722 
(b) IMPLEMENTATION PLAN.—Not later than 180 
days after the date of the enactment of this Act, the Sec-
retary shall submit to the Committees on Armed Services 
of the House of Representatives and the Senate a plan 
for carrying out the recommendations developed under 
subsection (a) and identify barriers to implementing such 
recommendations. 
SEC. 747. REPORT ON CHIROPRACTIC CARE FOR DEPEND-
ENTS AND RETIREES UNDER THE TRICARE 
PROGRAM. 
Not later than 1 year after the date of the enactment 
of this Act, the Director of the Defense Health Agency 
shall submit to the congressional defense committees a re-
port on the feasibility, efficacy, and cost of expanding cov-
erage for chiropractic care to covered beneficiaries under 
the TRICARE program (as those terms are defined in sec-
tion 1072 of title 10, United States Code). 
SEC. 748. STUDY ON MEDEVAC HELICOPTERS AND AMBU-
LANCES AT MILITARY INSTALLATIONS. 
Not later than 180 days after the date of the enact-
ment of this Act, the Secretary of Defense shall submit 
to the congressional defense committees a report con-
taining a study on the potential benefits and feasibility 
of requiring that—
723 
(1) each enduring military installation located 
outside the United States has at least one properly 
functioning medical evacuation helicopter and at 
least one properly functioning ambulance; and 
(2) each such helicopter and ambulance is 
stocked with appropriate emergency medical sup-
plies. 
SEC. 749. FUNDING FOR PANCREATIC CANCER RESEARCH. 
(a) INCREASE.—Notwithstanding the amounts set 
forth in the funding tables in division D, the amount au-
thorized to be appropriated in section 1405 for the De-
fense Health Program, as specified in the corresponding 
funding table in section 4501, for R&D Research is hereby 
increased by $5,000,000 for the purposes of a pancreatic 
cancer early detection initiative (EDI). 
(b) OFFSET.—Notwithstanding the amounts set forth 
in the funding tables in division D, the amount authorized 
to be appropriated in section 1405 for Defense Health 
Program, as specified in the corresponding funding table 
in section 4501, for Base Operations/Communications is 
hereby reduced by $5,000,000. 
SEC. 750. REPORT ON MENTAL HEALTH TREATMENT RE-
LATING TO PREGNANCY. 
(a) REPORT REQUIRED.—Not later than 180 days 
after the date of the enactment of this Act, the Secretary
724 
of Defense shall submit to Congress a report with respect 
to mental health treatment relating to pregnancy that as-
sesses the following: 
(1) The extent to which treatment for covered 
mental health issues is available and accessible to 
active duty members of the Armed Forces and the 
spouses of such members. 
(2) The extent to which data on the rate of oc-
currence of covered mental health issues among ac-
tive duty members of the Armed Forces, and the 
spouses of such members, is collected. 
(3) The barriers that prevent active duty mem-
bers of the Armed Forces, and the spouses of such 
members, from seeking or obtaining care for covered 
mental health issues. 
(4) The ways in which the Department of De-
fense is addressing barriers identified under para-
graph (3). 
(b) COVERED MENTAL HEALTH ISSUES DEFINED.— 
In this section, the term ‘‘covered mental health issues’’ 
means pregnancy-related depression, postpartum depres-
sion, and other pregnancy-related mood disorders.
725 
SEC. 750A. REPORT ON COST OF EXTENDING TRICARE COV-
ERAGE TO INDIVIDUALS PARTICIPATING IN 
HEALTH PROFESSIONS SCHOLARSHIP AND 
FINANCIAL ASSISTANCE PROGRAM. 
Not later than 120 days after the date of the enact-
ment of this Act, the Secretary of Defense shall submit 
to the congressional defense committees a report con-
taining an analysis of the cost of providing coverage and 
health care benefits under the TRICARE program to each 
individual currently participating in a health professions 
scholarship and financial assistance program established 
pursuant to section 2121 of title 10, United States Code. 
SEC. 750B. REPORT ON HEALTH CARE RECORDS OF DE-
PENDENTS WHO LATER SEEK TO SERVE AS A 
MEMBER OF THE ARMED FORCES. 
Not later than 180 days after the date of the enact-
ment of this Act, the Secretary of Defense shall submit 
to the congressional defense committees a report on the 
use by the military departments of health care records of 
individuals who are dependents or former dependents of 
members of the Armed Forces with respect to that indi-
vidual later serving or seeking to serve as a member of 
the Armed Forces. The report shall include the following: 
(1) A description of the policy of the Depart-
ment of Defense and each military department with 
respect to combining the juvenile medical records of
726 
such an individual with the military medical records 
of that individual who serves as a member of the 
Armed Forces. 
(2) The total number of cases where such juve-
nile medical records were so combined with the mili-
tary medical records of the individual. 
(3) The total number of cases where an indi-
vidual was either discharged, or was prevented from 
joining the Armed Forces, because of the juvenile 
medical records of the individual from when the indi-
vidual was a dependent of a member of the Armed 
Forces. 
(4) The total number of cases where an indi-
vidual was granted a waiver preventing a discharge 
or being denied from joining the Armed Forces as 
described in paragraph (3). 
(5) Any actions the Secretary of Defense or a 
Secretary of a military department has taken or 
plans to take to prevent a discharge or being denied 
from joining the Armed Forces as described in para-
graph (3).
727 
SEC. 750C. BRIEFING ON EXTENSION OF TRICARE PRIME 
TO ELIGIBLE BENEFICIARIES IN PUERTO 
RICO AND OTHER UNITED STATES TERRI-
TORIES. 
(a) BRIEFING.—Not later than 90 days after the date 
of the enactment of this Act, the Secretary of Defense 
shall provide to the congressional defense committees a 
briefing on the feasibility, benefits, and costs of extending 
eligibility to enroll in TRICARE Prime to eligible bene-
ficiaries who reside in Puerto Rico and other United 
States territories. 
(b) ELEMENTS.—The briefing under subsection (a) 
shall provide an assessment specifically tailored to each 
United States territory and include, at a minimum— 
(1) a description and update of the findings 
contained in the 2019 Department of Defense report 
on the feasibility and effect of extending TRICARE 
Prime to eligible beneficiaries residing in Puerto 
Rico, as required by the conference report accom-
panying the John S. McCain National Defense Au-
thorization Act for Fiscal Year 2019 (Public Law 
115–232); 
(2) an assessment of whether otherwise eligible 
beneficiaries residing in Puerto Rico and other 
United States territories have access to health care 
that is equivalent, with respect to both quality and
728 
cost, to the care available to their counterparts re-
siding in the States and the District of Columbia; 
(3) an assessment of the feasibility, benefits, 
beneficiary satisfaction and costs of extending 
TRICARE Prime to some, but not all, categories of 
beneficiaries residing in Puerto Rico and other 
United States territories; and 
(4) an assessment of opportunities to partner 
with other Federal health care systems to support 
resources and share costs and services in extending 
TRICARE Prime in Puerto Rico and the other 
United States territories. 
(c) OTHER
UNITED
STATES
TERRITORIES
DE-
FINED.—In this section, the term ‘‘other United States 
territories’’ means American Samoa, Guam, the Northern 
Mariana Islands, and the United States Virgin Islands. 
SEC. 750D. FUNDING FOR POST-TRAUMATIC STRESS DIS-
ORDER. 
(a) FUNDING.—Notwithstanding the amounts set 
forth in the funding tables in division D, the amount au-
thorized to be appropriated by section 1405 for the De-
fense Health Program, as specified in the corresponding 
funding table in such division, is hereby increased by 
$2,500,000 for post-traumatic stress disorder.
729 
(b) OFFSET.—Notwithstanding the amounts set forth 
in the funding tables in division D, the amount authorized 
to be appropriated for operation and maintenance, De-
fense-wide, as specified in the corresponding funding table 
in section 4301, for Operation and Maintenance, Defense- 
wide is hereby reduced by $2,500,000. 
SEC. 750E. INCREASED COLLABORATION WITH NIH TO 
COMBAT TRIPLE NEGATIVE BREAST CANCER. 
(a) IN GENERAL.—The Office of Health of the De-
partment of Defense shall work in collaboration with the 
National Institutes of Health to— 
(1) identify specific genetic and molecular tar-
gets and biomarkers for triple negative breast can-
cer; and 
(2) provide information useful in biomarker se-
lection, drug discovery, and clinical trials design that 
will enable both— 
(A) triple negative breast cancer patients 
to be identified earlier in the progression of 
their disease; and 
(B) the development of multiple targeted 
therapies for the disease. 
(b) FUNDING.—Notwithstanding the amounts set 
forth in the funding tables in division D, the amount au-
thorized to be appropriated by section 1405 for the De-
730 
fense Health Program, as specified in the corresponding 
funding tables in division D, is hereby increased by 
$10,000,000 to carry out subsection (a). 
(c) OFFSET.—Notwithstanding the amounts set forth 
in the funding tables in division D, the amount authorized 
to be appropriated for operation and maintenance, De-
fense-wide, as specified in the corresponding funding table 
in section 4301, for Operation and Maintenance, Defense- 
wide is hereby reduced by $10,000,000. 
SEC. 750F. STUDY ON READINESS CONTRACTS AND THE 
PREVENTION OF DRUG SHORTAGES. 
(a) STUDY.—The Secretary of Defense shall conduct 
a study on the effectiveness of readiness contracts man-
aged by the Customer Pharmacy Operations Center of the 
Defense Logistics Agency in meeting the military’s drug 
supply needs. The study shall include an analysis of how 
the contractual approach to manage drug shortages for 
military health care can be a model for responding to drug 
shortages in the civilian health care market in the United 
States. 
(b) CONSULTATION.—In conducting the study under 
subsection (a), the Secretary of Defense shall consult 
with— 
(1) the Secretary of Veterans Affairs;
731 
(2) the Commissioner of Food and Drugs and 
the Administrator of the Drug Enforcement Admin-
istration; and 
(3) physician organizations, drug manufactur-
ers, pharmacy benefit management organizations, 
and such other entities as the Secretary determines 
appropriate. 
(c) REPORT.—Not later than 1 year after the date 
of the enactment of this Act, the Secretary of Defense 
shall submit to Congress a report on the results of the 
study under subsection (a) and any conclusions and rec-
ommendations of the Secretary relating to such study. 
SEC. 750G. FINDINGS AND SENSE OF CONGRESS ON MUS-
CULOSKELETAL INJURIES. 
(a) FINDINGS.—Congress finds the following: 
(1) Musculoskeletal injuries among members of 
the Armed Forces serving on active duty result in 
more than 10,000,000 limited-duty days each year 
and account for more than 70 percent of the medi-
cally non-deployable population. 
(2) Extremity injury accounts for 79 percent of 
reported trauma cases in theater and members of 
the Armed Forces experience anterior cruciate liga-
ment (ACL) injuries at 10 times the rate of the gen-
eral population.
732 
(b) SENSE OF CONGRESS.—It is the sense of Con-
gress that Congress— 
(1) recognizes the important work of the Naval 
Advanced Medical Research Unit in Wound Care 
Research; and 
(2) encourages continued development of inno-
vations for the warfighter, especially regarding ten-
don and ligament injuries that prevent return to 
duty for extended periods of time. 
SEC. 750H. WOUNDED WARRIOR SERVICE DOG PROGRAM. 
(a) GRANTS AUTHORIZED.—The Secretary of De-
fense shall establish a program, to be known as the 
‘‘Wounded Warrior Service Dog Program’’, to award com-
petitive grants to nonprofit organizations to assist such 
organizations in the planning, designing, establishing, or 
operating (or any combination thereof) of programs to 
provide assistance dogs to covered members and veterans. 
The awarding of such grants is subject to the availability 
of appropriations provided for such purpose. 
(b) USE OF FUNDS.— 
(1) IN
GENERAL.—The recipient of a grant 
under this section shall use the grant to carry out 
programs that provide assistance dogs to covered 
members and veterans who have a disability de-
scribed in paragraph (2).
733 
(2) DISABILITY.—A disability described in this 
paragraph is any of the following: 
(A) Blindness or visual impairment. 
(B) Loss of use of a limb, paralysis, or 
other significant mobility issues. 
(C) Loss of hearing. 
(D) Traumatic brain injury. 
(E) Post-traumatic stress disorder. 
(F) Any other disability that the Secretary 
of Defense considers appropriate. 
(3) TIMING
OF
AWARD.—The Secretary may 
not award a grant under this section to reimburse 
a recipient for costs previously incurred by the re-
cipient in carrying out a program to provide assist-
ance dogs to covered members and veterans unless 
the recipient elects for the award to be such a reim-
bursement. 
(c) ELIGIBILITY.—To be eligible to receive a grant 
under this section, a nonprofit organization shall submit 
an application to the Secretary at such time, in such man-
ner, and containing such information as the Secretary may 
require. Such application shall include— 
(1) a proposal for the evaluation required by 
subsection (d); and 
(2) a description of—
734 
(A) the training that will be provided by 
the organization to covered members and vet-
erans; 
(B) the training of dogs that will serve as 
assistance dogs; 
(C) the aftercare services that the organi-
zation will provide for such dogs and covered 
members and veterans; 
(D) the plan for publicizing the availability 
of such dogs through a targeted marketing 
campaign to covered members and veterans; 
(E) the recognized expertise of the organi-
zation in breeding and training such dogs; 
(F) the commitment of the organization to 
humane standards for animals; and 
(G) the experience of the organization with 
working with military medical treatment facili-
ties or medical facilities of the Department of 
Veterans Affairs; and 
(3) a statement certifying that the organiza-
tion— 
(A) is accredited by Assistance Dogs Inter-
national, the International Guide Dog Federa-
tion, or another similar widely recognized ac-
creditation organization that the Secretary de-
735 
termines has accreditation standards that meet 
or exceed the standards of Assistance Dogs 
International and the International Guide Dog 
Federation; or 
(B) is a candidate for such accreditation or 
otherwise meets or exceeds such standards, as 
determined by the Secretary. 
(d) EVALUATION.—The Secretary shall require each 
recipient of a grant to use a portion of the funds made 
available through the grant to conduct an evaluation of 
the effectiveness of the activities carried out through the 
grant by such recipient. 
(e) COORDINATION.—The Secretary of Defense shall 
coordinate with the Secretary of Veterans Affairs in 
awarding grants under this section. 
(f) DEFINITIONS.—In this section: 
(1) ASSISTANCE
DOG.—The term ‘‘assistance 
dog’’ means a dog specifically trained to perform 
physical tasks to mitigate the effects of a disability 
described in subsection (b)(2), except that the term 
does not include a dog specifically trained for com-
fort or personal defense. 
(2) COVERED MEMBERS AND VETERANS.—The 
term ‘‘covered members and veterans’’ means—
736 
(A) with respect to a member of the 
Armed Forces, such member who is— 
(i) receiving medical treatment, recu-
peration, or therapy under chapter 55 of 
title 10, United States Code; 
(ii) in medical hold or medical hold-
over status; or 
(iii) covered under section 1202 or 
1205 of title 10, United States Code; and 
(B) with respect to a veteran, a veteran 
who is enrolled in the health care system estab-
lished under section 1705(a) of title 38, United 
States Code. 
SEC. 750I. SENSE OF CONGRESS REGARDING MATERNAL 
MORTALITY REVIEW. 
It is the sense of Congress that— 
(1) maternal Mortality, and the racial dispari-
ties in the rates of pregnancy-related deaths in our 
country, presents a challenge to our Nation that re-
quires a strong and uniform response across all 
parts of our society, including the military; 
(2) the Defense Department should be acknowl-
edged for the efforts it has begun to address con-
cerns about maternal mortality and severe morbidity 
among service members and dependents;
737 
(3) State maternal mortality review committees, 
which involve a multidisciplinary group of experts in-
cluding physicians, epidemiologists, and others, have 
made significant advancements in identifying, char-
acterizing, and providing a deeper understanding of 
the circumstances surrounding each maternal death, 
which can be helpful in designing effective public 
health responses to prevent future such deaths; 
(4) key to the work of such review committees 
is transparent, consistent, and comprehensive data 
collection regarding maternal deaths, the use of ef-
fective methods to ensure confidentiality protections 
and de-identification of any information specific to a 
reviewed case, information sharing with relevant 
stakeholders including access to the CDC’s National 
Death Index data and State death certificate data; 
(5) the Defense Department is encouraged to 
continue to work to establish a maternal mortality 
review committee which would conduct reviews of 
each death of a service member or dependent during 
pregnancy or childbirth involving a multidisciplinary 
group of experts including physicians, epidemiolo-
gists, patient advocates, civilians with experience 
with maternal mortality review committees and re-
738 
views of maternal mortality records, and other ex-
perts; 
(6) the Department should keep Congress regu-
larly updated and informed, through reports and 
briefings on its efforts to set up the committee ref-
erenced in paragraph (5), any barriers to estab-
lishing such committee, and its overall efforts to ad-
dress maternal mortality among service members 
and dependents, including its efforts to participate 
in the Alliance for Innovation on Maternal program 
or similar maternal health quality improvement ini-
tiatives. 
SEC. 750J. REPORT ON LAPSES IN TRICARE COVERAGE FOR 
MEMBERS OF THE NATIONAL GUARD AND RE-
SERVE COMPONENTS. 
(a) REPORT.—Not later than 1 year after the date 
of the enactment of this Act, the Comptroller General of 
the United States shall submit to the appropriate congres-
sional committees a report containing an analysis of each 
of the following: 
(1) Any lapses in coverage under the TRICARE 
program for a member of a reserve component that 
occurred during the 8-year period ending on the date 
of the enactment of this Act and were caused by a
739 
change in the duty status of such member, including 
an identification of the total number of such lapses. 
(2) The factors contributing to any such lapses, 
including— 
(A) technological factors, including factors 
relating to outdated systems; 
(B) human errors in processing changes in 
duty status; and 
(C) shortages in the level of administrative 
staffing of the National Guard. 
(3) How factors contributing to any such lapses 
were identified under paragraph (2) and whether ac-
tions have been taken to address the factors. 
(4) The effect of any such lapses on— 
(A) the delivery of health care benefits to 
members of the reserve components and the eli-
gible dependents of such members; or 
(B) force readiness and force retention. 
(5) The parties responsible for identifying and 
communicating to a member of a reserve component 
issues relating to eligibility under the TRICARE 
program. 
(6) The methods by which a member of a re-
serve component, an eligible dependent of such mem-
ber, or the Secretary of Defense may verify the sta-
740 
tus of enrollment in the TRICARE program regard-
ing the member before, during, and after a deploy-
ment of the member. 
(7) The comparative effectiveness, with respect 
to the delivery of health care benefits to a member 
of a reserve component and eligible dependents of 
such member, of— 
(A) continuing the current process by 
which a previously eligible member must transi-
tion from coverage under TRICARE Reserve 
Select to coverage under TRICARE Prime after 
a change to active service in the duty status of 
such member; and 
(B) establishing a new process by which a 
previously eligible member may remain covered 
by TRICARE Reserve Select after a change to 
active service in the duty status of such mem-
ber (whether by allowing a previously eligible 
member to pay a premium for such coverage or 
by requiring the Federal Government to provide 
for such coverage). 
(8) Whether the current process referred to in 
paragraph (7)(A) negatively affects the delivery of 
health care benefits as a result of transitions be-
tween network providers.
741 
(9) The actions necessary to prevent future oc-
currences of such lapses, including legislative ac-
tions. 
(b) DEFINITIONS.—In this section: 
(1) The term ‘‘active service’’ has the meaning 
given that term in section 101(d) of title 10, United 
States Code. 
(2) The term ‘‘appropriate congressional com-
mittees’’ means the congressional defense commit-
tees (as defined in section 101(a) of title 10, United 
States Code) and the Committees on Veterans’ Af-
fairs of the House of Representatives and the Sen-
ate. 
(3) The term ‘‘eligible dependent’’ means a de-
pendent of a member of a reserve component— 
(A) described in subparagraph (A), (D), or 
(I) of section 1072(2) of title 10, United States 
Code; and 
(B) 
eligible 
for 
coverage 
under 
the 
TRICARE Program. 
(4) The term ‘‘previously eligible member’’ 
means a member of a reserve component who was el-
igible for coverage under TRICARE Reserve Select 
pursuant to section 1076d of title 10, United States
742 
Code, prior to a change to active service in the duty 
status of such member. 
(5) 
The 
terms 
‘‘TRICARE 
Prime’’ 
and 
‘‘TRICARE program’’ have the meanings given 
those terms in section 1072 of title 10, United 
States Code. 
(6) The term ‘‘TRICARE Reserve Select’’ has 
the meaning given that term in section 1076d(f) of 
title 10, United States Code. 
SEC. 750K. STUDY AND REPORT ON INCREASING TELE-
HEALTH SERVICES ACROSS ARMED FORCES. 
(a) STUDY.—The Secretary of Defense shall conduct 
a study that reviews, identifies, and evaluates the tech-
nology approaches, policies, and concepts of operations of 
telehealth and telemedicine programs across all military 
departments. The study shall include: 
(1) Identification and evaluation of limitations 
and vulnerabilities of healthcare and medicine capa-
bilities as they relate to telemedicine. 
(2) Identification and evaluation of essential 
technologies needed to achieve documented goals and 
capabilities of telehealth and associated technologies 
required to support sustainability. 
(3) Development of a technology maturation 
roadmap, including an estimated funding profile over
743 
time, needed to achieve an effective operational tele-
health usage that describes both the critical and as-
sociated supporting technologies, systems integra-
tion, prototyping and experimentation, and test and 
evaluation. 
(4) An analysis of telehealth programs, such as 
remote diagnostic testing and evaluation tools that 
contribute to the medical readiness of military med-
ical providers. 
(b) REPORT.—Not later than 1 year after the date 
of the enactment of this Act, the Secretary of Defense 
shall submit to the Congressional defense committees the 
study conducted under subsection (a). 
SEC. 750L. STUDY ON JOINT DEPLOYMENT FORMULARY. 
(a) STUDY.—Not later than 270 days after the date 
of the enactment of this Act, the Secretary of Defense, 
in consultation with the Secretary of Health and Human 
Services, the Commissioner of Food and Drugs, and the 
heads of other departments and agencies of the Federal 
Government that the Secretary of Defense determines ap-
propriate, shall submit to the appropriate congressional 
committees a report containing a study on the joint de-
ployment formulary. 
(b) ELEMENTS.—The study under subsection (a) 
shall include—
744 
(1) a list of the drugs and vaccines on the joint 
deployment formulary; 
(2) an identification of the active pharma-
ceutical ingredients of such drugs and vaccines and 
the components of such active pharmaceutical ingre-
dients; 
(3) the country of origin of— 
(A) the active pharmaceutical ingredients; 
(B) the components of such ingredients; 
and 
(C) the source materials of such ingredi-
ents and components; 
(4) a list of each manufacturer of such drugs 
and vaccines that is owned, in whole or in part, by 
a foreign entity, including— 
(A) identification of each such foreign enti-
ty; and 
(B) the percentage of such ownership by 
each such foreign entity; 
(5) identification of any barriers, limitations, or 
constraints that may inhibit the ability of the De-
partment of Defense to procure and sustain its sup-
ply of drugs and vaccines, including with respect 
to— 
(A) the Federal Acquisition Regulation;
745 
(B) applicable laws and regulations of the 
Federal Government; and 
(C) whether the raw materials can be 
found in the United States; 
(6) an identification of military partners and al-
lies of the United States who could help manufac-
ture such components and materials; 
(7) an assessment of the steps the Secretary of 
Defense is currently taking to mitigate any short-
ages of critical drugs and vaccines on the joint de-
ployment formulary; 
(8) a description of how the Secretary of De-
fense coordinates with the Secretary of Health and 
Human Services, the Commissioner of Food and 
Drugs, the Secretary of Commerce, the Secretary of 
Veterans Affairs, and other applicable heads of de-
partments and agencies of the Federal Government; 
and 
(9) if the Secretary is unable to provide any of 
the information under paragraphs (1) through (8), 
identification of any barriers in providing such infor-
mation. 
(c) FORM.—
746 
(1) IN GENERAL.—The report submitted under 
subsection (a) shall be submitted in classified form 
and shall include an unclassified summary. 
(2) PROTECTION OF INFORMATION.—The Sec-
retary of Defense— 
(A) shall ensure that the unclassified sum-
mary described in paragraph (1) protects pro-
prietary information pursuant to the Federal 
Acquisition Regulation and the Defense Federal 
Acquisition Regulation; and 
(B) may not disclose in such unclassified 
summary any information that is a trade secret 
under section 552(b)(4) of title 5, United 
States Code, or confidential information under 
section 1905 of title 18, United States Code. 
(d) APPROPRIATE
CONGRESSIONAL
COMMITTEES 
DEFINED.—In this section, the term ‘‘appropriate con-
gressional committees’’ means— 
(1) the congressional defense committees; 
(2) the Committee on Energy and Commerce of 
the House of Representatives and the Committee on 
Health, Education, Labor, and Pensions of the Sen-
ate; and 
(3) any other committee of Congress the Sec-
retary of Defense determines appropriate.
747 
Subtitle E—Mental Health Services 
From Department of Veterans 
Affairs for Members of Reserve 
Components 
SEC. 751. SHORT TITLE. 
This subtitle may be cited as the ‘‘Care and Readi-
ness Enhancement for Reservists Act of 2020’’ or the 
‘‘CARE for Reservists Act of 2020’’. 
SEC. 752. EXPANSION OF ELIGIBILITY FOR READJUSTMENT 
COUNSELING 
AND 
RELATED 
OUTPATIENT 
SERVICES FROM DEPARTMENT OF VETERANS 
AFFAIRS TO INCLUDE MEMBERS OF RESERVE 
COMPONENTS OF THE ARMED FORCES. 
(a) 
READJUSTMENT
COUNSELING.—Subsection 
(a)(1) of section 1712A of title 38, United States Code, 
is amended by adding at the end the following new sub-
paragraph: 
‘‘(D)(i) The Secretary, in consultation with the Sec-
retary of Defense, may furnish to any member of the re-
serve components of the Armed Forces who has a behav-
ioral health condition or psychological trauma, counseling 
under subparagraph (A)(i), which may include a com-
prehensive individual assessment under subparagraph 
(B)(i).
748 
‘‘(ii) A member of the reserve components of the 
Armed Forces described in clause (i) shall not be required 
to obtain a referral before being furnished counseling or 
an assessment under this subparagraph.’’. 
(b) OUTPATIENT SERVICES.—Subsection (b) of such 
section is amended— 
(1) in paragraph (1)— 
(A) by inserting ‘‘to an individual’’ after 
‘‘If, on the basis of the assessment furnished’’; 
and 
(B) by striking ‘‘veteran’’ each place it ap-
pears and inserting ‘‘individual’’; and 
(2) in paragraph (2), by striking ‘‘veteran’’ and 
inserting ‘‘individual’’. 
(c) EFFECTIVE DATE.—The amendments made by 
this section shall take effect on the date that is 1 year 
after the date of the enactment of this Act. 
SEC. 753. PROVISION OF MENTAL HEALTH SERVICES FROM 
DEPARTMENT OF VETERANS AFFAIRS TO 
MEMBERS OF RESERVE COMPONENTS OF 
THE ARMED FORCES. 
(a) IN GENERAL.—Subchapter VIII of chapter 17 of 
title 38, United States Code, is amended by adding at the 
end the following new section:
749 
‘‘§ 1789. Mental health services for members of the re-
serve components of the Armed Forces 
‘‘The Secretary, in consultation with the Secretary of 
Defense, may furnish mental health services to members 
of the reserve components of the Armed Forces.’’. 
(b) CLERICAL AMENDMENT.—The table of sections 
at the beginning of such subchapter is amended by insert-
ing after the item relating to section 1788 the following 
new item: 
‘‘1789. Mental health services for members of the reserve components of the 
Armed Forces.’’. 
SEC. 754. INCLUSION OF MEMBERS OF RESERVE COMPO-
NENTS IN MENTAL HEALTH PROGRAMS OF 
DEPARTMENT OF VETERANS AFFAIRS. 
(a) SUICIDE PREVENTION PROGRAM.— 
(1) IN GENERAL.—Section 1720F of title 38, 
United States Code, is amended by adding at the 
end the following new subsection: 
‘‘(l)(1) COVERED INDIVIDUAL DEFINED.—In this 
section, the term ‘covered individual’ means a veteran or 
a member of the reserve components of the Armed Forces. 
‘‘(2) In determining coverage of members of the re-
serve components of the Armed Forces under the com-
prehensive program, the Secretary shall consult with the 
Secretary of Defense.’’.
750 
(2) CONFORMING AMENDMENTS.—Such section 
is further amended— 
(A) in subsection (a), by striking ‘‘vet-
erans’’ and inserting ‘‘covered individuals’’; 
(B) in subsection (b), by striking ‘‘vet-
erans’’ each place it appears and inserting ‘‘cov-
ered individuals’’; 
(C) in subsection (c)— 
(i) in the subsection heading, by strik-
ing ‘‘OF VETERANS’’; 
(ii) by striking ‘‘veterans’’ each place 
it appears and inserting ‘‘covered individ-
uals’’; and 
(iii) by striking ‘‘veteran’’ and insert-
ing ‘‘individual’’; 
(D) in subsection (d), by striking ‘‘to vet-
erans’’ each place it appears and inserting ‘‘to 
covered individuals’’; 
(E) in subsection (e), in the matter pre-
ceding paragraph (1), by striking ‘‘veterans’’ 
and inserting ‘‘covered individuals’’; 
(F) in subsection (f)— 
(i) in the first sentence, by striking 
‘‘veterans’’ and inserting ‘‘covered individ-
uals’’; and
751 
(ii) in the second sentence, by insert-
ing ‘‘or members’’ after ‘‘veterans’’; 
(G) in subsection (g), by striking ‘‘vet-
erans’’ and inserting ‘‘covered individuals’’; 
(H) in subsection (h), by striking ‘‘vet-
erans’’ and inserting ‘‘covered individuals’’; 
(I) in subsection (i)— 
(i) in the subsection heading, by strik-
ing ‘‘FOR VETERANS AND FAMILIES’’; 
(ii) in the matter preceding paragraph 
(1), by striking ‘‘veterans and the families 
of veterans’’ and inserting ‘‘covered indi-
viduals and the families of covered individ-
uals’’; 
(iii) in paragraph (2), by striking 
‘‘veterans’’ and inserting ‘‘covered individ-
uals’’; and 
(iv) in paragraph (4), by striking 
‘‘veterans’’ each place it appears and in-
serting ‘‘covered individuals’’; 
(J) in subsection (j)— 
(i) in paragraph (1), by striking ‘‘vet-
erans’’ each place it appears and inserting 
‘‘covered individuals’’; and 
(ii) in paragraph (4)—
752 
(I) in subparagraph (A), in the 
matter preceding clause (i), by strik-
ing ‘‘women veterans’’ and inserting 
‘‘covered individuals who are women’’; 
(II) in subparagraph (B), by 
striking ‘‘women veterans who’’ and 
inserting ‘‘covered individuals who are 
women and’’; and 
(III) in subparagraph (C), by 
striking ‘‘women veterans’’ and insert-
ing ‘‘covered individuals who are 
women’’; and 
(K) in subsection (k), by striking ‘‘vet-
erans’’ and inserting ‘‘covered individuals’’. 
(3) CLERICAL AMENDMENTS.— 
(A) IN GENERAL.—Such section is further 
amended, in the section heading, by inserting 
‘‘and members of the reserve compo-
nents of the Armed Forces’’ after ‘‘vet-
erans’’. 
(B) TABLE OF SECTIONS.—The table of 
sections at the beginning of such subchapter is 
amended by striking the item relating to section 
1720F and inserting the following new item: 
‘‘1720F. Comprehensive program for suicide prevention among veterans and 
members of the reserve components of the Armed Forces.’’.
753 
(b) MENTAL HEALTH TREATMENT FOR INDIVIDUALS 
WHO SERVED IN CLASSIFIED MISSIONS.— 
(1) IN GENERAL.—Section 1720H of such title 
is amended— 
(A) in subsection (a)— 
(i) in paragraph (1)— 
(I) by striking ‘‘eligible veteran’’ 
and inserting ‘‘eligible individual’’; 
and 
(II) by striking ‘‘the veteran’’ 
and inserting ‘‘the individual’’; and 
(ii) in paragraph (3), by striking ‘‘eli-
gible veterans’’ and inserting ‘‘eligible indi-
viduals’’; 
(B) in subsection (b)— 
(i) by striking ‘‘a veteran’’ and insert-
ing ‘‘an individual’’; and 
(ii) by striking ‘‘eligible veteran’’ and 
inserting ‘‘eligible individual’’; and 
(C) in subsection (c)— 
(i) in paragraph (2), in the matter 
preceding subparagraph (A), by striking 
‘‘The term ‘eligible veteran’ means a vet-
eran’’ and inserting ‘‘The term ‘eligible in-
dividual’ means a veteran or a member of
754 
the reserve components of the Armed 
Forces’’; and 
(ii) in paragraph (3), by striking ‘‘eli-
gible veteran’’ and inserting ‘‘eligible indi-
vidual’’. 
(2) CLERICAL AMENDMENTS.— 
(A) IN GENERAL.—Such section is further 
amended, in the section heading, by inserting 
‘‘and members of the reserve compo-
nents of the Armed Forces’’ after ‘‘vet-
erans’’. 
(B) TABLE OF SECTIONS.—The table of 
sections at the beginning of chapter 17 of such 
title is amended by striking the item relating to 
section 1720H and inserting the following new 
item: 
‘‘1720H. Mental health treatment for veterans and members of the reserve com-
ponents of the Armed Forces who served in classified mis-
sions.’’. 
SEC. 755. REPORT ON MENTAL HEALTH AND RELATED 
SERVICES PROVIDED BY DEPARTMENT OF 
VETERANS AFFAIRS TO MEMBERS OF THE 
ARMED FORCES. 
(a) IN GENERAL.—Not later than 1 year after the 
date of the enactment of this Act, the Secretary of Vet-
erans Affairs shall submit to the congressional defense 
committees and the Committees on Veterans’ Affairs of
755 
the Senate and the House of Representatives a report that 
includes an assessment of the following: 
(1) The increase, as compared to the day before 
the date of the enactment of this Act, of the number 
of members of the Armed Forces that use readjust-
ment counseling or outpatient mental health care 
from 
the 
Department 
of 
Veterans 
Affairs, 
disaggregated by State, Vet Center location, and 
clinical care site of the Department, as appropriate. 
(2) The number of members of the reserve com-
ponents of the Armed Forces receiving telemental 
health care from the Department. 
(3) The increase, as compared to the day before 
the date of the enactment of this Act, of the annual 
cost associated with readjustment counseling and 
outpatient mental health care provided by the De-
partment to members of the reserve components of 
the Armed Forces. 
(4) The changes, as compared to the day before 
the date of the enactment of this Act, in staffing, 
training, organization, and resources required for 
the Department to offer readjustment counseling 
and outpatient mental health care to members of the 
reserve components of the Armed Forces.
756 
(5) Any challenges the Department has encoun-
tered in providing readjustment counseling and out-
patient mental health care to members of the reserve 
components of the Armed Forces. 
(b) VET CENTER DEFINED.—In this section, the 
term ‘‘Vet Center’’ has the meaning given that term in 
section 1712A(h) of title 38, United States Code. 
SEC. 756. PILOT PROGRAM ON SLEEP APNEA AMONG NEW 
RECRUITS. 
(a) PILOT PROGRAM.—The Secretary of Defense, 
acting through the Defense Health Agency, shall carry out 
a pilot program to determine the prevalence of sleep apnea 
among members of the Armed Forces assigned to initial 
training. 
(b) PARTICIPATION.— 
(1) MEMBERS.—The Secretary shall ensure 
that the number of members who participate in the 
pilot program under subsection (a) is sufficient to 
collect statistically significant data for each military 
department. 
(2) SPECIAL
RULE.—The Secretary may not 
disqualify a member from service in the Armed 
Forces by reason of the member being diagnosed 
with sleep apnea pursuant to the pilot program 
under subsection (a).
757 
(c) PROCESS.—The Secretary shall carry out the pilot 
program by testing members for sleep apnea using non- 
invasive methods over the course of 2 consecutive nights 
that allow for 6 to 8 hours of sleep. 
SEC. 757. REPORT ON RESEARCH AND STUDIES ON HEALTH 
EFFECTS OF BURN PITS. 
The Secretary of Defense shall submit to the congres-
sional defense committees and the Committees on Vet-
erans’ Affairs of the House of Representatives and the 
Senate a detailed report on the status, methodology, and 
culmination timeline of all the research and studies being 
conducted to assess the health effects of burn pits. The 
report shall include an identification of any challenges and 
potential challenges with respect to completing such re-
search and studies and recommendations to address such 
challenges. 
SEC. 758. MANDATORY TRAINING ON HEALTH EFFECTS OF 
BURN PITS. 
The Secretary of Defense shall provide to each med-
ical provider of the Department of Defense mandatory 
training with respect to the potential health effects of burn 
pits.
758 
SEC. 759. INCLUSION OF INFORMATION ON EXPOSURE TO 
OPEN 
BURN 
PITS 
IN 
POSTDEPLOYMENT 
HEALTH REASSESSMENTS. 
(a) IN GENERAL.—The Secretary of Defense shall in-
clude in postdeployment health reassessments conducted 
under section 1074f of title 10, United States Code, pur-
suant to a Department of Defense Form 2796, or suc-
cessor form, an independent and conspicuous question re-
garding exposure of members of the Armed Forces to open 
burn pits. 
(b) INCLUSION IN ASSESSMENTS BY MILITARY DE-
PARTMENTS.—The Secretary of Defense shall ensure that 
the Secretary of each military department includes a ques-
tion regarding exposure of members of the Armed Forces 
to open burn pits in any electronic postdeployment health 
assessment conducted by that military department. 
(c) OPEN BURN PIT DEFINED.—In this section, the 
term ‘‘open burn pit’’ has the meaning given that term 
in section 201(c) of the Dignified Burial and Other Vet-
erans’ Benefits Improvement Act of 2012 (Public Law 
112–260; 38 U.S.C. 527 note).
759 
SEC. 760. EXPANSION OF SCOPE OF DEPARTMENT OF VET-
ERANS AFFAIRS OPEN BURN PIT REGISTRY 
TO INCLUDE OPEN BURN PITS IN EGYPT AND 
SYRIA. 
Section 201(c)(2) of the Dignified Burial and Other 
Veterans’ Benefits Improvement Act of 2012 (Public Law 
112–260; 38 U.S.C. 527 note) is amended, in the matter 
before subparagraph (A), by striking ‘‘or Iraq’’ and insert-
ing ‘‘, Iraq, Egypt, or Syria’’. 
SEC. 761. PILOT PROGRAM ON TREATMENT OF CERTAIN 
MEMBERS 
OF 
THE 
ARMED 
FORCES 
IM-
PACTED BY TRAUMATIC BRAIN INJURY AND 
OTHER ASSOCIATED HEALTH FACTORS THAT 
INFLUENCE LONG-TERM BRAIN HEALTH AND 
PERFORMANCE. 
(a) PILOT PROGRAM.— 
(1) IN
GENERAL.—Not later than 180 days 
after the date of the enactment of this Act, the Sec-
retary of Defense may commence the conduct of a 
pilot program through the award of grants to carry 
out a comprehensive brain health and treatment pro-
gram that provides coordinated, integrated, multi-
disciplinary specialist evaluations, treatment initi-
ation, and aftercare coordination to members of the 
Army, Navy, Air Force, Marine Corps, and Space 
Force impacted by traumatic brain injury and other
760 
associated health factors that influence long-term 
brain health and performance. 
(2) ELEMENTS.— 
(A) EVALUATIONS.—Multidisciplinary spe-
cialist evaluations under paragraph (1) shall in-
clude evaluations in the following specialties: 
(i) Brain injury medicine. 
(ii) Neuropsychology. 
(iii) Clinical psychology. 
(iv) Psychiatry. 
(v) Neuroendocrinology. 
(vi) Sports medicine. 
(vii) Muscular skeletal and vestibular 
physical therapy. 
(viii) Neuroimaging. 
(ix) Hormonal evaluation. 
(x) Metabolic testing. 
(xi) Cardiovascular testing. 
(xii) Cerebrovascular testing. 
(B) TREATMENT.—Treatment under para-
graph (1) shall include the following: 
(i) Headache treatment. 
(ii) Sleep interventions and medica-
tion.
761 
(iii) Injection-based therapies for mus-
culoskeletal pain. 
(iv) Cognitive rehabilitation. 
(v) Vestibular physical therapy. 
(vi) Exercise programming. 
(b) ELIGIBLE INDIVIDUALS.—An individual is eligi-
ble to participate in the pilot program under this section 
if the individual— 
(1) is a member of the Army, Navy, Air Force, 
Marine Corps, or Space Force who served on active 
duty; and 
(2) experienced an incident for which treatment 
may be sought under the pilot program while per-
forming— 
(A) active service; or 
(B) active Guard and Reserve duty. 
(c) MAXIMUM AMOUNT OF GRANTS.—In accordance 
with the services being provided under a grant under this 
section and the duration of those services, the Secretary 
shall establish a maximum amount to be awarded under 
the grant that is not greater than $750,000 per grantee 
per fiscal year. 
(d) REQUIREMENTS FOR RECEIPT OF FINANCIAL AS-
SISTANCE.—
762 
(1) NOTIFICATION THAT SERVICES ARE FROM 
DEPARTMENT.—Each entity receiving financial as-
sistance under this section to provide services to eli-
gible individuals and their family shall notify the re-
cipients of such services that such services are being 
paid for, in whole or in part, by the Department. 
(2) COORDINATION
WITH
OTHER
SERVICES 
FROM DEPARTMENT.—Each entity receiving a grant 
under this section shall coordinate with the Sec-
retary with respect to the provision of clinical serv-
ices to eligible individuals in accordance with any 
other provision of law regarding the delivery of 
healthcare under the laws administered by the Sec-
retary. 
(3) MEASUREMENT
AND
MONITORING.—Each 
entity receiving a grant under this section shall sub-
mit to the Secretary a description of the tools and 
assessments the entity uses or will use to determine 
the effectiveness of the services furnished by the en-
tity under this section, including the effect of those 
services on— 
(A) the financial stability of eligible indi-
viduals receiving those services;
763 
(B) the mental health status, well-being, 
and suicide risk of those eligible individuals; 
and 
(C) the social support of those eligible indi-
viduals. 
(4) REPORTS.—The Secretary— 
(A) shall require each entity receiving fi-
nancial assistance under this section to submit 
to the Secretary an annual report that describes 
the projects carried out with such financial as-
sistance during the year covered by the report, 
including the number of eligible individuals 
served; 
(B) shall specify to each such entity the 
evaluation criteria and data and information, 
which shall include a mental health, well-being, 
and suicide risk assessment of each eligible in-
dividual served, to be submitted in such report; 
and 
(C) may require such entities to submit to 
the Secretary such additional reports as the 
Secretary considers appropriate. 
(e) TERMINATION.—The Secretary may not conduct 
the pilot program under this section after the date that 
is 3 years after the date of the enactment of this Act.
764 
(f) REPORT.—Not later than 180 days after the date 
on which the pilot program under this section terminates, 
the Secretary shall submit to the Committees on Armed 
Services of the Senate and the House of Representatives 
a report on the effectiveness of the pilot program. 
(g) DEFINITIONS.—In this section, the terms ‘‘active 
duty’’, ‘‘active Guard and Reserve duty’’, and ‘‘active serv-
ice’’ have the meanings given those terms in section 101 
of title 10, United States Code. 
TITLE VIII—ACQUISITION POL-
ICY, ACQUISITION MANAGE-
MENT, AND RELATED MAT-
TERS 
Subtitle A—Acquisition Policy and 
Management 
SEC. 801. CONGRESSIONAL NOTIFICATION OF TERMI-
NATION OF A MIDDLE TIER ACQUISITION 
PROGRAM. 
Section 804 of the National Defense Authorization 
Act for Fiscal Year 2016 (Public Law 114–92; 10 U.S.C. 
2302 note), is amended by adding at the end the following 
new subsection: 
‘‘(e) REPORT.—Not later than 30 days after the date 
of termination of an acquisition program commenced 
using the authority under this section, the Secretary of
765 
Defense shall submit to Congress a notification of such 
termination. Such notice shall include— 
‘‘(1) the initial amount of a contract awarded 
under such acquisition program; 
‘‘(2) the aggregate amount of funds awarded 
under such contract; and 
‘‘(3) written documentation of the reason for 
termination of such acquisition program.’’. 
SEC. 802. MODIFICATION TO THE DEFINITION OF NON-
TRADITIONAL DEFENSE CONTRACTOR. 
Section 2302(9) of title 10, United States Code, is 
amended to read as follows: 
‘‘(9) the term ‘nontraditional defense con-
tractor’, with respect to a procurement or with re-
spect to a transaction authorized under section 
2371(a) or 2371b of this title, means— 
‘‘(A) an entity that is not currently per-
forming and has not performed, for at least the 
one-year period preceding the solicitation of 
sources by the Department of Defense for the 
procurement or transaction, any contract or 
subcontract for the Department of Defense that 
is subject to full coverage under the cost ac-
counting standards prescribed pursuant to sec-
766 
tion 1502 of title 41 and the regulations imple-
menting such section; or 
‘‘(B) a corporation all of the stock of 
which is owned by an employee stock ownership 
plan (as defined in section 4975(e)(7) of the In-
ternal Revenue Code of 1986).’’. 
SEC. 
803. 
MAJOR 
WEAPON 
SYSTEMS: 
LIFE-CYCLE 
SUSTAINMENT PLAN. 
(a) IN GENERAL.—Chapter 139 of title 10, United 
States Code, is amended by inserting after section 2366c 
the following new section: 
‘‘§ 2366d. 
Major 
weapon 
systems: 
life-cycle 
sustainment plans 
‘‘(a) REQUIREMENT.—Before granting Milestone C 
approval for a major weapon system acquired pursuant to 
a major defense acquisition program, the milestone deci-
sion authority for such program shall submit to the Sec-
retary a life-cycle sustainment plan. 
‘‘(b) ELEMENTS.—A life-cycle sustainment plan re-
quired under subsection (a) shall include— 
‘‘(1) a sustainment plan that includes the prod-
uct support strategy, performance, and operation 
and support costs of the major weapon system;
767 
‘‘(2) metrics to measure readiness and avail-
ability of the major weapon system to perform its in-
tended purpose or function; 
‘‘(3) a schedule for the major maintenance and 
overhaul activities that will be required during the 
life cycle of the major weapon system; and 
‘‘(4) a sustainment baseline cost estimate for 
the planned life cycle of the major weapon system 
that includes a technical data and intellectual prop-
erty management plan that clearly delineates which 
subsystems of the major weapon system are Govern-
ment-owned or Government-required and which sub-
systems are owned by a prime contractor or subcon-
tractor (at any tier). 
‘‘(c) REVIEW.—The Secretary of Defense shall review 
a life-cycle sustainment plan submitted under subsection 
(a) 5 years after the receipt of Milestone C approval de-
scribed in such subsection, and every 10 years thereafter, 
to ensure that the major weapon system is cost effective 
and is able to meet required metrics relating to readiness 
and availability of such system. 
‘‘(d) NOTIFICATION REQUIREMENTS.— 
‘‘(1) IN
GENERAL.—Not later than 45 days 
after a significant and critical breach of a 
sustainment baseline cost estimate of a life-cycle
768 
sustainment plan for a major weapon system ac-
quired pursuant to a major defense acquisition pro-
gram, the Secretary of the military department that 
is managing such program shall submit to the con-
gressional defense committees a notification of such 
breach. 
‘‘(2) REVIEW.—Not later than 180 days after 
submitting a notification under paragraph (1), such 
Secretary shall review the sustainment costs of the 
major weapon system to which such notification re-
lates relative to the sustainment baseline cost esti-
mate. 
‘‘(3) ADDITIONAL
SUBMISSION.—Such Sec-
retary shall submit to the congressional defense com-
mittees— 
‘‘(A) a certification that the review re-
quired under paragraph (2) has been com-
pleted; and 
‘‘(B) a remediation plan or endorsement by 
such Secretary that the sustainment cost 
growth is justified and required for such Sec-
retary to meet the requirements related to the 
major defense acquisition program. 
‘‘(e) DEFINITIONS.—In this section:
769 
‘‘(1) 
MAJOR
DEFENSE
ACQUISITION
PRO-
GRAM.—The term ‘major defense acquisition pro-
gram’ has the meaning given in section 2430 of this 
title. 
‘‘(2) MAJOR
WEAPON
SYSTEM.—The term 
‘major weapon system’ has the meaning given in sec-
tion 2379(f) of this title. 
‘‘(3) MILESTONE
C
APPROVAL.—The term 
‘Milestone C approval’ means a decision to enter 
into production and deployment pursuant to guid-
ance prescribed by the Secretary of Defense for the 
management of a major defense acquisition pro-
gram. 
‘‘(4) SUSTAINMENT
BASELINE
COST
ESTI-
MATE.—The term ‘sustainment baseline cost esti-
mate’ means the cost estimate and schedule for a 
life-cycle sustainment plan required under this sec-
tion.’’. 
(b) CLERICAL AMENDMENT.—The table of sections 
at the beginning of chapter 139 of title 10, United States 
Code, is amended by inserting after the item relating to 
section 2366c the following new item: 
‘‘2366d. Major weapon systems: life-cycle sustainment plans.’’.
770 
SEC. 804. CONTRACTOR BUSINESS SYSTEMS. 
Section 893 of the Ike Skelton National Defense Au-
thorization Act for Fiscal Year 2011 (Public Law 111– 
383; 10 U.S.C. 2302 note) is amended— 
(1) in subsection (b)— 
(A) in paragraph (2), by striking ‘‘signifi-
cant deficiencies’’ and inserting ‘‘deficiencies 
and material weaknesses’’; 
(B) in paragraph (4), by striking ‘‘signifi-
cant deficiency’’ and inserting ‘‘material weak-
ness’’; and 
(C) in paragraph (5)(A), by striking ‘‘sig-
nificant deficiency’’ and inserting ‘‘material 
weakness’’; 
(2) in subsection (d)(1), by striking ‘‘significant 
deficiencies’’ and inserting ‘‘material weaknesses’’; 
(3) in subsection (g)— 
(A) in paragraph (3), by striking ‘‘signifi-
cant deficiency’’ and inserting ‘‘material weak-
ness’’; 
(B) by striking paragraph (4); 
(C) by redesignating paragraph (5) as 
paragraph (4); and 
(D) by adding at the end the following new 
paragraph:
771 
‘‘(5) The term ‘material weakness’ means a de-
ficiency or combination of deficiencies in the internal 
control of a contractor business system used to com-
ply with contracting requirements of the Department 
of Defense, or other shortcomings in such system, 
such that there is a reasonable possibility that a ma-
terial noncompliance with contracting requirements 
will not be prevented, or detected and corrected, on 
a timely basis.’’. 
SEC. 805. ACQUISITION AUTHORITY OF THE DIRECTOR OF 
THE JOINT ARTIFICIAL INTELLIGENCE CEN-
TER. 
(a) AUTHORITY.— 
(1) IN GENERAL.—The Director of the Joint 
Artificial Intelligence Center shall be responsible for, 
and shall have the authority to conduct, the fol-
lowing covered activities: 
(A) Development and acquisition of artifi-
cial intelligence technologies, services, and capa-
bilities. 
(B) Sustainment of artificial intelligence 
technologies, services, and capabilities. 
(2) ACQUISITION FUNCTIONS.—Subject to the 
authority, direction, and control of the Secretary of 
Defense, the Director shall have authority to exer-
772 
cise the functions of a head of an agency (as defined 
in section 2302 of title 10, United States Code) with 
respect to a covered activity described in paragraph 
(1). 
(b) JAIC ACQUISITION EXECUTIVE.— 
(1) IN GENERAL.—The staff of the Director 
shall include an acquisition executive who shall be 
responsible for the supervision of covered activities 
under subsection (a). The acquisition executive shall 
have the authority— 
(A) to negotiate memoranda of agreement 
with any element of the Department of Defense 
to carry out the acquisition of technologies, 
services, and capabilities described in subsection 
(a)(1) on behalf of the Center; 
(B) to supervise the acquisition of tech-
nologies, services, and capabilities described in 
subsection (a)(1); 
(C) to represent the Center in discussions 
with military departments regarding acquisition 
programs relating to covered activities for which 
the Center is involved; and 
(D) to work with the military departments 
to ensure that the Center is appropriately rep-
resented in any joint working group or inte-
773 
grated product team regarding acquisition pro-
grams relating to covered activities for which 
the Center is involved. 
(2) DELIVERY OF ACQUISITION SOLUTIONS.— 
The acquisition executive of the Center shall be— 
(A) responsible to the Director for rapidly 
delivering acquisition solutions to meet vali-
dated artificial intelligence requirements; 
(B) subordinate to the Under Secretary of 
Defense for Acquisition and Sustainment in 
matters of acquisition; 
(C) subject to the same oversight as the 
service acquisition executives; and 
(D) included on the distribution list for ac-
quisition directives and instructions of the De-
partment of Defense. 
(c) ACQUISITION PERSONNEL.— 
(1) IN
GENERAL.—The Secretary of Defense 
shall provide the Center with ten full-time employees 
to support the Director in carrying out the require-
ments of this section. Such employees shall have ex-
perience in— 
(A) program acquisition; 
(B) the Joint Capabilities Integration and 
Development System process;
774 
(C) program management; 
(D) system engineering; and 
(E) cost analysis. 
(2) EXISTING PERSONNEL.—The personnel pro-
vided under this subsection shall be provided from 
among the existing personnel of the Department of 
Defense. 
(d) BUDGET.—Any budget proposal of the Center for 
funding for any covered activity described under sub-
section (a) shall be disaggregated by the amount requested 
for each covered activity. 
(e) FUNDING.—In exercising the authority granted in 
subsection (a), the Director may not obligate or expend 
more than $150,000,000 out of the funds made available 
in each of fiscal years 2021, 2022, 2023, 2024, and 2025 
to enter into new contracts to support covered activities 
carried out under this section. 
(f) IMPLEMENTATION PLAN REQUIRED.— 
(1) IN
GENERAL.—The Secretary of Defense 
may use the authority granted under subsection (a) 
30 days after the date on which the Secretary pro-
vides to the congressional defense committees a plan 
for implementation such authority. The plan shall 
include the following:
775 
(A) A Department of Defense-wide defini-
tion of artificial intelligence technologies, serv-
ices, and capabilities. 
(B) Summaries of the components to be 
negotiated in any memoranda of agreement 
with an element of the Department of Defense 
to carry out covered activities described under 
subsection (a). 
(C) Timelines for the negotiation and ap-
proval of any such memorandum of agreement. 
(D) Plan for oversight of the position of 
acquisition executive established in subsection 
(b). 
(E) Assessment of the acquisition work-
force needs of the Center to support the author-
ity in subsection (a) until September 30, 2025. 
(F) Other matters as appropriate. 
(2) RELATIONSHIP TO OTHER AUTHORITIES.— 
The requirement to submit a plan under this sub-
section is in addition to the requirements under sec-
tion 260 of the National Defense Authorization Act 
for Fiscal Year 2020 (Public Law 116–92; 133 Stat. 
1293). 
(g) SUNSET.—Effective October 1, 2025, the Direc-
tor may not exercise the authority under subsection (a)
776 
and may not enter into any new contracts under this sec-
tion. The performance on any contract entered into before 
such date may continue according to the terms of such 
contract. 
(h) DEFINITIONS.—In this section: 
(1) CENTER.—The term ‘‘Center’’ means the 
Joint Artificial Intelligence Center of the Depart-
ment of Defense established pursuant to the memo-
randum of the Secretary of Defense dated June 27, 
2018, and titled ‘‘Establishment of the Joint Artifi-
cial Intelligence Center’’, or any successor to such 
Center. 
(2) COVERED
ACTIVITY.—The term ‘‘covered 
activity’’— 
(A) means an acquisition activity con-
ducted using the authority under this section; 
and 
(B) does not include— 
(i) a major defense acquisition pro-
gram (as defined in section 2430 of title 
10, United States Code); or 
(ii) a procurement of technologies re-
lated to artificial intelligence, if the dura-
tion of such procurement is expected to be 
greater than five years.
777 
(3) DIRECTOR.—The term ‘‘Director’’ means 
the Director of the Center. 
(4) ELEMENT.—The term ‘‘element’’ means an 
element described under section 111(b) of title 10, 
United States Code. 
(5) MILITARY DEPARTMENTS.—The term ‘‘mili-
tary departments’’ has the meaning given in section 
101(8) of title 10, United States Code. 
(6) SERVICE
ACQUISITION
EXECUTIVE.—The 
term ‘‘service acquisition executive’’ has the meaning 
given in section 101(10) of title 10, United States 
Code. 
SEC. 806. REFORMING THE DEPARTMENT OF DEFENSE. 
(a) IN GENERAL.—The Secretary of Defense shall 
take such action as necessary to reform the Department 
of Defense to provide more effective, efficient, and eco-
nomical administration and operation, and to eliminate 
duplication. 
(b) NATIONAL DEFENSE STRATEGY.—Each national 
defense strategy required by section 113(g) of title 10, 
United States Code, shall include a description of the re-
form efforts described under subsection (a). 
(c) DEFENSE PLANNING GUIDANCE.—The annual 
Defense Planning Guidance (as described in section 
113(g)(2)(A) of title 10, United States Code) shall include
778 
an explanation of how the Department of Defense will 
carry out the reform efforts described under subsection 
(a). 
(d) DEFENSE AUTHORIZATION REQUEST.—The Sec-
retary of Defense shall include in the annual defense au-
thorization request (as defined in section 113a of title 10, 
United States Code) a description of the savings from im-
plementing the reform efforts described under subsection 
(a). Such description— 
(1) shall be set forth separately from requested 
amounts; 
(2) may not include savings relating to the 
deferment of requirements or taking of risk; 
(3) shall be identified across the future-years 
defense plan; and 
(4) shall provide a comparison with the savings 
in the annual defense authorization request from the 
prior year. 
(e) POLICY.—The Secretary of Defense shall develop 
a policy and issue guidance to implement reform within 
the Department of Defense in order to provide more effec-
tive, efficient, and economical administration and oper-
ations, and to eliminate duplication. 
(f) REPORT.—The Secretary of Defense shall report 
annually to Congress on the expenditures, work, and ac-
779 
complishments of the Department of Defense during the 
period covered by the report, together with a report on 
the reform efforts described under subsection (a). 
(g) MILITARY DEPARTMENTS.—Each Secretary of a 
military department shall— 
(1) take such action as necessary to reform the 
military department to provide more effective, effi-
cient, and economical administration and operations, 
and to eliminate duplication; and 
(2) develop a policy and issue guidance to im-
plement reform within the military department in 
order to provide more effective, efficient, and eco-
nomical administration and operations, and to elimi-
nate duplication. 
(h) COMBATANT COMMANDS.—Each commander of a 
combatant command shall provide the Secretary of De-
fense with recommendations to reform the combatant com-
mand of such commander to provide more effective, effi-
cient, and economical administration and operations, and 
to eliminate duplication. 
SEC. 807. ALTERNATIVE SPACE ACQUISITION SYSTEM FOR 
THE UNITED STATES SPACE FORCE. 
(a) MILESTONE DECISION AUTHORITY FOR MAJOR 
DEFENSE ACQUISITION PROGRAMS
AND MAJOR SYS-
TEMS.—
780 
(1) PROGRAM EXECUTIVE OFFICER.—The Sec-
retary of the Air Force may assign an appropriate 
program executive officer as the milestone decision 
authority for major defense acquisition programs of 
the United States Space Force. 
(2) PROGRAM MANAGER.—The program execu-
tive officer assigned under paragraph (1) may dele-
gate authority over major systems to an appropriate 
program manager. 
(b) ALTERNATIVE SPACE ACQUISITION SYSTEM.— 
(1) IN
GENERAL.—The Secretary of Defense 
shall take such actions necessary to develop an ac-
quisition pathway within the Department of Defense 
to be known as the ‘‘Alternative Space Acquisition 
System’’ that is specifically tailored for space sys-
tems and programs in order to achieve faster acqui-
sition and more rapid fielding of critical systems (in-
cluding by using new commercial capabilities and 
services), while maintaining accountability for effec-
tive programs that are delivered on time and on 
budget. 
(2) GOAL.—The goal of the Alternative Space 
Acquisition System shall be to quickly and effectively 
acquire space warfighting capabilities needed to ad-
dress the requirements of the national defense strat-
781 
egy (as defined under section 113(g) of title 10, 
United States Code). 
(3) REPORT.—Not later than January 15, 
2021, the Secretary of Defense shall submit to the 
congressional defense committees a report on the Al-
ternative Space Acquisition System that includes the 
following: 
(A) Proposed United States Space Force 
budget line items for fiscal year 2022, includ-
ing— 
(i) a comparison with budget line 
items for major defense acquisition pro-
grams and major systems of the United 
States Space Force for three previous fis-
cal years; and 
(ii) measures to ensure sufficient 
transparency related to the performance of 
the Alternative Space Acquisition System 
and opportunities to oversee funding prior-
ities for the Alternative Space Acquisition 
System. 
(B) Proposed revised, flexible, and stream-
lined options for joint requirements validation 
in order to be more responsive and innovative, 
while ensuring the ability of the Joint Chiefs of
782 
Staff to ensure top-level system requirements 
are 
properly 
prioritized 
to 
address 
joint 
warfighting needs. 
(C) A list of acquisition programs of the 
United States Space Force for which multiyear 
procurement authorities are recommended. 
(D) A list of space acquisition programs 
that may be able to use existing alternative ac-
quisition pathways. 
(E) Policies for a new Alternative Space 
Acquisition System with specific acquisition key 
decision points and reporting requirements for 
development, fielding, and sustainment activi-
ties that meets the requirements of the adaptive 
acquisition framework (as described in Depart-
ment of Defense Instruction 5000.02, ‘‘Oper-
ation of the Adaptive Acquisition Framework’’). 
(F) Updated determination authority for 
procurement of useable end items that are not 
weapon systems. 
(G) Policies and a governance structure for 
a separate United States Space Force budget 
topline, corporate process, and portfolio man-
agement process.
783 
(H) An analysis of the risks and benefits 
of the delegation of the authority of the head of 
contracting activity authority to the Chief of 
Space Operations in a manner that would not 
expand the operations of the United States 
Space Force. 
(c) COMPTROLLER GENERAL REVIEW.—Not later 
than 60 days after the submission of the report required 
under subsection (b)(3), the Comptroller General of the 
United States shall review such report and submit to the 
congressional defense committees an analysis and rec-
ommendations based on such report. 
(d) DEFINITIONS.—In this section: 
(1) MAJOR DEFENSE ACQUISITION PROGRAM.— 
The term ‘‘major defense acquisition program’’ has 
the meaning given in section 2430 of title 10, 
United States Code. 
(2) MAJOR SYSTEM.—The term ‘‘major system’’ 
has the meaning given in section 2302 of title 10, 
United States Code. 
(3) MILESTONE
DECISION
AUTHORITY.—The 
term ‘‘milestone decision authority’’ has the meaning 
given in section 2431a of title 10, United States 
Code.
784 
(4) PROGRAM EXECUTIVE OFFICER; PROGRAM 
MANAGER.—The terms ‘‘program executive officer’’ 
and ‘‘program manager’’ have the meanings given 
those terms, respectively, in section 1737 of title 10, 
United States Code. 
Subtitle B—Amendments to Gen-
eral 
Contracting 
Authorities, 
Procedures, and Limitations 
SEC. 811. SUSTAINMENT REFORM FOR THE DEPARTMENT 
OF DEFENSE. 
(a) SUSTAINMENT ACTIVITIES
IN
THE NATIONAL 
DEFENSE STRATEGY.— 
(1) IN GENERAL.—Section 113(g)(1)(B) of title 
10, United States Code, is amended by adding at 
the end the following new subsection: 
‘‘(vii) A strategic framework pre-
scribed by the Secretary that guides how 
the Department will prioritize and inte-
grate activities relating to sustainment of 
major defense acquisition programs, core 
logistics capabilities (as described under 
section 2464 of this title), and the national 
technology and industrial base (as defined 
in section 2500 of this title).’’.
785 
(2) DUTIES OF THE UNDER SECRETARY OF DE-
FENSE FOR ACQUISITION AND SUSTAINMENT.—Sec-
tion 133b(b) of title 10, United States Code, is 
amended— 
(A) in paragraph (7), by striking ‘‘and’’ at 
the end; 
(B) in paragraph (8), by striking the pe-
riod at the end and inserting ‘‘; and’’; and 
(C) by adding at the end the following new 
paragraph: 
‘‘(9) advising the Secretary on all aspects of ac-
quisition and sustainment relating to— 
‘‘(A) major defense acquisition programs; 
‘‘(B) core logistics capabilities (as de-
scribed under section 2464 of this title); 
‘‘(C) the national technology and industrial 
base (as defined in section 2500 of this title); 
and 
‘‘(D) the development of the strategic 
framework 
described 
in 
section 
113(g)(1)(B)(vii) of this title.’’. 
(3) INTERIM GUIDANCE.—Not later than Octo-
ber 1, 2021, the Secretary of Defense shall publish 
interim guidance to carry out the requirements of 
this subsection.
786 
(b) REPORT.—Not later than February 1, 2021, the 
Secretary of Defense shall submit to the congressional de-
fense committees a report on the progress towards pub-
lishing the interim guidance required under subsection 
(a)(3). 
SEC. 812. MODIFICATIONS TO COMPTROLLER GENERAL AS-
SESSMENT OF ACQUISITION PROGRAMS AND 
RELATED INITIATIVES. 
Section 2229b(b)(2) of title 10, United States Code, 
is amended by striking ‘‘a summary of’’ and all that fol-
lows through ‘‘discussion of the’’ and inserting ‘‘a discus-
sion of selected organizational, policy, and legislative 
changes, as determined appropriate by the Comptroller 
General, and the potential’’. 
SEC. 813. CONTRACTOR WHISTLEBLOWER PROTECTIONS 
RELATING 
TO 
NONDISCLOSURE 
AGREE-
MENTS. 
(a) DEPARTMENT OF DEFENSE CONTRACTORS.— 
(1) IN GENERAL.—Section 2409(a) of title 10, 
United States Code, is amended by adding at the 
end the following new paragraph: 
‘‘(4) This section applies to any disclosure made by 
an employee of a contractor, subcontractor, grantee, or 
subgrantee or personal services contractor whether or not 
such employee has signed, or is subject to, a nondisclosure
787 
policy, form, or agreement with such contractor, subcon-
tractor, grantee, or subgrantee or personal services con-
tractor.’’. 
(2) NOTIFICATION
OF
EMPLOYEES.—Section 
2409(d) of title 10, United States Code, is amend-
ed— 
(A) by striking ‘‘inform’’ and inserting 
‘‘submit to the Secretary or Administrator (as 
applicable) a certification stating that such con-
tractor or subcontrator has informed’’; and 
(B) by inserting ‘‘(including the applica-
bility of such rights and remedies if such an 
employee has signed, or is subject to, a non-
disclosure policy, form, or agreement)’’ after 
‘‘under this section’’. 
(3) APPLICATION.—With respect to a nondisclo-
sure policy, form, or agreement between a covered 
contractor and a covered employee that was in effect 
before the effective date of this Act, paragraph (4) 
of section 2409(a) of title 10, United States Code, 
as added by paragraph (1), shall apply if a covered 
contractor has provided notice to a covered employee 
of the rights and remedies of the covered employee 
relating to a nondisclosure policy, form, or agree-
788 
ment under section 2409(d) of such title, as amend-
ed by paragraph (2). 
(4) WEBSITE UPDATE.—The Inspector General 
of the Department of Defense and the Inspector 
General of the National Aeronautics and Space Ad-
ministration shall update any relevant websites to 
include information about this subsection and the 
amendments made by this subsection. 
(5) DEFINITIONS.—In this subsection: 
(A) COVERED
CONTRACTOR.—The term 
‘‘covered contractor’’ means a contractor, 
grantee, or personal services contractor of the 
Department of Defense or the National Aero-
nautics and Space Administration. 
(B) 
COVERED
EMPLOYEE.—The 
term 
‘‘covered employee’’ means an employee of a 
covered contractor or a subcontractor or sub-
grantee of a covered contractor. 
(b) OTHER GOVERNMENT CONTRACTORS.— 
(1) IN GENERAL.—Section 4712(a) of title 41, 
United States Code, is amended by adding at the 
end the following new paragraph: 
‘‘(4) EFFECT
OF
A
NONDISCLOSURE
POLICY, 
FORM, OR AGREEMENT.—This section applies to any 
disclosure made by an employee of a contractor, sub-
789 
contractor, grantee, or subgrantee or personal serv-
ices contractor whether or not such employee has 
signed, or is subject to, a nondisclosure policy, form, 
or agreement with such contractor, subcontractor, 
grantee, or subgrantee or personal services con-
tractor.’’. 
(2) NOTIFICATION
OF
EMPLOYEES.—Section 
4712(d) of title 41, United States Code, is amend-
ed— 
(A) by striking ‘‘inform’’ and inserting 
‘‘submit to the applicable head of each executive 
agency a certification stating that such con-
tractor or subcontractor has informed’’; and 
(B) by inserting ‘‘(including the applica-
bility of such rights and remedies if such an 
employee has signed, or is subject to, a non-
disclosure policy, form, or agreement)’’ after 
‘‘under this section’’. 
(3) APPLICATION.—With respect to a nondisclo-
sure policy, form, or agreement between a covered 
contractor and a covered employee that was in effect 
before the effective date of this Act, paragraph (4) 
of section 4712(a) of title 41, United States Code, 
as added by paragraph (1), shall apply if a covered 
contractor has provided notice to a covered employee
790 
of the rights and remedies of the covered employee 
relating to a nondisclosure policy, form, or agree-
ment under section 4712(d) of such title, as amend-
ed by paragraph (2). 
(4) WEBSITE UPDATE.—Each Inspector Gen-
eral (as defined in section 4712(g) of title 41, 
United States Code) shall update any relevant 
websites to include information about this subsection 
and the amendments made by this subsection. 
(5) DEFINITIONS.—In this subsection: 
(A) COVERED
CONTRACTOR.—The term 
‘‘covered contractor’’ means a contractor, 
grantee, or personal services contractor for a 
Federal contract or grant (as defined for pur-
poses of division C of title 41). 
(B) 
COVERED
EMPLOYEE.—The 
term 
‘‘covered employee’’ means an employee of a 
covered contractor or a subcontractor (at any 
tier) or subgrantee (at any tier) of a covered 
contractor. 
(c) NOTIFICATION AND REMEDIES.— 
(1) NOTIFICATION.—A covered contractor shall 
inform the contracting officer responsible for any 
contracts of such covered contractor—
791 
(A) if a person engaged in the performance 
of any such contract has been subjected to a re-
prisal prohibited by section 2409(a) of title 10, 
United States Code, or section 4712(a) of title 
41, United States Code, where such reprisal has 
been substantiated; 
(B) any investigation of a complaint relat-
ing to any such contract conducted by an In-
spector General pursuant to section 2409(b) of 
title 10, United States Code, or section 4712(b) 
of title 41, United States Code; and 
(C) any action taken by a covered con-
tractor or a covered employee for any such con-
tract to address a substantiated reprisal de-
scribed in subparagraph (A). 
(2) REMEDIES.—In addition to other remedies 
available, if a covered contractor fails to comply with 
the requirements of paragraph (1), the relevant head 
of a Federal agency may— 
(A) require the covered contractor to pro-
hibit a covered employee from performing a 
contract if such covered employee has violated 
section 2409(a) of title 10, United States Code, 
or section 4712(a) of title 41, United States 
Code;
792 
(B) require the covered contractor to ter-
minate a subcontract if the subcontractor for 
such subcontract has violated such sections; 
(C) suspend payments to a covered con-
tractor until such covered contractor has taken 
appropriate remedial action. 
(3) DEFINITIONS.—In this subsection: 
(A) COVERED
CONTRACTOR.—The term 
‘‘covered contractor’’ means— 
(i) with respect to a contract of the 
Department of Defense or the National 
Aeronautics and Space Administration, a 
contractor, grantee, or personal services 
contractor; and 
(ii) with respect to a Federal contract 
or grant (as defined for purposes of divi-
sion C of title 41), a contractor, grantee, 
or personal services contractor for such a 
Federal contract or grant. 
(B) 
COVERED
EMPLOYEE.—The 
term 
‘‘covered employee’’ means an employee of a 
covered contractor or a subcontractor (at any 
tier) or subgrantee (at any tier) of a covered 
contractor.
793 
(d) TRAINING.—The Administrator of the Office of 
Federal Procurement Policy shall update any required 
training for Federal employees responsible for contract 
oversight relating to— 
(1) contracting certification requirements; 
(2) processes for receiving a complaint from a 
person alleging discrimination as a reprisal for dis-
closing information under section 2409(a) of title 
10, United States Code, or section 4712(a) of title 
41, United States Code; and 
(3) prohibitions on contracting with entities 
that require confidentiality agreements. 
(e) CLARIFICATION OF WHISTLEBLOWER PROTEC-
TION FOR SUBCONTRACTORS AND SUBGRANTEES.— 
(1) DEPARTMENT
OF
DEFENSE
CONTRAC-
TORS.—Section 2409 of title 10, United States 
Code, is amended— 
(A) in subsection (a)(2)(G), by striking ‘‘or 
subcontractor’’ and inserting ‘‘subcontractor, 
grantee, or subgrantee’’; 
(B) in subsection (b)(1), by striking ‘‘to 
the person’’ and all that follows through the pe-
riod at the end and inserting ‘‘to— 
‘‘(A) the person;
794 
‘‘(B) the contractor, subcontractor, grantee, or 
subgrantee concerned; and 
‘‘(C) the head of the agency.’’; 
(C) in subsection (c)— 
(i) in paragraph (1)— 
(I) in the matter preceding sub-
paragraph (A), by striking ‘‘con-
tractor’’ and inserting ‘‘contractor, 
subcontractor, 
grantee, 
or 
sub-
grantee’’; and 
(II) in subparagraphs (A), (B), 
and (C), by striking ‘‘contractor’’ and 
inserting ‘‘contractor, subcontractor, 
grantee, or subgrantee concerned’’; 
and 
(ii) in paragraph (2), by striking 
‘‘contractor’’ and inserting ‘‘contractor, 
subcontractor, grantee, or subgrantee (as 
applicable)’’; 
(D) in subsection (d), by striking ‘‘and 
subcontractors’’ and inserting ‘‘subcontractors, 
grantees, and subgrantees’’; and 
(E) in subsection (g), by adding at the end 
the following new paragraphs:
795 
‘‘(8) The term ‘subgrantee’ includes a sub-
grantee at any tier. 
‘‘(9) The term ‘subcontractor’ includes a sub-
contractor at any tier.’’. 
(2) OTHER GOVERNMENT CONTRACTORS.—Sec-
tion 4712 of title 41, United States Code, is amend-
ed— 
(A) in subsection (a)(2)(G), by striking ‘‘or 
grantee’’ and inserting ‘‘grantee, or sub-
grantee’’; 
(B) in subsection (b)(1), by striking ‘‘to 
the person’’ and all that follows through the pe-
riod at the end and inserting ‘‘to— 
‘‘(A) the person; 
‘‘(B) the contractor, subcontractor, grant-
ee, or subgrantee concerned; and 
‘‘(C) the head of the agency.’’; 
(C) in subsection (c)— 
(i) in paragraph (1)— 
(I) in the matter preceding sub-
paragraph (A), by striking ‘‘con-
tractor or grantee’’ and inserting 
‘‘contractor, subcontractor, grantee, 
or subgrantee’’; and
796 
(II) in subparagraphs (A), (B), 
and (C), by striking ‘‘contractor or 
grantee’’ and inserting ‘‘contractor, 
subcontractor, grantee, or subgrantee 
concerned’’; and 
(ii) in paragraph (2), by striking 
‘‘contractor or grantee’’ and inserting 
‘‘contractor, subcontractor, grantee, or 
subgrantee (as applicable)’’; 
(D) in subsection (d), by striking ‘‘and 
grantees’’ and inserting ‘‘grantees, and sub-
grantees’’; and 
(E) in subsection (g), by adding at the end 
the following new paragraphs: 
‘‘(3) The term ‘subgrantee’ includes a sub-
grantee at any tier. 
‘‘(4) The term ‘subcontractor’ includes a sub-
contractor at any tier.’’. 
SEC. 814. COMPETITION REQUIREMENTS FOR PURCHASES 
FROM FEDERAL PRISON INDUSTRIES. 
(a) COMPETITION REQUIREMENTS FOR PURCHASES 
FROM FEDERAL PRISON INDUSTRIES.—Subsections (a) 
and (b) of section 2410n of title 10, United States Code, 
are amended to read as follows:
797 
‘‘(a) MARKET
RESEARCH.—Before purchasing a 
product listed in the latest edition of the Federal Prison 
Industries catalog published under section 4124(d) of title 
18, the Secretary of Defense shall conduct market re-
search to determine whether such product— 
‘‘(1) is comparable to products available from 
the private sector; and 
‘‘(2) best meets the needs of the Department of 
Defense in terms of price, quality, and time of deliv-
ery. 
‘‘(b) COMPETITION REQUIREMENT.—If the Secretary 
determines that a Federal Prison Industries product is not 
comparable to products available from the private sector 
and does not best meet the needs of the Department of 
Defense in terms of price, quality, or time of delivery, the 
Secretary shall use competitive procedures or make an in-
dividual purchase under a multiple award contract for the 
procurement of the product. In conducting such a competi-
tion or making such a purchase, the Secretary shall con-
sider a timely offer from Federal Prison Industries.’’. 
(b) EFFECTIVE DATE.—The amendment made by 
subsection (a) shall take effect 60 days after the date of 
the enactment of this Act.
798 
SEC. 815. DISCLOSURE OF BENEFICIAL OWNERS IN DATA-
BASE FOR FEDERAL AGENCY CONTRACT AND 
GRANT OFFICERS. 
Section 2313(d)(3) of title 41, United States Code, 
is amended by inserting ‘‘, and an identification of any 
beneficial owner of such corporation,’’ after ‘‘to the cor-
poration’’. 
SEC. 816. INCLUSION OF OPTICAL TRANSMISSION COMPO-
NENTS IN THE ANALYTICAL FRAMEWORK 
FOR SUPPLY CHAIN RISKS. 
Section 2509(b)(2)(A)(ii) of title 10, United States 
Code, is amended by striking ‘‘(other than optical trans-
mission components)’’. 
SEC. 817. AMENDMENT TO DEFINITION OF QUALIFIED AP-
PRENTICE. 
Section 2870(d) of title 10, United States Code, is 
amended— 
(1) in paragraph (1), by inserting ‘‘or’’ at the 
end; 
(2) in paragraph (2), by striking ‘‘; or’’ at the 
end and inserting a period; and 
(3) by striking paragraph (3).
799 
SEC. 818. CONTRACT CLOSEOUT AUTHORITY FOR SERVICES 
CONTRACTS. 
Section 836 of the National Defense Authorization 
Act for Fiscal Year 2017 (10 U.S.C. 2302 note) is amend-
ed— 
(1) by amending subsection (b)(1) to read as 
follows: 
‘‘(1) was entered into— 
‘‘(A) with respect to a contract or group of 
contracts for services, on a date that is the 
later of— 
‘‘(i) at least 7 fiscal years before the 
current fiscal year; and 
‘‘(ii) the number of years applicable to 
the contract or group of contracts in sub-
part 4.7 of the Federal Acquisition Regula-
tion (as in effect on April 1, 2020); 
‘‘(B) with respect to a contract or group of 
contracts not described in subparagraph (A), on 
a date that is at least 17 fiscal years before the 
current fiscal year;’’; 
(2) by redesignating subsections (f) and (g) as 
subsections (g) and (h), respectively; and 
(3) by inserting after subsection (e) the fol-
lowing new subsection:
800 
‘‘(f) OVERSIGHT.—The Secretary of Defense, acting 
through the Director of the Defense Contract Manage-
ment Agency, shall establish and maintain a centralized 
capability with necessary expertise and resources to pro-
vide oversight of the closeout of a contract or group of 
contracts covered by this section.’’. 
SEC. 819. PLAN TO IMPROVE DEPARTMENT-WIDE MANAGE-
MENT OF INVESTMENTS IN WEAPON SYS-
TEMS. 
(a) PORTFOLIO
MANAGEMENT
PLAN.—The Sec-
retary of Defense shall direct the Under Secretary of De-
fense for Acquisition and Sustainment, in coordination 
with the Chairman of the Joint Chiefs of Staff, and the 
Director of Cost Assessment and Program Evaluation, to 
develop a plan to identify, develop, and acquire databases, 
analytical and financial tools, and workforce skills to im-
prove the Department of Defense-wide assessment, man-
agement, and optimization of the investments in weapon 
systems of the Department, including through consolida-
tion of duplicate or similar weapon system programs. 
(b) PLAN CONTENTS.—The plan developed under 
subsection (a) shall— 
(1) describe the databases and analytical and fi-
nancial tools in use by the Department of Defense 
that may be used to support the Department-wide
801 
assessment, management, and optimization of the 
investments in weapon systems of the Department; 
(2) determine the database and analytical and 
financial tool requirements that must be met, and 
the workforce skills necessary, for more effective De-
partment-wide reviews, analyses, and management 
by the Secretary of the investments in weapon sys-
tems of the Department; 
(3) identify the skills described in paragraph 
(2) that are possessed by the workforce of the De-
partment; 
(4) identify the databases and analytical and fi-
nancial tools to be modified, developed, or acquired 
to improve the Department-wide reviews, analyses, 
and management of the investments in weapon sys-
tems of the Department; and 
(5) set forth a timeline for implementing the 
plan, including a timeline for the modification, devel-
opment, and acquisition of each database and ana-
lytical and financial tool identified under paragraph 
(4). 
(c) SUBMISSION TO CONGRESS.— 
(1) IN
GENERAL.—Not later than 180 days 
after the date of the enactment of this Act, the Sec-
802 
retary of Defense shall submit to Congress the plan 
developed under subsection (a). 
(2) FORM.—The plan submitted under para-
graph (1) shall be in an unclassified form but may 
contain a classified annex. 
SEC. 820. DOCUMENTATION PERTAINING TO COMMERCIAL 
ITEM DETERMINATIONS. 
Section 2380 of title 10, United States Code, is 
amended by— 
(1) redesignating subsection (b) as subsection 
(c); and 
(2) inserting after subsection (a) the following 
new subsection: 
‘‘(b) DETERMINATIONS REGARDING THE COMMER-
CIAL NATURE OF PRODUCTS OR SERVICES.— 
‘‘(1) IN GENERAL.—A contracting officer of the 
Department of Defense shall make a binding deter-
mination whether a particular product or service of-
fered by a contractor meets the definition of a com-
mercial product or commercial service. The con-
tracting officer may seek the advice of the cadre of 
experts established pursuant to section 831(b)(2) of 
the National Defense Authorization Act for Fiscal 
Year 2013 (Public Law 112–239; 126 Stat. 1842; 
10 U.S.C. 2306a note), or request the cadre of ex-
803 
perts to make a determination that a product or 
service is a commercial product or commercial serv-
ice. 
‘‘(2) MEMORANDUM.—Within 30 days after 
making a determination that a product or service is 
a commercial product or commercial service, the con-
tracting officer shall submit a written memorandum 
summarizing the determination, consistent with the 
template in Appendix B of the Department of De-
fense Guidebook for Acquiring Commercial Items 
(issued January 2018 and revised July 2019), to— 
‘‘(A) the Director of the Defense Contract 
Management Agency for inclusion in any data-
base established to fulfill the requirements of 
subsection (a)(2); and 
‘‘(B) the contractor asserting the commer-
cial nature of the product or service.’’. 
SEC. 820A. GUIDELINES AND RESOURCES ON THE ACQUISI-
TION 
OR 
LICENSING 
OF 
INTELLECTUAL 
PROPERTY. 
Section 2322 of title 10, United States Code, is 
amended by adding at the end the following new sub-
section: 
‘‘(c) GUIDELINES AND RESOURCES.—
804 
‘‘(1) IN GENERAL.—The Secretary of Defense, 
acting through the Under Secretary of Defense for 
Acquisition and Sustainment, shall develop guide-
lines and resources on the acquisition or licensing of 
intellectual property, including— 
‘‘(A) model forms for specially negotiated 
licenses described under section 2320(f) (as ap-
propriate); and 
‘‘(B) an identification of definitions, key 
terms, examples, and case studies that resolve 
ambiguities in the differences between— 
‘‘(i) detailed manufacturing and proc-
ess data; 
‘‘(ii) form, fit, and function data; and 
‘‘(iii) data required for operations, 
maintenance, installation, and training. 
‘‘(2) CONSULTATION.—In developing the guide-
lines and resources described in paragraph (1), the 
Secretary shall regularly consult with appropriate 
stakeholders, including large and small businesses, 
traditional and non-traditional contractors (including 
subcontractors), and maintenance repair organiza-
tions.’’.
805 
SEC. 820B. REQUIREMENTS CONCERNING FORMER DE-
PARTMENT OF DEFENSE OFFICIALS AND 
LOBBYING ACTIVITIES. 
(a) REQUIREMENTS.— 
(1) IN
GENERAL.—Chapter 141 of title 10, 
United States Code, is amended by adding at the 
end the following new section: 
‘‘§ 2410t. Defense contractors report: requirements 
concerning former Department of De-
fense officials and lobbying activities 
‘‘(a) IN GENERAL.—Each contract for the procure-
ment of goods or services in excess of $10,000,000, other 
than a contract for the procurement of commercial prod-
ucts or commercial services, that is entered into by the 
Secretary of Defense shall include a provision under which 
the contractor agrees to submit to the Secretary of De-
fense, not later than April 1 of each year such contract 
is in effect, a written report setting forth the information 
required by subsection (b). 
‘‘(b) REPORT CONTENTS.—Except as provided in 
subsection (c), a report by a contractor under subsection 
(a) shall— 
‘‘(1) list the name of each person who— 
‘‘(A) is a former officer or employee of the 
Department of Defense or a former or retired 
member of the armed forces who served—
806 
‘‘(i) in an Executive Schedule position 
under subchapter II of chapter 53 of title 
5; 
‘‘(ii) in a position in the Senior Exec-
utive Service under subchapter VIII of 
chapter 53 of title 5; 
‘‘(iii) in a position compensated at a 
rate of pay for grade O–6 or above under 
section 201 of title 37; or 
‘‘(iv) as a program manager, deputy 
program manager, procuring contracting 
officer, administrative contracting officer, 
source selection authority, member of the 
source selection evaluation board, or chief 
of a financial or technical evaluation team 
for such a contract; and 
‘‘(B) during the preceding calendar year 
was provided compensation by the contractor, if 
such compensation was first provided by the 
contractor not more than four years after such 
former officer or employee of the Department of 
Defense, or such former or retired member of 
the armed forces, left service in the Department 
of Defense;
807 
‘‘(2) in the case of each person listed under 
paragraph (1)(A)— 
‘‘(A) identify the department or entity in 
which such person was employed or served on 
active duty during the last two years of such 
person’s service with the Department of De-
fense; 
‘‘(B) state such person’s job title and iden-
tify any project on which such person per-
formed any work or for which such person pro-
vided any goods pursuant to a contract with the 
Department of Defense during the last two 
years of such person’s service with the Depart-
ment; and 
‘‘(C) state such person’s current job title 
with the contractor and identify each project on 
which such person has performed any work or 
for which such person provided any goods on 
behalf of the contractor; and 
‘‘(3) if the contractor is a client, include— 
‘‘(A) a statement that— 
‘‘(i) lists each specific issue for which 
the contractor, any employee of the con-
tractor, or any lobbyist paid by the con-
808 
tractor engaged in lobbying activities di-
rected at the Department of Defense; and 
‘‘(ii) specifies the Federal rule or reg-
ulation, Executive order, or other program, 
policy, contract, or position of the Depart-
ment of Defense to which the lobbying ac-
tivities described in clause (i) related; 
‘‘(iii) lists each lobbying activity di-
rected at the Department of Defense that 
the contractor, any employee of the con-
tractor, or any lobbyist paid by the con-
tractor has engaged in on behalf of the 
contractor, including— 
‘‘(I) each document prepared by 
the contractor, any employee of the 
contractor, or any lobbyist paid by the 
contractor that was submitted to an 
officer or employee of the Department 
of Defense by the lobbyist; 
‘‘(II) each meeting that was a 
lobbying contact with an officer or 
employee of the Department of De-
fense, including the subject of the 
meeting, the date of the meeting, and
809 
the name and position of each indi-
vidual who attended the meeting; 
‘‘(III) each phone call made to an 
officer or employee of the Department 
of Defense that was a lobbying con-
tact, including the subject of the 
phone call, the date of the phone call, 
and the name and position of each in-
dividual who was on the phone call; 
and 
‘‘(IV) each electronic communica-
tion sent to an officer or employee of 
the Department of Defense that was a 
lobbying contact, including the subject 
of the electronic communication, the 
date of the electronic communication, 
and the name and position of each in-
dividual who received the electronic 
communication; 
‘‘(iv) lists the name of each employee 
of the contractor who— 
‘‘(I) did not participate in a lob-
bying contact with an officer or em-
ployee of the Department of Defense; 
and
810 
‘‘(II) engaged in lobbying activi-
ties in support of a lobbying contact 
with an officer or employee of the De-
partment of Defense; and 
‘‘(v) describes the lobbying activities 
referred to in clause (iv)(II); and 
‘‘(B) a copy of any document transmitted 
to an officer or employee of the Department of 
Defense in the course of the lobbying activities 
described in subparagraph (A)(iv)(II). 
‘‘(c) DUPLICATE INFORMATION NOT REQUIRED.— 
An annual report submitted by a contractor pursuant to 
subsection (b) need not provide information with respect 
to any former officer or employee of the Department of 
Defense or former or retired member of the armed forces 
if such information has already been provided in a pre-
vious annual report filed by such contractor under this 
section. 
‘‘(d) PUBLIC ACCESS TO REPORTS.—The Secretary 
of Defense shall make any report described under sub-
section (a) publicly available on a website of the Depart-
ment of Defense not later than 45 days after the receipt 
of such report. 
‘‘(e) DEFINITIONS.—In subsection (b)(3), the terms 
‘client’, ‘lobbying activities’, ‘lobbying contact’, and ‘lob-
811 
byist’ have the meanings given the terms in section 3 of 
the Lobbying Disclosure Act of 1995 (2 U.S.C. 1603).’’. 
(2) CLERICAL AMENDMENT.—The table of sec-
tions at the beginning of chapter 141 of such title 
is amended by adding at the end the following new 
item: 
‘‘Sec. 2410t. Defense contractors: requirements concerning former Department 
of Defense officials.’’. 
(b) EFFECTIVE DATE.—The amendments made by 
subsection (a) shall take effect on the date of the enact-
ment of this Act, and shall apply with respect to contracts 
entered into on or after that date. 
SEC. 820C. COMMERCIAL PRODUCT DETERMINATION AP-
PLIES TO COMPONENTS AND SUPPORT SERV-
ICES. 
Section 2306a(b)(4) of title 10, United States Code, 
is amended— 
(1) in subparagraph (A), by striking ‘‘subse-
quent procurements of such product or service’’ and 
inserting: ‘‘subsequent procurements of— 
‘‘(i) the commercial product; 
‘‘(ii) a component of the commercial 
product; 
‘‘(iii) a service for maintenance or re-
pair of the commercial product; or 
‘‘(iv) the commercial service.’’; and
812 
(2) in subparagraph (B)— 
(A) by striking ‘‘request a review’’ and in-
serting the following: ‘‘provide a detailed expla-
nation for not making the presumption de-
scribed in subsection (A) along with a request 
for a review’’; and 
(B) by adding at the end the following: 
‘‘When conducting such review, the head of the 
contracting activity may consider evidence of 
the commercial nature of the product or service 
under review that is provided by an offeror.’’ 
Subtitle C—Industrial Base 
Matters 
SEC. 821. QUARTERLY NATIONAL TECHNOLOGY AND IN-
DUSTRIAL BASE BRIEFINGS. 
(a) IN GENERAL.—Section 2504 of title 10, United 
States Code, is amended— 
(1) by striking ‘‘The Secretary’’ and inserting 
the following: 
‘‘(a) ANNUAL REPORT.—The Secretary’’; and 
(2) by adding at the end the following new sub-
section: 
‘‘(b) QUARTERLY BRIEFINGS.—(1) The Secretary of 
Defense shall ensure that the congressional defense com-
mittees receive quarterly briefings on the progress of the
813 
Department of Defense to address the prioritized list of 
gaps or vulnerabilities in the national technology and in-
dustrial base described in subsection (a)(3)(B) as follows: 
‘‘(A) One quarterly briefing per year shall be 
provided by the Secretary of the Army. 
‘‘(B) One quarterly briefing per year shall be 
provided by the Secretary of the Navy. 
‘‘(C) One quarterly briefing per year shall be 
provided by the Secretary of the Air Force. 
‘‘(D) One quarterly briefing per year shall be 
provided by all appropriate heads of the Defense 
Agencies identified under subsection (a)(3)(B)(ii). 
‘‘(2) Each briefing under paragraph (1) shall include 
an update of the progress of addressing such gaps or 
vulnerabilities by the Secretary concerned or the appro-
priate head of a Defense Agency, including an update 
on— 
‘‘(A) actions taken to address such gaps or 
vulnerabilities; 
‘‘(B) the mitigation strategies necessary to ad-
dress such gaps or vulnerabilities; and 
‘‘(C) the proposed timeline for action to address 
such gaps or vulnerabilities.’’. 
(b) CONFORMING AND CLERICAL AMENDMENTS.—
814 
(1) HEADING
AMENDMENT.—The heading of 
section 2504 of such title is amended to read as fol-
lows: 
‘‘§ 2504. National technology and industrial base: an-
nual report and quarterly briefings’’. 
(2) CLERICAL AMENDMENT.—The table of sec-
tions for subchapter II of chapter 148 of such title 
is amended by striking the item relating to section 
2504 and inserting the following new item: 
‘‘2504. National technology and industrial base: annual report and quarterly 
briefing.’’. 
SEC. 822. EXPANSION ON THE PROHIBITION ON ACQUIRING 
CERTAIN METAL PRODUCTS. 
(a) IN GENERAL.—Section 2533c of title 10, United 
States Code, is amended— 
(1) in subsection (a)(1), by striking ‘‘material 
melted’’ and inserting ‘‘material mined, refined, sep-
arated, melted,’’; and 
(2) in subsection (c)(3)(A)(i), by striking 
‘‘tungsten’’ and inserting ‘‘covered material’’. 
(b) EFFECTIVE DATE.—The amendments made by 
subsection (a) shall take effect on the date that is 3 years 
after the date of the enactment of this Act.
815 
SEC. 823. REQUIREMENT THAT CERTAIN SHIP COMPO-
NENTS 
BE 
MANUFACTURED 
IN 
THE 
NA-
TIONAL 
TECHNOLOGY 
AND 
INDUSTRIAL 
BASE. 
(a) TECHNICAL
AMENDMENT.—The second sub-
section (k) of section 2534 of title 10, United States Code 
(relating to Implementation of Auxiliary Ship Component 
Limitation), is redesignated as subsection (l). 
(b) COMPONENTS FOR AUXILIARY SHIPS.—Section 
2534(a) of title 10, United States Code, is amended by 
adding at the end the following new paragraph: 
‘‘(6) COMPONENTS
FOR
AUXILIARY
SHIPS.— 
Subject to subsection (l), the following components: 
‘‘(A) Large medium-speed diesel engines. 
‘‘(B) 
Auxiliary 
equipment, 
including 
pumps, for all shipboard services. 
‘‘(C) Propulsion system components, in-
cluding engines, reduction gears, and propellers. 
‘‘(D) Shipboard cranes. 
‘‘(E) Spreaders for shipboard cranes.’’. 
(c) IMPLEMENTATION.—Subsection (l) of section 
2534 of title 10, United States Code, as redesignated by 
subsection (a), is amended— 
(1) by redesignating the second sentence to ap-
pear as flush text at the end;
816 
(2) by striking ‘‘auxiliary ship after the date’’ 
and inserting the following: ‘‘auxiliary ship— 
‘‘(1) with respect to large medium-speed diesel 
engines described under subparagraph (A) of such 
subsection, after the date’’; 
(3) in paragraph (1) (as so designated), by 
striking ‘‘Navy.’’ and inserting ‘‘Navy; and’’; and 
(4) by inserting after paragraph (1) (as so des-
ignated) the following new paragraph: 
‘‘(2) with respect to components listed in sub-
paragraphs (B) through (E) of such subsection, 
after the date of the enactment of the National De-
fense Authorization Act for Fiscal Year 2021 using 
funds available for National Defense Sealift Fund 
programs or Shipbuilding and Conversion, Navy.’’. 
SEC. 824. PREFERENCE FOR SOURCING RARE EARTH MATE-
RIALS FROM THE NATIONAL TECHNOLOGY 
AND INDUSTRIAL BASE. 
(a) IN GENERAL.—The Secretary of Defense shall, 
to the maximum extent practicable, acquire materials that 
are determined to be strategic and critical materials re-
quired to meet the defense, industrial, and essential civil-
ian needs of the United States in the following order of 
preference:
817 
(1) From sources located within the United 
States. 
(2) From sources located within the national 
technology and industrial base (as defined in section 
2500 of title 10, United States Code). 
(3) From other sources as appropriate. 
(b) ELIMINATE DEPENDENCY ON CHINA.—Not later 
than 180 days after the date of the enactment of this Act, 
the Under Secretary of Defense for Acquisition and 
Sustainment, in consultation with the Under Secretary of 
Defense (Comptroller), the Vice Chairman of the Joint 
Chiefs of Staff, and the appropriate Under Secretary of 
State, as designated by the Secretary of State, shall issue 
guidance to ensure the elimination of the dependency of 
the United States on rare earth materials from China by 
fiscal year 2035. 
SEC. 825. ENHANCED DOMESTIC CONTENT REQUIREMENT 
FOR MAJOR DEFENSE ACQUISITION PRO-
GRAMS. 
(a) ASSESSMENT REQUIRED.— 
(1) IN GENERAL.—Not later than 1 year after 
the date of the enactment of this Act, the Secretary 
of Defense shall submit to the congressional defense 
committees a report assessing the domestic source
818 
content of any procurement carried out in connec-
tion with major defense acquisition programs. 
(2) INFORMATION REPOSITORY.—The Secretary 
of Defense shall establish an information repository 
for the collection and analysis of information related 
to domestic source content that can be used for con-
tinuous data analysis and program management ac-
tivities. 
(b) ENHANCED
DOMESTIC
CONTENT
REQUIRE-
MENT.— 
(1) IN GENERAL.—For purposes of chapter 83 
of title 41, United States Code, manufactured arti-
cles, materials, or supplies procured in connection 
with a major defense acquisition program shall be 
deemed to be manufactured substantially all from 
articles, materials, or supplies mined, produced, or 
manufactured in the United States, if such compo-
nent articles, materials, or supplies— 
(A) not later than October 1, 2021, com-
prise 75 percent of the manufactured articles, 
materials, or supplies; 
(B) not later than October 1, 2022, com-
prise 80 percent of the manufactured articles, 
materials, or supplies;
819 
(C) not later than October 1, 2023, com-
prise 85 percent of the manufactured articles, 
materials, or supplies; 
(D) not later than October 1, 2024, com-
prise 90 percent of the manufactured articles, 
materials, or supplies; 
(E) not later than October 1, 2025, com-
prise 95 percent of the manufactured articles, 
materials, or supplies; and 
(F) not later than October 1, 2026, com-
prise 100 percent of the manufactured articles, 
materials, or supplies. 
(2) WAIVER.—Before Milestone A approval (as 
defined in section 2366a(d) of title 10, United 
States Code) is granted for a major defense acquisi-
tion program, the Secretary of Defense shall deter-
mine whether or not to grant a waiver of the re-
quirements of paragraph (1). 
(3) EFFECTIVE DATE.—The domestic content 
requirement under paragraph (1) applies to con-
tracts entered into on or after October 1, 2021. 
(c) MAJOR DEFENSE ACQUISITION PROGRAM DE-
FINED.—In this section, the term ‘‘major defense acquisi-
tion program’’ has the meaning given in section 2430 of 
title 10, United States Code.
820 
SEC. 826. ADDITIONAL REQUIREMENTS PERTAINING TO 
PRINTED CIRCUIT BOARDS. 
(a) PURCHASES.—Beginning in fiscal year 2023, the 
Secretary of Defense shall require that any contractor or 
subcontractor that provides covered printed circuit boards 
for use by the Department of Defense to certify that, of 
the total value of the covered printed circuit boards pro-
vided by such contractor or subcontractor pursuant to a 
contract with the Department of Defense, not less than 
the percentages set forth in subsection (b) were manufac-
tured and assembled within a covered country. 
(b) IMPLEMENTATION.—In making a certification 
under subsection (a), a contractor or subcontractor shall 
use the following percentages: 
(1) During fiscal years 2023 through 2027, the 
greater of— 
(A) 50 percent; or 
(B) 75 percent, if the Secretary of Defense 
has determined that suppliers in covered coun-
tries are capable of supplying 75 percent of De-
partment of Defense requirements for printed 
circuit boards. 
(2) During fiscal years 2028 through 2032, the 
greater of— 
(A) 75 percent; or
821 
(B) 100 percent, if the Secretary of De-
fense has determined that suppliers in covered 
countries are capable of supplying 100 percent 
of Department of Defense requirements for 
printed circuit boards. 
(3) Beginning in fiscal year 2033, 100 percent. 
(c) REMEDIATION.— 
(1) IN
GENERAL.—In the event that a con-
tractor or subcontractor is unable to make the cer-
tification required under subsection (a), the Sec-
retary may accept covered printed circuit boards 
from such contractor or subcontractor for up to 1 
year while requiring the contractor to complete a re-
mediation plan. Such a plan shall be submitted to 
the congressional defense committees and shall re-
quire the contractor or subcontractor that failed to 
make the certification required under subsection (a) 
to— 
(A) audit its supply chain to identify any 
areas of security vulnerability and noncompli-
ance with section 224 of the National Defense 
Authorization Act for Fiscal Year 2020 (Public 
Law 116–92); and
822 
(B) meet the requirements of subsection 
(a) within 1 year after the initial missed certifi-
cation deadline. 
(2) RESTRICTION.—No contractor or subcon-
tractor that has supplied covered printed circuit 
boards while under a remediation plan shall be eligi-
ble to enter into another remediation plan under 
subsection (c) for a period of 5 years. 
(d) WAIVER.—The Secretary of Defense may waive 
the requirement under subsection (a) with respect to a 
contractor or subcontractor if the Secretary determines 
that— 
(1) there are no significant national security 
concerns regarding counterfeiting, quality, or unau-
thorized access created by accepting covered printed 
circuit boards under such waiver; and 
(2) the contractor is otherwise in compliance 
with all relevant cybersecurity provisions relating to 
members of the defense industrial base, including 
section 224 of the National Defense Authorization 
Act for Fiscal Year 2020 (Public Law 116–92). 
(e) AVAILABILITY EXCEPTION.—Subsection (a) shall 
not apply to the extent that the Secretary of Defense or 
the Secretary of the military department concerned deter-
mines that covered printed circuit boards of satisfactory
823 
quality and sufficient quantity, in the required form, can-
not be procured as and when needed from covered coun-
tries. 
(f) DEFINITIONS.—In this section: 
(1) COVERED
COUNTRY.—The term ‘‘covered 
country’’ means— 
(A) the United States; or 
(B) a foreign country whose government 
has a memorandum of understanding or agree-
ment with the United States that— 
(i) where applicable, complies with the 
requirements of section 36 of the Arms 
Export Control Act (22 U.S.C. 2776) and 
with section 2457 of title 10, United 
States Code; and 
(ii) either— 
(I) requires the United States to 
purchase 
supplies 
from 
foreign 
sources for the purposes of offsetting 
sales made the by United States Gov-
ernment or United States firms under 
approved programs serving defense re-
quirements; or 
(II) under which the United 
States and such government agree to
824 
remove barriers to purchase supplies 
produced in such foreign country or 
services performed by sources of such 
foreign country. 
(2) COVERED PRINTED CIRCUIT BOARD.— 
(A) IN
GENERAL.—The term ‘‘covered 
printed circuit board’’ means any printed circuit 
board that is— 
(i) a product that is not a commercial 
product (as defined in section 103 of title 
41, United States Code); or 
(ii) a commercial product (as defined 
in section 103 of title 41, United States 
Code), other than a commercially available 
off-the-shelf item (as defined in section 
104 of title 41, United States Code) not 
described in subparagraph (B). 
(B) COMMERCIALLY AVAILABLE OFF-THE- 
SHELF ITEMS DESCRIBED.—The commercially 
available off-the-shelf items (as defined in sec-
tion 104 of title 41, United States Code) de-
scribed in this subparagraph are such items 
that are acquired under a contract with an 
award value that is greater than the micro-pur-
chase threshold under section 2338 of title 10,
825 
United States Code, for use as an integral com-
ponent in a system designed for— 
(i) telecommunications, including data 
communications and fifth-generation cel-
lular communications; 
(ii) data storage; 
(iii) medical applications; 
(iv) networking; 
(v) computing; 
(vi) radar; 
(vii) munitions; or 
(viii) any other system that the Sec-
retary of Defense determines should be 
covered under this section. 
(3) 
SUBCONTRACTOR.—The 
term 
‘‘subcon-
tractor’’ includes subcontractors at any tier. 
SEC. 827. REPORT ON USE OF DOMESTIC NONAVAILABILITY 
DETERMINATIONS. 
Not later than September 30, 2021, and annually 
thereafter, the Secretary of Defense shall submit a report 
to congressional defense committees— 
(1) describing in detail the use of any waiver or 
exception by the Department of Defense to the re-
quirements of chapter 83 of title 41, United States 
Code, or section 2533a of title 10, United States
826 
Code, relating to domestic nonavailability determina-
tions; 
(2) specifying the type of waiver or exception 
used; and 
(3) providing an assessment of the impact on 
the use of such waivers or exceptions due to the 
COVID–19 pandemic and associated challenges with 
investments in domestic sources. 
SEC. 828. SENSE OF CONGRESS ON THE PROHIBITION ON 
CERTAIN TELECOMMUNICATIONS AND VIDEO 
SURVEILLANCE SERVICES OR EQUIPMENT. 
(a) FINDINGS.—Congress finds the following: 
(1) Prohibiting the use of telecommunications 
and video surveillance products or services from cer-
tain Chinese entities within the Federal Govern-
ment’s supply chain is essential to our national secu-
rity. 
(2) Section 889 of the John S. McCain Na-
tional Defense Authorization Act for Fiscal Year 
2019 (Public Law 115–232; 132 Stat. 1917; 41 
U.S.C. note prec. 3901) restricts Federal agencies 
from procuring, contracting with entities that use, or 
funding the purchase of certain telecommunications 
products of Chinese companies determined by Con-
827 
gress to pose a substantial threat to the security of 
our communication infrastructure. 
(3) Specifically, section 889(a)(1)(B) of such 
Act, effective August 13, 2020, will prohibit Federal 
agencies from entering into, extending, or renewing 
a contract with an entity that uses covered tele-
communications and video surveillance equipment or 
services from designated Chinese companies, includ-
ing Huawei and ZTE, in their supply chains. 
(4) As of July 1, 2020, the Federal Acquisition 
Regulatory Council has yet to release a draft rule 
for public comment on the implementation of the 
prohibitions described in section 889(a)(1)(B) of 
such Act, leaving Federal agencies and contractors 
that provide equipment and services to the Federal 
Government without implementation guidance nec-
essary to adequately plan for or comply with the 
prohibitions. 
(5) Belated, and then hurried, implementation 
of this critical prohibition puts at risk the Federal 
Government’s ability to acquire essential goods and 
services and increases vulnerability in the supply 
chain through inconsistent implementation. 
(6) A senior Department of Defense leader tes-
tified on June 10, 2020, that, ‘‘I am very concerned
828 
about being able to implement [the prohibition] in 
August, as well as totally comply within two years 
* * * I believe we need more time’’. 
(7) Subsequent to the enactment of the John S. 
McCain National Defense Authorization Act for Fis-
cal Year 2019 (Public Law 115–232), Congress es-
tablished the Federal Acquisition Security Council 
(FASC)—comprised of senior officials from the Of-
fice of Management and Budget, General Services 
Administration, Department of Defense, Department 
of Homeland Security and the intelligence commu-
nity—to streamline the Federal Government’s sup-
ply chain risk management efforts and develop cri-
teria and processes for supply chain information 
sharing among executive agencies. 
(b) SENSE OF CONGRESS.—It is the sense of Con-
gress that— 
(1) successful implementation of the prohibition 
on using or procuring certain telecommunications 
and video surveillance equipment under section 889 
of the John S. McCain National Defense Authoriza-
tion Act for Fiscal Year 2019 (Public Law 115–232; 
132 Stat. 1917; 41 U.S.C. note prec. 3901) is crit-
ical to protecting the supply chain of the Federal 
Government, and Federal agencies should draw upon
829 
the expert resources available (such as the Federal 
Acquisition Security Council established under sub-
chapter III of chapter 13 of title 41, United States 
Code) to ensure implementation of such prohibition 
is done in a comprehensive and deliberative manner; 
and 
(2) the Federal Acquisition Regulatory Council 
shall ensure successful implementation of such pro-
hibition by providing sufficient time for public com-
ment and review of any related rulemaking. 
SEC. 829. DOMESTIC SOURCING REQUIREMENTS FOR ALU-
MINUM. 
(a) FINDING.—Congress finds that aluminum pro-
duction capacity in the United States is critical to United 
States national security. 
(b) DESIGNATION
OF ALUMINUM
AS SPECIALTY 
METAL.—Section 2533b(l) of title 10, United States 
Code, is amended by adding at the end the following new 
paragraph: 
‘‘(5) Aluminum and aluminum alloys.’’ 
(c) FEDERAL HIGHWAY ADMINISTRATION.—Section 
313(a) of title 23, United States Code, is amended by 
striking ‘‘unless steel, iron, and manufactured products’’ 
and inserting ‘‘unless steel, iron, aluminum, and manufac-
tured products’’.
830 
(d) FEDERAL TRANSIT ADMINISTRATION.—Section 
5323(j) of title 49, United States Code, is amended— 
(1) in paragraph (1), by striking ‘‘only if the 
steel, iron, and manufactured goods’’ and inserting 
‘‘only if the steel, iron, aluminum, and manufactured 
goods’’; 
(2) in paragraph (2)(B), by striking ‘‘steel, 
iron, and goods’’ and inserting ‘‘steel, iron, alu-
minum, and manufactured goods’’; 
(3) in paragraph (5), by striking ‘‘or iron’’ and 
inserting ‘‘, iron, or aluminum’’; 
(4) in paragraph (6)(A)(i), by inserting ‘‘, alu-
minum’’ after ‘‘iron’’; 
(5) in paragraph (10), by inserting ‘‘, alu-
minum’’ after ‘‘iron’’; and 
(6) in paragraph (12)— 
(A) in the paragraph heading, by striking 
‘‘AND IRON’’ and inserting ‘‘, IRON, AND ALU-
MINUM’’; and 
(B) by striking ‘‘and iron’’ and inserting ‘‘, 
iron, and aluminum’’. 
(e) FEDERAL RAILROAD ADMINISTRATION.—Section 
22905(a) of title 49, United States Code, is amended— 
(1) in paragraph (1), by striking ‘‘only if the 
steel, iron, and manufactured goods’’ and inserting
831 
‘‘only if the steel, iron, aluminum, and manufactured 
products’’; 
(2) in paragraph (2)(B), by inserting ‘‘, alu-
minum’’ after ‘‘iron’’; and 
(3) in paragraph (9), by inserting ‘‘, alu-
minum’’ after ‘‘iron’’. 
(f) FEDERAL AVIATION ADMINISTRATION.—Section 
50101(a) of title 49, United States Code, is amended by 
striking ‘‘steel and manufactured goods’’ and inserting 
‘‘steel, aluminum, and manufactured goods’’. 
(g) AMTRAK.—Section 24305(f)(2) of title 49, United 
States Code, is amended by inserting ‘‘(including alu-
minum)’’ after ‘‘supplies’’ each place it appears. 
SEC. 830. REPORT ON ALUMINUM REFINING, PROCESSING, 
AND MANUFACTURING. 
(a) SENSE OF CONGRESS.—It is the sense of Con-
gress that, consistent with any determinations made pur-
suant to section 101 of the Defense Production Act of 
1950 (50 U.S.C. 4511), the refining of aluminum and the 
development of processing and manufacturing capabilities 
for aluminum, including a geographically diverse set of 
such capabilities, may have important implications for the 
defense industrial base and the national defense.
832 
(b) REPORT.—Not later than September 30, 2021, 
the Secretary of Defense shall submit to the appropriate 
congressional committees a report on— 
(1) how authorities under the Defense Produc-
tion Act of 1950 (50 U.S.C. 4501 et seq.) could be 
used to provide incentives to increase activities relat-
ing to refining aluminum and the development of 
processing and manufacturing capabilities for alu-
minum; and 
(2) whether a new initiative would further the 
development of such processing and manufacturing 
capabilities for aluminum. 
(c) DEFINITIONS.—In this section: 
(1) APPROPRIATE
CONGRESSIONAL
COMMIT-
TEES.—The term ‘‘appropriate congressional com-
mittees’’ means— 
(A) the Committees on Armed Services of 
the Senate and the House of Representatives; 
and 
(B) the Committee on Financial Services 
of the House of Representatives and the Com-
mittee on Banking, Housing, and Urban Affairs 
of the Senate. 
(2) NATIONAL DEFENSE.—The term ‘‘national 
defense’’ shall have the same meaning as such term
833 
under section 702 of the Defense Production Act of 
1950 (50 U.S. C. 4552). 
SEC. 830A. BRIEFING ON THE SUPPLY CHAIN FOR SMALL 
UNMANNED 
AIRCRAFT 
SYSTEM 
COMPO-
NENTS. 
(a) BRIEFING REQUIRED.—Not later than 180 days 
after the date of the enactment of this Act, the Under 
Secretary of Defense for Acquisition and Sustainment, in 
consultation with the Administrator of the National Aero-
nautics and Space Administration, shall provide to the ap-
propriate congressional committees a briefing on the sup-
ply chain for small unmanned aircraft system components, 
including a discussion of current and projected future de-
mand for small unmanned aircraft system components. 
(b) ELEMENTS.—The briefing under subsection (a) 
shall include the following: 
(1) The sustainability and availability of secure 
sources of critical components domestically and from 
sources in allied and partner nations. 
(2) The cost, availability, and quality of secure 
sources of critical components and other relevant in-
formation domestically and from sources in allied 
and partner nations. 
(3) The plan of the Department of Defense to 
address any gaps or deficiencies presented in para-
834 
graphs (1) and (2), including through the use of 
funds available under the Defense Production Act of 
1950 (50 U.S.C. 4501 et seq.) and partnerships 
with the National Aeronautics and Space Adminis-
tration and other public and private stakeholders. 
(4) Such other information as the Under Sec-
retary of Defense for Acquisition and Sustainment 
determines to be appropriate. 
(c) DEFINITIONS.—In this section: 
(1) APPROPRIATE
CONGRESSIONAL
COMMIT-
TEES.—The term ‘‘appropriate congressional com-
mittees’’ means— 
(A) the congressional defense committees; 
(B) the Committee on Science, Space, and 
Technology and the Committee on Transpor-
tation and Infrastructure of the House of Rep-
resentatives; and 
(C) the Committee on Commerce, Science, 
and Transportation of the Senate. 
(2) SMALL UNMANNED AIRCRAFT; UNMANNED 
AIRCRAFT
SYSTEM.—The terms ‘‘small unmanned 
aircraft’’ and ‘‘unmanned aircraft system’’ have the 
meanings given, respectively, in section 44801 of 
title 49, United States Code.
835 
SEC. 830B. PROHIBITION ON PROCUREMENT OR OPER-
ATION OF FOREIGN-MADE UNMANNED AIR-
CRAFT SYSTEMS. 
(a) PROHIBITION ON PROCUREMENT.— 
(1) IN
GENERAL.—Except as otherwise pro-
vided in this subsection, the head of an executive 
agency may not procure any commercial off-the-shelf 
drone or covered unmanned aircraft, or any compo-
nent thereof for use in such a drone or unmanned 
aircraft, that is manufactured or assembled by a 
covered foreign entity, including any flight control-
lers, radios, core processors, printed circuit boards, 
cameras, or gimbals. 
(2) EXEMPTION.—The Secretary of Homeland 
Security and the Secretary of Defense are exempt 
from the requirements of paragraph (1) if the oper-
ation or procurement— 
(A) is for the purposes of training, testing, 
or analysis for— 
(i) counter-UAS system surrogate in-
telligence; 
(ii) electronic warfare; or 
(iii) information warfare operations; 
and 
(B) is required in the national interest of 
the United States.
836 
(3) 
PROCUREMENT
OF
PRINTED
CIRCUIT 
BOARDS.— 
(A) IN GENERAL.—Beginning in fiscal year 
2023, the head of an executive agency shall re-
quire that any contractor or subcontractor that 
provides printed circuit boards for use in cov-
ered unmanned aircraft or commercial off-the- 
shelf drones to certify that, of the total value of 
the printed circuit boards provided by such con-
tractor or subcontractor pursuant to a contract 
with an executive agency, not more than the 
percentages set forth in subparagraph (B) were 
manufactured and assembled by a covered for-
eign entity. 
(B) PERCENTAGES.—In making a certifi-
cation under subsection (a), a contractor or 
subcontractor shall use the following percent-
ages: 
(i) During fiscal years 2023 through 
2027, the lesser of— 
(I) 50 percent; or 
(II) 25 percent, if the relevant 
head of an executive agency has deter-
mined that suppliers other than cov-
ered foreign entities are capable of
837 
supplying 75 percent of the require-
ments of the executive agency for 
printed circuit boards. 
(ii) During fiscal years 2028 through 
2032, the lesser of— 
(I) 25 percent; or 
(II) 0 percent, if the relevant 
head of an executive agency has deter-
mined that suppliers other than cov-
ered foreign entities are capable of 
supplying 100 percent the require-
ments of the executive agency for 
printed circuit boards. 
(C) REMEDIATION.— 
(i) IN GENERAL.—If a contractor or 
subcontractor is unable to make the certifi-
cation required under subparagraph (A), 
the head of an executive agency may ac-
cept printed circuit boards from such con-
tractor or subcontractor for up to 1 year 
while requiring the contractor to complete 
a remediation plan. Such plan shall be sub-
mitted to Congress and shall require the 
contractor or subcontractor that failed to
838 
make the certification required under sub-
paragraph (A) to— 
(I) audit its supply chain to iden-
tify any areas of security vulner-
ability; and 
(II) meet the requirements of 
subparagraph (A) within 1 year after 
the initial missed certification dead-
line. 
(ii) RESTRICTION.—No contractor or 
subcontractor that has supplied printed 
circuit boards while under a remediation 
plan shall be eligible to enter into another 
remediation plan under subparagraph (C) 
for a period of 5 years. 
(iii) WAIVER.—The head of an execu-
tive agency may waive the requirement 
under subparagraph (A) with respect to a 
contractor or subcontractor if the head of 
an executive agency determines that— 
(I) there are no significant na-
tional security concerns regarding 
counterfeiting, quality, or unauthor-
ized access created by accepting print-
839 
ed circuit boards under such waiver; 
and 
(II) the contractor is otherwise in 
compliance with all cybersecurity re-
quirements applicable to such con-
tractor under Federal laws or regula-
tions. 
(iv) AVAILABILITY EXCEPTION.—Sub-
paragraph (A) shall not apply to the extent 
that the head of an executive agency deter-
mines that printed circuit boards of satis-
factory quality and sufficient quantity, in 
the required form, cannot be procured as 
and when needed from entities that are not 
covered foreign entities. 
(4) WAIVER.—The head of an executive agency 
may waive the prohibition under paragraph (1), ex-
cept with respect to a contract to procure printed 
circuit boards for use in covered unmanned aircraft 
or commercial off-the-shelf drones, on a case-by-case 
basis with the approval of the Secretary of Home-
land Security or the Secretary of Defense and notifi-
cation to Congress. 
(5) 
COMPONENT
PROHIBITION
APPLICA-
BILITY.—Except as otherwise provided in this sub-
840 
section, the prohibition under paragraph (1) regard-
ing components of commercial off-the-shelf drones or 
covered unmanned aircraft shall apply only to con-
tracts for the procurement of such components that 
are entered into on or after the date that is 2 years 
after the date of the enactment of this Act. 
(b) PROHIBITION ON OPERATION.— 
(1) PROHIBITION.— 
(A) IN
GENERAL.—Beginning not later 
than 180 days after the date of the enactment 
of this Act, the head of an executive agency 
may not operate a commercial off-the-shelf 
drone or covered unmanned aircraft manufac-
tured or assembled by a covered foreign entity. 
(B) PHASE-IN PERIOD FOR EXISTING CON-
TRACTS.—The prohibition under subparagraph 
(A) shall not apply, during the 1-year period 
beginning on the date of the enactment of this 
Act, to commercial off-the-shelf drones and cov-
ered unmanned aircraft procured through a 
contract entered into before the date of the en-
actment of this Act. 
(2) EXEMPTION.—The Secretary of Homeland 
Security and the Secretary of Defense are exempt
841 
from the restriction under paragraph (1) if the oper-
ation— 
(A) is for the purposes of training, testing, 
or analysis for— 
(i) counter-UAS system surrogate in-
telligence; 
(ii) electronic warfare; or 
(iii) information warfare operations; 
and 
(B) is required in the national interest of 
the United States. 
(3) WAIVER.—The head of an executive agency 
may waive the prohibition under paragraph (1) on a 
case-by-case basis with the approval of the Secretary 
of Homeland Security or the Secretary of Defense 
and notification to Congress. 
(4) REGULATIONS.—Not later than 180 days 
after the date of the enactment of this Act, the Di-
rector of the Office of Management and Budget, in 
coordination with the Secretary of Homeland Secu-
rity, Secretary of Transportation, the Attorney Gen-
eral, and such other Federal departments and agen-
cies as determined by the Director of the Office of 
Management and Budget, and in consultation with 
the Under Secretary of Commerce for Standards
842 
and Technology, shall establish a Governmentwide 
policy for the operation of UASs for non-Depart-
ment of Defense and non-intelligence community op-
erations. 
(c) PROHIBITION ON USE OF FEDERAL FUNDS.— 
The requirements described in subsection (a) shall apply 
with respect to the use of Federal funds awarded through 
a contract, grant, or cooperative agreement, or made avail-
able to a State or local government, or any subdivision 
thereof. 
(d) COMPTROLLER GENERAL REPORT.—Not later 
than 90 days after the date of the enactment of this Act, 
the Comptroller General of the United States shall submit 
to Congress a report on the quantity of commercial off- 
the-shelf drones and covered unmanned aircraft procured 
by Federal departments and agencies from covered foreign 
entities. 
(e) INTERACTION WITH OTHER LAW.—Section 848 
of the National Defense Authorization Act for Fiscal Year 
2020 (10 U.S.C. 2302 note) does not apply with respect 
to a commercial off-the-shelf drone or covered unmanned 
aircraft, or any component thereof intended for use in 
such a drone or unmanned aircraft, to which the provi-
sions of this Act apply. 
(f) DEFINITIONS.—In this section:
843 
(1) COMMERCIAL
OFF-THE-SHELF
DRONE.— 
The term ‘‘commercial off-the-shelf drone’’ means a 
covered unmanned aircraft that is a commercially 
available off-the-shelf item (as defined in section 104 
of title 41, United States Code). 
(2) COVERED
FOREIGN
ENTITY.—The term 
‘‘covered foreign entity’’ means— 
(A) a covered entity (as determined by the 
Secretary of Commerce); 
(B) 
any 
entity 
that 
is 
subject 
to 
extrajudicial direction from a foreign govern-
ment, as determined by the Director of Na-
tional Intelligence; 
(C) any entity the Secretary of Homeland 
Security, in coordination with the Director of 
National Intelligence, the Secretary of Defense, 
and the Secretary of State, determines poses a 
national security risk; 
(D) any entity subject to influence or con-
trol by the Government of the People Republic 
of China or the Communist Party of the Peo-
ple’s Republic of China, as determined by the 
Secretary of Homeland Security; and 
(E) any subsidiary or affiliate of an entity 
described in subparagraphs (A) through (D).
844 
(3) COVERED
UNMANNED
AIRCRAFT.—The 
term ‘‘covered unmanned aircraft’’ means an un-
manned aircraft or unmanned aircraft system as 
such terms are defined, respectively, in section 
44801 of title 49, United States Code. 
(4) EXECUTIVE AGENCY.—The term ‘‘executive 
agency’’ has the meaning given such term in section 
105 of title 5, United States Code. 
(5) INTELLIGENCE
COMMUNITY.—The term 
‘‘intelligence community’’ has the meaning given 
such term in section 3 of the National Security Act 
of 1947 (50 U.S.C. 3003). 
(6) UAS.—The term ‘‘UAS’’ has the meaning 
given the term ‘‘unmanned aircraft system’’ in sec-
tion 44801 of title 49, United States Code. 
SEC. 
830C. 
SENSE 
OF 
CONGRESS 
ON 
GAPS 
OR 
VULNERABILITIES IN THE NATIONAL TECH-
NOLOGY AND INDUSTRIAL BASE. 
It is the sense of Congress that in preparing the an-
nual report required by section 2504 of title 10, United 
States Code, the Secretary of Defense shall include the 
following: 
(1) An assessment of gaps or vulnerabilities in 
the national technology and industrial base (as de-
fined in section 2500 of title 10, United States
845 
Code) with respect to intellectual property theft as 
related to the development and long-term sustain-
ability of defense technologies. 
(2) The extent to which, if any, foreign adver-
saries engage in operations to exploit such gaps or 
vulnerabilities. 
(3) Recommendations to mitigate or address 
any such gaps or vulnerabilities identified by the 
Secretary. 
(4) Any other matters the Secretary of Defense 
determines should be included. 
SEC. 830D. REPORT ON PARTNERSHIPS FOR RARE EARTH 
MATERIAL SUPPLY CHAIN SECURITY. 
Not later than 180 days after the date of the enact-
ment of this Act, the Secretary of Defense shall submit 
to Congress a report that— 
(1) assesses the ability of the Department of 
Defense to facilitate partnerships with institutions of 
higher education (as defined in section 101 of the 
Higher Education Act of 1965 (20 U.S.C. 1001)) 
that receive grants for the purpose of enhancing the 
security and stability of supply chain for domestic 
rare earth materials for the National Defense Stock-
pile; and 
(2) identifies barriers to such partnerships; and
846 
(3) provides recommendations as to how the 
Secretary of Defense may improve these partner-
ships. 
Subtitle D—Small Business Matters 
SEC. 831. TRANSFER OF VERIFICATION OF SMALL BUSI-
NESS CONCERNS OWNED AND CONTROLLED 
BY VETERANS OR SERVICE-DISABLED VET-
ERANS TO THE SMALL BUSINESS ADMINIS-
TRATION. 
(a) TRANSFER DATE.—For purposes of this section, 
the term ‘‘transfer date’’ means the date that is 2 years 
after the date of enactment of this section, except that 
such date may be extended an unlimited number of times 
by a period of not more than 6 months if the Adminis-
trator of the Small Business Administration and the Sec-
retary of Veterans Affairs jointly issue a notice to Con-
gress and the Law Revision Counsel of the House of Rep-
resentatives containing— 
(1) a certification that such extension is nec-
essary; 
(2) the rationale for and the length of such ex-
tension; and 
(3) a plan to comply with the requirements of 
this section within the timeframe of the extension.
847 
(b) AMENDMENT TO AND TRANSFER OF VETERAN- 
OWNED AND SERVICE-DISABLED VETERAN-OWNED BUSI-
NESS DATABASE.— 
(1) AMENDMENT
OF
VETERAN-OWNED
AND 
SERVICE-DISABLED
VETERAN-OWNED
BUSINESS 
DATABASE.—Effective on the transfer date, section 
8127 of title 38, United States Code, is amended— 
(A) in subsection (e)— 
(i) by striking ‘‘the Secretary’’ and in-
serting ‘‘the Administrator’’; and 
(ii) by striking ‘‘subsection (f)’’ and 
inserting ‘‘section 36 of the Small Business 
Act’’; 
(B) in subsection (f)— 
(i) by striking ‘‘the Secretary’’ each 
place such term appears, other than in the 
last place such term appears under para-
graph (2)(A), and inserting ‘‘the Adminis-
trator’’; 
(ii) in paragraph (1), by striking 
‘‘small business concerns owned and con-
trolled by veterans with service-connected 
disabilities’’ each place such term appears 
and inserting ‘‘small business concerns
848 
owned and controlled by service-disabled 
veterans’’; 
(iii) in paragraph (2)— 
(I) in subparagraph (A), by strik-
ing ‘‘to access’’ and inserting ‘‘to ob-
tain from the Secretary of Veterans 
Affairs’’; and 
(II) by striking subparagraph (B) 
and inserting the following: 
‘‘(B) For purposes of this subsection— 
‘‘(i) the Secretary of Veterans Affairs shall— 
‘‘(I) verify an individual’s status as a vet-
eran or a service-disabled veteran; and 
‘‘(II) establish a system to permit the Ad-
ministrator to access, but not alter, such 
verification; and 
‘‘(ii) the Administrator shall verify— 
‘‘(I) the status of a business concern as a 
small business concern; and 
‘‘(II) the ownership and control of such 
business concern. 
‘‘(C) The Administrator may not certify a concern 
under subsection (b) or section 36A if the Secretary of 
Veterans Affairs cannot provide the verification described 
under subparagraph (B)(i)(I).’’;
849 
(iv) by striking paragraphs (4) and 
(7); 
(v) by redesignating paragraphs (5) 
and (6) as paragraphs (4) and (5), respec-
tively, and redesignating paragraph (8) as 
paragraph (6); 
(vi) in paragraph (4), as so redesig-
nated, by striking ‘‘The Secretary’’ and in-
serting ‘‘The Administrator’’; and 
(vii) in paragraph (6), as so redesig-
nated— 
(I) in subparagraph (A)— 
(aa) by striking ‘‘verify the 
status of the concern as a small 
business concern or the owner-
ship or control of the concern’’ 
and inserting ‘‘certify the status 
of the concern as a small busi-
ness concern owned and con-
trolled by veterans (under section 
36A) or a small business concern 
owned and controlled by service- 
disabled veterans (under section 
36(g))’’; and
850 
(bb) 
by 
striking 
‘‘verification’’ and inserting ‘‘cer-
tification’’; 
(II) in subparagraph (B)— 
(aa) in clause (i), by striking 
‘‘small business concern owned 
and controlled by veterans with 
service-connected 
disabilities’’ 
and inserting ‘‘small business 
concern owned and controlled by 
service-disabled veterans’’; and 
(bb) in clause (ii)— 
(AA) by amending sub-
clause (I) to read as follows: 
‘‘(I) the Secretary of Veterans Affairs or 
the Administrator; or’’; and 
(BB) in subclause (II), 
by striking ‘‘the contracting 
officer of the Department’’ 
and inserting ‘‘the applicable 
contracting officer’’; and 
(III) by striking subparagraph 
(C); 
(C) by redesignating subsection (k) (relat-
ing to definitions) as subsection (l);
851 
(D) by inserting after subsection (j) (relat-
ing to annual reports) the following: 
‘‘(k) ANNUAL
TRANSFER
FOR
CERTIFICATION 
COSTS.—For each fiscal year, the Secretary of Veterans 
Affairs shall reimburse the Administrator in an amount 
necessary to cover any cost incurred by the Administrator 
for certifying small business concerns owned and con-
trolled by veterans that do not qualify as small business 
concerns owned and controlled by service-disabled veterans 
for the Secretary for purposes of this section and section 
8128 of this title. The Administrator is authorized to ac-
cept such reimbursement. The amount of any such reim-
bursement shall be determined jointly by the Secretary 
and the Administrator and shall be provided from fees col-
lected by the Secretary under multiple-award schedule 
contracts. Any disagreement about the amount shall be 
resolved by the Director of the Office of Management and 
Budget.’’; and 
(E) subsection (l) (relating to definitions), 
as so redesignated, by adding at the end the 
following: 
‘‘(4) The term Administrator means the Admin-
istrator of the Small Business Administration.’’. 
(2) TRANSFER
OF
REQUIREMENTS
RELATING 
TO DATABASE TO THE SMALL BUSINESS ACT.—Ef-
852 
fective on the transfer date, subsection (f) of section 
8127 of title 38, United States Code (as amended by 
paragraph (1)), is transferred to section 36 of the 
Small Business Act (15 U.S.C. 657f), inserted so as 
to appear after subsection (e). 
(3) 
CONFORMING
AMENDMENTS.—The 
fol-
lowing amendments shall take effect on the transfer 
date: 
(A) 
SMALL
BUSINESS
ACT.—Section 
3(q)(2)(C)(i)(III) of the Small Business Act (15 
U.S.C. 632(q)(2)(C)(i)(III)) is amended by 
striking ‘‘section 8127(f) of title 38, United 
States Code’’ and inserting ‘‘section 36’’. 
(B) TITLE 38.—Section 8128 of title 38, 
United States Code, is amended by striking 
‘‘section 8127(f) of this title’’ and inserting 
‘‘section 36 of the Small Business Act’’. 
(c) ADDITIONAL REQUIREMENTS FOR DATABASE.— 
(1) ADMINISTRATION ACCESS TO DATABASE BE-
FORE THE TRANSFER DATE.—During the period be-
tween the date of the enactment of this section and 
the transfer date, the Secretary of Veterans Affairs 
shall provide the Administrator of the Small Busi-
ness Administration with access to the contents of
853 
the database described under section 8127(f) of title 
38, United States Code. 
(2) RULE OF CONSTRUCTION.—Nothing in this 
section or the amendments made by this section may 
be construed— 
(A) as prohibiting the Administrator of the 
Small Business Administration from combining 
the contents of the database described under 
section 8127(f) of title 38, United States Code, 
with other databases maintained by the Admin-
istration; or 
(B) as requiring the Administrator to use 
any system or technology related to the data-
base described under section 8127(f) of title 38, 
United States Code, on or after the transfer 
date to comply with the requirement to main-
tain a database under subsection (f) of section 
36 of the Small Business Act (as transferred 
pursuant to subsection (b)(2) of this section). 
(3) RECOGNITION OF THE ISSUANCE OF JOINT 
REGULATIONS.—The date specified under section 
1832(e) of the National Defense Authorization Act 
for Fiscal Year 2017 (15 U.S.C. 632 note) shall be 
deemed to be October 1, 2018.
854 
(d) PROCUREMENT PROGRAM FOR SMALL BUSINESS 
CONCERNS OWNED AND CONTROLLED BY SERVICE-DIS-
ABLED VETERANS.— 
(1) PROCUREMENT PROGRAM FOR SMALL BUSI-
NESS
CONCERNS
OWNED
AND
CONTROLLED
BY 
SERVICE-DISABLED VETERANS.—Section 36 of the 
Small Business Act (15 U.S.C. 657f) is amended— 
(A) by striking subsections (d) and (e); 
(B) by redesignating subsections (a), (b), 
and (c) as subsections (c), (d), and (e) respec-
tively; 
(C) by inserting before subsection (c), as 
so redesignated, the following: 
‘‘(a) CONTRACTING OFFICER DEFINED.—For pur-
poses of this section, the term ‘contracting officer’ has the 
meaning given such term in section 2101 of title 41, 
United States Code. 
‘‘(b) CERTIFICATION
OF SMALL BUSINESS CON-
CERNS OWNED AND CONTROLLED BY SERVICE-DISABLED 
VETERANS.—With respect to a procurement program or 
preference established under this Act that applies to prime 
contractors, the Administrator shall— 
‘‘(1) certify the status of the concern as a 
‘small business concern owned and controlled by 
service-disabled veterans’; and
855 
‘‘(2) require the periodic recertification of such 
status.’’; 
(D) in subsection (d), as so redesignated, 
by striking ‘‘and that the award can be made 
at a fair market price’’ and inserting ‘‘, that 
the award can be made at a fair market price, 
and if each concern is certified by the Adminis-
trator as a small business concern owned and 
controlled by service-disabled veterans’’; and 
(E) by adding at the end the following: 
‘‘(g) 
CERTIFICATION
REQUIREMENT.—Notwith-
standing subsection (c), a contracting officer may only 
award a sole source contract to a small business concern 
owned and controlled by service-disabled veterans or a 
contract on the basis of competition restricted to small 
business concerns owned and controlled by service-disabled 
veterans if such a concern is certified by the Administrator 
as a small business concern owned and controlled by serv-
ice-disabled veterans. 
‘‘(h) ENFORCEMENT; PENALTIES.— 
‘‘(1) VERIFICATION OF ELIGIBILITY.—In car-
rying out this section, the Administrator shall estab-
lish procedures relating to— 
‘‘(A) the filing, investigation, and disposi-
tion by the Administration of any challenge to
856 
the eligibility of a small business concern to re-
ceive assistance under this section (including a 
challenge, filed by an interested party, relating 
to the veracity of a certification made or infor-
mation provided to the Administration by a 
small business concern under subsection (b)); 
and 
‘‘(B) verification by the Administrator of 
the accuracy of any certification made or infor-
mation provided to the Administration by a 
small business concern under subsection (b). 
‘‘(2) EXAMINATIONS.— 
‘‘(A) EXAMINATION OF APPLICANTS.—The 
procedures established under paragraph (1) 
shall provide for a program of examinations by 
the Administrator of any small business concern 
making a certification or providing information 
to the Administrator under subsection (b), to 
determine the veracity of any statements or in-
formation provided as part of such certification 
or otherwise provided under subsection (b). 
‘‘(B) EXAMINATION
OF
CERTIFIED
CON-
CERNS.—The 
procedures 
established 
under 
paragraph (1) shall provide for the examination 
of risk-based samples of small business con-
857 
cerns certified under subsection (b), or of any 
small business concern that the Administrator 
believes poses a particular risk or with respect 
to which the Administrator receives specific and 
credible information alleging that the small 
business concern no longer meets eligibility re-
quirements to be certified as a small business 
concern owned and controlled by service-dis-
abled veterans. 
‘‘(3) PENALTIES.—In addition to the penalties 
described in section 16(d), any small business con-
cern that is determined by the Administrator to have 
misrepresented the status of that concern as a small 
business concern owned and controlled by service- 
disabled veterans for purposes of subsection (b), 
shall be subject to— 
‘‘(A) section 1001 of title 18, United 
States Code; 
‘‘(B) sections 3729 through 3733 of title 
31, United States Code; and 
‘‘(C) section 8127(g) of title 38, United 
States Code. 
‘‘(i) PROVISION OF DATA.—Upon the request of the 
Administrator, the head of any Federal department or 
agency shall promptly provide to the Administrator such
858 
information as the Administrator determines to be nec-
essary to carry out subsection (b) or to be able to certify 
the status of the concern as a small business concern 
owned and controlled by veterans under section 36A.’’. 
(2) PENALTIES
FOR
MISREPRESENTATION.— 
Section 16 of the Small Business Act (15 U.S.C. 
645) is amended— 
(A) in subsection (d)(1)— 
(i) by striking ‘‘, a’’ and inserting ‘‘, 
a ‘small business concern owned and con-
trolled by service-disabled veterans’, a 
‘small business concern owned and con-
trolled by veterans’, a’’; and 
(ii) in paragraph (A), by striking ‘‘9, 
15, or 31’’ and inserting ‘‘8, 9, 15, 31, 36, 
or 36A’’; and 
(B) in subsection (e), by striking ‘‘, a’’ and 
inserting ‘‘, a ‘small business concern owned 
and controlled by service-disabled veterans’, a 
‘small business concern owned and controlled by 
veterans’, a’’. 
(e) CERTIFICATION
FOR SMALL BUSINESS CON-
CERNS OWNED AND CONTROLLED BY VETERANS.—The 
Small Business Act (15 U.S.C. 631 et seq.) is amended 
by inserting after section 36 the following new section:
859 
‘‘SEC. 36A. CERTIFICATION OF SMALL BUSINESS CONCERNS 
OWNED AND CONTROLLED BY VETERANS. 
‘‘(a) IN GENERAL.—With respect to the program es-
tablished under section 8127 of title 38, United States 
Code, the Administrator shall— 
‘‘(1) certify the status of the concern as a 
‘small business concern owned and controlled by vet-
erans’; and 
‘‘(2) require the periodic recertification of such 
status. 
‘‘(b) ENFORCEMENT; PENALTIES.— 
‘‘(1) VERIFICATION OF ELIGIBILITY.—In car-
rying out this section, the Administrator shall estab-
lish procedures relating to— 
‘‘(A) the filing, investigation, and disposi-
tion by the Administration of any challenge to 
the eligibility of a small business concern to re-
ceive assistance under this section (including a 
challenge, filed by an interested party, relating 
to the veracity of a certification made or infor-
mation provided to the Administration by a 
small business concern under subsection (a)); 
and 
‘‘(B) verification by the Administrator of 
the accuracy of any certification made or infor-
860 
mation provided to the Administration by a 
small business concern under subsection (a). 
‘‘(2) EXAMINATION OF APPLICANTS.—The pro-
cedures established under paragraph (1) shall pro-
vide for a program of examinations by the Adminis-
trator of any small business concern making a cer-
tification or providing information to the Adminis-
trator under subsection (a), to determine the verac-
ity of any statements or information provided as 
part of such certification or otherwise provided 
under subsection (a). 
‘‘(3) PENALTIES.—In addition to the penalties 
described in section 16(d), any small business con-
cern that is determined by the Administrator to have 
misrepresented the status of that concern as a small 
business concern owned and controlled by veterans 
for purposes of subsection (a), shall be subject to— 
‘‘(A) section 1001 of title 18, United 
States Code; 
‘‘(B) sections 3729 through 3733 of title 
31, United States Code; and 
‘‘(C) section 8127(g) of title 38, United 
States Code.’’.
861 
(f) STATUS OF SELF-CERTIFIED SMALL BUSINESS 
CONCERNS OWNED AND CONTROLLED BY SERVICE-DIS-
ABLED VETERANS.— 
(1) IN GENERAL.—Notwithstanding any other 
provision of law, any small business concern that 
self-certified as a small business concern owned and 
controlled by service-disabled veterans shall— 
(A) if the concern files a certification ap-
plication with the Administrator of the Small 
Business Administration before the end of the 
1-year period beginning on the transfer date, 
maintain such self-certification until the Admin-
istrator makes a determination with respect to 
such certification; and 
(B) if the concern does not file such a cer-
tification application before the end of the 1- 
year period beginning on the transfer date, lose, 
at the end of such 1-year period, any self-cer-
tification of the concern as a small business 
concern owned and controlled by service-dis-
abled veterans. 
(2) NON-APPLICABILITY
TO
DEPARTMENT
OF 
VETERANS AFFAIRS.—Paragraph (1) shall not apply 
to participation in contracts (including subcontracts) 
with the Department of Veterans Affairs.
862 
(3) NOTICE.—The Administrator shall notify 
any small business concern that self-certified as a 
small business concern owned and controlled by serv-
ice-disabled veterans about the requirements of this 
section, including the transfer date and any exten-
sion of such transfer date made pursuant to sub-
section (a), and make such notice publicly available, 
on— 
(A) the date of the enactment of this sec-
tion; and 
(B) the date on which an extension de-
scribed under subsection (a) is approved. 
(g) TRANSFER OF THE CENTER FOR VERIFICATION 
AND EVALUATION OF THE DEPARTMENT OF VETERANS 
AFFAIRS TO THE SMALL BUSINESS ADMINISTRATION.— 
(1) 
ABOLISHMENT.—The 
Center 
for 
Verification and Evaluation of the Department of 
Veterans Affairs defined under section 74.1 of title 
38, Code of Federal Regulations, is abolished effec-
tive on the transfer date. 
(2) TRANSFER OF FUNCTIONS.—All functions 
that, immediately before the effective date of this 
subsection, were functions of the Center for 
Verification and Evaluation shall—
863 
(A) on the date of enactment of this sec-
tion, be functions of both the Center for 
Verification and Evaluation and the Small 
Business Administration, except that the Small 
Business Administration shall not have any au-
thority to carry out any verification functions of 
the Center for Verification and Evaluation; and 
(B) on the transfer date, be functions of 
the Small Business Administration. 
(3) TRANSFER OF ASSETS.—So much of the 
personnel, property, and records employed, used, 
held, available, or to be made available in connection 
with a function transferred under this subsection 
shall be available to the Small Business Administra-
tion at such time or times as the President directs 
for use in connection with the functions transferred. 
(4) REFERENCES.—Any reference in any other 
Federal law, Executive order, rule, regulation, or 
delegation of authority, or any document of or per-
taining to a function of the Center for Verification 
and Evaluation that is transferred under this section 
is deemed, after the transfer date, to refer to the 
Small Business Administration. 
(h) REPORT.—Not later than the end of the 1-year 
period beginning on the date of the enactment of this sec-
864 
tion and every 6 months thereafter until the transfer date, 
the Administrator of the Small Business Administration 
and Secretary of Veterans Affairs shall jointly issue a re-
port to the Committees on Appropriations, Small Busi-
ness, and Veterans’ Affairs of the House of Representa-
tives and the Committees on Appropriations, Small Busi-
ness and Entrepreneurship, and Veterans’ Affairs of the 
Senate on the planning for the transfer of functions and 
property required under this section and the amendments 
made by this section on the transfer date. Such report 
shall include— 
(1) whether and how the verification database 
and operations of the Center for Verification and 
Evaluation of the Department of Veterans Affairs 
will be incorporated into the existing certification 
database of the Small Business Administration; 
(2) projections for the numbers and timing, in 
terms of fiscal year, of— 
(A) already verified concerns that will 
come up for recertification; and 
(B) self-certified concerns that are ex-
pected to apply for certification; 
(3) an explanation of how outreach to veteran 
service organizations, the service-disabled veteran-
865 
owned and veteran-owned small business community, 
and other stakeholders will be conducted; and 
(4) other pertinent information determined by 
the Administrator and the Secretary. 
SEC. 832. EQUITABLE ADJUSTMENTS TO CERTAIN CON-
STRUCTION CONTRACTS. 
(a) IN GENERAL.—The Small Business Act (15 
U.S.C. 631 et seq.) is amended by inserting after section 
15 the following new section: 
‘‘SEC. 15A. EQUITABLE ADJUSTMENTS TO CONSTRUCTION 
CONTRACTS. 
‘‘(a) REQUEST FOR AN EQUITABLE ADJUSTMENT.— 
A small business concern performing a construction con-
tract that was awarded by an agency may submit a re-
quest for an equitable adjustment to the contracting offi-
cer of such agency if the contracting officer directs a 
change in the work within the general scope of the con-
tract without the agreement of the small business concern. 
Such request shall— 
‘‘(1) be timely made pursuant to the terms of 
the contract; and 
‘‘(2) comply with Federal regulations regarding 
equitable adjustments, including specifying addi-
tional costs resulting from such change in the work 
within the general scope of the contract.
866 
‘‘(b) AMOUNT.—Upon receipt of a request for equi-
table adjustment under subsection (a), the agency shall 
provide to the small business concern an interim partial 
payment in an amount that is at least 50 percent of the 
costs identified in the request for equitable adjustment 
under subsection (a)(2). 
‘‘(c) LIMITATION.—Any interim partial payment 
made under this section shall not be deemed to be an ac-
tion to definitize the request for an equitable adjustment. 
‘‘(d) FLOW-DOWN OF INTERIM PARTIAL PAYMENT 
AMOUNTS.—A small business concern that requests an eq-
uitable adjustment under this section shall pay to a first 
tier subcontractor or supplier the portion of the interim 
partial payment received that is attributable to the in-
creased costs of performance incurred by the first tier sub-
contractor or supplier due to the change in the work with-
in the general scope of the contract. A subcontractor or 
supplier at any tier that receives a portion of an interim 
partial payment under this section shall pay its subcon-
tractor or supplier the appropriate portion of such pay-
ment.’’. 
(b) IMPLEMENTATION.—The Administrator of the 
Small Business Administration shall implement the re-
quirements of this section not later than the first day of
867 
the first full fiscal year beginning after the date of the 
enactment of this Act. 
SEC. 833. EXEMPTION OF CERTAIN CONTRACTS AWARDED 
TO SMALL BUSINESS CONCERNS FROM CAT-
EGORY MANAGEMENT REQUIREMENTS. 
(a) IN
GENERAL.—The Small Business Act is 
amended— 
(1) by redesignating section 49 as section 50; 
and 
(2) by inserting after section 48 the following 
new section: 
‘‘SEC. 49. EXEMPTION OF CERTAIN CONTRACTS FROM CAT-
EGORY MANAGEMENT REQUIREMENTS. 
‘‘(a) IN GENERAL.—A contract awarded under sec-
tion 8(a), 8(m), 31, or 32 that is classified as tier 0— 
‘‘(1) shall be exempt from the procedural re-
quirements of any Federal rule or guidance on cat-
egory management or successor strategies for con-
tract consolidation; and 
‘‘(2) may not be included when measuring the 
attainment of any goal or benchmark established 
under any Federal rule or guidance on category 
management or successor strategies for contract 
consolidation, unless the inclusion of such contract
868 
aids in the achievement of such a goal or bench-
mark. 
‘‘(b) DEFINITIONS.—In this section: 
‘‘(1) CATEGORY MANAGEMENT.—The term ‘cat-
egory management’ has the meaning given such 
term by the Director of the Office of Management 
and Budget. 
‘‘(2) TIER 0.—The term ‘tier 0’ has the mean-
ing given such term by the Director of the Office of 
Management and Budget with respect to the Spend 
Under Management tiered maturity model, or any 
successor model.’’. 
(b) APPLICATION.—Section 49 of the Small Business 
Act, as added by subsection (a), shall apply with respect 
to contracts entered into on or after the date of the enact-
ment of this Act. 
(c) PLAN AND REPORT.— 
(1) IN
GENERAL.—Not later than 120 days 
after the date of the enactment of this Act, the Di-
rector of the Office of Management and Budget 
shall submit to Congress a report including a plan 
to increase the participation of small business con-
cerns in agency-wide or Government-wide contracts 
(including best in class designations as defined in 
section 15(h)(4)(B)). Such plan shall include—
869 
(A) strategies to increase the amount and 
frequency of opportunities for small business 
concerns to participate in agency-wide or Gov-
ernment-wide contracts; 
(B) strategies to ease or eliminate require-
ments that impede such participation of small 
business concerns; and 
(C) a specific goal for the number of small 
business concerns participating in agency-wide 
or Government-wide contracts and a timeline to 
achieve such goal. 
(2) IMPLEMENTATION.—Not later than 60 days 
after the submission of the report required under 
paragraph (1), the Director of the Office of Manage-
ment and Budget shall implement the plan con-
tained in such report. 
(d) RULEMAKING.—Not later than 90 days after the 
date of the enactment of this Act, the Federal Acquisition 
Regulation shall be revised to carry out this Act and the 
amendment made by this Act. 
SEC. 834. REPORT ON ACCELERATED PAYMENTS TO CER-
TAIN SMALL BUSINESS CONCERNS. 
(a) REPORT.—Not later than 3 months after the date 
of the enactment of this section, the head of each Federal 
agency shall submit to Congress a report on the timeliness
870 
of payments made to a covered prime contractor. Such re-
port shall include— 
(1) the date on which the Federal agency began 
providing accelerated payments in accordance with 
section 2307(a)(2) of title 10, United States Code, 
or paragraphs (10) and (11) of section 3903(a) of 
title 31, United States Code, as applicable, to a cov-
ered prime contractor; 
(2) of contracts to which such sections apply, 
the amount and percentage of covered contracts with 
accelerated payment terms in accordance with such 
sections; and 
(3) whether and on what date the agency dis-
continued implementation of the Office of Manage-
ment and Budget Circular M–11–32 titled ‘‘Accel-
erating Payments to Small Businesses for Goods 
and Services’’ (issued September 14, 2011). 
(b) DEFINITIONS.—In this section: 
(1) COVERED PRIME CONTRACTOR.—The term 
‘‘covered prime contractor’’ means— 
(A) a prime contractor (as defined in sec-
tion 8701 of title 41) that is a small business 
concern (as defined in section 3 of the Small 
Business Act (15 U.S.C. 632)); and
871 
(B) a prime contractor that subcontracts 
with a small business concern. 
(2) COVERED CONTRACT.—The term ‘‘covered 
contract’’ means a contract entered into by a cov-
ered prime contractor— 
(A) on or after August 13, 2018, with re-
spect to a contract entered into the head of an 
agency (as defined in section 2302 of title 10, 
United States Code); or 
(B) on or after December 20, 2019, with 
respect to a contract entered into with the head 
of an agency (as defined in section 3901 of title 
31, United States Code). 
(3) FEDERAL
AGENCY.—The term ‘‘Federal 
agency’’ has the meaning given ‘‘agency’’ in section 
551(a) of title 5, United States Code. 
SEC. 835. EXTENSION OF PARTICIPATION IN 8(a) PROGRAM. 
(a) IN GENERAL.—The Administrator of the Small 
Business Administration shall ensure that a small busi-
ness concern participating in the program established 
under section 8(a) of the Small Business Act (15 U.S.C. 
637) on or before March 13, 2020, may elect to extend 
such participation by a period of 1 year, regardless of 
whether such concern previously elected to suspend par-
872 
ticipation in such program pursuant to guidance of the 
Administrator. 
(b) EMERGENCY RULEMAKING AUTHORITY.—Not 
later than 15 days after the date of enactment of this sec-
tion, the Administrator shall issue regulations to carry out 
this section without regard to the notice requirements 
under section 553(b) of title 5, United States Code. 
SEC. 836. PAST PERFORMANCE RATINGS OF CERTAIN 
SMALL BUSINESS CONCERNS. 
(a) PAST PERFORMANCE RATINGS OF JOINT VEN-
TURES FOR SMALL BUSINESS CONCERNS.—Section 15(e) 
of the Small Business Act (15 U.S.C. 644(e)) is amended 
by adding at the end the following: 
‘‘(5) PAST PERFORMANCE RATINGS OF JOINT 
VENTURES FOR SMALL BUSINESS CONCERNS.—With 
respect to evaluating an offer for a prime contract 
made by a small business concern that previously 
participated in a joint venture with another business 
concern (whether or not such other business concern 
was itself a small business concern), the Adminis-
trator shall establish regulations— 
‘‘(A) requiring contracting officers to con-
sider the record of past performance of the 
joint venture when evaluating the past perform-
ance of the small business concern; and
874 
a prime contract made by such small business 
concern.’’. 
(c) RULEMAKING.— 
(1) SMALL
BUISNESS
ADMINISTRATION.—Not 
later than the end of the 120-day period beginning 
on the date of enactment of this Act, the Adminis-
trator of the Small Business Administration shall 
issue rules to carry out this section and the amend-
ments made by this section. 
(2) FEDERAL ACQUISITION REGULATION.—Not 
later than the end of the 120-day period beginning 
on the date that rules are issued under paragraph 
(1), the Federal Acquisition Regulation shall be re-
vised to reflect such rules. 
SEC. 837. CATEGORY MANAGEMENT TRAINING. 
(a) IN GENERAL.—Not later than 8 months after the 
date of the enactment of this section, the Administrator 
of the Small Business Administration, in coordination 
with the Administrator of the Office of Federal Procure-
ment Policy and any other head of a Federal agency as 
determined by the Administrator, shall develop a training 
curriculum on category management for staff of Federal 
agencies with procurement or acquisition responsibilities. 
Such training shall include—
875 
(1) best practices for purchasing goods and 
services from small business concerns (as defined 
under section 3 of the Small Business Act (15 
U.S.C. 632)); and 
(2) information on avoiding conflicts with the 
requirements of the Small Business Act (15 U.S.C. 
631 et seq.). 
(b) USE OF CURRICULUM.—The Administrator of the 
Small Business Administration— 
(1) shall ensure that staff for Federal agencies 
described in subsection (a) receive the training de-
scribed in such subsection; and 
(2) may request the assistance of the relevant 
Director of Small and Disadvantaged Business Utili-
zation (as described in section 15(k) of the Small 
Business Act (15 U.S.C. 644(k))) to carry out the 
requirements of paragraph (1). 
(c) SUBMISSION TO CONGRESS.—The Administrator 
of the Small Business Administration shall provide a copy 
of the training curriculum developed under subsection (a) 
to the Committee on Small Business of the House of Rep-
resentatives and the Committee on Small Business and 
Entrepreneurship of the Senate. 
(d) CATEGORY MANAGEMENT DEFINED.—In this 
Act, the term ‘‘category management’’ has the meaning
876 
given by the Director of the Office of Management and 
Budget. 
SEC. 838. SMALL BUSINESSES IN TERRITORIES OF THE 
UNITED STATES. 
(a) DEFINITION
OF COVERED TERRITORY BUSI-
NESS.—Section 3 of the Small Business Act (15 U.S.C. 
632) is amended by adding at the end the following new 
subsection: 
‘‘(ff) COVERED TERRITORY BUSINESS.—In this Act, 
the term ‘covered territory business’ means a small busi-
ness concern that has its principal office located in one 
of the following: 
‘‘(1) The United States Virgin Islands. 
‘‘(2) American Samoa. 
‘‘(3) Guam. 
‘‘(4) The Northern Mariana Islands.’’. 
(b) PRIORITY
FOR SURPLUS PROPERTY TRANS-
FERS.—Section 7(j)(13)(F)(iii) of the Small Business Act 
(15 U.S.C. 636(j)(13)(F)(iii)) is amended— 
(1) in clause (I), by striking ‘‘means’’ and all 
that follows through the period at the end and in-
serting the following: ‘‘means— 
‘‘(aa) in the case of a Puerto 
Rico business, the period begin-
ning on August 13, 2018, and
877 
ending on the date on which the 
Oversight 
Board 
established 
under section 2121 of title 48 
terminates; and 
‘‘(bb) in the case of a cov-
ered territory business, the pe-
riod beginning on the date of en-
actment of this item and ending 
on the date that is 4 years after 
such date of enactment.’’; and 
(2) in clause (II)— 
(A) by inserting ‘‘or a covered territory 
business’’ after ‘‘a Puerto Rico business’’; and 
(B) by striking ‘‘the Puerto Rico business’’ 
in both places it appears and inserting ‘‘such 
business’’. 
(c) CONTRACTING INCENTIVES FOR PROTEGE FIRMS 
THAT ARE COVERED TERRITORY BUSINESSES.— 
(1) CONTRACTING INCENTIVES.—Section 45(a) 
of the Small Business Act (15 U.S.C. 657r(a)) is 
amended by adding at the end the following new 
paragraph: 
‘‘(4) COVERED TERRITORY BUSINESSES.—Dur-
ing the period beginning on the date of enactment 
of this paragraph and ending on the date that is 4
878 
years after such date of enactment, the Adminis-
trator shall identify potential incentives to a covered 
territory mentor that awards a subcontract to its 
covered territory protege, including— 
‘‘(A) positive consideration in any past per-
formance evaluation of the covered territory 
mentor; and 
‘‘(B) the application of costs incurred for 
providing training to such covered territory pro-
tege to the subcontracting plan (as required 
under paragraph (4) or (5) of section 8(d)) of 
the covered territory mentor.’’. 
(2) MENTOR-PROTEGE
RELATIONSHIPS.—Sec-
tion 45(b)(3)(A) of the Small Business Act (15 
U.S.C. 657r(b)(3)(A)) is amended by striking ‘‘rela-
tionships are’’ and all that follows through the pe-
riod at the end and inserting the following: ‘‘rela-
tionships— 
‘‘(i) are between a covered protege 
and a covered mentor; or 
‘‘(ii) are between a covered territory 
protege and a covered territory mentor.’’. 
(3) DEFINITIONS.—Section 45(d) of the Small 
Business Act (15 U.S.C. 657r(d)) is amended by 
adding at the end the following new paragraphs:
879 
‘‘(6) COVERED TERRITORY MENTOR.—The term 
‘covered territory mentor’ means a mentor that en-
ters into an agreement under this Act, or under any 
mentor-protege program approved under subsection 
(b)(1), with a covered territory protege. 
‘‘(7) COVERED
TERRITORY
PROTEGE.—The 
term ‘covered territory protege’ means a protege of 
a covered territory mentor that is a covered territory 
business.’’. 
SEC. 839. ELIGIBILITY OF THE COMMONWEALTH OF THE 
NORTHERN MARIANA ISLANDS FOR CERTAIN 
SMALL 
BUSINESS 
ADMINISTRATION 
PRO-
GRAMS. 
The Small Business Act (15 U.S.C. 631 et seq.) is 
amended— 
(1) in section 21(a)— 
(A) in paragraph (1), by inserting before 
‘‘The Administration shall require’’ the fol-
lowing: ‘‘The previous sentence shall not apply 
to an applicant that has its principal office lo-
cated in the Commonwealth of the Northern 
Mariana Islands.’’; and 
(B) in paragraph (4)(C)(ix), by striking 
‘‘and American Samoa’’ and inserting ‘‘Amer-
880 
ican Samoa, and the Commonwealth of the 
Northern Mariana Islands’’; and 
(2) in section 34(a)(9), by striking ‘‘and Amer-
ican Samoa’’ and inserting ‘‘American Samoa, and 
the Commonwealth of the Northern Mariana Is-
lands’’. 
SEC. 840. BOOTS TO BUSINESS PROGRAM. 
Section 32 of the Small Business Act (15 U.S.C. 
657b) is amended by adding at the end the following new 
subsection: 
‘‘(h) BOOTS TO BUSINESS PROGRAM.— 
‘‘(1) COVERED INDIVIDUAL DEFINED.—In this 
subsection, the term ‘covered individual’ means— 
‘‘(A) a member of the Armed Forces, in-
cluding the National Guard or Reserves; 
‘‘(B) an individual who is participating in 
the Transition Assistance Program established 
under section 1144 of title 10, United States 
Code; 
‘‘(C) an individual who— 
‘‘(i) served on active duty in any 
branch of the Armed Forces, including the 
National Guard or Reserves; and
881 
‘‘(ii) was discharged or released from 
such service under conditions other than 
dishonorable; and 
‘‘(D) a spouse or dependent of an indi-
vidual described in subparagraph (A), (B), or 
(C). 
‘‘(2) ESTABLISHMENT.—Beginning on the first 
October 1 after the enactment of this subsection and 
for the subsequent 4 fiscal years, the Administrator 
shall carry out a program to be known as the ‘Boots 
to Business Program’ to provide entrepreneurship 
training to covered individuals. 
‘‘(3) GOALS.—The goals of the Boots to Busi-
ness Program are to— 
‘‘(A) provide assistance and in-depth train-
ing to covered individuals interested in business 
ownership; and 
‘‘(B) provide covered individuals with the 
tools, skills, and knowledge necessary to identify 
a business opportunity, draft a business plan, 
identify sources of capital, connect with local 
resources for small business concerns, and start 
up a small business concern. 
‘‘(4) PROGRAM COMPONENTS.—
882 
‘‘(A) IN GENERAL.—The Boots to Busi-
ness Program may include— 
‘‘(i) a presentation providing exposure 
to the considerations involved in self-em-
ployment and ownership of a small busi-
ness concern; 
‘‘(ii) an online, self-study course fo-
cused on the basic skills of entrepreneur-
ship, the language of business, and the 
considerations involved in self-employment 
and ownership of a small business concern; 
‘‘(iii) an in-person classroom instruc-
tion component providing an introduction 
to the foundations of self employment and 
ownership of a small business concern; and 
‘‘(iv) 
in-depth 
training 
delivered 
through online instruction, including an 
online course that leads to the creation of 
a business plan. 
‘‘(B) 
COLLABORATION.—The 
Adminis-
trator may— 
‘‘(i) collaborate with public and pri-
vate entities to develop course curricula for 
the Boots to Business Program; and
883 
‘‘(ii) modify program components in 
coordination with entities participating in a 
Warriors in Transition program, as defined 
in section 738(e) of the National Defense 
Authorization Act for Fiscal Year 2013 
(10 U.S.C. 1071 note). 
‘‘(C) USE OF RESOURCE PARTNERS.— 
‘‘(i) IN GENERAL.—The Administrator 
shall— 
‘‘(I) ensure that Veteran Busi-
ness Outreach Centers regularly par-
ticipate, on a nationwide basis, in the 
Boots to Business Program; and 
‘‘(II) to the maximum extent 
practicable, use a variety of other re-
source partners and entities in admin-
istering the Boots to Business Pro-
gram. 
‘‘(ii) GRANT AUTHORITY.—In carrying 
out clause (i), the Administrator may make 
grants to Veteran Business Outreach Cen-
ters, other resource partners, or other enti-
ties to carry out components of the Boots 
to Business Program.
884 
‘‘(D) AVAILABILITY TO DEPARTMENT OF 
DEFENSE.—The 
Administrator 
shall 
make 
available to the Secretary of Defense informa-
tion regarding the Boots to Business Program, 
including all course materials and outreach ma-
terials related to the Boots to Business Pro-
gram, for inclusion on the website of the De-
partment of Defense relating to the Transition 
Assistance Program, in the Transition Assist-
ance Program manual, and in other relevant 
materials available for distribution from the 
Secretary of Defense. 
‘‘(E) AVAILABILITY
TO
VETERANS
AF-
FAIRS.—In consultation with the Secretary of 
Veterans Affairs, the Administrator shall make 
available for distribution and display at local fa-
cilities of the Department of Veterans Affairs 
outreach materials regarding the Boots to Busi-
ness Program which shall, at a minimum— 
‘‘(i) describe the Boots to Business 
Program and the services provided; and 
‘‘(ii) include eligibility requirements 
for participating in the Boots to Business 
Program.
885 
‘‘(5) REPORT.—Not later than 180 days after 
the date of the enactment of this subsection and 
every year thereafter, the Administrator shall submit 
to the Committee on Small Business and Entrepre-
neurship of the Senate and the Committee on Small 
Business of the House of Representatives a report 
on the performance and effectiveness of the Boots to 
Business Program, which may be included as part of 
another report submitted to such Committees by the 
Administrator, and which shall include— 
‘‘(A) information regarding grants award-
ed under paragraph (4)(C); 
‘‘(B) the total cost of the Boots to Busi-
ness Program; 
‘‘(C) the number of program participants 
using each component of the Boots to Business 
Program; 
‘‘(D) the completion rates for each compo-
nent of the Boots to Business Program; 
‘‘(E) to the extent possible— 
‘‘(i) the demographics of program par-
ticipants, to include gender, age, race, rela-
tionship to military, military occupational 
specialty, and years of service of program 
participants;
886 
‘‘(ii) the number of small business 
concerns formed or expanded with assist-
ance under the Boots to Business Pro-
gram; 
‘‘(iii) the gross receipts of small busi-
ness concerns receiving assistance under 
the Boots to Business Program; 
‘‘(iv) the number of jobs created with 
assistance under the Boots to Business 
Program; 
‘‘(v) the number of referrals to other 
resources and programs of the Administra-
tion; 
‘‘(vi) the number of program partici-
pants receiving financial assistance under 
loan programs of the Administration; 
‘‘(vii) the type and dollar amount of 
financial assistance received by program 
participants under any loan program of the 
Administration; and 
‘‘(viii) results of participant satisfac-
tion surveys, including a summary of any 
comments received from program partici-
pants;
887 
‘‘(F) an evaluation of the effectiveness of 
the Boots to Business Program in each region 
of the Administration during the most recent 
fiscal year; 
‘‘(G) an assessment of additional perform-
ance outcome measures for the Boots to Busi-
ness Program, as identified by the Adminis-
trator; 
‘‘(H) any recommendations of the Admin-
istrator for improvement of the Boots to Busi-
ness Program, which may include expansion of 
the types of individuals who are covered individ-
uals; 
‘‘(I) an explanation of how the Boots to 
Business Program has been integrated with 
other transition programs and related resources 
of the Administration and other Federal agen-
cies; and 
‘‘(J) any additional information the Ad-
ministrator determines necessary.’’. 
SEC. 840A. EMPLOYMENT SIZE STANDARD REQUIREMENTS. 
(a) IN GENERAL.—Section 3(a)(2) of the Small Busi-
ness Act (15 U.S.C. 632(a)(2)) is amended—
888 
(1) in subparagraph (A), by inserting ‘‘and sub-
ject to the requirements specified under subpara-
graph (C)’’ after ‘‘paragraph (1)’’; and 
(2) in subparagraph (C)— 
(A) by inserting ‘‘(including the Adminis-
tration when acting pursuant to subparagraph 
(A))’’ after ‘‘no Federal department or agency’’; 
and 
(B) in clause (ii)(I) by striking ‘‘12 
months’’ and inserting ‘‘24 months’’. 
(b) EFFECTIVE DATE.—This Act and the amend-
ments made by this Act shall take effect 1 year after the 
date of the enactment of this Act. 
Subtitle E—Other Matters 
SEC. 841. MODIFICATIONS TO SUPERVISION AND AWARD OF 
CERTAIN CONTRACTS. 
(a) SUPERVISION
OF
MILITARY
CONSTRUCTION 
PROJECTS.—Section 2851 of title 10, United States Code, 
is amended— 
(1) in subsection (c)(1)— 
(A) by inserting ‘‘or appropriated’’ after 
‘‘funds authorized’’ each place such term ap-
pears; and 
(B) in subparagraph (E), by inserting ‘‘, 
Facilities Sustainment, Restoration, and Mod-
889 
ernization (FSRM) project,’’ after ‘‘military 
construction project’’; and 
(2) in subsection (c)(2)— 
(A) by inserting ‘‘, deadline for bid submis-
sions,’’ after ‘‘solicitation date’’; 
(B) by inserting ‘‘(including the address of 
such recipient)’’ after ‘‘contract recipient’’; and 
(C) by adding at the end the following new 
subparagraphs: 
‘‘(H) Any subcontracting plan required under 
paragraph (4) or (5) of section 8(d) of the Small 
Business Act (15 U.S.C. 637(d)) for the project sub-
mitted by the contract recipient to the Secretary of 
Defense. 
‘‘(I) A detailed written statement describing 
and justifying any exception applied or waiver grant-
ed under— 
‘‘(i) chapter 83 of title 41; 
‘‘(ii) section 2533a of this title; or 
‘‘(iii) section 2533b of this title.’’; and 
(3) by adding at the end the following new 
paragraph: 
‘‘(4) The information required to be published on the 
Internet website under subsection (c) shall constitute a
890 
record for the purposes of Chapter 21, 29, 31, and 33 
of title 44.’’. 
(b) REQUIREMENTS RELATING TO THE AWARD OF 
COVERED MILITARY CONSTRUCTION CONTRACTS.— 
(1) REQUIREMENTS.—Subchapter III of chap-
ter 169 of title 10, United States Code, is amended 
by inserting after section 2851 the following new 
section: 
‘‘§ 2851a. Requirements relating to the award of cov-
ered military construction contracts 
‘‘(a) PUBLICATION OF CERTAIN INFORMATION RE-
LATING
TO COVERED MILITARY CONSTRUCTION CON-
TRACTS.— 
‘‘(1) CONTRACTOR
REQUIREMENTS.—A con-
tractor that has been awarded a covered military 
construction contract shall— 
‘‘(A) make publicly available on a website 
of the General Services Administration or the 
Small Business Administration, as applicable, 
any solicitation under that covered military con-
struction contract for a subcontract of an esti-
mated value of $250,000 or more; and 
‘‘(B) submit written notification of the 
award of the covered military construction con-
tract, and of any subcontract awarded under
891 
the covered military construction contract, to 
the relevant agency of a covered State that en-
forces workers’ compensation or minimum wage 
laws in such covered State. 
‘‘(2) NOTICE.—Upon award of a covered mili-
tary construction contract with an estimated value 
greater than or equal to $2,000,000, the Secretary 
concerned shall notify any applicable Member of 
Congress representing the covered State in which 
that covered military construction contract is to be 
performed of such award in a timely manner. 
‘‘(3) FEDERAL PROCUREMENT DATA SYSTEM.— 
The Secretary of Defense shall ensure that there is 
a clear and unique indication of any covered military 
construction contract with subcontracting work of an 
estimated value of $250,000 or more in the Federal 
Procurement Data System established pursuant to 
section 1122(a)(4) of title 41 (or any successor sys-
tem). 
‘‘(b) USE OF LOCAL FIRMS AND INDIVIDUALS.— 
‘‘(1) IN GENERAL.—To the extent practicable, 
in awarding a covered military construction contract, 
the Secretary concerned shall give preference to 
those firms and individuals residing or doing busi-
ness primarily in the same State as, or within a 60-
892 
mile radius of, the location of the work to be per-
formed pursuant to the contract. 
‘‘(2) JUSTIFICATION
REQUIRED.—The Sec-
retary concerned shall prepare a written justifica-
tion, and make such justification available on the 
Internet site required under section 2851 of this 
title, for the award of any covered military construc-
tion contract to a firm or individual that is not de-
scribed under paragraph (1). 
‘‘(c) LICENSING.—A contractor and any subcontrac-
tors performing a covered military construction contract 
shall be licensed to perform the work under such contract 
in the State in which the work will be performed. 
‘‘(d) MONTHLY REPORT.—Not later than 10 days 
after the end of each month, the Secretary of Defense 
shall submit to the congressional defense committees a re-
port identifying for that month the following: 
‘‘(1) Each covered military construction con-
tract and each subcontract of a covered military con-
struction contract described in subsection (a)(1)(A) 
awarded during that month. 
‘‘(2) The location of the work to be performed 
pursuant to each covered military construction con-
tract and subcontract identified pursuant to para-
graph (1).
893 
‘‘(3) The prime contractor and any subcon-
tractor performing each covered military construc-
tion contract and subcontract identified pursuant to 
paragraph (1). 
‘‘(4) The estimated value of each covered mili-
tary construction contract and subcontract identified 
pursuant to paragraph (1). 
‘‘(e) EXCLUSION OF CLASSIFIED PROJECTS.—This 
section does not apply to a classified covered military con-
struction project. 
‘‘(f) DEFINITIONS.—In this section: 
‘‘(1) COVERED MILITARY CONSTRUCTION CON-
TRACT.—The term ‘covered military construction 
contract’ means a contract for work on a military 
construction project, military family housing project, 
or Facilities Sustainment, Restoration, and Mod-
ernization (FSRM) project carried out in a covered 
State. 
‘‘(2) COVERED
STATE.—The term ‘covered 
State’ means any of the several States, the District 
of Columbia, the Commonwealth of Puerto Rico, 
Guam, American Samoa, the United States Virgin 
Islands, or the Commonwealth of the Northern Mar-
iana Islands.
894 
‘‘(3) MEMBER OF CONGRESS.—The term ‘Mem-
ber of Congress’ has the meaning given the term in 
section 2106 of title 5.’’. 
(2) CLERICAL AMENDMENT.—The table of sec-
tions at the beginning of subchapter III of chapter 
169 of title 10, United States Code, is amended by 
inserting after the item relating to section 2851 the 
following new item: 
‘‘2851a. Requirements relating to the award of covered military construction 
contracts.’’. 
(3) APPLICABILITY.—Section 2851a of title 10, 
United States Code, as added by paragraph (1), 
shall apply with respect to a covered military con-
struction contract, as defined in such section, en-
tered into on or after the date of the enactment of 
this Act. 
(c) SMALL BUSINESS CREDIT
FOR LOCAL BUSI-
NESSES.—Section 15 of the Small Business Act (15 
U.S.C. 644) is amended by adding at the end the following 
new subsection— 
‘‘(y) SMALL BUSINESS CREDIT FOR LOCAL BUSI-
NESSES.— 
‘‘(1) CREDIT FOR MEETING SUBCONTRACTING 
GOALS.—If a prime contractor awards a subcontract 
(at any tier) to a small business concern that has its 
principal office located in the same State as, or with-
895 
in a 60-mile radius of, the location of the work to 
be performed pursuant to the contract of the prime 
contractor, the value of the subcontract shall be dou-
bled for purposes of determining compliance with the 
goals for procurement contracts under subsection 
(g)(1)(A) during such period. 
‘‘(2) REPORT.—Along with the report required 
under subsection (h)(1), the head of each Federal 
agency shall submit to the Administrator, and make 
publicly available on the scorecard described in sec-
tion 868(b) of the National Defense Authorization 
Act for Fiscal Year 2016 (Public Law 114–92; 129 
Stat. 933; 15 U.S.C. 644 note), an analysis of the 
number and dollar amount of subcontracts awarded 
pursuant to paragraph (1) for each fiscal year of the 
period described in such paragraph.’’. 
SEC. 842. AMENDMENTS TO SUBMISSIONS TO CONGRESS 
RELATING TO CERTAIN FOREIGN MILITARY 
SALES. 
Section 887(b) of the National Defense Authorization 
Act for Fiscal Year 2018 (Public Law 115–91; 22 U.S.C. 
2761 note) is amended— 
(1) by striking ‘‘the Secretary shall’’ each place 
it appears and inserting ‘‘the Secretary, in consulta-
tion with the Secretary of State, shall’’;
896 
(2) in paragraph (1)— 
(A) by striking ‘‘December 31, 2021’’ and 
inserting ‘‘December 31, 2024’’; and 
(B) by striking ‘‘with a value’’ and all that 
follows through the ‘‘subsection (a)’’; and 
(3) in paragraph (2), by striking ‘‘December 
31, 2021’’ and inserting ‘‘December 31, 2024’’. 
SEC. 843. REVISIONS TO REQUIREMENT TO USE FIRM 
FIXED-PRICE 
CONTRACTS 
FOR 
FOREIGN 
MILITARY SALES. 
(a) IN GENERAL.—Section 830 of the National De-
fense Authorization Act for Fiscal Year 2017 (22 U.S.C. 
2762 note) is amended— 
(1) in subsection (a), by inserting ‘‘and subject 
to subsection (e)’’ after ‘‘enactment of this Act’’; 
and 
(2) by adding at the end the following new sub-
section: 
‘‘(e) APPLICABILITY.—The regulations prescribed 
pursuant to subsection (a) shall not apply to a foreign 
military sale for which the foreign country that is the 
counterparty to such foreign military sale has requested 
a modification to the defense service or defense article that 
is the subject of such foreign military sale that would re-
quire significant development work.’’; and
897 
(3) in subsection (c), by adding at the end the 
following new sentence: ‘‘The Secretary may not del-
egate the authority to exercise such a waiver below 
the level of the service acquisition executive (as de-
fined in section 101(a)(10) of title 10, United States 
Code).’’. 
(b) IMPLEMENTATION.—The Secretary of Defense 
shall— 
(1) not later than 120 days after the date of 
the enactment of this Act, issue guidance to carry 
out the amendments made by this section; and 
(2) not later than February 1, 2021, revise the 
Department of Defense Supplement to the Federal 
Acquisition Regulation to carry out the amendments 
made by this section. 
SEC. 844. SMALL BUSINESS INDUSTRIAL BASE RESILIENCY 
PROGRAM. 
(a) ESTABLISHMENT.—The Assistant Secretary of 
Defense for Industrial Base Policy (established under sec-
tion 902 of this Act) shall establish a program to be 
known as the ‘‘Small Business Industrial Base Resiliency 
Program’’ under which the Assistant Secretary shall enter 
into transactions to purchase or to make a commitment 
to purchase goods or services from small business concerns
898 
as described in subsection (b) to respond to the COVID– 
19 pandemic. 
(b) USES OF TRANSACTIONS.—A transaction entered 
into pursuant to the authority under this section shall— 
(1) support the monitoring and assessment of 
small business concerns that enter into such a trans-
action; 
(2) address critical issues in the industrial base 
relating to urgent operational needs in response to 
the COVID–19 pandemic; 
(3) support efforts to create, maintain, protect, 
expand, or restore the industrial base in response to 
the COVID–19 pandemic; and 
(4) 
as 
applicable, 
address 
supply 
chain 
vulnerabilities related to the COVID–19 pandemic 
for small business concerns that enter into such a 
transaction. 
(c) DURATION.—The term of a transaction entered 
into pursuant to the authority under this section shall be 
2 years. 
(d) LIABILITIES.—With respect to any transaction 
entered into pursuant to the authority under this section 
on or after the date of enactment of this Act, if such trans-
action imposes any contingent liability upon the United 
States, such liability shall be recorded as an obligation
899 
against amounts made available from the Research and 
Development, Defense-Wide, Pandemic Preparedness and 
Resilience National Security Fund under section 1003 in 
an amount equal to the maximum amount of the contin-
gency at the time such transaction is entered into. 
(e) REPORT.—Not later than March 1, 2021, the As-
sistant Secretary of Defense for Industrial Base Policy 
shall submit to the appropriate committees a report that 
includes the following: 
(1) A description of any guidance or policy 
issued to carry out this section. 
(2) A description of any relevant assessments 
prepared to address critical issues in the industrial 
base relating to urgent operational needs related to 
the COVID–19 pandemic. 
(3) A description of any transaction entered 
into pursuant to the authority under this section, 
and the impact such transaction has had on the re-
sponse of the Department of Defense to the 
COVID–19 pandemic. 
(4) A prioritized list of gaps or vulnerabilities 
in the transactions of the industrial base in which 
small business concerns participate that are related 
the COVID–19 pandemic, including—
900 
(A) a description of mitigation strategies 
necessary 
to 
address 
such 
gaps 
or 
vulnerabilities; 
(B) the identification of the Secretary con-
cerned or the head of the Defense Agency re-
sponsible 
for 
addressing 
such 
gaps 
or 
vulnerabilities; and 
(C) a proposed timeline for action to ad-
dress such gaps or vulnerabilities. 
(5) Identification of each transaction designed 
to sustain specific essential technological and indus-
trial capabilities and processes of the industrial base 
in which small business concerns participate that are 
related to the COVID–19 pandemic. 
(6) Any other steps necessary to foster and 
safeguard the industrial base in which small busi-
ness concerns participate due to the impact of the 
COVID–19 pandemic. 
(f) FUNDING.—The Assistant Secretary of Defense 
for Industrial Base Policy shall use amounts authorized 
to be appropriated for Research and Development, De-
fense-Wide, Pandemic Preparedness and Resilience Na-
tional Security Fund under section 1003 to carry out the 
requirements of this section. 
(g) DEFINITIONS.—In this Act:
901 
(1) APPROPRIATE
COMMITTEES.—The term 
‘‘covered committees’’ means— 
(A) the Committees on Armed Services of 
the Senate and the House of Representatives; 
and 
(B) the Committee on Small Business and 
Entrepreneurship of the Senate and the Com-
mittee on Small Business of the House of Rep-
resentatives. 
(2) 
COVID–19 
PANDEMIC.—The 
term 
‘‘COVID–19 pandemic’’ means the national emer-
gency declared by the President under the National 
Emergencies Act (50 U.S.C. 1601 et seq.). 
(3) DEFENSE
AGENCY.—The term ‘‘Defense 
Agency’’ has the meaning given in section 101 of 
title 10, United States Code. 
(4) SECRETARY CONCERNED.—The term ‘‘Sec-
retary concerned’’ has the meaning given in section 
101 of title 10, United States Code. 
(5) SMALL
BUSINESS
CONCERN.—The term 
‘‘small business concern’’ has the meaning given 
under section 3 of the Small Business Act (15 
U.S.C. 632)).
902 
SEC. 845. REQUIREMENTS RELATING TO REPORTS AND 
LIMITATIONS 
ON 
THE 
AVAILABILITY 
OF 
FUNDS. 
(a) LIMITATION ON THE AVAILABILITY OF FUNDS 
RELATING TO THE DEFENSE CIVILIAN TRAINING CORPS 
PROGRAM.— 
(1) INITIAL PLAN AND SCHEDULE.—Beginning 
on October 1, 2020, if the Secretary of Defense has 
not submitted the plan and schedule to implement 
the Defense Civilian Training Corps program re-
quired under section 860(b)(1) of the National De-
fense Authorization Act for Fiscal Year 2020 (Pub-
lic Law 116–92; 133 Stat. 1514; 10 U.S.C. 2200g 
note), not more than 25 percent of the funds speci-
fied in paragraph (3) may be obligated or expended 
until the date on which such plan and schedule has 
been submitted. 
(2) EXPANSION PLAN AND SCHEDULE.—Begin-
ning on January 1, 2021, if the Secretary of De-
fense has not submitted the expansion plan and 
schedule relating to the Defense Civilian Training 
Corps program required under section 860(b)(2) of 
the National Defense Authorization Act for Fiscal 
Year 2020 (Public Law 116–92; 133 Stat. 1514; 10 
U.S.C. 2200g note), not more than 50 percent of the 
funds specified in paragraph (3) may be obligated or
903 
expended until the date on which such expansion 
plan and schedule has been submitted. 
(3) FUNDS SPECIFIED.—The funds specified in 
this paragraph are the funds authorized to be appro-
priated by this Act or otherwise made available for 
fiscal year 2021 for the Department of Defense for 
the following: 
(A) The immediate office of the Secretary 
of Defense. 
(B) The Office of the Under Secretary of 
Defense for Personnel and Readiness. 
(C) The Office of the Under Secretary of 
Defense for Research and Engineering. 
(D) The Office of the Under Secretary of 
Defense for Acquisition and Sustainment. 
(b) REPORT AND LIMITATION ON THE AVAILABILITY 
OF FUNDS RELATING TO THE EXTRAMURAL ACQUISITION 
INNOVATION AND RESEARCH ACTIVITIES.— 
(1) REPORT.—Not later than October 1, 2020, 
the Under Secretary of Defense for Acquisition and 
Sustainment shall submit to the congressional de-
fense committees a report— 
(A) on the establishment of the extramural 
acquisition innovation and research activities 
required under section 2361a of title 10, United
904 
States Code (as added by section 835(a)(1) of 
the National Defense Authorization Act for Fis-
cal Year 2020 (Public Law 116–92; 133 Stat. 
1494)); and 
(B) that includes the name of the Director 
appointed under section 2361a(c) of such title 
(as added by section 835(a)(1) of the National 
Defense Authorization Act for Fiscal Year 2020 
(Public Law 116–92; 133 Stat. 1494)). 
(2) LIMITATION.— 
(A) IN GENERAL.—Beginning on October 
1, 2020, if the Under Secretary of Defense for 
Acquisition and Sustainment has not submitted 
the report required under paragraph (1), not 
more than 25 percent of the funds specified in 
subparagraph (B) may be obligated or expended 
until the date on which such report has been 
submitted. 
(B) FUNDS SPECIFIED.—The funds speci-
fied in this subparagraph are the funds author-
ized to be appropriated by this Act or otherwise 
made available for fiscal year 2021 for the De-
partment of Defense for the following: 
(i) The immediate office of the Sec-
retary of Defense.
905 
(ii) The Office of the Under Secretary 
of Defense for Research and Engineering. 
(iii) The Office of the Under Sec-
retary of Defense for Acquisition and 
Sustainment. 
(c) REPORT AND LIMITATION ON THE AVAILABILITY 
OF FUNDS RELATING TO THE ELIMINATING THE GAPS 
AND VULNERABILITIES IN THE NATIONAL TECHNOLOGY 
AND INDUSTRIAL BASE.— 
(1) REPORT.—Not later than October 1, 2020, 
the Secretary of Defense shall submit to the con-
gressional defense committees the national security 
strategy for national technology and industrial base 
required by section 2501(a) of title 10, United 
States Code. 
(2) LIMITATION.— 
(A) IN GENERAL.—Beginning on October 
1, 2020, if the Secretary of Defense has not 
submitted the report required under paragraph 
(1), not more than 25 percent of the funds 
specified in subparagraph (B) may be obligated 
or expended until the date on which such report 
has been submitted. 
(B) FUNDS SPECIFIED.—The funds speci-
fied in this subparagraph are the funds author-
906 
ized to be appropriated by this Act or otherwise 
made available for fiscal year 2021 for the De-
partment of Defense for the following: 
(i) The immediate office of the Sec-
retary of Defense. 
(ii) The Office of the Under Secretary 
of 
Defense 
for 
Acquisition 
and 
Sustainment. 
SEC. 846. ASSESSMENT OF THE REQUIREMENTS PROC-
ESSES OF THE MILITARY DEPARTMENTS. 
(a) ASSESSMENT.—The Secretary of the military de-
partment concerned shall assess the requirements process 
of the military department and make recommendations to 
improve the agility and timeliness of such requirements 
process for acquisition programs of the military depart-
ment. 
(b) REPORT.— 
(1) IN GENERAL.—Not later than March 31, 
2021, each Secretary of a military department shall 
submit to the congressional defense committees a re-
port on the assessment conducted pursuant to sub-
section (a) and specific plans to update the require-
ments processes of the military department con-
cerned based on such assessment.
907 
(2) ELEMENTS.—Each report shall include an 
analysis of and recommended improvements for the 
following elements: 
(A) If appropriate, information from the 
report required in section 800(f) of the Na-
tional Defense Authorization Act for Fiscal 
Year 2020 (Public Law 116–92). 
(B) The alignment of the requirements 
processes, acquisition system, and budget proc-
ess of the military department concerned. 
(C) The requirements process for each ac-
quisition pathway of the adaptive acquisition 
framework (as described in Department of De-
fense Instruction 5000.02, ‘‘Operation of the 
Adaptive Acquisition Framework’’), including 
the time it takes to complete requirements de-
velopment and approval process for each path-
way. 
(D) For each acquisition pathway de-
scribed in subparagraph (C), the processes for 
and the extent to which detailed systems engi-
neering and requirements trade-off analyses are 
done before the development of requirements 
begins for a specific acquisition program to en-
sure that risks are understood and accounted
908 
for and that both top-level and derived require-
ments (development as well as reliability and 
maintainability) are achievable within cost, 
schedule, and technology constraints. 
(E) Organizational roles and responsibil-
ities of individuals with responsibilities relating 
to the requirements process for the military de-
partment concerned, including the role, com-
position, and metrics used to assess the effec-
tiveness of any requirements oversight council 
of the military department concerned. 
(F) The composition and sufficiency of in-
dividuals who develop requirements for the mili-
tary department concerned, including any ac-
quisition workforce planning and personnel 
shortfalls and resources needed to address any 
such shortfalls. 
(G) The ability of the requirements process 
to address the urgent needs of the military de-
partment concerned. 
(H) The capacity to review changes in re-
quirements for programs of record. 
(I) The validation of decisions made from 
the requirements process and the alignment of 
each such decision to the national defense strat-
909 
egy required under section 113(g) of title 10, 
United States Code. 
(J) The use of portfolio management in 
the requirements process to coordinate decisions 
and avoid any duplication of requirements 
across acquisition programs. 
(K) The implementation of recommenda-
tions on the process from the Comptroller Gen-
eral of the United States by each military de-
partment. 
(L) Identification and comparison of best 
practices in the private sector and the public 
sector for the requirements development and 
approval process. 
(M) Other recommendations to improve 
the process of establishing requirements, includ-
ing lessons learned from responding to the 
COVID–19 pandemic. 
(N) Any additional matters that the Secre-
taries determine appropriate. 
SEC. 847. REPORT ON TRANSFER AND CONSOLIDATION OF 
CERTAIN DEFENSE ACQUISITION STATUTES. 
Not later than February 21, 2021, the Secretary of 
Defense shall submit to the congressional defense commit-
tees a report containing a comprehensive legislative pro-
910 
posal for the transfer and consolidation of statutes within 
the framework for part V of subtitle A of title 10, United 
States Code (as enacted by section 801 of the National 
Defense Authorization Act for Fiscal Year 2019 (Public 
Law 115-232)), along with conforming amendments to law 
required by such transfer and consolidation. Such report 
shall include an assessment of the effect of such transfer 
and consolidation on related Department of Defense ac-
tivities, guidance, and interagency coordination. 
SEC. 848. PROHIBITION ON CONTRACTING WITH PERSONS 
WITH WILLFUL OR REPEATED VIOLATIONS 
OF THE FAIR LABOR STANDARDS ACT OF 
1938. 
The head of a Federal department or agency (as de-
fined in section 102 of title 40, United States Code) shall 
initiate a debarment proceeding with respect to a person 
for whom information regarding four or more willful or 
repeated violation of the Fair Labor Standards Act of 
1938 (29 U.S.C. 201 et seq.) as determined by a disposi-
tion described under subsection (c)(1) of section 2313 of 
title 41, United States Code, and issued in the last 4 
years, is included in the database established under sub-
section (a) of such section. The head of the department 
or agency shall use discretion in determining whether the 
debarment is temporary or permanent.
911 
SEC. 849. REESTABLISHMENT OF COMMISSION ON WAR-
TIME CONTRACTING. 
(a) IN GENERAL.—There is hereby reestablished in 
the legislative branch under section 841 of the National 
Defense Authorization Act for Fiscal Year 2008 (Public 
Law 110–181; 122 Stat. 230) the Commission on War-
time Contracting. 
(b) AMENDMENT TO DUTIES.—Section 841(c)(1) of 
the National Defense Authorization Act for Fiscal Year 
2008 (Public Law 110–181; 122 Stat. 231) is amended 
to read as follows: 
‘‘(1) GENERAL DUTIES.—The Commission shall 
study the following matters: 
‘‘(A) Federal agency contracting funded by 
overseas contingency operations funds. 
‘‘(B) Federal agency contracting for the 
logistical support of coalition forces operating 
under the authority of the 2001 or 2002 Au-
thorization for the Use of Military Force. 
‘‘(C) Federal agency contracting for the 
performance of security functions in countries 
where coalition forces operate under the author-
ity of the 2001 or 2002 Authorization for the 
Use of Military Force’’.
912 
(c) CONFORMING AMENDMENTS.—Section 841 of the 
National Defense Authorization Act for Fiscal Year 2008 
(Public Law 110–181; 122 Stat. 230) is amended— 
(1) in subsection (b)— 
(A) in paragraph (1), by striking ‘‘the 
Committee on Oversight and Government Re-
form’’ each place it appears and inserting ‘‘the 
Committee on Oversight and Reform’’; 
(B) in paragraph (2), by striking ‘‘of this 
Act’’ and inserting ‘‘of the Wartime Con-
tracting Commission Reauthorization Act of 
2019’’; and 
(C) in paragraph (4), by striking ‘‘was 
first established’’ each place it appears and in-
serting ‘‘was reestablished by the Wartime Con-
tracting Commission Reauthorization Act of 
2019’’; and 
(2) in subsection (d)(1), by striking ‘‘On March 
1, 2009’’ and inserting ‘‘Not later than 1 year after 
the date of enactment of the Wartime Contracting 
Commission Reauthorization Act of 2019’’.
913 
SEC. 850. REPORT ON CERTAIN CONTRACTS RELATING TO 
CONSTRUCTION OR MAINTENANCE OF A BOR-
DER WALL. 
The Secretary of Defense shall include on a public 
website of the Department of Defense a list of any con-
tracts, including any task order contract (as such term 
is defined in section 2304d of title 10, United States 
Code) and any modifications to a contract, entered into 
by the Secretary relating to the construction or mainte-
nance of a barrier along the international border between 
the United States and Mexico that have an estimated 
value equal to or greater than $7,000,000. 
SEC. 851. CONGRESSIONAL OVERSIGHT OF PRIVATE SECU-
RITY CONTRACTOR CONTRACTS. 
(a) REPORT OF CERTAIN CONTRACTS AND TASK OR-
DERS.— 
(1) REQUIREMENT
REGARDING
CONTRACTS 
AND TASK ORDERS.—The Inspector General of the 
Department of Defense shall compile a report of the 
work performed or to be performed under a covered 
contract during the period beginning on October 1, 
2001, and ending on the last day of the month dur-
ing which this Act is enacted for work performed or 
work to be performed in areas of contingency oper-
ations.