10 U.S.C. § 2432 : US Code - Section 2432: Selected Acquisition Reports

Search 10 U.S.C. § 2432 : US Code - Section 2432: Selected Acquisition Reports

(a) In this section:
(1) The term "program acquisition unit cost", with respect to a
major defense acquisition program, means the amount equal to (A)
the total cost for development and procurement of, and system-
specific military construction for, the acquisition program,
divided by (B) the number of fully-configured end items to be
produced for the acquisition program.
(2) The term "procurement unit cost", with respect to a major
defense acquisition program, means the amount equal to (A) the
total of all funds programmed to be available for obligation for
procurement for the program, divided by (B) the number of fully-
configured end items to be procured.
(3) The term "major contract", with respect to a major defense
acquisition program, means each of the six largest prime,
associate, or Government-furnished equipment contracts under the
program that is in excess of $40,000,000 and that is not a firm,
fixed price contract.
(4) The term "full life-cycle cost", with respect to a major
defense acquisition program, means all costs of development,
procurement, military construction, and operations and support,
without regard to funding source or management control.
(b)(1) The Secretary of Defense shall submit to Congress at the
end of each fiscal-year quarter a report on current major defense
acquisition programs. Except as provided in paragraphs (2) and (3),
each such report shall include a status report on each defense
acquisition program that at the end of such quarter is a major
defense acquisition program. Reports under this section shall be
known as Selected Acquisition Reports.
(2) A status report on a major defense acquisition program need
not be included in the Selected Acquisition Report for the second,
third, or fourth quarter of a fiscal year if such a report was
included in a previous Selected Acquisition Report for that fiscal
year and during the period since that report there has been -
(A) less than a 15 percent increase in program acquisition unit
cost and current procurement unit cost; and
(B) less than a six-month delay in any program schedule
milestone shown in the Selected Acquisition Report.
(3)(A) The Secretary of Defense may waive the requirement for
submission of Selected Acquisition Reports for a program for a
fiscal year if -
(i) the program has not entered system development and
demonstration;
(ii) a reasonable cost estimate has not been established for
such program; and
(iii) the system configuration for such program is not well
defined.
(B) The Secretary shall submit to the Committee on Armed Services
of the Senate and the Committee on Armed Services of the House of
Representatives a written notification of each waiver under
subparagraph (A) for a program for a fiscal year not later than 60
days before the President submits the budget to Congress pursuant
to section 1105 of title 31 in that fiscal year.
(c)(1) Each Selected Acquisition Report for the first quarter for
a fiscal year shall include -
(A) the same information, in detailed and summarized form, as
is provided in reports submitted under section 2431 of this
title;
(B) the current program acquisition unit cost for each major
defense acquisition program included in the report and the
history of that cost from the date the program was first included
in a Selected Acquisition Report to the end of the quarter for
which the current report is submitted;
(C) the current procurement unit cost for each major defense
acquisition program included in the report and the history of
that cost from the date the program was first included in a
Selected Acquisition Report to the end of the quarter for which
the current report is submitted; and
(D) such other information as the Secretary of Defense
considers appropriate.
(2) Each Selected Acquisition Report for the first quarter of a
fiscal year shall be designed to provide to the Committee on Armed
Services of the Senate and the Committee on Armed Services of the
House of Representatives the information such Committees need to
perform their oversight functions. Whenever the Secretary of
Defense proposes to make changes in the content of a Selected
Acquisition Report, the Secretary shall submit a notice of the
proposed changes to such committees. The changes shall be
considered approved by the Secretary, and may be incorporated into
the report, only after the end of the 60-day period beginning on
the date on which the notice is received by those committees.
(3) In addition to the material required by paragraphs (1) and
(2), each Selected Acquisition Report for the first quarter of a
fiscal year shall include the following:
(A) A full life-cycle cost analysis for each major defense
acquisition program included in the report that is in the system
development and demonstration stage or has completed that stage.
The Secretary of Defense shall ensure that this subparagraph is
implemented in a uniform manner, to the extent practicable,
throughout the Department of Defense.
(B) If the system that is included in that major defense
acquisition program has an antecedent system, a full life-cycle
cost analysis for that system.
(4) Selected Acquisition Reports for the first quarter of a
fiscal year shall be known as comprehensive annual Selected
Acquisition Reports.
(d)(1) Each Selected Acquisition Report for the second, third,
and fourth quarters of a fiscal year shall include -
(A) with respect to each major defense acquisition program that
was included in the most recent comprehensive annual Selected
Acquisition Report, the information described in subsection (e);
and
(B) with respect to each major defense acquisition program that
was not included in the most recent comprehensive annual Selected
Acquisition Report, the information described in subsection (c).
(2) Selected Acquisition Reports for the second, third, and
fourth quarters of a fiscal year shall be known as Quarterly
Selected Acquisition Reports.
(e) Information to be included under this subsection in a
Quarterly Selected Acquisition Report with respect to a major
defense acquisition program is as follows:
(1) The quantity of items to be purchased under the program.
(2) The program acquisition cost.
(3) The program acquisition unit cost.
(4) The current procurement cost for the program.
(5) The current procurement unit cost for the program.
(6) The reasons for any change in program acquisition cost,
program acquisition unit cost, procurement cost, or procurement
unit cost or in program schedule from the previous Selected
Acquisition Report.
(7) The reasons for any significant changes (from the previous
Selected Acquisition Report) in the total program cost for
development and procurement of the software component of the
program, schedule milestones for the software component of the
program, or expected performance for the software component of
the program that are known, expected, or anticipated by the
program manager.
(8) The major contracts under the program and the reasons for
any cost or schedule variances under those contracts since the
last Selected Acquisition Report.
(9) Program highlights since the last Selected Acquisition
Report.
(f) Each comprehensive annual Selected Acquisition Report shall
be submitted within 60 days after the date on which the President
transmits the Budget to Congress for the following fiscal year, and
each Quarterly Selected Acquisition Report shall be submitted
within 45 days after the end of the fiscal-year quarter.
(g) The requirements of this section with respect to a major
defense acquisition program shall cease to apply after 90 percent
of the items to be delivered to the United States under the program
(shown as the total quantity of items to be purchased under the
program in the most recent Selected Acquisition Report) have been
delivered or 90 percent of planned expenditures under the program
have been made.
(h)(1) Total program reporting under this section shall apply to
a major defense acquisition program when funds have been
appropriated for such program and the Secretary of Defense has
decided to proceed to system development and demonstration of such
program. Reporting may be limited to the development program as
provided in paragraph (2) before a decision is made by the
Secretary of Defense to proceed to system development and
demonstration if the Secretary notifies the Committee on Armed
Services of the Senate and the Committee on Armed Services of the
House of Representatives of the intention to submit a limited
report under this subsection not less than 15 days before a report
is due under this section.
(2) A limited report under this subsection shall include the
following:
(A) The same information, in detail and summarized form, as is
provided in reports submitted under subsections (b)(1) and (b)(3)
of section 2431 of this title.
(B) Reasons for any change in the development cost and
schedule.
(C) The major contracts under the development program and the
reasons for any cost or schedule variances under those contracts
since the last Selected Acquisition Report.
(D) Program highlights since the last Selected Acquisition
Report.
(E) Other information as the Secretary of Defense considers
appropriate.
(3) The submission requirements for a limited report under this
subsection shall be the same as for quarterly Selected Acquisition
Reports for total program reporting.