II 
Calendar No. 577 
113TH CONGRESS 
2D SESSION 
H. R. 1232 
[Report No. 113–262] 
IN THE SENATE OF THE UNITED STATES 
FEBRUARY 26, 2014 
Received; read twice and referred to the Committee on Homeland Security and 
Governmental Affairs 
SEPTEMBER 18, 2014 
Reported by Mr. CARPER, with an amendment and an amendment to the title 
[Strike out all after the enacting clause and insert the part printed in italic] 
AN ACT 
To amend titles 40, 41, and 44, United States Code, to 
eliminate duplication and waste in information tech-
nology acquisition and management. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Federal Information 
Technology Acquisition Reform Act’’. 
SEC. 2. TABLE OF CONTENTS. 
The table of contents for this Act is as follows: 
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Sec. 1. Short title. 
Sec. 2. Table of contents. 
Sec. 3. Definitions. 
TITLE I—MANAGEMENT OF INFORMATION TECHNOLOGY WITHIN 
FEDERAL GOVERNMENT 
Sec. 101. Increased authority of agency Chief Information Officers over infor-
mation technology. 
Sec. 102. Lead coordination role of Chief Information Officers Council. 
Sec. 103. Reports by Government Accountability Office. 
TITLE II—DATA CENTER OPTIMIZATION 
Sec. 201. Purpose. 
Sec. 202. Definitions. 
Sec. 203. Federal data center optimization initiative. 
Sec. 204. Performance requirements related to data center consolidation. 
Sec. 205. Cost savings related to data center optimization. 
Sec. 206. Reporting requirements to Congress and the Federal Chief Informa-
tion Officer. 
TITLE III—ELIMINATION OF DUPLICATION AND WASTE IN 
INFORMATION TECHNOLOGY ACQUISITION 
Sec. 301. Inventory of information technology software assets. 
Sec. 302. Website consolidation and transparency. 
Sec. 303. Transition to the cloud. 
Sec. 304. Elimination of unnecessary duplication of contracts by requiring busi-
ness case analysis. 
TITLE IV—STRENGTHENING AND STREAMLINING INFORMATION 
TECHNOLOGY ACQUISITION MANAGEMENT PRACTICES 
Subtitle A—Strengthening and Streamlining IT Program Management 
Practices 
Sec. 401. Pilot program on interagency collaboration. 
Sec. 402. Designation of assisted acquisition centers of excellence. 
Subtitle B—Strengthening IT Acquisition Workforce 
Sec. 411. Expansion of training and use of information technology acquisition 
cadres. 
Sec. 412. Plan on strengthening program and project management perform-
ance. 
Sec. 413. Personnel awards for excellence in the acquisition of information sys-
tems and information technology. 
TITLE V—ADDITIONAL REFORMS 
Sec. 501. Maximizing the benefit of the Federal strategic sourcing initiative. 
Sec. 502. Governmentwide software purchasing program. 
Sec. 503. Promoting transparency of blanket purchase agreements. 
Sec. 504. Additional source selection technique in solicitations. 
Sec. 505. Enhanced transparency in information technology investments. 
Sec. 506. Enhanced communication between government and industry. 
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Sec. 507. Clarification of current law with respect to technology neutrality in 
acquisition of software. 
Sec. 508. No additional funds authorized. 
SEC. 3. DEFINITIONS. 
In this Act: 
(1) CHIEF ACQUISITION OFFICERS COUNCIL.— 
The
term
‘‘Chief
Acquisition
Officers
Council’’ 
means the Chief Acquisition Officers Council estab-
lished by section 1311(a) of title 41, United States 
Code. 
(2) CHIEF INFORMATION OFFICER.—The term 
‘‘Chief Information Officer’’ means a Chief Informa-
tion Officer (as designated under section 3506(a)(2) 
of title 44, United States Code) of an agency listed 
in section 901(b) of title 31, United States Code. 
(3) CHIEF INFORMATION OFFICERS COUNCIL.— 
The term ‘‘Chief Information Officers Council’’ or 
‘‘CIO Council’’ means the Chief Information Officers 
Council established by section 3603(a) of title 44, 
United States Code. 
(4) DIRECTOR.—The term ‘‘Director’’ means 
the Director of the Office of Management and Budg-
et. 
(5) FEDERAL
AGENCY.—The term ‘‘Federal 
agency’’ means each agency listed in section 901(b) 
of title 31, United States Code. 
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(6) FEDERAL CHIEF INFORMATION OFFICER.— 
The
term
‘‘Federal
Chief
Information
Officer’’ 
means the Administrator of the Office of Electronic 
Government established under section 3602 of title 
44, United States Code. 
(7) INFORMATION
TECHNOLOGY
OR
IT.—The 
term ‘‘information technology’’ or ‘‘IT’’ has the 
meaning provided in section 11101(6) of title 40, 
United States Code. 
(8)
RELEVANT
CONGRESSIONAL
COMMIT-
TEES.—The term ‘‘relevant congressional commit-
tees’’ means each of the following: 
(A) The Committee on Oversight and Gov-
ernment Reform and the Committee on Armed 
Services of the House of Representatives. 
(B) The Committee on Homeland Security 
and Governmental Affairs and the Committee 
on Armed Services of the Senate. 
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TITLE
I—MANAGEMENT
OF
IN-
FORMATION
TECHNOLOGY 
WITHIN
FEDERAL
GOVERN-
MENT 
SEC. 101. INCREASED AUTHORITY OF AGENCY CHIEF IN-
FORMATION OFFICERS OVER INFORMATION 
TECHNOLOGY. 
(a) PRESIDENTIAL APPOINTMENT OF CIOS OF CER-
TAIN AGENCIES.— 
(1) IN GENERAL.—Section 11315 of title 40, 
United States Code, is amended— 
(A) by redesignating subsection (a) as sub-
section (e) and moving such subsection to the 
end of the section; and 
(B) by inserting before subsection (b) the 
following new subsection (a): 
‘‘(a) PRESIDENTIAL APPOINTMENT OR DESIGNATION 
OF CERTAIN CHIEF INFORMATION OFFICERS.— 
‘‘(1) IN GENERAL.—There shall be within each 
agency listed in section 901(b)(1) of title 31 an 
agency Chief Information Officer. Each agency Chief 
Information Officer shall— 
‘‘(A)(i) be appointed by the President; or 
‘‘(ii) be designated by the President, in 
consultation with the head of the agency; and 
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‘‘(B) be appointed or designated, as appli-
cable, from among individuals who possess dem-
onstrated ability in general management of, and 
knowledge of and extensive practical experience 
in, information technology management prac-
tices in large governmental or business entities. 
‘‘(2) RESPONSIBILITIES.—An agency Chief In-
formation Officer appointed or designated under this 
section shall report directly to the head of the agen-
cy and carry out, on a full-time basis, responsibilities 
as set forth in this section and in section 3506(a) 
of title 44 for Chief Information Officers designated 
under paragraph (2) of such section.’’. 
(2)
CONFORMING
AMENDMENTS.—Section 
3506(a)(2) of title 44, United States Code, is 
amended— 
(A) by striking ‘‘(A) Except as provided 
under subparagraph (B), the head of each 
agency’’ and inserting ‘‘The head of each agen-
cy, other than an agency with a Presidentially 
appointed or designated Chief Information Offi-
cer as provided in section 11315(a)(1) of title 
40,’’; and 
(B) by striking subparagraph (B). 
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(b) AUTHORITY RELATING TO BUDGET AND PER-
SONNEL.—Section 11315 of title 40, United States Code, 
is further amended by inserting after subsection (c) the 
following new subsection: 
‘‘(d)
ADDITIONAL
AUTHORITIES
FOR
CERTAIN 
CIOS.— 
‘‘(1) BUDGET-RELATED AUTHORITY.— 
‘‘(A)
PLANNING.—Notwithstanding
any 
other provision of law, the head of each agency 
listed in section 901(b)(1) or 901(b)(2) of title 
31 and in section 102 of title 5 shall ensure 
that the Chief Information Officer of the agen-
cy has the authority to participate in decisions 
regarding the budget planning process related 
to information technology or programs that in-
clude significant information technology compo-
nents. 
‘‘(B) ALLOCATION.—Notwithstanding any 
other provision of law, amounts appropriated 
for any agency listed in section 901(b)(1) or 
901(b)(2) of title 31 and in section 102 of title 
5 for any fiscal year that are available for infor-
mation technology shall be allocated within the 
agency, consistent with the provisions of appro-
priations Acts and budget guidelines and rec-
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ommendations from the Director of the Office 
of Management and Budget, in such manner as 
specified by, or approved by, the Chief Informa-
tion Officer of the agency in consultation with 
the Chief Financial Officer of the agency and 
budget officials. 
‘‘(2) PERSONNEL-RELATED AUTHORITY.—Not-
withstanding any other provision of law, the head of 
each agency listed in section 901(b)(1) or 901(b)(2) 
of title 31 shall ensure that the Chief Information 
Officer of the agency has the authority necessary to 
approve the hiring of personnel who will have infor-
mation technology responsibilities within the agency 
and to require that such personnel have the obliga-
tion to report to the Chief Information Officer in a 
manner considered sufficient by the Chief Informa-
tion Officer.’’. 
(c) SINGLE CHIEF INFORMATION OFFICER IN EACH 
AGENCY.— 
(1) REQUIREMENT.—Section 3506(a)(3) of title 
44, United States Code, is amended— 
(A) by inserting ‘‘(A)’’ after ‘‘(3)’’; and 
(B) by adding at the end the following new 
subparagraph: 
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‘‘(B) Each agency shall have only one indi-
vidual with the title and designation of ‘Chief 
Information Officer’. Any bureau, office, or sub-
ordinate organization within the agency may 
designate one individual with the title ‘Deputy 
Chief Information Officer’, ‘Associate Chief In-
formation Officer’, or ‘Assistant Chief Informa-
tion Officer’.’’. 
(2) EFFECTIVE DATE.—Section 3506(a)(3)(B) 
of title 44, United States Code, as added by para-
graph (1), shall take effect as of October 1, 2014. 
Any individual serving in a position affected by such 
section before such date may continue in that posi-
tion if the requirements of such section are fulfilled 
with respect to that individual. 
SEC. 102. LEAD COORDINATION ROLE OF CHIEF INFORMA-
TION OFFICERS COUNCIL. 
(a) LEAD COORDINATION ROLE.—Subsection (d) of 
section 3603 of title 44, United States Code, is amended 
to read as follows: 
‘‘(d) LEAD INTERAGENCY FORUM.— 
‘‘(1) IN GENERAL.—The Council is designated 
the lead interagency forum for improving agency co-
ordination of practices related to the design, develop-
ment, modernization, use, operation, sharing, per-
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formance, and review of Federal Government infor-
mation resources investment. As the lead inter-
agency forum, the Council shall develop cross-agency 
portfolio management practices to allow and encour-
age the development of cross-agency shared services 
and shared platforms. The Council shall also issue 
guidelines and practices for infrastructure and com-
mon information technology applications, including 
expansion of the Federal Enterprise Architecture 
process if appropriate. The guidelines and practices 
may address broader transparency, common inputs, 
common outputs, and outcomes achieved. The guide-
lines and practices shall be used as a basis for com-
paring performance across diverse missions and op-
erations in various agencies. 
‘‘(2) REPORT.—Not later than December 1 in 
each of the 6 years following the date of the enact-
ment of this paragraph, the Council shall submit to 
the relevant congressional committees a report (to be 
known as the ‘CIO Council Report’) summarizing 
the Council’s activities in the preceding fiscal year 
and containing such recommendations for further 
congressional action to fulfill its mission as the 
Council considers appropriate. 
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‘‘(3)
RELEVANT
CONGRESSIONAL
COMMIT-
TEES.—For purposes of the report required by para-
graph (2), the relevant congressional committees are 
each of the following: 
‘‘(A) The Committee on Oversight and 
Government Reform and the Committee on 
Armed Services of the House of Representa-
tives. 
‘‘(B) The Committee on Homeland Secu-
rity and Governmental Affairs and the Com-
mittee on Armed Services of the Senate.’’. 
(b) ADDITIONAL FUNCTION.—Subsection (f) of sec-
tion 3603 of such title is amended by adding at the end 
the following new paragraph: 
‘‘(8) Assist the Administrator in developing and 
providing guidance for effective operations of the 
Federal
Infrastructure
and
Common
Application 
Collaboration Center authorized under section 11501 
of title 40.’’. 
(c) REFERENCES TO ADMINISTRATOR OF E-GOVERN-
MENT AS FEDERAL CHIEF INFORMATION OFFICER.— 
(1) REFERENCES.—Section 3602(b) of title 44, 
United States Code, is amended by adding at the 
end the following: ‘‘The Administrator may also be 
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referred to as the Federal Chief Information Offi-
cer.’’. 
(2) DEFINITION.—Section 3601(1) of such title 
is amended by inserting ‘‘or Federal Chief Informa-
tion Officer’’ before ‘‘means’’. 
SEC. 103. REPORTS BY GOVERNMENT ACCOUNTABILITY OF-
FICE. 
(a) REQUIREMENT TO EXAMINE EFFECTIVENESS.— 
The Comptroller General of the United States shall exam-
ine the effectiveness of the Chief Information Officers 
Council in meeting its responsibilities under section 
3603(d) of title 44, United States Code, as added by sec-
tion 102, with particular focus on— 
(1) whether agencies are actively participating 
in the Council and heeding the Council’s advice and 
guidance; and 
(2) whether the Council is actively using and 
developing the capabilities of the Federal Infrastruc-
ture and Common Application Collaboration Center 
authorized under section 11501 of title 40, United 
States Code, as added by section 401. 
(b) REPORTS.—Not later than 1 year, 3 years, and 
5 years after the date of the enactment of this Act, the 
Comptroller General shall submit to the relevant congres-
sional committees a report containing the findings and 
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recommendations of the Comptroller General from the ex-
amination required by subsection (a). 
TITLE II—DATA CENTER 
OPTIMIZATION 
SEC. 201. PURPOSE. 
The purpose of this title is to optimize Federal data 
center usage and efficiency. 
SEC. 202. DEFINITIONS. 
In this title: 
(1) FEDERAL DATA CENTER OPTIMIZATION INI-
TIATIVE.—The term ‘‘Federal Data Center Optimi-
zation Initiative’’ or the ‘‘Initiative’’ means the ini-
tiative developed and implemented by the Director, 
through the Federal Chief Information Officer, as 
required under section 203. 
(2) COVERED
AGENCY.—The term ‘‘covered 
agency’’ means any agency included in the Federal 
Data Center Optimization Initiative. 
(3) DATA CENTER.—The term ‘‘data center’’ 
means a closet, room, floor, or building for the stor-
age, management, and dissemination of data and in-
formation, as defined by the Federal Chief Informa-
tion Officer under guidance issued pursuant to this 
section. 
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(4) FEDERAL DATA CENTER.—The term ‘‘Fed-
eral data center’’ means any data center of a cov-
ered agency used or operated by a covered agency, 
by a contractor of a covered agency, or by another 
organization on behalf of a covered agency. 
(5) SERVER UTILIZATION.—The term ‘‘server 
utilization’’ refers to the activity level of a server rel-
ative to its maximum activity level, expressed as a 
percentage. 
(6) POWER USAGE EFFECTIVENESS.—The term 
‘‘power usage effectiveness’’ means the ratio ob-
tained by dividing the total amount of electricity and 
other power consumed in running a data center by 
the power consumed by the information and commu-
nications technology in the data center. 
SEC. 203. FEDERAL DATA CENTER OPTIMIZATION INITIA-
TIVE. 
(a) REQUIREMENT FOR INITIATIVE.—The Federal 
Chief Information Officer, in consultation with the chief 
information officers of covered agencies, shall develop and 
implement an initiative, to be known as the Federal Data 
Center Optimization Initiative, to optimize the usage and 
efficiency of Federal data centers by meeting the require-
ments of this Act and taking additional measures, as ap-
propriate. 
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(b) REQUIREMENT
FOR PLAN.—Within 6 months 
after the date of the enactment of this Act, the Federal 
Chief Information Officer, in consultation with the chief 
information officers of covered agencies, shall develop and 
submit to Congress a plan for implementation of the Ini-
tiative required by subsection (a) by each covered agency. 
In developing the plan, the Federal Chief Information Of-
ficer shall take into account the findings and recommenda-
tions of the Comptroller General review required by sec-
tion 205(e). 
(c) MATTERS COVERED.—The plan shall include— 
(1) descriptions of how covered agencies will 
use reductions in floor space, energy use, infrastruc-
ture, equipment, applications, personnel, increases in 
multiorganizational use, server virtualization, cloud 
computing, and other appropriate methods to meet 
the requirements of the initiative; and 
(2) appropriate consideration of shifting Feder-
ally owned data center workload to commercially 
owned data centers. 
SEC.
204.
PERFORMANCE
REQUIREMENTS
RELATED
TO 
DATA CENTER CONSOLIDATION. 
(a) SERVER UTILIZATION.—Each covered agency 
may use the following methods to achieve the maximum 
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server utilization possible as determined by the Federal 
Chief Information Officer: 
(1) The closing of existing data centers that 
lack adequate server utilization, as determined by 
the Federal Chief Information Officer. If the agency 
fails to close such data centers, the agency shall pro-
vide a detailed explanation as to why this data cen-
ter should remain in use as part of the submitted 
plan. The Federal Chief Information Officer shall in-
clude an assessment of the agency explanation in the 
annual report to Congress. 
(2) The consolidation of services within existing 
data centers to increase server utilization rates. 
(3) Any other method that the Federal Chief 
Information Officer, in consultation with the chief 
information officers of covered agencies, determines 
necessary to optimize server utilization. 
(b) POWER USAGE EFFECTIVENESS.—Each covered 
agency may use the following methods to achieve the max-
imum energy efficiency possible as determined by the Fed-
eral Chief Information Officer: 
(1) The use of the measurement of power usage 
effectiveness to calculate data center energy effi-
ciency. 
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(2) The use of power meters in facilities dedi-
cated to data center operations to frequently meas-
ure power consumption over time. 
(3) The establishment of power usage effective-
ness goals for each data center. 
(4) The adoption of best practices for man-
aging— 
(A) temperature and airflow in facilities 
dedicated to data center operations; and 
(B) power supply efficiency. 
(5) The implementation of any other method 
that the Federal Chief Information Officer, in con-
sultation with the Chief Information Officers of cov-
ered agencies, determines necessary to optimize data 
center energy efficiency. 
SEC. 205. COST SAVINGS RELATED TO DATA CENTER OPTI-
MIZATION. 
(a) REQUIREMENT TO TRACK COSTS.— 
(1) IN GENERAL.—Each covered agency shall 
track costs resulting from implementation of the 
Federal Data Center Optimization Initiative within 
the agency and submit a report on those costs annu-
ally to the Federal Chief Information Officer. Cov-
ered agencies shall determine the net costs from 
data consolidation on an annual basis. 
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(2) FACTORS.—In calculating net costs each 
year under paragraph (1), a covered agency shall 
use the following factors: 
(A) Energy costs. 
(B) Personnel costs. 
(C) Real estate costs. 
(D) Capital expense costs. 
(E) Maintenance and support costs such as 
operating subsystem, database, hardware, and 
software license expense costs. 
(F) Other appropriate costs, as determined 
by the agency in consultation with the Federal 
Chief Information Officer. 
(b) REQUIREMENT TO TRACK SAVINGS.— 
(1) IN GENERAL.—Each covered agency shall 
track realized and projected savings resulting from 
implementation of the Federal Data Center Optimi-
zation Initiative within the agency and submit a re-
port on those savings annually to the Federal Chief 
Information Officer. Covered agencies shall deter-
mine the net savings from data consolidation on an 
annual basis. 
(2) FACTORS.—In calculating net savings each 
year under paragraph (1), a covered agency shall 
use the following factors: 
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(A) Energy savings. 
(B) Personnel savings. 
(C) Real estate savings. 
(D) Capital expense savings. 
(E) Maintenance and support savings such 
as operating subsystem, database, hardware, 
and software license expense savings. 
(F) Other appropriate savings, as deter-
mined by the agency in consultation with the 
Federal Chief Information Officer. 
(3) PUBLIC AVAILABILITY.—The Federal Chief 
Information Officer shall make publicly available a 
summary of realized and projected savings for each 
covered agency. The Federal Chief Information Offi-
cer shall identify any covered agency that failed to 
provide the annual report required under paragraph 
(1). 
(c) REQUIREMENT TO USE COST-EFFECTIVE MEAS-
URES.—Covered agencies shall use the most cost-effective 
measures to implement the Federal Data Center Optimi-
zation Initiative, such as using estimation to measure or 
track costs and savings using a methodology approved by 
the Federal Chief Information Officer. 
(d) GOVERNMENT ACCOUNTABILITY OFFICE RE-
VIEW.—Not later than 6 months after the date of the en-
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actment of this Act, the Comptroller General of the United 
States shall examine methods for calculating savings from 
the Initiative and using them for the purposes identified 
in subsection (d), including establishment and use of a 
special revolving fund that supports data centers and serv-
er optimization, and shall submit to the Federal Chief In-
formation Officer and Congress a report on the Comp-
troller General’s findings and recommendations. 
SEC. 206. REPORTING REQUIREMENTS TO CONGRESS AND 
THE
FEDERAL
CHIEF
INFORMATION
OFFI-
CER. 
(a) AGENCY REQUIREMENT TO REPORT TO CIO.— 
(1) IN GENERAL.—Except as provided in para-
graph (2), each covered agency each year shall sub-
mit to the Federal Chief Information Officer a re-
port on the implementation of the Federal Data 
Center Optimization Initiative, including savings re-
sulting from such implementation. The report shall 
include an update of the agency’s plan for imple-
menting the Initiative. 
(2)
DEPARTMENT
OF
DEFENSE.—The
Sec-
retary of Defense shall comply with paragraph (1) 
each year by submitting to the Federal Chief Infor-
mation Officer a report with relevant information 
collected under section 2867 of Public Law 112–81 
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(10 U.S.C. 2223a note) or a copy of the report re-
quired under section 2867(d) of such law. 
(b) FEDERAL CHIEF INFORMATION OFFICER RE-
QUIREMENT TO REPORT TO CONGRESS.—Each year, the 
Federal Chief Information Officer shall submit to the rel-
evant congressional committees a report that assesses 
agency progress in carrying out the Federal Data Center 
Optimization Initiative and updates the plan under section 
203. The report may be included as part of the annual 
report required under section 3606 of title 44, United 
States Code. 
TITLE III—ELIMINATION OF DU-
PLICATION AND WASTE IN IN-
FORMATION
TECHNOLOGY 
ACQUISITION 
SEC.
301.
INVENTORY
OF
INFORMATION
TECHNOLOGY 
SOFTWARE ASSETS. 
(a) PLAN.—The Director shall develop a plan for con-
ducting a Governmentwide inventory of information tech-
nology software assets. 
(b) MATTERS COVERED.—The plan required by sub-
section (a) shall cover the following: 
(1) The manner in which Federal agencies can 
achieve the greatest possible economies of scale and 
cost savings in the procurement of information tech-
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nology software assets, through measures such as re-
ducing the procurement of new software licenses 
until such time as agency needs exceed the number 
of existing and unused licenses. 
(2) The capability to conduct ongoing Govern-
mentwide inventories of all existing software licenses 
on an application-by-application basis, including du-
plicative, unused, overused, and underused licenses, 
and to assess the need of agencies for software li-
censes. 
(3) A Governmentwide spending analysis to 
provide knowledge about how much is being spent 
for software products or services to support deci-
sions for strategic sourcing under the Federal stra-
tegic sourcing program managed by the Office of 
Federal Procurement Policy. 
(c) AVAILABILITY.—The inventory of information 
technology software assets shall be available to Chief In-
formation Officers and such other Federal officials as the 
Chief Information Officers may, in consultation with the 
Chief Information Officers Council, designate. 
(d) DEADLINE AND SUBMISSION TO CONGRESS.— 
Not later than 180 days after the date of the enactment 
of this Act, the Director shall complete and submit to Con-
gress the plan required by subsection (a). 
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(e) IMPLEMENTATION.—Not later than two years 
after the date of the enactment of this Act, the Director 
shall complete implementation of the plan required by sub-
section (a). 
(f) REVIEW BY COMPTROLLER GENERAL.—Not later 
than two years after the date of the enactment of this Act, 
the Comptroller General of the United States shall review 
the plan required by subsection (a) and submit to the rel-
evant congressional committees a report on the review. 
SEC. 302. WEBSITE CONSOLIDATION AND TRANSPARENCY. 
(a)
WEBSITE
CONSOLIDATION.—The
Director 
shall— 
(1) in consultation with Federal agencies, and 
after reviewing the directory of public Federal Gov-
ernment websites of each agency (as required to be 
established and updated under section 207(f)(3) of 
the E-Government Act of 2002 (Public Law 107– 
347; 44 U.S.C. 3501 note)), assess all the publicly 
available websites of Federal agencies to determine 
whether
there
are
duplicative
or
overlapping 
websites; and 
(2) require Federal agencies to eliminate or 
consolidate those websites that are duplicative or 
overlapping. 
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(b) WEBSITE TRANSPARENCY.—The Director shall 
issue guidance to Federal agencies to ensure that the data 
on publicly available websites of the agencies are open and 
accessible to the public. 
(c) MATTERS COVERED.—In preparing the guidance 
required by subsection (b), the Director shall— 
(1) develop guidelines, standards, and best 
practices for interoperability and transparency; 
(2) identify interfaces that provide for shared, 
open solutions on the publicly available websites of 
the agencies; and 
(3) ensure that Federal agency Internet home 
pages, web-based forms, and web-based applications 
are accessible to individuals with disabilities in con-
formance with section 508 of the Rehabilitation Act 
of 1973 (29 U.S.C. 794d). 
(d) DEADLINE FOR GUIDANCE.—The guidance re-
quired by subsection (b) shall be issued not later than 180 
days after the date of the enactment of this Act. 
SEC. 303. TRANSITION TO THE CLOUD. 
(a) SENSE OF CONGRESS.—It is the sense of Con-
gress that transition to cloud computing offers significant 
potential benefits for the implementation of Federal infor-
mation technology projects in terms of flexibility, cost, and 
operational benefits. 
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(b) GOVERNMENTWIDE APPLICATION.—In assessing 
cloud computing opportunities, the Chief Information Of-
ficers Council shall define policies and guidelines for the 
adoption of Governmentwide programs providing for a 
standardized approach to security assessment and oper-
ational authorization for cloud products and services. 
(c) ADDITIONAL BUDGET AUTHORITIES FOR TRANSI-
TION.—In transitioning to the cloud, a Chief Information 
Officer of an agency listed in section 901(b) of title 31, 
United States Code, may establish such cloud service 
Working Capital Funds, in consultation with the Chief Fi-
nancial Officer of the agency, as may be necessary to tran-
sition to cloud-based solutions. Any establishment of a new 
Working Capital Fund under this subsection shall be re-
ported to the Committees on Appropriations of the House 
of Representatives and the Senate and relevant Congres-
sional committees. 
SEC. 304. ELIMINATION OF UNNECESSARY DUPLICATION 
OF
CONTRACTS
BY
REQUIRING
BUSINESS 
CASE ANALYSIS. 
(a) PURPOSE.—The purpose of this section is to le-
verage the Government’s buying power and achieve admin-
istrative efficiencies and cost savings by eliminating un-
necessary duplication of contracts. 
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(b)
REQUIREMENT
FOR
BUSINESS
CASE
AP-
PROVAL.— 
(1) IN
GENERAL.—Chapter 33 of title 41, 
United States Code, is amended by adding at the 
end the following new section: 
‘‘§ 3312. Requirement for business case approval for 
new Governmentwide contracts 
‘‘(a) IN GENERAL.—An executive agency may not 
issue a solicitation for a covered Governmentwide contract 
unless the agency performs a business case analysis for 
the contract and obtains an approval of the business case 
analysis from the Administrator for Federal Procurement 
Policy. 
‘‘(b) REVIEW OF BUSINESS CASE ANALYSIS.— 
‘‘(1) IN GENERAL.—With respect to any cov-
ered Governmentwide contract, the Administrator 
for Federal Procurement Policy shall review the 
business case analysis submitted for the contract 
and provide an approval or disapproval within 60 
days after the date of submission. Any business case 
analysis not disapproved within such 60-day period 
is deemed to be approved. 
‘‘(2)
BASIS
FOR
APPROVAL
OF
BUSINESS 
CASE.—The Administrator for Federal Procurement 
Policy shall approve or disapprove a business case 
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analysis based on the adequacy of the analysis sub-
mitted. The Administrator shall give primary consid-
eration to whether an agency has demonstrated a 
compelling need that cannot be satisfied by existing 
Governmentwide contract in a timely and cost-effec-
tive manner. 
‘‘(c) CONTENT OF BUSINESS CASE ANALYSIS.—The 
Administrator for Federal Procurement Policy shall issue 
guidance specifying the content for a business case anal-
ysis submitted pursuant to this section. At a minimum, 
the business case analysis shall include details on the ad-
ministrative resources needed for such contract, including 
an analysis of all direct and indirect costs to the Federal 
Government of awarding and administering such contract 
and the impact such contract will have on the ability of 
the Federal Government to leverage its purchasing power. 
‘‘(b) DEFINITIONS.—In this section: 
‘‘(1)
COVERED
GOVERNMENTWIDE
CON-
TRACT.—The term ‘covered Governmentwide con-
tract’ means any contract, blanket purchase agree-
ment, or other contractual instrument for acquisition 
of information technology or other goods or services 
that allows for an indefinite number of orders to be 
placed under the contract, agreement, or instrument, 
and that is established by one executive agency for 
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use by multiple executive agencies to obtain goods or 
services. The term does not include— 
‘‘(A) a multiple award schedule contract 
awarded by the General Services Administra-
tion; 
‘‘(B) a Governmentwide acquisition con-
tract for information technology awarded pursu-
ant to sections 11302(e) and 11314(a)(2) of 
title 40; 
‘‘(C) orders under Governmentwide con-
tracts in existence before the effective date of 
this section; or 
‘‘(D) any contract in an amount less than 
$10,000,000, determined on an average annual 
basis. 
‘‘(2) EXECUTIVE AGENCY.—The term ‘executive 
agency’ has the meaning provided that term by sec-
tion 105 of title 5.’’. 
(2) CLERICAL AMENDMENT.—The table of sec-
tions for chapter 33 of title 41, United States Code, 
is amended by adding after the item relating to sec-
tion 3311 the following new item: 
‘‘3312. Requirement for business case approval for new Governmentwide con-
tracts.’’. 
(c) REPORT.—Not later than June 1 in each of the 
next 6 years following the date of the enactment of this 
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