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

Subtitle G — Governmentwide Acquisition Improvements

DHNDAA Section

Representative Waxman Summary

SEC. 865. PREVENTING ABUSE OF INTERAGENCY CONTRACTS.

(a) Office of Management and Budget Policy Guidance-

(1) REPORT AND GUIDELINES- Not later than one year after the date of the enactment of this Act, the Director of the Office of Management and Budget shall--

(A) submit to Congress a comprehensive report on interagency acquisitions, including their frequency of use, management controls, cost-effectiveness, and savings generated; and

(B) issue guidelines to assist the heads of executive agencies in improving the management of interagency acquisitions.

(2) MATTERS COVERED BY GUIDELINES- For purposes of paragraph (1)(B), the Director shall include guidelines on the following matters:

(A) Procedures for the use of interagency acquisitions to maximize competition, deliver best value to executive agencies, and minimize waste, fraud, and abuse.

(B) Categories of contracting inappropriate for interagency acquisition.

(C) Requirements for training acquisition workforce personnel in the proper use of interagency acquisitions.

(b) Regulations Required-

(1) IN GENERAL- Not later than one year after the date of the enactment of this Act, the Federal Acquisition Regulation shall be revised to require that all interagency acquisitions--

(A) include a written agreement between the requesting agency and the servicing agency assigning responsibility for the administration and management of the contract;

(B) include a determination that an interagency acquisition is the best procurement alternative; and

(C) include sufficient documentation to ensure an adequate audit.

(2) MULTI-AGENCY CONTRACTS- Not later than one year after the date of the enactment of this Act, the Federal Acquisition Regulation shall be revised to require any multi-agency contract entered into by an executive agency after the effective date of such regulations to be supported by a business case analysis detailing the administration of such contract, including an analysis of all direct and indirect costs to the Federal Government of awarding and administering such contract and the impact such contract will have on the ability of the Federal Government to leverage its purchasing power.

(c) Agency Reporting Requirement- The senior procurement executive for each executive agency shall, as directed by the Director of the Office of Management and Budget, submit to the Director annual reports on the actions taken by the executive agency pursuant to the guidelines issued under subsection (a).

(d) Definitions- In this section:

(1) The term `executive agency' has the meaning given such term in section 4(1) of the Office of Federal Procurement Policy Act (41 U.S.C. 403(1)), except that, in the case of a military department, it means the Department of Defense.

(2) The term `head of executive agency' means the head of an executive agency except that, in the case of a military department, the term means the Secretary of Defense.

(3) The term `interagency acquisition' means a procedure by which an executive agency needing supplies or services (the requesting agency) obtains them from another executive agency (the servicing agency). The term includes acquisitions under section 1535 of title 31, United States Code (commonly referred to as the `Economy Act'), Federal Supply Schedules above $500,000, and Governmentwide acquisition contracts.

(4) The term `multi-agency contract' means a task or delivery order contract established for use by more than one executive agency to obtain supplies and services, consistent with section 1535 of title 31, United States Code (commonly referred to as the `Economy Act').