURES.—The Sec-
retary of Defense and the Director of Federal Prison Industries
shall jointly conduct a study of the procurement procedures, regula-
tions, and statutes that govern procurement transactions between
the Department of Defense and Federal Prison Industries.
(b) REPORT.—(1) The Secretary and the Director shall, not
later than 180 days after the date of the enactment of this Act,
submit to the committees listed in paragraph (2) a report containing
the findings of the study and recommendations on the means to
improve the efficiency and reduce the cost of transactions described
in subsection (a).
(2) The committees referred to in paragraph (1) are the
following:
(A) The Committee on Armed Services and the Committee
on the Judiciary of the Senate.
(B) The Committee on National Security and the Commit-
tee on the Judiciary of the House of Representatives.
TITLE IX—DEPARTMENT OF DEFENSE
ORGANIZATION AND MANAGEMENT
Subtitle A—Department of Defense Positions and Organizations and Other
General Matters
Sec. 901. Assistants to the Chairman of the Joint Chiefs of Staff for National
Guard matters and for Reserve matters.
Sec. 902. Use of CINC Initiative Fund for force protection.
Sec. 903. Revision to required frequency for provision of policy guidance for contin-
gency plans.
Sec. 904. Annual justification for Department of Defense advisory committees.
Sec. 905. Airborne reconnaissance management.
Sec. 906. Termination of the Armed Services Patent Advisory Board.
Sec. 907. Coordination of Department of Defense criminal investigations and
audits.
H. R. 1119—225
Subtitle B—Department of Defense Personnel Management
Sec. 911. Reduction in personnel assigned to management headquarters and head-
quarters support activities.
Sec. 912. Defense acquisition workforce.
Subtitle C—Department of Defense Schools and Centers
Sec. 921. Professional military education schools.
Sec. 922. Center for Hemispheric Defense Studies.
Sec. 923. Correction to reference to George C. Marshall European Center for
Security Studies.
Subtitle D—Department of Defense Intelligence-Related Matters
Sec. 931. Transfer of certain military department programs from TIARA budget
aggregation.
Sec. 932. Report on coordination of access of commanders and deployed units to
intelligence collected and analyzed by the intelligence community.
Sec. 933. Protection of imagery, imagery intelligence, and geospatial information
and data.
Sec. 934. POW/MIA intelligence analysis.
Subtitle A—Department of Defense Posi-
tions and Organizations and Other Gen-
eral Matters
SEC. 901. ASSISTANTS TO THE CHAIRMAN OF THE JOINT CHIEFS OF
STAFF FOR NATIONAL GUARD MATTERS AND FOR
RESERVE MATTERS.
(a) ESTABLISHMENT OF POSITIONS.—The Secretary of Defense
shall establish the following positions within the Joint Staff:
(1) Assistant to the Chairman of the Joint Chiefs of Staff
for National Guard Matters.
(2) Assistant to the Chairman of the Joint Chiefs of Staff
for Reserve Matters.
(b) SELECTION.—(1) The Assistant to the Chairman of the Joint
Chiefs of Staff for National Guard Matters shall be selected by
the Chairman from officers of the Army National Guard of the
United States or the Air Guard of the United States who—
(A) are recommended for such selection by their respective
Governors or, in the case of the District of Columbia, the
commanding general of the District of Columbia National
Guard;
(B) have had at least 10 years of federally recognized
commissioned service in the National Guard; and
(C) are in a grade above the grade of colonel.
(2) The Assistant to the Chairman of the Joint Chiefs of Staff
for Reserve Matters shall be selected by the Chairman from officers
of the Army Reserve, the Naval Reserve, the Marine Corps Reserve,
or the Air Force Reserve who—
(A) are recommended for such selection by the Sec-
retary of the military department concerned;
(B) have had at least 10 years of commissioned service
in their reserve component; and
(C) are in a grade above the grade of colonel or, in
the case of the Naval Reserve, captain.
(c) TERM OF OFFICE.—Each Assistant to the Chairman under
subsection (a) serves at the pleasure of the Chairman for a term
of two years and may be continued in that assignment in the
same manner for one additional term. However, in time of war
there is no limit on the number of terms.
H. R. 1119—226
(d) GRADE.—Each Assistant to the Chairman, while so serving,
holds the grade of major general or, in the case of the Naval
Reserve, rear admiral. Each such officer shall be considered to
be serving in a position external to that officer’s Armed Force
for purposes of section 721 of title 10, United States Code, as
added by section 501(a).
(e) DUTIES.—The Assistant to the Chairman for National Guard
Matters is an adviser to the Chairman on matters relating to
the National Guard and performs the duties prescribed for that
position by the Chairman. The Assistant to the Chairman for
Reserve Matters is an adviser to the Chairman on matters relating
to the reserves and performs the duties prescribed for that position
by the Chairman.
(f) OTHER RESERVE COMPONENT REPRESENTATION
ON JOINT
STAFF.—(1) The Secretary of Defense, in consultation with the
Chairman of the Joint Chiefs, shall develop appropriate policy guid-
ance to ensure that, to the maximum extent practicable, the level
of reserve component officer representation within the Joint Staff
is commensurate with the significant role of the reserve components
within the Total Force.
(2) Not later than March 1, 1998, the Secretary shall submit
to the Committee on Armed Services of the Senate and the Commit-
tee on National Security of the House of Representatives a report
describing the steps taken and being taken to implement this sub-
section.
(g) EFFECTIVE DATE.—The positions specified in subsection (a)
shall be established by the Secretary of Defense not later than
60 days after the date of the enactment of this Act.
SEC. 902. USE OF CINC INITIATIVE FUND FOR FORCE PROTECTION.
Section 166a(b) of title 10, United States Code, is amended
by adding at the end the following:
‘‘(9) Force protection.’’.
SEC. 903. REVISION TO REQUIRED FREQUENCY FOR PROVISION OF
POLICY GUIDANCE FOR CONTINGENCY PLANS.
Section 113(g)(2) of title 10, United States Code, is amended—
(1) in the first sentence, by striking out ‘‘annually’’; and
(2) in the second sentence, by inserting ‘‘be provided every
two years or more frequently as needed and shall’’ after ‘‘Such
guidance shall’’.
SEC. 904. ANNUAL JUSTIFICATION FOR DEPARTMENT OF DEFENSE
ADVISORY COMMITTEES.
(a) ANNUAL JUSTIFICATION REQUIRED.—Chapter 7 of title 10,
United States Code, is amended by adding after section 182, as
added by section 382(a)(1), the following new section:
‘‘§ 183. Advisory committees: annual justification required
‘‘(a) ANNUAL REPORT.—The Secretary of Defense shall include
in the annual report of the Secretary under section 113(c) of this
title a report on advisory committees of the Department of Defense.
In each such report, the Secretary shall—
‘‘(1) identify each advisory committee that the Secretary
proposes to support, or that the Secretary is required by law
or direction from the President to support, during the next
fiscal year; and