Subtitle C-Pilot Programs SEC. 5061. [41 U.S.C. 413 note] OFPP TEST PROGRAM FOR EXECUTIVE AGENCIES. (a) IN GENERAL.-The Administrator for Federal Procurement Policy (in this section referred to as the "Administrator") may conduct a program of tests of alternative and innovative procurement procedures. To the extent consistent with this section, such program shall be conducted consistent with section 15 of the Office of Federal Procurement Policy Act (41 U.S.C. 413). No more than 6 such tests shall be conducted under the authority of this subsection, and not more than 1 such test shall be conducted under such authority in an agency. (b) DESIGNATION OF AGENCIES.-Each test conducted pursuant to subsection (a) shall be carried out in not more than 2 specific procuring activities in an agency designated by the Administrator. Each agency so designated shall select the procuring activities participating in the test with the approval of the Administrator and shall designate a procurement testing official who shall be responsible for the conduct and evaluation of tests within that agency. (c) TEST REQUIREMENTS AND LIMITATIONS.-(1) Each test conducted under subsection (a) (A) shall be developed and structured by the Administrator or by the agency senior procurement executive designated pursuant to section 16(3) of the Office of Federal Procurement Policy Act (41 U.S.C. 414(3)) in close coordination with the Administrator; and (B) shall be limited to specific programs of agencies or specific acquisitions. (2) The total estimated life-cycle cost to the Federal Government for each test conducted under subsection (a) may not exceed $100,000,000. (3)(A) Except as provided in subparagraph (B), each contract awarded in conducting the tests under subsection (a) (including the cost of options if all options were to be exercised) may not exceed $5,000,000. (B) For one of the tests conducted under subsection (a), the amount of each contract awarded in conducting the test (including options) may exceed $5,000,000. (4) The program of tests conducted under subsection (a) shall include, either as a test or as part of a test, the use of the Federal acquisition computer network ("FACNET") capability required by section 30 of the Office of Federal Procurement Policy Act (as added by section 9001) for procurement actions in amounts greater than the simplified acquisition threshold. (d) LIMITATION ON TOTAL VALUE OF CONTRACTS UNDER PROGRAM.—(1) The Administrator shall ensure that the total amount obligated under contracts awarded pursuant to the program under this section does not exceed $600,000,000. In calculating such amount, the Administrator shall not include any contract awarded for the test conducted by the National Aeronautics and Space Administration pursuant to section 5062 of this Act. (2) The Administrator shall monitor the value of contracts awarded pursuant to the program under this section. (3) No contract may be awarded under the program under this section if the award of the contract would result in obligation of more than $600,000,000 under contracts awarded pursuant to the program under this section. (e) PROCEDURES AUTHORIZED.-Tests conducted under this section may include any of the following procedures: (1) Publication of agency needs before drafting of a solicitation. (2) Issuance of draft solicitations for comment. (3) Streamlined solicitations that specify as the evaluation factors the minimum factors necessary, require sources to submit the minimum information necessary, provide abbreviated periods for submission of offers, and specify page limitations for offers. (4) Limitation of source selection factors to (A) cost to the Federal Government; (B) past experience and performance; and (5) Evaluation of proposals by small teams of highly qualified people over a period not greater than 30 days. (6) Restriction of competitions to sources determined capable in a precompetition screening process, provided that the screening process affords all interested sources a fair opportunity to be considered. (7) Restriction of competitions to sources of preevaluated products, provided that the preevaluation process affords all interested sources a fair opportunity to be considered. (8) Alternative notice and publication requirements. (A) the competitive process is initiated by publication in the Commerce Business Daily, or by dissemination through FACNET, of a notice that (i) contains a synopsis of the functional and performance needs of the executive agency conducting the test, and, for purposes of guidance only, other specifications; and (ii) invites any interested source to submit information or samples showing the suitability of its product for meeting those needs, together with a price quotation, or, if appropriate, showing the source's technical capability, past performance, product supportability, or other qualifications (including, as appropriate, information regarding rates and other cost-related factors); (B) contracting officials develop a request for proposals (including appropriate specifications and evaluation criteria) after reviewing the submissions of interested sources and, if the officials determine necessary, after consultation with those sources; and (C) a contract is awarded after a streamlined competition that is limited to all sources that timely provided product information in response to the notice or, if appro priate, to those sources determined most capable based on the qualification-based factors included in an invitation to submit information pursuant to subparagraph (A). (f) MEASURABLE TEST CRITERIA.-The Administrator shall require each agency conducting a test pursuant to subsection (a) to establish, to the maximum extent practicable, measurable criteria for evaluation of the effects of the procedure or technique to be tested. (g) TEST PLAN.-At least 270 days before a test may be conducted under this section, the Administrator shall (1) provide a detailed test plan, including lists of any regulations that are to be waived, and any written determination under subsection (h)(1)(B) to the Committee on Government Operations of the House of Representatives and the Committee on Governmental Affairs of the Senate; (2) provide a copy of the plan to the appropriate authorization and appropriations committees of the House of Representatives and the Senate; and (3) publish the plan in the Federal Register and provide an opportunity for public comment. (h) WAIVER OF PROCUREMENT REGULATIONS.-(1) For purposes of a test conducted under subsection (a), the Administrator may waive (A) any provision of the Federal Acquisition Regulation that is not required by statute; and (B) any provision of the Federal Acquisition Regulation that is required by a provision of law described in paragraph (2), the waiver of which the Administrator determines in writing to be necessary to conduct any test of any of the procedures described in subsection (e). (2) The provisions of law referred to in paragraph (1) are as follows: (A) The following provisions of title 10, United States Code: (i) Section 2304. (iii) Section 2319. (B) Subsections (e), (f), and (g) of section 8 of the Small Business Act (15 U.S.C. 637). (C) The following provisions of the Revised Statutes: (i) Section 3709 (41 U.S.C. 5). (ii) Section 3710 (41 U.S.C. 8). (D) The following provisions of the Federal Property and Administrative Services Act of 1949: (i) Section 303 (41 U.S.C. 253). (iv) Section 303C (41 U.S.C. 253c). (v) Section 310 (41 U.S.C. 260). (E) The following provisions of the Office of Federal Pro curement Policy Act: (i) Section 4(6) (41 U.S.C. 403(6)). (3) If the Administrator determines that the conduct of a test requires the waiver of a law not listed in paragraph (2) or requires approval of an estimated dollar amount not permitted under subsection (c)(4), the Administrator may propose legislation to authorize the waiver or grant the approval. Before proposing such legislation, the Administrator may provide and publish a test plan as described in subsection (g). (i) REPORT.-Not later than 6 months after completion of a test conducted under subsection (a), the Comptroller General shall submit to Congress a report for the test setting forth in detail the results of the test, including such recommendations as the Comptroller General considers appropriate. (j) COMMENCEMENT AND EXPIRATION OF AUTHORITY. (1) The Administrator may not exercise the authority to conduct a test under subsection (a) in an agency and to award contracts under such a test before the date on which the head of the agency certifies to Congress under section 30A(a)(2) of the Office of Federal Procurement Policy Act that the agency has implemented a full FACNET capability. (2) The authority to conduct a test under subsection (a) in an agency and to award contracts under such a test shall expire 4 years after the date on which the head of the agency makes the certification referred to in paragraph (1). Contracts entered into before such authority expires in an agency pursuant to a test shall remain in effect, notwithstanding the expiration of the authority to conduct the test under this section. (k) RULE OF CONSTRUCTION.-Nothing in this section shall be construed as authorizing the appropriation or obligation of funds for the tests conducted pursuant to subsection (a). SEC. 5062. [42 U.S.C. 2473 note] NASA MID-RANGE PROCUREMENT TEST PROGRAM. (a) IN GENERAL.-The Administrator of the National Aeronautics and Space Administration (in this section referred to as the "Administrator") may conduct a test of alternative notice and publication requirements for procurements conducted by the National Aeronautics and Space Administration. To the extent consistent with this section, such program shall be conducted consistent with section 15 of the Office of Federal Procurement Policy Act (41 U.S.C. 413). 4 (b) APPLICABILITY.-The test conducted under subsection (a) shall apply to acquisitions with an estimated annual total obligation of funds of $500,000 or less. (c) LIMITATION ON TOTAL COST.-The total estimated life-cycle cost to the Federal Government for the test conducted under subsection (a) may not exceed $100,000,000. (d) WAIVER OF PROCUREMENT REGULATIONS.—(1) In conducting the test under this section, the Administrator, with the approval of the Administrator for Federal Procurement Policy, may waive (A) any provision of the Federal Acquisition Regulation that is not required by statute; and (B) any provision of the Federal Acquisition Regulation that is required by a provision of law described in paragraph Section 15 of the Office of Federal Procurement Policy Act is set forth on page 552. (2), the waiver of which the Administrator determines in writing to be necessary to conduct the test. (2) The provisions of law referred to in paragraph (1) are as follows: (A) Subsections (e), (f), and (g) of section 8 of the Small Business Act (15 U.S.C. 637). (B) Section 18 of the Office of Federal Procurement Policy Act (41 U.S.C. 416). (e) REPORT.-Not later than 6 months after completion of the test conducted under subsection (a), the Comptroller General shall submit to Congress a report for the test setting forth in detail the results of the test, including such recommendations as the Comptroller General considers appropriate. (f) EXPIRATION OF AUTHORITY.-The authority to conduct the test under subsection (a) and to award contracts under such test shall expire 4 years after the date of the enactment of this Act. Contracts entered into before such authority expires shall remain in effect, notwithstanding the expiration of the authority to conduct the test under this section. (g) RULE OF CONSTRUCTION.-Nothing in this section shall be construed as authorizing the appropriation or obligation of funds for the test conducted pursuant to subsection (a). SEC. 5063. [49 U.S.C. 40110 note] FEDERAL AVIATION ADMINISTRATION ACQUISITION PILOT PROGRAM. (a) AUTHORITY.-The Secretary of Transportation may conduct a test of alternative and innovative procurement procedures in carrying out acquisitions for one of the modernization programs under the Airway Capital Investment Plan prepared pursuant to section 44501(b) of title 49, United States Code. In conducting such test, the Secretary shall consult with the Administrator for Federal Procurement Policy. (b) PILOT PROGRAM IMPLEMENTATION.-(1) The Secretary of Transportation should prescribe policies and procedures for the interaction of the program manager and the end user executive responsible for the requirement for the equipment acquired. Such policies and procedures should include provisions for enabling the end user executive to participate in acceptance testing. (2) Not later than 45 days after the date of enactment of this Act, the Secretary of Transportation shall identify for the pilot program quantitative measures and goals for reducing acquisition management costs. (3) The Secretary of Transportation shall establish for the pilot program a review process that provides senior acquisition officials with reports on the minimum necessary data items required to ensure the appropriate expenditure of funds appropriated for the program and that (A) contain essential information on program results at appropriate intervals, including the criteria to be used in measuring the success of the program; and (B) reduce data requirements from the current program review reporting requirements. (c) SPECIAL AUTHORITIES.-The authority provided by subsection (a) shall include authority for the Secretary of Transportation |