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

Subtitle B Amendments To General Contracting Authorities, Procedures, And Limitations

P. L. 113-66

Explanatory Statement, H7894

SEC. 814. EXTENSION OF PILOT PROGRAM ON ACQUISITION OF MILITARY PURPOSE NONDEVELOPMENTAL ITEMS.

Section 866(f)(1) of the Ike Skelton National Defense Authorization Act for Fiscal Year 2011 (Public Law 111-383; 124 Stat. 4296; 10 U.S.C. 2302 note) is amended by striking `the date that is five years after the date of the enactment of this Act.' and inserting `December 31, 2019.'.

 

Extension of pilot program on acquisition of military purpose nondevelopmental items (sec. 814)

The House bill contained a provision (sec. 831) that would amend section 866 of the National Defense Authorization Act for Fiscal Year 2011 (Public Law 111-383), by extending the program authority to December 31, 2019. Furthermore, the committee encouraged the Under Secretary of Defense for Acquisition, Technology, and Logistics to review the military purpose non-developmental items implementation guidance and to exercise the authority provided in section 866.

The Senate committee-reported bill contained no similar provision.

The agreement contains the provision.


House Report 113-102

SECTION 831--EXTENSION OF PILOT PROGRAM ON ACQUISITION OF MILITARY PURPOSE NON-DEVELOPMENTAL ITEMS

This section would amend section 866 of the Ike Skelton National Defense Authorization Act for Fiscal Year 2011 (Public Law 111-383) by extending the program authority to December 31, 2019.

In February 2013, the Under Secretary of Defense for Acquisition, Technology, and Logistics reported to the congressional defense committees that the pilot program for acquisition of military purpose non-developmental items (MPNDI) had not been used even though the Secretary of Defense implemented it through the Defense Federal Acquisition Supplement in June 2011. The committee is aware that there may be confusion about the requirement in section 866 of Public Law 111-383 for a contract under the MPNDI pilot program to be awarded using competitive procedures in accordance with chapter 137 of title 10, United States Code. The committee believes that section 866 of Public Law 111-383 is clear that any exception to competition requirements provided in the Competition in Contracting Act (10 U.S.C. 2304) applies to MPNDI acquisitions because section 2304(c) is part of chapter 137. However, the committee is concerned that the program has been implemented in a manner that either discourages use of the MPNDI authority, or infers that section 2304(c) of title 10, United States Code, does not apply. The committee encourages the Under Secretary of Defense for Acquisition, Technology, and Logistics to review the MPNDI implementation guidance and to clarify that the standard exceptions to competition may be used as appropriate.

The committee is disappointed that the Department of Defense has not yet utilized the authorities provided by section 866 of Public Law 111-383, and it continues to believe that, if implemented, the MPNDI program could improve rapid acquisitions of privately-developed, militarily-useful items. This potential for improvement includes prospects for reducing costs, eliminating developmental periods, and expanding the industrial base by including non-traditional contractors.

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