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SECTION 1. SHORT TITLE.

This Act may be cited as the ''Federal Acquisition Reform Act of
1995''.

SEC. 2. PROCUREMENT INTEGRITY AMENDMENT.

(a) Amendment of Procurement Integrity Provision.--Section 27 of
the Office of Federal Procurement Policy Act (41 U.S.C. 423) is amended
to read as follows:

''SEC. 27. RESTRICTIONS ON DISCLOSING AND OBTAINING CONTRACTOR BID OR
PROPOSAL INFORMATION OR SOURCE SELECTION INFORMATION.

''(a) Prohibition on Disclosing Procurement Information.--(1) A
person described in paragraph (2) shall not, other than as provided by
law, knowingly and willfully disclose contractor bid or proposal
information or source selection information before the award of a
Federal agency procurement contract to which the information relates.
''(2) Paragraph (1) applies to any person who--
''(A) is a present or former officer or employee of the
United States, or a person who is acting or has acted for or on
behalf of, or who is advising or has advised the United States
with respect to, a Federal agency procurement; and
''(B) by virtue of that office, employment, or relationship
has or had access to contractor bid or proposal information or
source selection information.
''(b) Prohibition on Obtaining Procurement Information.--A person
shall not, other than as provided by law, knowingly and willfully
obtain contractor bid or proposal information or source selection
information before the award of a Federal agency procurement contract
to which the information relates.
''(c) Prohibition on Disclosing or Obtaining Procurement
Information in Connection With a Protest.--(1) A person shall not,
other than as provided by law, knowingly and willfully violate the
terms of a protective order described in paragraph (2) by disclosing or
obtaining contractor bid or proposal information or source selection
information related to the procurement contract concerned.
''(2) Paragraph (1) applies to any protective order issued by the
Comptroller General or the board of contract appeals of the General
Services Administration in connection with a protest against the award
or proposed award of a Federal agency procurement contract.
''(d) Penalties and Administrative Actions.--
''(1) Criminal penalties.--
''(A) Whoever engages in conduct constituting an
offense under subsection (a), (b), or (c) shall be
imprisoned for not more than one year or fined as
provided under title 18, United States Code, or both.
''(B) Whoever engages in conduct constituting an
offense under subsection (a), (b), or (c) for the
purpose of either--
''(i) exchanging the information covered by
such subsection for anything of value, or
''(ii) obtaining or giving anyone a
competitive advantage in the award of a Federal
agency procurement contract,

shall be imprisoned for not more than five years or
fined as provided under title 18, United States Code,
or both.
''(2) Civil penalties.--The Attorney General may bring a
civil action in the appropriate United States district court
against any person who engages in conduct constituting an
offense under subsection (a), (b), or (c). Upon proof of such
conduct by a preponderance of the evidence, the person is
subject to a civil penalty. An individual who engages in such
conduct is subject to a civil penalty of not more than $50,000
for each violation plus twice the amount of compensation which
the individual received or offered for the prohibited conduct.
An organization that engages in such conduct is subject to a
civil penalty of not more than $500,000 for each violation plus
twice the amount of compensation which the organization
received or offered for the prohibited conduct.
''(3) Administrative actions.--(A) If a Federal agency
receives information that a contractor or a person has engaged
in conduct constituting an offense under subsection (a), (b),
or (c), the Federal agency shall consider taking one or more of
the following actions, as appropriate:
''(i) Cancellation of the Federal agency
procurement, if a contract has not yet been awarded.
''(ii) Rescission of a contract with respect to
which--
''(I) the contractor or someone acting for
the contractor has been convicted for an
offense under subsection (a), (b), or (c), or
''(II) the head of the agency that awarded
the contract has determined, based upon clear
and convincing evidence, that the contractor or
someone acting for the contractor has engaged
in conduct constituting such an offense.
''(iii) Initiation of suspension or debarment
proceedings for the protection of the Government in
accordance with procedures in the Federal Acquisition
Regulation.
''(iv) Initiation of adverse personnel action,
pursuant to the procedures in chapter 75 of title 5,
United States Code, or other applicable law or
regulation.
''(B) If a Federal agency rescinds a contract pursuant to
subparagraph (A)(ii), the United States is entitled to recover,
in addition to any penalty prescribed by law, the amount
expended under the contract.
''(C) For purposes of any suspension or debarment
proceedings initiated pursuant to subparagraph (A)(iii),
engaging in conduct constituting an offense under subsection
(a), (b), or (c) affects the present responsibility of a
Government contractor or subcontractor.
''(e) Definitions.--As used in this section:
''(1) The term 'contractor bid or proposal information'
means any of the following information submitted to a Federal
agency as part of or in connection with a bid or proposal to
enter into a Federal agency procurement contract, if that
information has not been previously made available to the
public or disclosed publicly:
''(A) Cost or pricing data (as defined by section
2306a(i) of title 10, United States Code, with respect
to procurements subject to that section, and section 304A(i) of Federal
Property and Administrative Services Act of 1949 (41 U.S.C. 254b(i),
with respect to procurements subject to that section).
''(B) Indirect costs and direct labor rates.
''(C) Proprietary information about manufacturing
processes, operations, or techniques marked by the
contractor in accordance with applicable law or
regulation.
''(D) Information marked by the contractor as
'contractor bid or proposal information', in accordance
with applicable law or regulation.
''(2) The term 'source selection information' means any of
the following information prepared for use by a Federal agency
for the purpose of evaluating a bid or proposal to enter into a
Federal agency procurement contract, if that information has
not been previously made available to the public or disclosed
publicly:
''(A) Bid prices submitted in response to a Federal
agency solicitation for sealed bids, or lists of those
bid prices before public bid opening.
''(B) Proposed costs or prices submitted in
response to a Federal agency solicitation, or lists of
those proposed costs or prices.
''(C) Source selection plans.
''(D) Technical evaluation plans.
''(E) Technical evaluations of proposals.
''(F) Cost or price evaluations of proposals.
''(G) Competitive range determinations that
identify proposals that have a reasonable chance of
being selected for award of a contract.
''(H) Rankings of bids, proposals, or competitors.
''(I) The reports and evaluations of source
selection panels, boards, or advisory councils.
''(J) Other information marked as 'source selection
information' based on a case-by-case determination by
the head of the agency, his designee, or the
contracting officer that its disclosure would
jeopardize the integrity or successful completion of
the Federal agency procurement to which the information
relates.
''(3) The term 'Federal agency' has the meaning provided
such term in section 3 of the Federal Property and
Administrative Services Act of 1949 (40 U.S.C. 472).
''(4) The term 'Federal agency procurement' means the
acquisition (by using competitive procedures and awarding a
contract) of goods or services (including construction) from
non-Federal sources by a Federal agency using appropriated
funds.
''(5) The term 'contracting officer' means a person who, by
appointment in accordance with applicable regulations, has the
authority to enter into a Federal agency procurement contract
on behalf of the Government and to make determinations and
findings with respect to such a contract.
''(6) The term 'protest' means a written objection by an
interested party to the award or proposed award of a Federal
agency procurement contract, pursuant to section 111 of the
Federal Property and Administrative Services Act of 1949 (40
U.S.C. 759) or subchapter V of chapter 35 of title 31, United
States Code.
''(f) Limitation on Protests.--No person may file a protest against
the award or proposed award of a Federal agency procurement contract
alleging an offense under subsection (a), (b), or (c), of this section,
nor may the Comptroller General or the board of contract appeals of the
General Services Administration consider such an allegation in deciding
a protest, unless that person reported to the Federal agency
responsible for the procurement information that the person believed
constituted evidence of the offense no later than 14 days after the
person first discovered the possible offense.
''(g) Savings Provisions.--This section does not--
''(1) restrict the disclosure of information to, or its
receipt by, any person or class of persons authorized, in
accordance with applicable agency regulations or procedures, to
receive that information;
''(2) restrict a contractor from disclosing its own bid or
proposal information or the recipient from receiving that
information;
''(3) restrict the disclosure or receipt of information
relating to a Federal agency procurement after it has been
canceled by the Federal agency before contract award unless the
Federal agency plans to resume the procurement;
''(4) authorize the withholding of information from, nor
restrict its receipt by, Congress, a committee or subcommittee
of Congress, the Comptroller General, a Federal agency, or an
inspector general of a Federal agency;
''(5) authorize the withholding of information from, nor
restrict its receipt by, any board of contract appeals of a
Federal agency or the Comptroller General in the course of a
protest against the award or proposed award of a Federal agency
procurement contract; or
''(6) limit the applicability of any requirements,
sanctions, contract penalties, and remedies established under
any other law or regulation.''.
(b) Regulations.--(1) Proposed revisions to the Federal Acquisition
Regulation to implement this section shall be published in the Federal
Register not later than 60 days after the date of the enactment of this
Act.
(2) The proposed regulations described in paragraph (1) shall be
made available for public comment for a period of not less than 60
days.
(3) Final regulations shall be published in the Federal Register
not later than 150 days after the date of the enactment of this Act.
(c) Repeals.--(1) The following provisions of law are repealed:
(A) Sections 2397, 2397a, 2397b, and 2397c of title 10,
United States Code.
(B) Section 281 of title 18, United States Code.
(C) Subsection (c) of section 32 of the Office of Federal
Procurement Policy Act (41 U.S.C. 428).
(2)(A) The table of sections at the beginning of chapter 141 of
title 10, United States Code, is amended by striking the items relating
to sections 2397, 2397a, 2397b, and 2397c.
(B) The table of sections at the beginning of chapter 15 of title
18, United States Code, is amended by striking the item relating to
section 281.
(C) Section 32 of the Office of Federal Procurement Policy Act (41
U.S.C. 428) is amended by redesignating subsections (d), (e), (f), and
(g) as subsections (c), (d), (e), and (f), respectively.

SEC. 3. INTERNATIONAL COMPETITIVENESS.

(a) Repeal of Provision Relating to Research, Development, and
Production Costs.--Section 21(e) of the Arms Export Control Act (22
U.S.C. 2761(e)) is amended--
(1) by inserting ''and'' after the semicolon at the end of
paragraph (1)(A);
(2) by striking out subparagraph (B) of paragraph (1);
(3) by redesignating subparagraph (C) of paragraph (1) as
subparagraph (B);
(4) by striking out paragraph (2); and
(5) by redesignating paragraph (3) as paragraph (2).
(b) Effective Date.--The amendments made by subsection (a) shall be
effective with respect to sales agreements pursuant to sections 21 and
22 of the Arms Export Control Act (22 U.S.C. 2761 and 2762) entered
into on or after the date of the enactment of this Act.
Federal Acquisition Reform Act of 1995 - Amends the Office of Federal Procurement Policy Act (OFPPA) to revise procurement integrity provisions, replacing them with specified restrictions on disclosing and obtaining contractor bid or proposal information or source selection information.
Repeals specified armed forces procurement provisions, post-employment restrictions and reporting requirements with respect to retired military officers and defense contractors, and OFPPA procedures applicable to purchases below micro-purchase threshold.
Amends the Arms Export Control Act to repeal provisions relating to research, development, and production costs.