Back to WSARA Contents

TITLE II--ACQUISITION POLICY

Section 202

House Conference Report 111-124

(a) Acquisition Strategies To Ensure Competition- The Secretary of Defense shall ensure that the acquisition strategy for each major defense acquisition program includes--

(1) measures to ensure competition, or the option of competition, at both the prime contract level and the subcontract level (at such tier or tiers as are appropriate) of such program throughout the life-cycle of such program as a means to improve contractor performance; and

(2) adequate documentation of the rationale for the selection of the subcontract tier or tiers under paragraph (1).

(b) Measures To Ensure Competition- The measures to ensure competition, or the option of competition, for purposes of subsection (a)(1) may include measures to achieve the following, in appropriate cases if such measures are cost-effective:

(1) Competitive prototyping.

(2) Dual-sourcing.

(3) Unbundling of contracts.

(4) Funding of next-generation prototype systems or subsystems.

(5) Use of modular, open architectures to enable competition for upgrades.

(6) Use of build-to-print approaches to enable production through multiple sources.

(7) Acquisition of complete technical data packages.

(8) Periodic competitions for subsystem upgrades.

(9) Licensing of additional suppliers.

(10) Periodic system or program reviews to address long-term competitive effects of program decisions.

(c) Additional Measures To Ensure Competition at Subcontract Level- The Secretary shall take actions to ensure fair and objective `make-buy' decisions by prime contractors on major defense acquisition programs by--

(1) requiring prime contractors to give full and fair consideration to qualified sources other than the prime contractor for the development or construction of major subsystems and components of major weapon systems;

(2) providing for government surveillance of the process by which prime contractors consider such sources and determine whether to conduct such development or construction in-house or through a subcontract; and

(3) providing for the assessment of the extent to which a contractor has given full and fair consideration to qualified sources other than the contractor in sourcing decisions as a part of past performance evaluations.

(d) Consideration of Competition Throughout Operation and Sustainment of Major Weapon Systems- Whenever a decision regarding source of repair results in a plan to award a contract for performance of maintenance and sustainment of a major weapon system, the Secretary shall take actions to ensure that, to the maximum extent practicable and consistent with statutory requirements, contracts for such maintenance and sustainment are awarded on a competitive basis and give full consideration to all sources (including sources that partner or subcontract with public or private sector repair activities).

(e) Applicability-

(1) STRATEGY AND MEASURES TO ENSURE COMPETITION- The requirements of subsections (a) and (b) shall apply to any acquisition plan for a major defense acquisition program that is developed or revised on or after the date that is 60 days after the date of the enactment of this Act.

(2) ADDITIONAL ACTIONS- The actions required by subsections (c) and (d) shall be taken within 180 days after the date of the enactment of this Act.

Congressional Record, Senate, February 23, 2009, Summary of S. 454, the Weapon Systems Acquisition Reform Act of 2009, P. S2367

The Defense Science Board Task Force on Defense Industrial Structure for Transformation reported in July 2008 that consolidation in the defense industry has substantially reduced innovation in the defense industry and created incentives for major contractors to maximize profitability on established programs rather than seeking to improve performance. The Task Force recommended the adoption of measures--such as competitive prototyping, dual-sourcing, funding of a second source for next generation technology, utilization of open architectures to ensure competition for upgrades, periodic competitions for subsystem upgrades, licensing of additional suppliers, government oversight of make-or-buy decisions--to maximize competition throughout the life of a program, periodic program reviews, and requirement of added competition at the subcontract level. Section 203 would require the Department of Defense to implement this recommendation.

House Committee on Armed Services Report 111-101 with H. R. 2101

SECTION 201--ACQUISITION STRATEGIES ENSURING COMPETITION THROUGHOUT THE LIFECYCLE OF MAJOR DEFENSE ACQUISITION PROGRAMS

This section would require the Secretary of Defense to ensure that the acquisition strategy for each major defense acquisition program includes measures to ensure competition, or the option of competition, at both the prime contract and subcontract level (at certain subcontract tiers) throughout the lifecycle of each program. This section would require consideration of such measures as competitive prototyping, dual-sourcing, unbundling of contracts, developing second sources, use of modular open architectures, use of build to print approaches, acquisition of complete technical data packages, periodic competitions for subsystem upgrades, licensing of additional suppliers, and periodic system reviews to address the long-term competitive effects of program decisions. This section would also require that the Department of Defense's organic capabilities be considered for the performance of maintenance support functions.