H. R. 1540—233 
‘‘(A) In the case of an Army program, the Chief Manage-
ment Officer of the Army. 
‘‘(B) In the case of a Navy program, the Chief Management 
Officer of the Navy. 
‘‘(C) In the case of an Air Force program, the Chief Manage-
ment Officer of the Air Force. 
‘‘(D) In the case of a program of a Defense Agency, the 
Director, or equivalent, of such Defense Agency, unless other-
wise approved by the Deputy Chief Management Officer of 
the Department of Defense. 
‘‘(E) In the case of a program that will support the business 
processes of more than one military department or Defense 
Agency, an appropriate pre-certification authority designated 
by the Deputy Chief Management Officer of the Department 
of Defense. 
‘‘(2) For purposes of subsection (g), the appropriate senior offi-
cial of the Department of Defense for the functions and activities 
supported by a covered defense business system is as follows: 
‘‘(A) The Under Secretary of Defense for Acquisition, Tech-
nology, and Logistics, in the case of any defense business system 
the primary purpose of which is to support acquisition, logistics, 
installations, environment, or safety and occupational health 
activities of the Department of Defense. 
‘‘(B) The Under Secretary of Defense (Comptroller), in the 
case of any defense business system the primary purpose of 
which is to support financial management activities or strategic 
planning and budgeting activities of the Department of Defense. 
‘‘(C) The Under Secretary of Defense for Personnel and 
Readiness, in the case of any defense business system the 
primary purpose of which is to support human resource 
management activities of the Department of Defense. 
‘‘(D) The Chief Information Officer of the Department of 
Defense, in the case of any defense business system the primary 
purpose of which is to support information technology infra-
structure or information assurance activities of the Department 
of Defense. 
‘‘(E) The Deputy Chief Management Officer of the Depart-
ment of Defense, in the case of any defense business system 
the primary purpose of which is to support any activity of 
the Department of Defense not covered by subparagraphs (A) 
through (D). 
‘‘(g) DEFENSE BUSINESS SYSTEM INVESTMENT REVIEW.—(1) The 
Secretary of Defense shall require the Deputy Chief Management 
Officer of the Department of Defense, not later than March 15, 
2012, to establish an investment review board and investment 
management process, consistent with section 11312 of title 40, 
to review and certify the planning, design, acquisition, development, 
deployment, operation, maintenance, modernization, and project 
cost benefits and risks of covered defense business systems pro-
grams. The investment review board and investment management 
process so established shall specifically address the requirements 
of subsection (a). 
‘‘(2) The review of defense business systems programs under 
the investment management process shall include the following: 
‘‘(A) Review and approval by an investment review board 
of each covered defense business system program before the
H. R. 1540—234 
obligation of funds on the system in accordance with the 
requirements of subsection (a). 
‘‘(B) Periodic review, but not less than annually, of all 
covered defense business system programs, grouped in portfolios 
of defense business systems. 
‘‘(C) Representation on each investment review board by 
appropriate officials from among the Office of the Secretary 
of Defense, the armed forces, the combatant commands, the 
Joint Chiefs of Staff, and the Defense Agencies, including rep-
resentation from each of the following: 
‘‘(i) The appropriate pre-certification authority for the 
defense business system under review. 
‘‘(ii) The appropriate senior official of the Department 
of Defense for the functions and activities supported by 
the defense business system under review. 
‘‘(iii) The Chief Information Officer of the Department 
of Defense. 
‘‘(D) Use of threshold criteria to ensure an appropriate 
level of review within the Department of Defense of, and 
accountability for, defense business system programs depending 
on scope, complexity, and cost. 
‘‘(E) Use of procedures for making certifications in accord-
ance with the requirements of subsection (a). 
‘‘(F) Use of procedures for ensuring consistency with the 
guidance issued by the Secretary of Defense and the Defense 
Business Systems Management Committee, as required by sec-
tion 186(c) of this title, and incorporation of common decision 
criteria, including standards, requirements, and priorities that 
result in the integration of defense business systems. 
‘‘(h) BUDGET INFORMATION.—In the materials that the Secretary 
submits to Congress in support of the budget submitted to Congress 
under section 1105 of title 31 for fiscal year 2006 and fiscal years 
thereafter, the Secretary of Defense shall include the following 
information: 
‘‘(1) Identification of each defense business system program 
for which funding is proposed in that budget. 
‘‘(2) Identification of all funds, by appropriation, proposed 
in that budget for each such program, including— 
‘‘(A) funds for current services (to operate and maintain 
the system covered by such program); and 
‘‘(B) funds for business systems modernization, identi-
fied for each specific appropriation. 
‘‘(3) For each such program, identification of the appro-
priate pre-certification authority and senior official of the 
Department of Defense designated under subsection (f). 
‘‘(4) For each such program, a description of each approval 
made under subsection (a)(3) with regard to such program. 
‘‘(i) CONGRESSIONAL REPORTS.—Not later than March 15 of 
each year from 2012 through 2016, the Secretary of Defense shall 
submit to the congressional defense committees a report on Depart-
ment of Defense compliance with the requirements of this section. 
Each report shall— 
‘‘(1) describe actions taken and planned for meeting the 
requirements of subsection (a), including— 
‘‘(A) specific milestones and actual performance against 
specified performance measures, and any revision of such 
milestones and performance measures; and