[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 4372 Introduced in House (IH)]

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119th CONGRESS
  1st Session
                                H. R. 4372

   To amend title 10 to shorten breach reporting timelines, increase 
program transparency, and improve congressional oversight of Department 
  of Defense cost overruns with respect to the cost growth for major 
                    systems, and for other purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             July 14, 2025

 Mr. Garamendi (for himself, Mr. Gimenez, Ms. Jacobs, Mr. Deluzio, and 
 Ms. Schakowsky) introduced the following bill; which was referred to 
                    the Committee on Armed Services

_______________________________________________________________________

                                 A BILL


 
   To amend title 10 to shorten breach reporting timelines, increase 
program transparency, and improve congressional oversight of Department 
  of Defense cost overruns with respect to the cost growth for major 
                    systems, 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. SHORTEN NUNN-MCCURDY BREACH REPORT TIMELINE.

    Section 4374 of title 10, United States Code, is amended--
            (1) in subsection (a), by striking ``When a unit cost 
        report'' and inserting ``Not later than 30 days after a unit 
        cost report'';
            (2) in subsection (b), by striking ``When a unit cost 
        report'' and inserting ``Not later than 30 days after a unit 
        cost report''; and
            (3) in subsection (c), by amending paragraph (2) to read as 
        follows:
            ``(2) Time for submission of notification to congress.--In 
        the case of a determination based on a quarterly report 
        submitted in accordance with section 4372 of this title or a 
        report submitted in accordance with section 4373 of this title, 
        the Secretary shall submit the notification to Congress within 
        30 days after the date on which the determination was made.''.

SEC. 2. END ITEM MAJOR SUBPROGRAM DESIGNATION.

    Section 4203(a)(1) of title 10, United States Code, is amended by 
adding at the end the following new subparagraph:
                    ``(C) If the Secretary of Defense determines that a 
                major defense acquisition program requires the delivery 
                of two or more end items that are each estimated to 
                require an eventual total expenditure for research, 
                development, test, evaluation, operation, and support 
                of more than $500,000,000, the Secretary shall 
                designate each such end item as a major subprogram for 
                the purposes of acquisition reporting under this 
                subpart.''.

SEC. 3. OPERATIONS AND SUPPORT COST INCLUSION.

    Section 4214(a)(2) of title 10, United States Code, is amended by 
inserting ``for the life cycle of such major defense acquisition 
program or designated major subprogram'' before the period at the end.

SEC. 4. CRITICAL COST GROWTH TERMINATION.

    Section 4376 of title 10, United States Code, is amended--
            (1) in subsection (b)--
                    (A) in paragraph (1), by inserting ``(other than a 
                program described in paragraph (4)(A))'' after ``major 
                defense acquisition program'';
                    (B) in paragraph (3)--
                            (i) by striking ``A written'' and inserting 
                        ``(A) A written''; and
                            (ii) by adding at the end the following new 
                        subparagraph:
                    ``(B) The Secretary shall make publicly available 
                on a website of the Department of Defense each report 
                required under subparagraph (A).''; and
                    (C) by adding at the end the following new 
                paragraphs:
            ``(4) Second critical breach.--
                    ``(A) The Secretary may not submit to Congress a 
                written certification under paragraph (1) with respect 
                to a major defense acquisition program that has had 
                more than one program acquisition unit cost increase or 
                procurement unit cost increase resulting in a 
                reassessment under subsection (a).
                    ``(B) The Secretary shall terminate a major defense 
                acquisition program described in subparagraph (A) not 
                later than 90 days after conducting the reassessment 
                required by subsection (a) with respect the program.
            ``(5) Delegation.--The Secretary may not delegate the 
        submission of a written certification under paragraph (1).''; 
        and
            (2) in subsection (c)--
                    (A) in paragraph (2), by striking ``and'' at the 
                end;
                    (B) in paragraph (3), by striking the period at the 
                end and inserting ``; and''; and
                    (C) by adding at the end the following new 
                paragraph:
            ``(4) consideration of termination plans that maximize 
        value, including--
                    ``(A) immediate termination of the program with no 
                further action;
                    ``(B) termination of the program after completion 
                of the end items in production and for which funds have 
                been obligated or expended under the program as of the 
                date that--
                            ``(i) if the program was terminated under 
                        subsection (b)(1), is the last day of the 
                        applicable 60-day period described in such 
                        subsection for the program; or
                            ``(ii) if the program was terminated under 
                        subsection (b)(4), is 90 days after the date on 
                        which the Secretary completed the reassessment 
                        required by subsection (a) pursuant to which 
                        the program was so terminated;
                    ``(C) termination of the program after completion 
                of the end items described in subparagraph (B) for 
                which the resale value exceeds the cost of completing 
                such end items; and
                    ``(D) any other course of action to maximize the 
                value to the Government of the funds that have been 
                obligated or expended under the program as of the date 
                that--
                            ``(i) if the program was terminated under 
                        subsection (b)(1), is the last day of the 
                        applicable 60-day period described in such 
                        subsection for the program; or
                            ``(ii) if the program was terminated under 
                        subsection (b)(4), is 90 days after the date on 
                        which the Secretary completed the reassessment 
                        required by subsection (a) pursuant to which 
                        the program was so terminated.''.
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