[Congressional Bills 116th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3413 Referred in Senate (RFS)]
<DOC>
116th CONGRESS
2d Session
H. R. 3413
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
February 11, 2020
Received; read twice and referred to the Committee on Homeland Security
and Governmental Affairs
_______________________________________________________________________
AN ACT
To amend the Homeland Security Act of 2002 to provide for certain
acquisition authorities for the Under Secretary of Management of the
Department of Homeland Security, and for other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``DHS Acquisition Reform Act of
2019''.
SEC. 2. ACQUISITION AUTHORITIES FOR UNDER SECRETARY FOR MANAGEMENT OF
THE DEPARTMENT OF HOMELAND SECURITY.
Section 701 of the Homeland Security Act of 2002 (6 U.S.C. 341) is
amended by--
(1) redesignating subsection (d), the first subsection (e)
(relating to the system for award management consultation), and
the second subsection (e) (relating to the definition of
interoperable communications) as subsections (e), (f), and (g),
respectively; and
(2) inserting after subsection (c) the following new
subsection:
``(d) Acquisition and Related Responsibilities.--
``(1) In general.--Notwithstanding section 1702(a) of title
41, United States Code, the Under Secretary for Management is
the Chief Acquisition Officer of the Department. As Chief
Acquisition Officer, the Under Secretary shall have the
authorities and perform the functions specified in such section
1702(b), and perform all other functions and responsibilities
delegated by the Secretary or described in this subsection.
``(2) Functions and responsibilities.--In addition to the
authorities and functions specified in section 1702(b) of title
41, United States Code, the functions and responsibilities of
the Under Secretary for Management related to acquisition (as
such term is defined in section 711) include the following:
``(A) Advising the Secretary regarding acquisition
management activities, taking into account risks of
failure to achieve cost, schedule, or performance
parameters, to ensure that the Department achieves its
mission through the adoption of widely accepted program
management best practices (as such term is defined in
section 711) and standards and, where appropriate,
acquisition innovation best practices.
``(B) Leading the Department's acquisition
oversight body, the Acquisition Review Board.
``(C) Exercising the acquisition decision authority
(as such term is defined in section 711) to approve,
pause, modify (including the rescission of approvals of
program milestones), or cancel major acquisition
programs (as such term is defined in section 711),
unless the Under Secretary delegates such authority to
a Component Acquisition Executive (as such term is
defined in section 711) pursuant to paragraph (3).
``(D) Establishing policies for acquisition that
implement an approach that takes into account risks of
failure to achieve cost, schedule, or performance
parameters that all components of the Department shall
comply with, including outlining relevant authorities
for program managers to effectively manage acquisition
programs (as such term is defined in section 711).
``(E) Ensuring that each major acquisition program
has a Department-approved acquisition program baseline
(as such term is defined in section 711), pursuant to
the Department's acquisition management policy.
``(F) Assisting the heads of components and
Component Acquisition Executives in efforts to comply
with Federal law, the Federal Acquisition Regulation,
and Department acquisition management directives.
``(G) Ensuring that grants and financial assistance
are provided only to individuals and organizations that
are not suspended or debarred.
``(H) Distributing guidance throughout the
Department to ensure that contractors involved in
acquisitions, particularly contractors that access the
Department's information systems and technologies,
adhere to relevant Department policies related to
physical and information security as identified by the
Under Secretary for Management.
``(I) Overseeing the Component Acquisition
Executive organizational structure to ensure Component
Acquisition Executives have sufficient capabilities and
comply with Department acquisition policies.
``(3) Delegation of certain acquisition decision
authority.--
``(A) Level 3 acquisitions.--The Under Secretary
for Management may delegate acquisition decision
authority to the relevant Component Acquisition
Executive for an acquisition program that has a life
cycle cost estimate of less than $300,000,000.
``(B) Level 2 acquisitions.--The Under Secretary
for Management may delegate acquisition decision
authority in writing to the relevant Component
Acquisition Executive for a major acquisition program
that has a life cycle cost estimate of at least
$300,000,000 but not more than $1,000,000,000 if all of
the following requirements are met:
``(i) The component concerned possesses
working policies, processes, and procedures
that are consistent with Department-level
acquisition policy.
``(ii) The Component Acquisition Executive
concerned has adequate, experienced, and
dedicated professional employees with program
management training, as applicable,
commensurate with the size of the acquisition
programs and related activities delegated to
such Component Acquisition Executive by the
Under Secretary for Management.
``(iii) Each major acquisition program
concerned has written documentation showing
that it has a Department-approved acquisition
program baseline and it is meeting agreed-upon
cost, schedule, and performance thresholds.
``(C) Level 1 acquisitions.--The Under Secretary
for Management may delegate acquisition decision
authority in writing to the relevant Component
Acquisition Executive for a Level 1 major acquisition
program that has a life cycle cost estimate of more
than $1,000,000,000 if all of the following
requirements are met:
``(i) The Undersecretary for Management
conducts a risk assessment of the planned
acquisition and determines that it is
appropriate to delegate authority for such
major acquisition program.
``(ii) The component concerned possesses
working policies, processes, and procedures
that are consistent with Department-level
acquisition policy.
``(iii) The Component Acquisition Executive
concerned has adequate, experienced, and
dedicated professional employees with program
management training, as applicable,
commensurate with the size of the acquisition
programs and related activities delegated to
such Component Acquisition Executive by the
Under Secretary for Management.
``(iv) Each Level 1 major acquisition
program concerned has written documentation
showing that it has a Department-approved
acquisition program baseline and it is meeting
agreed-upon cost, schedule, and performance
thresholds.
``(v) The Under Secretary for Management
provides written notification to the
appropriate congressional committees of the
decision to delegate the authority to the
relevant Component Acquisition Executive.
``(4) Relationship to under secretary for science and
technology.--
``(A) In general.--Nothing in this subsection shall
diminish the authority granted to the Under Secretary
for Science and Technology under this Act. The Under
Secretary for Management and the Under Secretary for
Science and Technology shall cooperate in matters
related to the coordination of acquisitions across the
Department so that investments of the Directorate of
Science and Technology are able to support current and
future requirements of the components of the
Department.
``(B) Operational testing and evaluation.--The
Under Secretary for Science and Technology shall--
``(i) ensure, in coordination with relevant
component heads, that major acquisition
programs--
``(I) complete operational testing
and evaluation of technologies and
systems to be acquired or developed by
major acquisition programs to assess
operational effectiveness, suitability,
and cybersecurity;
``(II) use independent verification
and validation of operational test and
evaluation implementation and results,
as appropriate; and
``(III) document whether such
programs meet all performance
requirements included in their
acquisition program baselines;
``(ii) ensure that such operational testing
and evaluation includes all system components
and incorporates operators into the testing to
ensure that systems perform as intended in the
appropriate operational setting; and
``(iii) determine if testing conducted by
other Federal departments and agencies and
private entities is relevant and sufficient in
determining whether systems perform as intended
in the operational setting.''.
SEC. 3. ACQUISITION AUTHORITIES FOR CHIEF FINANCIAL OFFICER OF THE
DEPARTMENT OF HOMELAND SECURITY.
Paragraph (2) of section 702(b) of the Homeland Security Act of
2002 (6 U.S.C. 342(b)) is amended by--
(1) redesignating subparagraph (I) as subparagraph (J); and
(2) inserting after subparagraph (H) the following new
subparagraph:
``(I) Oversee the costs of acquisition programs (as
such term is defined in section 711) and related
activities to ensure that actual and planned costs are
in accordance with budget estimates and are affordable,
or can be adequately funded, over the life cycle of
such programs and activities.''.
SEC. 4. ACQUISITION AUTHORITIES FOR CHIEF INFORMATION OFFICER OF THE
DEPARTMENT OF HOMELAND SECURITY.
Section 703 of the Homeland Security Act of 2002 (6 U.S.C. 343) is
amended--
(1) by redesignating subsection (b) as subsection (c); and
(2) by inserting after subsection (a) the following new
subsection:
``(b) Acquisition Responsibilities.--In addition to the
responsibilities specified in section 11315 of title 40, United States
Code, the acquisition responsibilities of the Chief Information
Officer, in consultation with the Under Secretary for Management, shall
include the following:
``(1) Overseeing the management of the Homeland Security
Enterprise Architecture and ensuring that, before each
acquisition decision event (as such term is defined in section
711), approved information technology acquisitions comply with
any departmental information technology management
requirements, security protocols, and the Homeland Security
Enterprise Architecture, and in any case in which information
technology acquisitions do not comply with the Department's
management directives, making recommendations to the
Department's Acquisition Review Board regarding such
noncompliance.
``(2) Providing recommendations to the Acquisition Review
Board regarding information technology programs, and developing
information technology acquisition strategic guidance.''.
SEC. 5. ACQUISITION AUTHORITIES FOR UNDER SECRETARY OF STRATEGY,
POLICY, AND PLANS.
Subsection (c) of section 709 of the Homeland Security Act of 2002
(6 U.S.C. 349) is amended by--
(1) redesignating paragraphs (4) through (7) as (5) through
(8), respectively; and
(2) inserting after paragraph (3) the following new
paragraph:
``(4) ensure acquisition programs (as such term is defined
in section 711) support the DHS Quadrennial Homeland Security
Review Report, the DHS Strategic Plan, the DHS Strategic
Priorities, and other appropriate successor documents;''.
SEC. 6. ACQUISITION AUTHORITIES FOR PROGRAM ACCOUNTABILITY AND RISK
MANAGEMENT (PARM).
(a) In General.--Title VII of the Homeland Security Act of 2002 (6
U.S.C. 341 et seq.) is amended by adding at the end the following new
section:
``SEC. 711. ACQUISITION AUTHORITIES FOR PROGRAM ACCOUNTABILITY AND RISK
MANAGEMENT.
``(a) Establishment of Office.--Within the Management Directorate,
there shall be a Program Accountability and Risk Management office to--
``(1) provide consistent accountability, standardization,
and transparency of major acquisition programs of the
Department;
``(2) serve as the central oversight function for all
Department major acquisition programs; and
``(3) provide review and analysis of Department acquisition
programs, as appropriate.
``(b) Responsibilities of Executive Director.--The Program
Accountability and Risk Management office shall be led by an Executive
Director to oversee the requirements specified in subsection (a). The
Executive Director shall report directly to the Under Secretary for
Management, and shall carry out the following responsibilities:
``(1) Monitor regularly the performance of Department major
acquisition programs between acquisition decision events to
identify problems with cost, performance, or schedule that
components may need to address to prevent cost overruns,
performance issues, or schedule delays.
``(2) Assist the Under Secretary for Management in managing
the Department's acquisition programs and related activities.
``(3) Conduct oversight of individual acquisition programs
to implement Department acquisition program policy, procedures,
and guidance with a priority on ensuring the data the office
collects and maintains from Department components is accurate
and reliable.
``(4) Serve as the focal point and coordinator for the
acquisition life cycle review process and as the executive
secretariat for the Department's Acquisition Review Board.
``(5) Advise the persons having acquisition decision
authority in making acquisition decisions consistent with all
applicable laws and in establishing clear lines of authority,
accountability, and responsibility for acquisition
decisionmaking within the Department.
``(6) Assist the Chief Procurement Officer of the
Department, as appropriate, in developing strategies and
specific plans for hiring, training, and professional
development to address any deficiency within the Department's
acquisition workforce.
``(7) Develop standardized certification standards in
consultation with the Component Acquisition Executives for all
acquisition program managers.
``(8) Assess the results of major acquisition programs'
post-implementation reviews and identify opportunities to
improve performance throughout the acquisition process.
``(9) Provide technical support and assistance to
Department acquisition programs and acquisition personnel and
coordinate with the Chief Procurement Officer regarding
workforce training and development activities.
``(10) Assist, as appropriate, with the preparation of the
Future Years Homeland Security Program, and make such
information available to the congressional homeland security
committees.
``(c) Responsibilities of Components.--Each head of a component
shall comply with Federal law, the Federal Acquisition Regulation, and
Department acquisition management directives established by the Under
Secretary for Management. For each major acquisition program, each head
of a component shall--
``(1) define baseline requirements and document changes to
such requirements, as appropriate;
``(2) establish a complete life cycle cost estimate with
supporting documentation that is consistent with cost
estimating best practices as identified by the Comptroller
General of the United States;
``(3) verify each life cycle cost estimate against
independent cost estimates or assessments, as appropriate, and
reconcile any differences;
``(4) complete a cost-benefit analysis with supporting
documentation;
``(5) develop and maintain a schedule that is consistent
with scheduling best practices as identified by the Comptroller
General of the United States, including, in appropriate cases,
an integrated master schedule; and
``(6) ensure that all acquisition program information
provided by the component is complete, accurate, timely, and
valid.
``(d) Definitions.--In this section:
``(1) Acquisition.--The term `acquisition' has the meaning
given such term in section 131 of title 41, United States Code.
``(2) Acquisition decision authority.--The term
`acquisition decision authority' means the authority, held by
the Secretary acting through the Deputy Secretary or Under
Secretary for Management to--
``(A) ensure compliance with Federal law, the
Federal Acquisition Regulation, and Department
acquisition management directives;
``(B) review (including approving, pausing,
modifying, or canceling) an acquisition program through
the life cycle of such program;
``(C) ensure that acquisition program managers have
the resources necessary to successfully execute an
approved acquisition program;
``(D) ensure good acquisition program management of
cost, schedule, risk, and system performance of the
acquisition program at issue, including assessing
acquisition program baseline breaches and directing any
corrective action for such breaches; and
``(E) ensure that acquisition program managers, on
an ongoing basis, monitor cost, schedule, and
performance against established baselines and use tools
to assess risks to an acquisition program at all phases
of the life cycle of such program to avoid and mitigate
acquisition program baseline breaches.
``(3) Acquisition decision event.--The term `acquisition
decision event', with respect to an acquisition program, means
a predetermined point within each of the acquisition phases at
which the acquisition decision authority determines whether
such acquisition program shall proceed to the next acquisition
phase.
``(4) Acquisition program.--The term `acquisition program'
means the process by which the Department acquires, with any
appropriated amounts or fee funding, by contract for purchase
or lease, property or services (including construction) that
support the missions and goals of the Department.
``(5) Acquisition program baseline.--The term `acquisition
program baseline', with respect to an acquisition program,
means a summary of the cost, schedule, and performance
parameters, expressed in standard, measurable, quantitative
terms, which must be met in order to accomplish the goals of
such program.
``(6) Best practices.--The term `best practices', with
respect to acquisition, means a knowledge-based approach to
capability development that includes the following:
``(A) Identifying and validating needs.
``(B) Assessing alternatives to select the most
appropriate solution.
``(C) Clearly establishing well-defined
requirements.
``(D) Developing realistic cost assessments and
schedules.
``(E) Securing stable funding that matches
resources to requirements.
``(F) Demonstrating technology, design, and
manufacturing maturity.
``(G) Using milestones and exit criteria or
specific accomplishments that demonstrate progress.
``(H) Adopting and executing standardized processes
with known success across programs.
``(I) Establishing an adequate workforce that is
qualified and sufficient to perform necessary
functions.
``(J) Integrating the capabilities described in
subparagraphs (A) through (I) into the Department's
mission and business operations.
``(7) Breach.--The term `breach', with respect to a major
acquisition program, means a failure to meet any cost,
schedule, or performance threshold specified in the most
recently approved acquisition program baseline.
``(8) Congressional homeland security committees.--The term
`congressional homeland security committees' means--
``(A) the Committee on Homeland Security of the
House of Representatives and the Committee on Homeland
Security and Governmental Affairs of the Senate; and
``(B) the Committee on Appropriations of the House
of Representatives and the Committee on Appropriations
of the Senate.
``(9) Component acquisition executive.--The term `Component
Acquisition Executive' means the senior acquisition official
within a component who is designated in writing by the Under
Secretary for Management, in consultation with the component
head, with authority and responsibility for leading a process
and staff to provide acquisition and program management
oversight, policy, and guidance to ensure that statutory,
regulatory, and higher level policy requirements are fulfilled,
including compliance with Federal law, the Federal Acquisition
Regulation, and Department acquisition management directives
established by the Under Secretary for Management.
``(10) Major acquisition program.--The term `major
acquisition program' means a Department acquisition program
that is estimated by the Secretary to require an eventual total
expenditure of at least $300,000,000 (based on fiscal year 2019
constant dollars) over its life cycle cost or a program
identified by the Chief Acquisition Officer as a program of
special interest.''.
(b) Clerical Amendment.--The table of contents in section 1(b) of
the Homeland Security Act of 2002 is amended by inserting after the
item relating to section 710 the following new item:
``Sec. 711. Acquisition authorities for Program Accountability and Risk
Management.''.
Passed the House of Representatives February 10, 2020.
Attest:
CHERYL L. JOHNSON,
Clerk.
By Robert F. Reeves,
Deputy Clerk.