[Congressional Bills 115th Congress]
[From the U.S. Government Publishing Office]
[H.R. 1294 Introduced in House (IH)]
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115th CONGRESS
1st Session
H. R. 1294
To amend the Homeland Security Act of 2002 to provide for congressional
notification regarding major acquisition program breaches, and for
other purposes.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
March 1, 2017
Mr. Rutherford (for himself and Mr. McCaul) introduced the following
bill; which was referred to the Committee on Homeland Security
_______________________________________________________________________
A BILL
To amend the Homeland Security Act of 2002 to provide for congressional
notification regarding major acquisition program breaches, and for
other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Reducing DHS Acquisition Cost Growth
Act''.
SEC. 2. CONGRESSIONAL NOTIFICATION FOR MAJOR ACQUISITION PROGRAMS.
(a) In General.--Subtitle D of title VIII of the Homeland Security
Act of 2002 (6 U.S.C. 391 et seq.) is further amended by adding at the
end the following new section:
``SEC. 836. CONGRESSIONAL NOTIFICATION AND OTHER REQUIREMENTS FOR MAJOR
ACQUISITION PROGRAM BREACH.
``(a) Requirements Within Department in Event of Breach.--
``(1) Notifications.--
``(A) Notification of breach.--If a breach occurs
in a major acquisition program, the program manager for
such program shall notify the Component Acquisition
Executive for such program, the head of the component
concerned, the Executive Director of the Program
Accountability and Risk Management division, the Under
Secretary for Management, and the Deputy Secretary not
later than 30 calendar days after such breach is
identified.
``(B) Notification to secretary.--If a breach
occurs in a major acquisition program and such breach
results in a cost overrun greater than 15 percent, a
schedule delay greater than 180 days, or a failure to
meet any of the performance thresholds from the cost,
schedule, or performance parameters specified in the
most recently approved acquisition program baseline for
such program, the Component Acquisition Executive for
such program shall notify the Secretary and the
Inspector General of the Department not later than five
business days after the Component Acquisition Executive
for such program, the head of the component concerned,
the Executive Director of the Program Accountability
and Risk Management Division, the Under Secretary for
Management, and the Deputy Secretary are notified of
the breach pursuant to subparagraph (A).
``(2) Remediation plan and root cause analysis.--
``(A) In general.--If a breach occurs in a major
acquisition program, the program manager for such
program shall submit to the head of the component
concerned, the Executive Director of the Program
Accountability and Risk Management division, and the
Under Secretary for Management in writing a remediation
plan and root cause analysis relating to such breach
and program. Such plan and analysis shall be submitted
at a date established at the discretion of the Under
Secretary for Management.
``(B) Remediation plan.--The remediation plan
required under this subparagraph (A) shall--
``(i) explain the circumstances of the
breach at issue;
``(ii) provide prior cost estimating
information;
``(iii) include a root cause analysis that
determines the underlying cause or causes of
shortcomings in cost, schedule, or performance
of the major acquisition program with respect
to which such breach has occurred, including
the role, if any, of--
``(I) unrealistic performance
expectations;
``(II) unrealistic baseline
estimates for cost or schedule or
changes in program requirements;
``(III) immature technologies or
excessive manufacturing or integration
risk;
``(IV) unanticipated design,
engineering, manufacturing, or
technology integration issues arising
during program performance;
``(V) changes to the scope of such
program;
``(VI) inadequate program funding
or changes in planned out-year funding
from one 5-year funding plan to the
next 5-year funding plan as outlined in
the Future Years Homeland Security
Program required under section 874;
``(VII) legislative, legal, or
regulatory changes; or
``(VIII) inadequate program
management personnel, including lack of
sufficient number of staff, training,
credentials, certifications, or use of
best practices;
``(iv) propose corrective action to address
cost growth, schedule delays, or performance
issues;
``(v) explain the rationale for why a
proposed corrective action is recommended; and
``(vi) in coordination with the Component
Acquisition Executive for such program, discuss
all options considered, including the estimated
impact on cost, schedule, or performance of
such program if no changes are made to current
requirements, the estimated cost of such
program if requirements are modified, and the
extent to which funding from other programs
will need to be reduced to cover the cost
growth of such program.
``(3) Review of corrective actions.--
``(A) In general.--The Under Secretary for
Management shall review the remediation plan required
under paragraph (2). The Under Secretary may approve
such plan or provide an alternative proposed corrective
action within 30 days of the submission of such plan
under such paragraph.
``(B) Submission to congress.--Not later than 30
days after the review required under subparagraph (A)
is completed, the Under Secretary for Management shall
submit to the congressional homeland security
committees the following:
``(i) A copy of the remediation plan and
the root cause analysis required under
paragraph (2).
``(ii) A statement describing the
corrective action or actions that have occurred
pursuant to paragraph (2)(b)(iv) for the major
acquisition program at issue, with a
justification for such action or actions.
``(b) Requirements Relating to Congressional Notification if Breach
Occurs.--
``(1) Notification to congress.--If a notification to the
Secretary is made under subsection (a)(1)(B) relating to a
breach in a major acquisition program, the Under Secretary for
Management shall notify the congressional homeland security
committees of such breach in the next quarterly Comprehensive
Acquisition Status Report, as required by title I of division D
of the Consolidated Appropriations Act, 2016, (Public Law 114-
113) following receipt by the Under Secretary of notification
under such subsection.
``(2) Significant variances in costs or schedule.--If a
likely cost overrun is greater than 20 percent or a likely
delay is greater than 12 months from the costs and schedule
specified in the acquisition program baseline for a major
acquisition program, the Under Secretary for Management shall
include in the notification required in paragraph (1) a written
certification, with supporting explanation, that--
``(A) such program is essential to the
accomplishment of the Department's mission;
``(B) there are no alternatives to the capability
or asset provided by such program that will provide
equal or greater capability in both a more cost-
effective and timely manner;
``(C) the new acquisition schedule and estimates
for total acquisition cost are reasonable; and
``(D) the management structure for such program is
adequate to manage and control cost, schedule, and
performance.
``(c) Definitions.--In this section:
``(1) Acquisition.--The term `acquisition' has the meaning
given such term in section 131 of title 41, United States Code.
``(2) Acquisition program.--The term `acquisition program'
means the process by which the Department acquires, with any
appropriated amounts, by contract for purchase or lease,
property or services (including construction) that support the
missions and goals of the Department.
``(3) Acquisition program baseline.--The term `acquisition
program baseline', with respect to an acquisition program,
means a summary of the cost, schedule, and performance
parameters, expressed in standard, measurable, quantitative
terms, which must be met in order to accomplish the goals of
such program.
``(4) Best practices.--The term `best practices', with
respect to acquisition, means a knowledge-based approach to
capability development that includes--
``(A) identifying and validating needs;
``(B) assessing alternatives to select the most
appropriate solution;
``(C) clearly establishing well-defined
requirements;
``(D) developing realistic cost assessments and
schedules;
``(E) securing stable funding that matches
resources to requirements;
``(F) demonstrating technology, design, and
manufacturing maturity;
``(G) using milestones and exit criteria or
specific accomplishments that demonstrate progress;
``(H) adopting and executing standardized processes
with known success across programs;
``(I) establishing an adequate workforce that is
qualified and sufficient to perform necessary
functions; and
``(J) integrating the capabilities described in
subparagraphs (A) through (I) into the Department's
mission and business operations.
``(5) Breach.--The term `breach', with respect to a major
acquisition program, means a failure to meet any cost,
schedule, or performance threshold specified in the most
recently approved acquisition program baseline.
``(6) Congressional homeland security committees.--The term
`congressional homeland security committees' means--
``(A) the Committee on Homeland Security of the
House of Representatives and the Committee on Homeland
Security and Governmental Affairs of the Senate; and
``(B) the Committee on Appropriations of the House
of Representatives and of the Senate.
``(7) Component acquisition executive.--The term `Component
Acquisition Executive' means the senior acquisition official
within a component who is designated in writing by the Under
Secretary for Management, in consultation with the component
head, with authority and responsibility for leading a process
and staff to provide acquisition and program management
oversight, policy, and guidance to ensure that statutory,
regulatory, and higher level policy requirements are fulfilled,
including compliance with Federal law, the Federal Acquisition
Regulation, and Department acquisition management directives
established by the Under Secretary for Management.
``(8) Major acquisition program.--The term `major
acquisition program' means a Department acquisition program
that is estimated by the Secretary to require an eventual total
expenditure of at least $300,000,000 (based on fiscal year 2017
constant dollars) over its life cycle cost.''.
(b) Clerical Amendment.--The table of contents in section 1(b) of
the Homeland Security Act of 2002 is amended by inserting after the
item relating to section 835 the following new item:
``Sec. 836. Congressional notification and other requirements for major
acquisition program breach.''.
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