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

Subtitle B--Amendments to General Contracting Authorities, Procedures, and Limitations

P. L. 118-31

SEC. 821. MODIFICATION OF APPROVAL AUTHORITY FOR CERTAIN FOLLOW-ON PRODUCTION CONTRACTS OR TRANSACTIONS.

Section 4022 of title 10, United States Code, is amended--

(1) in subsection (a)(2)(C)(i)(I), by inserting after ``subsection (d)'' the following: ``were met for the prior transaction for the prototype project that provided for the award of the follow-on production contract or transaction, and the requirements of subsection (f)''; and

(2) in subsection (d), by adding at the end the following new paragraph:

``(3) The requirements of this subsection do not apply to follow-on production contracts or transactions under subsection (f).''.

Sec. 821--Modification of approval authority for certain follow-on production contracts or transactions

The House bill contained a provision (sec. 823) that would resolve an internal inconsistency for the approval of large dollar Other Transaction Agreements (OTAs) for prototype projects and follow-on production OTAs or contracts under the authority of section 4022 of title 10, United States Code.

The Senate amendment contained a similar provision (sec. 814).

The Senate recedes.

H. Rept. 118-125

Section 824--Modification of Approval Authority for High Dollar Other Transactions for Prototypes

This section would resolve an internal inconsistency for the approval of large dollar Other Transaction Agreements (OTAs) for prototype projects and follow-on production OTAs or contracts under the authority of section 4022 of title 10, United States Code.

Currently, when a follow-on production OTA or contract is awarded, the prototype project is already completed but the follow-on OTA or contract has yet to be performed. As such, the existing requirement that the prototype project completion will be met, for these follow-on production OTAs or contracts, is redundant and removed by this provision.

NOTE:  Section 823 named in the Conference Report concerned Prison Industries.  It appears there was an error in the conference repoet and it meant Section 824.

S. Rept. 118-58

Modification of approval authority for high dollar other transaction agreements for prototypes (sec. 814)

The committee recommends a provision that would fix an internal inconsistency for the approval of high dollar Other Transaction Agreements (OTAs) for prototype projects and follow- on production OTAs or contracts under the authority provided in section 4022 of title 10, United States Code. The committee notes that OTAs for prototype projects are important tools for spurring innovation and attracting nontraditional defense contractors and small businesses with cutting-edge technologies to enable the acquisition of innovative technologies more rapidly. The committee encourages removing barriers that would impede the timeliness or effectiveness of such tools.