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TITLE VIII--ACQUISITION POLICY, ACQUISITION MANAGEMENT, AND RELATED MATTERS

Subtitle D—Provisions Relating to Contracts in Support of Contingency Operations in Iraq or Afghanistan

P. L. 112-81

House Conference Report 112-329

(a) Establishment of Fund-

(1) IN GENERAL- Chapter 131 of title 10, United States Code, is amended by inserting after section 2216 the following new section:

`Sec. 2216a. Rapidly meeting urgent needs: Joint Urgent Operational Needs Fund

`(a) Establishment- There is established in the Treasury an account to be known as the `Joint Urgent Operational Needs Fund' (in this section referred to as the `Fund').

`(b) Elements- The Fund shall consist of the following:

`(1) Amounts appropriated to the Fund.

`(2) Amounts transferred to the Fund.

`(3) Any other amounts made available to the Fund by law.

`(c) Use of Funds- (1) Amounts in the Fund shall be available to the Secretary of Defense for capabilities that are determined by the Secretary, pursuant to the review process required by section 804(b) of the Ike Skelton National Defense Authorization Act for Fiscal Year 2011 (10 U.S.C. 2302 note), to be suitable for rapid fielding in response to urgent operational needs.

`(2) The Secretary shall establish a merit-based process for identifying equipment, supplies, services, training, and facilities suitable for funding through the Fund.

`(3) Nothing in this section shall be interpreted to require or enable any official of the Department of Defense to provide funding under this section pursuant to a congressional earmark, as defined in clause 9 of Rule XXI of the Rules of the House of Representatives, or a congressionally directed spending item, as defined in paragraph 5 of Rule XLIV of the Standing Rules of the Senate.

`(d) Transfer Authority- (1) Amounts in the Fund may be transferred by the Secretary of Defense from the Fund to any of the following accounts of the Department of Defense to accomplish the purpose stated in subsection (c):

`(A) Operation and maintenance accounts.

`(B) Procurement accounts.

`(C) Research, development, test, and evaluation accounts.

`(2) Upon determination by the Secretary that all or part of the amounts transferred from the Fund under paragraph (1) are not necessary for the purpose for which transferred, such amounts may be transferred back to the Fund.

`(3) The transfer of an amount to an account under the authority in paragraph (1) shall be deemed to increase the amount authorized for such account by an amount equal to the amount so transferred.

`(4) The transfer authority provided by paragraphs (1) and (2) is in addition to any other transfer authority available to the Department of Defense by law.

`(e) Sunset- The authority to make expenditures or transfers from the Fund shall expire on the last day of the third fiscal year that begins after the date of the enactment of the National Defense Authorization Act for Fiscal Year 2012.'.

(2) CLERICAL AMENDMENT- The table of sections at the beginning of chapter 131 of such title is amended by inserting after the item relating to section 2216 the following new item:

`2216a. Rapidly meeting urgent needs: Joint Urgent Operational Needs Fund.'.

(b) Limitation on Commencement of Expenditures From Fund- No expenditure may be made from the Joint Urgent Operational Needs Fund established by section 2216a of title 10, United States Code (as added by subsection (a)), until the Secretary of Defense certifies to the congressional defense committees that the Secretary has developed and implemented an expedited review process in compliance with the requirements of section 804 of the Ike Skelton National Defense Authorization Act for Fiscal Year 2011 (Public Law 111-383; 124 Stat. 4256; 10 U.S.C. 2302 note).

The Senate amendment contained a provision (sec. 863) that would establish a Joint Urgent Operational Needs Fund to rapidly meet urgent operational needs.

The House bill contained no similar provision.

The House recedes.

Senate Report 112-26

Joint Urgent Operational Needs Fund to rapidly meet urgent operational needs (sec. 863)

The committee recommends a provision that would establish a Joint Urgent Operational Needs Fund (JUON Fund) to enable the Department of Defense to rapidly respond to urgent needs identified on the battlefield. The provision recommended by the committee would require that all expenditures from the JUON Fund be made: (1) on the basis of merit-based selection procedures; and (2) for capabilities that are determined to be suitable for rapid fielding in accordance with the criteria in section 804(b) of the Ike Skelton National Defense Authorization Act for Fiscal Year 2011 (Public Law 111-383).