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116th Congress } { Report
HOUSE OF REPRESENTATIVES
1st Session } { 116-190
======================================================================
DHS ACQUISITION REFORM ACT OF 2019
_______
August 30, 2019.--Committed to the Committee of the Whole House on the
State of the Union and ordered to be printed
_______
Mr. Thompson of Mississippi, from the Committee on Homeland Security,
submitted the following
R E P O R T
[To accompany H.R. 3413]
[Including cost estimate of the Congressional Budget Office]
The Committee on Homeland Security, to whom was referred
the bill (H.R. 3413) to amend the Homeland Security Act of 2002
to provide for certain acquisition authorities for the Under
Secretary of Management of the Department of Homeland Security,
and for other purposes, having considered the same, report
favorably thereon with an amendment and recommend that the bill
as amended do pass.
CONTENTS
Page
Purpose and Summary.............................................. 6
Background and Need for Legislation.............................. 6
Hearings......................................................... 7
Committee Consideration.......................................... 8
Committee Votes.................................................. 8
Committee Oversight Findings..................................... 8
C.B.O. Estimate, New Budget Authority, Entitlement Authority, and
Tax Expenditures............................................... 8
Federal Mandates Statement....................................... 10
Statement of General Performance Goals and Objectives............ 10
Duplicative Federal Programs..................................... 10
Congressional Earmarks, Limited Tax Benefits, and Limited Tariff
Benefits 10
Advisory Committee Statement
Applicability to Legislative Branch
Section-by-Section Analysis of the Legislation................... 10
Changes in Existing Law Made by the Bill, as Reported............ 12
The amendment is as follows:
Strike all after the enacting clause and insert the
following:
SECTION 1. SHORT TITLE.
This Act may be cited as the ``DHS Acquisition Reform Act of 2019''.
SEC. 2. ACQUISITION AUTHORITIES FOR UNDER SECRETARY FOR MANAGEMENT OF
THE DEPARTMENT OF HOMELAND SECURITY.
Section 701 of the Homeland Security Act of 2002 (6 U.S.C. 341) is
amended by--
(1) redesignating subsection (d), the first subsection (e)
(relating to the system for award management consultation), and
the second subsection (e) (relating to the definition of
interoperable communications) as subsections (e), (f), and (g),
respectively; and
(2) inserting after subsection (c) the following new
subsection:
``(d) Acquisition and Related Responsibilities.--
``(1) In general.--Notwithstanding section 1702(a) of title
41, United States Code, the Under Secretary for Management is
the Chief Acquisition Officer of the Department. As Chief
Acquisition Officer, the Under Secretary shall have the
authorities and perform the functions specified in such section
1702(b), and perform all other functions and responsibilities
delegated by the Secretary or described in this subsection.
``(2) Functions and responsibilities.--In addition to the
authorities and functions specified in section 1702(b) of title
41, United States Code, the functions and responsibilities of
the Under Secretary for Management related to acquisition (as
such term is defined in section 711) include the following:
``(A) Advising the Secretary regarding acquisition
management activities, taking into account risks of
failure to achieve cost, schedule, or performance
parameters, to ensure that the Department achieves its
mission through the adoption of widely accepted program
management best practices (as such term is defined in
section 711) and standards and, where appropriate,
acquisition innovation best practices.
``(B) Leading the Department's acquisition oversight
body, the Acquisition Review Board.
``(C) Exercising the acquisition decision authority
(as such term is defined in section 711) to approve,
pause, modify (including the rescission of approvals of
program milestones), or cancel major acquisition
programs (as such term is defined in section 711),
unless the Under Secretary delegates such authority to
a Component Acquisition Executive (as such term is
defined in section 711) pursuant to paragraph (3).
``(D) Establishing policies for acquisition that
implement an approach that takes into account risks of
failure to achieve cost, schedule, or performance
parameters that all components of the Department shall
comply with, including outlining relevant authorities
for program managers to effectively manage acquisition
programs (as such term is defined in section 711).
``(E) Ensuring that each major acquisition program
has a Department-approved acquisition program baseline
(as such term is defined in section 711), pursuant to
the Department's acquisition management policy.
``(F) Assisting the heads of components and Component
Acquisition Executives in efforts to comply with
Federal law, the Federal Acquisition Regulation, and
Department acquisition management directives.
``(G) Ensuring that grants and financial assistance
are provided only to individuals and organizations that
are not suspended or debarred.
``(H) Distributing guidance throughout the Department
to ensure that contractors involved in acquisitions,
particularly contractors that access the Department's
information systems and technologies, adhere to
relevant Department policies related to physical and
information security as identified by the Under
Secretary for Management.
``(I) Overseeing the Component Acquisition Executive
organizational structure to ensure Component
Acquisition Executives have sufficient capabilities and
comply with Department acquisition policies.
``(3) Delegation of certain acquisition decision authority.--
``(A) Level 3 acquisitions.--The Under Secretary for
Management may delegate acquisition decision authority
to the relevant Component Acquisition Executive for an
acquisition program that has a life cycle cost estimate
of less than $300,000,000.
``(B) Level 2 acquisitions.--The Under Secretary for
Management may delegate acquisition decision authority
in writing to the relevant Component Acquisition
Executive for a major acquisition program that has a
life cycle cost estimate of at least $300,000 but not
more than $1,000,000,000 if all of the following
requirements are met:
``(i) The component concerned possesses
working policies, processes, and procedures
that are consistent with Department-level
acquisition policy.
``(ii) The Component Acquisition Executive
concerned has adequate, experienced, and
dedicated professional employees with program
management training, as applicable,
commensurate with the size of the acquisition
programs and related activities delegated to
such Component Acquisition Executive by the
Under Secretary for Management.
``(iii) Each major acquisition program
concerned has written documentation showing
that it has a Department-approved acquisition
program baseline and it is meeting agreed-upon
cost, schedule, and performance thresholds.
``(C) Level 1 acquisitions.--The Under Secretary for
Management may delegate acquisition decision authority
in writing to the relevant Component Acquisition
Executive for a Level 1 major acquisition program that
has a life cycle cost estimate of more than
$1,000,000,000 if all of the following requirements are
met:
``(i) The Undersecretary for Management
conducts a risk assessment of the planned
acquisition and determines that it is
appropriate to delegate authority for such
major acquisition program.
``(ii) The component concerned possesses
working policies, processes, and procedures
that are consistent with Department-level
acquisition policy.
``(iii) The Component Acquisition Executive
concerned has adequate, experienced, and
dedicated professional employees with program
management training, as applicable,
commensurate with the size of the acquisition
programs and related activities delegated to
such Component Acquisition Executive by the
Under Secretary for Management.
``(iv) Each Level 1 major acquisition program
concerned has written documentation showing
that it has a Department-approved acquisition
program baseline and it is meeting agreed-upon
cost, schedule, and performance thresholds.
``(v) The Under Secretary for Management
provides written notification to the
appropriate congressional committees of the
decision to delegate the authority to the
relevant Component Acquisition Executive.
``(4) Relationship to under secretary for science and
technology.--
``(A) In general.--Nothing in this subsection shall
diminish the authority granted to the Under Secretary
for Science and Technology under this Act. The Under
Secretary for Management and the Under Secretary for
Science and Technology shall cooperate in matters
related to the coordination of acquisitions across the
Department so that investments of the Directorate of
Science and Technology are able to support current and
future requirements of the components of the
Department.
``(B) Operational testing and evaluation.--The Under
Secretary for Science and Technology shall--
``(i) ensure, in coordination with relevant
component heads, that major acquisition
programs--
``(I) complete operational testing
and evaluation of technologies and
systems to be acquired or developed by
major acquisition programs to assess
operational effectiveness, suitability,
and cybersecurity;
``(II) use independent verification
and validation of operational test and
evaluation implementation and results,
as appropriate; and
``(III) document whether such
programs meet all performance
requirements included in their
acquisition program baselines;
``(ii) ensure that such operational testing
and evaluation includes all system components
and incorporates operators into the testing to
ensure that systems perform as intended in the
appropriate operational setting; and
``(iii) determine if testing conducted by
other Federal departments and agencies and
private entities is relevant and sufficient in
determining whether systems perform as intended
in the operational setting.''.
SEC. 3. ACQUISITION AUTHORITIES FOR CHIEF FINANCIAL OFFICER OF THE
DEPARTMENT OF HOMELAND SECURITY.
Paragraph (2) of section 702(b) of the Homeland Security Act of 2002
(6 U.S.C. 342(b)) is amended by--
(1) redesignating subparagraph (I) as subparagraph (J); and
(2) inserting after subparagraph (H) the following new
subparagraph:
``(I) Oversee the costs of acquisition programs (as
such term is defined in section 711) and related
activities to ensure that actual and planned costs are
in accordance with budget estimates and are affordable,
or can be adequately funded, over the life cycle of
such programs and activities.''.
SEC. 4. ACQUISITION AUTHORITIES FOR CHIEF INFORMATION OFFICER OF THE
DEPARTMENT OF HOMELAND SECURITY.
Section 703 of the Homeland Security Act of 2002 (6 U.S.C. 343) is
amended--
(1) by redesignating subsection (b) as subsection (c); and
(2) by inserting after subsection (a) the following new
subsection:
``(b) Acquisition Responsibilities.--In addition to the
responsibilities specified in section 11315 of title 40, United States
Code, the acquisition responsibilities of the Chief Information
Officer, in consultation with the Under Secretary for Management, shall
include the following:
``(1) Overseeing the management of the Homeland Security
Enterprise Architecture and ensuring that, before each
acquisition decision event (as such term is defined in section
711), approved information technology acquisitions comply with
any departmental information technology management
requirements, security protocols, and the Homeland Security
Enterprise Architecture, and in any case in which information
technology acquisitions do not comply with the Department's
management directives, making recommendations to the
Department's Acquisition Review Board regarding such
noncompliance.
``(2) Providing recommendations to the Acquisition Review
Board regarding information technology programs, and developing
information technology acquisition strategic guidance.''.
SEC. 5. ACQUISITION AUTHORITIES FOR UNDER SECRETARY OF STRATEGY,
POLICY, AND PLANS.
Subsection (c) of section 709 of the Homeland Security Act of 2002 (6
U.S.C. 349) is amended by--
(1) redesignating paragraphs (4) through (7) as (5) through
(8), respectively; and
(2) inserting after paragraph (3) the following new
paragraph:
``(4) ensure acquisition programs (as such term is defined in
section 711) support the DHS Quadrennial Homeland Security
Review Report, the DHS Strategic Plan, the DHS Strategic
Priorities, and other appropriate successor documents;''.
SEC. 6. ACQUISITION AUTHORITIES FOR PROGRAM ACCOUNTABILITY AND RISK
MANAGEMENT (PARM).
(a) In General.--Title VII of the Homeland Security Act of 2002 (6
U.S.C. 341 et seq.) is amended by adding at the end the following new
section:
``SEC. 711. ACQUISITION AUTHORITIES FOR PROGRAM ACCOUNTABILITY AND RISK
MANAGEMENT.
``(a) Establishment of Office.--Within the Management Directorate,
there shall be a Program Accountability and Risk Management office to--
``(1) provide consistent accountability, standardization, and
transparency of major acquisition programs of the Department;
``(2) serve as the central oversight function for all
Department major acquisition programs; and
``(3) provide review and analysis of Department acquisition
programs, as appropriate.
``(b) Responsibilities of Executive Director.--The Program
Accountability and Risk Management office shall be led by an Executive
Director to oversee the requirements specified in subsection (a). The
Executive Director shall report directly to the Under Secretary for
Management, and shall carry out the following responsibilities:
``(1) Monitor regularly the performance of Department major
acquisition programs between acquisition decision events to
identify problems with cost, performance, or schedule that
components may need to address to prevent cost overruns,
performance issues, or schedule delays.
``(2) Assist the Under Secretary for Management in managing
the Department's acquisition programs and related activities.
``(3) Conduct oversight of individual acquisition programs to
implement Department acquisition program policy, procedures,
and guidance with a priority on ensuring the data the office
collects and maintains from Department components is accurate
and reliable.
``(4) Serve as the focal point and coordinator for the
acquisition life cycle review process and as the executive
secretariat for the Department's Acquisition Review Board.
``(5) Advise the persons having acquisition decision
authority in making acquisition decisions consistent with all
applicable laws and in establishing clear lines of authority,
accountability, and responsibility for acquisition
decisionmaking within the Department.
``(6) Assist the Chief Procurement Officer of the Department,
as appropriate, in developing strategies and specific plans for
hiring, training, and professional development to address any
deficiency within the Department's acquisition workforce.
``(7) Develop standardized certification standards in
consultation with the Component Acquisition Executives for all
acquisition program managers.
``(8) Assess the results of major acquisition programs' post-
implementation reviews and identify opportunities to improve
performance throughout the acquisition process.
``(9) Provide technical support and assistance to Department
acquisition programs and acquisition personnel and coordinate
with the Chief Procurement Officer regarding workforce training
and development activities.
``(10) Assist, as appropriate, with the preparation of the
Future Years Homeland Security Program, and make such
information available to the congressional homeland security
committees.
``(c) Responsibilities of Components.--Each head of a component shall
comply with Federal law, the Federal Acquisition Regulation, and
Department acquisition management directives established by the Under
Secretary for Management. For each major acquisition program, each head
of a component shall--
``(1) define baseline requirements and document changes to
such requirements, as appropriate;
``(2) establish a complete life cycle cost estimate with
supporting documentation that is consistent with cost
estimating best practices as identified by the Comptroller
General of the United States;
``(3) verify each life cycle cost estimate against
independent cost estimates or assessments, as appropriate, and
reconcile any differences;
``(4) complete a cost-benefit analysis with supporting
documentation;
``(5) develop and maintain a schedule that is consistent with
scheduling best practices as identified by the Comptroller
General of the United States, including, in appropriate cases,
an integrated master schedule; and
``(6) ensure that all acquisition program information
provided by the component is complete, accurate, timely, and
valid.
``(d) Definitions.--In this section:
``(1) Acquisition.--The term `acquisition' has the meaning
given such term in section 131 of title 41, United States Code.
``(2) Acquisition decision authority.--The term `acquisition
decision authority' means the authority, held by the Secretary
acting through the Deputy Secretary or Under Secretary for
Management to--
``(A) ensure compliance with Federal law, the Federal
Acquisition Regulation, and Department acquisition
management directives;
``(B) review (including approving, pausing,
modifying, or canceling) an acquisition program through
the life cycle of such program;
``(C) ensure that acquisition program managers have
the resources necessary to successfully execute an
approved acquisition program;
``(D) ensure good acquisition program management of
cost, schedule, risk, and system performance of the
acquisition program at issue, including assessing
acquisition program baseline breaches and directing any
corrective action for such breaches; and
``(E) ensure that acquisition program managers, on an
ongoing basis, monitor cost, schedule, and performance
against established baselines and use tools to assess
risks to an acquisition program at all phases of the
life cycle of such program to avoid and mitigate
acquisition program baseline breaches.
``(3) Acquisition decision event.--The term `acquisition
decision event', with respect to an acquisition program, means
a predetermined point within each of the acquisition phases at
which the acquisition decision authority determines whether
such acquisition program shall proceed to the next acquisition
phase.
``(4) Acquisition program.--The term `acquisition program'
means the process by which the Department acquires, with any
appropriated amounts or fee funding, by contract for purchase
or lease, property or services (including construction) that
support the missions and goals of the Department.
``(5) Acquisition program baseline.--The term `acquisition
program baseline', with respect to an acquisition program,
means a summary of the cost, schedule, and performance
parameters, expressed in standard, measurable, quantitative
terms, which must be met in order to accomplish the goals of
such program.
``(6) Best practices.--The term `best practices', with
respect to acquisition, means a knowledge-based approach to
capability development that includes the following:
``(A) Identifying and validating needs.
``(B) Assessing alternatives to select the most
appropriate solution.
``(C) Clearly establishing well-defined requirements.
``(D) Developing realistic cost assessments and
schedules.
``(E) Securing stable funding that matches resources
to requirements.
``(F) Demonstrating technology, design, and
manufacturing maturity.
``(G) Using milestones and exit criteria or specific
accomplishments that demonstrate progress.
``(H) Adopting and executing standardized processes
with known success across programs.
``(I) Establishing an adequate workforce that is
qualified and sufficient to perform necessary
functions.
``(J) Integrating the capabilities described in
subparagraphs (A) through (I) into the Department's
mission and business operations.
``(7) Breach.--The term `breach', with respect to a major
acquisition program, means a failure to meet any cost,
schedule, or performance threshold specified in the most
recently approved acquisition program baseline.
``(8) Congressional homeland security committees.--The term
`congressional homeland security committees' means--
``(A) the Committee on Homeland Security of the House
of Representatives and the Committee on Homeland
Security and Governmental Affairs of the Senate; and
``(B) the Committee on Appropriations of the House of
Representatives and the Committee on Appropriations of
the Senate.
``(9) Component acquisition executive.--The term `Component
Acquisition Executive' means the senior acquisition official
within a component who is designated in writing by the Under
Secretary for Management, in consultation with the component
head, with authority and responsibility for leading a process
and staff to provide acquisition and program management
oversight, policy, and guidance to ensure that statutory,
regulatory, and higher level policy requirements are fulfilled,
including compliance with Federal law, the Federal Acquisition
Regulation, and Department acquisition management directives
established by the Under Secretary for Management.
``(10) Major acquisition program.--The term `major
acquisition program' means a Department acquisition program
that is estimated by the Secretary to require an eventual total
expenditure of at least $300,000,000 (based on fiscal year 2019
constant dollars) over its life cycle cost or a program
identified by the Chief Acquisition Officer as a program of
special interest.''.
(b) Clerical Amendment.--The table of contents in section 1(b) of the
Homeland Security Act of 2002 is amended by inserting after the item
relating to section 710 the following new item:
``Sec. 711. Acquisition authorities for Program Accountability and Risk
Management.''.
Purpose and Summary
The purpose of H.R. 3413, the ``DHS Acquisition Reform Act
of 2019,'' is to provide certain acquisition authorities for
the Under Secretary of Management (USM) of the Department of
Homeland Security. Specifically, H.R. 3413 designates the USM
as the Department's Chief Acquisition Officer responsible for
approving, pausing, modifying, or canceling major acquisition
programs, as needed. The bill authorizes the USM to lead the
Department's acquisition oversight body, the Acquisition Review
Board, which oversees major acquisition programs, as well as
establish acquisition policies to which all Department
components shall comply.
Background and Need for Legislation
The Department of Homeland Security (DHS) invests billions
of dollars in major acquisition programs annually to execute
its critical missions. These programs acquire systems vital to
homeland security, including ships for the U.S. Coast Guard and
baggage screening systems for the Transportation Security
Administration. However, the Government Accountability Office
(GAO) and the DHS Office of Inspector General (OIG) have
consistently reported on the longstanding challenges DHS faces
in managing its major acquisition programs.
Every two years, GAO identifies areas in the Federal
Government that are ``high risk'' due to their vulnerabilities
to fraud, waste, abuse, and mismanagement. DHS's acquisition
activities are on GAO's ``high-risk list'' because of
management and funding concerns. In GAO's 2019 high risk
update, GAO reported that DHS continues to face challenges in
funding its acquisition portfolio.\1\ Specifically, only 10 of
24 major acquisition programs with approved schedule and cost
goals were on track to meet those goals. Additionally, the OIG
reports annually on major management challenges facing the
Department. In November 2018, the OIG identified challenges in
DHS's management of acquisition programs.\2\ Although DHS has
taken steps to improve acquisition management, DHS struggles to
ensure that major acquisition programs cost what was originally
estimated, are delivered on schedule, and provide the
capabilities originally intended.
---------------------------------------------------------------------------
\1\Government Accountability Office. High Risk Series: Substantial
Efforts Needed to Achieve Greater Progress on High-Risk Areas, GAO-19-
157SP. March 2019.
\2\Department of Homeland Security Office of Inspector General.
Major Management and Performance Challenges Facing the Department of
Homeland Security, OIG-19-01. November 9, 2018.
---------------------------------------------------------------------------
H.R. 3413 clarifies responsibilities for acquisition
management activities in the Department that will improve
accountability when major acquisition programs do not perform
as well as intended.
Hearings
For the purposes of section 103(i) of H. Res. 6 of the
116th Congress, the following hearings were used to develop or
consider H.R. 3413:
On April 3, 2019, the Subcommittee on Oversight,
Management, and Accountability held a hearing entitled
``Ensuring Effective and Efficient Operations: A Review of the
Fiscal Year 2020 DHS Management Directorate Budget Request''.
The Subcommittee received testimony from Mr. Chip Fulghum,
Deputy Under Secretary for Management, Department of Homeland
Security; and Mr. Chris Currie, Director, Homeland Security and
Justice Team, Government Accountability Office.
On September 26, 2017, the Subcommittee on Oversight and
Management Efficiency held a hearing entitled ``DHS Financial
Systems: Will Modernization Ever Be Achieved. The Subcommittee
received testimony from Ms. Elizabeth Angerman, Executive
Director, Unified Shared Services Management, Office of
Government-wide Policy, General Services Administration; Mr.
Chip Fulghum, Deputy Under Secretary for Management, Department
of Homeland Security; Mr. Asif Khan, Director, Financial
Management and Assurance, Government Accountability Office; and
Ms. Michele Singer, Director, Interior Business Center,
Department of the Interior.
On February 16, 2017, the Subcommittee on Oversight and
Management Efficiency held a hearing entitled ``Watchdog
Recommendations: A Better Way Ahead to Manage the Department of
Homeland Security.'' The Subcommittee received testimony from
The Honorable John Roth, Inspector General, U.S. Department of
Homeland Security; and Ms. Rebecca Gambler, Director, Homeland
Security and Justice, Government Accountability Office.
Committee Consideration
The Committee met on July 17, 2019, with a quorum being
present, to consider H.R. 3413 and ordered the measure to be
reported to the House with a favorable recommendation, with
amendment, by unanimous consent.
The following Amendments were offered and accepted by
unanimous consent:
An amendment offered by Ms. Torres Small.
Insert after section 4 the following:
SEC. 5. ACQUISITION AUTHORITIES FOR UNDER SECRETARY OF STRATEGY,
POLICY, AND PLANS
Committee Votes
Clause 3(b) of rule XIII of the Rules of the House of
Representatives requires the Committee to list the recorded
votes on the motion to report legislation and amendments
thereto.
No recorded votes were requested during consideration of
H.R. 3413.
Committee Oversight Findings
In compliance with clause 3(c)(1) of rule XIII of the Rules
of the House of Representatives, the Committee advises that the
findings and recommendations of the Committee, based on
oversight activities under clause 2(b)(1) of rule X of the
Rules of the House of Representatives, are incorporated in the
descriptive portions of this report.
Congressional Budget Office Estimate, New Budget Authority, Entitlement
Authority, and Tax Expenditures
With respect to the requirements of clause 3(c)(2) of rule
XIII of the Rules of the House of Representatives and section
308(a) of the Congressional Budget Act of 1974 and with respect
to requirements of clause (3)(c)(3) of rule XIII of the Rules
of the House of Representatives and section 402 of the
Congressional Budget Act of 1974, the Committee adopts as its
own the cost estimate prepared by the Director of the
Congressional Budget Office.
U.S. Congress,
Congressional Budget Office,
Washington, DC, July 30, 2019.
Hon. Bennie G. Thompson,
Chairman, Committee on Homeland Security,
House of Representatives, Washington, DC.
Dear Mr. Chairman: The Congressional Budget Office has
prepared the enclosed cost estimate for Department of Homeland
Security Legislation.
If you wish further details on this estimate, we will be
pleased to provide them. The CBO staff contact is Mark
Grabowicz.
Sincerely,
Phillip L. Swagel,
Director.
Enclosure.
[GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT]
On July 17, 2019, the House Committee on Homeland Security
ordered reported the following bills:
H.R. 3320, the Securing the Homeland
Security Supply Chain Act of 2019, which would
authorize the Department of Homeland Security (DHS) to
take certain actions to improve the security of
information and telecommunications systems acquired by
the department;
H.R. 3413, DHS Acquisition Reform Act of
2019, which would specify which offices in DHS
headquarters have responsibility for acquisition
programs;
H.R. 3526, the Counter Terrorist Network
Act, which would authorize Customs and Border
Protection to assign personnel to other agencies to
support partnerships for sharing global information to
enhance border security; and
H.R. 3722, the Joint Task Force to Combat
Opioid Trafficking Act of 2019, which would confirm the
authority of DHS to establish a task force to disrupt
drug trafficking.
DHS is currently carrying out activities similar to those
required by the bills listed above, and any new activities
required under the legislation would not require substantial
action by the department. Thus, CBO estimates that implementing
each bill would not have a significant cost; any spending would
be subject to the availability of appropriated funds.
The CBO staff contact for this estimate is Mark Grabowicz.
The estimate was reviewed by H. Samuel Papenfuss, Deputy
Assistant Director for Budget Analysis.
Federal Mandates Statement
The Committee adopts as its own the cost estimate prepared
by the Director of the Congressional Budget Office.
Duplicative Federal Programs
Pursuant to clause 3(c) of rule XIII, the Committee finds
that H.R. 3413 does not contain any provision that establishes
or reauthorizes a program known to be duplicative of another
Federal program.
Performance Goals and Objectives
The Committee states that pursuant to clause 3(c)(4) of
rule XIII of the Rules of the House of Representatives, H.R.
3413 would codify certain acquisition management
responsibilities for the Under Secretary for Management in law,
and assign additional acquisition responsibilities to the Chief
Financial Officer; Chief Information Officer; and Under
Secretary of Strategy, Policy, and Plans. This act also
establishes the Program Accountability and Risk Management
office to provide consistent standardization and transparency
of major acquisition programs.
Advisory on Earmarks
In compliance with rule XXI of the Rules of the House of
Representatives, this bill, as reported, contains no
congressional earmarks, limited tax benefits, or limited tariff
benefits as defined in clause 9(d), 9(e), or 9(f) of the rule
XXI.
Section-by-Section Analysis of the Legislation
Section 1. Short title
This section provides that this bill may be cited as the
``DHS Acquisition Reform Act of 2019''.
Sec. 2. Acquisition authorities for Under Secretary for Management of
the Department of Homeland Security
Section 2 amends section 701 of the Homeland Security Act
of 2002 (Pub. L. 107-296) and codifies existing authorities for
the Under Secretary for Management (USM) related to acquisition
management. Specifically, this section authorizes the USM to
perform the functions and responsibilities of the Department's
Chief Acquisition Officer as delegated by the Secretary of
Homeland Security, and those authorities and functions
specified in section 1702(b) of title 41, United States Code.
In addition, the USM is responsible for, among other things:
(a) advising the Secretary on acquisition management
activities and acquisition innovation best practices;
(b) establishing acquisition policies that implement
an approach that considers risks of failure to achieve
cost, schedule, or performance parameters that all
components of the Department shall comply with;
(c) ensuring that each major acquisition program has
an approved Acquisition Program Baseline (APB); and
(d) assisting component heads to comply with Federal
law, Federal Acquisition Regulation, and Departmental
acquisition directives.
Section 2 also requires the USM to cooperate with the Under
Secretary for Science and Technology (S&T) so that S&T can
support components' current and future requirements. Section 2
requires the Under Secretary for S&T to ensure major
acquisition programs:
(a) complete operational testing and evaluation;
(b) use independent validation and verification of
test results;
(c) document whether all programs meet performance
requirements included in their respective APBs; and
(d) includes operators in operational testing and
evaluation.
This requirement is intended to reduce instances where the
Department deploys technologies without adequately testing them
to ensure they meet operators' needs.
Sec. 3. Acquisition authorities for Chief Financial Officer of the
Department of Homeland Security
Section 3 amends section 702 of the Homeland Security Act
to require the Department's Chief Financial Officer to oversee
acquisition program costs to ensure that acquisition programs
are affordable and within budget over the program's life-cycle.
This provision seeks to address findings from the Government
Accountability Office that the Department's major acquisition
programs are unaffordable.
Sec. 4. Acquisition authorities for Chief Information Officer of the
Department of Homeland Security
Section 4 amends section 703 of the Homeland Security Act
to authorize the Chief Information Officer (CIO) to oversee the
compliance of information technology (IT) acquisition programs
with the Department's IT management requirements, security
protocols, and Homeland Security Enterprise Architecture. Given
that most of the Department's major acquisition programs have
significant IT components, Section 4 ensures that the CIO is
involved, as appropriate, in ensuring that these programs meet
IT policies and technical requirements.
Sec. 5. Acquisition authorities for Under Secretary of Strategy, Policy
and Plans
Section 5 amends section 709 of the Homeland Security Act
to authorize the Under Secretary of Strategy, Policy, and Plans
to ensure acquisition programs support the DHS Quadrennial
Homeland Security Review Report, the DHS Strategic Plan, and
DHS Strategic Priorities.
Sec. 6. Acquisition authorities for Program Accountability and Risk
Management (PARM)
Section 6 amends Title VII of the Homeland Security Act and
establishes the Program Accountability and Risk Management
(PARM) office within the Department to provide consistent
accountability to components' major acquisition programs, as
well as serve as the central oversight function for the
Department and support the Acquisition Review Board. This
section does not create a new office within DHS, as PARM is the
current entity within DHS with these responsibilities.
Section 6 authorizes the PARM Executive Director to oversee
PARM's role in monitoring the performance of DHS acquisition
programs, assisting the Under Secretary for Management in
managing acquisition programs, and developing certification
standards in consultation with Component Acquisition Executives
for all acquisition program managers. This section also
authorizes PARM to prepare and make available to Congress the
DHS Comprehensive Acquisition Status Report.
Section 6 also requires components to follow Federal law,
the Federal Acquisition Regulation, and DHS acquisition
management directives, among other things. This should mitigate
instances of components pursuing major acquisition programs
without following Departmental acquisition policy.
Finally, Section 6 defines relevant terms related to
acquisition management.
Changes in Existing Law Made by the Bill, as Reported
In compliance with clause 3(e) of rule XIII of the Rules of
the House of Representatives, changes in existing law made by
the bill, as reported, are shown as follows (existing law
proposed to be omitted is enclosed in black brackets, new
matter is printed in italic, and existing law in which no
change is proposed is shown in roman):
HOMELAND SECURITY ACT OF 2002
SECTION 1. SHORT TITLE; TABLE OF CONTENTS.
(a) Short Title.--This Act may be cited as the ``Homeland
Security Act of 2002''.
(b) Table of Contents.--The table of contents for this Act is
as follows:
Sec. 1. Short title; table of contents.
* * * * * * *
TITLE VII--MANAGEMENT
Sec. 701. Under Secretary for Management.
* * * * * * *
Sec. 711. Acquisition authorities for Program Accountability and Risk
Management.
* * * * * * *
TITLE VII--MANAGEMENT
SEC. 701. UNDER SECRETARY FOR MANAGEMENT.
(a) In General.--The Under Secretary for Management shall
serve as the Chief Management Officer and principal advisor to
the Secretary on matters related to the management of the
Department, including management integration and transformation
in support of homeland security operations and programs. The
Secretary, acting through the Under Secretary for Management,
shall be responsible for the management and administration of
the Department, including the following:
(1) The budget, appropriations, expenditures of
funds, accounting, and finance.
(2) Procurement.
(3) Human resources and personnel.
(4) Information technology and communications
systems, including policies and directives to achieve
and maintain interoperable communications among the
components of the Department.
(5) Facilities, property, equipment, vehicle fleets
(under subsection (c)), and other material resources.
(6) Security for personnel, information technology
and communications systems, facilities, property,
equipment, and other material resources.
(7) Strategic management planning and annual
performance planning and identification and tracking of
performance measures relating to the responsibilities
of the Department.
(8) Grants and other assistance management programs.
(9) The management integration and transformation
within each functional management discipline of the
Department, including information technology, financial
management, acquisition management, and human capital
management, to ensure an efficient and orderly
consolidation of functions and personnel in the
Department, including--
(A) the development of centralized data
sources and connectivity of information systems
to the greatest extent practicable to enhance
program visibility, transparency, and
operational effectiveness and coordination;
(B) the development of standardized and
automated management information to manage and
oversee programs and make informed decisions to
improve the efficiency of the Department;
(C) the development of effective program
management and regular oversight mechanisms,
including clear roles and processes for program
governance, sharing of best practices, and
access to timely, reliable, and evaluated data
on all acquisitions and investments; and
(D) the overall supervision, including the
conduct of internal audits and management
analyses, of the programs and activities of the
Department, including establishment of
oversight procedures to ensure a full and
effective review of the efforts by components
of the Department to implement policies and
procedures of the Department for management
integration and transformation.
(10) The development of a transition and succession
plan, before December 1 of each year in which a
Presidential election is held, to guide the transition
of Department functions to a new Presidential
administration, and making such plan available to the
next Secretary and Under Secretary for Management and
to the congressional homeland security committees.
(11) Reporting to the Government Accountability
Office every six months to demonstrate measurable,
sustainable progress made in implementing the
corrective action plans of the Department to address
the designation of the management functions of the
Department on the bi-annual high risk list of the
Government Accountability Office, until the Comptroller
General of the United States submits to the appropriate
congressional committees written notification of
removal of the high-risk designation.
(12) The conduct of internal audits and management
analyses of the programs and activities of the
Department.
(13) Any other management duties that the Secretary
may designate.
(b) Waivers for Conducting Business With Suspended or
Debarred Contractors.--Not later than five days after the date
on which the Chief Procurement Officer or Chief Financial
Officer of the Department issues a waiver of the requirement
that an agency not engage in business with a contractor or
other recipient of funds listed as a party suspended or
debarred from receiving contracts, grants, or other types of
Federal assistance in the System for Award Management
maintained by the General Services Administration, or any
successor thereto, the Under Secretary for Management shall
submit to the congressional homeland security committees and
the Inspector General of the Department notice of the waiver
and an explanation of the finding by the Under Secretary that a
compelling reason exists for the waiver.
(c) Vehicle Fleets.--
(1) In general.--In carrying out responsibilities
regarding vehicle fleets pursuant to subsection (a)(5),
the Under Secretary for Management shall be responsible
for overseeing and managing vehicle fleets throughout
the Department. The Under Secretary shall also be
responsible for the following:
(A) Ensuring that components are in
compliance with Federal law, Federal
regulations, executive branch guidance, and
Department policy (including associated
guidance) relating to fleet management and use
of vehicles from home to work.
(B) Developing and distributing a
standardized vehicle allocation methodology and
fleet management plan for components to use to
determine optimal fleet size in accordance with
paragraph (4).
(C) Ensuring that components formally
document fleet management decisions.
(D) Approving component fleet management
plans, vehicle leases, and vehicle
acquisitions.
(2) Component responsibilities.--
(A) In general.--Component heads--
(i) shall--
(I) comply with Federal law,
Federal regulations, executive
branch guidance, and Department
policy (including associated
guidance) relating to fleet
management and use of vehicles
from home to work;
(II) ensure that data related
to fleet management is accurate
and reliable;
(III) use such data to
develop a vehicle allocation
tool derived by using the
standardized vehicle allocation
methodology provided by the
Under Secretary for Management
to determine the optimal fleet
size for the next fiscal year
and a fleet management plan;
and
(IV) use vehicle allocation
methodologies and fleet
management plans to develop
annual requests for funding to
support vehicle fleets pursuant
to paragraph (6); and
(ii) may not, except as provided in
subparagraph (B), lease or acquire new
vehicles or replace existing vehicles
without prior approval from the Under
Secretary for Management pursuant to
paragraph (5)(B).
(B) Exception regarding certain leasing and
acquisitions.--If exigent circumstances warrant
such, a component head may lease or acquire a
new vehicle or replace an existing vehicle
without prior approval from the Under Secretary
for Management. If under such exigent
circumstances a component head so leases,
acquires, or replaces a vehicle, such component
head shall provide to the Under Secretary an
explanation of such circumstances.
(3) Ongoing oversight.--
(A) Quarterly monitoring.--In accordance with
paragraph (4), the Under Secretary for
Management shall collect, on a quarterly basis,
information regarding component vehicle fleets,
including information on fleet size,
composition, cost, and vehicle utilization.
(B) Automated information.--The Under
Secretary for Management shall seek to achieve
a capability to collect, on a quarterly basis,
automated information regarding component
vehicle fleets, including the number of trips,
miles driven, hours and days used, and the
associated costs of such mileage for leased
vehicles.
(C) Monitoring.--The Under Secretary for
Management shall track and monitor component
information provided pursuant to subparagraph
(A) and, as appropriate, subparagraph (B), to
ensure that component vehicle fleets are the
optimal fleet size and cost effective. The
Under Secretary shall use such information to
inform the annual component fleet analyses
referred to in paragraph (4).
(4) Annual review of component fleet analyses.--
(A) In general.--To determine the optimal
fleet size and associated resources needed for
each fiscal year beginning with fiscal year
2018, component heads shall annually submit to
the Under Secretary for Management a vehicle
allocation tool and fleet management plan using
information described in paragraph (3)(A). Such
tools and plans may be submitted in classified
form if a component head determines that such
is necessary to protect operations or mission
requirements.
(B) Vehicle allocation tool.--Component heads
shall develop a vehicle allocation tool in
accordance with subclause (III) of paragraph
(2)(A)(i) that includes an analysis of the
following:
(i) Vehicle utilization data,
including the number of trips, miles
driven, hours and days used, and the
associated costs of such mileage for
leased vehicles, in accordance with
such paragraph.
(ii) The role of vehicle fleets in
supporting mission requirements for
each component.
(iii) Any other information
determined relevant by such component
heads.
(C) Fleet management plans.--Component heads
shall use information described in subparagraph
(B) to develop a fleet management plan for each
such component. Such fleet management plans
shall include the following:
(i) A plan for how each such
component may achieve optimal fleet
size determined by the vehicle
allocation tool required under such
subparagraph, including the elimination
of excess vehicles in accordance with
paragraph (5), if applicable.
(ii) A cost benefit analysis
supporting such plan.
(iii) A schedule each such component
will follow to obtain optimal fleet
size.
(iv) Any other information determined
relevant by component heads.
(D) Review.--The Under Secretary for
Management shall review and make a
determination on the results of each
component's vehicle allocation tool and fleet
management plan under this paragraph to ensure
each such component's vehicle fleets are the
optimal fleet size and that components are in
compliance with applicable Federal law, Federal
regulations, executive branch guidance, and
Department policy (including associated
guidance) pursuant to paragraph (2) relating to
fleet management and use of vehicles from home
to work. The Under Secretary shall use such
tools and plans when reviewing annual component
requests for vehicle fleet funding in
accordance with paragraph (6).
(5) Guidance to develop fleet management plans.--The
Under Secretary for Management shall provide guidance,
pursuant to paragraph (1)(B) on how component heads may
achieve optimal fleet size in accordance with paragraph
(4), including processes for the following:
(A) Leasing or acquiring additional vehicles
or replacing existing vehicles, if determined
necessary.
(B) Disposing of excess vehicles that the
Under Secretary determines should not be
reallocated under subparagraph (C).
(C) Reallocating excess vehicles to other
components that may need temporary or long-term
use of additional vehicles.
(6) Annual review of vehicle fleet funding
requests.--As part of the annual budget process, the
Under Secretary for Management shall review and make
determinations regarding annual component requests for
funding for vehicle fleets. If component heads have not
taken steps in furtherance of achieving optimal fleet
size in the prior fiscal year pursuant to paragraphs
(4) and (5), the Under Secretary shall provide
rescission recommendations to the Committee on
Appropriations and the Committee on Homeland Security
of the House of Representatives and the Committee on
Appropriations and the Committee on Homeland Security
and Governmental Affairs of the Senate regarding such
component vehicle fleets.
(7) Accountability for vehicle fleet management.--
(A) Prohibition on certain new vehicle leases
and acquisitions.--The Under Secretary for
Management and component heads may not approve
in any fiscal year beginning with fiscal year
2019 a vehicle lease, acquisition, or
replacement request if such component heads did
not comply in the prior fiscal year with
paragraph (4).
(B) Prohibition on certain performance
compensation.--No Department official with
vehicle fleet management responsibilities may
receive annual performance compensation in pay
in any fiscal year beginning with fiscal year
2019 if such official did not comply in the
prior fiscal year with paragraph (4).
(C) Prohibition on certain car services.--
Notwithstanding any other provision of law, no
senior executive service official of the
Department whose office has a vehicle fleet may
receive access to a car service in any fiscal
year beginning with fiscal year 2019 if such
official did not comply in the prior fiscal
year with paragraph (4).
(8) Motor pool.--
(A) In general.--The Under Secretary for
Management may determine the feasibility of
operating a vehicle motor pool to permit
components to share vehicles as necessary to
support mission requirements to reduce the
number of excess vehicles in the Department.
(B) Requirements.--The determination of
feasibility of operating a vehicle motor pool
under subparagraph (A) shall--
(i) include--
(I) regions in the United
States in which multiple
components with vehicle fleets
are located in proximity to one
another, or a significant
number of employees with
authorization to use vehicles
are located; and
(II) law enforcement
vehicles;
(ii) cover the National Capital
Region; and
(iii) take into account different
mission requirements.
(C) Report.--The Secretary shall include in
the Department's next annual performance report
required under current law the results of the
determination under this paragraph.
(9) Definitions.--In this subsection:
(A) Component head.--The term ``component
head'' means the head of any component of the
Department with a vehicle fleet.
(B) Excess vehicle.--The term ``excess
vehicle'' means any vehicle that is not
essential to support mission requirements of a
component.
(C) Optimal fleet size.--The term ``optimal
fleet size'' means, with respect to a
particular component, the appropriate number of
vehicles to support mission requirements of
such component.
(D) Vehicle fleet.--The term ``vehicle
fleet'' means all owned, commercially leased,
or Government-leased vehicles of the Department
or of a component of the Department, as the
case may be, including vehicles used for law
enforcement and other purposes.
(d) Acquisition and Related Responsibilities.--
(1) In general.--Notwithstanding section 1702(a) of
title 41, United States Code, the Under Secretary for
Management is the Chief Acquisition Officer of the
Department. As Chief Acquisition Officer, the Under
Secretary shall have the authorities and perform the
functions specified in such section 1702(b), and
perform all other functions and responsibilities
delegated by the Secretary or described in this
subsection.
(2) Functions and responsibilities.--In addition to
the authorities and functions specified in section
1702(b) of title 41, United States Code, the functions
and responsibilities of the Under Secretary for
Management related to acquisition (as such term is
defined in section 711) include the following:
(A) Advising the Secretary regarding
acquisition management activities, taking into
account risks of failure to achieve cost,
schedule, or performance parameters, to ensure
that the Department achieves its mission
through the adoption of widely accepted program
management best practices (as such term is
defined in section 711) and standards and,
where appropriate, acquisition innovation best
practices.
(B) Leading the Department's acquisition
oversight body, the Acquisition Review Board.
(C) Exercising the acquisition decision
authority (as such term is defined in section
711) to approve, pause, modify (including the
rescission of approvals of program milestones),
or cancel major acquisition programs (as such
term is defined in section 711), unless the
Under Secretary delegates such authority to a
Component Acquisition Executive (as such term
is defined in section 711) pursuant to
paragraph (3).
(D) Establishing policies for acquisition
that implement an approach that takes into
account risks of failure to achieve cost,
schedule, or performance parameters that all
components of the Department shall comply with,
including outlining relevant authorities for
program managers to effectively manage
acquisition programs (as such term is defined
in section 711).
(E) Ensuring that each major acquisition
program has a Department-approved acquisition
program baseline (as such term is defined in
section 711), pursuant to the Department's
acquisition management policy.
(F) Assisting the heads of components and
Component Acquisition Executives in efforts to
comply with Federal law, the Federal
Acquisition Regulation, and Department
acquisition management directives.
(G) Ensuring that grants and financial
assistance are provided only to individuals and
organizations that are not suspended or
debarred.
(H) Distributing guidance throughout the
Department to ensure that contractors involved
in acquisitions, particularly contractors that
access the Department's information systems and
technologies, adhere to relevant Department
policies related to physical and information
security as identified by the Under Secretary
for Management.
(I) Overseeing the Component Acquisition
Executive organizational structure to ensure
Component Acquisition Executives have
sufficient capabilities and comply with
Department acquisition policies.
(3) Delegation of certain acquisition decision
authority.--
(A) Level 3 acquisitions.--The Under
Secretary for Management may delegate
acquisition decision authority to the relevant
Component Acquisition Executive for an
acquisition program that has a life cycle cost
estimate of less than $300,000,000.
(B) Level 2 acquisitions.--The Under
Secretary for Management may delegate
acquisition decision authority in writing to
the relevant Component Acquisition Executive
for a major acquisition program that has a life
cycle cost estimate of at least $300,000 but
not more than $1,000,000,000 if all of the
following requirements are met:
(i) The component concerned possesses
working policies, processes, and
procedures that are consistent with
Department-level acquisition policy.
(ii) The Component Acquisition
Executive concerned has adequate,
experienced, and dedicated professional
employees with program management
training, as applicable, commensurate
with the size of the acquisition
programs and related activities
delegated to such Component Acquisition
Executive by the Under Secretary for
Management.
(iii) Each major acquisition program
concerned has written documentation
showing that it has a Department-
approved acquisition program baseline
and it is meeting agreed-upon cost,
schedule, and performance thresholds.
(C) Level 1 acquisitions.--The Under
Secretary for Management may delegate
acquisition decision authority in writing to
the relevant Component Acquisition Executive
for a Level 1 major acquisition program that
has a life cycle cost estimate of more than
$1,000,000,000 if all of the following
requirements are met:
(i) The Undersecretary for Management
conducts a risk assessment of the
planned acquisition and determines that
it is appropriate to delegate authority
for such major acquisition program.
(ii) The component concerned
possesses working policies, processes,
and procedures that are consistent with
Department-level acquisition policy.
(iii) The Component Acquisition
Executive concerned has adequate,
experienced, and dedicated professional
employees with program management
training, as applicable, commensurate
with the size of the acquisition
programs and related activities
delegated to such Component Acquisition
Executive by the Under Secretary for
Management.
(iv) Each Level 1 major acquisition
program concerned has written
documentation showing that it has a
Department-approved acquisition program
baseline and it is meeting agreed-upon
cost, schedule, and performance
thresholds.
(v) The Under Secretary for
Management provides written
notification to the appropriate
congressional committees of the
decision to delegate the authority to
the relevant Component Acquisition
Executive.
(4) Relationship to under secretary for science and
technology.--
(A) In general.--Nothing in this subsection
shall diminish the authority granted to the
Under Secretary for Science and Technology
under this Act. The Under Secretary for
Management and the Under Secretary for Science
and Technology shall cooperate in matters
related to the coordination of acquisitions
across the Department so that investments of
the Directorate of Science and Technology are
able to support current and future requirements
of the components of the Department.
(B) Operational testing and evaluation.--The
Under Secretary for Science and Technology
shall--
(i) ensure, in coordination with
relevant component heads, that major
acquisition programs--
(I) complete operational
testing and evaluation of
technologies and systems to be
acquired or developed by major
acquisition programs to assess
operational effectiveness,
suitability, and cybersecurity;
(II) use independent
verification and validation of
operational test and evaluation
implementation and results, as
appropriate; and
(III) document whether such
programs meet all performance
requirements included in their
acquisition program baselines;
(ii) ensure that such operational
testing and evaluation includes all
system components and incorporates
operators into the testing to ensure
that systems perform as intended in the
appropriate operational setting; and
(iii) determine if testing conducted
by other Federal departments and
agencies and private entities is
relevant and sufficient in determining
whether systems perform as intended in
the operational setting.
[(d)] (e) Appointment and evaluation.--The Under Secretary
for Management shall--
(1) be appointed by the President, by and with the advice and
consent of the Senate, from among persons who have--
(A) extensive executive level leadership and management
experience in the public or private sector;
(B) strong leadership skills;
(C) a demonstrated ability to manage large and complex
organizations; and
(D) a proven record in achieving positive operational
results;
(2) enter into an annual performance agreement with the
Secretary that shall set forth measurable individual and
organizational goals; and
(3) be subject to an annual performance evaluation by the
Secretary, who shall determine as part of each such evaluation
whether the Under Secretary for Management has made
satisfactory progress toward achieving the goals set out in the
performance agreement required under paragraph (2).
[(e)] (f) System for Award Management Consultation.--The
Under Secretary for Management shall require that all
Department contracting and grant officials consult the System
for Award Management (or successor system) as maintained by the
General Services Administration prior to awarding a contract or
grant or entering into other transactions to ascertain whether
the selected contractor is excluded from receiving Federal
contracts, certain subcontracts, and certain types of Federal
financial and non-financial assistance and benefits.
[(e)] (g) Interoperable Communications Defined.--In this
section, the term ``interoperable communications'' has the
meaning given that term in section 7303(g) of the Intelligence
Reform and Terrorism Prevention Act of 2004 (6 U.S.C. 194(g)).
SEC. 702. CHIEF FINANCIAL OFFICER.
(a) In General.--The Chief Financial Officer shall perform
functions as specified in chapter 9 of title 31, United States
Code, and, with respect to all such functions and other
responsibilities that may be assigned to the Chief Financial
Officer from time to time, shall also report to the Under
Secretary for Management.
(b) Program Analysis and Evaluation Function.--
(1) Establishment of office of program analysis and
evaluation.--Not later than 90 days after the date of
enactment of this subsection, the Secretary shall
establish an Office of Program Analysis and Evaluation
within the Department (in this section referred to as
the ``Office'').
(2) Responsibilities.--The Office shall perform the
following functions:
(A) Analyze and evaluate plans, programs, and
budgets of the Department in relation to United
States homeland security objectives, projected
threats, vulnerability assessments, estimated
costs, resource constraints, and the most
recent homeland security strategy developed
pursuant to section 874(b)(2).
(B) Develop and perform analyses and
evaluations of alternative plans, programs,
personnel levels, and budget submissions for
the Department in relation to United States
homeland security objectives, projected
threats, vulnerability assessments, estimated
costs, resource constraints, and the most
recent homeland security strategy developed
pursuant to section 874(b)(2).
(C) Establish policies for, and oversee the
integration of, the planning, programming, and
budgeting system of the Department.
(D) Review and ensure that the Department
meets performance-based budget requirements
established by the Office of Management and
Budget.
(E) Provide guidance for, and oversee the
development of, the Future Years Homeland
Security Program of the Department, as
specified under section 874.
(F) Ensure that the costs of Department
programs, including classified programs, are
presented accurately and completely.
(G) Oversee the preparation of the annual
performance plan for the Department and the
program and performance section of the annual
report on program performance for the
Department, consistent with sections 1115 and
1116, respectively, of title 31, United States
Code.
(H) Provide leadership in developing and
promoting improved analytical tools and methods
for analyzing homeland security planning and
the allocation of resources.
(I) Oversee the costs of acquisition programs
(as such term is defined in section 711) and
related activities to ensure that actual and
planned costs are in accordance with budget
estimates and are affordable, or can be
adequately funded, over the life cycle of such
programs and activities.
[(I)] (J) Any other responsibilities
delegated by the Secretary consistent with an
effective program analysis and evaluation
function.
(3) Director of program analysis and evaluation.--
There shall be a Director of Program Analysis and
Evaluation, who--
(A) shall be a principal staff assistant to
the Chief Financial Officer of the Department
for program analysis and evaluation; and
(B) shall report to an official no lower than
the Chief Financial Officer.
(4) Reorganization.--
(A) In general.--The Secretary may allocate
or reallocate the functions of the Office, or
discontinue the Office, in accordance with
section 872(a).
(B) Exemption from limitations.--Section
872(b) shall not apply to any action by the
Secretary under this paragraph.
(c) Notification Regarding Transfer or Reprogramming of
Funds.--In any case in which appropriations available to the
Department or any officer of the Department are transferred or
reprogrammed and notice of such transfer or reprogramming is
submitted to the Congress (including any officer, office, or
Committee of the Congress), the Chief Financial Officer of the
Department shall simultaneously submit such notice to the
Select Committee on Homeland Security (or any successor to the
jurisdiction of that committee) and the Committee on Government
Reform of the House of Representatives, and to the Committee on
Governmental Affairs of the Senate.
SEC. 703. CHIEF INFORMATION OFFICER.
(a) In General.--The Chief Information Officer shall report
to the Secretary, or to another official of the Department, as
the Secretary may direct.
(b) Acquisition Responsibilities.--In addition to the
responsibilities specified in section 11315 of title 40, United
States Code, the acquisition responsibilities of the Chief
Information Officer, in consultation with the Under Secretary
for Management, shall include the following:
(1) Overseeing the management of the Homeland
Security Enterprise Architecture and ensuring that,
before each acquisition decision event (as such term is
defined in section 711), approved information
technology acquisitions comply with any departmental
information technology management requirements,
security protocols, and the Homeland Security
Enterprise Architecture, and in any case in which
information technology acquisitions do not comply with
the Department's management directives, making
recommendations to the Department's Acquisition Review
Board regarding such noncompliance.
(2) Providing recommendations to the Acquisition
Review Board regarding information technology programs,
and developing information technology acquisition
strategic guidance.
[(b)] (c) Geospatial Information Functions.--
(1) Definitions.--As used in this subsection:
(A) Geospatial information.--The term
``geospatial information'' means graphical or
digital data depicting natural or manmade
physical features, phenomena, or boundaries of
the earth and any information related thereto,
including surveys, maps, charts, remote sensing
data, and images.
(B) Geospatial technology.--The term
``geospatial technology'' means any technology
utilized by analysts, specialists, surveyors,
photogrammetrists, hydrographers, geodesists,
cartographers, architects, or engineers for the
collection, storage, retrieval, or
dissemination of geospatial information,
including--
(i) global satellite surveillance
systems;
(ii) global position systems;
(iii) geographic information systems;
(iv) mapping equipment;
(v) geocoding technology; and
(vi) remote sensing devices.
(2) Office of geospatial management.--
(A) Establishment.--The Office of Geospatial
Management is established within the Office of
the Chief Information Officer.
(B) Geospatial information officer.--
(i) Appointment.--The Office of
Geospatial Management shall be
administered by the Geospatial
Information Officer, who shall be
appointed by the Secretary and serve
under the direction of the Chief
Information Officer.
(ii) Functions.--The Geospatial
Information Officer shall assist the
Chief Information Officer in carrying
out all functions under this section
and in coordinating the geospatial
information needs of the Department.
(C) Coordination of geospatial information.--
The Chief Information Officer shall establish
and carry out a program to provide for the
efficient use of geospatial information, which
shall include--
(i) providing such geospatial
information as may be necessary to
implement the critical infrastructure
protection programs;
(ii) providing leadership and
coordination in meeting the geospatial
information requirements of those
responsible for planning, prevention,
mitigation, assessment and response to
emergencies, critical infrastructure
protection, and other functions of the
Department; and
(iii) coordinating with users of
geospatial information within the
Department to assure interoperability
and prevent unnecessary duplication.
(D) Responsibilities.--In carrying out this
subsection, the responsibilities of the Chief
Information Officer shall include--
(i) coordinating the geospatial
information needs and activities of the
Department;
(ii) implementing standards, as
adopted by the Director of the Office
of Management and Budget under the
processes established under section 216
of the E-Government Act of 2002 (44
U.S.C. 3501 note), to facilitate the
interoperability of geospatial
information pertaining to homeland
security among all users of such
information within--
(I) the Department;
(II) State and local
government; and
(III) the private sector;
(iii) coordinating with the Federal
Geographic Data Committee and carrying
out the responsibilities of the
Department pursuant to Office of
Management and Budget Circular A-16 and
Executive Order 12906; and
(iv) making recommendations to the
Secretary and the Executive Director of
the Office for State and Local
Government Coordination and
Preparedness on awarding grants to--
(I) fund the creation of
geospatial data; and
(II) execute information
sharing agreements regarding
geospatial data with State,
local, and tribal governments.
(3) Authorization of appropriations.--There are
authorized to be appropriated such sums as may be
necessary to carry out this subsection for each fiscal
year.
* * * * * * *
SEC. 709. OFFICE OF STRATEGY, POLICY, AND PLANS.
(a) In General.--There is established in the Department an
Office of Strategy, Policy, and Plans.
(b) Head of Office.--The Office of Strategy, Policy, and
Plans shall be headed by an Under Secretary for Strategy,
Policy, and Plans, who shall serve as the principal policy
advisor to the Secretary. The Under Secretary for Strategy,
Policy, and Plans shall be appointed by the President, by and
with the advice and consent of the Senate.
(c) Functions.--The Under Secretary for Strategy, Policy, and
Plans shall--
(1) lead, conduct, and coordinate Department-wide
policy development and implementation and strategic
planning;
(2) develop and coordinate policies to promote and
ensure quality, consistency, and integration for the
programs, components, offices, and activities across
the Department;
(3) develop and coordinate strategic plans and long-
term goals of the Department with risk-based analysis
and planning to improve operational mission
effectiveness, including consultation with the
Secretary regarding the quadrennial homeland security
review under section 707;
(4) ensure acquisition programs (as such term is
defined in section 711) support the DHS Quadrennial
Homeland Security Review Report, the DHS Strategic
Plan, the DHS Strategic Priorities, and other
appropriate successor documents;
[(4)] (5) manage Department leadership councils and
provide analytics and support to such councils;
[(5)] (6) manage international coordination and
engagement for the Department;
[(6)] (7) review and incorporate, as appropriate,
external stakeholder feedback into Department policy;
and
[(7)] (8) carry out such other responsibilities as
the Secretary determines appropriate.
(d) Deputy Under Secretary.--
(1) In general.--The Secretary may--
(A) establish within the Office of Strategy,
Policy, and Plans a position of Deputy Under
Secretary to support the Under Secretary for
Strategy, Policy, and Plans in carrying out the
Under Secretary's responsibilities; and
(B) appoint a career employee to such
position.
(2) Limitation on establishment of deputy under
secretary positions.--A Deputy Under Secretary position
(or any substantially similar position) within the
Office of Strategy, Policy, and Plans may not be
established except for the position provided for by
paragraph (1), unless the Secretary receives prior
authorization from Congress.
(3) Definitions.--For purposes of paragraph (1)--
(A) the term ``career employee'' means any
employee (as such term is defined in section
2105 of title 5, United States Code), but does
not include a political appointee; and
(B) the term ``political appointee'' means
any employee who occupies a position which has
been excepted from the competitive service by
reason of its confidential, policy-determining,
policy-making, or policy-advocating character.
(e) Coordination by Department Components.--To ensure
consistency with the policy priorities of the Department, the
head of each component of the Department shall coordinate with
the Office of Strategy, Policy, and Plans in establishing or
modifying policies or strategic planning guidance with respect
to each such component.
(f) Homeland Security Statistics and Joint Analysis.--
(1) Homeland security statistics.--The Under
Secretary for Strategy, Policy, and Plans shall--
(A) establish standards of reliability and
validity for statistical data collected and
analyzed by the Department;
(B) be provided by the heads of all
components of the Department with statistical
data maintained by the Department regarding the
operations of the Department;
(C) conduct or oversee analysis and reporting
of such data by the Department as required by
law or as directed by the Secretary; and
(D) ensure the accuracy of metrics and
statistical data provided to Congress.
(2) Transfer of responsibilities.--There shall be
transferred to the Under Secretary for Strategy,
Policy, and Plans the maintenance of all immigration
statistical information of U.S. Customs and Border
Protection, U.S. Immigration and Customs Enforcement,
and United States Citizenship and Immigration Services,
which shall include information and statistics of the
type contained in the publication entitled ``Yearbook
of Immigration Statistics'' prepared by the Office of
Immigration Statistics, including region-by-region
statistics on the aggregate number of applications and
petitions filed by an alien (or filed on behalf of an
alien) and denied, and the reasons for such denials,
disaggregated by category of denial and application or
petition type.
(g) Limitation.--Nothing in this section overrides or
otherwise affects the requirements specified in section 888.
* * * * * * *
SEC. 711. ACQUISITION AUTHORITIES FOR PROGRAM ACCOUNTABILITY AND RISK
MANAGEMENT.
(a) Establishment of Office.--Within the Management
Directorate, there shall be a Program Accountability and Risk
Management office to--
(1) provide consistent accountability,
standardization, and transparency of major acquisition
programs of the Department;
(2) serve as the central oversight function for all
Department major acquisition programs; and
(3) provide review and analysis of Department
acquisition programs, as appropriate.
(b) Responsibilities of Executive Director.--The Program
Accountability and Risk Management office shall be led by an
Executive Director to oversee the requirements specified in
subsection (a). The Executive Director shall report directly to
the Under Secretary for Management, and shall carry out the
following responsibilities:
(1) Monitor regularly the performance of Department
major acquisition programs between acquisition decision
events to identify problems with cost, performance, or
schedule that components may need to address to prevent
cost overruns, performance issues, or schedule delays.
(2) Assist the Under Secretary for Management in
managing the Department's acquisition programs and
related activities.
(3) Conduct oversight of individual acquisition
programs to implement Department acquisition program
policy, procedures, and guidance with a priority on
ensuring the data the office collects and maintains
from Department components is accurate and reliable.
(4) Serve as the focal point and coordinator for the
acquisition life cycle review process and as the
executive secretariat for the Department's Acquisition
Review Board.
(5) Advise the persons having acquisition decision
authority in making acquisition decisions consistent
with all applicable laws and in establishing clear
lines of authority, accountability, and responsibility
for acquisition decisionmaking within the Department.
(6) Assist the Chief Procurement Officer of the
Department, as appropriate, in developing strategies
and specific plans for hiring, training, and
professional development to address any deficiency
within the Department's acquisition workforce.
(7) Develop standardized certification standards in
consultation with the Component Acquisition Executives
for all acquisition program managers.
(8) Assess the results of major acquisition programs'
post-implementation reviews and identify opportunities
to improve performance throughout the acquisition
process.
(9) Provide technical support and assistance to
Department acquisition programs and acquisition
personnel and coordinate with the Chief Procurement
Officer regarding workforce training and development
activities.
(10) Assist, as appropriate, with the preparation of
the Future Years Homeland Security Program, and make
such information available to the congressional
homeland security committees.
(c) Responsibilities of Components.--Each head of a component
shall comply with Federal law, the Federal Acquisition
Regulation, and Department acquisition management directives
established by the Under Secretary for Management. For each
major acquisition program, each head of a component shall--
(1) define baseline requirements and document changes
to such requirements, as appropriate;
(2) establish a complete life cycle cost estimate
with supporting documentation that is consistent with
cost estimating best practices as identified by the
Comptroller General of the United States;
(3) verify each life cycle cost estimate against
independent cost estimates or assessments, as
appropriate, and reconcile any differences;
(4) complete a cost-benefit analysis with supporting
documentation;
(5) develop and maintain a schedule that is
consistent with scheduling best practices as identified
by the Comptroller General of the United States,
including, in appropriate cases, an integrated master
schedule; and
(6) ensure that all acquisition program information
provided by the component is complete, accurate,
timely, and valid.
(d) Definitions.--In this section:
(1) Acquisition.--The term ``acquisition'' has the
meaning given such term in section 131 of title 41,
United States Code.
(2) Acquisition decision authority.--The term
``acquisition decision authority'' means the authority,
held by the Secretary acting through the Deputy
Secretary or Under Secretary for Management to--
(A) ensure compliance with Federal law, the
Federal Acquisition Regulation, and Department
acquisition management directives;
(B) review (including approving, pausing,
modifying, or canceling) an acquisition program
through the life cycle of such program;
(C) ensure that acquisition program managers
have the resources necessary to successfully
execute an approved acquisition program;
(D) ensure good acquisition program
management of cost, schedule, risk, and system
performance of the acquisition program at
issue, including assessing acquisition program
baseline breaches and directing any corrective
action for such breaches; and
(E) ensure that acquisition program managers,
on an ongoing basis, monitor cost, schedule,
and performance against established baselines
and use tools to assess risks to an acquisition
program at all phases of the life cycle of such
program to avoid and mitigate acquisition
program baseline breaches.
(3) Acquisition decision event.--The term
``acquisition decision event'', with respect to an
acquisition program, means a predetermined point within
each of the acquisition phases at which the acquisition
decision authority determines whether such acquisition
program shall proceed to the next acquisition phase.
(4) Acquisition program.--The term ``acquisition
program'' means the process by which the Department
acquires, with any appropriated amounts or fee funding,
by contract for purchase or lease, property or services
(including construction) that support the missions and
goals of the Department.
(5) Acquisition program baseline.--The term
``acquisition program baseline'', with respect to an
acquisition program, means a summary of the cost,
schedule, and performance parameters, expressed in
standard, measurable, quantitative terms, which must be
met in order to accomplish the goals of such program.
(6) Best practices.--The term ``best practices'',
with respect to acquisition, means a knowledge-based
approach to capability development that includes the
following:
(A) Identifying and validating needs.
(B) Assessing alternatives to select the most
appropriate solution.
(C) Clearly establishing well-defined
requirements.
(D) Developing realistic cost assessments and
schedules.
(E) Securing stable funding that matches
resources to requirements.
(F) Demonstrating technology, design, and
manufacturing maturity.
(G) Using milestones and exit criteria or
specific accomplishments that demonstrate
progress.
(H) Adopting and executing standardized
processes with known success across programs.
(I) Establishing an adequate workforce that
is qualified and sufficient to perform
necessary functions.
(J) Integrating the capabilities described in
subparagraphs (A) through (I) into the
Department's mission and business operations.
(7) Breach.--The term ``breach'', with respect to a
major acquisition program, means a failure to meet any
cost, schedule, or performance threshold specified in
the most recently approved acquisition program
baseline.
(8) Congressional homeland security committees.--The
term ``congressional homeland security committees''
means--
(A) the Committee on Homeland Security of the
House of Representatives and the Committee on
Homeland Security and Governmental Affairs of
the Senate; and
(B) the Committee on Appropriations of the
House of Representatives and the Committee on
Appropriations of the Senate.
(9) Component acquisition executive.--The term
``Component Acquisition Executive'' means the senior
acquisition official within a component who is
designated in writing by the Under Secretary for
Management, in consultation with the component head,
with authority and responsibility for leading a process
and staff to provide acquisition and program management
oversight, policy, and guidance to ensure that
statutory, regulatory, and higher level policy
requirements are fulfilled, including compliance with
Federal law, the Federal Acquisition Regulation, and
Department acquisition management directives
established by the Under Secretary for Management.
(10) Major acquisition program.--The term ``major
acquisition program'' means a Department acquisition
program that is estimated by the Secretary to require
an eventual total expenditure of at least $300,000,000
(based on fiscal year 2019 constant dollars) over its
life cycle cost or a program identified by the Chief
Acquisition Officer as a program of special interest.
* * * * * * *
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