511 
under this subsection in accordance with the agree-
ment titled ‘‘Agreement Between the Government of 
the United States of America and the Government 
of Israel on the United States-Israel Binational 
Science Foundation’’, dated September 27, 1972. 
(3) ELIGIBLE ENTITIES.—To be eligible to re-
ceive a grant under this subsection, an entity shall 
be an academic institution or a nonprofit entity lo-
cated in the United States. 
(4) AWARD.—The Secretary shall award grants 
under this subsection to eligible entities that— 
(A) carry out a research project that— 
(i) addresses a requirement in the 
area of post-traumatic stress disorders that 
the Secretary determines appropriate to re-
search using such grant; and 
(ii) is conducted by the eligible entity 
and an entity in Israel under a joint re-
search agreement; and 
(B) meet such other criteria that the Sec-
retary may establish. 
(5) APPLICATION.—To be eligible to receive a 
grant under this subsection, an eligible entity shall 
submit an application to the Secretary at such time,
512 
in such manner, and containing such commitments 
and information as the Secretary may require. 
(6) GIFT AUTHORITY.—The Secretary may ac-
cept, hold, and administer, any gift of money made 
on the condition that the gift be used for the pur-
pose of the grant program under this subsection. 
Such gifts of money accepted under this paragraph 
shall be deposited in the Treasury in the Depart-
ment of Defense General Gift Fund and shall be 
available, subject to appropriation, without fiscal 
year limitation. 
(7) REPORTS.—Not later than 180 days after 
the date on which an eligible entity completes a re-
search project using a grant under this subsection, 
the Secretary shall submit to Congress a report that 
contains— 
(A) a description of how the eligible entity 
used the grant; and 
(B) an evaluation of the level of success of 
the research project. 
(b) TERMINATION.—The authority to award grants 
under subsection (a) shall terminate on the date that is 
seven years after the date on which the first such grant 
is awarded.
513 
SEC. 750. FEASIBILITY STUDY ON CREATION OF CENTERS 
OF EXCELLENCE IN UKRAINE FOR TREAT-
MENT OF TRAUMATIC BRAIN INJURIES AND 
TRAUMATIC EXTREMITY INJURIES. 
The Secretary of Defense shall conduct a feasibility 
study to— 
(1) determine whether opportunities exist for 
the head of the center of excellence established 
under section 723 of the Duncan Hunter National 
Defense Authorization Act for Fiscal Year 2009 (38 
U.S.C. 7327 note) to collaborate with an appropriate 
counterpart from the Government of Ukraine to es-
tablish a center of excellence of Ukraine for the 
treatment of traumatic extremity injury in Ukraine 
with the purpose of providing for the mitigation, 
treatment, and rehabilitation of traumatic extremity 
injuries and amputations experienced in Ukraine as 
a result of Russian aggression; and 
(2) determine whether opportunities exist for 
the head of the center of excellence established 
under section 1621 of the National Defense Author-
ization Act for Fiscal Year 2008 (Public Law 110– 
181; 122 Stat. 453; 10 U.S.C. 1071 note) to col-
laborate with an appropriate counterpart from the 
Government of Ukraine to establish a center of ex-
514 
cellence of Ukraine for the treatment of traumatic 
brain injury in Ukraine with the purpose of— 
(A) improving the lives of individuals af-
fected by traumatic brain injury experienced in 
Ukraine as a result of Russian aggression and 
improving the lives of the family members of 
any such individual; and 
(B) collaborating with such individuals, 
such family members, referring providers, and 
relevant researchers to provide to such individ-
uals, to the extent possible— 
(i) a point of entry into the health 
care system; 
(ii) a clear path through diagnosis, 
treatment, and reintegration, with respect 
to traumatic brain injury; and 
(iii) consistent access to high quality 
treatment, research, and education, with 
respect to traumatic brain injury. 
SEC. 751. TESTOSTERONE LEVELS AMONG MEMBERS OF 
SPECIAL FORCES OF THE ARMY: STUDY; RE-
PORT. 
(a) STUDY.—The Under Secretary of Defense for 
Personnel and Readiness shall conduct a five-year study,
515 
beginning in fiscal year 2024, with respect to the following 
elements: 
(1) Whether members of special forces of the 
Army at entry to the qualification course have high-
er levels of testosterone than the average male civil-
ian for that age group. 
(2) The effects of special forces training and 
deployments on levels of testosterone of such mem-
bers. 
(3) The quality of testing for decreased testos-
terone levels among such members, and whether 
testing should be conducted at later times of the day 
to more accurately reflect testosterone levels. 
(4) Assistance offered to prevent and treat de-
creasing testosterone levels among such members. 
(5) The impacts of decreased testosterone levels 
on readiness of such members. 
(6) The impacts of decreased testosterone levels 
on the long-term health of such members. 
(7) Anything the Under Secretary determines 
appropriate. 
(b) REPORTS.— 
(1) INTERIM REPORT.—Not later than one year 
after the date of the enactment of this Act, the 
Under Secretary shall submit to the congressional
516 
defense committees an interim report on the study 
under subsection (a), including recommendations of 
the Under Secretary regarding— 
(A) the appropriateness of conducting a 
pilot program to provide testosterone replace-
ment therapy to such members; and 
(B) providing natural remedies to such 
members to prevent testosterone loss, including 
personalized meal plans, exercise plans, sleep 
recommendations, and actions to improve bone 
density and red blood count. 
(2) FINAL REPORT.—Not later than one year 
after completing the study under subsection (a), the 
Under Secretary shall submit to the congressional 
defense committees a final report regarding such 
study. 
(3) FORM.—A report under this subsection 
shall be submitted in an unclassified form, but may 
include a classified annex. 
SEC. 752. GAO REPORT ON TRICARE PAYMENTS TO BEHAV-
IORAL HEALTH PROFESSIONALS. 
(a) REPORT REQUIRED.—Not later than one year 
after the date of the enactment of this Act, the Comp-
troller General of the United States shall submit to the 
Committees on Armed Services of the House of Represent-
517 
atives and the Senate the results of a study on TRICARE 
payments to TRICARE network behavioral professionals. 
(b) ELEMENTS.—The study shall include a com-
prehensive analysis of the following elements: 
(1) The timeliness of such payments. 
(2) The accuracy of such payments. 
(3) The extent to which contractors comply 
with section 6.2.1 of the TRICARE Operations 
Manual. 
(4) Areas of improvement that would enhance 
and improve the administrative process of such pay-
ments. 
SEC. 753. REPORT ON MENTAL HEALTH PROVIDER READI-
NESS DESIGNATIONS. 
Not later than 90 days after the date of the enact-
ment of this Act, the Secretary of Defense shall update 
the registry and provider lists under subsection (b) of sec-
tion 717 of the National Defense Authorization Act for 
Fiscal Year 2016 (Public Law 114–92; 129 Stat. 868; 10 
U.S.C. 1073 note) and submit to the congressional defense 
committees a report containing— 
(1) the number of providers that have received 
a mental health provider readiness designation under 
such section 717, disaggregated by geographic re-
gion and provider specialty; and
518 
(2) recommendations to incentivize, or other-
wise increase the number of, providers with such 
designation. 
SEC. 754. STUDY ON ACCESSABILITY OF MENTAL HEALTH 
PROVIDERS 
AND 
SERVICES 
FOR 
ACTIVE 
DUTY MEMBERS OF THE ARMED FORCES. 
(a) STUDY.—The Secretary of Defense shall conduct 
a study on the accessibility of mental health care providers 
and services for members of the Armed Forces serving on 
active duty, including an assessment of— 
(1) the accessibility of mental health care pro-
viders on military installations; 
(2) the accessibility of inpatient services for 
mental health care for such members; and 
(3) steps that may be taken to improve such ac-
cessibility. 
(b) REPORT.—Not later than 180 days after the date 
of the enactment of this Act, the Secretary of Defense 
shall submit to the Committees on Armed Services of the 
House of Representatives and the Senate a report con-
taining the findings of the study under subsection (a). 
SEC. 755. STUDY AND REPORT ON MENTAL HEALTH CARE 
FOR PILOTS AND AVIATORS. 
(a) STUDY.—The Secretary of Defense and the Sec-
retary of Health and Human Services shall collaborate on
519 
a study on the barriers to mental health care for military 
pilots and aviators. The study shall include the develop-
ment of a set of recommendations to ensure that pilots 
and aviators who need mental health care have— 
(1) no more barriers to care; 
(2) no more consequences for seeking care; and 
(3) no less scientifically-robust bases for being 
treated and re-cleared for duty than pilots and avi-
ators who need physical health care. 
(b) REPORT.—Not later than one year after the date 
of the enactment of this Act, the Secretary of Defense and 
the Secretary of Health and Human Services shall jointly 
submit to Congress a report that contains the results of 
the study required under subsection (a). 
SEC. 756. MEDICAL RESEARCH AND DEVELOPMENT STRAT-
EGY FOR COMBINED TRAUMATIC INJURIES 
SUSTAINED IN COMBAT OPERATIONS. 
(a) STRATEGY.—Not later than May 31, 2024, the 
Assistant Secretary of Defense for Health Affairs (in co-
ordination with the Surgeons General of the Armed 
Forces, the Assistant Secretary of Defense for Nuclear, 
Chemical, and Biological Defense Programs, the Joint 
Trauma Analysis and Prevention of Injury in Combat 
partnership, and the National Center for Medical Intel-
ligence) shall develop a strategy to address medical re-
520 
search and development gaps essential to furnishing med-
ical care to casualties experiencing combined traumatic in-
juries and injuries resulting from exposures across the 
chemical, biological, radiological, and nuclear spectrum. 
(b) ELEMENTS.—The strategy under subsection (a) 
shall include, at a minimum, the following: 
(1) An assessment of the investments made by 
the Secretary of Defense into supporting efforts re-
lated to such combined injuries. 
(2) A review of the laboratory and medical 
product development capabilities of the Department 
of Defense to conduct research and development 
into, and support the transition and fielding of, 
treatments for such combined injuries; 
(3) An identification of any clinical practice 
guidelines to treat combined such combined injuries, 
and recommendations to amend any such guidelines. 
(4) Recommendations for increased investments 
in research and development to be made by the Sec-
retary of Defense for the conduct of preclinical re-
search, for the purpose of— 
(A) optimizing the treatment of such com-
bined injuries; and
521 
(B) protecting health care providers and 
other medical personnel furnishing such treat-
ment. 
(5) A plan for the engagement between the De-
partment of Defense and institutions of higher edu-
cation with medical centers, and other similar enti-
ties, to support public-private partnerships to ad-
dress such combined injuries. 
(c) BRIEFING.—Not later than 30 days after the date 
on which the Assistant Secretary of Defense for Health 
Affairs completes the strategy under subsection (a), the 
Assistant Secretary shall provide to the congressional de-
fense committees a briefing on such strategy. 
SEC. 757. REPORT ON PLAN FOR COVERAGE OF CERTAIN 
DEVICES CAPABLE OF PREVENTING AND 
TREATING MIGRAINES FOR MILITARY PER-
SONNEL. 
Not later than February 1, 2024, the Assistant Sec-
retary of Defense for Health Affairs shall submit to the 
Committees on Armed Services of the House of Represent-
atives and the Senate a report on the plan of the Assistant 
Secretary to cover non-pharmacological, neuromodulation 
migraine prevention and treatment devices approved by 
the Food and Drug Administration capable of preventing 
and treating migraines for military personnel.
522 
SEC. 758. STUDY ON UNINTENDED CONSEQUENCES OF RE-
DUCTION RELATING TO 6TH MEDICAL GROUP 
AT MACDILL AIR FORCE BASE IN TAMPA, 
FLORIDA. 
The Secretary of Defense shall conduct a study on 
the unintended consequences of the determination by the 
Director of the Defense Health Agency to make reductions 
with respect to the 6th Medical Group at MacDill Air 
Force Base located in Tampa, Florida, pursuant to section 
703 of the National Defense Authorization Act for Fiscal 
Year 2017 (Public Law 114–328; 130 Stat. 2197) and 
the amendments made by such section. 
SEC. 759. EPIDEMIOLOGICAL CONSULTATION REGARDING 
MEMBERS ASSIGNED TO CREECH AIR FORCE 
BASE. 
(a) CONSULTATION.—The Secretary of the Air 
Force, in coordination with the Director of the Defense 
Health Agency, shall conduct a behavioral health epide-
miological consultation on unique social and occupational 
stressors affecting members of the Air Force assigned to 
at Creech Air Force Base and dependents of such mem-
bers. 
(b) REPORT.—Not later than 180 days after the date 
of the enactment of this Act, the Secretary shall submit 
to the Committees on Armed Services of the Senate and 
House of Representatives a report that includes—
523 
(1) an executive summary of findings from con-
sultation; and 
(2) recommendations regarding how to address 
key findings to improve the quality of life and resil-
iency of such members and dependents. 
SEC. 760. COMPTROLLER GENERAL REPORT ON EXCEP-
TIONAL FAMILY MEMBER PROGRAM. 
The Comptroller General of the United States shall 
conduct a study, and submit to the Secretary of Defense 
and Congress a report, on how the Exceptional Family 
Member Program currently supports members of the 
Armed Forces and children with intellectual and develop-
mental disabilities, including any limitations in the re-
sources available under such Program that affect the de-
livery of necessary services and information for such mem-
bers and their children, how to improve Program out-
comes, and how mental health and other support services 
could be further integrated in the delivery of care under 
the Program. 
SEC. 761. PERIODIC REPORTS ON TRICARE COVERAGE OF 
NARCAN. 
The Secretary of Defense shall submit to Congress 
periodic reports on how the Department of Defense is en-
suring adequate full TRICARE coverage of Narcan
524 
(Naloxone) for Members of the Armed Forces and their 
families. 
SEC. 762. REPORT ON TRICARE AND CHAMPVA IN-HOME 
AND NURSING CARE. 
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 on any discrepancies between in- 
home and nursing care provided under TRICARE and 
CHAMPVA. 
SEC. 763. STUDY ON EFFECT OF CANCER DRUG SHORT-
AGES. 
The Secretary of Defense shall conduct a study on 
the effect of the cancer drug shortage on veterans and 
members of the Armed Forces. 
SEC. 764. HOUSING ACCOMMODATIONS FOR MILITARY FAM-
ILIES ON HOUSING WAITLISTS. 
(a) WAITLIST ACCOMMODATIONS.—The Secretary of 
Defense shall provide to members of the Armed Forces 
and their dependents who, when undergoing a permanent 
change of station, are placed on a waitlist for on-base 
housing for a period of more than 10 days following the 
date of arrival at the new location, temporary accommoda-
tions for the entire duration of such period appropriate 
for the total size and composition of the family of the 
member and at a rate not to exceed the basic allowance
525 
for housing calculated for such member under section 403 
of title 37, United States Code. 
(b) REPORT.—Not later than 180 days after the date 
of the enactment of this Act, the Secretary of Defense 
shall submit to the congressional defense committees a re-
port containing— 
(1) installation-specific data on the number of 
members of the Armed Forces and their dependents 
on military housing waitlists; 
(2) an identification of the time spent by each 
such member and their dependents awaiting appro-
priate housing accommodations; 
(3) an analysis of the factors that are creating 
the need for such waitlists; and 
(4) an assessment of the causes of waitlist du-
rations that exceed 10 days. 
SEC. 765. REPORT ON ACCESS OF TRICARE BENEFICIARIES 
TO NETWORK RETAIL PHARMACIES. 
(a) REPORT REQUIRED.—Not later than 180 days 
after the date of the enactment of this Act, the Secretary 
of Defense shall submit to Congress a report evaluating 
beneficiary access to TRICARE network pharmacies 
under the TPharm5 contract and changes in beneficiary 
access versus the TPharm4 contract.
526 
(b) ELEMENTS.—The report required under sub-
section (a) shall include the following: 
(1) An analysis of pharmacy access in rural 
areas under such contracts, including: 
(A) The number of TRICARE bene-
ficiaries and number of TRICARE network re-
tail pharmacies located in rural areas. 
(B) The average drive time to the nearest 
TRICARE network retail pharmacy for a bene-
ficiary residing in rural areas. 
(C) The number of beneficiaries who live 
farther than a 15-minute drive to a TRICARE 
retail network pharmacy. 
(D) An assessment of medication compli-
ance rates for beneficiaries residing in rural 
areas for the three years prior to October 24, 
2022 compared to the period-to-date following 
October 24, 2022. 
(2) An analysis of TRICARE retail pharmacy 
network capabilities under such contracts, including 
the number of network pharmacies offering— 
(A) long-term care services; 
(B) prescription drug compounding serv-
ices; and 
(C) home infusion therapy services.
527 
(3) An analysis of affected beneficiaries and 
their use of the TRICARE Pharmacy program 
under TPharm4 and TPharm5, including: 
(A) Data on affected beneficiaries’ use of 
MTF pharmacies, TRICARE mail order pro-
gram, Accredo, departed retail pharmacies, net-
work retail pharmacies. 
(B) An assessment of medication compli-
ance rates for affected beneficiaries for the 
three years prior to October 24, 2022 compared 
to the period-to-date following October 24, 
2022. 
(C) Data on affected beneficiaries’ use of 
pharmacies that offer long-term care services, 
compound pharmacies, home infusion therapy. 
(D) The number of affected beneficiaries 
and number of total TRICARE beneficiaries by 
age group: Under age 18, 18-24, 25-44, 45-64, 
65-79, 80 and older. 
(4) An analysis on the effect on long-term care 
residents under TPharm4 and TPharm5, including: 
(A) The number of beneficiaries who filled 
at least one prescription at a pharmacy that 
provides long-term care services.
528 
(B) The number of beneficiaries who filled 
prescriptions at a single long-term care phar-
macy only with no prescriptions filled via mail 
order, MTF pharmacy, or another retail phar-
macy. 
(5) An analysis of non-network pharmacy use 
by TRICARE beneficiaries under TPharm4 and 
TPharm5, disaggregated by rural beneficiaries, non- 
rural beneficiaries, affected beneficiaries, rural af-
fected beneficiaries, and non-rural affected bene-
ficiaries: 
(A) The number of beneficiaries who used 
a non-network pharmacy. 
(B) The number of non-network claims 
submitted. 
(C) For all non-network claims sub-
mitted— 
(i) the average TRICARE allowed 
amount per prescription; 
(ii) the average TRICARE amount 
paid per prescription; and 
(iii) the verage beneficiary out-of- 
pocket cost per prescription. 
(h) DEFINITIONS.—In this section:
529 
(1) The term ‘‘affected beneficiary’’ means a 
beneficiary who filled at least one prescription in the 
year preceding October 24, 2022 at a departed phar-
macy. 
(2) The term ‘‘beneficiary’’ has the meaning 
given that term in section 1074g(i) of title 10, 
United States Code. 
(3) The term ‘‘departed retail pharmacy’’ 
means a retail pharmacy that participated in the 
TRICARE network in September, 2022 but left the 
network with the transition to the TPharm5 con-
tract. 
(4) The term ‘‘network pharmacy’’ means a re-
tail 
pharmacy 
described 
in 
section 
1074g(a)(2)(E)(ii) of title 10, United States Code. 
(5) The term ‘‘rural’’— 
(A) with regards to a location, has the 
meaning given such term in section 343(a) of 
the Consolidated Farm and Rural Development 
Act (7 U.S.C. 1991(a)); and 
(B) with regards to a beneficiary, has the 
meaning used by the Secretary of Defense in 
the administration of section 1074g of title 10, 
United States Code.
530 
(6) The term ‘‘TPharm4’’ means the period 
covered by the 4th Generation pharmacy contract 
under TRICARE prior to October 24, 2022 when 
the retail network reduction went into effect. 
(7) The term ‘‘TPharm5’’ means the period 
covered by 5th Generation pharmacy contract under 
TRICARE to date. 
SEC. 766. STUDY AND REPORT ON FEASIBILITY OF LIFTING 
OUTPATIENT 
REHABILITATION 
THERAPY 
MAXIMUMS FOR CERTAIN MEMBERS OF THE 
ARMED FORCES WITH TRAUMATIC BRAIN IN-
JURY. 
(a) STUDY.—The Secretary of Defense shall conduct 
a study to analyze the feasibility of lifting outpatient reha-
bilitation therapy maximums for members of the Armed 
Forces who— 
(1) are serving on active duty and who 
(2) have suffered a brain injury while serving 
on active duty in the Armed Forces; and 
(3) are TRICARE beneficiaries. 
(b) ELEMENTS.—The study required by subsection 
(a) shall include the examination of a range of therapy 
services, including restorative therapies and therapies in-
tended to improve cognitive and functional capabilities.
531 
(c) REPORT.—Not later than twelve months after the 
date of the enactment of this Act, the Secretary of Defense 
shall submit to Congress a report that includes the find-
ings and conclusions of the study required by subsection 
(a). 
SEC. 767. STUDY ON APPROVAL OF NON-GOVERNMENTAL 
ACCREDITATION BODIES FOR TRANSITIONAL 
AND RESIDENTIAL BRAIN INJURY TREAT-
MENT PROGRAMS. 
The Secretary of Defense shall conduct a study to 
analyze the feasibility of recognizing the approval of non- 
governmental accreditation bodies for transitional and res-
idential brain injury treatment programs for members of 
the Armed Forces who sustained a brain injury while serv-
ing on active duty in the Armed Forces. 
SEC. 768. STRATEGY TO SUSTAIN MEDICAL SUPPORT DUR-
ING OPERATIONS OF ARMED FORCES IN ARC-
TIC REGION. 
(a) STRATEGY.—Not later than May 3, 2024, the As-
sistant Secretary of Defense for Health Affairs, in coordi-
nation with the Surgeons General of the Armed Forces 
and the Joint Staff Surgeon, shall develop a strategy to 
sustain medical support during operations of the Armed 
Forces in the Arctic region, with a focus on addressing
532 
medical challenges related to extreme cold weather envi-
ronments. 
(b) ELEMENTS.—The strategy under subsection (a) 
shall include, at a minimum, the following: 
(1) An identification of future extreme cold 
weather medical requirements and capabilities nec-
essary to support operational health and readiness in 
Arctic conditions. 
(2) An identification of any current or potential 
partnerships with institutions of higher education 
with academic medical centers, or other entities, to 
support current and future medical requirements of 
members of the Armed Forces in extreme cold 
weather environments. 
(3) Requirements of the Department of Defense 
for laboratories and medical product development, 
including requirements for research and development 
to support the transition and fielding of medical 
products for extreme cold weather environments. 
(4) An identification of extreme cold weather 
medical capability gaps and actions necessary to 
close or mitigate those gaps. 
(5) Recommendations to amend relevant clinical 
practice guidelines to treat injuries sustained in ex-
treme cold weather environments.
533 
(c) BRIEFING.—Not later than 30 days after the date 
on which the Assistant Secretary of Defense for Health 
Affair completes the development of the strategy under 
subsection (a), the Assistant Secretary shall provide to the 
congressional defense committees a briefing on such strat-
egy. 
SEC. 769. STUDY ON USE OF ROUTINE NEUROIMAGING MO-
DALITIES IN DIAGNOSIS, TREATMENT, AND 
PREVENTION OF BRAIN INJURY DUE TO 
BLAST PRESSURE EXPOSURE DURING COM-
BAT AND TRAINING. 
(a) IN GENERAL.—The Secretary of Defense shall 
conduct a study on the feasibility and effectiveness of the 
use of routine neuroimaging modalities in the diagnosis, 
treatment, and prevention of brain injury among members 
of the Armed Forces due to one or more blast pressure 
exposures during combat and training. 
(b) REPORTS.— 
(1) INTERIM REPORT.—Not later than one year 
after the date of the enactment of this Act, the Sec-
retary shall submit to the Committees on Armed 
Services of the Senate and the House of Representa-
tives an interim report on the methods and action 
plan for the study under subsection (a).
534 
(2) FINAL REPORT.—Not later than two years 
after the date on which the Secretary begins the 
study under subsection (a), the Secretary shall sub-
mit to the Committees on Armed Services of the 
Senate and the House of Representatives a report on 
the results of such study. 
SEC. 770. PROHIBITION ON AVAILABILITY OF FUNDS FOR 
CLOSING AUSTIN’S PLAYROOMS AT CERTAIN 
MILITARY HOSPITALS. 
None of the funds authorized to be appropriated by 
this Act or otherwise made available for fiscal year 2024 
for the Department of Defense may be obligated or ex-
pended to close the Austin’s Playrooms at Naval Hospital 
Camp Pendleton, Naval Medical Center Camp Lejeune, or 
Naval Medical Center San Diego. 
SEC. 771. SENSE OF CONGRESS ON MAINTAINING IN-PA-
TIENT MILITARY MEDICAL TREATMENT FA-
CILITIES. 
It is the sense of the Congress that— 
(1) in-patient military Medical Treatment Fa-
cilities are critical components of the Military Health 
System and necessary to maintain a medically ready 
force that can be deployed at a moment’s notice on 
operational missions;
535 
(2) in-patient military Medical Treatment Fa-
cilities are required to develop the skilled medical 
force with the proper trained subspecialities needed 
to care for service members in wartime and during 
deployments; 
(3) each of the military departments should 
support a sufficient number of in-patient Medical 
Treatment Facilities to ensure military readiness; 
and 
(4) The Defense Health Agency and the mili-
tary departments, particularly the Department of 
the Air Force, should aggressively pursue creative 
options, including increased partnership with the 
Department of Veterans Affairs, to maintain eco-
nomical efficiency for the currently operating in-pa-
tient military Medical Treatment Facilities. 
SEC. 772. STUDY AND REPORT ON HEALTH CONDITIONS OF 
MEMBERS OF THE ARMED FORCES DEVEL-
OPED AFTER ADMINISTRATION OF COVID–19 
VACCINE. 
(a) STUDY.—The Secretary of Defense shall conduct 
a study to assess and evaluate any health conditions aris-
ing in members of the Armed Forces after one year after 
receiving the first dose of a COVID–19 vaccine, and each 
of the two years thereafter.
536 
(b) STUDY PARAMETERS.—In conducting the study 
under subsection (a), the Secretary shall— 
(1) disaggregate data collected by— 
(A) vaccine type and manufacturer; 
(B) age group at the time such first dose 
was administered, including— 
(i) individuals who have attained 18 
years of age but who have not yet attained 
30 years of age; 
(ii) individuals who have attained 30 
years of age but who have not yet attained 
40 years of age; 
(iii) individuals who have attained 40 
years of age but who have not yet attained 
50 years of age; 
(iv) individuals who have attained 50 
years of age but who have not yet attained 
60 years of age; and 
(v) individuals who are 60 years of 
age or older; and 
(C) health condition developed after receiv-
ing such first dose, regardless of whether the 
condition is attributable to the receipt of such 
first dose; and
537 
(2) assess the prevalence of each such health 
condition— 
(A) by each age group specified in para-
graph (1)(B) among the unvaccinated popu-
lation; and 
(B) among each such age group for each 
of the years 2015, 2016, 2017, 2018, and 
2019. 
(c) REPORT.—Not later than one year after the date 
of the enactment of this Act and each year thereafter for 
the subsequent four years, the Secretary shall submit to 
the Committees on Armed Services of the House of Rep-
resentatives and the Senate a report on the results of each 
study conducted under subsection (a). 
(d) COVID–19 VACCINE
DEFINED.—The term 
‘‘COVID–19 vaccine’’ means a vaccine licensed under sec-
tion 351 of the Public Health Service Act (42 U.S.C. 262) 
or authorized for emergency use under section 564 of the 
Federal Food, Drug, and Cosmetic Act (21 U.S.C. 
360bbb–3) for immunization against the virus responsible 
for COVID–19. 
SEC. 773. STUDY ON BLOOD WORK OF MEMBERS OF THE 
ARMED FORCES REGARDING COVID–19. 
(a) STUDY REQUIRED.—Not later than September 
30, 2024, the Secretary of Defense shall conduct a study
538 
to test the blood of members of the Armed Forces relating 
to relating to COVID–19. 
(b) ELEMENTS.—The study under this section shall 
include the following elements: 
(1) Testing to detect nucleocapsid protein 
immunoglobin-G antibodies relating to COVID–19. 
(2) Testing to detect T-cell immune response to 
COVID–19. 
(3) An assessment of the efficacy of each vac-
cine for COVID–19 in comparison to— 
(A) each other such vaccine; and 
(B) infection-acquired immunity. 
(4) An accounting of adverse events (including 
hyperimmune response), disaggregated by— 
(A) each vaccine described in paragraph 
(3); and 
(B) history of infection. 
(c) REPORT.—Not later than 180 days after com-
pleting the study, the Secretary shall submit a report on 
such study to the Committees on Armed Services of the 
Senate and House of Representatives.
539 
TITLE VIII—ACQUISITION POL-
ICY, ACQUISITION MANAGE-
MENT, AND RELATED MAT-
TERS 
Subtitle A—Acquisition Policy and 
Management 
SEC. 801. COMMERCIAL NATURE DETERMINATION MEMO 
AVAILABLE TO CONTRACTOR. 
Section 3456(b)(2) of title 10, United States Code, 
is amended by adding at the end the following: ‘‘Upon the 
request of the contractor offering the product or service 
for which such determination is summarized in such 
memorandum, the contracting officer shall provide to such 
contractor a copy of such memorandum.’’. 
SEC. 802. PROHIBITION ON THE TRANSFER OF CERTAIN 
DATA ON EMPLOYEES OF THE DEPARTMENT 
OF DEFENSE TO THIRD PARTIES. 
(a) IN GENERAL.—Chapter 363 of title 10, United 
States Code, United States Code, is amended by adding 
at the end the following new section: 
‘‘§ 4662. Prohibition on the transfer of certain data on 
employees of the Department of Defense 
to third parties 
‘‘(a) IN GENERAL.—Each contract entered into by 
the Department of Defense on or after the date of the
540 
enactment of this section shall include a provision prohib-
iting the contractor and each subcontractor under such 
contract from selling, licensing, or otherwise transferring 
covered individually identifiable Department employee 
data to any individual or entity other than the Federal 
Government, except to the extent required to perform 
under such contract or a subcontract under such contract. 
‘‘(b) WAIVER.—The Secretary of Defense may waive 
subsection (a) with respect to a sale, licensing, or other 
transfer of covered individually identifiable Department 
employee data if the Secretary determines that such waiv-
er is appropriate. 
‘‘(c) DEFINITIONS.—In this section: 
‘‘(1) COVERED
INDIVIDUALLY
IDENTIFIABLE 
DEPARTMENT EMPLOYEE DATA.—The term ‘covered 
individually identifiable Department employee data’ 
means individually identifiable Department employee 
data obtained by— 
‘‘(A) a contractor pursuant to the perform-
ance of a contract described in subsection (a) 
by such contractor; or 
‘‘(B) a subcontractor pursuant to the per-
formance of a subcontract under such a con-
tract by such subcontractor.
541 
‘‘(2) INDIVIDUALLY
IDENTIFIABLE
DEPART-
MENT
EMPLOYEE
DATA.—The term ‘individually 
identifiable Department employee data’ means infor-
mation related to an employee of the Department of 
Defense, including a member of the armed forces, 
that— 
‘‘(A) identifies such employee; or 
‘‘(B) which may be used to infer, by either 
direct or indirect means, the identity of such an 
employee to whom the information applies.’’. 
(b) CLERICAL AMENDMENT.—The table of sections 
for chapter 363 of title 10, United States Code, is amend-
ed by adding at the end the following new item: 
‘‘4662. Prohibition on the transfer of certain data on employees of the Depart-
ment of Defense to third parties.’’. 
(c) REPORT ON COUNTERING IDENTIFYING INFOR-
MATION SPREAD.— 
(1) IN
GENERAL.—Not later than 180 days 
after the date of the enactment of this Act, the Sec-
retary of Defense shall submit to the congressional 
defense committees a report on the strategy of the 
Department of Defense to counter the proliferation 
of individually identifiable active duty member infor-
mation on commercially available datasets. 
(2) INDIVIDUALLY IDENTIFIABLE ACTIVE DUTY 
MEMBER
INFORMATION.—In this subsection, the
542 
term ‘‘individually identifiable active duty member 
information’’ means individually identifiable infor-
mation related to a member of the Armed Forces 
serving on active duty that— 
(A) identifies such member; or 
(B) which may be used to infer, by either 
direct or indirect means, the identity of such a 
member to whom the information applies. 
SEC. 803. PRINCIPAL TECHNOLOGY TRANSITION ADVISOR. 
(a) DESIGNATION.—Not later than one year after the 
date of the enactment of this Act, each Secretary of a mili-
tary department shall designate a Principal Transition 
Advisor who shall advise the Secretary on the transition 
of technologies, including technologies from science and 
technology programs of the Department, private commer-
cial entities, research institutions, and universities, to ful-
fill identified and potential warfighter requirements for 
the military department. 
(b) DIRECT REPORT.—The Principal Transition Ad-
visor of a military department designated under subsection 
(a) shall directly report to the Secretary of such military 
department. 
(c) RESPONSIBILITIES.—The Principal Transition 
Advisor of a military department designated under sub-
section (a) shall do the following:
543 
(1) Identify technologies being researched, de-
veloped, tested, or evaluated by science and tech-
nology programs of the Department, including De-
fense research facilities (as defined in section 
4125(b) of title 10, United States Code), that the 
military department may use to meet identified and 
potential warfighter requirements. 
(2) Consult with Department of Defense inno-
vation programs to identify technologies from private 
commercial entities, research institutions, univer-
sities, and other entities to identify technologies that 
the military department may use to meet identified 
and potential warfighter requirements. 
(3) Make recommendations to the Secretary of 
the military department regarding the acquisition of 
technologies identified under paragraphs (1) and 
(2), including recommendations on the programs of 
the military department under which the military de-
partment should make the acquisitions. 
(4) Inform program managers (as defined in 
section 1737 of title 10, United States Code) and 
other relevant acquisition officials of the military de-
partment of relevant technologies identified under 
paragraphs (1) and (2).
544 
(5) Develop and maintain metrics tracking the 
outcomes of projects and other activities of the mili-
tary department for which the military department 
expended amounts designated as budget activity 6 
(RDT&E management support) as that budget ac-
tivity classification is set forth in volume 2B, chap-
ter 5 of the Department of Defense Financial Man-
agement Regulation (DOD 7000.14-R). 
(d) CONGRESSIONAL REPORT.—Not later than one 
year after the designation of the Principal Transition Ad-
visor of a military department under subsection (a), and 
annually thereafter, the Principal Transition Advisor of 
such military department shall submit to Congress a re-
port on the following for the one-year period preceding the 
submission of the report: 
(1) The activities of the Principal Transition 
Advisor. 
(2) The outcomes of projects and other activi-
ties described in subsection (c)(5), including the 
metrics described in such subsection. 
(e) DEFINITIONS.—In this section: 
(1) DEPARTMENT.—The term ‘‘Department’’ 
means the Department of Defense. 
(2) DEPARTMENT
OF
DEFENSE
INNOVATION 
PROGRAMS.—The term ‘‘Department of Defense in-
545 
novation programs’’ means the Defense Innovation 
Unit of the Department of Defense, AFWERX of 
the Air Force, and other programs sponsored by the 
Department of Defense, or any component thereof, 
with a focus on accelerating the adoption of emerg-
ing technologies for mission-relevant applications or 
innovation. 
(3) MILITARY DEPARTMENT.—The term ‘‘mili-
tary department’’ has the meaning given such term 
in section 101(a) of title 10, United States Code. 
SEC. 804. PILOT PROGRAM ON PAYMENT OF COSTS FOR DE-
NIED GOVERNMENT ACCOUNTABILITY OF-
FICE BID PROTESTS. 
(a) PILOT PROGRAM REQUIRED.—The Secretary of 
Defense shall carry out a pilot program to determine the 
effectiveness of requiring contractors to reimburse the De-
partment of Defense for costs incurred in processing cov-
ered protests. 
(b) DURATION.—The pilot program under subsection 
(a) shall— 
(1) begin on the date that is two years after the 
date of the enactment of this Act; and 
(2) end on the date that is five years after the 
date of the enactment of this Act.
546 
(c) REPORT.—Not later than 90 days after the date 
on which the pilot program under subsection (a) ends, the 
Secretary shall submit to the Committees on Armed Serv-
ices of the House of Representatives and the Senate a re-
port assessing the feasibility of making permanent such 
pilot program. 
(d) DEFINITIONS.—In this section: 
(1) COVERED
PROTEST.—The term ‘‘covered 
protest’’ means a bid protest that is a final bid pro-
test and that was filed during the period beginning 
on October 1, 2025, and ending on September 30, 
2028, by a party with revenues in excess of 
$250,000,000 (based on fiscal year 2023 constant 
dollars) during the fiscal year immediately preceding 
the fiscal year in which such party filed such bid 
protest. 
(2) FINAL BID PROTEST.—The term ‘‘final bid 
protest’’ means a bid protest that was denied in an 
opinion issued by the Government Accountability Of-
fice and such denial— 
(A) has not been appealed and is no longer 
appealable because the time for taking an ap-
peal has expired; or 
(B) has been appealed and the appeals 
process for which is completed.
547 
SEC. 805. PILOT PROGRAM FOR PROTOTYPE PROJECTS 
FOR ANYTHING-AS-A-SERVICE. 
(a) IN GENERAL.—Not later than one year after the 
enactment of this Act and subject to the availability of 
appropriations, the Secretary of Defense or any official 
designated by the Secretary of Defense, in coordination 
with each Secretary of a military department, shall estab-
lish a pilot program to enter into transactions to carry 
out prototype projects for Anything-as-a-Service using 
competitive multisourcing. 
(b) REQUIREMENTS.—Before entering into a trans-
action under this section, the Secretary shall— 
(1) develop criteria that technology-supported 
capabilities are delivered as a service must meet in 
order to be included in a prototype project; and 
(2) 
develop 
criteria 
for 
competitive 
multisourcing applicable to the pilot program estab-
lished under this section. 
(c) VALUE.—The value of a transaction for a proto-
type project carried out under this section shall not exceed 
$100,000,000. 
(d) TIMING.—The Secretary shall, to the extent prac-
ticable, enter into a transaction for a prototype project 
under this section not earlier than 60 days and not later 
than 100 days after the date on which the Secretary an-
548 
nounces an opportunity to participate in the pilot program 
established under this section. 
(e) EXEMPTION.—The requirements of sections 
3204(e)(1) and 3702 of title 10, United States Code, shall 
not apply with respect to a transaction for a prototype 
project under this section if the Secretary of Defense re-
ceives three or more minimally qualified offers for such 
transaction. 
(f) BRIEFING.—Not later than December 31, 2024, 
the Secretary of Defense shall provide a briefing to the 
congressional defense committees on the implementation 
of the pilot program. 
(g) REPORT.—Not later than 30 days after each ex-
ercise of authority under the pilot program, the Secretary 
of Defense shall submit to Congress a report on such exer-
cise. 
(h) DEFINITIONS.—In this section: 
(1) The term ‘‘Anything-as-a-Service’’ means 
model under which a technology-supported capability 
is provided to the Department of Defense as a serv-
ice rather than as a product, including such capabili-
ties as software, platforms, and infrastructure. 
(2) The term ‘‘competitive multisourcing’’ 
means a method to fulfill the requirements of a 
transaction for a prototype project entered into
549 
under the pilot program established under this sec-
tion to carry out a prototype project by awarding 
such transaction to more than one offeror, of which 
one offeror shall be the primary awardee and any 
other offerors shall be secondary awardees prepared 
to take the place of the primary awardee under the 
transaction. 
(i) TERMINATION.— 
(1) PROTOTYPE PROJECTS.—The authority to 
carry out a prototype project under the pilot pro-
gram shall terminate not more than 24 months after 
the date of commencing such prototype project. 
(2) PILOT PROGRAM.—The authority to carry 
out the pilot program under this section shall termi-
nate on the date that is three years after the date 
of the enactment of this Act. 
SEC. 806. LOW-METHANE INTENSITY NATURAL GAS PILOT 
PROGRAM. 
(a) IN GENERAL.—The Director of the Defense Lo-
gistics Agency, in coordination with the Secretary of each 
military department (as such term is defined in section 
101(a) of title 10, United States Code), may establish a 
pilot program to demonstrate the feasibility of installa-
tions of the Department of Defense using certified low-
550 
methane intensity natural gas, including demonstrating 
the quantities of such gas that are feasible. 
(b) ACQUISITION OF CERTIFIED LOW-METHANE IN-
TENSITY NATURAL GAS.—In carrying out the pilot pro-
gram, the Director shall select installations of the Depart-
ment for which the natural gas acquired for such installa-
tions shall be certified low-methane intensity natural gas. 
(c) DEPARTMENT INSTALLATIONS.— 
(1) LOCATION.—The Director may select only 
installations of the Department that are located 
within the continental United States to participate 
in the pilot program. 
(2) NUMBER.—In carrying out the pilot pro-
gram, the Director shall select not fewer than 5 in-
stallations of the Department to participate in the 
pilot program. 
(d) DURATION.—If the Director establishes the pilot 
program, the Director shall carry out the pilot program 
until the date determined by the Director that is not ear-
lier than two years after the date of the enactment of this 
Act and not later than five years after the date of the 
enactment of this Act. 
(e) DEFINITIONS.—In this section: 
(1) CERTIFIED LOW-METHANE INTENSITY NAT-
URAL GAS.—The term ‘‘certified low-methane inten-
551 
sity natural gas’’ means natural gas produced by fa-
cilities and through processes certified by an inde-
pendent, industry-recognized certifying entity as 
complying with low-methane intensity standards. 
(2) DEPARTMENT.—The term ‘‘Department’’ 
means the Department of Defense. 
(3) DIRECTOR.—The term ‘‘Director’’ means 
the Director of the Defense Logistics Agency. 
(4) LOW-METHANE
INTENSITY
STANDARDS.— 
The term ‘‘low-methane intensity standards’’ means 
industry-recognized standards— 
(A) for verifying, quantifying, and dimin-
ishing the unintentional release of methane dur-
ing the production of natural gas below the av-
erage amount of methane unintentionally re-
leased during such production; and 
(B) certification of compliance with which 
is commercially available from independent, in-
dustry-recognized certifying entities. 
(5) PILOT
PROGRAM.—The term ‘‘pilot pro-
gram’’ means the pilot program established under 
subsection (a).
552 
SEC. 807. PROHIBITION ON CONTRACTING WITH PERSONS 
THAT HAVE BUSINESS OPERATIONS WITH 
THE GOVERNMENT OF THE RUSSIAN FED-
ERATION OR THE RUSSIAN ENERGY SECTOR. 
(a) PROHIBITION.—Except as provided under sub-
sections (b), (c), and (d), the Secretary of Defense may 
not enter into a contract for the procurement of goods 
or services with any person that has business operations 
with— 
(1) an authority of the Government of the Rus-
sian Federation; or 
(2) a fossil fuel company that operates in the 
Russian Federation, except if the fossil fuel company 
transports oil or gas— 
(A) through the Russian Federation for 
sale outside of the Russian Federation; and 
(B) that was extracted from a country 
other than the Russian Federation with respect 
to the energy sector of which the President has 
not imposed sanctions as of the date on which 
the contract is awarded. 
(b) EXCEPTIONS.— 
(1) IN GENERAL.—The prohibition under sub-
section (a) does not apply to a contract that the Sec-
retary of Defense and the Secretary of State jointly 
determine—
553 
(A) is necessary— 
(i) for purposes of providing humani-
tarian assistance to the people of Russia; 
or 
(ii) for purposes of providing disaster 
relief and other urgent life-saving meas-
ures; 
(B) is vital to the military readiness, bas-
ing, or operations of the United States or the 
North Atlantic Treaty Organization; or 
(C) is vital to the national security inter-
ests of the United States. 
(2) NOTIFICATION
REQUIREMENT.—The Sec-
retary of Defense shall notify the appropriate con-
gressional committees of any contract entered into 
on the basis of an exception provided for under 
paragraph (1). 
(3) OFFICE OF FOREIGN ASSETS CONTROL LI-
CENSES.—The prohibition in subsection (a) shall not 
apply to a person that has a valid license to operate 
in Russia issued by the Office of Foreign Assets 
Control of the Department of the Treasury or is oth-
erwise authorized to operate in Russia by the Fed-
eral Government notwithstanding the imposition of 
sanctions.
554 
(4) AMERICAN
DIPLOMATIC
MISSION
IN
RUS-
SIA.—The prohibition in subsection (a) shall not 
apply to contracts related to the operation and main-
tenance of the United States Government’s consular 
offices and diplomatic posts in Russia. 
(c) APPLICABILITY.—This section shall take effect on 
the date of the enactment of this Act and apply with re-
spect to any contract entered into on or after such effec-
tive date. 
(d) SUNSET.—This section shall terminate on the 
date on which the President submits to the appropriate 
congressional committees a certification in writing that 
contains a determination of the President that the Russian 
Federation— 
(1) has reached an agreement relating to the 
withdrawal of Russian forces and cessation of mili-
tary hostilities that is accepted by the free and inde-
pendent government of Ukraine; 
(2) poses no immediate military threat of ag-
gression to any North Atlantic Treaty Organization 
member; and 
(3) recognizes the right of the people of 
Ukraine to independently and freely choose their 
own government. 
(e) DEFINITIONS.—In this section:
555 
(1) APPROPRIATE
CONGRESSIONAL
COMMIT-
TEES.—The term ‘‘appropriate congressional com-
mittees’’ means— 
(A) the Committee on Oversight and Re-
form, the Committee on Armed Services, and 
the Committee on Foreign Affairs of the House 
of Representatives; and 
(B) the Committee on Homeland Security 
and Governmental Affairs, the Committee on 
Armed Services, and the Committee on Foreign 
Relations of the Senate. 
(2) BUSINESS OPERATIONS.—The term ‘‘busi-
ness operations’’ means engaging in commerce in 
any form, including acquiring, developing, maintain-
ing, owning, selling, possessing, leasing, or operating 
equipment, facilities, personnel, products, services, 
personal property, real property, or any other appa-
ratus of business or commerce. 
(3) FOSSIL FUEL COMPANY.—The term ‘‘fossil 
fuel company’’ means a person that— 
(A) carries out oil, gas, or coal exploration, 
development, or production activities; 
(B) processes or refines oil, gas, or coal; or 
(C) transports, or constructs facilities for 
the transportation of, Russian oil, gas, or coal.
556 
(4) GOVERNMENT OF THE RUSSIAN FEDERA-
TION.—The term ‘‘Government of the Russian Fed-
eration’’ includes the government of any political 
subdivision of Russia, and any agency or instrumen-
tality of the Government of the Russian Federation. 
For purposes of this paragraph, the term ‘‘agency or 
instrumentality of the Government of the Russian 
Federation’’ means an agency or instrumentality of 
a foreign state as defined in section 1603(b) of title 
28, United States Code, with each reference in such 
section to ‘‘a foreign state’’ deemed to be a reference 
to ‘‘Russia’’. 
(5) PERSON.—The term ‘‘person’’ means— 
(A) a natural person, corporation, com-
pany, business association, partnership, society, 
trust, or any other nongovernmental entity, or-
ganization, or group; 
(B) any governmental entity or instrumen-
tality of a government, including a multilateral 
development institution (as defined in section 
1701(c)(3) of the International Financial Insti-
tutions Act (22 U.S.C. 262r(c)(3))); and 
(C) any successor, subunit, parent entity, 
or subsidiary of, or any entity under common
557 
ownership or control with, any entity described 
in subparagraph (A) or (B). 
SEC. 808. ORGANIZATIONAL CONFLICT OF INTERESTS RE-
LATING TO NATIONAL SECURITY AND FOR-
EIGN POLICY. 
(a) PROHIBITION RELATED CERTAIN CONTRACTS OR 
GRANTS.— 
(1) IN GENERAL.—The Secretary may not after 
the date of the enactment of this Act enter into, 
renew, or extend a contract with, or award a grant 
to, a covered consultancy. 
(2) DISCLOSURE.—Any individual or entity that 
submits an offer or bid for a contract to provide con-
sulting services to the Department of Defense shall 
disclose in such offer or bid any information relevant 
to the individual or entity with respect to the prohi-
bition under paragraph (1), including— 
(A) whether the individual or entity has 
entered into a contract with, or received grants 
or other financial awards from a covered entity 
in the five years prior to submitting the offer 
or bid; and 
(B) at the time the contract to provide 
consulting services to the Department will be 
entered into, whether—
558 
(i) any contract entered into by the 
individual or entity with a covered entity 
will still be in effect; and 
(ii) the individual or entity will be re-
ceiving funds from, or have any unobli-
gated or unexpended funds received under, 
any grant or other financial award from a 
covered entity. 
(3) PENALTIES.— 
(A) IN GENERAL.—If the Secretary deter-
mines that a contractor of the Department 
failed to make the disclosure required by para-
graph (2), the Secretary shall— 
(i) terminate the applicable contract 
for cause; and 
(ii) initiate a suspension and debar-
ment proceeding with respect to the con-
tractor. 
(B) MAXIMUM LENGTH OF DEBARMENT.— 
The maximum length of a debarment of a con-
tractor under this paragraph shall be a period 
of 5 years. 
(b) CERTIFICATION.— 
(1) IN GENERAL.—After a determination by the 
Secretary that a company is a covered consultancy,
559 
such company may submit to the Secretary a written 
and signed certification that— 
(A) the consultancy no longer is— 
(i) performing under a contract with a 
covered entity; 
(ii) carrying out activities under a 
grant received from a covered entity; or 
(iii) receiving funds, or have any un-
obligated or unexpended funds received, 
from a covered entity; and 
(B) will not receive or pursue a contract 
with a covered entity or a grant or other finan-
cial award from a covered entity— 
(i) during the term of a contract with 
the Department of Defense; or 
(ii) while receiving funds from the De-
partment of Defense, or obligating or ex-
pending any such funds. 
(2) STATUS CHANGE.—Upon the approval by 
the Secretary of a certification submitted under 
paragraph (1), a company is deemed to not be a cov-
ered consultancy until the expiration of the certifi-
cation under paragraph (3). 
(3) EXPIRATION.—A certification submitted by 
a company under paragraph (1) shall expire on the
560 
earlier of the date on which the company, after sub-
mitting such certification enters into, extends, re-
news, or performs under a contract with a covered 
entity for consulting services. 
(c) GUIDANCE.—The Secretary, in consultation with 
the Secretary of Commerce, the Secretary of Homeland 
Security, the Secretary of the Treasury, the Director of 
National Intelligence, the Attorney General, the Secretary 
of State, and the heads of such other Executive agencies 
(as such term is defined in section 105 of title 5, United 
States Code) as determined appropriate by the Secretary, 
shall issue procurement policies for the Department of De-
fense as follows: 
(1) Policies to implement the prohibition under 
subsection (a)(1). 
(2) Best practices to avoid becoming covered 
consultancies under this section and for covered 
consultancies to end their status as such. 
(3) A policy containing the exact provisions and 
terms relating to the requirements of paragraphs (2) 
and (3) of subsection (a) to be included in solicita-
tions, contracts, and grants of the Department. 
(d) REVISION OF DEPARTMENT OF DEFENSE ACQUI-
SITION REGULATION.—Not later than one year after the 
date of the enactment of this Act, the Secretary shall re-
561 
vise the acquisition regulations of the Department of De-
fense to implement this section. 
(e) DEFINITIONS.—In this section: 
(1) CONSULTING SERVICES.—The term ‘‘con-
sulting services’’ has the meaning given the term 
‘‘advisory and assistance services’’ in section 2.101 
of the Federal Acquisition Regulation, except that— 
(A) the term does not include the services 
described in paragraph (3) of such section; and 
(B) each instance of the term ‘‘Federal’’ is 
replaced with ‘‘client’’. 
(2) COVERED CONSULTANCY.—The term ‘‘cov-
ered consultancy’’ means a company that, itself or 
any subsidiary or affiliate thereof, in immediately 
preceding one year period entered into, extended, re-
newed, or performed under a contract with a covered 
entity for consulting services. 
(3) COVERED ENTITY.—The term ‘‘covered en-
tity’’ means any of the following: 
(A) The Government of the People’s Re-
public of China. 
(B) The Chinese Communist Party. 
(C) The People’s Liberation Army, the 
Ministry of State Security, or other security
562 
service or intelligence agency of the People’s 
Republic of China. 
(D) Any entity on the Non-SDN Chinese 
Military-Industrial Complex Companies List 
(NS–CMIC–List) maintained by the Office of 
Foreign Assets Control of the Department of 
the Treasury under Executive Order No. 14032 
(86 Fed. Reg. 30145; relating to addressing the 
threat from securities investments that finance 
certain companies of the People’s Republic of 
China), or any successor order. 
(E) Any Chinese military company identi-
fied by the Secretary of Defense pursuant to 
section 1237(b) of the Strom Thurmond Na-
tional Defense Authorization Act for Fiscal 
Year 1999 (Public Law 105–261; 50 U.S.C. 
1701 note). 
(F) Any Chinese state-owned entity or 
other entity under the ownership, or control, di-
rectly or indirectly, of the Government of the 
People’s Republic of China or the Chinese Com-
munist Party that is engaged in one or more 
national security industries. 
(G) The Government of the Russian Fed-
eration, any Russian state-owned entity, or any
563 
entity sanctioned by the Secretary of the Treas-
ury under Executive Order No. 13662 titled 
‘‘Blocking Property of Additional Persons Con-
tributing to the Situation in Ukraine’’(79 Fed. 
Reg. 16169). 
(H) The government or any state-owned 
entity of any country if the Secretary of State 
determines that such government has repeat-
edly provided support for acts of international 
terrorism pursuant to— 
(i) section 1754(c)(1)(A) of the Ex-
port Control Reform Act of 2018 (50 
U.S.C. 4318(c)(1)(A)); 
(ii) section 620A of the Foreign As-
sistance Act of 1961 (22 U.S.C. 2371); 
(iii) section 40 of the Arms Export 
Control Act (22 U.S.C. 2780); or 
(iv) any other provision of law. 
(I) Any entity included on any of the fol-
lowing lists maintained by the Department of 
Commerce— 
(i) the Entity List set forth in Supple-
ment No. 4 to part 744 of the Export Ad-
ministration Regulations;
564 
(ii) the Denied Persons List as de-
scribed in section 764.3(a)(2) of the Ex-
port Administration Regulations; and 
(iii) the Unverified List set forth in 
Supplement No. 6 to part 744 of the Ex-
port Administration Regulations. 
(J) The Military End User List set forth 
in Supplement No. 7 to part 744 of the Export 
Administration Regulations. 
(4) EXPORT ADMINISTRATION REGULATIONS.— 
The term ‘‘Export Administration Regulations’’ 
means the regulations set forth in subchapter C of 
chapter VII of title 15, Code of Federal Regulations. 
(5) NATIONAL SECURITY INDUSTRY.—The term 
‘‘national security industry’’ means— 
(A) a military-related industry; 
(B) semiconductor production; 
(C) researching or commercializing quan-
tum computing; 
(D) producing products or services that 
use artificial intelligence; 
(E) the biotechnology industry; 
(F) the cybersecurity industry; or 
(G) the mining, processing, or refining of 
critical minerals (as such term is defined in sec-
565 
tion 7002(a) of the Energy Act of 2020 (30 
U.S.C. 1606(a))) for use by a covered entity. 
(6) SECRETARY.—The term ‘‘Secretary’’ means 
the Secretary of Defense. 
SEC. 809. RESEARCH, DEVELOPMENT, TESTING, AND EVAL-
UATION CONTRACT COST SHARING. 
Notwithstanding any other provision of law, for any 
contract that is awarded under or pursuant to a provision 
of this Act for, in whole or in part, research, development, 
testing, or evaluation activities, not less than 25 percent 
of the cost of such activities under such contract must be 
provided by a non-Federal source. 
SEC. 810. PROHIBITION AND REPORT ON CONTRACTS FOR 
ONLINE TUTORING SERVICES. 
(a) PROHIBITION.—The Secretary of Defense may 
not enter into a contract for online tutoring services which 
could result in personal data of citizens of the United 
States being transferred to the control of the People’s Re-
public of China. 
(b) REPORT.—The Secretary of Defense shall submit 
to the congressional defense committees a report on the 
risks of personal data of citizens of the United States 
being transferred to the control of the People’s Republic 
of China pursuant to any contracts for online tutoring 
services of the Department of Defense in progress.
566 
SEC. 811. PROHIBITION OF THE DEPARTMENT OF DEFENSE 
PROCUREMENT RELATED TO ENTITIES IDEN-
TIFIED AS CHINESE MILITARY COMPANIES 
OPERATING IN THE UNITED STATES IN AC-
CORDANCE WITH SECTION 1260H OF THE WIL-
LIAM M. THORNBERRY NATIONAL DEFENSE 
AUTHORIZATION ACT FOR FISCAL YEAR 2021. 
(a) PROHIBITION ON USE OR PROCUREMENT.— 
(1) IN GENERAL.—Except as provided under 
subsection (d)(1), the Secretary may not— 
(A) enter into, renew, or extend a contract 
for the procurement of goods, services, or tech-
nology with an entity described in paragraph 
(2); or 
(B) enter into, renew, or extend a contract 
for the procurement of goods services, or tech-
nology that include goods, services, or tech-
nology produced or developed by an entity de-
scribed in paragraph (2). 
(2) ENTITIES DESCRIBED.—An entity described 
in this paragraph is— 
(A) an entity that is identified in the an-
nual list the Department of Defense publishes 
of Chinese military companies operating in the 
United States in pursuant to section 1260H of 
the William M. (Mac) Thornberry National De-
567 
fense Authorization Act for Fiscal Year 2021 
(10 U.S.C. 113 note); 
(B) any entity subject to the control of an 
entity described in subparagraph (A); or 
(C) any individual working for or on behalf 
of an entity described in subparagraph (A) or 
(B). 
(3) LIMITATION ON APPLICABILITY.—Nothing 
in paragraph (1) shall prohibit the Secretary from 
entering into, renewing, or extending a contract for 
the procurement of goods, services, or technology to 
provide a service that connects to the facilities of a 
third-party, including backhaul, roaming, or inter-
connection arrangements. 
(4) GUIDANCE.— 
(A) ENTITY PROHIBITION.—Not later than 
180 days after the enactment of this Act, the 
Secretary shall issue procurement policies and 
other guidance for implementation of the prohi-
bitions in paragraph (1)(A) for the Department 
of Defense. 
(B) GOODS, SERVICES, AND TECHNOLOGY 
PROHIBITION.—Not later than 545 days after 
the enactment of this Act, the Secretary shall 
issue procurement policies and other guidance
568 
for the implementation of the prohibitions in 
paragraph (1)(B) for the Department of De-
fense, including— 
(i) best practices to avoid being sub-
ject to the prohibitions described in para-
graph (1)(B); and 
(ii) technical support to assist affected 
businesses, institutions and organizations 
as is reasonably necessary for those af-
fected entities to comply with this section, 
including the creation of a supply chain 
mapping tool software made available with-
out cost to affected entities. 
(b) EFFECTIVE DATES.—The prohibition under sub-
section (a)(1)(A) shall take effect one year after the date 
of the enactment of this Act, and the prohibitions under 
subsections (a)(1)(B) shall take effect two years after the 
date of the enactment of this Act. 
(c) WAIVER AUTHORITY.— 
(1) IN
GENERAL.—The Secretary may waive 
the requirements under subsection (a) with respect 
to an entity that requests such a waiver if the entity 
seeking the waiver— 
(A) provides to the Secretary a compelling 
justification for the additional time to imple-
569 
ment the requirements under such subsection, 
as determined by the Secretary of Defense; and 
(B) provides to the Secretary a phase-out 
plan to eliminate goods, services, or technology 
produced or developed by an entity described in 
subsection (a)(2) from the systems of the enti-
ty. 
(2) DURATION.—A waiver granted under para-
graph (1) may be for a period of not more than two 
years after the effective dates described in sub-
section (c). 
(d) EXCEPTION.—The President shall not be re-
quired to apply or maintain the prohibition under sub-
section (a) for activities subject to the reporting require-
ments under title V of the National Security Act of 1947 
(50 U.S.C. 3091 et seq.), or to any authorized intelligence 
activities of the United States. 
(e) DEFINITIONS.—In this section: 
(1) CONTROL.—The term ‘‘control’’ has the 
meaning given that term in part 800.208 of title 31, 
Code of Federal Regulations or any successor regu-
lations. 
(2) SECRETARY.—The term ‘‘Secretary’’ means 
the Secretary of Defense.
570 
Subtitle B—Amendments to Gen-
eral 
Contracting 
Authorities, 
Procedures, and Limitations 
SEC. 821. MODIFICATION TO TRUTHFUL COST OR PRICING 
DATA SUBMISSIONS AND REPORT. 
Section 3705(b)(2)(B) of title 10, United States 
Code, is amended— 
(1) in the second sentence, by inserting ‘‘and 
shall identify such offerors that incur a delay greater 
than 200 days in submitting such cost or pricing 
data’’ after ‘‘should-cost analysis’’; and 
(2) by amending the third sentence to read as 
follows: ‘‘The Secretary of Defense shall include a 
public notation on such offerors in the system used 
by the Federal Government to monitor or record 
contractor integrity and performance.’’. 
SEC. 822. COMPETITION REQUIREMENTS FOR PURCHASES 
FROM FEDERAL PRISON INDUSTRIES. 
(a) COMPETITION REQUIREMENTS FOR PURCHASES 
FROM FEDERAL PRISON INDUSTRIES.—Section 3905 of 
title 10, United States Code, is amended by striking sub-
sections (a) and (b) and inserting the following new sec-
tions: 
‘‘(a) MARKET
RESEARCH.—Before purchasing a 
product listed in the latest edition of the Federal Prison
571 
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 on February 1, 2024. 
SEC. 823. MODIFICATION OF APPROVAL AUTHORITY FOR 
HIGH DOLLAR OTHER TRANSACTIONS FOR 
PROTOTYPES. 
Section 4022 of title 10, United States Code, is 
amended—
573 
‘‘(B) appropriations for operation and 
maintenance; or 
‘‘(C) appropriations for military construc-
tion.’’; 
(3) in paragraph (3), as so redesignated, by in-
serting ‘‘using appropriations for military construc-
tion’’ after ‘‘carrying out prototype projects’’; and 
(4) in subparagraph (4)(A), as so redesignated, 
by inserting ‘‘using appropriations for military con-
struction’’ after ‘‘prototype projects’’. 
SEC. 825. ACQUISITION OF SENSITIVE MATERIAL PROHIBI-
TION EXCEPTION AMENDMENT. 
Section 4872(c) of title 10, United States Code, is 
amended— 
(1) in the matter preceding paragraph (1), by 
striking ‘‘Subsection (a)’’ and inserting ‘‘Subsection 
(a)(1)’’; and 
(2) in paragraph (1)— 
(A) by striking ‘‘Defense determines that 
covered materials’’ and inserting the following: 
‘‘Defense— 
‘‘(A) identifies a specific end item for 
which a specific covered material’’; 
(B) by striking the period at the end and 
inserting a semicolon; and
574 
(C) by adding at the end the following new 
subparagraphs: 
‘‘(B) determines that no production capac-
ity for such specific covered material exists and 
is available outside of the covered nations; and 
‘‘(C) waives subsection (a)(1) for such spe-
cific end item and such specific covered mate-
rial for a period not exceeding 36 months.’’. 
SEC. 826. MODIFICATION TO ACQUISITION AUTHORITY OF 
THE SENIOR OFFICIAL WITH PRINCIPAL RE-
SPONSIBILITY 
FOR 
ARTIFICIAL 
INTEL-
LIGENCE AND MACHINE LEARNING. 
Section 808 of the William M. (Mac) Thornberry Na-
tional Defense Authorization Act for Fiscal Year 2021 (10 
U.S.C. 4001 note) is amended— 
(1) in subsection (d)— 
(A) by striking ‘‘$75,000,000’’ and insert-
ing ‘‘$125,000,000’’; and 
(B) by striking ‘‘in each of fiscal years 
2021, 2022, 2023, 2024, and 2025’’ and insert-
ing ‘‘in each of fiscal years 2024 through 
2029’’; and 
(2) in subsection (f), by striking ‘‘October 1, 
2025’’ and inserting ‘‘October 1, 2029’’.
575 
SEC. 827. AMEND PROHIBITION ON CONTRACTING WITH 
ENTITIES OPERATING CERTAIN UNMANNED 
AIRCRAFT SYSTEMS. 
Section 848 of the National Defense Authorization 
Act for Fiscal Year 2020 (10 U.S.C. 4871 note), as 
amended by section 817 of the James M. Inhofe National 
Defense Authorization Act for Fiscal Year 2023 (Public 
Law 117-263; 136 Stat. 2707), is further amended in sub-
section (b) by striking ‘‘in the performance of a Depart-
ment of Defense contract’’. 
SEC. 828. AVOIDANCE OF USE OF LOWEST PRICE TECH-
NICALLY ACCEPTABLE SOURCE SELECTION 
PROCESS FOR CERTAIN LOGISTICS SERV-
ICES. 
Section 813(c) of the National Defense Authorization 
Act for Fiscal Year 2017 (Public Law 114–328; 10 U.S.C. 
3241 note prec.) is amended— 
(1) in paragraph (2), by striking ‘‘or’’ and the 
end; 
(2) in paragraph (3), by striking the period at 
the end and inserting ‘‘; or’’; and 
(3) by adding at the end the following new 
paragraph: 
‘‘(4) fuel and fuel-related services, if such serv-
ices are, or reasonably could be, owned or provided 
by an entity owned or controlled, directly or indi-
576 
rectly, by the government of any adversary listed in 
the 2022 National Defense Strategy.’’. 
SEC. 829. MODIFICATION AND EXTENSION OF TEMPORARY 
AUTHORITY 
TO 
MODIFY 
CERTAIN 
CON-
TRACTS AND OPTIONS BASED ON THE IM-
PACTS OF INFLATION. 
Section 1 of Public Law 85–804 (50 U.S.C. 1431) 
is amended— 
(1) in subsection (b), by adding at the end the 
following new sentence: ‘‘If any such amounts are so 
specifically provided, the Secretary may use them for 
such purposes.’’; and 
(2) in subsection (e), by striking ‘‘December 31, 
2023’’ and inserting ‘‘December 31, 2024’’. 
SEC. 830. MODIFICATION OF CONTRACTS AND OPTIONS TO 
PROVIDE ECONOMIC PRICE ADJUSTMENTS. 
(a) AUTHORITY.—Amounts authorized to be appro-
priated by this Act for the Department of Defense may 
be used to modify the terms and conditions of a contract 
or option, without consideration, to provide an economic 
price adjustment consistent with sections 16.203–1 and 
16.203–2 of the Federal Acquisition Regulation during 
the relevant period of performance for that contract or op-
tion and as specified in section 16.203–3 of the Federal
577 
Acquisition Regulation, subject to the availability of ap-
propriations. 
(b) GUIDANCE.—Not later than 30 days after the 
date of the enactment of this Act, the Under Secretary 
of Defense for Acquisition and Sustainment shall issue 
guidance implementing the authority under this section. 
SEC. 831. PILOT PROGRAM ON THE USE OF ACQUISITION 
AUTHORITY FOR OFFICE OF NAVAL RE-
SEARCH TO AID IN TECHNOLOGY TRANSI-
TION. 
(a) AUTHORITY.—The Secretary of the Navy shall 
delegate to the Chief of Naval Research acquisition au-
thority to enter into contracts or other agreements for the 
commercialization of a prototype of the Department of the 
Navy. 
(b) AMOUNT.—A single contract or other agreement 
entered into under this section may not exceed 
$10,000,000. 
(c) APPLICATION.—An applicant desiring a contract 
or other agreement under this section submit an applica-
tion to the Secretary of the Navy at such time, in such 
manner, and containing such information as the Secretary 
may require. 
(d) BRIEFING.—Not later than December 31, 2024, 
the Chief of Naval Research shall provide to the congres-
578 
sional defense committees a briefing on the exercise of the 
authority under this section and any related policy or im-
plementation issues. 
(e) REPORT.—Each time the Chief of Naval Research 
exercises the authority under this section, the Chief shall 
submit to the congressional defense committees a notifica-
tion on such exercise. 
(f) TERMINATION.—The Chief of Naval Research 
may not exercise the authority under this section and may 
not enter into any new contracts or other agreements 
under this section on or after the date that is five years 
after the date of the enactment of this Act. The perform-
ance on any contract or other agreement entered into be-
fore such date may continue according to the terms of 
such contract or other agreement. 
SEC. 832. PROHIBITION ON COMPUTERS OR PRINTERS AC-
QUISITIONS INVOLVING ENTITIES OWNED OR 
CONTROLLED BY CHINA. 
(a) IN GENERAL.—The Secretary of Defense may not 
acquire any computer or printer if the manufacturer, bid-
der, or offeror is a covered Chinese entity. 
(b) APPLICABILITY.—This section shall apply only 
with respect to contracts or other agreements entered into, 
renewed, or extended after the date of the enactment of 
this Act.
579 
(c) DEFINITIONS.—In this section: 
(1) COVERED
CHINESE
ENTITY.—The term 
‘‘covered Chinese entity’’ means an entity that the 
Secretary of Defense, in consultation with the Direc-
tor of the National Intelligence or the Director of 
the Federal Bureau of Investigation, determines to 
be an entity owned, controlled, directed, or subcon-
tracted by, affiliated with, or otherwise connected to, 
the government of the People’s Republic of China. 
(2) MANUFACTURER.—The term ‘‘manufac-
turer’’ means— 
(A) the entity that transforms raw mate-
rials, miscellaneous parts, or components into 
the end item; 
(B) any entity that subcontracts with the 
entity described in subparagraph (A) for the en-
tity described in such subparagraph to trans-
form raw materials, miscellaneous parts, or 
components into the end item; 
(C) any entity that otherwise directs the 
entity described in subparagraph (A) to trans-
form raw materials, miscellaneous parts, or 
components into the end item; or
580 
(D) any parent company, subsidiary, or af-
filiate of the entity described in subparagraph 
(A). 
SEC. 833. MODIFICATIONS TO DATA, POLICY, AND REPORT-
ING ON THE USE OF OTHER TRANSACTIONS. 
Section 8739 of the John S. McCain National De-
fense Authorization Act for Fiscal Year 2019 (10 U.S.C. 
2371 note) is amended— 
(1) in subsection (c)(1), in the matter preceding 
subparagraph (A), by striking ‘‘December 31, 2019, 
and annually thereafter through December 31, 
2023,’’ and inserting ‘‘December 31, 2024, and an-
nually thereafter through December 31, 2028,’’; and 
(2) by adding at the end the following: 
‘‘(d) COMPTROLLER GENERAL REPORT ON USE OF 
OTHER TRANSACTION AUTHORITY.—No later than 180 
days after the date of the enactment of this subsection, 
the Comptroller General of the United States shall submit 
to the Committees on Armed Services of the House of 
Representatives and the Senate a report on the use of 
transactions authorized under sections 4021 and 4022 of 
title 10, United States Code, including— 
‘‘(1) the extent to which such transactions are 
used in accordance with policy and guidance related 
to the use of such transactions;
581 
‘‘(2) the total number of transactions for each 
fiscal year made to nontraditional defense contrac-
tors (as defined in section 3014 of title 10, United 
States Code); 
‘‘(3) a summary of such transactions to which 
the Department of Defense is a participant for 
which performance has not been completed on the 
date of submission of such report, including— 
‘‘(A) a description of the entity or agency 
responsible for any consortium; 
‘‘(B) a list, including the name, of each 
member of such consortium, including the per-
centage of such members who are nontradi-
tional defense contractors for each such consor-
tium; and 
‘‘(C) for fiscal years 2022 and 2023— 
‘‘(i) the total amount awarded under 
such transactions to each such consortium; 
and 
‘‘(ii) the total amount awarded under 
such transactions to members who are 
nontraditional defense contractors for each 
such consortium; and 
‘‘(4) for fiscal years 2022 and 2023, a list of 
contractors who have been awarded more than
582 
$20,000,000 under such transactions, including a 
description of each such award, the number of 
awards made, and the total dollar amount award-
ed.’’. 
SEC. 834. STRENGTHENING TRUTHFUL COST OR PRICING 
DATA REQUIREMENTS. 
(a) REQUIRED COST OR PRICING DATA AND CER-
TIFICATION.—Section 3702(a)(1) of title 10, United 
States Code, is amended by striking ‘‘only expected to re-
ceive one bid shall be required’’ and inserting ‘‘only ex-
pected to have one offeror, or for which award of a cost- 
reimbursement contract is contemplated regardless of the 
number of offers received, shall be required’’. 
(b) EXCEPTIONS.—Section 3703(a) of title 10, 
United States Code, is amended— 
(1) in paragraph (1)(A), by striking ‘‘adequate 
competition’’ and all that follows through ‘‘bids’’ and 
inserting ‘‘adequate price competition, except for the 
award of a cost-reimbursement contract, that results 
in at least two responsive and viable competing 
offerors’’; and 
(2) in paragraph (2), by inserting ‘‘based on 
adequate price competition that results in at least 
two responsive and responsible offers’’ after ‘‘com-
mercial service’’.
583 
(c) CONFORMING AMENDMENT RELATED TO CIVIL-
IAN CONTRACTS.—Section 3503(a)(2) of title 41, United 
States Code, is amended by inserting ‘‘based on adequate 
price competition that results in at least two responsive 
and responsible offers’’ after ‘‘commercial service’’. 
Subtitle C—Domestic Sourcing 
Requirements 
SEC. 841. REQUIRE FULL DOMESTIC PRODUCTION OF 
FLAGS OF THE UNITED STATES ACQUIRED BY 
THE DEPARTMENT OF DEFENSE. 
(a) IN GENERAL.—Section 4862 of title 10, United 
States Code, is amended— 
(1) in subsection (b), by adding at the end the 
following new paragraph: 
‘‘(5) A flag of the United States.’’; and 
(2) in subsection (h)— 
(A) in paragraph (1), by striking ‘‘Sub-
section (a)’’ and inserting ‘‘Except with respect 
to purchases of flags of the United States, sub-
section (a)’’; 
(B) by redesignating paragraph (2) as 
paragraph (3); and 
(C) by inserting after paragraph (1) the 
following new paragraph:
584 
‘‘(2)(A)(i) Except as provided by subparagraph 
(B), subsection (a) does not apply to purchases of 
flags of the United States for amounts not greater 
than $10,000. 
‘‘(ii) A proposed procurement in an 
amount greater than $10,000 may not be di-
vided into several purchases or contracts for 
lesser amounts in order to qualify for the excep-
tion under clause (i). 
‘‘(B) The Secretary of Defense may waive sub-
section (a) with respect to a purchase of flags of the 
United States in an amount greater than $10,000 if 
the Secretary of Defense determines such waiver ap-
propriate. 
‘‘(C) This section is applicable to contracts and 
subcontracts for the procurement of flags of the 
United States notwithstanding section 1905 of title 
41.’’. 
(b) APPLICABILITY.—The amendments made by sub-
section (a) shall apply only with respect to agreements en-
tered into on or after the date of the enactment of this 
Act.
585 
SEC. 842. INCLUSION OF TITANIUM POWDER IN DEFINITION 
OF SPECIALTY METALS EXEMPTED FROM 
CERTAIN DOMESTIC SOURCING REQUIRE-
MENTS. 
Section 4863(l)(3) of title 10, United States Code, 
is amended by inserting ‘‘, titanium powder,’’ after ‘‘tita-
nium’’. 
SEC. 843. AMEND REQUIREMENT TO BUY CERTAIN METALS 
FROM AMERICAN SOURCES. 
Section 4863 of title 10, United States Code, as 
amended by section 842, is further amended— 
(1) in subsection (d)— 
(A) in paragraph (1)(B), by striking ‘‘; 
and’’ and inserting a semicolon; 
(B) in paragraph (2), by striking the pe-
riod at the end and inserting ‘‘; and’’; and 
(C) by adding at the end the following new 
paragraph: 
‘‘(3) any specialty metal procured as mill prod-
uct or incorporated into a component other than an 
end item pursuant to this subsection shall be melted 
or produced— 
‘‘(A) in the United States; 
‘‘(B) in the country from which the mill 
product or component is procured; or
586 
‘‘(C) in another country covered under 
subparagraph (1)(B).’’; 
(2) by redesignating subsections (l) and (m) as 
subsections (m) and (n), respectively; and 
(3) by inserting after subsection (k) the fol-
lowing new subsection: 
‘‘(l) PROVENANCE OF AEROSPACE-GRADE METALS.— 
(1) The Secretary of Defense shall require that, for any 
system or component for which the provenance of mate-
rials must be tracked to comply with safety regulations 
concerning flight, the supplier of such system or compo-
nent shall inform the government if any of the materials 
were known to be manufactured or processed in— 
‘‘(A) China; 
‘‘(B) Iran; 
‘‘(C) North Korea; or 
‘‘(D) Russia. 
‘‘(2) Not later than March 31 of each year, the Sec-
retary of Defense shall submit to the congressional defense 
committees a report indicating how much specialty metal 
has been acquired and placed into systems of the Depart-
ment of Defense from the countries described in para-
graph (1).’’.
587 
SEC. 844. MODIFICATION TO MISCELLANEOUS LIMITA-
TIONS ON THE PROCUREMENT OF GOODS 
OTHER THAN UNITED STATES GOODS. 
Section 4864(a)(3) of title 10, United States Code, 
is amended by— 
(1) striking ‘‘large medium-speed diesel en-
gines.’’ and inserting ‘‘the following components:’’; 
and 
(2) adding at the end the following new sub-
paragraphs: 
‘‘(A) Large medium-speed diesel engines. 
‘‘(B) Propulsion system components (in-
cluding reduction gears and propellers). 
‘‘(C) Components (including alternators, 
diesel engines, and steam turbines) used to gen-
erate electricity to power the systems of a vessel 
(excluding propulsion systems).’’. 
SEC. 845. PROCUREMENT OF COVERED HEARING PROTEC-
TION DEVICES. 
(a) IN GENERAL.—The Secretary of Defense, in co-
ordination with the head of the Hearing Center of Excel-
lence (established pursuant to section 721 of the Duncan 
Hunter National Defense Authorization Act for Fiscal 
Year 2009 (Public Law 110-417)), may enter into one or 
more contracts to procure covered hearing protection de-
vices for all members of the Armed Forces.
588 
(b) PRIORITIZATION.—Under a contract described in 
subsection (a), the Secretary shall prioritize award of such 
contract to offerors that— 
(1) are globally headquartered in the conti-
nental United States; 
(2) are majority owned and operated by United 
States citizens. 
(c) DEFINITIONS.—In this section: 
(1) The term ‘‘covered hearing protection de-
vice’’ means a completely in canal active hearing 
protection device— 
(A) that is a commercially available off- 
the-shelf item (as defined in section 104 of title 
41, United States Code); 
(B) with a minimum noise reduction rating 
of 25 decibels and a maximum output not to ex-
ceed 80 decibels; and 
(C) that has been previously identified, 
tested, and qualified by the Hearing Center of 
Excellence for procurement by the Department 
of Defense. 
SEC. 846. SENSE OF CONGRESS RELATING TO RUBBER SUP-
PLY. 
It is the sense of Congress that the Department of 
Defense should take all appropriate action to lessen our
589 
military’s dependence on adversarial nations for the pro-
curement of strategic and critical materials, and that one 
such material in short supply according to the most recent 
report from Defense Logistics Agency Strategic Material 
is natural rubber, undermining our national security and 
jeopardizing the military’s ability to rely on a stable source 
of natural rubber for tire manufacturing and production 
of other goods. Accordingly, the Secretary is directed to 
take all appropriate action, pursuant with the authority 
provided by the Strategic and Critical Materials Stock Pil-
ing Act (50 U.S.C. 98a et seq.), to engage in activities 
that may include stockpiling, but shall also include re-
search and development aspects for increasing the domes-
tic supply of natural rubber. 
Subtitle D—Provisions Relating to 
Programs for Accelerating Ac-
quisition 
SEC. 851. PILOT PROGRAM FOR RECURRING AWARDS FOR 
PRODUCTION, INVESTMENT, AND DEPLOY-
MENT THROUGH COMPETITIONS. 
(a) ESTABLISHMENT.—The Secretary of Defense 
shall establish a pilot program to acquire through repeated 
competition attritable systems that solve urgent oper-
ational needs in order to incentivize sustainable produc-
tion, rapid deployment, and iterative improvements.
590 
(b) COMPETITIONS.— 
(1) IN
GENERAL.—Under the pilot program, 
competition managers shall, in accordance with this 
subsection, conduct competitions with respect to ur-
gent operational needs under which the competition 
managers shall rapidly solicit, evaluate, and select 
proposed solutions. 
(2) REQUIREMENTS AND DESIGN.— 
(A) STAKEHOLDER
PARTICIPATION.—The 
Secretary shall ensure that each competition 
conducted under the pilot program is aligned 
with an operational priority of one or more 
combatant commands, and that the relevant 
combatant commanders have an opportunity to 
participate in the design of the competition and 
the evaluation criteria to be used. 
(B) 
OPERATIONAL
NEED
DETERMINA-
TION.—Competitions conducted under this pilot 
program shall address urgent operational needs 
as defined by the Secretary, in consultation 
with the Chairman of the Joint Chiefs of Staff 
and, as determined appropriate by the Sec-
retary, Defense Agencies (as defined in section 
101(a) of title 10, United States Code), the
591 
military services, and entities in the private sec-
tor. 
(C) TIMING.—The Secretary shall ensure 
that each competition is executed to facilitate 
the award of a production contract or agree-
ment not later than 15 days after completion of 
the competition. 
(D) COMPETITION
FOCUS.—Competition 
managers shall employ evaluation and selection 
processes that emphasizes effectiveness, trans-
parency, and speed to deploy when conducting 
competitions under the pilot program. 
(E) TECHNOLOGY
LEVEL
FOCUS.—Com-
petitions conducted under the pilot program 
shall focus on proposed solutions at technology 
readiness levels equal to or more advanced than 
levels corresponding to Technology Readiness 
Level 7 or Technology Readiness Level 8. 
(F) INAPPLICABILITY OF JOINT CAPABILI-
TIES INTEGRATION AND DEVELOPMENT SYSTEM 
MANUAL.—Competitions conducted under the 
pilot program shall not be subject to the Joint 
Capabilities Integration and Development Sys-
tem Manual.
592 
(3) SELECTION.—When conducting a competi-
tion under the pilot program, the competition man-
ager shall select the best solution for the relevant ur-
gent operational need. 
(4) REPEATED COMPETITION.— 
(A) IN GENERAL.—Not later than 2 years 
after a competition under the pilot program 
with respect to an urgent operational need, a 
subsequent competition shall be conduct with 
respect to such urgent operational need unless 
the Secretary determines that a subsequent 
competition with respect to such urgent oper-
ational need is unwarranted and submits to the 
relevant committees a written justification for 
such determination. 
(B) TIMING.—The Secretary shall consider 
the nature of each relevant urgent operational 
need and the circumstances of performance and 
production that resulted from the initial or pre-
ceding competition when determining the timing 
of a subsequent competition under subpara-
graph (A). 
(5) INITIAL COMPETITIONS.— 
(A) IN GENERAL.—The first two competi-
tions carried out the pilot program must be
593 
with respect to solving one of the following ur-
gent operational need: 
(i) Short-range air defense. 
(ii) Tactical precision strike. 
(B) INITIAL COMPETITION CRITERIA.—In 
addition to any other criteria for the selection 
of a proposed solution under this section, a pro-
posed solution to either of the first two com-
petitions carried out under the pilot program 
must demonstrate an ability— 
(i) to offer multiple kinetic or non-ki-
netic effects options; 
(ii) to identify individual threats or 
groups of threats and, in each case, to 
track, target, and deploy effects options to 
engage those threats; 
(iii) to provide material benefits to the 
Department of Defense, including cost sav-
ings or more effective use of personnel; 
(iv) in the case of a competition seek-
ing to address the urgent operational need 
described in subparagraph (A)(i)— 
(I) to destroy, neutralize, or 
deter low altitude air threats;
594 
(II) to defend fixed and semi- 
fixed assets; and 
(III) to maneuver forces; and 
(v) in the case of a competition seek-
ing to address the urgent operational need 
described in subparagraph (A)(ii)— 
(I) to engage targets at ranges of 
20 to 100 miles; and 
(II) to provide surface-to-surface 
effects launched from and targeted at 
ground-based, sea-based, or littoral lo-
cations. 
(6) COMPETITION
LIMIT.—Not more than 8 
competitions per year may be carried out under the 
pilot program. 
(c) AWARDS.— 
(1) IN
GENERAL.—The winning offeror of a 
successful competition shall be awarded a contract 
or other agreement, including a transaction other 
than a contract, cooperative agreement, or grant, 
under which the Department of Defense, or relevant 
component thereof, may acquire the proposed solu-
tion of such winning offeror for such competition.
595 
(2) DESIGN AND TERMS.—Except as provided 
in this section, a contract or other agreement award-
ed under this subsection shall— 
(A) be designed to enable the proposed so-
lution to be produced or provided at a scale and 
on a timeline that maximizes the likelihood of 
that the solutions will successfully address the 
urgent operational challenge; 
(B) prioritize speed to award; 
(C) provide for subsequent competitions in 
accordance with this section; and 
(D) limit terms and conditions to those re-
quired by law. 
(3) MINIMUM AWARD AMOUNT.—Subject to the 
availability of appropriations, the total amount of 
funding provided for an award under this subsection 
shall not be less than $50,000,000, unless the Sec-
retary or the Secretary’s designee approves a lesser 
amount of funding and certifies to the relevant com-
mittees that such lesser amount is sufficient to ad-
dress the relevant urgent operational need and meet 
the general and specific characteristics applicable to 
the competition. 
(4) MULTIPLE AWARDS.—If more than one of-
feror meets the objectives of the competition, more
596 
than one contract or other agreement may be award-
ed, as determined appropriate by the Secretary. 
(5) AUTHORITIES.—Except as waived under 
subsection (i), a contract or other agreement may be 
awarded under this subsection consistent with the 
applicable authorities in sections 4021, 4022, and 
4023 of title 10, United States Code, except that 
paragraph (d)(1) of such section 4022 shall not 
apply. 
(d) COMPETITION MANAGERS.— 
(1) DESIGNATION.—The Secretary shall des-
ignate a competition manager for each competition 
carried out under the pilot program. 
(2) OVERSIGHT.— 
(A) IN GENERAL.—Except as provided in 
subparagraph (B), the Secretary shall directly 
oversee each competition manager with respect 
to carrying out competitions under the pilot 
program. 
(B) DELEGATION.—The Secretary may 
delegate the authority for overseeing competi-
tion managers under subparagraph (A) to the 
Deputy Secretary of Defense. 
(3) DUTIES.—
597 
(A) PRIMARY DUTY.—The Secretary shall 
ensure that the primary official duties of each 
competition manager shall be conducting com-
petitions, the resulting contracting actions, and 
any subsequent competitions. 
(B) ADDITIONAL DUTIES.—The Secretary 
may define additional duties to maximize the 
ability of competition managers to coordinate 
with a military service, Defense Agency (as de-
fined in section 101(a) of title 10, United 
States Code), or combatant command to ensure 
the operational success of the competitions. 
(4) QUALIFICATIONS.— 
(A) EXPERTISE.—The Secretary shall en-
sure that each competition manager has appro-
priate expertise in the specific focus areas of 
the competition which such competition will be 
conducting and on the defense acquisition sys-
tem. 
(B) ELIGIBLE INDIVIDUALS.—Competition 
managers may be— 
(i) civilian officers or employees in a 
Senior Executive Service, Senior-Level, or 
scientific or professional position; or
598 
(ii) members of the armed forces in a 
grade at or above O–6. 
(5) AUTHORITIES.— 
(A) The Secretary shall ensure that com-
petition managers have the authorities required, 
including supervisory authority over contracting 
personnel who may be assigned to report to the 
competition managers, to facilitate the award of 
contracts or agreements under subsection (c) to 
the winning offerors of the competitions. 
(B) Except where the authority of the Sec-
retary is explicitly non-delegable by statute, the 
Secretary is authorized to delegate to competi-
tion managers any authorities required to carry 
out this section, including the waiver authority 
described in subsection (i), provided that the 
Secretary submits to the relevant committees a 
notice of such delegations in writing. 
(e) FUNDING TRANSFERS.— 
(1) IN GENERAL.—In any fiscal year in which 
the Secretary of Defense conducts competitions 
under the pilot program, the Secretary may use cov-
ered funds available to the Department of Defense 
to acquire and deploy the proposed solutions selected 
pursuant to such competitions if the Secretary sub-
599 
mits to the relevant committees within 10 days a 
written finding that the use of such funds is nec-
essary to address in a timely manner the relevant 
urgent operational need for such a competition. 
(2) MAXIMUM
USE
AMOUNT.—The covered 
funds used under the authority provided by this sub-
section may not exceed $200,000,000 in any fiscal 
year. 
(3) COVERED FUNDS DEFINED.—In this sub-
section, the term ‘‘covered funds’’ means— 
(A) with respect to the initial competitions 
required by subsection (b), funds provided for 
short-range air defense and tactical precision 
strike; 
(B) with respect to all other competitions, 
funds provided for the capabilities related to the 
urgent operational need or needs associated 
with such competitions; or 
(C) funds available to the Department 
under the authorities and constraints of chapter 
253 of title 10, United States Code. 
(f) BUDGETING.—Subject to the availability of appro-
priations, the Secretary shall ensure that efforts to facili-
tate each competition, to include funding for the award 
of production contracts or agreements upon successful
600 
completion of a competition, are included in the annual 
budget request submitted under section 1105 of title 31, 
United States Code, during each year of the pilot program 
and the future-years defense program under section 221 
of title 10, United States Code. 
(g) GUIDANCE REQUIRED.— 
(1) DEADLINE.—Not later than 90 days after 
the date of enactment of this Act, the Secretary 
shall issue guidance for the carrying out the pilot 
program. 
(2) ELEMENTS.—The guidance required by 
paragraph (1) shall include the following: 
(A) Metrics for the design, timing, and or-
ganization of competitions under the pilot pro-
gram. 
(B) Opportunities for soliciting and incor-
porating inputs from combatant commanders, 
Defense Agencies (as defined in section 101(a) 
of title 10, United States Code), military serv-
ices, and private sector entities. 
(C) A process for the general conduct of 
competitions under the pilot program, including 
merit-based selection criteria for selecting the 
most efficient and effective solutions, and proce-
dures to provide as much transparency as prac-
601 
ticable to offerors, government agencies, and 
the public. 
(D) Procedures to minimize the time be-
tween the completion of a competition under 
the pilot program and the award of a produc-
tion or service contract to the winning offeror. 
(E) Procedures to ensure that the goods or 
services from the winning offeror of each com-
petition under the pilot program are acquired 
and fielded as quickly as possible, with a goal 
of awarding a contract or other agreement 
under subsection (c) for the acquisition of such 
goods or services within 15 days. 
(F) Procedures to include funding required 
for the efficient and rapid procurement of the 
goods or services from winning offerors of com-
petitions under the pilot program as part of the 
annual Program Objective Memorandum and 
budget request process. 
(h) OVERSIGHT.— 
(1) BIANNUAL
BRIEFINGS.—Not later than 
March 1 and September 1 of each year beginning 
after the date of enactment of this Act, and con-
tinuing until September 1, 2029, the Secretary shall 
brief the relevant committees on each competition
602 
under the pilot program that is planned, underway, 
or completed. 
(2) ELEMENTS.—Each briefing required under 
paragraph (1) shall include the following: 
(A) The guidance issued pursuant to this 
section. 
(B) A description of how the authorities 
have been used, including the metrics used for, 
testing, evaluation, selection, and frequency of 
re-competitions. 
(C) Accomplishments from and challenges 
to using the authorities under section. 
(D) Recommendations for legislative or 
regulatory changes to the authority under this 
section to promote efficient and effective acqui-
sition of capabilities. 
(3) UNCLASSIFIED FORMAT.—Each briefing re-
quired by paragraph (1) shall be in an unclassified 
format but may contain classified annexes. 
(i) WAIVER OF ACQUISITION PROVISIONS.—In con-
nection with exercising the authority of this section, the 
Secretary may waive the application of any provision of 
acquisition law or regulation to the same extent as allowed 
by the authority provided in chapter 253 of title 10, 
United States Code.
603 
(j) CONTINUOUS IMPROVEMENT.—Nothing in this 
section shall preclude an winning offeror from improving 
the quality or quantity of goods or services supplied pursu-
ant to a competition, if the winning offeror can do so in 
compliance with the terms of such contract or other agree-
ment and the amount of funding provided. 
(k) DEFINITIONS.—In this section: 
(1) 
ATTRITABLE
SYSTEM.—The 
term 
‘‘attritable system’’ means systems, including un-
manned systems, that are— 
(A) purpose-designed and potentially reus-
able; 
(B) suitable for integration by digital 
means; and 
(C) affordable to allow risk of loss. 
(2) PILOT
PROGRAM.—The term ‘‘pilot pro-
gram’’ means the pilot program established under 
subsection (a). 
(3) RELEVANT COMMITTEES.—The term ‘‘rel-
evant committees’’ means the Committees on Armed 
Services of the Senate and the House of Representa-
tives and the Subcommittees on Defense of the Com-
mittees on Appropriations of the Senate and the 
House of Representatives.
604 
(4) RELEVANT URGENT OPERATIONAL NEED.— 
The term ‘‘relevant urgent operational need’’ means, 
with respect to a competition, the urgent operational 
need with respect to which such competition is being 
conducted. 
(5) SECRETARY.—The term ‘‘Secretary’’ means 
the Secretary of Defense. 
(6) WINNING
OFFEROR.—The term ‘‘winning 
offeror’’ means, with respect to a competition under 
the pilot program, an individual or entity awarded a 
contract or other agreement under subsection (c). 
(l) TERMINATION.—The authority under this section 
to carry out the pilot program shall terminate on Decem-
ber 31, 2028. 
SEC. 852. DEMONSTRATION AND PROTOTYPING PROGRAM 
TO ADVANCE INTERNATIONAL PRODUCT SUP-
PORT CAPABILITIES IN A CONTESTED LOGIS-
TICS ENVIRONMENT. 
(a) CONTESTED LOGISTICS DEMONSTRATION
AND 
PROTOTYPING PROGRAM REQUIRED.—The Secretary of 
Defense shall establish a contested logistics demonstration 
and prototyping program to identify, develop, dem-
onstrate, and field capabilities for product support in 
order to reduce or mitigate the risks associated with oper-
ations in a contested logistics environment.
605 
(b) PURPOSE.—In carrying out the Program, the 
Secretary shall do the following: 
(1) Identify ways to leverage the inherent inter-
operability, commonality, and interchangeability of 
platforms and information systems operated by the 
United States and one or more covered nations, in-
cluding to enable effective maintenance and repair 
activities in a contested logistics environment. 
(2) Determine, develop, or establish best prac-
tices to reduce time needed to return repaired equip-
ment to service. 
(3) Identify, develop, demonstrate, and field ef-
fective and efficient means of conducting repairs of 
equipment in theater away from permanent repair 
facilities. 
(4) Explore flexible approaches to contracting 
and use of partnership agreements to enable use or 
development of the capabilities of covered product 
support providers to effectively, efficiently, and time-
ly satisfy the product support requirements of com-
bat command and covered nation in a contested lo-
gistics environment. 
(5) Identify the resources, including any addi-
tional authorizations, that the Department of De-
fense requires to reduce or mitigate the risks associ-
606 
ated with operations in a contested logistics environ-
ment. 
(6) Identify and document impediments to the 
performance of product support in contested 
logistical environments by covered product support 
providers, including impediments created by statute, 
regulation, policy, agency guidance, or limitations on 
expenditure, transfer, or receipt of funds for product 
support in contested logistics environments. 
(7) Identify and document any statutory or reg-
ulatory waivers or exemptions that may be applica-
ble or necessary to enable the United States and 
covered nations to jointly carry out product support 
activities in contested logistics environments located 
outside of the territory of the United States, includ-
ing, for each such waiver and exemption— 
(A) the office or individual responsible for 
requesting such waiver or exemption; 
(B) the criteria for approval of such waiver 
or exemption; and 
(C) the individual or entity responsible for 
approving such waiver or exemption. 
(c) ADVANCE PLANNING AND PREPARATION.—The 
Secretary may establish a product support agreements 
with a covered product support provider to enable a rapid
607 
response in a contingency operation (as defined in section 
101(a) of title 10, United States Code) to the product sup-
port requirements of such contingency operation. 
(d) AUTHORITIES.—In carrying out the Program, the 
Secretary may, in accordance with section 2753 of title 
22, United States Code, use the authorities under sections 
2342, 2474, 3601, 4021, and 4022 of title 10, United 
States Code, including the authorities related to use of 
Other Transaction Authorities for prototype projects pro-
vided by section 843 of the James M. Inhofe National De-
fense Authorization Act for Fiscal Year 2023 (Public Law 
117-263). 
(e) REPORT.—Not later than 30 months after the 
date of enactment of this Act, the Secretary shall submit 
to the Congress a report summarizing the activities under-
taken in accordance with this section, including— 
(1) any recommendations to reduce impedi-
ments to meeting the requirements of combatant 
command or covered nation for product support in 
a contested logistics environment; 
(2) a summary of impediments identified under 
subsection (b)(7) and specific recommendations for 
necessary changes to statutory, regulatory, policy, 
agency guidance, or current limitations on expendi-
ture, transfer, or receipt of funds to carry out the
608 
product support activities under this pilot indefi-
nitely; 
(3) a summary of waivers or exemptions identi-
fied under subsection (b)(8), along with any rec-
ommendations for changes to the processes for ob-
taining such waivers or exemptions; and 
(4) recommendations for improving the Pro-
gram, including whether to expand the list of cov-
ered nations. 
(f) DEVELOPMENT AND PROMULGATION OF DEPART-
MENT OF DEFENSE GUIDANCE.—Not later than 180 days 
after the date of enactment of this Act, the Secretary shall 
develop and promulgate guidance implementing the Pro-
gram. 
(g) SUNSET.—The authority under this section shall 
terminate on the date that is 3 years after the date of 
the enactment of this Act. 
(h) DEFINITIONS.—In this section: 
(1) CONTESTED
LOGISTICS
ENVIRONMENT.— 
The term ‘‘contested logistics environment’’ has the 
meaning given such term in section 2926 of title 10, 
United States Code. 
(2) COVERED
NATIONS.—The term ‘‘covered 
nation’’ means— 
(A) Australia;
609 
(B) Canada; 
(C) New Zealand; or 
(D) United Kingdom of Great Britain and 
Northern Ireland. 
(3) COVERED PRODUCT SUPPORT PROVIDER.— 
The term ‘‘covered product support provider’’ means 
an entity that provides product support. 
(4) PRODUCT SUPPORT; PRODUCT SUPPORT IN-
TEGRATOR.—The terms ‘‘product support’’ and 
‘‘product support integrator’’ have the meanings 
given such terms, respectively, in section 4324 of 
title 10, United States Code. 
(5) PRODUCT
SUPPORT
ARRANGEMENT.—The 
term ‘‘product support arrangement’’ means a con-
tract, task order, or any other type of agreement or 
arrangement, between the United States and a cov-
ered nation for the performance of sustainment or 
logistics support required for a platform or informa-
tion system operated by the United States and such 
covered nation, or a subsystems or components of 
such a platform or information system, including 
any agreement or arrangement for the following with 
respect to such a platform, information system, sub-
system, or component: 
(A) Performance-based logistics.
610 
(B) Sustainment support. 
(C) Contractor logistics support. 
(D) Life-cycle product support. 
(E) Weapon system product support. 
(6) PROGRAM.—The term ‘‘Program’’ means 
the demonstration and prototyping program estab-
lished under subsection (a). 
(7) SECRETARY.—The term ‘‘Secretary’’ means 
the Secretary of Defense. 
SEC. 853. DEFENSE INDUSTRIAL BASE ADVANCED CAPA-
BILITIES PILOT PROGRAM. 
(a) ESTABLISHMENT.— 
(1) IN GENERAL.—The Under Secretary of De-
fense for Acquisition and Sustainment shall carry 
out a public-private partnership pilot program to ac-
celerate the scaling, production, and acquisition of 
advanced capabilities for national security by cre-
ating incentives for investment in domestic small 
businesses or nontraditional businesses to create a 
robust and resilient defense industrial base. 
(2) GOALS.—The goals of the public-private 
partnership pilot program are as follows: 
(A) To bolster the defense industrial base 
through acquisition and deployment of ad-
vanced capabilities necessary to field Depart-
611 
ment of Defense modernization programs and 
priorities. 
(B) To strengthen domestic defense supply 
chain resilience and capacity by investing in in-
novative defense companies. 
(C) To leverage private equity capital to 
accelerate domestic defense scaling, production, 
and manufacturing. 
(b) PUBLIC-PRIVATE PARTNERSHIPS.— 
(1) IN GENERAL.—In carrying out subsection 
(a), the Under Secretary shall enter into public-pri-
vate partnerships, consistent with the phased imple-
mentation provided for in subsection (e), with for- 
profit persons using the criteria set forth in para-
graph (2). 
(2) CRITERIA.—The criteria referred to in 
paragraph (1) shall include the following: 
(A) The person shall be independent. 
(B) The person shall be free from foreign 
oversight, control, influence, or beneficial own-
ership. 
(C) The person shall have commercial pri-
vate equity fund experience in the defense and 
commercial sectors.
612 
(D) The person shall be eligible for access 
to classified information (as defined in the pro-
cedures established pursuant to section 801(a) 
of the National Security Act of 1947 (50 
U.S.C. 3161(a))). 
(3) OPERATING AGREEMENT.—The Under Sec-
retary and a person or persons with whom the 
Under Secretary enters a partnership under para-
graph (1) shall enter into an operating agreement 
that sets forth the roles, responsibilities, authorities, 
reporting requirements, and governance framework 
for the partnership and its operations. 
(c) INVESTMENT OF EQUITY.— 
(1) IN GENERAL.—Pursuant to public-private 
partnerships entered into under subsection (b), a 
person or persons with whom the Under Secretary 
has entered into a partnership shall invest equity in 
domestic small businesses or nontraditional busi-
nesses consistent with subsection (a), with invest-
ments selected based on technical merit, economic 
value, and the Department’s modernization prior-
ities. 
(2) AUTHORITIES.—A person or persons de-
scribed in paragraph (1) shall have sole authority to 
operate, manage, and invest.
613 
(d) LOAN GUARANTEE.— 
(1) IN GENERAL.—The Under Secretary shall 
provide an up to 80 percent loan guarantee, pursu-
ant to the public-private partnerships entered into 
under subsection (b), with investment of equity that 
qualifies under subsection (c) and consistent with 
the goals set forth under subsection (a)(2). 
(2) PILOT
PROGRAM
AUTHORITY.—The tem-
porary loan guarantee authority described under 
paragraph (1) is exclusively for the public-private 
partnerships authorized under this section and may 
not be utilized for other programs or purposes. 
(3) SUBJECT
TO
OPERATING
AGREEMENT.— 
The loan guarantee under paragraph (1) shall be 
subject to the operating agreement entered into 
under subsection (b)(3). 
(4) USE OF FUNDS.—Obligations incurred by 
the Under Secretary under this paragraph shall be 
subject to the availability of funds provided in ad-
vance specifically for the purpose of such loan guar-
antees. 
(e) PHASED IMPLEMENTATION SCHEDULE AND RE-
QUIRED REPORTS AND BRIEFINGS.—The program estab-
lished under subsection (a) shall be carried out in two 
phases as follows:
614 
(1) PHASE 1.— 
(A) IN GENERAL.—Phase 1 shall consist of 
an initial pilot program with one public-private 
partnership, consistent with subsection (b), to 
assess the feasibility and advisability of expand-
ing the scope of the program. The Under Sec-
retary shall begin implementation of phase 1 
not later than 180 days after the date of the 
enactment of this Act. 
(B) IMPLEMENTATION
SCHEDULE
AND 
FRAMEWORK.—Not later than 90 days after the 
date of the enactment of this Act, the Secretary 
shall submit an implementation plan to the con-
gressional defense committees on the design of 
phase 1. The plan shall include— 
(i) an overview of, and the activities 
undertaken, to execute the public-private 
partnership; 
(ii) a description of the advanced ca-
pabilities and defense industrial base areas 
under consideration for investment; and 
(iii) implementation milestones and 
metrics. 
(C) REPORT AND BRIEFING REQUIRED.— 
Not later than 27 months after the date of the
615 
enactment of this Act, the Secretary shall pro-
vide to the congressional defense committees a 
report and briefing on the implementation of 
this section and the feasibility and advisability 
of expanding the scope of the pilot program. 
The report and briefing shall include, at min-
imum— 
(i) an overview of program perform-
ance, and implementation and execution 
milestones and outcomes; 
(ii) an overview of progress in— 
(I) achieving new products in 
production aligned with Department 
of Defense needs; 
(II) scaling businesses aligned to 
targeted industrial base and capability 
areas; 
(III) generating defense indus-
trial base job growth; 
(IV) increasing supply chain re-
silience and capacity; and 
(V) enhancing competition on ad-
vanced capability programs; and 
(iii) an accounting of activities under-
taken and outline of the opportunities and
616 
benefits of expanding the scope of the pilot 
program. 
(2) PHASE 2.— 
(A) IN
GENERAL.—Not later than 30 
months after the date of the enactment of this 
Act, the Secretary may expand the scope of the 
phase 1 pilot program with the ability to in-
crease to not more than three public-private 
partnerships, consistent with subsection (b). 
(B) REPORT AND BRIEFING REQUIRED.— 
Not later than five years after the date of the 
enactment of this Act, the Secretary shall pro-
vide to the congressional defense committees a 
report and briefing on the outcomes of the pilot 
program under subsection (a), including the ele-
ments described in paragraph (1)(C), and the 
feasibility and advisability of making the pro-
gram permanent. 
(f) TERMINATION.—The authority to enter into an 
agreement to carry out the pilot program under subsection 
(a) shall terminate on the date that is five years after the 
date of the enactment of this Act. 
(g) DEFINITIONS.—In this section: 
(1) CONGRESSIONAL DEFENSE COMMITTEES.— 
The term ‘‘congressional defense committees’’ has
617 
the meaning given the term in section 101(a)(16) of 
title 10, United States Code. 
(2) DOMESTIC BUSINESS.—The term ‘‘domestic 
business’’ has the meaning given the term ‘‘U.S. 
business’’ in section 800.252 of title 31, Code of 
Federal Regulations, or successor regulation. 
(3) DOMESTIC
SMALL
BUSINESSES
OR
NON-
TRADITIONAL
BUSINESSES.—The term ‘‘domestic 
small businesses or nontraditional businesses’’ 
means— 
(A) a small business that is a domestic 
business; or 
(B) a nontraditional business that is a do-
mestic business. 
(4) FREE
FROM
FOREIGN
OVERSIGHT, CON-
TROL, INFLUENCE, OR BENEFICIAL OWNERSHIP.— 
The term ‘‘free from foreign oversight, control, influ-
ence, or beneficial ownership’’, with respect to a per-
son, means a person who has not raised and man-
aged capital from a person or entity that is not 
trusted and who is otherwise free from foreign over-
sight, control, influence, or beneficial ownership. 
(5) INDEPENDENT.—The term ‘‘independent’’, 
with respect to a person, means a person who lacks 
a conflict of interest accomplished by not having en-
618 
tity or manager affiliation or ownership with an ex-
isting fund. 
(6) NONTRADITIONAL
BUSINESS.—The term 
‘‘nontraditional business’’ has the meaning given the 
term ‘‘nontraditional defense contractor’’ in section 
3014 of title 10, United States Code. 
(7) SMALL BUSINESS.—The term ‘‘small busi-
ness’’ has the meaning given the term ‘‘small busi-
ness concern’’ in section 3 of the Small Business Act 
(15 U.S.C. 632). 
Subtitle E—Industrial Base Matters 
SEC. 861. ADDITIONAL NATIONAL SECURITY OBJECTIVES 
FOR THE NATIONAL TECHNOLOGY AND IN-
DUSTRIAL BASE. 
Section 4811(a) of title 10, United States Code, is 
amended by adding at the end the following new para-
graph: 
‘‘(12) Reducing, to the maximum extent prac-
ticable, the reliance of the Department of Defense 
on services, supplies, or materials from potential ad-
versaries.’’.
619 
SEC. 862. USE OF INDUSTRIAL BASE FUND FOR SUPPORT 
FOR THE WORKFORCE FOR LARGE SURFACE 
COMBATANTS. 
Section 4817(d) of title 10, United States Code, is 
amended— 
(1) in paragraph (3), by striking ‘‘and’’ at the 
end; 
(2) in paragraph (4), by striking the period and 
inserting ‘‘; and’’; and 
(3) by adding at the end the following new 
paragraph: 
‘‘(5) to provide support for the recruitment, 
training, and retention of the workforce for large 
surface combatants.’’. 
SEC. 863. REDESIGNATION OF INDUSTRIAL BASE FUND AS 
INDUSTRIAL BASE AND OPERATIONAL INFRA-
STRUCTURE FUND; ADDITIONAL USES. 
Section 4817 of title 10, United States Code, is 
amended— 
(1) in the section heading, by inserting ‘‘and 
Operational Infrastructure’’ after ‘‘Indus-
trial Base’’; 
(2) in subsection (a), by inserting ‘‘and Oper-
ational Infrastructure’’ after ‘‘Industrial Base’’;
620 
(3) in subsection (b), by striking ‘‘, acting 
through the Deputy Assistant Secretary of Defense 
for Manufacturing and Industrial Base Policy’’; and 
(4) in subsection (d)— 
(A) in paragraph (4), as amended by sec-
tion 862, by striking ‘‘and’’ at the end; 
(B) in paragraph (5), as added by section 
862, by striking the period at the end and in-
serting a semicolon; and 
(C) by adding at the end the following new 
paragraphs: 
‘‘(6) to acquire— 
‘‘(A) strategic and critical materials for the 
National Defense Stockpile; and 
‘‘(B) munitions for the armed forces; 
‘‘(7) to provide and expedite infrastructure 
projects critical to operational readiness within pri-
ority theaters as determined by the Secretary, con-
sistent with the national defense strategy required 
under section 113(g) of this title; and 
‘‘(8) to acquire and deploy capabilities and pro-
totypes developed under the authorities of section 
3601 of title 10, section 804 of the National Defense 
Authorization Act for Fiscal Year 2016 (10 U.S.C. 
3201 note prec.), and any other alternative acquisi-
621 
tion pathway or mechanism designed to deploy oper-
ational capabilities and operational prototypes for 
defense purposes within five years.’’. 
SEC. 864. MODIFICATIONS TO THE PROCUREMENT TECH-
NICAL ASSISTANCE COOPERATIVE AGREE-
MENT PROGRAM. 
(a) MODIFICATION TO DEFINITION OF ELIGIBLE EN-
TITY.—Section 4951(1) of title 10, United States Code, 
is amended— 
(1) in subparagraph (C), by striking ‘‘private’’; 
(2) by redesignating subparagraph (D) as sub-
paragraph (E); and 
(3) by inserting after subparagraph (C) the fol-
lowing new subparagraph: 
‘‘(D) An institution of higher education, as 
defined in section 101 of the Higher Education 
Act of 1965 (20 U.S.C. 1001).’’. 
(b) DEFINITION
OF BUSINESS ENTITY.—Section 
4951 of title 10, United States Code, is amended by add-
ing at the end the following new paragraph: 
‘‘(5) BUSINESS
ENTITY.—The term ‘business 
entity’ means a corporation, association, partnership, 
limited liability company, limited liability partner-
ship, consortia, nonprofit organization, or other legal 
entity.’’.
622 
(c) COOPERATIVE AGREEMENTS.—Section 4954(c) of 
title 10, United States Code, is amended to read as fol-
lows: 
‘‘(c) WAIVER.—The Secretary may waive or modify 
the percentages in subsection (b) on a case-by-case 
basis.’’. 
(d) FUNDING.—Section 4955 of title 10, United 
States Code, is amended by adding at the end the fol-
lowing new subsection: 
‘‘(e) FUNDING.—The Secretary of Defense may only 
use amounts appropriated under this chapter for the exe-
cution and administration of this chapter.’’. 
SEC. 865. MODIFICATION TO PROCUREMENT REQUIRE-
MENTS RELATING TO RARE EARTH ELE-
MENTS AND STRATEGIC AND CRITICAL MATE-
RIALS. 
(a) MODIFICATION REGARDING ADVANCED BAT-
TERIES
IN DISCLOSURES CONCERNING RARE EARTH 
ELEMENTS AND STRATEGIC AND CRITICAL MATERIALS 
BY CONTRACTORS OF DEPARTMENT OF DEFENSE.—Sec-
tion 857 of the James M. Inhofe National Defense Au-
thorization Act for Fiscal Year 2023 (Public Law 117– 
263; 136 Stat. 2727; 10 U.S.C. 4811 note) is amended— 
(1) in subsection (a)— 
(A) in paragraph (1)(A)—
623 
(i) by striking ‘‘permanent magnet’’ 
and inserting ‘‘permanent magnet, or an 
advanced battery or advanced battery com-
ponent (as those terms are defined, respec-
tively, in section 40207(a) of the Infra-
structure Investment and Jobs Act (42 
U.S.C. 18741(a))),’’; and 
(ii) by striking ‘‘of the magnet’’ and 
inserting ‘‘of the magnet, the advanced 
battery, or the advanced battery compo-
nent (as applicable)’’; and 
(B) in paragraph (2), by amending to read 
as follows: 
‘‘(2) ELEMENTS.—A disclosure under para-
graph (1) with respect to a system described in that 
paragraph shall include— 
‘‘(A) if the system includes a permanent 
magnet, an identification of the country or 
countries in which— 
‘‘(i) any rare earth elements and stra-
tegic and critical materials used in the 
magnet were mined; 
‘‘(ii) such elements and materials were 
refined into oxides;
624 
‘‘(iii) such elements and materials 
were made into metals and alloys; and 
‘‘(iv) the magnet was sintered or 
bonded and magnetized; and 
‘‘(B) if the system includes an advanced 
battery or an advanced battery component, an 
identification of the country or countries in 
which— 
‘‘(i) any strategic and critical mate-
rials that are covered minerals used in the 
battery or component were mined; 
‘‘(ii) any strategic and critical mate-
rials that are covered minerals used in the 
battery or component were refined, proc-
essed, or reprocessed; 
‘‘(iii) any strategic and critical mate-
rials that are covered minerals and that 
were manufactured into the battery or 
component; and 
‘‘(iv) the battery cell, module, and 
pack of the battery or component were 
manufactured and assembled.’’; and 
(2) by amending subsection (d) to read as fol-
lows: 
‘‘(d) DEFINITIONS.—In this section:
625 
‘‘(1) The term ‘strategic and critical materials’ 
means materials designated as strategic and critical 
under section 3(a) of the Strategic and Critical Ma-
terials Stock Piling Act (50 U.S.C. 98b(a)). 
‘‘(2) The term ‘covered minerals’ means lith-
ium, nickel, cobalt, manganese, and graphite.’’. 
(b) TECHNICAL AMENDMENTS.—Subsection (a) of 
such section 857 is further amended— 
(1) in paragraph (3), by striking ‘‘provides the 
system’’ and inserting ‘‘provides the system as de-
scribed in paragraph (1)’’; and 
(2) in paragraph (4)(C), by striking ‘‘a senior 
acquisition executive’’ and inserting ‘‘a service acqui-
sition executive’’. 
SEC. 866. SECURING MARITIME DATA FROM CHINA. 
(a) COUNTERING THE SPREAD OF COVERED LOGIS-
TICS SOFTWARE.— 
(1) CONTRACTING PROHIBITION.— 
(A) IN GENERAL.—The Department of De-
fense may not enter into a contract with an en-
tity that uses covered logistics software. 
(B) APPLICABILITY.—This paragraph shall 
apply with respect to any contract entered into 
on or after the date that is 180 days after the 
enactment of this subsection.
626 
(2) WAIVER.—The Secretary of Defense may 
waive the provisions of this subsection for a specific 
contract— 
(A) if the Secretary makes a determination 
that such waiver is vital to the national security 
of the United States; and 
(B) submits to Congress a report justifying 
the use of such waiver and the importance of 
such waiver to the national security of the 
United States. 
(3) REPORT.—Not later than one year after the 
date of the enactment of this subsection, and annu-
ally for three subsequent years, the Secretary of De-
fense shall submit to Congress a report on the im-
plementation of this subsection. 
(b) POLICY WITH RESPECT TO PORTS ACCEPTING 
FEDERAL GRANT MONEY.— 
(1) IN
GENERAL.—Chapter 503 of title 46, 
United States Code, is amended by adding at the 
end the following: 
‘‘§ 50309. Prohibited use 
‘‘(a) IN GENERAL.—A covered port authority may 
not use covered logistics software. 
‘‘(b) GUIDANCE.—The Secretary of Transportation, 
in consultation with the Secretary of Defense, shall pub-
627 
lish on a website of the Department of Transportation, 
and update regularly, a list of entities subject to the prohi-
bition in subsection (a). 
‘‘(c) CONSULTATION.—The Secretary of Transpor-
tation shall consult with the Department of State in car-
rying out this section. 
‘‘(d) WAIVER.—The Secretary of Transportation, in 
consultation with the Secretary of State, may waive the 
provisions of this section for a specific contract— 
‘‘(A) if the Secretary of Transportation 
makes a determination that such waiver is vital 
to the national security of the United States; 
and 
‘‘(B) submits to Congress a report justi-
fying the use of such waiver and the importance 
of such waiver to the national security of the 
United States. 
‘‘(a) DEFINITIONS.—In this section: 
‘‘(1) COVERED
LOGISTICS
SOFTWARE.—The 
term ‘covered logistics software’ means— 
‘‘(A) the public, open, shared logistics in-
formation network known as the National Pub-
lic Information Platform for Transportation 
and Logistics by the Ministry of Transport of 
China or any affiliate or successor entity;
628 
‘‘(B) any other transportation logistics 
software designed to be used by port authorities 
subject to the jurisdiction, ownership, direction, 
or control of a foreign adversary; or 
‘‘(C) any other logistics platform or soft-
ware that shares data with a system described 
in subparagraphs (A) or (B). 
‘‘(2) COVERED
PORT
AUTHORITY.—The term 
‘covered port authority’ means a port authority that 
receives funding under a program authorized under 
part C of this subtitle.’’ 
(2) APPLICABILITY.—Section 50309 of title 46, 
United States Code, as added by paragraph (1), 
shall apply with respect to any contract entered into 
on or after the date that is 180 days after the enact-
ment of this subsection. 
(3) REPORTING.—Not later than one year after 
the date of the enactment of this subsection, and an-
nually for three subsequent years, the Secretary of 
Transportation shall submit to Congress a report on 
the implementation of section 50309 of title 46, 
United States Code, as added by paragraph (1). 
(c) NEGOTIATIONS WITH ALLIES AND PARTNERS.— 
(1) NEGOTIATIONS REQUIRED.—The Secretary 
of State shall seek to enter into negotiations with
629 
United States ally and partner countries, including 
those described in paragraph (3), if the President 
determines that ports or other entities operating 
within the jurisdiction of such ally or partner coun-
tries are using or are considering using covered lo-
gistics software. 
(2) ELEMENTS.—As part of the negotiations 
described in paragraph (1), the President shall— 
(A) urge governments of such ally and 
partner countries to require entities within the 
jurisdiction of such governments to terminate 
the use of covered logistics software; 
(B) describe the threats posed by covered 
logistics software to United States military and 
strategic interests and the implications such 
threats may have for the presence of members 
of the Armed Forces of the United States in 
such countries; 
(C) urge governments to use their voice, 
influence, and vote to align with the United 
States and to counter attempts by foreign ad-
versaries at international standards-setting bod-
ies to adopt standards that incorporate covered 
logistics software; and
630 
(D) attempt to establish, through multilat-
eral entities, bilateral or multilateral negotia-
tions, military cooperation, and other relevant 
engagements or agreements, a prohibition on 
the use of covered logistics software. 
(3) ALLIES AND PARTNERS DESCRIBED.—The 
countries and entities with which the President shall 
conduct negotiations described in this subsection 
shall include— 
(A) all countries party to a collective de-
fense treaty or other collective defense arrange-
ment with the United States; 
(B) India; and 
(C) Taiwan. 
(4) REPORT.—Not later than one year after the 
date of the enactment of this subsection, the Sec-
retary of State shall submit a report to the appro-
priate congressional committees describing— 
(A) the efforts made by the United States 
Government as of the date of the submission of 
the report in the negotiations described in this 
subsection; and 
(B) the actions taken by the governments 
of ally and partner countries pursuant to the
631 
negotiation priorities described in this sub-
section. 
(d) DEFINITIONS.—In this section: 
(1) APPROPRIATE
CONGRESSIONAL
COMMIT-
TEES.—The term ‘‘appropriate congressional com-
mittees’’ means— 
(A) the Committees on Armed Services, 
Foreign Affairs, and Transportation and Infra-
structure of the House of Representatives; and 
(B) The Committees on Armed Services, 
Foreign Relations, and Commerce, Science, and 
Transportation, and Armed Services of the Sen-
ate. 
(2) COVERED LOGISTICS SOFTWARE.—The term 
‘‘covered logistics software’’ means— 
(A) the public, open, shared logistics infor-
mation network known as the National Public 
Information Platform for Transportation and 
Logistics by the Ministry of Transport of China 
or any affiliate or successor entity; 
(B) any other transportation logistics soft-
ware designed to be used by port authorities 
subject to the jurisdiction, ownership, direction, 
or control of a foreign adversary; or
632 
(C) any other logistics platform or soft-
ware that shares data with a system described 
in subparagraphs (A) or (B). 
(3) FOREIGN ADVERSARY.—The term ‘‘foreign 
adversary’’ means— 
(A) the People’s Republic of China, includ-
ing the Hong Kong and Macau Special Admin-
istrative Regions; 
(B) the Republic of Cuba; 
(C) the Islamic Republic of Iran; 
(D) the Democratic People’s Republic of 
Korea; 
(E) the Russian Federation; and 
(F) the Bolivarian Republic of Venezuela 
under the regime of Nicola´s Maduro Moros. 
SEC. 867. PILOT PROGRAM FOR ANALYZING AND CONTIN-
UOUS MONITORING OF KEY SUPPLY CHAINS. 
(a) IN GENERAL.—Not later than 90 days after the 
date of the enactment of this Act, the Secretary of De-
fense, acting through the Under Secretary of Defense for 
Acquisition and Sustainment and in coordination with the 
Commander of the United States Indo-Pacific Command 
and the Secretary of each military department, shall es-
tablish a pilot program under which a private entity 
shall—
633 
(1) monitor the supply chains for the covered 
weapons platforms; and 
(2) analyze the supply chains of the defense in-
dustrial base for potential issues and vulnerabilities 
and opportunities for improvement. 
(b) MONITORING ENTITY.— 
(1) SELECTION.—The Under Secretary of De-
fense for Acquisition and Sustainment shall select a 
private entity to carry out the monitoring and anal-
ysis of supply chains under the pilot program estab-
lished under subsection (a). 
(2) SUPPLY
CHAIN
MONITORING
AND
ANAL-
YSIS.— 
(A) IN GENERAL.—The monitoring entity 
shall, using the information made available to 
the monitoring entity under subparagraph (B) 
and such other information as may be avail-
able— 
(i) continuously monitor the supply 
chains for covered weapons platforms, in-
cluding each entity involved in such supply 
chain, 
for 
potential 
issues 
and 
vulnerabilities, including issues related to 
the security and capacity of any such sup-
634 
ply chain, and opportunities for improve-
ment; and 
(ii) regularly analyze the supply 
chains of the defense industrial base for 
potential issues and opportunities for im-
provement. 
(B) AGENCY COOPERATION.—The Depart-
ment of Defense shall make available to the 
monitoring entity all information held by the 
Department or available to the Department 
from contractors providing goods or services to 
the Department relating to the supply chains of 
such contractors, except that the Department 
shall not make available such information as 
the Secretary of Defense determines appro-
priate. 
(C) SAFEGUARDING
INFORMATION.—The 
Secretary of Defense shall require the moni-
toring entity to take such steps as are reason-
ably necessary to protect any confidential, pro-
prietary, or sensitive information. 
(D) ISSUE REPORTING.— 
(i) IN GENERAL.—The monitoring en-
tity shall report to the Secretary concerned 
issues and vulnerabilities identified pursu-
635 
ant to monitoring under subparagraph 
(A)(i). 
(ii) VALIDATION.—The monitoring en-
tity shall use a process to report issues and 
vulnerabilities identified pursuant to moni-
toring under subparagraph (A)(i) that in-
volves manual validation of such issues and 
vulnerabilities and other activities designed 
to— 
(I) prevent members of the acqui-
sition workforce (as such term is de-
fined in section 101(a) of title 10, 
United States Code) from becoming 
desensitized 
to 
such 
issues 
and 
vulnerabilities; and 
(II) avoid providing an excessive 
or unmanageable number of alerts re-
garding 
such 
issues 
and 
vulnerabilities. 
(3) QUARTERLY REPORTS.—Not less than 90 
days after the establishment of the pilot program, 
and every 90 days thereafter, the monitoring entity 
shall submit to the Under Secretary of Defense for 
Acquisition and Sustainment a report on the issues, 
vulnerabilities, and opportunities identified by the
636 
monitoring entity pursuant under the pilot program, 
including— 
(A) a list of the vulnerabilities of the sup-
ply chains for covered weapons platforms, cat-
egorized by severity; and 
(B) for each vulnerability described in sub-
paragraph (A), a description of such vulner-
ability, whether such vulnerability has been re-
solved, and, if resolved, the time from identi-
fication to resolution. 
(c) CONGRESSIONAL REPORTS.—Not later than 180 
days after the date of the enactment of this Act, each Sec-
retary concerned shall submit to the congressional defense 
committees (as defined in section 101(a) of title 10, 
United States Code) a report containing— 
(1) a list of the vulnerabilities of the supply 
chains for covered weapons platforms identified 
under the pilot program, categorized by severity; 
(2) for each vulnerability described in subpara-
graph (A), a description of such vulnerability, 
whether such vulnerability has been resolved, and, if 
resolved, the time from identification to resolution; 
(3) an assessment of any legal authorities that 
are needed to continuously monitor the supply 
chains for all major defense acquisition programs (as
637 
such term is defined in section 4201 of title 10, 
United States Code) in a manner similar to the 
monitoring of supply chains for covered weapons 
platforms under the pilot program; 
(4) an assessment of the costs avoided by the 
identification of issues and vulnerabilities to supply 
chains under the pilot program prior such issues and 
vulnerabilities affecting the supply chains. 
(d) TERMINATION DATE.—The authority under this 
section shall terminate on the date that is one year after 
the date of the enactment of this Act. 
(e) DEFINITIONS.—In this section: 
(1) COVERED
WEAPONS
PLATFORMS.—The 
term ‘‘covered weapons platforms’’ means weapons 
platforms identified in the reports submitted under 
section 1251(d)(1) of the William M. (Mac) Thorn-
berry National Defense Authorization Act for Fiscal 
Year 2021 (10 U.S.C. 113 note). 
(2) MONITORING
ENTITY.—The term ‘‘moni-
toring entity’’ means the entity that is operating 
under an agreement with the Secretary of Defense 
to carry out the monitoring and analysis of supply 
chains under the pilot program pursuant to a selec-
tion under subsection (b)(1).
638 
(3) PILOT
PROGRAM.—The term ‘‘pilot pro-
gram’’ means the pilot program established under 
subsection (a). 
(4) SECRETARY CONCERNED.—The term ‘‘Sec-
retary concerned’’ has the meaning given such term 
in section 101(a) of title 10, United States Code. 
SEC. 868. STUDY AND REPORT ON COUNTRY OF ORIGIN OF 
END ITEMS AND COMPONENTS PROCURED BY 
DEPARTMENT OF DEFENSE. 
(a) STUDY.—The Comptroller General of the United 
States shall conduct a study to identify the degree to 
which the Department of Defense is dependent on entities 
located in foreign countries for the procurement of certain 
end items and components. 
(b) REPORT.— 
(1) IN
GENERAL.—Not later than 6 months 
after the date of the enactment of this section, the 
Comptroller General of the United States shall sub-
mit to the Committees on Armed Services of the 
Senate and the House of Representatives a report 
detailing the findings of the study described in sub-
section (a). 
(2) ELEMENTS.—The report described in para-
graph (1) shall contain the following:
639 
(A) A description of the extent to which 
the procurement processes of the Department 
of Defense allow for the determination of the 
country of origin of the end items and compo-
nents studied under subsection (a). 
(B) Descriptions of the vulnerabilities in 
the supply chains for end items and components 
and the countries from which such end items 
and components are procured. 
(C) Recommendations for legislative or ad-
ministrative action to address the vulnerabilities 
described in subparagraph (B), including plans 
for alternative supply chains or alternative 
countries from which to procure end items and 
components. 
(c) DEFINITIONS.—In this section: 
(1) COMPONENT.—The term ‘‘component’’ has 
the meaning given the term in section 3011 of title 
10, United States Code. 
(2) END ITEM.—The term ‘‘end item’’ has the 
meaning given the term in section 4863(n) of title 
10, United States Code.
640 
SEC. 869. ENHANCED DOMESTIC CONTENT REQUIREMENT 
FOR MAJOR DEFENSE ACQUISITION PRO-
GRAMS. 
(a) ASSESSMENT REQUIRED.— 
(1) IN
GENERAL.—Not later than one year 
after the date of the enactment of this Act, the Sec-
retary of Defense shall submit to the congressional 
defense committees a report assessing the domestic 
source content of procurements carried out in con-
nection with a major defense acquisition program. 
(2) INFORMATION REPOSITORY.—The Secretary 
of Defense shall establish an information repository 
for the collection and analysis of information related 
to domestic source content for products the Sec-
retary deems critical, where such information can be 
used for continuous data analysis and program man-
agement activities. 
(b) ENHANCED
DOMESTIC
CONTENT
REQUIRE-
MENT.— 
(1) IN GENERAL.—Except as provided in para-
graph (2), for purposes of chapter 83 of title 41, 
United States Code, manufactured articles, mate-
rials, or supplies procured in connection with a 
major defense acquisition program are manufactured 
substantially all from articles, materials, or supplies 
mined, produced, or manufactured in the United
641 
States if the cost of such component articles, mate-
rials, or supplies— 
(A) supplied not later than the date of the 
enactment of this Act, exceeds 60 percent of 
cost of the manufactured articles, materials, or 
supplies procured; 
(B) supplied during the period beginning 
January 1, 2024, and ending December 31, 
2028, exceeds 65 percent of the cost of the 
manufactured articles, materials, or supplies; 
and 
(C) supplied on or after January 1, 2029, 
exceeds 75 percent of the cost of the manufac-
tured articles, materials, or supplies. 
(2) EXCLUSION FOR CERTAIN MANUFACTURED 
ARTICLES.—Paragraph (1) shall not apply to manu-
factured articles that consist wholly or predomi-
nantly of iron, steel, or a combination of iron and 
steel. 
(3) RULEMAKING
TO
CREATE
A
FALLBACK 
THRESHOLD.— 
(A) IN
GENERAL.—Not later than 180 
days after the date of the enactment of this 
Act, the Secretary of Defense shall issue rules 
to determine the treatment of the lowest price
642 
offered for a foreign end product for which 55 
percent or more of the component articles, ma-
terials, or supplies of such foreign end product 
are manufactured substantially all from articles, 
materials, or supplies mined, produced, or man-
ufactured in the United States if— 
(i) the application paragraph (1) re-
sults in an unreasonable cost; or 
(ii) no offers are submitted to supply 
manufactured articles, materials, or sup-
plies manufactured substantially all from 
articles, materials, or supplies mined, pro-
duced, or manufactured in the United 
States. 
(B) TERMINATION.—Rules issued under 
this paragraph shall cease to have force or ef-
fect on January 1, 2031. 
(4) APPLICABILITY.—The requirements of this 
subsection— 
(A) shall apply to contracts entered into on 
or after the date of the enactment of this Act; 
(B) shall not apply to articles manufac-
tured in countries that have executed a recip-
rocal defense procurement memorandum of un-
derstanding with the United States entered into
643 
pursuant to section 4851 of title 10, United 
States Code; and 
(C) shall not apply to a country that is a 
member of the national technology and indus-
trial base (as defined by section 4801 of title 
10, United States Code). 
(c) MAJOR DEFENSE ACQUISITION PROGRAM DE-
FINED.—The term ‘‘major defense acquisition program’’ 
has the meaning given in section 4201 of title 10, United 
States Code. 
SEC. 870. REPORT ON COMPETITION AND EQUIPMENT RE-
PAIR. 
(a) SENSE OF CONGRESS.—It is the sense of Con-
gress that it is integral that the military be able to fix 
its own equipment, and that efforts deliberately designed 
to prevent the military end user from fixing equipment 
in the field harm our nation’s military readiness. 
(b) REPORT AND PLAN.—The Secretary of Defense 
shall submit to the Chair of the White House Competition 
Council the report required under clause (iii) of section 
5(s) of Executive Order 14036 titled ‘‘Executive Order on 
Promoting Competition in the American Economy’’.
644 
SEC. 871. REPORT ON THE UNITED STATES DEFENSE AND 
TECHNOLOGICAL INDUSTRIAL BASE. 
(a) IN GENERAL.—Not later than 180 days after the 
date of enactment of this Act, the Secretary of Defense 
shall submit to the congressional defense committees a re-
port containing— 
(1) an assessment of the extent to which the in-
efficiencies and inadequacies of the defense and 
technological industrial base impede the timely pro-
duction and delivery of air and missile defense com-
ponents to the allies and partners of the United 
States located in the area of responsibility of the 
United States Central Command; 
(2) an assessment of the ongoing efforts of the 
Department of Defense and other Federal agencies 
to remedy inefficiencies and inadequacies described 
in paragraph (1); and 
(3) a strategy for addressing the inefficiencies 
or inadequacies described in paragraph (1), includ-
ing an evaluation of the benefits of procuring the 
components described in such paragraph from and 
industrial cooperation with allies and partners of the 
United States located outside the area of responsi-
bility of the United States Central Command.
645 
(b) FORM.—The report required by subsection (a) 
shall be in an unclassified form but may contain a classi-
fied annex. 
SEC. 872. OFFICE OF STRATEGIC CAPITAL CHINESE COM-
PANY INVESTMENT PROHIBITION. 
Beginning on the date of the enactment of this Act, 
the Office of Strategic Capital in the Office of the Under 
Secretary of Defense for Research and Engineering may 
not invest in or guarantee or otherwise facilitate any in-
vestment in any entity— 
(1) incorporated under the laws of the People’s 
Republic of China; or 
(2) of which more than 50 percent is owned, di-
rectly or indirectly, by— 
(A) citizens of the People’s Republic of 
China; 
(B) entities incorporated under the laws of 
the People’s Republic of China; or 
(C) any combination of the individuals and 
entities described in subparagraphs (A) and 
(B). 
SEC. 873. REPORT ON DEFENSE INDUSTRIAL BASE COM-
PETITION. 
Not later than two years after the date of enactment 
of this Act, the Comptroller General of the United States
646 
shall submit to the congressional defense committees a re-
port containing— 
(1) an evaluation of the consolidation within the 
defense industrial base and how such consolidation 
affects the ability of the Department of Defense to 
procure goods at competitive and market equivalent 
prices; 
(2) an analysis of the state of competition with-
in the defense industrial base, including an overview 
of the sizes, as measured by factors including num-
ber of employees, facilities, and contracts with the 
Department of Defense, and market shares of con-
tractors that currently hold a contract with the De-
partment of Defense; and 
(3) an assessment of the economic and national 
security effects of anticompetitive behavior in the de-
fense industrial base. 
Subtitle F—Small Business Matters 
SEC. 881 ENTREPRENEURIAL INNOVATION PROJECT DES-
IGNATIONS. 
(a) IN GENERAL.— 
(1) DESIGNATING
CERTAIN
SBIR
AND
STTR 
PROGRAMS
AS
ENTREPRENEURIAL
INNOVATION 
PROJECTS.—Chapter 303 of title 10, United States
647 
Code, is amended by inserting after section 4067 the 
following new section: 
‘‘§ 4068. Entrepreneurial Innovation Project designa-
tions 
‘‘(a) IN GENERAL.—During the first fiscal year be-
ginning after the date of the enactment of this section, 
and during each subsequent fiscal year, each Secretary 
concerned, in consultation with the each chief of an armed 
force under the jurisdiction of the Secretary concerned, 
shall designate not less than five eligible programs as En-
trepreneurial Innovation Projects. 
‘‘(b) APPLICATION.—An eligible program seeking 
designation as an Entrepreneurial Innovation Project 
under this section shall submit to the Secretary concerned 
an application at such time, in such manner, and con-
taining such information as the Secretary concerned deter-
mines appropriate. 
‘‘(c) DESIGNATION CRITERIA.—In making designa-
tions under subsection (a), the Secretary concerned shall 
consider— 
‘‘(1) the potential of the eligible program to— 
‘‘(A) advance the national security capa-
bilities of the United States; 
‘‘(B) provide new technologies or proc-
esses, or new applications of existing tech-
648 
nologies, that will enable new alternatives to ex-
isting programs; and 
‘‘(C) provide future cost savings; 
‘‘(2) whether an advisory panel has rec-
ommended the eligible program for designation; and 
‘‘(3) such other criteria that the Secretary con-
cerned determines to be appropriate. 
‘‘(d) DESIGNATION BENEFITS.— 
‘‘(1) FUTURE
YEARS
DEFENSE
PROGRAM
IN-
CLUSION.—With respect to each designated pro-
gram, the Secretary of Defense shall include in the 
next future-years defense program the estimated ex-
penditures of such designated program. In the pre-
ceding sentence, the term ‘next future-years defense 
program’ means the future-years defense program 
submitted to Congress under section 221 of this title 
after the date on which such designated program is 
designated under subsection (a). 
‘‘(2) PROGRAMMING
PROPOSAL.—Each des-
ignated program shall be included by the Secretary 
concerned under a separate heading in any program-
ming proposals submitted to the Secretary of De-
fense. 
‘‘(3) PPBE 
COMPONENT.—Each designated 
program shall be considered by the Secretary con-
649 
cerned as an integral part of the planning, program-
ming, budgeting, and execution process of the De-
partment of Defense. 
‘‘(e) ENTREPRENEURIAL
INNOVATION
ADVISORY 
PANELS.— 
‘‘(1) ESTABLISHMENT.—For each military de-
partment, the Secretary concerned shall establish an 
advisory panel that, starting in the first fiscal year 
beginning after the date of the enactment of this 
section, and in each subsequent fiscal year, shall 
identify and recommend to the Secretary concerned 
for designation under subsection (a) eligible pro-
grams based on the criteria described in subsection 
(c)(1). 
‘‘(2) MEMBERSHIP.— 
‘‘(A) COMPOSITION.— 
‘‘(i) IN
GENERAL.—Each advisory 
panel shall be composed of four members 
appointed by the Secretary concerned and 
one member appointed by the chief of the 
relevant armed force under the jurisdiction 
of the Secretary concerned. 
‘‘(ii) SECRETARY
CONCERNED
AP-
POINTMENTS.—The Secretary concerned
650 
shall appoint members to the advisory 
panel as follows: 
‘‘(I) Three members who— 
‘‘(aa) have experience with 
private sector entrepreneurial in-
novation, including development 
and implementation of such inno-
vations into well established mar-
kets; and 
‘‘(bb) are not employed by 
the Federal Government. 
‘‘(II) One member who is in the 
Senior Executive Service in the acqui-
sition workforce (as defined in section 
1705 of this title) of the relevant mili-
tary department. 
‘‘(iii) 
SERVICE
CHIEF
APPOINT-
MENT.—The chief of an armed force under 
the jurisdiction of the Secretary concerned 
shall appoint to the advisory panel one 
member who is a member of such armed 
forces. 
‘‘(B) TERMS.— 
‘‘(i) PRIVATE
SECTOR
MEMBERS.— 
Members 
described 
in 
subparagraph
651 
(A)(ii)(I) shall serve for a term of three 
years, except that of the members first ap-
pointed— 
‘‘(I) one shall serve a term of one 
year; 
‘‘(II) one shall serve a term of 
two years; and 
‘‘(III) one shall serve a term of 
three years. 
‘‘(ii) FEDERAL
GOVERNMENT
EM-
PLOYEES.—Members described in clause 
(ii)(II) or (iii) of subparagraph (A) shall 
serve for a term of two years, except that 
the first member appointed under subpara-
graph (A)(iii) shall serve for a term of one 
year. 
‘‘(C) CHAIR.—The chair for each advisory 
panel shall be as follows: 
‘‘(i) For the first year of operation of 
each such advisory panel, and every other 
year thereafter, the member appointed 
under subparagraph (A)(iii). 
‘‘(ii) For the second year of operation 
of each such advisory panel, and every
652 
other year thereafter, the member ap-
pointed under subparagraph (A)(ii)(II). 
‘‘(D) VACANCIES.—A vacancy in an advi-
sory panel shall be filled in the same manner as 
the original appointment. 
‘‘(E) CONFLICT OF INTEREST.—Members 
and staff of each advisory panel shall disclose 
to the relevant Secretary concerned, and such 
Secretary concerned shall mitigate to the extent 
practicable, any professional or organizational 
conflict of interest of such members or staff 
arising from service on the advisory panel. 
‘‘(F) COMPENSATION.— 
‘‘(i) PRIVATE SECTOR MEMBER COM-
PENSATION.—Except as provided in clause 
(ii), members of an advisory panel, and the 
support staff of such members, shall be 
compensated at a rate determined reason-
able by the Secretary concerned and shall 
be reimbursed in accordance with section 
5703 of title 5 for reasonable travel costs 
and expenses incurred in performing duties 
as members of an advisory panel. 
‘‘(ii) PROHIBITION ON COMPENSATION 
OF FEDERAL EMPLOYEES.—Members of an
653 
advisory panel who are full-time officers or 
employees of the United States or Mem-
bers of Congress may not receive addi-
tional pay, allowances, or benefits by rea-
son of their service on an advisory panel. 
‘‘(3) SELECTION PROCESS.— 
‘‘(A) INITIAL SELECTION.—Each advisory 
panel shall select not less than ten eligible pro-
grams that have submitted an application under 
subsection (b). 
‘‘(B) PROGRAM PLANS.— 
‘‘(i) IN GENERAL.—Each eligible pro-
gram selected under subparagraph (A) 
may submit to the advisory panel that se-
lected such eligible program a program 
plan containing the five-year goals, execu-
tion plans, schedules, and funding needs of 
such eligible program. 
‘‘(ii) SUPPORT.—Each Secretary con-
cerned shall, to the greatest extent prac-
ticable, provide eligible programs selected 
under subparagraph (A) with access to in-
formation to support the development of 
the program plans described in clause (i).
654 
‘‘(C) FINAL
SELECTION.—Each advisory 
panel shall recommend to the Secretary con-
cerned for designation under subsection (a) not 
less than five eligible programs that submitted 
a program plan under subparagraph (B) to 
such advisory panel. If there are less than five 
such eligible programs, such advisory panel may 
recommend to the Secretary concerned for des-
ignation under subsection (a) less than five 
such eligible programs. 
‘‘(4) ADMINISTRATIVE
AND
TECHNICAL
SUP-
PORT.—The Secretary concerned shall provide the 
relevant advisory panel with such administrative 
support, staff, and technical assistance as the Sec-
retary concerned determines necessary for such advi-
sory panel to carry out it duties. 
‘‘(5) FUNDING.—The Secretary of Defense may 
use amounts available from the Department of De-
fense Acquisition Workforce Development Account 
established under section 1705 of this title to sup-
port the activities of advisory panels. 
‘‘(f) REVOCATION
OF DESIGNATION.—If the Sec-
retary concerned determines that a designated program 
cannot reasonably meet the objectives of such designated 
program in the relevant programming proposal referred
655 
to in subsection (d)(2) or such objectives are irrelevant, 
such Secretary concerned may revoke the designation. 
‘‘(g) REPORT TO CONGRESS.—The Secretary of De-
fense shall submit to Congress an annual report describing 
each designated program and the progress each designated 
program has made toward achieving the objectives of the 
designated program. 
‘‘(h) DEFINITIONS.—In this section: 
‘‘(1) ADVISORY
PANEL.—The term ‘advisory 
panel’ means an advisory panel established under 
subsection (e)(1). 
‘‘(2) DESIGNATED PROGRAM.—The term ‘des-
ignated program’ means an eligible program that 
has been designated as an Entrepreneurial Innova-
tion Project under this section. 
‘‘(3) ELIGIBLE PROGRAM.—The term ‘eligible 
program’ means work performed pursuant to a 
Phase III agreement (as such term is defined in sec-
tion 9(r)(2) of the Small Business Act (15 U.S.C. 
638(r)(2))).’’. 
(2) TARGET CHAPTER TABLE OF SECTIONS.— 
The table of sections at the beginning of chapter 
303 of title 10, United States Code, is amended by 
inserting after the item related to section 4067 the 
following new item: 
‘‘4068. Entrepreneurial Innovation Project designations.’’.
656 
(b) ESTABLISHMENT DEADLINE.—Not later than 
120 days after the date of the enactment of this Act, the 
Secretaries of each military department shall establish the 
advisory panels described in section 4068(e) of title 10, 
United States Code, as added by subsection (a). 
SEC. 882. EXTENSION AND MODIFICATION OF DOMESTIC IN-
VESTMENT PILOT PROGRAM. 
Section 884 of the National Defense Authorization 
Act for Fiscal Year 2020 (Public Law 116-92; 15 U.S.C. 
638 note) is amended— 
(1) in subsection (a), by striking ‘‘Not later 
than 1 year after the date of the enactment of this 
Act’’ and inserting ‘‘Not later than October 1, 
2023’’; 
(2) in subsection (c)— 
(A) by striking ‘‘Secretary of Defense may 
not use’’ and inserting the following: ‘‘Secretary 
of Defense— 
‘‘(1) may not use’’; 
(B) in paragraph (1), as so designated, by 
striking 
‘‘STTR 
program.’’ 
and 
inserting 
‘‘STTR program; and’’; and 
(C) by adding at the end the following new 
paragraph:
657 
‘‘(2) shall ensure that such program complies 
with the requirements of a due diligence program es-
tablished under subsection (vv) of the Small Busi-
ness Act (15 U.S.C. 638(vv)).’’; and 
(3) in subsection (f), by striking ‘‘September 
30, 2022’’ and inserting ‘‘September 30, 2027’’. 
SEC. 883. STUDY AND REPORT ON THE EXPANSION OF THE 
STRATEGIC FUNDING INCREASE PROGRAM 
OF THE AIR FORCE. 
(a) FEASIBILITY STUDY.—The Secretary of Defense 
shall direct the heads of the offices responsible for car-
rying out the Small Business Innovation Research Pro-
grams of the Army, Navy, and Marine Corps to jointly 
conduct a study on the feasibility of implementing a cov-
ered program. 
(b) REPORT.— 
(1) IN
GENERAL.—Not later than 180 days 
after the date of the enactment of this Act, the Sec-
retary shall submit to the congressional defense com-
mittees a report containing the results of the study 
required by subsection (a). 
(2) ELEMENTS.—The report required by para-
graph (1) shall include the following: 
(A) Funding levels required to successfully 
execute covered program.
658 
(B) The effect that a covered program 
might have on the Small Business Innovation 
Research Programs of the Army, Navy, and 
Marine Corps, including effect on the number 
of Phase I and Phase II awards made under 
Small Business Innovation Research Program if 
a covered program was carried out. 
(C) Any additional authorities required to 
establish and carry out a covered program. 
(c) DEFINITIONS.—In this section: 
(1) The term ‘‘covered program’’ means a pro-
gram similar to the STRATFI program that pro-
vides funds to support small business concerns pre-
paring to seek a Phase III award with respect to a 
project or technology for which such small business 
concern received a Phase II award. 
(2) The terms ‘‘Phase I’’, ‘‘Phase II’’, and 
‘‘Small Business Innovation Research Program’’, 
have the meanings given, respectively, in section 9(e) 
of the Small Business Act (15 U.S.C. 638(e)). 
(3) The term ‘‘small business concern’’ has the 
meaning given under section 3 of the Small Business 
Act (15 U.S.C. 632). 
(4) The term ‘‘STRATFI program’’ refers to 
the Strategic Funding Increase program of the Air
659 
Force that provides funds to assist small business 
concerns with securing a Phase III agreement (as 
such term is defined in section 9(r)(2) of the Small 
Business Act (15 U.S.C. 5 638(r)(2))). 
SEC. 884. CONSIDERATION OF PAST PERFORMANCE OF AF-
FILIATES OF SMALL BUSINESS CONCERNS. 
Not later than July 1, 2024, the Secretary of Defense 
shall amend section 215.305 of the Department of De-
fense Supplement to the Federal Acquisition Regulation 
(or any successor regulation) to— 
(1) require that when evaluating a bid from a 
small business concern (as defined under section 3 
of the Small Business Act (15 U.S.C. 632)) for a 
Department of Defense contract, the contracting of-
ficer for such contract shall consider the past per-
formance information of affiliates of such concern as 
the past performance of such concern; and 
(2) ensure that only past performance informa-
tion of such affiliates during the nine-year period 
preceding the date on which such concern submitted 
a bid described in paragraph (1) is considered as 
past performance of such concern.
660 
SEC. 885. REPORT ON THE AIR FORCE FIRST LOOK PRO-
GRAM AND THE ARMY FIRST STOP PROGRAM. 
(a) REPORT REQUIRED.—Not later than March 1, 
2024, the Secretary of Defense shall submit to the Com-
mittees on Armed Services of the Senate and the House 
of Representatives a report analyzing the initiatives of the 
Air Force First Look Program and the Army First Stop 
Program. 
(b) ELEMENTS.—The report required under sub-
section (a) shall include the following: 
(1) An analysis of the objectives of and results 
achieved by the Air Force First Look Program and 
the Army First Stop Program. 
(2) A description of criteria for participation in 
such Programs, including a description of contracts 
or other agreements relating to such participation. 
(3) An analysis of the costs and benefits of par-
ticipation in such Programs for all relevant parties. 
(4) A description of the geographic and organi-
zational scope of such Programs, including eligibility 
criteria, communication of opportunities to partici-
pate in such Programs, and implementation of such 
Programs. 
(5) An analysis of available data for fiscal years 
2021 through 2023 on the effectiveness of such Pro-
grams.
661 
(6) An analysis of spending under such Pro-
grams 
for 
fiscal 
years 
2021 
through 
2023, 
disaggregated by— 
(A) element of the Department of Defense 
(as described in section 111(b) of title 10, 
United States Code); 
(B) military installation; 
(C) whether or not a business entity par-
ticipating in the program is a small business 
concern; and 
(D) with respect to small business concern 
participants, the North American Industrial 
Classification System code of such concern. 
(7) A description of any initiatives at other ele-
ments of the Department similar to such Programs, 
including the number of military installations at 
which such initiatives are operating and a descrip-
tion of any training offered to participants in such 
initiatives on the use of a purchase card of the De-
partment of Defense. 
(8) With respect to commercial e-commerce por-
tal providers participating in such Programs, a de-
scription of— 
(A) how such providers, in coordination 
with commanders of military installations, pro-
662 
vide outreach and education to small business 
concerns on participation in such Programs; 
(B) the use of regulatory compliance proto-
cols, including compliance with part 8 of the 
Federal Acquisition Regulation (relating to 
‘‘Required sources of supplies and services’’); 
(C) spending under such Programs for fis-
cal years 2021 through 2023, including— 
(i) the number of unique small busi-
ness concerns using the commercial e-com-
merce portal of the provider under such 
Programs; 
(ii) the North American Industrial 
Classification System code of such con-
cerns; and 
(iii) the product or service purchased 
by each such concern and the cost of each 
such product or service; and 
(D) the use of discounts or other incentives 
by such provider to encourage participation in 
such Programs. 
(9) Participation rates in such Programs by 
small business concerns, disaggregated by military 
installation and North American Industrial Classi-
fication System code of such concerns.
663 
(10) Recommendations for legislative or admin-
istrative action, including a description of the re-
sources required, to improve and expand such Pro-
grams. 
(c) DEFINITIONS.—In this section: 
(1) The term ‘‘Air Force First Look Program’’ 
means the program of the Department of the Air 
Force that allow. users of a purchase card of the 
Department of Defense to purchase products from a 
commercial e-commerce portal in an amount less 
than the micro-purchase threshold using such card. 
(2) The term ‘‘Army First Stop Program’’ 
means the program of the Department of the Army 
that allow. users of a purchase card of the Depart-
ment of Defense to purchase products from a com-
mercial e-commerce portal in an amount less than 
the micro-purchase threshold using such card. 
(3) The term ‘‘commercial e-commerce portal’’ 
has the meaning given in section 846 of the Na-
tional Defense Authorization Act for Fiscal Year 
2018 (41 U.S.C. 1901 note). 
(4) The term ‘‘small business concern’’ has the 
meaning given under section 3 of the Small Business 
Act (15 U.S.C. 632).
664 
SEC. 886. MODIFICATION TO PILOT PROGRAM TO ACCEL-
ERATE DEPARTMENT OF DEFENSE SBIR AND 
STTR AWARDS. 
Section 9(hh)(2) of the Small Business Act (15 
U.S.C. 638(hh)(2)) is amended by inserting ‘‘and each 
Secretary of a military department’’ before ‘‘shall estab-
lish’’. 
SEC. 887. BRIEFING ON THE IMPLEMENTATION OF CAT-
EGORY MANAGEMENT MEMORANDUM. 
(a) BRIEFING REQUIRED.—Not later than 120 days 
after the date of the enactment of this Act, and annually 
thereafter, the Under Secretary of Defense for Acquisition 
and Sustainment and the Director of the Office of Small 
Business Programs of the Department of Defense shall 
jointly provide to the appropriate congressional commit-
tees a briefing on the implementation of the memorandum 
by the Under Secretary of Defense for Acquisition and 
Sustainment entitled ‘‘Achieving Small Business Goals 
through Category Management Practices’’ and dated Jan-
uary 27, 2023. 
(b) CONTENTS.—Each briefing required under sub-
section (a) shall include the following: 
(1) The effects of the implementation of the 
memorandum described in subsection (a) on con-
tracting opportunities for small businesses.
665 
(2) The tools and data analysis that are being 
used to support small business concerns in procure-
ment decisions to increase small business opportuni-
ties. 
(3) The strategic efforts that have been taken 
to achieve the small business participation goals of 
the Department of Defense through the use of exist-
ing and open market contracts to reach a mix of 
new entrants, seasoned 8(a) companies, and other 
small disadvantaged businesses. 
(4) The opportunities that have been identified 
to transition from bundled or consolidated contracts 
without small business participation to contracts 
with small business participation or to use small 
business set-aside competition. 
(5) The metrics the Department of Defense has 
established to measure the effects of the implemen-
tation of the memorandum described in subsection 
(a) on opportunities for small businesses to contract 
with the Department. 
(6) The success stories of small business par-
ticipation with the Department of Defense that the 
Department has identified and is sharing in industry 
engagements.
666 
(7) The sufficiency of the educational resources 
identified in the memorandum described in sub-
section (a). 
(8) Any recommendations on additional steps 
the Department of Defense can take to maximize 
small business participation with the Department 
through category management practices. 
(c) APPROPRIATE CONGRESSIONAL COMMITTEES DE-
FINED.—In this section, the term ‘‘appropriate congres-
sional committees’’ means— 
(1) the Committees on Armed Services and 
Small Business of the House of Representatives; and 
(2) the Committees on Armed Services and on 
Small Business and Entrepreneurship of the Senate. 
Subtitle G—Other Matters 
SEC. 891. EMPLOYEE-OWNED BUSINESS CONTRACTING IN-
CENTIVE PILOT PROGRAM CLARIFICATION 
AND EXTENSION. 
Section 874 of the National Defense Authorization 
Act for Fiscal Year 2022 (10 U.S.C. 3204 note) is amend-
ed— 
(1) in subsection (b)— 
(A) in paragraph (2)— 
(i) by inserting ‘‘or for’’ after ‘‘serv-
ices procured by’’; and
667 
(ii) by inserting ‘‘or for’’ after ‘‘may 
be procured by’’; and 
(B) in paragraph (3)— 
(i) by striking ‘‘A qualified business’’ 
and inserting ‘‘(A) IN GENERAL.—A quali-
fied business’’; and 
(ii) by adding at the end the following 
new subparagraph: 
‘‘(B) TOTAL
AWARD
LIMIT.—Not more 
than 25 follow-on contracts may be awarded 
under this section.’’; 
(2) in subsection (e), by striking ‘‘five years’’ 
and inserting ‘‘eight years’’; and 
(3) by adding at the end the following new sub-
section: 
‘‘(g) PAPERWORK REDUCTION ACT EXEMPTION.— 
Chapter 35 of title 44, United States Code, shall not apply 
to any action taken under this section or the pilot program 
established under this section.’’. 
SEC. 892. PILOT PROGRAM ON THE USE OF BUDGET TRANS-
FER AUTHORITY FOR ARMY RESEARCH TO 
AID IN TECHNOLOGY TRANSITION. 
(a) IN GENERAL.—Upon determination by the As-
sistant Secretary of the Army for Acquisition, Logistics, 
and Technology that such action is necessary in the na-
668 
tional interest, the Secretary of Defense may transfer 
amounts of authorizations made available in Research and 
Development, Army, line 090A, between any covered au-
thorization or combination of covered authorizations for 
the 
purposes 
of 
procuring 
or 
otherwise 
rapidly 
transitioning new technologies at the direction of the As-
sistant Secretary. Amounts of authorizations so trans-
ferred shall be merged with and be available for the same 
purposes as the authorization to which transferred. 
(b) LIMITS.— 
(1) IN GENERAL.—The total amount of author-
izations that the Secretary of Defense may transfer 
under the authority of subsection (a) for each pro-
curement or other transition activity may not exceed 
$10,000,000. 
(2) OTHER LIMITS.—Amounts transferred pur-
suant to the authority under subsection (a) shall not 
be subject to and shall not count towards the limita-
tion under subsection (a)(2) of such section 1001. 
(c) EFFECT
ON
AUTHORIZATION
AMOUNTS.—A 
transfer made from one account to another under the au-
thority of subsection (a) shall be deemed to increase the 
amount authorized for the account to which the amount 
is transferred by an amount equal to the amount trans-
ferred.
669 
(d) COVERED AUTHORIZATION DEFINED.—In this 
section, the term ‘‘covered authorization’’ means an au-
thorization made available for fiscal year 2024 for— 
(1) Aircraft Procurement, Army; 
(2) Missile Procurement, Army; 
(3) Weapons and Tracked Combat Vehicles, 
Army; 
(4) Procurement of Ammunition, Army; 
(5) Other Procurement, Army; and 
(6) Operation and Maintenance, Army. 
SEC. 893. SEAPLANE PROCUREMENT AND EMPLOYMENT. 
(a) IN GENERAL.—Not later than 270 days after the 
date of the enactment of this Act, the Secretary of Defense 
shall submit to the congressional defense committees an 
analysis of the utility of, employment opportunities with 
respect to, and the feasibility of the Department of De-
fense procuring seaplanes and amphibious aircraft. 
(b) CONTENTS.—The analysis required under sub-
section (a) shall include an assessments of— 
(1) the role and effects that the use of sea-
planes and amphibious aircraft would have on the 
ability of the Armed Forces to conduct contested lo-
gistics operations across a theater of combat oper-
ations, including resupply and air-to-air refueling;
670 
(2) the utility of seaplanes and amphibious air-
craft in scenarios where access to airfields required 
for the operation of existing fixed-wing, tiltrotor, 
and rotor-wing assets is limited or such airfields are 
unavailable; 
(3) the effects that the use of seaplanes and 
amphibious aircraft would have on the ability of the 
Armed Forces to conduct search and rescue oper-
ations; 
(4) the value and cost savings per flight hour 
of using seaplanes and amphibious aircraft for 
search and rescue operations as compared with the 
type, model, and series of aircraft currently used by 
the Armed Forces for such activities; 
(5) the role of seaplanes and amphibious air-
craft in enhancing the mobility of personnel in thea-
ters of combat operations and providing support 
within the expeditionary advanced basing operation 
construct; 
(6) the utility of using seaplanes and amphib-
ious aircraft to enhance long-range reconnaissance 
operations of the Armed Forces; and 
(7) options for acquiring seaplanes and amphib-
ious aircraft from allies currently fielding such plat-
forms, including alternative approaches, acquisition
671 
timelines, and timelines for fielding such seaplanes 
and amphibious aircraft or domestically-produced al-
ternatives. 
(c) ARMED FORCES DEFINED.—In this section, the 
term ‘‘Armed Forces’’ has the meaning give such term in 
section 101(a) of title 10, United States Code. 
SEC. 894. LIMITATION ON AVAILABILITY OF FUNDS RELAT-
ING TO CONTRACTS WITH CONTRACT MAN-
AGERS AND AUDITORS. 
(a) REVIEW.—The Secretary of Defense shall annu-
ally review the value of contracts entered into with con-
tract managers and auditors for the purpose of managing 
contracts of the Department of Defense for a specified fis-
cal year. 
(b) CERTIFICATION.—If the Secretary spent an 
amount greater than or equal to 1 percent of the total 
value of contracts awarded during such fiscal year on such 
contracts with contract managers and auditors, the Sec-
retary shall submit a certification to the congressional de-
fense committees. 
(c) LIMITATION ON AVAILABILITY OF FUNDS.—For 
each 0.1 percent of funds expended during fiscal year 
2024 that is greater than 1 percent of total value of con-
tracts awarded during such fiscal year on such contracts 
with contract managers and auditors, of the funds author-
672 
ized to be appropriated by this Act or otherwise made 
available for fiscal year 2024 for the Deputy Secretary of 
Defense for the nonemergency travel, such amount shall 
be reduced by 1 percent. 
(d) DEFINITIONS.—In this section: 
(1) The term ‘‘contract managers and auditors’’ 
means employees of the Department of Defense, in-
cluding members of a covered Armed Force, and 
does not include contractors of the Department. 
(2) The term ‘‘covered Armed Force’’ means 
the Army, Navy, Marine Corps, Air Force, or Space 
Force. 
SEC. 895. INSPECTOR GENERAL REPORT ON DEPARTMENT 
OF DEFENSE ACQUISITION AND CONTRACT 
ADMINISTRATION. 
Not later than March 31, 2024, the Inspector Gen-
eral of the Department of Defense shall submit to the 
Committee on Armed Services of the House of Represent-
atives a report on the status and findings of the oversight, 
reviews, audits, and inspections of the Inspector General 
regarding Department-wide acquisitions and contract 
management, including— 
(1) findings regarding the effectiveness of au-
dits and financial advisory on ensuring that the De-
partment obtains the greatest value for the lowest
673 
reasonable costs under when acquiring goods and 
services, including by reducing contract costs and 
ensuring that the profit of contractors for the provi-
sion of such goods and services is reasonable; 
(2) an assessment of allowable, allocable, and 
reasonable costs and pricing for contracts; 
(3) the authorities and resources for con-
tracting officers of the Department to obtain cer-
tified cost and pricing data from contractors of the 
Department; 
(4) the authorities and resources of the Chief 
Financial Officer of the Department, the Defense 
Contract Audit Agency, and the Defense Contract 
Management Agency to determine allowable, allo-
cable, and reasonable costs and pricing for contracts. 
SEC. 896. STUDY ON THE ELECTRIC VEHICLE SUPPLY 
CHAIN. 
(a) IN GENERAL.—Not later than 180 days after the 
date of enactment of this Act, the Secretary of Defense, 
in coordination with the relevant Federal agencies, shall 
conduct a study on the effects the national security of the 
United States of the influence of China on the electric ve-
hicle supply chain. 
(b) MATTERS
TO BE INCLUDED.—The study re-
quired by subsection (a) shall include the following:
674 
(1) An evaluation of the percentage of critical 
minerals and rare earths sourced from the People’s 
Republic of China that are necessary for construc-
tion of electric vehicles in the United States. 
(2) A list of countries who contribute to the 
electric vehicle supply chain of the United States 
and who are members of People’s Republic of Chi-
na’s Belt and Road Initiative or any subsequent eco-
nomic agreement. 
(3) Potential vulnerabilities posed by an in-
creased use of electric vehicles by the vehicle fleet of 
the Department of Defense. 
SEC. 897. JOINT LIGHT TACTICAL VEHICLE FUNDING IN-
CREASE. 
(a) FUNDING.— 
(1) INCREASE.—Notwithstanding the amounts 
set forth in the funding tables in division D— 
(A) the amount authorized to be appro-
priated in section 101 for other procurement, 
Army, for the joint light tactical vehicle family, 
line 006, as specified in the corresponding fund-
ing table in section 4101, for vehicle safety data 
recorders with predictive logistics for weapons 
and 
vehicles 
is 
hereby 
increased 
by 
$14,000,000; and
675 
(B) the amount authorized to be appro-
priated in section 101 for procurement, Marine 
Corp, for joint light tactical vehicles, line 045, 
as specified in the corresponding funding table 
in section 4101, for vehicle safety data record-
ers with predictive logistics for weapons and ve-
hicles is hereby increased by $1,000,000. 
(2) OFFSET.—Notwithstanding the amounts set 
forth in the funding tables in division D, the amount 
authorized to be appropriated in section 301 for ad-
ministration and Service-wide activities, for the Of-
fice of the Secretary of Defense, line 490, as speci-
fied in the corresponding funding table in section 
4301, is hereby reduced by $15,000,000. 
SEC. 898. REPORT ON GALLIUM AND GERMANIUM. 
Not later than 90 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 
gallium and germanium, including— 
(1) an analysis conducted in consultation with 
domestic producers of gallium and germanium of 
changes in supply chain dynamics, including produc-
tion capabilities and capacities, after decision by the 
People’s Republic of China to ban exports of gallium 
and germanium;
676 
(2) an updated assessment of any shortfalls in 
the supply of gallium and germanium of the United 
States due to such decision; and 
(3) an update from the head of the Office of 
Manufacturing Capability Expansion and Investment 
Prioritization of the Department of Defense on the 
priority of projects involving gallium and germa-
nium, as informed by the new shortfall projections 
in the supply of gallium and germanium and na-
tional security requirements. 
SEC. 899. ASSESSMENT OF SUPPLY CHAIN CONSTRAINTS 
IMPACTING THE DEFENSE INDUSTRIAL BASE 
AND FOREIGN MILITARY SALES. 
(a) IN GENERAL.—Not later than 180 days after the 
date of the enactment of this Act, the Secretary of Defense 
and the Secretary of State shall conduct the assessment 
described in subsection (b) and submit to the relevant con-
gressional committees a report on such assessment. 
(b) ASSESSMENT DESCRIBED.—The assessment de-
scribed in this section shall include information on con-
straints and threats to the supply chain of Department 
of Defense contractors and subcontractors (at any tier) 
to produce any defense article for use by the Department 
of Defense or that is the subject of a foreign military sale.
677 
(c) FORM.—The report required under this section 
shall be submitted in an unclassified form. 
(d) DEFINITIONS.—In this section: 
(1) The term ‘‘defense article’’ has the meaning 
given in section 47 of the Arms Export Control Act 
(22 U.S.C. 2794). 
(2) The term ‘‘relevant congressional commit-
tees’’ means— 
(A) the Committee on Foreign Affairs of 
the House of Representatives; 
(B) the Committee on Armed Services of 
the House of Representatives; 
(C) the Committee on Appropriations of 
the House of Representatives; 
(D) the Committee on Foreign Relations of 
the Senate; 
(E) the Committee on Armed Services of 
the Senate; and 
(F) the Committee on Appropriations of 
the Senate. 
SEC. 899A. SENSE OF CONGRESS REGARDING EXPLOSION 
WELDING. 
(a) FINDINGS.—Congress finds the following: 
(1) The joining of certain dissimilar metals, 
particularly steel with alloy metals such as stainless
678 
steel, brass, nickel, silver, titanium, and zirconium, 
requires explosion welding. 
(2) Explosion welding employs hundreds of 
highly skilled workers within the United States. 
(3) Explosion welded alloys can be found in 
every major United States naval platform, particu-
larly in Columbia-class submarines, Ford-class air-
craft carriers, and Arleigh Burke-class destroyers. 
(b) SENSE OF CONGRESS.—It is the sense of Con-
gress that— 
(1) explosion welding is a critical capability for 
ensuring the national security of the United States 
and its allies; 
(2) a limited number of domestic companies 
produce explosion welded alloys that satisfy Depart-
ment of Defense requirements; 
(3) if domestic sources fail, demand would be 
fulfilled by China, creating an immediate supply 
chain vulnerability; and 
(4) the Department of Defense should take 
such steps as are necessary to ensure that the 
United States has a reliable and domestic source for 
explosion welding to support United States military 
needs.
679 
SEC. 899B. DEFENSE INDUSTRIAL BASE MUNITION SURGE 
CAPACITY CRITICAL RESERVE. 
(a) IN GENERAL.—The Under Secretary of Defense 
for Acquisition and Sustainment, in coordination with the 
service acquisition executive of each military department, 
is hereby authorized to establish a critical reserve of long- 
lead items and components to provide the capability to 
quickly access the required components to accelerate the 
delivery of munitions for the capabilities identified pursu-
ant to section 222c of title 10, United States Code. 
(b) LONG-LEAD DEFINED.—In this section, the term 
‘‘long-lead’’ means a material, component or subsystem 
that must be procured well in advance of the need for the 
munition necessary in order to meet a planned delivery 
schedule for a complete major end item. 
(c) QUANTITY.—The quantity of long-lead items re-
served pursuant to subsection (a) should be in amounts 
commensurate to fulfill the requirements identified as 
Out-Year Unconstrained Total Munitions Requirements 
and Out-Year inventory numbers under section 222c(a) of 
title 10, United States Code. 
(d) AUTHORITY FOR ADVANCE PROCUREMENT.—The 
Under Secretary of Defense for Acquisition and 
Sustainment may enter into one or more contracts, begin-
ning in fiscal year 2024, for the advance procurement of 
long-lead items and components associated with munitions
680 
in economic order quantities when cost savings are achiev-
able. 
SEC. 899C. PROHIBITION ON CONTRACTING WITH CERTAIN 
ENTITIES. 
(a) PROHIBITION.— 
(1) IN GENERAL.—Except as provided under 
subsection (b), the Department of Defense may not 
enter into, renew, or extend a contract for the pro-
curement of goods or services with an entity de-
scribed in paragraph (2). 
(2) ENTITIES DESCRIBED.—An entity described 
in this paragraph is an entity that is engaged in a 
boycott of the State of Israel. 
(b) EXCEPTIONS.— 
(1) NATIONAL
SECURITY.—The prohibition 
under subsection (a) does not apply— 
(A) to the procurement of defense articles 
or defense services under existing contracts or 
subcontracts, including the exercise of options, 
for production quantities to satisfy require-
ments essential to the national security of the 
United States; 
(B) if the President determines in writing 
that—
681 
(i) the entity otherwise sanctioned 
pursuant to subsection (a) is a sole source 
supplier of the defense articles or services; 
(ii) the defense articles or services are 
essential; and 
(iii) alternative sources are not readily 
or reasonably available; 
(C) if the President determines in writing 
that such articles or services are essential to the 
national security under defense production 
agreements; or 
(D) to the procurement of— 
(i) spare parts that are essential to 
United States products or production; 
(ii) component parts essential to 
United States products or production; 
(iii) routine servicing and mainte-
nance of products, to the extent that alter-
native sources are not readily or reason-
ably available; or 
(iv) information and technology essen-
tial to United States products or produc-
tion. 
(2) NATIONAL SECURITY WAIVER.—The Presi-
dent may waive the application of subsection (a) on
682 
a case-by-case basis for periods not to exceed 180 
days if the President— 
(A) determines that the waiver is in the 
vital national security interest of the United 
States; and 
(B) submits to the appropriate congres-
sional committees a report on the determination 
and the reasons for the determination. 
(3) INTELLIGENCE
WAIVER.—The President 
may waive the application of subsection (a) on a 
case-by-case basis for periods not to exceed 180 days 
if the President— 
(A) determines that the waiver is necessary 
to prevent the disclosure of intelligence sources 
or methods; and 
(B) submits to the appropriate congres-
sional committees a report, consistent with the 
protection of intelligence sources and methods, 
on the determination and the reasons for the 
determination. 
(c) REQUIREMENT TO REVISE REGULATIONS.—Not 
later than 90 days after the date of the enactment of this 
Act, the Federal Acquisition Regulation, the Defense Fed-
eral Acquisition Regulation Supplement, and the Uniform 
Administrative Requirements, Cost Principles, and Audit
683 
Requirements for Federal Awards shall be revised to im-
plement subsection (a). 
(d) REMEDIES FOR FALSE INFORMATION.—If the 
head of an executive agency determines that an entity has 
submitted false information pursuant to the requirements 
of subsection (a) on or after the date on which the applica-
ble revision of regulations required under subsection (c) 
becomes effective— 
(1) the head of the executive agency shall ter-
minate any contract awarded to such entity as a re-
sult of such false information and debar or suspend 
such person from eligibility for Federal contracts for 
a period of not less than 4 years in accordance with 
the procedures that apply to debarment and suspen-
sion under the Federal Acquisition Regulation; and 
(2) the Administrator of General Services shall 
include the entity on the ‘‘List of Parties Excluded 
from Federal Procurement and Nonprocurement 
Programs’’ maintained by the Administrator under 
part 9 of the Federal Acquisition Regulation. 
(e) DEFINITIONS.—In this section: 
(1) The term ‘‘boycott action’’ means refusing 
to deal, terminating business activities, or limiting 
commercial relations.
684 
(2) The term ‘‘boycott of the State of Israel’’ 
means engaging in a boycott action targeting— 
(A) the State of Israel; and 
(B)(i) companies or individuals doing busi-
ness in or with the State of Israel; or 
(ii) companies authorized by, licensed by, 
or organized under the laws of the State of 
Israel to do business. 
(3) The term ‘‘entity’’ includes— 
(A) a corporation, partnership, limited li-
ability company, or similar entity; and 
(B) any wholly-owned subsidiary, majority- 
owned subsidiary, parent company, or affiliate 
of an entity described in subparagraph (A). 
SEC. 899D. REVIEW OF PROPOSED ACTIONS. 
Section 183a(c)(3) of title 10, United States Code, 
is amended by inserting ‘‘The Clearinghouse shall ensure 
that a governor has at least 120 days after the date on 
which the governor receives the notice of presumed risk 
to provide any such comments and shall provide detailed 
information and other information necessary to ensure 
that the governor can fully understand the nature of the 
presumed risk.’’ after the first sentence.
685 
TITLE IX—DEPARTMENT OF DE-
FENSE ORGANIZATION AND 
MANAGEMENT 
Subtitle A—Office of the Secretary 
of Defense and Related Matters 
SEC. 901. UNDER SECRETARY OF DEFENSE FOR SCIENCE 
AND INNOVATION INTEGRATION. 
(a) IN GENERAL.—Section 133a of title 10, United 
States Code, is amended to read as follows: 
‘‘§ 133a. Under Secretary of Defense for Science and 
Innovation Integration 
‘‘(a) UNDER SECRETARY OF DEFENSE.—There is an 
Under Secretary of Defense for Science and Innovation 
Integration, appointed from civilian life by the President, 
by and with the advice and consent of the Senate. A per-
son may not be appointed as Under Secretary within seven 
years after relief from active duty as a commissioned offi-
cer of a regular component of an armed force. 
‘‘(b) QUALIFICATIONS.—The Under Secretary shall 
be appointed from among persons who have an extensive 
technology or science background and experience in— 
‘‘(1) private or venture capital, commercial in-
novation, or prototype-to-production transition; and 
‘‘(2) 
managing 
complex 
programs 
and 
leveraging public-private capital partnerships.
686 
‘‘(c) DUTIES AND POWERS.—Subject to the author-
ity, direction, and control of the Secretary of Defense, the 
Under Secretary shall perform such duties and exercise 
such powers as the Secretary may prescribe, including— 
‘‘(1) serving as the chief technology officer of 
the Department of Defense with the mission of ad-
vancing technology, innovation, and the integration 
of commercial technology for the armed forces (and 
the Department); 
‘‘(2) establishing policies on, and supervising, 
all elements of the Department relating to the iden-
tification of commercial technology for potential use 
by the Department and integration of such tech-
nology into the armed forces (and the Department), 
including— 
‘‘(A) implementing the preference under 
section 3453 of this title for the use of commer-
cial technology when suitable to meet the needs 
of Department; and 
‘‘(B) ensuring implementation of a mod-
ular open system approach (as defined in sec-
tion 4401(b) of title 10, United States Code) to 
encourage increased competition and the more 
frequent use of commercial technology within 
the Department;
687 
‘‘(3) establishing policies on, and supervising, 
all defense research and engineering, technology de-
velopment, technology transition, appropriate proto-
typing activities, experimentation, and developmental 
testing activities and programs and unifying defense 
research and engineering efforts across the Depart-
ment; 
‘‘(4) serving as the principal advisor to the Sec-
retary on all commercial innovation and integration, 
research, engineering, and technology development 
activities and programs in the Department; and 
‘‘(5) along with the Vice Chairman of the Joint 
Chiefs of Staff, providing for an alternate path to 
integrate commercial technology into the Depart-
ment that does not include applying the Joint Capa-
bilities Integration and Development System process 
to the acquisition of technology that readily exists in 
the commercial sector. 
‘‘(d) PRECEDENCE IN DEPARTMENT OF DEFENSE.— 
‘‘(1) PRECEDENCE IN MATTERS OF RESPONSI-
BILITY.—With regard to all matters for which the 
Under Secretary has responsibility by the direction 
of the Secretary of Defense or by law, the Under 
Secretary takes precedence in the Department of
688 
Defense after the Secretary and the Deputy Sec-
retary of Defense. 
‘‘(2) PRECEDENCE IN OTHER MATTERS.—With 
regard to all matters other than the matters for 
which the Under Secretary has responsibility by the 
direction of the Secretary or by law, the Under Sec-
retary takes precedence in the Department of De-
fense after the Secretary and the Deputy Secretary 
of Defense.’’. 
(b) CONFORMING AMENDMENTS.— 
(1) TITLE 10.—Title 10, United States Code, as 
amended by subsection (a), is further amended by 
striking ‘‘Under Secretary of Defense for Research 
and Engineering’’ each place it appears and insert-
ing ‘‘Under Secretary of Defense for Science and In-
novation Integration’’. 
(2) TITLE 5.—Title 5, United States Code, is 
amended by striking ‘‘Under Secretary of Defense 
for Research and Engineering’’ each place it appears 
and inserting ‘‘Under Secretary of Defense for 
Science and Innovation Integration’’. 
(3) 
NATIONAL
DEFENSE
AUTHORIZATION 
ACTS.—Each of the following Acts is amended by 
striking ‘‘Under Secretary of Defense for Research 
and Engineering’’ each place it appears and insert-
689 
ing ‘‘Under Secretary of Defense for Science and In-
novation Integration’’: 
(A) The National Defense Authorization 
Act for Fiscal Year 2018 (Public Law 115–91). 
(B) The John S. McCain National Defense 
Authorization Act for Fiscal Year 2019 (Public 
Law 115–232). 
(C) The National Defense Authorization 
Act for Fiscal Year 2020 (Public Law 116–92). 
(D) The William M. (Mac) Thornberry Na-
tional Defense Authorization Act for Fiscal 
Year 2021 (Public Law 116–283). 
(E) The National Defense Authorization 
Act for Fiscal Year 2022 (Public Law 117–81). 
(F) The James M. Inhofe National De-
fense Authorization Act for Fiscal Year 2023 
(Public Law 117–263). 
(c) REFERENCES.—Any reference in any law (other 
than this section), regulation, map, document, paper, or 
other record of the United States to the Under Secretary 
of Defense for Research and Engineering shall be deemed 
to be a reference to the Under Secretary of Defense for 
Science and Innovation Integration. 
(d) SERVICE OF INCUMBENT IN POSITION.—The in-
dividual serving as Under Secretary of Defense for Re-
690 
search and Engineering as of the effective date specified 
in subsection (e) may serve as Under Secretary of Defense 
for Science and Innovation Integration commencing as of 
that date without further appointment under section 133a 
of title 10, United States Code (as amended by subsection 
(a)). 
(e) EFFECTIVE DATE.—This section and the amend-
ments made by this section shall take effect one year after 
the date of the enactment of this Act. 
SEC. 902. REPEAL OF POSITION OF DIRECTOR OF COST AS-
SESSMENT AND PROGRAM EVALUATION. 
(a) REPEAL OF POSITION.— 
(1) IN
GENERAL.—Section 139a of title 10, 
United States Code is repealed. 
(2) CONFORMING REPEALS.—The following pro-
visions of law are repealed: 
(A) Subparagraph (A) of section 131(b)(4) 
of title 10, United States Code. 
(B) Subparagraph (A) of section 131(b)(8) 
of such title. 
(C) 
Subparagraph 
(C) 
of 
section 
2222(e)(6) of such title. 
(D) Chapter 222 of such title.
691 
(E) Paragraph (5) of section 1672(c) of 
the National Defense Authorization Act for Fis-
cal Year 2023 (Public Law 117–263). 
(F) Subparagraph (E) of section 223(c)(1) 
of the National Defense Authorization Act for 
Fiscal Year 2022 (Public Law 117–81; 10 
U.S.C. 4172 note). 
(G) Subparagraph (C) of section 836(e)(2) 
of the National Defense Authorization Act for 
Fiscal Year 2021 (Public Law 116–283; 10 
U.S.C. 3101 note prec.). 
(H) 
Subparagraph 
(E) 
of 
section 
231(d)(2)of the National Defense Authorization 
Act for Fiscal Year 2020 (Public Law 116—92; 
10 U.S.C. 4571 note). 
(I) Section 101(c) of the Weapon Systems 
Acquisition Reform Act of 2009 (Public Law 
111–23; 10 U.S.C. 139a note). 
(3) CONFORMING AMENDMENTS.— 
(A) Section 5315 of title 5, United States 
Code, is amended by striking ‘‘Director of Cost 
Assessment and Program Evaluation, Depart-
ment of Defense.’’. 
(B) Section 118(e) of title 10, United 
States Code, is amended by striking ‘‘Director
692 
of Cost Assessment and Performance Evalua-
tion’’ and inserting ‘‘Under Secretary of De-
fense for Acquisition and Sustainment’’. 
(C) Section 181 of title 10, United States 
Code, is amended— 
(i) in subsection (d)— 
(I) by striking subparagraph (F); 
and 
(II) by redesignating subpara-
graphs (G) and (H) as subparagraphs 
(F) and (G), respectively; and 
(ii) in subsection (f), by striking ‘‘, 
such as the Office of Cost Assessment and 
Program Evaluation,’’. 
(D) Section 134(b)(5) of title 10, United 
States Code, is amended by striking ‘‘ and the 
Director of Cost Assessment and Program 
Evaluation’’. 
(E) Section 225(e)(4) of title 10, United 
States Code, is amended— 
(i) in subparagraph (A), by adding 
‘‘and’’ at the end; 
(ii) in subparagraph (B) by striking ‘‘; 
and’’ and inserting a period; and 
(iii) by striking subparagraph (C).
693 
(F) Section 231a(c)(2)(E) of title 10, 
United States Code, is amended— 
(i) in clause (i), by striking ‘‘of the 
Office of Cost Assessment and Program 
Evaluation’’ and inserting ‘‘of another or-
ganization of the Department of Defense’’; 
and 
(ii) in clause (ii), by striking ‘‘of the 
Office of Cost Assessment and Program 
Evaluation’’ and inserting ‘‘of such other 
organization’’. 
(G) Section 499a of title 10, United States 
Code, is amended— 
(i) in subsection (a), by striking ‘‘act-
ing through the Director for Cost Esti-
mating and Program Evaluation’’ and in-
serting ‘‘acting through the official des-
ignated under section 902(b) of the Na-
tional Defense Authorization Act for Fiscal 
Year 2024’’; 
(ii) in subsection (b), by striking ‘‘the 
Director of Cost Assessment and Program 
Evaluation’’ and inserting ‘‘the official de-
scribed in subsection (a)’’; 
(iii) in subsection (c)—
694 
(I) in paragraph (1)— 
(aa) in the matter preceding 
subparagraph (A), by striking 
‘‘the Director of Cost Assessment 
and Program Evaluation’’ and 
inserting ‘‘the official described 
in subsection (a)’’; and 
(bb) in subparagraph (B), 
by striking ‘‘such Directors’’ and 
inserting ‘‘the official and the Di-
rector’’; 
(II) in paragraph (2)— 
(aa) by striking ‘‘Director of 
Cost Assessment and Program 
Evaluation’’ and inserting ‘‘offi-
cial described in subsection (a)’’; 
and 
(bb) by striking ‘‘such Di-
rectors’’ and inserting ‘‘the offi-
cial and the Director’’; and 
(III) in paragraph (3), by strik-
ing ‘‘the Director of Cost Assessment 
and Program Evaluation’’ and insert-
ing ‘‘the official described in sub-
section (a)’’; and
695 
(iv) in subsection (d)(2), by striking 
‘‘the Director of Cost Assessment and Pro-
gram Evaluation’’ and inserting ‘‘the offi-
cial described in subsection (a)’’. 
(H) Section 3501(i)(3)(B) of title 10, 
United States Code, is amended by striking 
‘‘conducted on the basis of section 3226(b) of 
this title,’’. 
(I) Section 4251 of title 10, United States 
Code, is amended— 
(i) in subsection (b)— 
(I) in paragraph (6), by striking 
‘‘consistent with study guidance devel-
oped by the Director of Cost Assess-
ment and Program Evaluation’’; and 
(II) in paragraph (7), by striking 
‘‘, with the concurrence of the Direc-
tor of Cost Assessment and Program 
Evaluation,’’; and 
(ii) in subsection (c)(1)(F), by strik-
ing ‘‘conducted by the Director of Cost As-
sessment and Program Evaluation’’. 
(J) Section 4252(a)(3)(C) of title 10, 
United States Code, is amended by striking ‘‘,
696 
with the concurrence of the Director of Cost 
Assessment and Program Evaluation,’’. 
(K) Section 4325(c) of title 10, United 
States Code, is amended— 
(i) in paragraph (1), by striking ‘‘Di-
rector of Cost Assessment and Program 
Evaluation’’ and inserting ‘‘Under Sec-
retary of Defense for Acquisition and 
Sustainment’’; and 
(ii) in paragraph (2)— 
(I) in the matter preceding sub-
paragraph (A), by striking ‘‘the Direc-
tor’’ and inserting ‘‘the Under Sec-
retary’’; and 
(II) in subparagraph (C), by 
striking ‘‘with the concurrence of the 
Under Secretary of Defense for Acqui-
sition and Sustainment,’’. 
(L) Section 4376 of title 10, United States 
Code, is amended— 
(i) in subsection (a)(2), by striking 
‘‘in consultation with the Director of Cost 
Assessment and Program Evaluation,’’; 
and
697 
(ii) in subsection (b)(2)(C), by strik-
ing ‘‘by the Director of Cost Assessment 
and Program Evaluation’’. 
(M) Section 4506 of title 10, United 
States Code, is amended striking ‘‘Director of 
Cost Assessment and Performance Evaluation’’ 
each place it appears and inserting ‘‘the Under 
Secretary of Defense for Acquisition and 
Sustainment’’. 
(N) Section 351(b) of the National De-
fense Authorization Act for Fiscal Year 2023 
(Public Law 117–263) is amended by striking 
‘‘Director of Cost Assessment and Performance 
Evaluation’’ and inserting ‘‘Under Secretary of 
Defense for Acquisition and Sustainment’’. 
(O) Section 1640(c)(1) of the National De-
fense Authorization Act for Fiscal Year 2023 
(Public Law 117–263) is amended by striking 
‘‘Director of the Office of Cost Assessment and 
Program Evaluation of the Department of De-
fense’’ and inserting ‘‘official designated under 
section 902(b) of the National Defense Author-
ization Act for Fiscal Year 2024’’. 
(P) Section 833(e)(2)(A) of the National 
Defense Authorization Act for Fiscal Year 2022
698 
(Public Law 117–81; 10 U.S.C. 4001 note) is 
amended— 
(i) by striking clause (vi); and 
(ii) by redesignating clause (vii) as 
clause (vi). 
(Q) Section 1507(c)(1) of the National De-
fense Authorization Act for Fiscal Year 2022 
(Public Law 116–92; 10 U.S.C. 167b note) is 
amended by striking ‘‘Cost Assessment and 
Program Evaluation,’’. 
(R) Section 834(f) of the National Defense 
Authorization Act for Fiscal Year 2021 (Public 
Law 116–283; 10 U.S.C. 4571 note) is amend-
ed by striking ‘‘Director of Cost Assessment 
and Program Evaluation’’ and inserting ‘‘Under 
Secretary of Defense for Acquisition and 
Sustainment’’. 
(S) Section 1251(d) of the National De-
fense Authorization Act for Fiscal Year 2021 
(Public Law 116–283; 10 U.S.C. 113 note) is 
amended— 
(i) in paragraph (1)(D), by striking 
‘‘the Director of Cost Assessment and Pro-
gram Evaluation,’’; and
699 
(ii) in paragraph (2)(A), by striking 
‘‘, the Under Secretary of Defense (Comp-
troller), and the Director of Cost Assess-
ment and Program Evaluation’’ and insert-
ing ‘‘and the Under Secretary of Defense 
(Comptroller)’’. 
(T) Section 1664(a)(2) of the National De-
fense Authorization Act for Fiscal Year 2020 
(Public Law 116–92; 10 U.S.C. 179 note) is 
amended— 
(i) by striking subparagraph (A); and 
(ii) by redesignating subparagraphs 
(B) through (D) as subparagraphs (A) 
through (C), respectively. 
(U) Section 1709 of the National Defense 
Authorization Act for Fiscal Year 2020 (Public 
Law 116–92; 10 U.S.C. 113 note) is amend-
ed— 
(i) in subsection (a), by striking ‘‘, the 
Director of the Joint Staff, and the Direc-
tor of Cost Assessment and Program Eval-
uation’’ and inserting ‘‘and the Director of 
the Joint Staff’’; and 
(ii) in subsection (b)(5), by striking ‘‘, 
the Chairman of the Joint Chiefs of Staff,
700 
and the Director of Cost Assessment and 
Program Evaluation’’ and inserting ‘‘and 
the Chairman of the Joint chiefs of Staff’’. 
(V) Section 1053(f)(1)(B)(ii) of the Na-
tional Defense Authorization Act for Fiscal 
Year 2019 (Public Law 115–232; 10 U.S.C. 
113 note) is— 
(i) 
in 
the 
heading, 
by 
striking 
‘‘CAPE’’; and 
(ii) by striking ‘‘the Director of Cost 
Assessment and Program Evaluation’’ and 
inserting ‘‘the Under Secretary of Defense 
for Acquisition and Sustainment’’. 
(W) Section 839(b) of the National De-
fense Authorization Act for Fiscal Year 2018 
(Public Law 115–91; 10 U.S.C. 4171 note)— 
(i) in paragraph (2), by striking 
‘‘shall’’ and all that follows through the pe-
riod at the end and inserting ‘‘coordinate 
with the Secretaries of the military depart-
ments’’; and 
(ii) in paragraph (3)(A)— 
(I) by striking ‘‘the Director for 
Cost Assessment and Program Eval-
701 
uation or another’’ and inserting 
‘‘an’’; and 
(II) by striking ‘‘the Director of 
Operational Test and Evaluation, the 
senior official of the Department of 
Defense with responsibility for devel-
opmental testing,’’ and inserting ‘‘the 
senior official of the Department of 
Defense with responsibility for devel-
opmental testing’’. 
(X) Section 925(b)(2) of the National De-
fense Authorization Act for Fiscal Year 2017 
(Public Law 114–328; 10 U.S.C. 4271 note) is 
amended— 
(i) in subparagraph (A), by adding 
‘‘and’’ at the end; 
(ii) by striking subparagraph (B); and 
(iii) by redesignating subparagraph 
(C) as subparagraph (B). 
(Y) Section 3113(b) of the National De-
fense Authorization Act for Fiscal Year 2017 
(Public Law 114–328; 50 U.S.C. 2512 note) is 
amended by striking paragraph (4). 
(Z) Section 1618(a) of the National De-
fense Authorization Act for Fiscal Year 2016