[Congressional Bills 117th Congress]
[From the U.S. Government Publishing Office]
[H.R. 6871 Referred in Senate (RFS)]
<DOC>
117th CONGRESS
2d Session
H. R. 6871
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
May 18 (legislative day, May 17), 2022
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''.
SEC. 2. ACQUISITION AUTHORITIES FOR THE UNDER SECRETARY OF MANAGEMENT
OF THE DEPARTMENT OF HOMELAND SECURITY.
Section 701 of the Homeland Security Act of 2002 (6 U.S.C. 341) is
amended--
(1) in subsection (a)--
(A) in paragraph (2), by inserting ``and
acquisition management'' after ``Procurement''; and
(B) in paragraph (6), by inserting ``(including
firearms and other sensitive assets)'' after
``equipment'';
(2) by redesignating subsections (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
(3) by 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 section
1702(b) of such title, 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 131 of such title) include the
following:
``(A) Advising the Secretary regarding acquisition
management activities, considering 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 714) and
standards and, where appropriate, acquisition
innovation best practices.
``(B) Leading the Department's acquisition
oversight body, the Acquisition Review Board.
``(C) Synchronizing interagency coordination
relating to acquisition programs and acquisition
management efforts of the Department.
``(D) Exercising the acquisition decision authority
(as such term is defined in section 714) to approve,
pause, modify (including the rescission of approvals of
program milestones), or cancel major acquisition
programs (as such term is defined in section 714),
unless the Under Secretary delegates such authority to
a Component Acquisition Executive (as such term is
defined in section 714) pursuant to paragraph (3).
``(E) Providing additional scrutiny and oversight
for an acquisition that is not a major acquisition if--
``(i) the acquisition is for a program that
is important to the strategic and performance
plans of the Department;
``(ii) the acquisition is for a program
with significant program or policy
implications; and
``(iii) the Secretary determines that such
scrutiny and oversight for the acquisition is
proper and necessary.
``(F) Establishing policies for managing
acquisitions across the Department that promote best
practices (as such term is defined in section 714).
``(G) Establishing policies for acquisition that
implement an approach that considers 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 714).
``(H) Ensuring that each major acquisition program
has a Department-approved acquisition program baseline
(as such term is defined in section 714), pursuant to
the Department's acquisition management policy that is
traceable to the life-cycle cost estimate of the
program, integrated master schedule, and operational
requirements.
``(I) 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.
``(J) Ensuring that grants and financial assistance
are provided only to individuals and organizations that
are not suspended or debarred.
``(K) 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.
``(L) Overseeing the Component Acquisition
Executive organizational structure to ensure Component
Acquisition Executives have sufficient capabilities and
comply with Department acquisition policies.
``(M) Developing and managing a professional
acquisition workforce to ensure the goods and services
acquired by the Department meet the needs of the
mission and are at the best value for the expenditure
of public resources.
``(3) Delegation of certain acquisition decision
authority.--The Under Secretary for Management may delegate
acquisition decision authority, in writing, to the relevant
Component Acquisition Executive for a major capital asset,
service, or hybrid acquisition program that has a life-cycle
cost estimate of at least $300,000,000 but not more than
$1,000,000,000, based on fiscal year 2022 constant dollars,
if--
``(A) the component concerned possesses working
policies, processes, and procedures that are consistent
with Department acquisition policy;
``(B) the Component Acquisition Executive concerned
has adequate, experienced, and dedicated professional
employees with program management training; and
``(C) each major acquisition program has a
Department-approved acquisition program baseline, and
it is meeting agreed-upon cost, schedule, and
performance thresholds.''.
SEC. 3. OFFICE OF TEST AND EVALUATION OF THE DEPARTMENT OF HOMELAND
SECURITY.
(a) In General.--Title III of the Homeland Security Act of 2002 (6
U.S.C. 181 et seq.) is amended by adding at the end the following new
section:
``SEC. 323. OFFICE OF TEST AND EVALUATION.
``(a) Establishment of Office.--There is established in the
Directorate of Science and Technology of the Department an Office of
Test and Evaluation (in this section referred to as the `Office'). The
Office shall--
``(1) serve as the principal advisory office for test and
evaluation support across the Department; and
``(2) serve as the test and evaluation liaison with--
``(A) Federal agencies and foreign, State, local,
Tribal, and territorial governments;
``(B) the private sector;
``(C) institutions of higher education; and
``(D) other relevant entities.
``(b) Director.--The Office shall be led by a Director. The
Director shall oversee the duties specified in subsection (a) and carry
out the following responsibilities:
``(1) Serve as a member of the Department's Acquisition
Review Board.
``(2) Establish and update, as necessary, test and
evaluation policies, procedures, and guidance for the
Department.
``(3) Ensure, in coordination with the Chief Acquisition
Officer, the Joint Requirements Council, the Under Secretary
for Science and Technology, and relevant component heads, that
acquisition programs (as such term is defined in section 714)--
``(A) complete reviews of operational requirements
to ensure such requirements--
``(i) are informed by threats, including
physical and cybersecurity threats;
``(ii) are operationally relevant; and
``(iii) are measurable, testable, and
achievable within the constraints of cost and
schedule;
``(B) complete independent testing and evaluation
of a system or service throughout development of such
system or service;
``(C) complete operational testing and evaluation
that includes all system components and incorporates
operators into such testing and evaluation to ensure
that a system or service satisfies the mission
requirements in the operational environment of such
system or service as intended in the acquisition
program baseline;
``(D) use independent verification and validation
of test and evaluation implementation and results, as
appropriate; and
``(E) document whether such programs meet all
operational requirements.
``(4) Provide oversight of test and evaluation activities
for major acquisition programs throughout the acquisition life
cycle by--
``(A) approving program test and evaluation master
plans, plans for individual test and evaluation events,
and other related documentation, determined appropriate
by the Director;
``(B) approving which independent test and
evaluation agent or third-party tester is selected for
each program; and
``(C) providing an independent assessment to the
acquisition decision authority (as such term is defined
in section 714) that assesses a program's progress in
meeting operational requirements and operational
effectiveness, suitability, and resilience to inform
production and deployment decisions.
``(5) Determine if testing of a system or service conducted
by other Federal agencies, entities, or institutions of higher
education are relevant and sufficient in determining whether
such system or service performs as intended.
``(c) Annual Report.--
``(1) In general.--Not later than one year after the date
of the enactment of this section and annually thereafter, the
Director of the Office shall submit to the Secretary, the Under
Secretary for Management, component heads, and the Committee on
Homeland Security of the House of Representatives and the
Committee on Homeland Security and Governmental Affairs a
report relating to the test and evaluation activities of the
major acquisition programs of the Department for the previous
fiscal year.
``(2) Elements.--Each report required under paragraph (1)
shall include the following:
``(A) An assessment of--
``(i) test and evaluation activities
conducted for each major acquisition program
with respect to demonstrating operational
requirements and operational effectiveness,
suitability, and resilience for each such
program;
``(ii) any waivers of, or deviations from,
approved program test and evaluation master
plans referred to in subsection (b)(3)(A);
``(iii) any concerns raised by the
independent test and evaluation agent or third-
party tester selected and approved under
subsection (b)(3)(B) relating to such waivers
or deviations; and
``(iv) any actions that have been taken or
are planned to be taken to address such
concerns.
``(B) Recommendations with respect to resources,
facilities, and levels of funding made available for
test and evaluation activities referred to in
subparagraph (A).
``(3) Form.--Each report required under paragraph (1) shall
be submitted in unclassified form but may include a classified
annex.
``(d) Relationship to Under Secretary for Science and Technology.--
``(1) In general.--The Under Secretary for Management and
the Under Secretary for Science and Technology shall coordinate
in matters related to Department-wide acquisitions so that
investments of the Directorate of Science and Technology are
able to support current and future requirements of the
components of the Department.
``(2) Rule of construction.--Nothing in this subsection may
be construed as affecting or diminishing the authority of the
Under Secretary for Science and Technology.''.
(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 322 the following new item:
``Sec. 323. Office of Test and Evaluation.''.
SEC. 4. 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 714) 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. 5. 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
714), 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 so comply, 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. 6. ACQUISITION AUTHORITIES FOR UNDER SECRETARY OF STRATEGY,
POLICY, AND PLANS OF THE DEPARTMENT OF HOMELAND SECURITY.
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 714) support the DHS Quadrennial Homeland Security
Review Report, the DHS Strategic Plan, the DHS Strategic
Priorities, and other appropriate successor documents;''.
SEC. 7. ACQUISITION AUTHORITIES FOR PROGRAM ACCOUNTABILITY AND RISK
MANAGEMENT (PARM) OF THE DEPARTMENT OF HOMELAND SECURITY.
(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. 714. PROGRAM ACCOUNTABILITY AND RISK MANAGEMENT OFFICE.
``(a) Establishment of Office.--There is established in the
Management Directorate of the Department a Program Accountability and
Risk Management office. Such office shall--
``(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) Executive Director.--The Program Accountability and Risk
Management office shall be led by an Executive Director. The Executive
Director shall oversee the duties specified in subsection (a), report
directly to the Under Secretary for Management, and carry out the
following responsibilities:
``(1) Regularly monitor 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, acquisition workforce,
and related activities of the Department.
``(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 to--
``(A) make acquisition decisions consistent with
all applicable laws; and
``(B) establish clear lines of authority,
accountability, and responsibility for acquisition
decision-making within the Department.
``(6) Develop standardized certification standards, in
consultation with the Component Acquisition Executives, for all
acquisition program managers.
``(7) Assess the results of major acquisition programs'
post-implementation reviews, and identify opportunities to
improve performance throughout the acquisition process.
``(8) 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.
``(9) Assist, as appropriate, with the preparation of the
Future Years Homeland Security Program, and make such
information available to the congressional homeland security
committees.
``(10) In coordination with the Component Acquisition
Executives, maintain the Master Acquisition Oversight List,
updated quarterly, that shall serve as an inventory of all
major acquisition programs and non-major acquisition programs
within the Department, including for each such program--
``(A) the component sponsoring the acquisition;
``(B) the name of the acquisition;
``(C) the acquisition level as determined by the
anticipated life-cycle cost of the program and other
criteria pursuant to the Department-level acquisition
policy;
``(D) the acquisition decision authority for the
acquisition; and
``(E) the current acquisition phase.
``(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) establish an organizational structure for conducting
acquisitions within the component, to be managed by a Component
Acquisition Executive;
``(2) obtain the resources necessary to operate such an
organizational structure that are aligned with the number,
type, size, and complexity of the acquisition programs of the
component; and
``(3) oversee sustainment of capabilities deployed by major
acquisition programs and non-major acquisition programs after
all planned deployments are completed until such capabilities
are retired or replaced.
``(d) Responsibilities of Component Acquisition Executives.--Each
Component Acquisition Executive shall--
``(1) establish and implement policies and guidance for
managing and conducting oversight for major acquisition
programs and non-major acquisition programs within the
component at issue that comply with Federal law, the Federal
Acquisition Regulation, and Department acquisition management
directives established by the Under Secretary for Management;
``(2) for each major acquisition program--
``(A) define baseline requirements and document
changes to such requirements, as appropriate;
``(B) 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;
``(C) verify each life cycle cost estimate against
independent cost estimates or assessments, as
appropriate, and reconcile any differences;
``(D) complete a cost-benefit analysis with
supporting documentation; and
``(E) 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;
``(3) ensure that all acquisition program documentation
provided by the component demonstrates the knowledge required
for successful program execution prior to final approval and is
complete, accurate, timely, and valid;
``(4) in such cases where it is appropriate, exercise the
acquisition decision authority to approve, pause, modify
(including the rescission of approvals of program milestones),
or cancel major acquisition programs or non-major acquisition
programs when delegated by the Under Secretary for Management
pursuant to section 701(d)(3); and
``(5) review, oversee, and direct activities between
acquisition decision events for major acquisition programs
within the component for which the Under Secretary for
Management is the acquisition decision authority.
``(e) 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, in
addition to the authorities and functions specified in
subsection (b) of section 1702 of title 41, United States Code,
held by the Secretary acting through the 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
throughout 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 appropriate acquisition program
management of cost, schedule, risk, and system or
service performance of the acquisition program at
issue, including assessing acquisition program baseline
breaches and directing any corrective action for such
breaches;
``(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; and
``(F) establish policies and procedures for major
acquisition programs of the Department.
``(3) Acquisition decision event.--The term `acquisition
decision event', with respect to an acquisition program, means
a predetermined point within the acquisition life-cycle 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 conceptualization, initiation, design, development,
test, contracting, production, deployment, logistics support,
modification, or disposal of systems, supplies, or services
(including construction) to satisfy the Department's needs.
``(5) Acquisition program baseline.--The term `acquisition
program baseline', with respect to an acquisition program,
means the cost, schedule, and performance parameters, expressed
in standard, measurable, quantitative terms, which must be met
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, procurement, and support that includes
the following:
``(A) Identifying and validating needs.
``(B) Assessing alternatives to select the most
appropriate solution.
``(C) Establishing well-defined requirements.
``(D) Developing realistic cost assessments and
schedules that account for the entire life-cycle of an
acquisition.
``(E) Demonstrating technology, design, and
manufacturing maturity before initiating production.
``(F) Using milestones and exit criteria or
specific accomplishments that demonstrate the
attainment of knowledge to support progress throughout
the acquisition phases.
``(G) Regularly assessing and managing risks to
achieve requirements and cost and schedule goals.
``(H) To the maximum extent possible, adopting and
executing standardized processes.
``(I) Establishing a workforce that is qualified to
perform necessary acquisition roles.
``(J) Integrating into the Department's mission and
business operations the capabilities described in
subparagraphs (A) through (I).
``(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.
``(10) Life-cycle cost.--The term `life-cycle cost' means
the total cost to the Government of acquiring, operating,
supporting, and (if applicable) disposing of the items being
acquired.
``(11) Major acquisition program.--The term `major
acquisition program' means a Department capital asset,
services, or hybrid acquisition program that is estimated by
the Secretary to require an eventual total expenditure of at
least $300,000,000 (based on fiscal year 2022 constant dollars)
over its life cycle 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. 714. Program Accountability and Risk Management office.''.
SEC. 8. ACQUISITION DOCUMENTATION.
(a) In General.--Subtitle D of title VIII of the Homeland Security
Act of 2002 (6 U.S.C. 391 et seq.), as amended by this Act, is further
amended by adding at the end the following new section:
``SEC. 837. ACQUISITION DOCUMENTATION.
``For each major acquisition program (as such term is defined in
section 714), the Secretary, acting through the Under Secretary for
Management, shall require the head of each relevant component or office
of the Department to--
``(1) maintain acquisition documentation that is complete,
accurate, timely, and valid, and that includes--
``(A) operational requirements that are validated
consistent with departmental policy;
``(B) a complete life-cycle cost estimate with
supporting documentation;
``(C) verification of such life-cycle cost estimate
against independent cost estimates, and reconciliation
of any differences;
``(D) a cost-benefit analysis with supporting
documentation;
``(E) an integrated master schedule with supporting
documentation;
``(F) plans for conducting systems engineering
reviews and test and evaluation activities throughout
development to support production and deployment
decisions;
``(G) an acquisition plan that outlines the
procurement approach, including planned contracting
vehicles;
``(H) a logistics and support plan for operating
and maintaining deployed capabilities until such
capabilities are disposed of or retired; and
``(I) an acquisition program baseline that is
traceable to the operational requirements of the
program required under subparagraphs (A), (B), and (E);
``(2) prepare cost estimates and schedules for major
acquisition programs pursuant to subparagraphs (B) and (E) of
paragraph (1) in a manner consistent with best practices as
identified by the Comptroller General of the United States; and
``(3) ensure any revisions to the acquisition documentation
maintained pursuant to paragraph (1) are reviewed and approved
in accordance with departmental policy.''.
(b) Clerical Amendment.--The table of contents in section 1(b) of
the Homeland Security Act of 2002 is amended by adding after the item
relating to section 836, as added by section 3 of this Act, the
following new item:
``Sec. 837. Acquisition documentation.''.
Passed the House of Representatives May 17, 2022.
Attest:
CHERYL L. JOHNSON,
Clerk.