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

Subtitle EóOther Matters

P. L. 112-

House Conference Report 112-705

SEC. 861. REQUIREMENTS AND LIMITATIONS FOR SUSPENSION AND DEBARMENT OFFICIALS OF THE DEPARTMENT OF DEFENSE, THE DEPARTMENT OF STATE, AND THE UNITED STATES AGENCY FOR INTERNATIONAL DEVELOPMENT.

(a) Requirements- Not later than 180 days after the date of the enactment of this Act, the head of the covered agency concerned shall ensure the following:

(1) There shall be not less than one suspension and debarment official--

(A) in the case of the Department of Defense, for each of the Department of the Army, the Department of the Navy, the Department of the Air Force, and the Defense Logistics Agency;

(B) for the Department of State; and

(C) for the United States Agency for International Development.

(2) A suspension and debarment official under paragraph (1) may not report to or be subject to the supervision of the acquisition office or the Inspector General--

(A) in the case of the Department of Defense, of either the Department of Defense or the military department or Defense Agency concerned; and

(B) in the case of the Department of State and the United States Agency for International Development, of the covered agency concerned.

(3) Each suspension and debarment official under paragraph (1) shall have a staff and resources adequate for the discharge of the suspension and debarment responsibilities of such official.

(4) Each suspension and debarment official under paragraph (1) shall document the basis for any final decision taken pursuant to a formal referral in accordance with the policies established under paragraph (5).

(5) Each suspension and debarment official under paragraph (1) shall, in consultation with the General Counsel of the covered agency, establish in writing policies for the consideration of the following:

(A) Formal referrals of suspension and debarment matters.

(B) Suspension and debarment matters that are not formally referred.

(b) Duties of Interagency Committee on Debarment and Suspension- Section 873 of the Duncan Hunter National Defense Authorization Act for Fiscal Year 2009 (31 U.S.C. 6101 note) is amended--

(1) in subsection (a)--

(A) in paragraph (1), by inserting `, including with respect to contracts in connection with contingency operations' before the semicolon; and

(B) in paragraph (7)--

(i) in subparagraph (B), by striking `and' at the end;

(ii) in subparagraph (C), by striking the period at the end and inserting `; and'; and

(iii) by adding at the end the following new subparagraph:

`(D) a summary of suspensions, debarments, and administrative agreements during the previous year.'; and

(2) by striking subsection (b) and inserting the following new subsections:

`(b) Date of Submittal of Annual Reports- The annual report required by subsection (a)(7) shall be submitted not later than January 31 of each year, beginning with January 31, 2014.

`(c) Definitions- In this section:

`(1) The term `contingency operation' has the meaning given that term in section 101(a)(13) of title 10, United States Code.

`(2) The term `Interagency Committee on Debarment and Suspension' means the committee constituted under sections 4 and 5 of Executive Order No. 12549.'.

(c) Covered Agency- In this section, the term `covered agency' means the Department of Defense, the Department of State, and the United States Agency for International Development.

Requirements and limitations for suspension and debarment officials of the Department of Defense, the Department of State, and the United States Agency for International Development (sec. 861)

The Senate amendment contained a provision (sec. 881) that would require the suspension and debarment officials of the military departments and the Defense Logistics Agency, and of the Department of State and the United States Agency for International Development, to be independent of acquisition officials and to develop written policies for the consideration and documentation of referrals and decisions.

The House bill contained no similar provision.

The House recedes with an amendment that would clarify and streamline the provision. The conferees direct suspension and debarment officials to ensure that the documentation guidance required by this provision addresses, at a minimum, documentation requirements for decisions to suspend or debar, decisions not to suspend or debar, decisions to decline to pursue suspension or debarment, and administrative agreements entered into in lieu of suspension or debarment.

 

Senate Report 112-173

Requirements and limitations for suspension and debarment officials of the Department of Defense (sec. 881)

The committee recommends a provision that would require the Suspension and Debarment Officials of the Department of the Army, the Department of the Navy, the Department of the Air Force, and the Defense Logistics Agency to be independent of acquisition officials, to be engaged only in suspension and debarment activities and other fraud-remedies activities, to document final decisions, and to develop written policies for the consideration of referrals.

The provision would also require automatic referral for consideration of suspension or debarment of any person who has been charged with a federal criminal offense in connection with a Department of Defense (DOD) contract; been alleged in a criminal or civil proceeding brought by the United States to have engaged in fraudulent activities in connection with a DOD contract; or is the subject of a final determination that the person has failed to pay or refund money due or owed to the Federal Government in connection with a DOD contract.

The committee understands that suspension and debarment generally apply to all divisions and other organizational elements of a contractor, unless the suspension or debarment decision is limited by its terms to specific divisions, organizational elements, or commodities. The committee further understands that in any case where the misconduct on which a suspension or debarment is based is systemic in nature, a narrow limitation would be inappropriate.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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