nized, modernized, upgraded, expanded, or changed 
to become more efficient, but still essentially pro-
vides the same service, shall not be considered a new 
requirement. 
‘‘(C) In no case may a commercial or industrial 
type function being performed by Department of De-
fense personnel be modified, reorganized, divided, or 
in any way changed for the purpose of exempting 
from the requirements of subsection (a) the change 
of all or any part of such function to performance 
by a private contractor. 
‘‘(D) The Secretary of Defense may waive the 
competition requirement in specific instances if—
‘‘(i) the written waiver is prepared by the 
Secretary of Defense, or the relevant Assistant 
Secretary or agency head; and 
‘‘(ii) the written waiver is accompanied by 
a detailed determination that national security 
interests are so compelling as to preclude com-
pliance with the requirement for a public-pri-
vate competition.’’. 
SEC. 323. PUBLIC-PRIVATE COMPETITION PILOT PROGRAM. 
(a) ESTABLISHMENT.—The Secretary of Defense 
shall establish a pilot program to examine the use of the 
public-private competition process of Office of Manage-
ment and Budget Circular A–76, as defined by such Cir-
cular, and functions currently being performed by contrac-
tors that could be performed by civilian employees of the 
Department of Defense. 
(b) PROCESS AND CRITERIA.—
(1) The process and criteria for competition 
under the pilot program established in subsection (a) 
shall be consistent with the criteria for conducting a 
similar competition for work performed by the public 
sector. 
(2) The pilot program shall include not less 
than four competitions. 
(c) REPORT.—The Secretary of Defense shall submit 
a report to Congress on the results of the competitions 
conducted under the pilot program and any potential ben-
efit or detriment of expanding the pilot program. 
(d) TERMINATION.—The pilot program established 
under this subsection shall terminate on the date that is 
three years after the date of the enactment of this Act. 
SEC. 324. SENSE OF CONGRESS ON EQUITABLE LEGAL 
STANDING FOR CIVILIAN EMPLOYEES. 
It is the sense of Congress that, in order to ensure 
that when public-private competitions are held, they are 
conducted as fairly, effectively, and efficiently as possible, 
competing parties, both Department of Defense civilian
employees (or their representatives) and contractors (or 
their representatives), should receive comparable treat-
ment throughout the competition regarding access to rel-
evant information and legal standing to challenge the way 
a competition has been conducted at all appropriate fo-
rums. 
Subtitle D—Extension of Program 
Authorities 
SEC. 331. EXTENSION OF AUTHORITY TO PROVIDE LOGIS-
TICS SUPPORT AND SERVICES FOR WEAPONS 
SYSTEMS CONTRACTORS. 
Section 365(g)(1) of the Bob Stump National De-
fense Authorization Act for Fiscal Year 2003 (Public Law 
107–314; 116 Stat. 2521; 10 U.S.C. 2302 note) is amend-
ed by striking ‘‘2007’’ and inserting ‘‘2010’’. 
SEC. 332. EXTENSION AND REVISION OF TEMPORARY AU-
THORITY FOR CONTRACTOR PERFORMANCE 
OF SECURITY GUARD FUNCTIONS. 
Section 332(c) of the Bob Stump National Defense 
Authorization Act for Fiscal Year 2003 (Public Law 107–
314; 116 Stat. 2513) is amended—
(1) by striking ‘‘2006’’ each place it appears 
and inserting ‘‘2008’’; and 
(2) by adding at the end the following new 
paragraphs: