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

Subtitle E — Provisions Relating to Acquisition Workforce

P. L. 114-

House Conference Report. 114-840

(1) FOR FISCAL YEARS 2017 AND 2018.—The total amount obligated by the Department of Defense for fiscal year 2017 or 2018 for contract services for staff augmentation contracts at management headquarters of the Department and the military departments may not exceed an amount equal to the aggregate amount expended by the Department for contract services for staff augmentation contracts at management headquarters of the Department and the military departments in fiscal year 2016 adjusted for net transfers from funding for overseas contingency operations (in this subsection referred to as the “fiscal year 2016 staff augmentation contracts funding amount”).

(2) FOR FISCAL YEARS 2018 THROUGH 2022.—The total amount obligated by the Department for any fiscal year after fiscal year 2018 and before fiscal year 2023 for contract services for staff augmentation contracts at management headquarters of the Department and the military departments may not exceed an amount equal to 75 percent of the fiscal year 2016 staff augmentation contracts funding amount.

(b) Definitions.—In this section:

(1) The term “contract services” has the meaning given that term in section 235 of title 10, United States Code.

(2) The term “staff augmentation contracts” means services contracts for personnel who are physically present in a Government work space on a full-time or permanent part-time basis, for the purpose of advising on, providing support to, or assisting a Government agency in the performance of the agency's missions, including authorized personal services contracts (as that term is defined in section 2330a(g)(5) of title 10, United States Code).

The Senate bill contained a provision (sec. 905) that would limit the amount of funds available for staff augmentation contracts at the Office of the Secretary of Defense and the headquarters of the military departments for fiscal years 2017 and 2018 to not more than the amount expended for those contracts in fiscal year 2016. The provision would further require a 25 percent reduction to the fiscal year 2016 funding for those contracts after fiscal year 2018.

The House amendment contained a provision (sec. 809A) that would extend the limitation on the aggregate annual amount available to the Department of Defense for contract services through fiscal year 2017.

The House recedes with an amendment that would limit the amount of funds available for staff augmentation contracts, as defined in the amendment, at the Office of the Secretary of Defense and the headquarters of the military departments for fiscal years 2017 and 2018 to not more than the amount expended for those contracts in fiscal year 2016 and would further require a 25 percent reduction to the fiscal year 2016 funding for those contracts in fiscal years 2018 through fiscal year 2022. The conferees direct the Secretary of Defense to brief the Committees on Armed Services of the Senate and the House of Representatives, no later than February 1, 2017, on the plan to implement the requirements of this provision.