[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3838 Introduced in House (IH)]

<DOC>






119th CONGRESS
  1st Session
                                H. R. 3838

     To authorize appropriations for fiscal year 2026 for military 
activities of the Department of Defense, for military construction, and 
   for defense activities of the Department of Energy, to prescribe 
   military personnel strengths for such fiscal year, and for other 
                               purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                              June 9, 2025

    Mr. Rogers of Alabama (for himself and Mr. Smith of Washington) 
 introduced the following bill; which was referred to the Committee on 
                             Armed Services

_______________________________________________________________________

                                 A BILL


 
     To authorize appropriations for fiscal year 2026 for military 
activities of the Department of Defense, for military construction, and 
   for defense activities of the Department of Energy, to prescribe 
   military personnel strengths for such fiscal year, 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; TABLE OF CONTENTS.

    (a) Short Title.--This Act may be cited as the ``Streamlining 
Procurement for Effective Execution and Delivery Act of 2025'' or the 
``SPEED Act''.
    (b) Table of Contents.--The table of contents for this Act is as 
follows:

Sec. 1. Short title; table of contents.
TITLE I--ALIGNING ACQUISITION TO WARFIGHTER PRIORITIES AND OPERATIONAL 
                                OUTCOMES

Sec. 101. Alignment of the defense acquisition system with the needs of 
                            members of the Armed Forces.
Sec. 102. Program executive officer responsibilities.
Sec. 103. Major capability activity areas and pathfinder programs.
Sec. 104. Product support manager responsibilities and requirements.
Sec. 105. Amendments to life-cycle management and product support.
Sec. 106. Navy Senior Technical Authority.
            TITLE II--ACCELERATING THE REQUIREMENTS PROCESS

Sec. 201. Joint Requirements Council.
Sec. 202. Establishment of the Requirements, Acquisition, and 
                            Programming Integration Directorate.
Sec. 203. Establishment of the Mission Engineering and Integration 
                            Activity.
   TITLE III--STRIKING THE BALANCE BETWEEN REGULATION AND EFFICIENCY

Sec. 301. Matters related to Department of Defense use of cost 
                            accounting standards.
Sec. 302. Review of commercial buying practices.
Sec. 303. Adjustments to certain acquisition thresholds.
Sec. 304. Alternative capability-based pricing.
Sec. 305. Clarification of conditions for payments for commercial 
                            products and commercial services.
  TITLE IV--STRENGTHENING THE DEFENSE INDUSTRIAL BASE AND LEVERAGING 
                         COMMERCIAL INNOVATION

Sec. 401. Defense Industrial Resilience Consortium.
Sec. 402. Amendment to other transaction authority.
Sec. 403. Data-as-a-service solutions for weapon system contracts.
Sec. 404. Requirements for modular open system approach and 
                            modifications to rights in technical data.
Sec. 405. Qualification, acceptance, and supply chain management of 
                            products manufactured using advanced 
                            manufacturing.
Sec. 406. Amendments to the procurement technical assistance program.
Sec. 407. Report on surge capacity in the defense industrial base.
Sec. 408. Bridging Operational Objectives and Support for Transition 
                            program.
  TITLE V--DEVELOPING A MISSION-ORIENTED DEFENSE ACQUISITION WORKFORCE

Sec. 501. Report on strengthening the Defense Acquisition University.
Sec. 502. Comptroller General review of the management, training, and 
                            development of the acquisition workforce.
Sec. 503. Comptroller General review of matters relating to individuals 
                            assigned to a critical acquisition 
                            position.

TITLE I--ALIGNING ACQUISITION TO WARFIGHTER PRIORITIES AND OPERATIONAL 
                                OUTCOMES

SEC. 101. ALIGNMENT OF THE DEFENSE ACQUISITION SYSTEM WITH THE NEEDS OF 
              MEMBERS OF THE ARMED FORCES.

    (a) Implementation.--Not later than 30 days after the date of the 
enactment of this Act, the Secretary of Defense shall revise Department 
of Defense Directive 5000.01 and any other relevant instructions, 
policies, or guidance to carry out the requirements of this section and 
the amendments made by this section.
    (b) Objectives of Defense Acquisition System.--
            (1) In general.--Section 3102 of title 10, United States 
        Code, is amended to read as follows:
``Sec. 3102. Objectives of the defense acquisition system
    ``(a) In General.--The Secretary of Defense shall ensure that the 
defense acquisition system exists to expeditiously provide the Armed 
Forces with the capabilities necessary to operate effectively, to 
address evolving threats, and to maintain the military advantage of the 
United States in the most cost-effective manner practicable.
    ``(b) Guidance.--The Secretary of Defense shall issue guidance to 
carry out subsection (a) that requires the following:
            ``(1) All activities of the defense acquisition system 
        contribute to the expeditious delivery of capabilities to 
        enhance the operational readiness of the Armed Forces and 
        enable the missions of the Department of Defense.
            ``(2) The defense acquisition system maximizes the 
        effective use of resources by delivering capabilities that 
        offer the best value for the investment made in each 
        capability.
            ``(3) The defense acquisition system encourages and 
        supports the integration of innovative solutions to enhance 
        military effectiveness and responsiveness to emerging threats.
            ``(4) The defense acquisition system encourages an 
        iterative approach to designing and testing technical solutions 
        to enable early identification of solutions that do not deliver 
        desired results.
            ``(5) The defense acquisition system supports a leadership 
        and organizational structure that encourages risk-taking, 
        collaboration, and learning through failure.
            ``(6) The training and development of members of the 
        acquisition workforce ensures that such members have the skills 
        to effectively manage acquisition activities in accordance with 
        this section.''.
            (2) Conforming amendments.--
                    (A) Under secretary of defense for acquisition and 
                sustainment.--Section 133b(b) of title 10, United 
                States Code, is amended--
                            (i) in paragraph (1), by striking 
                        ``delivering and sustaining timely, cost-
                        effective capabilities for the Armed Forces 
                        (and the Department)'' and inserting 
                        ``expeditiously providing the Armed Forces with 
                        the capabilities necessary to operate 
                        effectively, to address evolving threats, and 
                        to maintain the military advantage of the 
                        United States in the most cost-effective manner 
                        practicable''; and
                            (ii) in paragraph (9)(A), by striking 
                        ``defense acquisition programs'' and inserting 
                        ``the defense acquisition system, in accordance 
                        with the objectives established pursuant to 
                        section 3102''.
                    (B) Director of operational test and evaluation.--
                Section 139(b) of title 10, United States Code, is 
                amended--
                            (i) by redesignating paragraphs (1) through 
                        (6) as paragraphs (2) through (7), 
                        respectively; and
                            (ii) by inserting before paragraph (2), as 
                        so redesignated, the following new paragraph:
            ``(1) ensure that all operational test and evaluation 
        activities are aligned with, and are conducted in a manner that 
        supports, the objectives of the defense acquisition system 
        established pursuant to section 3102 of this title;''.
                    (C) Director of cost assessment and program 
                evaluation.--Section 139a(d) of title 10, United States 
                Code, is amended by inserting ``shall carry out the 
                requirements of this section in accordance with the 
                objectives established pursuant to section 3102 of this 
                title and'' before ``shall serve''.
    (c) Civilian Management of the Defense Acquisition System.--Section 
3103 of title 10, United States Code, is amended--
            (1) in subsection (a), by striking ``to ensure the 
        successful and efficient operation of the defense acquisition 
        system'' and inserting ``in accordance with the objectives of 
        the defense acquisition system established pursuant to section 
        3102 of this title''; and
            (2) in subsection (b), by striking ``to ensure the 
        successful and efficient operation of such elements of the 
        defense acquisition system.'' and inserting the following: ``in 
        accordance with the objectives of the defense acquisition 
        system established pursuant to section 3102 of this title. In 
        carrying out this subsection, each service acquisition 
        executive shall perform the following:
            ``(1) Implement strategies to effectively and efficiently 
        respond to changes in capability requirements.
            ``(2) Use data-driven decisionmaking to manage trade-offs 
        among life-cycle costs, delivery schedules, performance 
        objectives, technical feasibility, and procurement quantity 
        objectives to ensure acquisition and sustainment programs 
        deliver the best value for the investment made in the program.
            ``(3) Use iterative development cycles and discontinue or 
        terminate the development of capabilities--
                    ``(A) that no longer align with approved capability 
                requirements or priorities; or
                    ``(B) are experiencing significant cost growth, 
                performance deficiencies, or delays in schedule.
            ``(4) Ensure the period of assignment of an individual 
        serving in a critical acquisition position (as defined in 
        section 1731 of this title) is of sufficient duration to ensure 
        the development and use of acquired expertise, institutional 
        capacity, accountability in decisionmaking, and stability in 
        the oversight and management of acquisition activities.
            ``(5) Ensure that contracting officers are appropriately 
        trained and assigned to support effective contract 
        management.''.
    (d) Acquisition-Related Functions of Chiefs of the Armed Forces.--
            (1) Performance of certain acquisition-related functions.--
        Section 3104(a) of title 10, United States Code, is amended--
                    (A) by inserting ``, in accordance with the 
                objectives established pursuant to section 3102 of this 
                title,'' after ``Secretary of the military department 
                concerned''; and
                    (B) by amending paragraphs (1) through (7) to read 
                as follows:
            ``(1) The development of capability requirement statements 
        for equipping the armed force concerned that--
                    ``(A) describe the operational problem to provide 
                necessary context for the capability requirement; and
                    ``(B) describe the solution sought in a non-
                prescriptive manner to allow agile and innovative 
                capability development to address the operational 
                problem;
            ``(2) The implementation of strategies to effectively and 
        efficiently inform recommendations regarding changes in 
        capability requirements described in paragraph (1).
            ``(3) The recommendation of trade-offs among life-cycle 
        costs, delivery schedules, performance objectives, technical 
        feasibility, and procurement quantity objectives to ensure 
        acquisition programs deliver the best value for the investment 
        made.
            ``(4) In consultation with the Joint Requirements Council, 
        the establishment and prioritization of requirements to 
        expeditiously provide the Armed Forces with the capabilities 
        needed to operate effectively, to address evolving threats, and 
        to maintain the military advantage of the United States.
            ``(5) The use of data-driven decision making to prioritize 
        resource allocation to meet operational readiness requirements 
        (as defined in section 4322 of this title) and the materiel 
        readiness objectives established by the Secretary of the 
        military department concerned under section 118(c) of this 
        title.
            ``(6) Support for an environment that enables the adoption 
        and integration of innovative solutions and technologies to 
        enhance military effectiveness and responsiveness.
            ``(7) Any recommendation for the termination of the 
        development of capabilities--
                    ``(A) that no longer align with approved capability 
                requirements or priorities;
                    ``(B) for which costs have significantly increased; 
                or
                    ``(C) for which schedule delays have been 
                significant.
            ``(8) Support for the development of career paths in 
        acquisition for military personnel (as required by section 
        1722a of this title) to ensure such personnel have the 
        necessary skills, knowledge, and experience to fulfill the 
        objectives established pursuant to section 3102 of this 
        title.''.
            (2) Adherence to requirements in major defense acquisition 
        programs.--Section 3104(b) of title 10, United States Code, is 
        amended--
                    (A) in paragraph (1), by striking ``program 
                capability document supporting a Milestone B or 
                subsequent decision'' and inserting ``requirements 
                documents''; and
                    (B) in paragraph (2)--
                            (i) in subparagraph (A), by striking 
                        ``prior to entry into the Materiel Solution 
                        Analysis Phase under Department of Defense 
                        Instruction 5000.02''; and
                            (ii) in subparagraph (B), by striking 
                        ``cost, schedule, technical feasibility, and 
                        performance trade-offs'' and inserting ``life-
                        cycle cost, delivery schedule, performance 
                        objective, technical feasibility, and 
                        procurement quantity trade-offs''.
            (3) Definitions.--Section 3104(d) of title 10, United 
        States Code, is amended to read as follows:
    ``(d) Requirements Document Defined.--In this section, the term 
`requirements document' means a document that establishes the need for 
a materiel approach to resolve a capability requirement or a joint 
capability requirement (as such terms are defined in section 181 of 
this title).''.
    (e) Technical Amendments.--
            (1) Section 3101 of title 10, United States Code, is 
        amended to read as follows:
``Sec. 3101. Definitions
    ``In this chapter:
            ``(1) The term `best value' means, with respect to an 
        acquisition, the optimal combination of cost, quality, 
        technical capability or solution quality, and delivery 
        schedule.
            ``(2) The term `capability requirement' has the meaning 
        provided in section 181 of this title.
            ``(3) The term `cost-effective' means, with respect to an 
        acquisition, the capacity to deliver better results for the 
        same or lower cost compared to alternatives.''.
            (2) Section 3001(c) of title 10, United States Code, is 
        amended by striking ``this section'' and inserting ``this 
        part''.

SEC. 102. PROGRAM EXECUTIVE OFFICER RESPONSIBILITIES.

    (a) In General.--Subchapter III of chapter 87 of title 10, United 
States Code, is amended by inserting after section 1731 the following 
new section:
``Sec. 1732. Program executive officer
    ``(a) In General.--A program executive officer is the senior 
official responsible for the oversight of the plans, budgets, and 
execution of the programs assigned to the portfolio of such senior 
official, including life-cycle management.
    ``(b) Objectives.--In carrying out the activities described in 
subsection (a), the program executive officer shall seek to achieve the 
following objectives:
            ``(1) Expeditiously provide the Armed Forces with the 
        capabilities needed to operate effectively, address evolving 
        threats, and maintain the military advantage of the United 
        States in the most cost-effective manner practicable.
            ``(2) Maximize the effective use of resources by delivering 
        capabilities that offer the best value for the investment made 
        in each capability.
            ``(3) Enable the integration of innovative solutions and 
        technologies to enhance military effectiveness and 
        responsiveness to emerging threats.
    ``(c) Specific Responsibilities.--
            ``(1) In general.--For the programs assigned to the 
        portfolio of a program executive officer, such program 
        executive officer shall be responsible for the following:
                    ``(A) Provide expeditious delivery of the 
                capabilities necessary to effectively respond to 
                national security challenges by overseeing the 
                procurement, development, and sustainment of defense 
                acquisition programs assigned to the program executive 
                officer.
                    ``(B) Ensure the cost-effective allocation of 
                resources by delivering operational capabilities.
                    ``(C) Adjust requirements, other than requirements 
                that are established as key performance parameters, to 
                maximize the agility and speed in program execution in 
                accordance with the objectives described in subsection 
                (b).
                    ``(D) Use iterative development cycles and 
                discontinue or terminate the development of 
                capabilities--
                            ``(i) that no longer align with approved 
                        capability requirements (as defined in section 
                        181 of this title) or priorities; or
                            ``(ii) that are experiencing significant 
                        cost growth, performance deficiencies, or 
                        delays in schedule.
                    ``(E) Evaluate and implement trade-offs among life-
                cycle costs, delivery schedules, performance 
                objectives, technical feasibility, and procurement 
                quantity objectives to ensure acquisition and 
                sustainment programs deliver the best value in meeting 
                capability requirements (as defined in section 181 of 
                this title).
                    ``(F) Use data-driven decisionmaking to prioritize 
                resource allocation to meet operational readiness 
                requirements and materiel readiness objectives 
                established by the Secretary concerned under section 
                118(c) of this title.
                    ``(G) Collaborate with the Mission Engineering and 
                Integration Activity established under section 203 of 
                the SPEED Act to conduct cross-service technical and 
                operational activities to integrate emerging 
                technologies, prototypes, and operational concepts, as 
                appropriate.
                    ``(H) Provide support to the Requirements, 
                Acquisition, and Programming Integration Directorate 
                with respect to the performance of the responsibilities 
                of the Directorate under section 186 of this title and 
                serve as a member of the Directorate in accordance with 
                such section.
            ``(2) Milestone decision authority duties.--A program 
        executive officer shall be the milestone decision authority for 
        a program when directed by the service acquisition executive of 
        the military department that is managing the program or if 
        designated by the Secretary of Defense.
    ``(d) Functional Support.--The Secretary concerned with respect to 
a program executive officer shall ensure that there is assigned to such 
program executive officer the personnel and other resources required 
for such program executive officer to successfully perform the assigned 
duties and responsibilities of such program executive officer, 
including--
            ``(1) contracting and contract management;
            ``(2) estimating costs;
            ``(3) financial management;
            ``(4) life-cycle management and product support;
            ``(5) program management;
            ``(6) engineering and technical management; and
            ``(7) developmental testing and evaluation.''.
    (b) Amendment to Definitions.--Section 1737(a)(4) of title 10, 
United Stated Code, is amended to read as follows:
            ``(4) The term `program executive officer' means an 
        individual described in section 1732(a).''.

SEC. 103. MAJOR CAPABILITY ACTIVITY AREAS AND PATHFINDER PROGRAMS.

    (a) Transition Plan Required.--
            (1) Submission of plan.--Not later than one year after the 
        date of the enactment of this Act, the Secretary of Defense, in 
        coordination with each Secretary of a military department, 
        shall submit to the congressional defense committees a 
        comprehensive plan for organizing the programs assigned to the 
        portfolio of a program executive officer of the Department of 
        Defense in a manner primarily organized around major capability 
        activity areas (``MCAAs'').
            (2) Elements of the plan.--The plan required under 
        paragraph (1) shall be developed to more effectively facilitate 
        the development, fielding, operation, sustainment, and 
        modernization of capabilities of the Department of Defense in 
        accordance with the objectives established pursuant to section 
        3102 of title 10, United States Code (as added by section 101 
        of this Act). Such plan shall include the following:
                    (A) A description of each proposed MCAA, including 
                how the specific capability of the Department of 
                Defense that is the subject of each MCAA aligns with 
                and supports joint military capabilities.
                    (B) A proposed schedule, including benchmarks, for 
                phased implementation of the plan to organize the 
                programs of each military department and Defense Agency 
                in a manner primarily organized around MCAAs.
                    (C) Recommendations for statutory or regulatory 
                changes needed to facilitate the reorganization of 
                program executive offices to be primarily organized 
                around MCAAs.
                    (D) A strategy to preserve accountability for the 
                delivery of a capability of the Department of Defense 
                that is the subject of the proposed MCAA and to enable 
                effective oversight of the proposed MCAA by the 
                congressional defense committees.
                    (E) A description of the process for designating a 
                Pathfinder under subsection (b).
            (3) Organization by mcaas.--
                    (A) In general.--In organizing programs in a manner 
                primarily organized around MCAAs under this subsection, 
                the Secretary shall--
                            (i) organize each proposed MCAA in a 
                        capability-oriented structure that reflects the 
                        unique and specific aspects of the subject 
                        capability of the MCAA;
                            (ii) assign relevant development, 
                        procurement, operations, and sustainment 
                        activities of the Department to the proposed 
                        MCAA as appropriate; and
                            (iii) ensure each proposed MCAA is 
                        organized in a manner that--
                                    (I) will improve the ability to 
                                measure and manage the overall 
                                performance in the delivery of the 
                                subject capability of the proposed 
                                MCAA; and
                                    (II) connects amounts authorized 
                                for activities assigned to the proposed 
                                MCAA to the delivery of subject 
                                capability.
                    (B) Flexibility.--The Secretary of Defense shall 
                ensure each military department and Defense Agency has 
                flexibility, according to their specific mission 
                requirements, in the organization of proposed MCAAs.
    (b) Designation of Pathfinder MCAAs.--
            (1) Designation.--Not later than 90 days after the date of 
        the enactment of this Act, the Secretary of Defense shall--
                    (A) designate at least two program executive 
                offices of the Department of Defense to be known as 
                ``Pathfinders'';
                    (B) identify the program executive officer with the 
                responsibility of administering each such Pathfinder;
                    (C) ensure each such program executive officer 
                organizes the programs assigned to such offices into a 
                MCAA in accordance with the requirements of subsection 
                (a)(3); and
                    (D) submit to the congressional defense committees 
                a notification of each designation made under 
                subparagraph (A), including the total amount authorized 
                to carry out each Pathfinder for fiscal year 2026 and a 
                description of the MCAA associated with each 
                Pathfinder.
            (2) Modified transfer authority for pathfinders.--
                    (A) Authority.--The Secretary of Defense, acting 
                through a Secretary of a military department or the 
                head of a Defense Agency, may transfer amounts 
                authorized for programs, projects, or activities that 
                are included in a Pathfinder under the jurisdiction of 
                such Secretary or head among such programs, projects, 
                or activities.
                    (B) Limitations.--A transfer made under this 
                paragraph--
                            (i) shall directly support delivery of the 
                        capability of the Department of Defense that is 
                        the subject of the Pathfinder;
                            (ii) may not be used to initiate a new 
                        start program (as described in section 3601 of 
                        title 10, United States Code);
                            (iii) may not be used to terminate a 
                        program or activity of the Department that was 
                        in operation on or before the date of the 
                        designation of the Pathfinder; and
                            (iv) may not exceed 40 percent of the total 
                        amount authorized to carry out a Pathfinder 
                        specified under paragraph (1)(D).
            (3) Additional pathfinders.--The Secretary of Defense may 
        designate additional MCAAs as Pathfinders under the authority 
        of this subsection if the Secretary notifies the congressional 
        defense committees not later than 15 days prior to each such 
        designation.
    (c) Report to Congress.--
            (1) In general.--Not later than 540 days after the date of 
        the enactment of this Act, and annually thereafter until 
        December 31, 2029, the Secretary of Defense shall submit to the 
        congressional defense committees a report assessing the 
        effectiveness of the use of a capability-oriented structure in 
        subsection (a)(3) and Pathfinders in subsection (b) to--
                    (A) improve the ability to measure and manage the 
                overall performance in the delivery of the subject 
                capability of the proposed MCAA or Pathfinder;
                    (B) inform and improve program management and 
                planning for future activities assigned to the proposed 
                MCAA or Pathfinder for the delivery of subject 
                capability; and
                    (C) achieve the objectives of the defense 
                acquisition system established pursuant to section 3102 
                of title 10, United States Code (as added by section 
                101 of this Act).
            (2) Contents.--The report required under paragraph (1) 
        shall include the following:
                    (A) The extent to which the use of MCAAs and use of 
                the transfer authority under subsection (b)(2) for 
                Pathfinders affect the speed of addressing emerging 
                threats and adopting new technologies.
                    (B) An analysis of any costs or benefits of using 
                MCAAs.
                    (C) Recommendations, including statutory or 
                regulatory modifications, for--
                            (i) expanding the use of Pathfinders; and
                            (ii) continuing the transition to using 
                        MCAAs.
    (d) Definitions.--In this section:
            (1) The term ``major capability activity area'' or ``MCAA'' 
        means a compilation of activities that relate to the delivery 
        of a capability of the Department of Defense, as determined by 
        the Secretary of Defense.
            (2) The term ``joint military capabilities'' has the 
        meaning given in section 181 of title 10, United States Code, 
        as amended by section 201 of this Act.
            (3) The term ``program executive officer'' has the meaning 
        given in section 1732 of title 10, United States Code, as added 
        by section 102 of this Act.

SEC. 104. PRODUCT SUPPORT MANAGER RESPONSIBILITIES AND REQUIREMENTS.

    (a) In General.--Subchapter III of chapter 87 of title 10, United 
States Code, is amended by inserting after section 1732 (as added by 
section 102 of this Act) the following new section:
``Sec. 1733. Product support manager
    ``(a) In General.--A product support manager is the individual 
responsible for managing support functions required to field and 
maintain the readiness and operational capability of a covered system 
in support of the life-cycle management responsibilities of the program 
manager for such covered system.
    ``(b) Objectives.--In carrying out the activities described in 
subsection (a), the product support manager shall seek to achieve the 
objectives of the defense acquisition system established pursuant to 
section 3102 of this title.
    ``(c) Specific Responsibilities.--A product support manager shall 
be responsible for the following:
            ``(1) Provide product support and subject matter expertise 
        with respect to a covered system to the program manager for the 
        covered system to assist with the development, resourcing, 
        implementation, and execution of the product support strategy 
        developed by the product support manager under section 4322 of 
        this title for the covered system.
            ``(2) Collaborate with the chief engineer and systems 
        engineers for the covered system--
                    ``(A) to develop the life-cycle sustainment plan 
                and any product support plans for the covered system; 
                and
                    ``(B) to analyze the operating and support costs of 
                the covered system to ensure the cost-effective 
                operation, management, and availability of the covered 
                system.
            ``(3) Conduct early risk identification, mitigation, and 
        product support analyses that inform best value solutions in 
        life-cycle planning and management.
            ``(4) Provide input on systems engineering requirements, 
        design, budgeting, maintenance planning, and acquisition 
        strategies for covered systems.
            ``(5) Support the program manager in evaluating trade-offs 
        among life-cycle costs, delivery schedules, performance 
        objectives, technical feasibility, and procurement quantity 
        objectives to ensure each covered system delivers the greatest 
        value for the investment made in the covered system.
            ``(6) Use data-driven decision making, predictive analysis, 
        and appropriate modeling tools related to reliability and 
        maintainability of the covered system to prioritize resource 
        allocation to meet operational readiness requirements and 
        materiel readiness objectives (established under section 118(c) 
        of this title).
            ``(7) Support each Secretary of a military department in 
        performance of a core logistics analysis pursuant to section 
        2464 of this title.
    ``(d) Covered System Defined.--In this section, the term `covered 
system' has the meaning given in section 4322 of this title.''.
    (b) Education, Training, and Experience Requirements for Product 
Support Managers.--Section 1735 title 10, United States Code, is 
amended--
            (1) by redesignating subsections (c), (d), and (e) as 
        subsections (d), (e), and (f), respectively; and
            (2) by inserting after subsection (b) the following new 
        subsection:
    ``(c) Product Support Manager.--Before being assigned to a position 
as product support manager, a person--
            ``(1) shall have completed all life-cycle logistics 
        certification and training requirements prescribed by the 
        Secretary of Defense;
            ``(2) shall have executed a written agreement as required 
        in section 1734(b)(2) of this title; and
            ``(3) in the case of--
                    ``(A) a product support manager of a major defense 
                acquisition program, shall have at least eight years of 
                experience in life-cycle logistics, at least two years 
                of which were performed in a systems program office or 
                similar organization; and
                    ``(B) a product support manager of a significant 
                nonmajor defense acquisition program, shall have at 
                least six years of experience in life-cycle 
                logistics.''.
    (c) Conforming Amendments.--Section 1731(a)(1)(B) title 10, United 
States Code, is amended by adding at the end the following new clause:
                            ``(iv) Product support manager.''.

SEC. 105. AMENDMENTS TO LIFE-CYCLE MANAGEMENT AND PRODUCT SUPPORT.

    (a) Reorganization of Life-Cycle and Sustainment Chapter.--
            (1) In general.--Chapter 323 of title 10, United States 
        Code, is amended--
                    (A) by repealing sections 4321, 4323, and 4324;
                    (B) by redesignating section 4328 as section 4321 
                and transferring such section so as to appear after the 
                table of sections at the beginning of such chapter;
                    (C) by redesignating section 4325 as section 4323 
                and transferring such section so as to appear after 
                section 4321;
                    (D) in section 4323, as so redesignated, by 
                striking ``section 4324 of this title'' and inserting 
                ``section 4322 of this title''; and
                    (E) by amending the table of sections at the 
                beginning of such chapter to read as follows:

``4321. Weapon system design: sustainment factors.
``4322. Life-cycle management and product support.
``4323. Major weapon systems: assessment, management, and control of 
                            operating and support costs.''.
            (2) Conforming amendments.--
                    (A) Section 3041(a) of title 10, United States 
                Code, is amended by striking ``sections 4292(e) and 
                4321'' and inserting ``section 4292(e)''.
                    (B) Section 3221(b)(2) of title 10, United States 
                Code, is amended by striking ``4321, 4323, and 4328 of 
                this title'' and inserting ``and 4321 of this title,''.
                    (C) Section 4211(c)(2)(D) of title 10, United 
                States Code, is amended by striking ``section 4324 of 
                this title'' and inserting ``section 4322 of this 
                title''.
                    (D) Section 4252(b)(14) of title 10, United States 
                Code, is amended by striking ``section 4324(b) of this 
                title'' and inserting ``section 4322 of this title''.
    (b) Life-Cycle Management and Product Support.--Chapter 323 of 
title 10, United States Code, as amended by subsection (a), is further 
amended by inserting after section 4321 the following new section:
``Sec. 4322. Life-cycle management and product support
    ``(a) In General.--The Secretary of Defense shall ensure that each 
covered system is supported by a life-cycle sustainment plan--
            ``(1) that is approved by the senior acquisition executive 
        responsible for such covered system; and
            ``(2) that meets applicable operational readiness 
        requirements and materiel readiness objectives (established 
        under section 118(c) of this title) in the most cost-effective 
        manner practicable.
    ``(b) Product Support Manager.--The Secretary of Defense shall 
designate a product support manager (as defined in section 1733 of this 
title) to serve under the supervision of a program manager for each 
covered system.
    ``(c) Life-Cycle Sustainment Plan.--(1) A product support manager 
shall develop, update, and implement a life-cycle sustainment plan for 
each covered system for which the product support manager is 
responsible. Such plan shall include the following:
            ``(A) A comprehensive product support strategy to best 
        achieve operational readiness requirements and materiel 
        readiness objectives throughout the planned life cycle of such 
        system.
            ``(B) A baseline life-cycle cost estimate for the covered 
        system based on the planned product support strategy described 
        in subparagraph (A).
            ``(C) Recommended engineering and design considerations 
        that support cost-effective sustainment of the covered system 
        and best value solutions in life-cycle planning and management.
            ``(D) An intellectual property management plan for product 
        support developed in accordance with section 3774 of this 
        title.
            ``(E) A strategy to maximize use of public and private 
        sector capabilities to establish Government-private 
        partnerships--
                    ``(i) with appropriate incentives for each partner 
                to contribute to the achievement of operational 
                readiness requirements and materiel readiness 
                objectives in the most cost-effective manner 
                practicable; and
                    ``(ii) that considers the roles of each partner as 
                the covered system transitions from acquisition, 
                development, production, fielding, sustainment, and 
                disposal.
            ``(F) A plan to transition the covered system from 
        production to initial fielding that addresses specific products 
        or services required for successful initial fielding of the 
        covered system, including--
                    ``(i) a description of the necessary tooling or 
                other unique support equipment, requirements for 
                initial spare parts and components, technical handbooks 
                and maintenance manuals, maintenance training, and 
                facilities;
                    ``(ii) an identification of the funding required to 
                provide such products and services for any initial 
                fielding location of the covered system;
                    ``(iii) an identification of any procurement line, 
                program element, or subactivity group in the budget of 
                the Secretary concerned associated with such products 
                or services;
                    ``(iv) the timeline for delivery of such products 
                and services; and
                    ``(v) an assessment of any reduction in operational 
                readiness requirements and materiel readiness 
                objectives if such products and services are not 
                provided in accordance with clause (iv).
    ``(2) In developing each life-cycle sustainment plan required by 
this section, the product support manager shall consider the following:
            ``(A) Affordability constraints and key cost factors that 
        could affect operating and support costs during the life cycle 
        of the covered system.
            ``(B) Sustainment risks or challenges to sustaining the 
        covered system in operational environments, included contested 
        logistics environments (as defined in section 2926 of this 
        title).
            ``(C) Compliance with--
                    ``(i) requirements to maintain a core logistics 
                capability under section 2464 of this title; and
                    ``(ii) limitations on the performance of depot-
                level maintenance of materiel under section 2466 of 
                this title.
            ``(D) A defense industrial base strategy to maintain a 
        robust, resilient, and innovative defense industrial base to 
        support requirements throughout the life cycle of the covered 
        system.
    ``(d) Continuous Assessment and Active Management.--In carrying out 
the duties of this section and section 1733 of this title, the product 
support manager shall--
            ``(1) continuously assess and actively manage performance 
        of each covered system for which the product support manager is 
        responsible against the life-cycle sustainment plan for such 
        covered system; and
            ``(2) as appropriate, integrate commercial best practices, 
        use commercial standards, and use advanced technologies to 
        enhance the product support of each covered system.
    ``(e) Recommendations.--(1) The product support manager shall 
recommend changes to the product support strategy required under 
subsection (c)(1)(A) of a covered system to the program manager 
responsible for such covered system to meet the requirements of 
subsection (a).
    ``(2) The program manager shall provide to the senior acquisition 
executive responsible for a covered system any recommendations for such 
covered system made under paragraph (1) that the program manager did 
not implement along with the rationale for not implementing such 
recommendations.
    ``(f) Definitions.--In this section:
            ``(1) The term `covered system' means--
                    ``(A) a major defense acquisition program as 
                defined in section 4201 of this title;
                    ``(B) a major subprogram as described in section 
                4203 of this title; or
                    ``(C) an acquisition program or project that is 
                carried out using the rapid fielding or rapid 
                prototyping acquisition pathway under section 3602 of 
                this title that is estimated by the Secretary of 
                Defense to require an eventual total expenditure 
                described in section 4201(a)(2) of this title.
            ``(2) The term `operational readiness' means the capability 
        of a unit of the Armed Forces, vessel, weapon system, or 
        equipment to perform the missions or functions for which it is 
        organized or designed.
            ``(3) The term `product support' means the set of support 
        functions, as determined by the product support manager, 
        required to field and maintain the readiness and operational 
        capability of a covered system, or a subsystem or component of 
        a covered system.''.
    (c) Conforming Amendments to Materiel Readiness Metrics and 
Objectives for Major Weapon Systems.--Section 118 of title 10, United 
States Code, is amended--
            (1) in the section heading, by inserting ``materiel 
        readiness'' before ``objectives'';
            (2) in subsection (b), by striking ``shall address'' and 
        inserting ``shall establish procedures and a computation 
        methodology to determine'';
            (3) in subsection (c)--
                    (A) in paragraph (1), by striking ``the metrics 
                required'' and all that follows through the period at 
                the end and inserting ``materiel readiness objectives 
                for each major weapon system.''; and
                    (B) in paragraph (2), by striking ``the metrics 
                required by subsection (b)'' and inserting ``such 
                readiness objectives'';
            (4) in subsection (d)(2), by striking ``readiness goals or 
        objectives'' and inserting ``materiel readiness objectives'';
            (5) in subsection (e), in the matter preceding paragraph 
        (1), by inserting a comma after ``designated mission''; and
            (6) in subsection (f)--
                    (A) by redesignating paragraphs (3), (4), and (5) 
                as paragraphs (4), (5), and (6), respectively; and
                    (B) by inserting after paragraph (2) the following 
                new paragraph:
            ``(3) The term `materiel readiness objective' means the 
        minimum required availability of each major weapon system that 
        is necessary to fulfill the requirements of the strategic 
        framework and guidance referred to in subsection (a).''.

SEC. 106. NAVY SENIOR TECHNICAL AUTHORITY.

    Section 8669b of title 10, United States Code, is amended--
            (1) in subsection (a)(2), by amending subparagraph (B) to 
        read as follows:
                    ``(B) reports directly to the program executive 
                officer.''; and
            (2) in subsection (b)--
                    (A) by inserting ``(1)'' before ``Each Senior''; 
                and
                    (B) by adding at the end the following new 
                paragraph:
    ``(2) Each Senior Technical Authority shall also be responsible for 
the determination that all design requirements for a vessel class are 
directly related to a key performance parameter or key system attribute 
established in the capability development document for the vessel 
class. Any requirements that the Senior Technical Authority determines 
are unnecessary to meet a key performance parameter or key system 
attribute shall not be approved.''.

            TITLE II--ACCELERATING THE REQUIREMENTS PROCESS

SEC. 201. JOINT REQUIREMENTS COUNCIL.

    (a) Implementation.--Not later than 30 days after the date of the 
enactment of this Act, the Chairman of the Joint Chiefs shall revise 
policies for the Joint Strategic Planning System (established under the 
Chairman of the Joint Chiefs of Staff Instruction 3100.01F), the Manual 
for the Operation of the Joint Capabilities Integration and Development 
System (issued October 30, 2021) and any other relevant instructions, 
policies, or guidance to carry out the requirements of this section and 
the amendments made by this section.
    (b) Amendment to Name and Mission of Joint Requirements Oversight 
Council.--Section 181 of title 10, United States Code, is amended--
            (1) in the section heading, by striking ``Oversight'';
            (2) in subsection (a), by striking ``Joint Requirements 
        Oversight Council in the Department of Defense.'' and inserting 
        the following: ``Joint Requirements Council (in this section 
        referred to as the `Council') in the Department of Defense. The 
        Council shall--
            ``(1) assist the Chairman of the Joint Chiefs of Staff in 
        carrying out the functions described in section 153 of this 
        title; and
            ``(2) provide recommendations for addressing joint 
        operational problems to the Requirements, Acquisition, and 
        Programming Integration Directorate established under section 
        186 of this title (in this section referred to as `RAPID').''; 
        and
            (3) by striking ``Joint Requirements Oversight Council'' 
        each place it appears and inserting ``Joint Requirements 
        Council''.
    (c) Duties.--Subsection (b) of such section 181 is amended to read 
as follows:
    ``(b) Duties.--The Council shall support the objectives established 
pursuant to section 3102 of this title by performing the following 
duties:
            ``(1) Continuously evaluating global trends, adversary 
        capabilities, and emerging threats to inform awareness and 
        understanding of joint operational problems.
            ``(2) In coordination with commanders of combatant 
        commands, compiling, refining, and prioritizing joint 
        operational problems.
            ``(3) Identifying and prioritizing gaps in joint military 
        capabilities to address joint operational problems.
            ``(4) Identifying advances in technology and innovative 
        concepts of operation that could improve the ability of the 
        joint force to address evolving threats and maintain the 
        military advantage of the United States.
            ``(5) Developing a joint capability requirement statement 
        that--
                    ``(A) describes the joint operational problem to 
                provide necessary context for the joint capability 
                requirement; and
                    ``(B) describes the solution sought in a 
                nonprescriptive manner to allow agile and innovative 
                development of joint capability requirements to address 
                the joint operational problem.
            ``(6) Making the following recommendations to RAPID:
                    ``(A) With respect to a quick action requirement, 
                actions to fulfill such quick action requirement, not 
                later than 30 days after receipt or identification of 
                such quick action requirement.
                    ``(B) Actions to fulfill each joint capability 
                requirement necessary to address joint operational 
                problems, not later than 60 days after receipt or 
                identification of such a joint operational problem.
                    ``(C) Modifications to joint force design suitable 
                for addressing joint operational problems or 
                effectively integrating advancements in technology and 
                new concepts of operation.
                    ``(D) Ways to improve operational effectiveness, 
                increase operational flexibility, or improve 
                interoperability and coordination between and among 
                joint military capabilities and the military 
                capabilities of allies or partners.
            ``(7) Providing notification to Deputy Secretary of 
        Defense--
                    ``(A) upon receipt or identification of a quick 
                action requirement; and
                    ``(B) upon submission of any recommendation to 
                RAPID.''.
    (d) Composition.--Subsection (c) of such section 181 is amended--
            (1) in paragraph (1)(A)--
                    (A) by inserting ``and RAPID'' before ``for making 
                recommendations''; and
                    (B) by striking ``joint performance requirements'' 
                and inserting ``joint capability requirements''; and
            (2) in paragraph (3), by inserting ``and RAPID'' after 
        ``Chairman of the Joint Chiefs of Staff''.
    (e) Advisors.--Subsection (d) of such section 181 is amended--
            (1) in paragraph (2)--
                    (A) by inserting ``strongly'' before ``consider''; 
                and
                    (B) by striking ``its mission under paragraphs (1) 
                and (2) of subsection (b)'' and inserting ``the duties 
                described in subsection (b)''; and
            (2) in paragraph (3)--
                    (A) by striking ``seek, and strongly consider,'' 
                and inserting ``seek and consider'';
                    (B) by striking ``, in their roles as customers of 
                the acquisition system,''; and
                    (C) by striking ``under subsection (b)(2) and joint 
                performance requirements pursuant to subsection 
                (b)(3)''.
    (f) Responsibility for Capability Requirements.--Subsection (e) of 
such section 181 is amended to read as follows:
    ``(e) Responsibility for Capability Requirements.--The Chief of 
Staff of an armed force is responsible for the capability requirements 
for that armed force.''.
    (g) Analytic and Engineering Support.--Subsection (f) of such 
section 181 is amended--
            (1) in the subsection heading, by inserting ``and 
        Engineering'' after ``Analytic'';
            (2) by inserting ``and the Mission Engineering and 
        Integration Activity established under section 203 of the SPEED 
        Act'' after ``the Office of Cost Assessment and Program 
        Evaluation''; and
            (3) by striking ``in operations research, systems analysis, 
        and cost estimation to the Joint Requirements Oversight 
        Council''.
    (h) Availability of Information to Congressional Defense 
Committees.--Subsection (g) of such section 181 is amended--
            (1) in the subsection heading, by striking ``Oversight''; 
        and
            (2) by striking ``oversight information'' and inserting 
        ``information''.
    (i) Definitions.--Subsection (h) of such section 181 is amended to 
read as follows:
    ``(h) Definitions.--In this section:
            ``(1) The term `capability requirement' means a requirement 
        for a capability that is critical or essential to address an 
        operational problem.
            ``(2) The term `joint capability requirement' means a 
        capability requirement, including a capability requirement 
        related to a requirement for joint force interoperability, that 
        is critical or essential to address a specific joint 
        operational problem.
            ``(3) The term `joint military capabilities' means the 
        collective capabilities across the joint force, including both 
        joint and force-specific capabilities, that are available to 
        conduct military operations.
            ``(4) The term `joint operational problem' means a joint 
        challenge faced by a combatant command in achieving an assigned 
        military objective and may include limitations in capabilities, 
        resources, or the ability to effectively and efficiently 
        coordinate across the joint force, with another combatant 
        command, among joint military capabilities, or with the 
        military capabilities of allies or partners.
            ``(5) The term `operational problem' means a challenge or 
        barrier in an operational environment that needs to be overcome 
        to achieve a specific military objective.
            ``(6) The term `quick action requirement' has the meaning 
        given in Department of Defense Directive 5000.71 titled `Rapid 
        Fulfillment of Combatant Commander Urgent Operational Needs' 
        (August 24, 2012).''.
    (j) Conforming Amendments.--
            (1) Title 10, united states code.--Title 10, United States 
        Code, is amended--
                    (A) in section 139a, by striking ``Joint 
                Requirements Oversight Council'' each place it appears 
                and inserting ``Joint Requirements Council'';
                    (B) in section 153(a)(5)(F), by striking ``section 
                181 of this title'' and inserting ``sections 181 and 
                186 of this title'';
                    (C) in section 179(c)(9)--
                            (i) by striking ``Joint Requirements 
                        Oversight Council'' and inserting ``Joint 
                        Requirements Council''; and
                            (ii) by striking ``section 181(h)'' and 
                        inserting ``section 181'';
                    (D) in section 2926(f)(5)(C), by striking 
                ``describing'' and all that follows through ``details 
                regarding'' and inserting ``describing details 
                regarding'';
                    (E) in section 3067(b)(1), by striking ``Joint 
                Requirements Oversight Council'' and inserting ``Joint 
                Requirements Council'';
                    (F) in section 3136(e)(1)(A)(ii), by striking 
                ``approved by the Joint Requirements Oversight Council 
                and'' and inserting ``recommended for approval by the 
                Requirements, Acquisition, and Programming Integration 
                Directorate (established under section 186 of this 
                title)'';
                    (G) in section 4202(a)(2)(A), by striking ``joint 
                military requirement'' and all that follows through the 
                period at the end and inserting the following: ``joint 
                capability requirement, as determined by the 
                Requirements, Acquisition, and Programming Integration 
                Directorate (established under section 186 of this 
                title)'';
                    (H) by amending section 4251(e)(1) to read as 
                follows:
            ``(1) The term `requirements document' has the meaning 
        given in section 3104(d) of this title.'';
                    (I) in section 4252(b)(9), by striking ``Joint 
                Requirements Oversight Council'' and inserting ``Joint 
                Requirements Council'';
                    (J) in section 4376--
                            (i) in subsection (a), by striking ``, 
                        after consultation with the Joint Requirements 
                        Oversight Council regarding program 
                        requirements,'';
                            (ii) in subsection (b)(2)(B), by striking 
                        ``joint military requirement (as defined in 
                        section 181(g)(1) of this title) at less cost'' 
                        and inserting ``joint capability requirement 
                        (as defined in section 181 of this title) at 
                        less cost''; and
                            (iii) in subsection (c)(3), by striking 
                        ``joint military requirements'' and inserting 
                        ``joint capability requirements''; and
                    (K) in section 5514(b)(2)(C)(ii), by striking 
                ``Joint Requirements Oversight Council'' and inserting 
                ``Joint Requirements Council''.
            (2) Other laws.--
                    (A) Section 902(d) of the National Defense 
                Authorization Act for Fiscal Year 2024 (10 U.S.C. 139a 
                note) is amended--
                            (i) by striking ``, performance 
                        requirements, and joint performance 
                        requirements'' and inserting ``or performance 
                        requirements''; and
                            (ii) by striking ``Joint Requirements 
                        Oversight Council to validate such 
                        requirements'' and inserting ``Joint 
                        Requirements Council''.
                    (B) Section 1684(d)(4)(A)(i) of the National 
                Defense Authorization Act for Fiscal Year 2024 (10 
                U.S.C. 2271 note) is amended by striking ``either 
                approved by, or in development for, the Joint 
                Requirements Oversight Council'' and inserting ``in 
                development for consideration or under consideration by 
                the Joint Requirements Council''.
                    (C) Section 1686(b)(1) of the National Defense 
                Authorization Act for Fiscal Year 2024 (10 U.S.C. 2224 
                note) is amended by striking ``through the Joint 
                Requirements Oversight Council'' and inserting ``in 
                consultation with the Requirements, Acquisition, and 
                Programming Integration Directorate (established under 
                section 186 of title 10, United States Code)''.
                    (D) Section 1510(b)(2) of the National Defense 
                Authorization Act for Fiscal Year 2023 (10 U.S.C. 113 
                note) is amended by striking ``Joint Requirements 
                Oversight Council'' and inserting ``Joint Requirements 
                Council''.
                    (E) Section 915(a)(1) of the National Defense 
                Authorization Act for Fiscal Year 2023 (10 U.S.C. 132 
                note) is amended by striking ``Joint Requirements 
                Oversight Council'' and inserting ``Joint Requirements 
                Council''.
                    (F) Section 938(a)(1) of the National Defense 
                Authorization Act for Fiscal Year 2014 (10 U.S.C. 4571 
                note prec.) is amended by striking ``Joint Requirements 
                Oversight Council'' and inserting ``Joint Requirements 
                Council''.
            (3) Repeals.--The following provisions of law are repealed:
                    (A) Section 942 of the National Defense 
                Authorization Act for Fiscal Year 2008 (10 U.S.C. 181 
                note).
                    (B) Section 916 of the Floyd D. Spence National 
                Defense Authorization Act for Fiscal Year 2001 (10 
                U.S.C. 181 note).
                    (C) Section 105(b) of the Weapon Systems 
                Acquisition Reform Act of 2009 (10 U.S.C. 181 note).
                    (D) Section 201 of the Weapon Systems Acquisition 
                Reform Act of 2009 (10 U.S.C. 3102 note).

SEC. 202. ESTABLISHMENT OF THE REQUIREMENTS, ACQUISITION, AND 
              PROGRAMMING INTEGRATION DIRECTORATE.

    (a) In General.--Chapter 7 of title 10, United States Code, is 
amended by inserting after section 185 the following new section:
``Sec. 186. Requirements, Acquisition, and Programming Integration 
              Directorate
    ``(a) Establishment.--There is within the Department of Defense a 
Requirements, Acquisition, and Programming Integration Directorate (in 
this section referred to as `RAPID').
    ``(b) Purposes.--RAPID shall--
            ``(1) serve as the principal forum within the Department of 
        Defense to inform, coordinate, and evaluate solutions to joint 
        operational problems;
            ``(2) provide senior oversight, coordination, and budget 
        and capability harmonization with respect to such matters; and
            ``(3) act as an advisory body to the Secretary of Defense 
        and the Deputy Secretary of Defense with respect to such 
        matters.
    ``(c) Organization and Membership.--RAPID shall consist of the 
following members:
            ``(1) The Chairman of the Joint Requirements Council and 
        the Director of Cost Assessment and Program Evaluation, who 
        shall serve as co-directors of RAPID.
            ``(2) One member designated by each commander of a 
        combatant command.
            ``(3) One member designated by the Chairman of the Joint 
        Requirements Council.
            ``(4) One member designated by the Director of Cost 
        Assessment and Program Evaluation.
            ``(5) One member designated by each service acquisition 
        executive of a military department.
            ``(6) One member designated by the principal staff 
        assistant for the Mission Engineering and Integration Activity 
        (established under section 203 of the SPEED Act).
            ``(7) One member designated by the executive director of 
        the Joint Rapid Acquisition Cell (as described in the 
        Department of Defense Directive 5000.71 titled `Rapid 
        Fulfillment of Combatant Commander Urgent Operational Needs' 
        (August 24, 2012)).
            ``(8) One member designated by each portfolio executive 
        officer or a similar member of the acquisition workforce 
        responsible for the execution of a recommendation under 
        consideration by RAPID.
    ``(d) Responsibilities.--(1) RAPID shall--
            ``(A) promptly convene relevant members to assess a 
        proposed joint capability requirement to address a joint 
        operational problem by considering, with respect to such 
        proposed joint capability requirement--
                    ``(i) associated resource requirements;
                    ``(ii) mission engineering and interoperability 
                considerations for integration into joint 
                architectures; and
                    ``(iii) factors related to acquisition and 
                sustainment; and
            ``(B) provide prioritized recommendations for solutions to 
        such joint operational problem to the Secretary of Defense and 
        Deputy Secretary of Defense.
    ``(2) In carrying out paragraph (1), RAPID shall--
            ``(A) use data-driven decisionmaking to prioritize resource 
        allocation;
            ``(B) maximize the effective use of resources by enabling 
        timely delivery of solutions to address a joint operational 
        problem in a manner that provides the greatest value for the 
        investment made;
            ``(C) enable the adoption and integration of solutions to 
        enhance military effectiveness and responsiveness to emerging 
        threats; and
            ``(D) in addition to any other considerations required 
        under this subsection, consider--
                    ``(i) joint capability requirement statements or 
                other relevant justification materials provided by the 
                Joint Requirements Council;
                    ``(ii) any analysis and recommendations provided by 
                the Mission Engineering and Integration Activity or the 
                Director of Cost Assessment and Program Evaluation 
                relating to resource requirements described in 
                paragraph (1)(A)(i);
                    ``(iii) recommendations from relevant service 
                acquisition executives or program executive officers 
                related to planning and execution of the proposed joint 
                capability requirement, including budget planning and 
                management, acquisition approach, program management, 
                and life-cycle management for a proposed joint 
                capability requirement; and
                    ``(iv) the need to incorporate measure for 
                technology protection in certain covered systems to 
                enable the use or sale of proposed technology solutions 
                to joint operational problems with allies and partner 
                countries in a manner that protects national security 
                interest while promoting international collaboration.
    ``(e) Recommendation.--(1) Not later than 30 days after the date of 
receipt of a recommendation with respect to a joint capability 
requirement for a joint operational problem, from the Joint 
Requirements Council in accordance with section 181 of this title, 
RAPID shall submit to the Deputy Secretary of Defense a recommendation 
for a solution to the joint operational problem that includes the 
following:
            ``(A) A description of the resources needed to implement 
        the solution and, as appropriate, resources needed to support 
        the acquisition and sustainment of such solution of over the 
        anticipated life cycle of the solution.
            ``(B) Any recommended actions necessary to enable 
        integration of the solution into the joint force or to revise 
        joint concepts of operation to best resolve the joint 
        operational problem.
            ``(C) With respect to a solution for which access may be 
        shared with an ally or partner country, recommended 
        considerations--
                    ``(i) to be incorporated during the design and 
                development phase of the solution; and
                    ``(ii) to facilitate future production and 
                logistics support for the solution to the ally or 
                partner country.
            ``(D) Any necessary changes to policy or guidance to enable 
        effective acquisition, fielding, and employment of a solution 
        that is a joint military capability.
            ``(E) Any other recommended actions to expeditiously 
        provide the Armed Forces with the capabilities necessary to 
        operate effectively, to address evolving threats, and to 
        maintain the military advantage of the United States in the 
        most cost-effective manner practicable.
    ``(2) The co-chairs of RAPID may request an additional amount of 
time, not to exceed 30 days, to provide a recommendation related to a 
joint capability requirement that is not a quick action requirement to 
the Deputy Secretary of Defense under this subsection.
    ``(f) Determination.--(1) Not later than 30 days after receipt of a 
recommendation under subsection (e), the Deputy Secretary of Defense 
shall issue a memorandum that approves, approves with modification, or 
rejects such a recommendation.
    ``(2) The Deputy Secretary of Defense shall include along with a 
memorandum that approves or approves with modification a recommendation 
described in paragraph (1) specific direction and guidance to the 
applicable element of the Department of Defense to which such 
recommendation applies.
    ``(3) The Deputy Secretary of Defense shall include along with a 
memorandum that rejects a recommendation described in paragraph (1) a 
specific direction--
            ``(A) for alternative action to be taken by the applicable 
        element of the Department of Defense to which such 
        recommendation applies to address the relevant joint 
        operational problem; or
            ``(B) to RAPID for further action to address the relevant 
        joint operational problem.
    ``(g) Notification.--If the Deputy Secretary of Defense fails to 
issue a memorandum as required by subsection (f) within 90 days after 
the date on which the Joint Requirements Council provides a 
recommendation to address a joint operational problem to the RAPID, the 
Secretary of Defense shall submit to the congressional defense 
committees a notification of such failure.
    ``(h) Definitions.--In this section:
            ``(1) The terms `joint capability requirement', `joint 
        military capability', `joint operational problem', and `quick 
        action requirement' have the meanings given, respectively, in 
        section 181 of this title.
            ``(2) The term `relevant member' means a member of RAPID 
        (or a designee) that has a primary interest in, or 
        responsibility for, a proposed joint capability requirement or 
        quick action requirement under assessment by RAPID.''.
    (b) Conforming Amendments to Director of Cost Assessment and 
Program Evaluation.--Section 139a(d) of title 10, United States Code, 
is amended--
            (1) by redesignating paragraphs (4) through (9) as 
        paragraphs (5) through (10), respectively; and
            (2) by inserting after paragraph (3) the following new 
        paragraph:
            ``(4) Analysis and advice for resource discussions relating 
        to joint capability requirements under consideration by the 
        Requirements, Acquisition, and Programming Integration 
        Directorate pursuant to section 186 of this title.''.

SEC. 203. ESTABLISHMENT OF THE MISSION ENGINEERING AND INTEGRATION 
              ACTIVITY.

    (a) Establishment.--Not later than 120 days after the date of the 
enactment of this Act, the Secretary of Defense shall establish within 
the Department of Defense a Mission Engineering and Integration 
Activity (in this section referred to as ``MEIA'').
    (b) Designation.--The Secretary of Defense shall designate a 
principal staff assistant from within the Office of the Secretary of 
Defense whose office shall serve as the office of primary 
responsibility for MEIA.
    (c) Duties.--The principal staff assistant designated under 
subsection (b) shall have the following duties:
            (1) Lead cross-service activities to develop, identify, 
        analyze, and validate integrated technology solutions to 
        address joint operational problems.
            (2) Coordinate with the appropriate program executive 
        officers to align and implement such activities.
            (3) Proactively seek and consider feedback of the primary 
        users and operators of proposed technology solutions to address 
        joint operational problems throughout the implementation of 
        such activities.
            (4) Upon request, perform analysis for, experiment with, 
        and prototype technology to integrate such technology into 
        joint architectures, to use such technology, to inform 
        operational concepts, and to provide analysis or 
        recommendations regarding the use of such technology to the 
        Requirements, Acquisition, and Programming Integration 
        Directorate, established by section 186 of title 10, United 
        Stated Code (in this section referred to as ``RAPID'').
            (5) Coordinate with commanders of the combatant commands to 
        understand the priorities of commanders and support the 
        fielding of integrated technology solutions to address joint 
        operational problems.
            (6) Upon request, assist a program executive officer in 
        carrying out the responsibilities established under section 
        1732 of title 10, United States Code (as added by section 102 
        of this Act), by providing analysis, recommendations, and 
        engineering assistance in the integration of technology 
        solutions related to the capabilities for which the program 
        executive officer is responsible.
            (7) Use existing authorities (including authorities 
        provided in section 4022 of title 10, United States Code) to 
        carry out this section.
    (d) Implementation Plan.--
            (1) Plan.--Not later than 90 days after the date of the 
        enactment of this Act, the Secretary of Defense shall submit to 
        the congressional defense committees an implementation plan for 
        MEIA.
            (2) Elements.--The plan required by paragraph (1) shall 
        include a description of the following:
                    (A) The organizational structure and resource 
                requirements associated with the establishment and 
                operation of MEIA.
                    (B) How MEIA will support and inform the RAPID in 
                carrying out the requirements of section 186 of title 
                10, United States Code.
                    (C) Each budget line item or program element that 
                will be associated with the activities of MEIA.
                    (D) Coordination between MEIA and relevant elements 
                of the Department of Defense that are established to 
                identify and support the development of, 
                experimentation with, and integration of technology 
                solutions to address joint operational problems for the 
                Department, including--
                            (i) the Defense Innovation Unit established 
                        under section 4217 of the title 10, United 
                        States Code;
                            (ii) the Defense Research and Development 
                        Rapid Innovation Program established under 
                        section 4061 of such title;
                            (iii) a entity of the Department of Defense 
                        that is a member of the Defense Innovation 
                        Community of Entities established by the 
                        Director of the Defense Innovation Unit;
                            (iv) the Strategic Capabilities Office; and
                            (v) recipients of awards under the Small 
                        Business Innovation Research Program or the 
                        Small Business Technology Transfer Program (as 
                        defined in section 9 of the Small Business Act 
                        (15 U.S.C. 638)).
                    (E) How MEIA will coordinate with and assist--
                            (i) the commanders of combatant commands in 
                        fielding integrated technology solutions to 
                        address joint operational problems under 
                        subsection (c)(5); and
                            (ii) the program executive officers and 
                        each Secretary of a military department in the 
                        integration of technology to enhance military 
                        effectiveness and responsiveness.
                    (F) Any recommendations for changes to statute or 
                policy for successful implementation of this section.
    (e) Assessment.--Not later than five years after the date of the 
establishment of MEIA, the Secretary of Defense shall submit to the 
congressional defense committees an assessment of whether MEIA should 
be modified, made permanent, or terminated based on its effectiveness 
in carrying out the requirements of this section.
    (f) Joint Operational Problem Defined.--In this section, the term 
``joint operational problem'' has the meaning given in section 181 of 
title 10, United States Code.

   TITLE III--STRIKING THE BALANCE BETWEEN REGULATION AND EFFICIENCY

SEC. 301. MATTERS RELATED TO DEPARTMENT OF DEFENSE USE OF COST 
              ACCOUNTING STANDARDS.

    (a) Reduction or Elimination of CAS.--
            (1) In general.--Not later than 90 days after the date of 
        the enactment of this Act, the Secretary of Defense shall--
                    (A) identify actions necessary to streamline 
                requirements for compliance with the cost accounting 
                standards established under section 1502 of title 41, 
                United States Code (in this section referred to as 
                ``CAS''), in the performance of a contract with the 
                Department of Defense; and
                    (B) reduce or eliminate such requirements under the 
                circumstances described in paragraph (2).
            (2) Circumstances described.--The circumstances described 
        in this paragraph are as follows:
                    (A) With respect to an action to eliminate 
                compliance with CAS, if reliance on a similar 
                requirement under generally accepted accounting 
                principles (in this section referred to as ``GAAP'') 
                would materially achieve uniformity and consistency in 
                cost accounting with respect to such elimination 
                without bias or prejudice to parties to a contract.
                    (B) If other existing requirements in guidance or 
                regulation will sufficiently protect the interests of 
                the Secretary of Defense in the oversight of cost 
                contracts.
                    (C) If such requirement is no longer necessary or 
                appropriate.
    (b) Assessment of GAAP To Meet Department of Defense Needs.--
            (1) In general.--The Secretary of Defense shall conduct an 
        assessment of the steps necessary to enable the use of GAAP 
        instead of CAS as the baseline for standards of financial 
        accounting and reporting for the contracts of the Department of 
        Defense. Such assessment shall include--
                    (A) an identification of needed changes to law, 
                regulation, or policy to enable the Secretary to 
                eliminate the use of CAS and implement the use of GAAP 
                as such baseline; and
                    (B) an identification any Department-specific 
                standards that would be required in addition to GAAP to 
                support the unique requirements of defense contracts.
            (2) Report.--Not later than 180 days after the date of the 
        enactment of this Act, the Secretary shall submit to the 
        congressional defense committees a report on the findings of 
        the assessment required by paragraph (1), along with any 
        recommended actions for Congress to reduce or eliminate 
        requirements for compliance with CAS.

SEC. 302. REVIEW OF COMMERCIAL BUYING PRACTICES.

    (a) Review Required.--
            (1) In general.--Not later than 120 days after the 
        enactment of this Act, the Secretary of Defense shall carry out 
        a comprehensive review of the approach of the Department of 
        Defense to acquiring commercial products and commercial 
        services and the implementation of the requirements of the 
        Federal Acquisition Streamlining Act of 1994 (Public Law 103-
        355) by the Department.
            (2) Review requirements.--The review required by paragraph 
        (1) shall include an assessment of each of the following as 
        they relate to the approach of the Department of Defense to 
        acquiring commercial products and commercial services:
                    (A) The policies, procedures, guidance, and 
                instructions of the Department of Defense.
                    (B) The extent to which contracts entered into by 
                the Department of Defense for the acquisition of 
                commercial products or commercial services include 
                requirements or other provisions that should not apply 
                to the acquisition of a commercial product or 
                commercial service and the extent to which such 
                requirements or other provisions are included in 
                subcontracts under such contracts.
                    (C) Training curricula, educational materials, and 
                associated activities of the Department of Defense 
                related to acquiring commercial products and commercial 
                services, including such curricula, materials, and 
                activities that pertain to the determination of a 
                product or service as a commercial product or 
                commercial service and the congressional intent that 
                the definitions of the terms ``commercial product'' and 
                ``commercial service'' should be applied broadly.
                    (D) Audit and oversight policies and practices of 
                the Department of Defense.
                    (E) Incentives that discourage the acquisition 
                workforce from acquiring commercial products or 
                commercial services.
                    (F) The process by which the Department of Defense 
                develops and issues regulations related to the 
                acquisition of commercial products or commercial 
                services, including delays in rulemaking and the 
                resulting delays in the implementation of policies 
                intended to improve or streamline the acquisition of 
                commercial products or commercial services.
                    (G) Requirements in solicitations or contracts of 
                the Department of Defense requiring the use of military 
                specifications or standards when applicable commercial 
                specifications or standards were available that could 
                have meet the needs of the Department served by such 
                military specifications or standards.
                    (H) The process by which the Department of Defense 
                evaluates past performance, including performance under 
                Federal, State, and local government and private 
                contracts (as described in section 15.305(a)(2)(ii) of 
                the Federal Acquisition Regulation), in the acquisition 
                of commercial products or commercial services.
    (b) Report.--Not later than 180 days after the enactment of this 
Act, the Secretary of Defense shall submit to the congressional defense 
committees a report that--
            (1) describes the findings of the review required by 
        subsection (a)(1);
            (2) describes the corrective actions taken by the Secretary 
        to address the issues identified pursuant to such review, 
        including any findings of noncompliance by the Department of 
        Defense with the requirements of the Federal Acquisition 
        Streamlining Act of 1994 (Public Law 103-355) or any other 
        statutory or regulatory requirements related to advancing and 
        enabling the procurement of commercial products and commercial 
        services; and
            (3) includes any recommendations of the Secretary on 
        actions that Congress may take to better enable the Department 
        of Defense to take advantage of the benefits of acquiring 
        commercial products and commercial services.

SEC. 303. ADJUSTMENTS TO CERTAIN ACQUISITION THRESHOLDS.

    (a) Major Program.--Section 3041 of title 10, United States Code, 
is amended--
            (1) in subsection (c)(1)--
                    (A) in subparagraph (A), by striking ``$115,000,000 
                (based on fiscal year 1990 constant dollars)'' and 
                inserting ``$275,000,000 (based on fiscal year 2024 
                constant dollars)''; and
                    (B) in subparagraph (B), by striking ``$540,000,000 
                (based on fiscal year 1990 constant dollars)'' and 
                inserting ``$1,300,000,000 (based on fiscal year 2024 
                constant dollars)''; and
            (2) in subsection (d)(1), by striking ``$750,000 (based on 
        fiscal year 1980 constant dollars)'' and inserting ``$5,000,000 
        (based on fiscal year 2024 constant dollars)''.
    (b) Use of Procedures Other Than Competitive Procedures.--Section 
3204(e)(1) of title 10, United States Code, is amended--
            (1) by striking ``$10,000,000'' each place it appears and 
        inserting ``$100,000,000'';
            (2) by striking ``$75,000,000'' each place it appears and 
        inserting ``$500,000,000''; and
            (3) in subparagraph (B)(i), by striking ``$500,000'' and 
        inserting ``$5,000,000''.
    (c) Simplified Procedures for Small Purchases.--Section 3205(a) of 
title 10, United States Code, is amended--
            (1) in paragraph (1), by striking ``simplified acquisition 
        threshold'' and inserting ``threshold specified in section 
        3571(a) of this title''; and
            (2) in paragraph (2), by striking ``$5,000,000'' and 
        inserting ``$50,000,000''.
    (d) Multiyear Contracts.--Section 3501 of title 10, United States 
Code, is amended--
            (1) by striking ``$500,000,000'' each place it appears and 
        inserting ``$1,000,000,000'';
            (2) by striking ``$100,000,000'' each place it appears and 
        inserting ``$150,000,000''; and
            (3) by striking ``$20,000,000'' each place it appears and 
        inserting ``$50,000,000''.
    (e) Simplified Acquisition Threshold.--Section 3571(a) of title 10, 
United States Code, is amended--
            (1) by inserting ``(1)'' before ``For purposes of 
        acquisitions'';
            (2) by striking ``as specified in section 134 of title 41'' 
        and inserting ``$10,000,000''; and
            (3) by adding at the end the following new paragraph:
    ``(2) In the case of any contract to be awarded and performed, or 
purchase to be made, in support of a contingency operation or a 
humanitarian or peacekeeping operation, the simplified acquisition 
threshold means an amount equal to two times the amount specified in 
paragraph (1).''.
    (f) Micro-Purchase Threshold.--Section 3573 of title 10, United 
States Code, is amended by striking ``$10,000'' and inserting 
``$100,000''.
    (g) Modifications to Submissions of Cost or Pricing Data.--Section 
3702(a) of title 10, United States Code, is amended--
            (1) in paragraph (1)--
                    (A) by striking ``June 30, 2018'' each place it 
                appears and inserting ``June 30, 2026'';
                    (B) in subparagraph (A), by striking ``$2,000,000'' 
                and inserting ``$10,000,000''; and
                    (C) in subparagraph (B), by striking ``$750,000'' 
                and inserting ``$2,000,000'';
            (2) in paragraph (2), by striking ``$2,000,000'' and 
        inserting ``$10,000,000''; and
            (3) in subparagraph (3)(A), by striking ``$2,000,000'' and 
        inserting ``$10,000,000''.
    (h) Major Defense Acquisition Programs; Definitions; Exceptions.--
Section 4201(a)(2) of title 10, United States Code, is amended--
            (1) in subparagraph (A), by striking ``$300,000,000 (based 
        on fiscal year 1990 constant dollars)'' and inserting 
        ``$1,000,000,000 (based on fiscal year 2024 constant 
        dollars)''; and
            (2) in subparagraph (B), by striking ``$1,800,000,000 
        (based on fiscal year 1990 constant dollars)'' and inserting 
        ``$5,500,000,000 (based on fiscal year 2024 constant 
        dollars)''.

SEC. 304. ALTERNATIVE CAPABILITY-BASED PRICING.

    Chapter 287 of title 10, United States Code, is amended by adding 
at the end the following new section:
``Sec. 3906. Alternative capability-based pricing
    ``(a) In General.--Except as provided by subsection (b), the head 
of an agency may use alternative capability-based analysis for the 
acquisition of a commercial solution to determine whether the price for 
a commercial solution is fair and reasonable based on the value to the 
Government as determined under such analysis.
    ``(b) Exception.--Subsection (a) does not apply with respect to the 
acquisition of a commercial solution under a subcontract.
    ``(c) Definitions.--In this section:
            ``(1) The term `alternative capability-based analysis' 
        means an analysis of the value to the Government of a 
        commercial solution that determines such value based on one or 
        more of the following criteria:
                    ``(A) The suitability of the commercial solution 
                for the particular purpose for which the Government 
                would acquire such commercial solution.
                    ``(B) The benefits obtained by the Government as a 
                result of improvements in capability, effectiveness, 
                efficiency, process, or speed to delivery provided by 
                such commercial solution.
                    ``(C) The estimated total cost avoidance resulting 
                from the acquisition and use of such commercial 
                solution, including the cost avoidance resulting from 
                reductions to operations, sustainment, or risks to 
                mission by replacing fielded capabilities with such 
                commercial solution.
                    ``(D) Input from the intended end users of such 
                commercial solution on the potential value of the 
                improvements to capabilities or processes provided by 
                such commercial solution.
            ``(2) The term `commercial solution' means a product or 
        service, including an integrated combination of products, 
        services, or products and services--
                    ``(A) that is sold, leased, or licensed in the 
                commercial marketplace, or offered for sale, lease, or 
                license in the commercial marketplace; and
                    ``(B) the provider of which contemporaneously 
                offers such solution or a solution that is similar to 
                such solution to the general public or public entities, 
                including State and local governments and foreign 
                governments, under terms and conditions that are 
                similar to the terms and conditions under which such 
                solution is offered to the Federal Government.''.

SEC. 305. CLARIFICATION OF CONDITIONS FOR PAYMENTS FOR COMMERCIAL 
              PRODUCTS AND COMMERCIAL SERVICES.

    Section 3805 of title 10, United States Code, is amended--
            (1) in subsection (d)--
                    (A) by striking ``The conditions'' and inserting 
                ``(1) The conditions''; and
                    (B) by adding at the end the following new 
                paragraph:
    ``(2) For the purposes of section 3803 of this title, a payment for 
covered services acquired through a commercially utilized acquisition 
strategy shall not be considered an advance payment made under section 
3801 of this title.''; and
            (2) by adding at the end the following new subsection:
    ``(e) Definitions.--In this section:
            ``(1) The term `commercially utilized acquisition strategy' 
        means an acquisition of a service by the Government under terms 
        and conditions that--
                    ``(A) are similar to the terms and conditions under 
                which such service is available to the public; and
                    ``(B) provide such service as a consumption-based 
                solution or under a technology subscription model or 
                other model based on predetermined pricing for access 
                to such service.
            ``(2) The term `covered service' means a commercial service 
        that includes access to or use of any combination of hardware, 
        equipment, software, labor, or services, including access to 
        commercial satellite data and associated services, that is 
        integrated to provide a capability.''.

  TITLE IV--STRENGTHENING THE DEFENSE INDUSTRIAL BASE AND LEVERAGING 
                         COMMERCIAL INNOVATION

SEC. 401. DEFENSE INDUSTRIAL RESILIENCE CONSORTIUM.

    (a) Establishment.--Not later than 90 days after the date of the 
enactment of this Act, the Secretary of Defense shall establish a 
consortium (to be known as the ``Defense Industrial Resilience 
Consortium'') to address challenges to and limitations of the 
industrial base to ensure that the Armed Forces are equipped with the 
capabilities necessary to effectively respond to national security 
challenges.
    (b) Membership.--Membership in the consortium established under 
subsection (a) shall be open to relevant entities and individuals from 
the Government, industry, and academia with an interest in advanced 
manufacturing or production technologies, fostering domestic industrial 
innovation, or enabling rapid, scalable solutions to sustain and 
enhance the availability of essential defense components.
    (c) Purpose.--
            (1) In general.--The consortium established under 
        subsection (a) shall provide a forum for the Government, 
        industry, and academia to collaborate on identifying and 
        addressing challenges to and limitations of the industrial base 
        in meeting the needs of the Department of Defense.
            (2) Areas of focus.--In identifying and addressing 
        challenges to and limitations of the industrial base, the 
        consortium established under subsection (a) shall focus on--
                    (A) eliminating impediments to a resilient and 
                robust industrial base, including--
                            (i) policies and procedures that are 
                        impeding businesses of all types and sizes from 
                        working with the Department of Defense;
                            (ii) areas where the Department could 
                        improve implementation of the Federal 
                        Acquisition Streamlining Act of 1994 (Public 
                        Law 103-355), including limiting the 
                        application of requirements specific to the 
                        Government in the procurement of commercial 
                        products and commercial services, and 
                        maximizing the use of commercial standards 
                        rather than military specifications and 
                        standards; and
                            (iii) impediments to transitioning 
                        research, development, testing, and evaluation 
                        programs funded by military departments and the 
                        Department to relevant acquisition programs of 
                        record;
                    (B) identifying and addressing supply chain 
                fragility, including--
                            (i) preventing or mitigating parts 
                        obsolescence, and addressing the 
                        vulnerabilities from reliance on single sources 
                        for any material, product, or service while 
                        reducing the dependencies on nonallied nations;
                            (ii) developing long-term industrial base 
                        strategies and solutions to ensure the 
                        availability of mission-critical parts for 
                        systems of the Department throughout the life 
                        cycle of such systems; and
                            (iii) bolstering supply chain diversity and 
                        developing shared awareness of supply chain 
                        challenges, risks, and opportunities between 
                        Government and industry;
                    (C) expanding domestic manufacturing and industrial 
                capacity, including--
                            (i) enabling rapid engagement between 
                        government, academia, and industry to develop, 
                        test, and scale solutions that can revitalize 
                        domestic manufacturing capabilities, reduce 
                        reliance on single sources of supply, and 
                        strengthen the defense industrial base;
                            (ii) identifying financial incentives and 
                        business models to enable and support a civil 
                        reserve manufacturing network that could be 
                        activated to meet the needs of the Department 
                        of Defense;
                            (iii) supporting and informing efforts to 
                        enhance government-owned, government-operated 
                        arsenals and depots with advanced manufacturing 
                        and other production capabilities to enable 
                        rapid response across the spectrum of 
                        operational environments;
                            (iv) enabling and enhancing public-private 
                        partnerships between the organic industrial 
                        base, commercial manufacturing, and other 
                        industrial entities; and
                            (v) anticipate and close gaps in 
                        manufacturing capabilities for defense systems 
                        by fostering the adoption of additive 
                        manufacturing, automation, AI-driven 
                        production, and other emerging capabilities to 
                        modernize the industrial base and associated 
                        supply chains;
                    (D) accessing and implementing commercial 
                approaches to enabling modern manufacturing 
                capabilities, including--
                            (i) adoption of commercial approaches to 
                        information technology, software, the cloud, 
                        data management, and artificial intelligence to 
                        support and enable modern manufacturing 
                        capabilities; and
                            (ii) identifying financial incentives and 
                        business models to encourage private-sector 
                        investment and expand access to advanced, high-
                        quality advanced manufacturing, that uses 
                        software to digitize manufacturing to the 
                        greatest extent possible; and
                    (E) development and training of the workforce, 
                including--
                            (i) leveraging industry best practices 
                        training and development of critical skills in 
                        advanced manufacturing, including skills 
                        required to manufacture unique components and 
                        products for systems of the Department of 
                        Defense and to enable capabilities of the 
                        Department;
                            (ii) identifying or developing 
                        opportunities for public-private talent 
                        exchanges and skills development in areas such 
                        as advanced manufacturing, supply chain 
                        management, and supply chain risk management; 
                        and
                            (iii) identify or develop curriculum and 
                        experiential learning to support and enable 
                        advanced manufacturing, production 
                        technologies, or industrial innovation.
    (d) Consortium Work Products and Recommendations.--Relevant work 
products and recommendations developed through consortium activities 
shall be considered by the Secretary of Defense in developing policy 
and allocating resources to ensure that the Armed Forces are equipped 
with the capabilities necessary to effectively respond to national 
security challenges.
    (e) Use of Other Transaction Authorities.--The consortium 
established under subsection (a) shall support the use of other 
transaction authorities under sections 4021 and 4022 of title 10, 
United States Code, and other appropriate acquisition authorities, to 
rapidly prototype and field advanced manufacturing solutions and to 
address the other challenges to and limitations of the industrial base.

SEC. 402. AMENDMENT TO OTHER TRANSACTION AUTHORITY.

    (a) In General.--Section 4022 of title 10, United States Code, is 
amended--
            (1) in subsection (a)(2)--
                    (A) in subparagraph (A), by striking ``agency 
                that'' and all that follows through ``the use'' and 
                inserting ``agency that the use'';
                    (B) in subparagraph (B)(i), by striking ``writing 
                that'' and all that follows through ``the use'' and 
                inserting ``writing that the use''; and
                    (C) in subparagraph (C)--
                            (i) by striking ``subsection (f)'' each 
                        place it appears and inserting ``subsection 
                        (e)''; and
                            (ii) in clause (i)(I), by striking ``the 
                        requirements of subsection (d)'' and all that 
                        follows through ``and the'' and inserting 
                        ``the'';
            (2) by striking subsection (d);
            (3) by redesignating subsections (e) through (i) as 
        subsections (d) through (h), respectively; and
            (4) in subsection (f), as so redesignated, by striking 
        ``subsection (f)'' and inserting ``subsection (e)''.
    (b) Conforming Amendments.--
            (1) National security act of 1947.--Section 102A(n)(6)(C) 
        of the National Security Act of 1947 (50 U.S.C. 3024(n)(6)(C)) 
        is amended--
                    (A) by repealing clauses (v) and (vi); and
                    (B) in clause (vii)--
                            (i) in the matter preceding subclause (I), 
                        by striking ``4022(f)(2)'' and inserting 
                        ``4022(e)(2)''; and
                            (ii) in subclause (V)(cc), by striking 
                        ``4022(f)(5)'' and inserting ``4022(e)(5)''.
            (2) Homeland security act of 2002.--Section 831(d) of the 
        Homeland Security Act of 2002 (6 U.S.C. 391(d)) is amended by 
        striking ``4022(e)'' and inserting ``4022(d)''.
            (3) John s. mccain national defense authorization act for 
        fiscal year 2019.--Section 873(c)(1) of the John S. McCain 
        National Defense Authorization Act for Fiscal Year 2019 (Public 
        Law 115-232; 10 U.S.C. 4021 note) is amended--
                    (A) in subparagraph (A), by striking ``subsection 
                (f)'' and inserting ``subsection (e)''; and
                    (B) in subparagraph (E), by striking ``or (f)'' and 
                inserting ``or (e)''.
            (4) James m. inhofe national defense authorization act for 
        fiscal year 2023.--Section 322(h)(2) of the James M. Inhofe 
        National Defense Authorization Act for Fiscal Year 2023 (Public 
        Law 117-263; 10 U.S.C. 2911 note) is amended by striking 
        ``subsection (f)'' and inserting ``subsection (e)''.

SEC. 403. DATA-AS-A-SERVICE SOLUTIONS FOR WEAPON SYSTEM CONTRACTS.

    (a) In General.--Chapter 323 of title 10, United States Code, as 
amended by section 105 of this Act, is amended by adding at the end the 
following new section:
``Sec. 4324. Data-as-a-service solutions for weapon system contracts
    ``(a) Negotiations for Data-as-a-Service.--Before entering into a 
contract for the procurement of a weapon system (or component thereof), 
the Secretary of Defense shall ensure, to the maximum extent 
practicable, that the negotiations for such contract include 
negotiations for data-as-a-service solutions to facilitate access to 
the information described in subsection (b) as necessary for--
            ``(1) the performance of depot-level maintenance and repair 
        workload by employees of the Department of Defense in 
        accordance with section 2466 of this title; or
            ``(2) the maintenance of a core logistics capability in 
        accordance with section 2464 of this title.
    ``(b) Covered Information.--The information described in subsection 
(a) is technical data or computer software that relates to the weapon 
system (or component thereof) to be procured that is--
            ``(1) detailed manufacturing or process data relating to 
        how contractors or subcontractors design, develop, produce, 
        test, certify, diagnose, maintain, repair, or otherwise support 
        such weapon system (or component thereof);
            ``(2) digital networks or digital models that contain data 
        described in paragraph (1), or virtual replicas of such data;
            ``(3) design details, algorithms, processes, flow charts, 
        formulas, and related information that describe the design, 
        organization, or structure of computer software; or
            ``(4) necessary for operation, maintenance, installation, 
        or training with respect to such weapon system (or component 
        thereof).
    ``(c) Methods and Schedule for Access.--(1) With respect to a data-
as-a-service solution described in subsection (a), access to the 
information described in subsection (b) may be made available through 
one or more methods, including electronically, in-person, or machine-
to-machine encryption, as appropriate based on the type, sensitivity, 
or authorized use of such information.
    ``(2) The Secretary of Defense shall ensure that the terms of a 
contract for a data-as-a-service solution described in subsection (a) 
clearly state the requirements, conditions, and schedule for providing 
access to the information described in subsection (b).
    ``(d) Applicability to Commercial Products.--(1) With respect to a 
contract for a commercial product that is a data-as-a-service solution 
described in subsection (a), the offeror for such commercial product 
shall ensure that the pricing and terms and conditions of access to 
information described in subsection (b) for such commercial product is 
commensurate with commercial practices for similar access.
    ``(2) The Secretary of Defense may not require an offeror for a 
commercial product that is a data-as-a-service solution described in 
subsection (a) to provide access to information described in subsection 
(b) in a manner that is different from what such offeror customarily 
provides to a buyer of such commercial product, unless the offeror has 
agreed to provide such access pursuant to a specifically negotiated 
agreement with the Secretary.
    ``(e) Rule of Construction.--Nothing in this section shall be 
construed as modifying any rights, obligations, or limitations of the 
Government, contractor, or subcontractor with respect to rights in 
technical data under subchapter I of chapter 275 of this title.
    ``(f) Definitions.--In this section:
            ``(1) The term `access', with respect to information 
        described in subsection (b), means the availability of such 
        information as a service rather than as specifically delivered 
        in the performance of a contract for the procurement of a 
        weapon system (or component thereof).
            ``(2) The term `data-as-a-service' means a model under 
        which the Secretary is provided access to the most up-to-date 
        information described in subsection (b) that relates to a 
        weapon system (or component thereof) to be procured by the 
        Secretary, including any associated license agreements for such 
        information.
            ``(3) The term `technical data' has the meaning given in 
        section 3013 of this title.''.
    (b) Guidance Required.--Not later than 180 days after the date of 
the enactment of this Act, the Secretary of Defense shall issue 
guidance to carry out the requirements of section 4324 of title 10, 
United States Code, as added by this section.
    (c) Applicability.--Section 4324 of title 10, United States Code, 
as added by this section, shall apply with respect to a contract for 
the procurement of a weapon system (or component thereof) entered into 
on or after the date of the enactment of this Act.

SEC. 404. REQUIREMENTS FOR MODULAR OPEN SYSTEM APPROACH AND 
              MODIFICATIONS TO RIGHTS IN TECHNICAL DATA.

    (a) Requirements for Modular Open System Approach.--Section 4401 of 
title 10, United States Code, is amended to read as follows:
``Sec. 4401. Requirement for modular open system approach
    ``(a) Requirement.--The Secretary of Defense shall ensure that a 
covered system to be procured is designed and developed, to the maximum 
extent practicable, with a modular open system approach.
    ``(b) Assessment To Inform Strategy.--Before designing or 
developing a covered system, the Secretary of Defense shall conduct an 
assessment to identify the open systems objectives to be achieved by 
the design and development of the covered system. Such assessment shall 
identify and document how such approach would--
            ``(1) support the objectives of the defense acquisition 
        system established pursuant to section 3102 of this title;
            ``(2) align with the preference for the acquisition of 
        commercial products in section 3453 of this title to retain, to 
        the maximum extent practicable, the commercial viability of 
        subsystems and components of the covered system;
            ``(3) reduce the complexity and increase the speed by which 
        new technology can be integrated into a covered system to 
        enhance miliary effectiveness and responsiveness to emerging 
        threats;
            ``(4) enable the use of iterative development cycles and 
        discontinue or terminate the development of capabilities--
                    ``(A) that no longer align with approved capability 
                requirements (as defined in section 181 of this title) 
                or priorities; or
                    ``(B) that are experiencing significant cost 
                growth, performance deficiencies, or delays in 
                schedule;
            ``(5) promote a robust and responsive defense industrial 
        base, and foster competition amongst offerors of subsystems and 
        components of the covered system through the life cycle of the 
        covered system, especially at the module level;
            ``(6) reduce schedule delays and development timelines;
            ``(7) increase and enable interoperability of a covered 
        system with the joint force as changes to force design evolve; 
        and
            ``(8) enable effective life-cycle management and product 
        support of a covered system--
                    ``(A) in accordance with the requirements of 
                section 4322 of this title; and
                    ``(B) to ensure that the covered system will meet 
                applicable operational readiness requirements (as 
                defined in such section 4322) and materiel readiness 
                objectives (established under section 118(c) of this 
                title) in the most cost-effective manner practicable.
    ``(c) Architecture Requirements.--(1) In developing an architecture 
for the procurement of a covered system using a modular open system 
approach, the Secretary shall ensure that the architecture--
            ``(A) adequately designates and defines modules, module 
        interfaces, key interfaces, and openness characteristics of the 
        covered system necessary to achieve the open systems objectives 
        described in subsection (b);
            ``(B) to the extent practicable, is based on--
                    ``(i) widely accepted, consensus-based standards 
                that are available at no cost or under fair and 
                reasonable license terms; or
                    ``(ii) if such standards are not available or 
                suitable, incremental standards that define 
                relationships between module interfaces and key 
                interfaces; and
            ``(C) is designed and developed to accelerate the 
        procurement and integration of commercial products as modules, 
        module interfaces, and key interfaces.
    ``(2) The Secretary shall consider input from private entities as 
early as possible to inform decisions regarding the level in the 
architecture at which a modular open system approach will be 
implemented for a covered system.
    ``(3) The architecture described in this subsection shall be 
included in any draft and final solicitations for procurement of a 
covered system.
    ``(d) Openness Characteristics.--Consistent with the requirements 
of subchapter I of chapter 275 of this title, the Secretary shall 
include in the solicitation for the covered system a description of the 
desired openness characteristics of the covered system necessary to 
achieve the open systems objectives described in subsection (b), 
including the following:
            ``(1) The open systems objectives identified as result of 
        the assessment required by subsection (b).
            ``(2) A description of the application of specifications or 
        standards for module interfaces to achieve such objectives.
            ``(3) A description of the minimum technical data package 
        elements necessary to achieve such objectives.
            ``(4) The desired license rights in module interfaces or 
        key interfaces based on such objectives, including desired 
        license rights to enable the replacement of a module or module 
        interface with an alternative or new module or module 
        interface.
    ``(e) Applicability to Commercial Products.--In applying the 
requirements of this section to a covered system that includes a 
commercial product, the Secretary of Defense shall--
            ``(1) implement modular open system approaches in 
        accordance with such approaches used in the ordinary course of 
        business for such commercial product on the commercial 
        marketplace;
            ``(2) for a commercial product that is commercial technical 
        data or commercial software, procure such commercial product 
        under license terms similar to such terms that are customarily 
        provided to the public, unless the Secretary has specifically 
        negotiated different license terms;
            ``(3) when applicable, obtain the delivery of commercial 
        software development kits with license rights necessary to 
        support the desired openness characteristics for the covered 
        system; and
            ``(4) to the maximum extent practical, conduct negotiations 
        for desired license rights in accordance with the preference 
        for specially negotiated licenses in section 3774(c) of this 
        title.
    ``(f) Definitions.--In this section:
            ``(1) The term `covered system' means a system acquired or 
        developed under--
                    ``(A) an acquisition program of the Department of 
                Defense; or
                    ``(B) a research and development program of the 
                Department to address a capability requirement or joint 
                capability requirement (as defined in section 181 of 
                this title).
            ``(2) The term `incremental standard' means a specification 
        for a module interface or key interface that includes--
                    ``(A) software-defined syntax and properties that 
                specifically govern how values are validly passed and 
                received between subsystems and components in machine-
                readable format;
                    ``(B) a machine-readable definition of the 
                relationship between the module interface or key 
                interface and existing common standards or interfaces 
                available in Department databases; and
                    ``(C) documentation with functional descriptions of 
                software-defined interfaces, conveying semantic meaning 
                of elements of the module interface or key interface.
            ``(3) The term `key interface' means a shared boundary 
        between any system, subsystem of a covered system, or set of 
        modules, defined by various physical, logical, functional 
        characteristics, such as electrical, mechanical, fluidic, 
        optical, radio frequency, data, networking, or software.
            ``(4) The term `modular open system approach' means the 
        application of a strategy that leverages an architecture that 
        enables modules to be incrementally added, removed, or replaced 
        throughout the life cycle of the covered system to achieve a 
        set of objectives.
            ``(5) The term `module' means a self-contained functional 
        hardware or software unit--
                    ``(A) that can be developed, tested, and deployed 
                independently of a module interface or key interface; 
                and
                    ``(B) that can simultaneously interact with another 
                self-contained functional hardware or software unit 
                described in subparagraph (A) through a module 
                interface or key interface.
            ``(6) The term `module interface' means a shared boundary 
        between modules, defined by physical, logical, and functional 
        characteristics, such as electrical, mechanical, fluidic, 
        optical, radio frequency, data, networking, or software.
            ``(7) The term `software development kit' means a 
        collection of software tools and programs such as libraries, 
        application programming interfaces, integrated development 
        environments, testing tools, or documentation used to create 
        applications that are appropriate for a specific software 
        platform.''.
    (b) Guidance.--Not later than 180 days after the date of the 
enactment of this Act, the Secretary of Defense shall issue guidance to 
carry out the requirements of section 4401 of title 10, United States 
Code, as amended by this section.
    (c) Applicability.--The requirements of section 4401 of title 10, 
United States Code, as amended by this section, shall apply with 
respect to a contract entered into on or after the date of the 
enactment of this Act.
    (d) Modification to Rights in Technical Data.--
            (1) Rights in technical data.--Section 3771 of title 10, 
        United States Code, is amended--
                    (A) in subsection (a)--
                            (i) in paragraph (2)(A), by striking `` or 
                        copyrights'' and inserting ``, copyrights, 
                        trade secrets,''; and
                            (ii) by adding at the end the following new 
                        paragraph:
            ``(3) Enforcement of certain rights.--Regulations 
        prescribed under paragraph (1) may not affect or limit any 
        right described in paragraph (2)(A) or the ability of a 
        contractor or subcontractor to enforce such a right against a 
        third party that has not otherwise obtained a license for such 
        a right from the United States or from the contractor or 
        subcontractor.''; and
                    (B) in subsection (b)--
                            (i) in paragraph (2), by striking 
                        ``paragraphs (3), (4), and (7),'' and inserting 
                        ``paragraphs (3) and (4),'';
                            (ii) by amending paragraph (3) to read as 
                        follows:
            ``(3) Inapplicability of paragraph (2).--Unless otherwise 
        negotiated, paragraph (2) does not apply to technical data 
        that--
                    ``(A) constitutes a correction or change to data 
                furnished by the United States; or
                    ``(B) is otherwise publicly available or has been 
                released or disclosed by the contractor or 
                subcontractor without restriction on further release or 
                disclosure.'';
                            (iii) by amending paragraph (4) to read as 
                        follows:
            ``(4) Exceptions to paragraph (2).--(A) Notwithstanding 
        paragraph (2), unless otherwise negotiated, the United States 
        shall have government purpose rights, in perpetuity, in 
        technical data that--
                    ``(i) relates to form, fit, or function of an item 
                or process; or
                    ``(ii) is necessary for operation, maintenance, 
                installation, or training (other than detailed 
                manufacturing or process data) of an item or process.
            ``(B) Notwithstanding paragraph (2), the United States may 
        release or disclose technical data to persons outside the 
        Government, or permit the use of technical data by such 
        persons, if such release, disclosure, or use--
                    ``(i) is necessary for emergency repair and 
                overhaul;
                    ``(ii) is a release or disclosure of technical data 
                (other than detailed manufacturing or process data) to, 
                or use of such data by, a foreign government, where 
                such release or disclosure is in the interest of the 
                United States and is required for evaluation or 
                informational purposes;
                    ``(iii) is made subject to a prohibition that the 
                person to whom the data are released or disclosed may 
                not further release, disclose, or use such data; and
                    ``(iv) the contractor or subcontractor asserting 
                the restriction is notified of such release, 
                disclosure, or use.'';
                            (iv) in paragraph (6)--
                                    (I) in the paragraph heading, by 
                                striking ``Interfaces'' and inserting 
                                ``Module interfaces of an item'';
                                    (II) by inserting ``, in 
                                perpetuity,'' after ``government 
                                purpose rights''; and
                                    (III) by striking ``an interface 
                                between an item or process and other 
                                items or processes'' and inserting ``a 
                                module interface of an item''; and
                            (v) in paragraph (7)--
                                    (I) in the paragraph heading, by 
                                striking ``Modular system interfaces'' 
                                and inserting ``Key interfaces of an 
                                item'';
                                    (II) in subparagraph (A)--
                                            (aa) by striking 
                                        ``paragraphs (2) and (5)'' and 
                                        inserting ``paragraph (5) and 
                                        except as otherwise provided by 
                                        subsection (e) of section 4401 
                                        of this title,'';
                                            (bb) by inserting ``, in 
                                        perpetuity,'' after 
                                        ``government purpose rights''; 
                                        and
                                            (cc) by striking ``modular 
                                        system interface'' and 
                                        inserting ``key interface of an 
                                        item'';
                                    (III) in subparagraph (B), by 
                                striking ``modular system interface'' 
                                and inserting ``a key interface''; and
                                    (IV) in subparagraph (C), by 
                                striking ``modular system interface'' 
                                and inserting ``key interface of an 
                                item''.
            (2) Definitions.--Section 3775(b) of title 10, United 
        States Code, is amended to read as follows:
    ``(b) Additional Definitions.--In this subchapter, the terms `key 
interface', `modular open system approach', and `module interface' have 
the meanings given, respectively, in section 4401 of this title.''.
    (e) Conforming Amendments.--
            (1) Section 3791(c)(1) of title 10, United States Code, is 
        amended--
                    (A) in subparagraph (A), by striking ``section 
                4401(b) of this title'' and inserting ``section 4401 of 
                this title''; and
                    (B) in subparagraph (D)(iv), by striking ``modular 
                system interfaces (as defined in section 4401(b) of 
                this title)'' and inserting ``module interfaces (as 
                defined in section 4401(f) of this title)''.
            (2) Section 4402 of title 10, United States Code, is 
        repealed.
            (3) Section 4403 of title 10, United States Code, is 
        repealed.
            (4) Section 4425 of title 10, United States Code, is 
        amended to read as follows:
``Sec. 4425. Definitions
    ``In this subchapter:
            ``(1) The term `major system platform' means the highest 
        level structure of a major weapon system that is not physically 
        mounted or installed onto a higher level structure and on which 
        a major system component can be physically mounted or 
        installed.
            ``(2) The term `weapon system component'--
                    ``(A) means a high level subsystem or assembly, 
                including hardware, software, or an integrated assembly 
                of both, that can be mounted or installed on a major 
                system platform through a key system interface (as 
                defined in section 4401(f) of this title); and
                    ``(B) includes a subsystem or assembly that is 
                likely to have additional capability requirements, is 
                likely to change because of evolving technology or 
                threat, is needed for interoperability, facilitates 
                incremental deployment of capabilities, or is expected 
                to be replaced by another subsystem or assembly 
                described in subparagraph (A).''.
            (5) Section 804 of the National Defense Authorization Act 
        for Fiscal Year 2021 (10 U.S.C. 4401 note) is repealed.

SEC. 405. QUALIFICATION, ACCEPTANCE, AND SUPPLY CHAIN MANAGEMENT OF 
              PRODUCTS MANUFACTURED USING ADVANCED MANUFACTURING.

    (a) In General.--Not later than 180 days after the date of the 
enactment of this Act, the Secretary of Defense shall establish in the 
Defense Industrial Resilience Consortium established under section 401 
of this Act a working group to develop recommendations for improving 
the policies and procedures of the Department of Defense for the 
qualification, acceptance, and management of the supply chains of 
products manufactured using advanced manufacturing.
    (b) Membership.--The membership of the working group shall include 
representatives from government, industry, and academia with expertise 
in advanced manufacturing, engineering, the procedures of the 
Department of Defense for qualifying and accepting products, supply 
chain management, or commercial best practices and business models for 
advanced manufacturing.
    (c) Responsibilities.--The working group shall--
            (1) review the policies and procedures of the Department of 
        Defense to identity policies and procedures for the 
        qualification, acceptance, and management of the supply chains 
        of products that are insufficient for or not applicable to 
        products manufactured using advanced manufacturing;
            (2) identify any changes to the policies and procedures of 
        the Department required for the Department to benefit fully 
        from access to and use of products manufactured using advanced 
        manufacturing; and
            (3) develop recommendations for--
                    (A) technical guidance with respect to the 
                qualification, acceptance, and management of the supply 
                chains of products manufactured using advanced 
                manufacturing;
                    (B) policies and procedures for the qualification, 
                acceptance, and management of the supply chains of such 
                products;
                    (C) changes to any other policies and procedures of 
                the Department identified under paragraph (2); and
                    (D) training to enhance the knowledge and 
                experience of the workforce of the Department of 
                Defense with advanced manufacturing, including the 
                benefits, limitations, and commercial best practices 
                and business models for designing, developing, and 
                using products manufactured using advanced 
                manufacturing.
    (d) Report.--Not later than 1 year after the date of enactment, the 
Secretary of Defense shall submit to Congress--
            (1) a report on the recommendations developed by the 
        working group under subsection (c)(3) and the actions taken by 
        the Secretary to better enable to the Department of Defense to 
        access and use products manufactured using advanced 
        manufacturing; and
            (2) a recommendation whether to continue or terminate the 
        working group.
    (e) Working Group Defined.--In this section, the term ``working 
group'' means the working group established under subsection (a).

SEC. 406. AMENDMENTS TO THE PROCUREMENT TECHNICAL ASSISTANCE PROGRAM.

    Chapter 388 of title 10, United States Code, is amended--
            (1) in section 4952--
                    (A) by redesignating paragraphs (1) and (2) as 
                paragraphs (2) and (3);
                    (B) by inserting before paragraph (2), as so 
                redesignated, the following new paragraph:
            ``(1) to support the growth and resiliency of the 
        industrial base by accelerating innovation, fostering ingenuity 
        of business entities, and establishing resilient supply 
        chains;'';
                    (C) in paragraph (2), as so redesignated, by 
                striking ``and'' at the end;
                    (D) in paragraph (3), as so redesignated, by 
                striking the period at the end and inserting ``; and''; 
                and
                    (E) by inserting after paragraph (3) the following 
                new paragraph:
            ``(4) to mitigate costs of entry for business entities that 
        improve the technology capabilities of the Department of 
        Defense.''; and
            (2) in section 4961--
                    (A) in paragraph (1), by striking ``and'' at the 
                end;
                    (B) in paragraph (2)(B), by striking the period at 
                the end and inserting ``; and''; and
                    (C) by adding at the end the following new 
                paragraph:
            ``(3) an amount determined appropriate by the Secretary to 
        establish one or more centers of excellence to provide to 
        individuals or eligible entities that provide procurement 
        technical assistance pursuant to this chapter training 
        necessary to fulfill the purpose of the program under section 
        4952 of this title.''.

SEC. 407. REPORT ON SURGE CAPACITY IN THE DEFENSE INDUSTRIAL BASE.

    (a) Report Required.--Not later than March 1, 2026, the Assistant 
Secretary of Defense for Industrial Base Policy and the Director of 
Defense Pricing, Contracting, and Acquisition Policy shall jointly 
submit to the congressional defense committees a report on efforts to 
identify and address regulations or policies that discourage or prevent 
contractors of the Department of Defense from maintaining or investing 
in surge capacity.
    (b) Elements.--The report required subsection (a) shall include the 
following:
            (1) A discussion of any efforts by United States DOGE 
        Service (commonly referred to as the ``Department of Government 
        Efficiency'' or ``DOGE''), acting in coordination with the 
        Office of the Secretary of Defense, to review and address the 
        barriers described in subsection (a)(1).
            (2) An identification of policies that incentivize 
        contractors to reduce or eliminate surge capacity, including 
        section 31.205-17 of the Federal Acquisition Regulation 
        (relating to idle facilities and idle capacity costs).
            (3) Any steps taken by the Secretary of Defense to address 
        regulatory barriers disincentivizing surge capacity within the 
        defense industrial base as part of the implementation of 
        Executive Order 14265 titled ``Modernizing Defense Acquisitions 
        and Spurring Innovation in the Defense Industrial Base'' (90 
        Fed. Reg. 15621; April 15, 2025).
    (c) Surge Capacity Defined.--In this section, the term ``surge 
capacity'' means the ability of contractors in the defense industrial 
base to rapidly increase production capacity to meet increased demand 
for defense articles and defense services (as such terms are defined, 
respectively, in section 301 of title 10, United States Code).

SEC. 408. BRIDGING OPERATIONAL OBJECTIVES AND SUPPORT FOR TRANSITION 
              PROGRAM.

    (a) Bridging Operational Objectives and Support for Transition 
Program.--
            (1) Establishment.--In meeting the responsibilities of the 
        Defense Innovation Unit under section 4127(d) of title 10, 
        United States Code, the Director of the Defense Innovation Unit 
        shall establish a program (to be known as the ``Bridging 
        Operational Objectives and Support for Transition program'') to 
        accelerate the adoption or integration of commercial 
        technologies into programs of record of the Department of 
        Defense.
            (2) Program execution.--Not later than 90 days after the 
        date of the enactment of this subsection, the Director shall 
        issue guidance on the BOOST program, including guidance to do 
        the following:
                    (A) Enable a customer seeking a technology solution 
                for a challenge or requirement in a program of record 
                of the Department of Defense to request assistance 
                under the BOOST program with identifying and adopting 
                or integrating such a solution into such program.
                    (B) Establish requirements for the Defense 
                Innovation Unit to--
                            (i) conduct a review of commercial 
                        technologies pursuant to a request described in 
                        subparagraph (A) with respect to a challenge or 
                        requirement of a program of record of the 
                        Department to identify commercial technology 
                        that may address such challenge or requirement;
                            (ii) provide to the customer that made such 
                        request the findings of such review, including 
                        any commercial technologies so identified; and
                            (iii) at the request of such customer after 
                        providing such findings to such customer, 
                        conduct development, experimentation, or 
                        integration activities in coordination with 
                        such customer to support or enable the adoption 
                        or integration of any commercial technology so 
                        identified into such program of record.
                    (C) Establish criteria for terminating assistance 
                under the BOOST program for a customer or with respect 
                to a commercial technology.
            (3) Support to other programs.--The Director shall ensure 
        the BOOST program works with and in support of--
                    (A) the program established under section 4061(a) 
                of title 10, United States Code;
                    (B) other organizations of the Department of 
                Defense responsible for accelerating the adoption and 
                integration of technology in systems or programs of the 
                Department;
                    (C) the Small Business Innovation Research Program;
                    (D) the Small Business Technology Transfer Program; 
                and
                    (E) the Joint Rapid Acquisition Cell (as described 
                in the Department of Defense Directive 5000.71 titled 
                ``Rapid Fulfillment of Combatant Commander Urgent 
                Operational Needs'' (August 24, 2012)).
            (4) Funding.--Subject to the availability of 
        appropriations, amounts authorized to be appropriated the 
        Defense Innovation Unit for research, development, test, and 
        evaluation for a fiscal year may be used for such fiscal year 
        to carry out the BOOST program.
            (5) Sunset.--The authorities and requirements under this 
        subsection shall expire on December 31, 2030.
    (b) Reporting.--Not later than two years after the date of the 
enactment of this Act, the Secretary of Defense, in coordination with 
the Under Secretary of Defense for Acquisition and Sustainment and the 
Director, shall submit to the congressional defense committees a report 
on the effectiveness of the BOOST program in accelerating the adoption 
or integration of commercial technologies into programs of record of 
the Department of Defense, including--
            (1) a summary description of customers and technologies 
        adopted or integrated into such programs of record based on 
        assistance provided under the BOOST program;
            (2) recommendations of the Secretary to improve the BOOST 
        program; and
            (3) a recommendation whether to continue or terminate the 
        BOOST program.
    (c) Definitions.--In this section:
            (1) The term ``BOOST program'' means the program 
        established under subsection (a)(1).
            (2) The term ``customer'' means a program manager or 
        program executive officer of the Department of Defense that has 
        primary responsibility for fielding the system or systems 
        acquired.
            (3) The term ``Director'' means the Director of the Defense 
        Innovation Unit.
            (4) The term ``program executive officer'' has the meaning 
        given such term in section 1737(a) of title 10, United States 
        Code.
            (5) The terms ``Small Business Innovation Research 
        Program'' and ``Small Business Technology Transfer Program'' 
        have the meanings given such terms, respectively, in section 
        9(e) of the Small Business Act (15 U.S.C. 638(e)).

  TITLE V--DEVELOPING A MISSION-ORIENTED DEFENSE ACQUISITION WORKFORCE

SEC. 501. REPORT ON STRENGTHENING THE DEFENSE ACQUISITION UNIVERSITY.

    (a) Assessment Required.--The Secretary of Defense, acting through 
the Director of the Acquisition Innovation Research Center, shall 
conduct a comprehensive assessment of the Defense Acquisition 
University (in this section referred to as ``DAU'') to strengthen the 
ability of the DAU to train and develop members of the acquisition 
workforce to meet future needs of the Department of Defense. The 
assessment shall include the following:
            (1) An evaluation of the mission of the DAU and the 
        alignment of such mission with the objectives of the defense 
        acquisition system established pursuant to section 3102 of 
        title 10, United States Code (as added by section 101 of this 
        Act).
            (2) An evaluation of the effectiveness of training and 
        development provided by DAU to members of the acquisition 
        workforce to enable such members to effectively implement the 
        objectives of the defense acquisition system.
    (b) Elements.--The assessment in paragraph (1) shall evaluate the 
following:
            (1) The organization and structure of DAU.
            (2) The curriculum and educational offerings of DAU.
            (3) The composition of the staff and faculty of DAU, 
        including an assessment of the diversity of skills, abilities, 
        and professional backgrounds of such staff and faculty.
            (4) The sufficiency of resource and funding mechanisms 
        supporting DAU operations.
            (5) The extent to which DAU uses external experts and 
        academic institutions to inform and enhance its programs.
    (c) Recommendations.--The Director of the Acquisition Innovation 
Research Center shall use the assessment required under this section 
and the objectives of the defense acquisition system to provide to the 
Secretary of Defense recommendations to strengthen the ability of the 
DAU to train and develop members of the acquisition workforce to meet 
future needs of the Department of Defense.
    (d) Report to Congress.--Not later than one year after the date of 
the enactment of this Act, the Secretary of Defense shall submit to the 
congressional defense committees a report containing--
            (1) the findings of the assessment conducted under 
        subsection (a) and the recommendations provided under 
        subsection (c); and
            (2) any actions necessary to ensure that DAU fulfills its 
        mission and provides training and development to members of the 
        acquisition workforce that aligns with the objectives of the 
        defense acquisition system.
    (e) Definitions.--In this section:
            (1) The term ``Acquisition Innovation Research Center'' 
        means the acquisition research organization within a civilian 
        college or university that is described under section 4142(a) 
        of title 10, United States Code.
            (2) The term ``acquisition workforce'' has the meaning 
        given in section 101 of title 10, United States Code.

SEC. 502. COMPTROLLER GENERAL REVIEW OF THE MANAGEMENT, TRAINING, AND 
              DEVELOPMENT OF THE ACQUISITION WORKFORCE.

    (a) In General.--The Comptroller General of the United States shall 
conduct a review of the management, training, and development of the 
acquisition workforce to enable the acquisition workforce to 
expeditiously provide the Armed Forces with the capabilities necessary 
to operate effectively, to address evolving threats, and to maintain 
the military advantage of the United States in the most cost-effective 
manner practicable.
    (b) Review Contents.--In conducting the review required by 
subsection (a), the Comptroller General shall evaluate the following:
            (1) The current organization and staffing of the 
        acquisition workforce, including the total number of positions 
        in the acquisition workforce, a list of such positions 
        disaggregated by the skills and experience required, and the 
        number of such positions that are vacant or are filled by an 
        individual whose skills and experience do not meet the required 
        skills and experience for such position.
            (2) The sufficiency of the processes and authorities of the 
        Department of Defense for recruiting and retaining the 
        acquisition workforce, and the use of such authorities to 
        maintain an acquisition workforce that is optimized to meet 
        mission requirements.
            (3) Trends in acquisition workforce hiring and retention 
        over the preceding five years.
            (4) The impediments to members of the acquisition workforce 
        receiving training and education, including any lack of 
        funding, unavailability of required or desired training, and 
        excessive workload demands that preclude such members from 
        being able to attend such training.
    (c) Report.--Not later than April 1, 2026, the Comptroller General 
shall submit to the congressional defense committees a report on the 
findings of the review required by subsection (a), including any 
recommendations to improve the management, training, and development of 
the acquisition workforce.
    (d) Acquisition Workforce Defined.--In this section, the term 
``acquisition workforce'' has the meaning given such term in section 
101(a) of title 10, United States Code.

SEC. 503. COMPTROLLER GENERAL REVIEW OF MATTERS RELATING TO INDIVIDUALS 
              ASSIGNED TO A CRITICAL ACQUISITION POSITION.

    (a) Review Required.--The Comptroller General of the United States 
shall--
            (1) conduct a review of the education, training, and career 
        development programs offered by the Secretary of Defense for 
        members of the acquisition workforce; and
            (2) conduct an assessment of the efficacy of the career 
        development policies established by section 1734 of title 10, 
        United States Code.
    (b) Matters for Review.--In conducting the review required by this 
section, the Comptroller General shall--
            (1) review the compliance of the Secretary with the 
        requirements of section 1734 of title 10, United States Code;
            (2) conduct an assessment of the efficacy of the career 
        development policies and minimum periods of assignment 
        established by such section 1734 in--
                    (A) improving the ability of the acquisition 
                workforce to expeditiously provide the Armed Forces 
                with the capabilities necessary to operate effectively, 
                to address evolving threats, and to maintain the 
                military advantage of the United States in the most 
                cost-effective manner practicable;
                    (B) enhancing the knowledge and experience of the 
                acquisition workforce;
                    (C) enabling competitive career progression of 
                members of the acquisition workforce compared to other 
                members of the civilian and military workforce of the 
                Department of Defense that are not subject to the 
                minimum periods of assignment established by such 
                section 1734; and
                    (D) the retention rates of members of the 
                acquisition workforce assigned to a critical 
                acquisition position, particularly key leadership 
                positions (as defined by the Under Secretary of Defense 
                for Acquisition and Sustainment), compared with the 
                retention rates for other members of the civilian and 
                military workforce of the Department of Defense that 
                are not subject to the minimum periods of assignment 
                established by such section 1734; and
            (3) conduct an assessment of any benefits, including 
        enhanced accountability in leadership and decisionmaking by 
        individuals in key leadership positions, of a minimum period of 
        assignment of at least four years to a critical acquisition 
        position.
    (c) Report Required.--Not later than July 1, 2026, the Comptroller 
General shall submit to the congressional defense committees 
recommendations on--
            (1) improvements to education, training, and career 
        development programs offered by the Secretary of Defense for 
        members of the acquisition workforce; and
            (2) minimum periods of assignment for an individual 
        assigned as a program executive officer.
                                 <all>