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<dc:title>119 S1591 IS: Acquisition Reform and Cost Assessment Act of 2025</dc:title>
<dc:publisher>U.S. Senate</dc:publisher>
<dc:date>2025-05-05</dc:date>
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<dc:language>EN</dc:language>
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<distribution-code display="yes">II</distribution-code><congress>119th CONGRESS</congress><session>1st Session</session><legis-num>S. 1591</legis-num><current-chamber>IN THE SENATE OF THE UNITED STATES</current-chamber><action><action-date date="20250505">May 5, 2025</action-date><action-desc><sponsor name-id="S347">Mr. Moran</sponsor> introduced the following bill; which was read twice and referred to the <committee-name committee-id="SSVA00">Committee on Veterans' Affairs</committee-name></action-desc></action><legis-type>A BILL</legis-type><official-title>To amend title 38, United States Code, to reorganize the acquisition structure of the Department of Veterans Affairs and to establish the Director of Cost Assessment and Program Evaluation in the Department, and for other purposes. </official-title></form><legis-body style="OLC" display-enacting-clause="yes-display-enacting-clause" id="H3E6039D7E39A4807BEE46CBB02454B51"><section section-type="section-one" id="id49642711ffd945aab43a04de8c91abc1"><enum>1.</enum><header>Short title; table of contents</header><subsection commented="no" display-inline="no-display-inline" id="idfb3157520cc04052a33b00dc95673965"><enum>(a)</enum><header>Short title</header><text display-inline="yes-display-inline">This Act may be cited as the <quote><short-title>Acquisition Reform and Cost Assessment Act of 2025</short-title></quote> or the <quote><short-title>ARCA Act of 2025</short-title></quote>.</text></subsection><subsection commented="no" display-inline="no-display-inline" id="ide3dcee7da40f443fb3721553b69e4258"><enum>(b)</enum><header>Table of contents</header><text display-inline="yes-display-inline">The table of contents for this Act is as follows:</text><toc><toc-entry level="section" idref="id49642711ffd945aab43a04de8c91abc1">Sec. 1. Short title; table of contents.</toc-entry><toc-entry level="section" idref="H5702063B3B58403397F7EC99EEFE7BCF">Sec. 2. Department of Veterans Affairs acquisition organization.</toc-entry><toc-entry level="section" idref="id4af8173746354a1fb842cca0b96bea14">Sec. 3. Department of Veterans Affairs major acquisition program managers.</toc-entry><toc-entry level="section" idref="id2bc4092fec08472a9a007fb7cb83cbc7">Sec. 4. Department of Veterans Affairs acquisition and procurement reorganization matters.</toc-entry><toc-entry level="section" idref="idb24f225c529b4d3297e2267c7b57373b">Sec. 5. Independent verification and validation of major acquisition programs of Department of Veterans Affairs.</toc-entry><toc-entry level="section" idref="idd7c11b1beae64cb7b2bfc8241eaf3df0">Sec. 6. Department of Veterans Affairs cost assessment and program evaluation.</toc-entry><toc-entry level="section" idref="id2defbde42de24221a1496375fbf97342">Sec. 7. Department of Veterans Affairs other transaction authority and advance market commitments for technologies or services for provision of health care.</toc-entry><toc-entry level="section" idref="idb80b7b46a5354c21ad32fc417ad8f3d0">Sec. 8. Development and expansion of an 1102 internship or development pipeline.</toc-entry><toc-entry level="section" idref="H5179D310C52B481CB1A32EF28A56AB57">Sec. 9. Clerical amendment.</toc-entry></toc></subsection></section><section id="H5702063B3B58403397F7EC99EEFE7BCF"><enum>2.</enum><header>Department of Veterans Affairs acquisition organization</header><subsection id="H0F19D6AA159C4D5DA601F20AE439B0F9"><enum>(a)</enum><header>Definitions</header><text display-inline="yes-display-inline"><external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/38/81">Chapter 81</external-xref> of title 38, United States Code, is amended by inserting after subchapter VI the following new subchapter:</text><quoted-block style="USC" display-inline="no-display-inline" id="H7CD2020EB10C459D96D2C8AB70B3EE14"><subchapter id="H7009D6EF4584483A846D61477C12128C"><enum>VII</enum><header>Acquisition organization, cost assessment, and program evaluation</header><section id="H50B12F453D7545268200E286DEC98F3C"><enum>8181.</enum><header>Definitions</header><text display-inline="no-display-inline">In this subchapter:</text><paragraph id="H571C2FFB058441BC9710A044421BBA95"><enum>(1)</enum><text>The term <term>major acquisition program</term> means a program of the Department to acquire property, systems or technology, assets, supplies, services, or a combination thereof, with an estimated total program life-cycle cost of $250,000,000 or more, as determined by the Secretary.</text></paragraph><paragraph id="H62C17D37E73249399F6315DE25C46D8F"><enum>(2)</enum><text display-inline="yes-display-inline">The term <term>non-major acquisition program</term> means a program of the Department to acquire property, systems or technology, assets, supplies, services, or a combination thereof, with an estimated total program life-cycle cost of less than $250,000,000, as determined by the Secretary.</text></paragraph></section></subchapter><after-quoted-block>.</after-quoted-block></quoted-block></subsection><subsection commented="no" display-inline="no-display-inline" id="id3d09557431f84fed95f6b5c8393000d2"><enum>(b)</enum><header>Assistant Secretary for Acquisition and Innovation</header><text>Section 308 of such title is amended—</text><paragraph commented="no" display-inline="no-display-inline" id="id49e2e5f0098e4bca83ba998553bbfbf8"><enum>(1)</enum><text display-inline="yes-display-inline">in subsection (a)(1), by striking <quote>seven</quote> and inserting <quote>eight</quote>; and</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="idc34750a2f91b428ea96f7f235e8621f5"><enum>(2)</enum><text>in subsection (b), by adding at the end the following new paragraph:</text><quoted-block style="OLC" display-inline="no-display-inline" id="id2392c31e07c54d48a16b76157c93fc1b"><paragraph commented="no" display-inline="no-display-inline" id="idb5c67c9c25ba446393eade2d924733b1"><enum>(13)</enum><text>Acquisition and innovation.</text></paragraph><after-quoted-block>.</after-quoted-block></quoted-block></paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="id6991d135e2b040a6931564d7ae1c2de1"><enum>(c)</enum><header display-inline="yes-display-inline">Acquisition organization</header><text>Subchapter VI of chapter 81 of such title, as added by subsection (a), is amended by adding at the end the following new section:</text><quoted-block style="USC" display-inline="no-display-inline" id="id407B250EE0C942FBBF646FBFBB201060"><section id="idf614fa80f1fb470ba95f4635b4ba0bb2"><enum>8182.</enum><header>Acquisition organization</header><subsection commented="no" display-inline="no-display-inline" id="id531871be1e3142b1a2cde726370cd1c2"><enum>(a)</enum><header>Assistant Secretary for Acquisition and Innovation; Chief Acquisition Officer</header><paragraph commented="no" display-inline="yes-display-inline" id="id75887a786afb486ba030eb575e0a0de3"><enum>(1)</enum><text>The Secretary shall designate one of the Assistant Secretaries specified in subsection (a)(1) of section 308 of this title as the Assistant Secretary of Veterans Affairs for Acquisition and Innovation, who shall focus solely on the administration of functions specified in subsection (b)(13) of such section.</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="idddfd8d1e1241460f9896263d4bd20310" indent="up1"><enum>(2)</enum><text display-inline="yes-display-inline">Pursuant to section 1702(a) of title 41, the Secretary shall designate the Assistant Secretary of Veterans Affairs for Acquisition and Innovations as the Chief Acquisition Officer of the Department.</text></paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="idcb7b7154df2945619e7ac55b04e4a2ed"><enum>(b)</enum><header>Office of Acquisition and Innovation</header><paragraph commented="no" display-inline="yes-display-inline" id="id49d364e3c9d240a1b0d3a2febb345902"><enum>(1)</enum><text display-inline="yes-display-inline">There is in the Department an Office of Acquisition and Innovation.</text></paragraph><paragraph indent="up1" commented="no" display-inline="no-display-inline" id="id32c52d87611e48218dde9621e81690f6"><enum>(2)</enum><text>The head of the Office of Acquisition and Innovation shall be the Assistant Secretary of Veterans Affairs for Acquisition and Innovation designated pursuant to subsection (a).</text></paragraph><paragraph id="id9804C0225C4340328248437EA83D58A3" indent="up1"><enum>(3)</enum><text>The Secretary shall take such actions as may be necessary to ensure that major program offices of the Department align under the Office of Acquisition and Innovation and report directly to the Assistant Secretary of Veterans Affairs for Acquisition and Innovation.</text></paragraph><paragraph id="id5ea1db24aec44376922efcba4872f209" indent="up1"><enum>(4)</enum><text>The budget of the Office of Acquisition and Innovation shall be established in the budget justification materials submitted to Congress in support of the budget of the Department (as submitted with the budget of the President under section 1105(a) of title 31). </text></paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="idf87e3c372738469d88e68ed1e4fb34a9"><enum>(c)</enum><header>Deputy Assistant Secretary for Logistics</header><paragraph commented="no" display-inline="yes-display-inline" id="id11f776c847ee44fc9da8955b5215eae4"><enum>(1)</enum><text>Pursuant to section 308(d) of this title, the Secretary shall appoint a Deputy Assistant Secretary of Veterans Affairs for Logistics, who shall report to the Assistant Secretary for Acquisition and Innovation.</text></paragraph><paragraph indent="up1" commented="no" display-inline="no-display-inline" id="id44a394a6d98141049bfb0dd57da411e6"><enum>(2)</enum><text>The Deputy Assistant Secretary of Veterans Affairs for Logistics shall be responsible for administration of logistics and supply chain operations of the Department.</text></paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="ide5e0c193215746bbbbdf33937e9803ea"><enum>(d)</enum><header display-inline="yes-display-inline">Deputy Assistant Secretary for Innovation</header><paragraph commented="no" display-inline="yes-display-inline" id="id7cf7ac9df75d403d9fee7f254383fd1d"><enum>(1)</enum><text>Pursuant to section 308(d) of this title, the Secretary shall appoint a Deputy Assistant Secretary of Veterans Affairs for Innovation, who shall report to the Assistant Secretary for Acquisition and Innovation.</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id7a4542957f1a4ecaa8c66492e8e8efc2" indent="up1"><enum>(2)</enum><text display-inline="yes-display-inline">The Deputy Assistant Secretary of Veterans Affairs for Innovation shall be responsible for all research, development, testing, and innovation development organizations of the Department, including the Veterans Health Administration Innovation Ecosystem.</text></paragraph></subsection><subsection id="id60dcf3bca9e24087b2cc2fc724cd9f02"><enum>(e)</enum><header>Deputy Assistant Secretary for Procurement</header><paragraph commented="no" display-inline="yes-display-inline" id="idccb0a5f8e0924e539845a8b085ddd42c"><enum>(1)</enum><text>Pursuant to section 308(d) of this title, the Secretary shall appoint a Deputy Assistant Secretary of Veterans Affairs for Procurement, who shall report to the Assistant Secretary for Acquisition and Innovation.</text></paragraph><paragraph id="ida41a75deddc247b6ad7b21f56cacbbd5" indent="up1"><enum>(2)</enum><text>The Deputy Assistant Secretary of Veterans Affairs for Procurement shall be responsible for all procurement and contracting organizations of the Department. </text></paragraph></subsection></section><after-quoted-block>.</after-quoted-block></quoted-block></subsection></section><section commented="no" display-inline="no-display-inline" id="id4af8173746354a1fb842cca0b96bea14"><enum>3.</enum><header>Department of Veterans Affairs major acquisition program managers</header><text display-inline="no-display-inline">Subchapter VI of <external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/38/81">chapter 81</external-xref> of title 38, United States Code, as added by section 2, is amended by adding at the end the following new section:</text><quoted-block style="USC" display-inline="no-display-inline" id="idB3090D9C4D134611978C65F9D6CF5FC0"><section id="HC9A4A9E64552488FA8FF7FB655F0AF36"><enum>8183.</enum><header>Major acquisition program managers</header><subsection id="H8B467187E4E74E11838D39A8FE589EF3"><enum>(a)</enum><header>Appointments</header><text display-inline="yes-display-inline">Not later than 30 days after any date on which the Secretary approves a major acquisition program to commence, the Deputy Secretary shall appoint a manager to be responsible for administering such program.</text></subsection><subsection id="H68DBAC3D7ABC4514880DA372F7A7CCFF"><enum>(b)</enum><header>Duties</header><text>Each manager appointed pursuant to subsection (a) shall report to the Assistant Secretary for Acquisition and Innovation and shall be responsible for, with respect to the applicable major acquisition program—</text><paragraph id="H08EDB4E7CB574004A3E3AA37C4C7776A"><enum>(1)</enum><text>developing, in coordination with the Assistant Secretary, and functional teams responsible for the program requirements, a plan to administer such program, to be known as the <quote>program baseline</quote>, that includes—</text><subparagraph display-inline="no-display-inline" id="H0843A50A451744CF9C6FF2CFC4C84A38"><enum>(A)</enum><text>a description of each acquisition phase of such program; </text></subparagraph><subparagraph id="HE288695AA68A4F1A9E7427F81C02F077"><enum>(B)</enum><text>for each such acquisition phase, requirements for advancing such program to a subsequent acquisition phase; and</text></subparagraph><subparagraph id="HCBC8763B0E5842F892897B653061133D"><enum>(C)</enum><text>estimates of the cost, schedule, and performance of such program that account for the entire life cycle of such program;</text></subparagraph></paragraph><paragraph id="HCC61292355FD4285BF6248D317A58990"><enum>(2)</enum><text>ensuring such program is in compliance with such requirements;</text></paragraph><paragraph id="HC633B28DCDC54E9180FD461FD8BD1C03"><enum>(3)</enum><text display-inline="yes-display-inline">securing funding necessary to satisfy such requirements; </text></paragraph><paragraph id="H21616CDBFBD4439B81157925DF657DE1"><enum>(4)</enum><text>adopting standardized processes with established success to support the progress of such program, including—</text><subparagraph id="H8650D2D9304E44738BCE7F7DBC999E87"><enum>(A)</enum><text>milestones;</text></subparagraph><subparagraph id="H22A1A81A412F49E29A80F33B0F69ECBF"><enum>(B)</enum><text>exit criteria; and</text></subparagraph><subparagraph id="HF4B3EB3CA6B44A05A7A3A0416D142242"><enum>(C)</enum><text>specific accomplishments;</text></subparagraph></paragraph><paragraph id="H34846F19A6B741CA9DD3BD5B84FAF42E"><enum>(5)</enum><text>to the extent practicable, ensuring that personnel of the Department responsible for estimating the budget and cost of such program are provided with an opportunity to raise concerns relating to such budget and cost prior to the establishment of the program baseline under paragraph (1);</text></paragraph><paragraph id="H89716F8A51A64FD99359A793C46C2CAA"><enum>(6)</enum><text display-inline="yes-display-inline">on a continuous basis, assessing and managing risks to satisfying the requirements of such program baseline relating to cost and schedule;</text></paragraph><paragraph id="id577b58b93c2f46e8bfb0adb0e40d64f5"><enum>(7)</enum><text>ensure such program complies with cost accounting standards, as applicable; </text></paragraph><paragraph id="H8B592B14BC36497E8C5584403F7FD33F"><enum>(8)</enum><text>establishing a workforce for such program that is qualified and sufficient to perform the necessary functions of such program; and</text></paragraph><paragraph id="H8292EFAC4C114F6192DB9494D8D00A7A"><enum>(9)</enum><text display-inline="yes-display-inline">ensuring such program has adequate technology and production capacity prior to commencing an acquisition phase of such program related to manufacturing, if applicable. </text></paragraph></subsection><subsection commented="no" id="H8B4EE667F371407DB5D2971A492AC899"><enum>(c)</enum><header>Consideration of alternate requirements</header><text display-inline="yes-display-inline">Not later than 90 days after any date on which a manager appointed pursuant to subsection (a) establishes a program baseline described in subsection (b)(1), such manager shall submit to the program decision authority under subsection (d) a certification that such manager considered establishing alternate requirements in such program baseline relating to the cost, schedule, and performance of each acquisition phase of such program prior to establishing such program baseline.</text></subsection><subsection id="id894ef38649de4c58a34f44647877e842"><enum>(d)</enum><header>Program decision authority</header><text>The Secretary shall ensure that—</text><paragraph id="id0b2032b0c3ce4c95afcaf0d07c93e029"><enum>(1)</enum><text>program decision authority for oversight of a major acquisition program of the Department is the Assistant Secretary for Acquisition and Innovation; and</text></paragraph><paragraph id="ide381f42ab8d64bf88076655273e36e68"><enum>(2)</enum><text>program management offices for major acquisition programs are independent of the Veterans Benefits Administration, the Veterans Health Administration, the National Cemetery Administration and Department staff offices by reporting directly to the Assistant Secretary for Acquisition and Innovation. </text></paragraph></subsection><subsection id="id94f3cdc58b054fc89c2b03ea141fdece"><enum>(e)</enum><header>Program decision authority authorization required</header><paragraph commented="no" display-inline="yes-display-inline" id="idd21b9ed13b3a4d4eb986f62ac6e70c86"><enum>(1)</enum><text>Not later than 30 days after any date on which a major acquisition program concludes an acquisition phase, the manager of such program appointed pursuant to subsection (a) shall notify the program decision authority under subsection (d). </text></paragraph><paragraph commented="no" id="HF4C8A64E0D2C4152ABD98B724C2A0F59" indent="up1"><enum>(2)</enum><text>Such manager may not advance such program to a subsequent acquisition phase without the authorization of such program decision authority under subsection (d).</text></paragraph></subsection></section><after-quoted-block>.</after-quoted-block></quoted-block></section><section commented="no" display-inline="no-display-inline" id="id2bc4092fec08472a9a007fb7cb83cbc7"><enum>4.</enum><header>Department of Veterans Affairs acquisition and procurement reorganization matters</header><subsection id="idebf3d077160b446e88214494addc7eaf"><enum>(a)</enum><header>Contracting officers</header><text>The Secretary of Veterans Affairs shall transfer all contracting officers and acquisition centers in the Department of Veterans Affairs to the Office of Acquisition and Innovation established by section 8182(b) of title 38, United States Code, as added by section 2(c). </text></subsection><subsection id="id26a51d9612db4b22b2d46fb9fac8bb0d" commented="no" display-inline="no-display-inline"><enum>(b)</enum><header>Consolidation of logistics and supply chain operations</header><text>The Secretary shall take such actions as may be necessary to consolidate all activities relating to the administration of logistics and supply chain operations of the Department under the Deputy Assistant Secretary of Veterans Affairs for Logistics appointed pursuant to section 8182(e) of such title, as added by section 2(c). </text></subsection></section><section id="idb24f225c529b4d3297e2267c7b57373b"><enum>5.</enum><header>Independent verification and validation of major acquisition programs of Department of Veterans Affairs</header><subsection id="id62f32f7ddc3e42c5b85d195ecf5af641"><enum>(a)</enum><header>Contracting authority</header><text>Not later than 120 days after the date of the enactment of this Act, the Secretary of Veterans Affairs shall—</text><paragraph commented="no" display-inline="no-display-inline" id="id564ade362e1e4b25bc8d7ff0b21ee634"><enum>(1)</enum><text display-inline="yes-display-inline">review and take action to ensure that all independent verification and validation, as well as testing contracts in effect in the Department, comply with the provisions of this Act and the amendments made by this Act; and</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id5deb3852f6dd48d096a89b2f7e342f76"><enum>(2)</enum><text display-inline="yes-display-inline">seek to enter into one or more contracts using competitive procedures with one or more entities to carry out the functions described in subsection (c).</text></paragraph></subsection><subsection id="id884351b23cb2498b917ab3b4032d6020"><enum>(b)</enum><header>Eligibility</header><paragraph commented="no" display-inline="no-display-inline" id="idd37fe663edcb48ffa879008a05d6a4b3"><enum>(1)</enum><header>In general</header><text>An entity is not eligible to be awarded a contract under this section unless the Chief Acquisition Officer of the Department of Veterans Affairs determines, at the time of evaluation of offers submitted under subsection (a), that the entity is currently performing or has performed, during the preceding three-year period, not fewer than three prime contracts for—</text><subparagraph id="id6d353b34545f496087630cb638aad001"><enum>(A)</enum><text>the independent verification and validation or systems engineering and technical advisory (SETA) support of major acquisition programs or defense systems, in accordance with guidance of the Department of Defense relating to such acquisition programs or such business systems; or</text></subparagraph><subparagraph id="idb4168950f19947658e2301308eb8a37d"><enum>(B)</enum><text>the independent verification and validation or systems engineering and technical advisory (SETA) support of the development or acquisition of major acquisition programs or defense systems, in accordance with guidance of the Department of Defense relating to such acquisition programs or such business systems.</text></subparagraph></paragraph><paragraph id="idd0dce69759094a6fb5326008e931cc31"><enum>(2)</enum><header>Limitation</header><text>The Secretary shall ensure that an entity, including its subsidiaries, joint ventures, subcontractors, teaming partners, investments, and corporate officers, awarded a contract under this section does not perform the functions specified in subsection (c) with respect to a project or system of the Department or organizational subdivision of the Department if such entity is performing or has performed, during the three-year period preceding the date of such award, a covered contract—</text><subparagraph id="id74a8acde5f0c4e7b9b69934501b5fb73"><enum>(A)</enum><text>for such project or system; or</text></subparagraph><subparagraph id="idde3c985b726e42fd80ac2caecee1313a"><enum>(B)</enum><text>for the Department or such organizational subdivision of the Department.</text></subparagraph></paragraph><paragraph id="id783f4f2711ca41afb2f67c87d1e44257"><enum>(3)</enum><header>Consideration regarding future procurements</header><text>A contracting officer of the Department shall consider the requirements of this subsection when implementing the organizational conflict of interest mitigation procedures under subpart of title 48, Code of Federal Regulations, or successor regulations, with respect to future procurements in which an entity awarded under subsection (a) is an offeror.</text></paragraph></subsection><subsection id="idc280cae914464a089d39606f8cca4c95"><enum>(c)</enum><header>Functions</header><text>The functions specified in this subsection are the following:</text><paragraph id="id998f6a37f01c4653a4ab1ff26dc8c595"><enum>(1)</enum><text>The independent verification and validation of each major acquisition program or major information technology project—</text><subparagraph id="id2c67be2aab86448a9f78a28f05a00105"><enum>(A)</enum><text>when such major program is initiated, with respect to its design and the development of its requirements and acquisition;</text></subparagraph><subparagraph id="idb505b307444d4b428928c65594b2cbce"><enum>(B)</enum><text>at the conclusion of such project; and</text></subparagraph><subparagraph id="idade9706c7c8f47e8bd0b656c4ab21cf1"><enum>(C)</enum><text>at any other intervals during such project selected by the Chief Acquisition Officer of the Department.</text></subparagraph></paragraph><paragraph id="id0814355d3bb848f0a2d0b50ad938deef"><enum>(2)</enum><text>The independent verification and validation of other projects of the Department selected by the Chief Acquisition Officer of the Department, at intervals selected by the Chief Acquisition Officer.</text></paragraph><paragraph id="id8a857015ac184ddbb70ee5582caae5c2"><enum>(3)</enum><text>With respect to any project or system of the Department selected by the Chief Acquisition Officer of the Department the evaluation of—</text><subparagraph id="id9bd0cbdf667a423db05ac0200fcae311"><enum>(A)</enum><text>testing conducted by the Department or other testing entity;</text></subparagraph><subparagraph id="id77b9088900b84416a6fc69aac28f9a47"><enum>(B)</enum><text>technical architecture or design, including data management;</text></subparagraph><subparagraph id="id76770a4b4a88423d8c97fde84e4e50a1"><enum>(C)</enum><text>development processes;</text></subparagraph><subparagraph id="idd5d3e63bf0494e258a2ee884ca3770da"><enum>(D)</enum><text>stability and resiliency;</text></subparagraph><subparagraph id="id44a45da86faf4f4dbfff595542764ac1"><enum>(E)</enum><text>integration or interoperability with other systems, including an assessment of data quality;</text></subparagraph><subparagraph id="id0d723d0c83f54182b48729473f5d2e10"><enum>(F)</enum><text>adoption and use;</text></subparagraph><subparagraph id="id37c06eb902d8460189588b704011f675"><enum>(G)</enum><text>management, including governance, costs, and schedules; and</text></subparagraph><subparagraph id="id79063d5bafeb41c5919fb6ee602c1bc2"><enum>(H)</enum><text>any other elements or processes as determined by the Chief Acquisition Officer.</text></subparagraph></paragraph></subsection><subsection id="id208a84e4d995417594c2df6ea77a6dfb"><enum>(d)</enum><header>Transmittal to Congress</header><paragraph id="id73e7fd68ce684af192407e46d0b67100"><enum>(1)</enum><header>In general</header><text>Not later than 30 days after the date on which an independent verification and validation is performed pursuant to subsection (c)(1), the Secretary shall transmit to Congress a copy of such independent verification and validation.</text></paragraph><paragraph id="id12a9f5c8c8b04de7b789943f3cb17efd"><enum>(2)</enum><header>Verification and validation and evaluations</header><text>Not later than 30 days after the date on which the Committee on Veterans’ Affairs of the Senate or the Committee on Veterans' Affairs of the House of Representatives requests a copy of any independent verification and validation under paragraph (2) of subsection (c) or evaluation under paragraph (3) of such subsection, the Secretary shall transmit to such committee a copy of such verification and validation or evaluation.</text></paragraph><paragraph id="id33cef8038d694a4c96916e8d7f2ce023"><enum>(3)</enum><header>Organizational conflict of interest; mitigation plans</header><text>Not later than 30 days after the date on which the Committee on Veterans' Affairs of the Senate or the Committee on Veterans' Affairs of the House of Representatives requests a copy of any organizational conflict of interest mitigation plan submitted by an offeror pursuant to subsection (b)(3), the Secretary shall transmit to such committee a copy of such plan.</text></paragraph></subsection><subsection id="id1a041bcf44ce46bab2f7c7e5d6bf6528"><enum>(e)</enum><header>Funding</header><text>The Chief Financial Officer of the Department shall ensure, to the extent practicable, that each organizational subdivision of the Department that enters into a contract under subsection (a) proportionally contributes amounts to fund each such contract.</text></subsection><subsection id="idbd38a51d875b4092949b671db831b318"><enum>(f)</enum><header>Definitions</header><text>In this section:</text><paragraph commented="no" display-inline="no-display-inline" id="idb9b513b2264640e0bc945a02949a9713"><enum>(1)</enum><header>Covered contract</header><text display-inline="yes-display-inline">The term <term>covered contract</term> means a prime contract or subcontract for—</text><subparagraph id="idf3bbcbc9232e40a4b4bc5799b762bcc7"><enum>(A)</enum><text>information technology support or software or system design, development, sustainment, or maintenance services;</text></subparagraph><subparagraph id="idaedf5d31c4224c8eaf58e775251bfd5e"><enum>(B)</enum><text>professional or management consulting services; or</text></subparagraph><subparagraph id="id2f853926ad2e4c5fbeb303607476398d"><enum>(C)</enum><text>advisory and assistance services.</text></subparagraph></paragraph><paragraph id="id751358a4b0c64d438a8602c43b1dc0ce"><enum>(2)</enum><header>Independent verification validation</header><text>The term <term>independent verification and validation</term> means a comprehensive inspection, a review, analysis, and testing, or an assessment of systems, software, or hardware, as applicable, performed by an entity awarded a contract under subsection (a)—</text><subparagraph id="idb678701f819c41c2b7c1bb9ca4e1a2a2"><enum>(A)</enum><text>to verify that the requirements of a project or system, or a development phase of such a project, are correctly defined;</text></subparagraph><subparagraph id="id1d567655e4a940128dcb88fcf97a7b11"><enum>(B)</enum><text>to validate that the project or system, or a product of a development phase of such a project, correctly implements the required functionality and applicable security requirements; and</text></subparagraph><subparagraph id="id41ccf406eb6c4c32adecf81f65e590c1"><enum>(C)</enum><text>verify that a project or system, or a product of a development phase of such a project, satisfies and conforms to the requirements, standards, and practices of each life cycle phase and successfully completes each life cycle activity.</text></subparagraph></paragraph><paragraph id="id49bba723e8ba47d1874ab50356a3505d"><enum>(3)</enum><header>Major acquisition program</header><text>The term <term>major acquisition program</term> has the meaning given such term in section 8181 of title 38, United States Code, as added by section 2(a). </text></paragraph><paragraph id="id969098515e464f24b01ec95e59ed0223"><enum>(4)</enum><header>Major information technology project</header><text>The term <term>major information technology project</term> has the meaning given such term in section 8171 of title 38, United States Code.</text></paragraph><paragraph id="idf8ae222d4b184b439d18cba47016877d" commented="no" display-inline="no-display-inline"><enum>(5)</enum><header>Major system</header><text>The term <term>major system</term> has the meaning given such term in section 2.101 of title 48, Code of Federal Regulations (or a successor regulation).</text></paragraph></subsection></section><section commented="no" display-inline="no-display-inline" id="idd7c11b1beae64cb7b2bfc8241eaf3df0"><enum>6.</enum><header>Department of Veterans Affairs cost assessment and program evaluation</header><subsection commented="no" display-inline="no-display-inline" id="idf757d89319ac4cbc8b461fdd75318148"><enum>(a)</enum><header>In general</header><text display-inline="yes-display-inline">Subchapter VI of <external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/38/81">chapter 81</external-xref> of title 38, United States Code, as added by section 2 and amended by section 3, is further amended by adding at the end the following new section:</text><quoted-block style="USC" display-inline="no-display-inline" id="id891F58AF3DFF4E06ACD9613FC3B9F18C"><section id="idaea3f208383645d09b0488c9fa54dc77"><enum>8184.</enum><header>Cost assessment and program evaluation</header><subsection id="idcf268bafbbae4812ac22769812d33e45"><enum>(a)</enum><header>Director of cost assessment and program evaluation</header><text>There is established a Director of Cost Assessment and Program Evaluation, who shall report directly to the Secretary.</text></subsection><subsection id="id157c27dd7730451796616548292ffeeb"><enum>(b)</enum><paragraph commented="no" display-inline="yes-display-inline" id="id8f9485696c894f5691ddb93d9a6210b3"><enum>(1)</enum><header>Independent advice to Secretary of Veterans Affairs</header><text>The Director of Cost Assessment and Program Evaluation is the principal advisor to the Secretary and other senior officials of the Department, and shall provide independent analysis and advice to such officials, on the following matters:</text><subparagraph commented="no" display-inline="no-display-inline" indent="up1" id="id20ded88290f0456db80125606ff395c8"><enum>(A)</enum><text>Matters assigned to the Director pursuant to this section.</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" indent="up1" id="id1fedd0874bc54e6cb613dd085541092a"><enum>(B)</enum><text>Matters assigned to the Director by the Secretary pursuant to this section and to section 303 of this title.</text></subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" indent="up1" id="idd257b433125b4f3e9b0a962a7c1e1e49"><enum>(2)</enum><text>The Director may communicate views on matters within the responsibility of the Director directly to the Secretary and the Deputy Secretary of Veterans Affairs without obtaining the approval or concurrence of any other official within the Department.</text></paragraph></subsection><subsection id="id2ce23f5984214be3ad18dfa8bdb517c7"><enum>(c)</enum><header>Deputy directors</header><text>There are two Deputy Directors within the Office of the Director of Cost Assessment and Program Evaluation, as follows:</text><paragraph id="id04a1727840df421ca0eaaaadfca0de48"><enum>(1)</enum><text>The Deputy Director for Cost Assessment.</text></paragraph><paragraph id="id4387791b78004413849bcb73a75b109b"><enum>(2)</enum><text>The Deputy Director for Program Evaluation.</text></paragraph></subsection><subsection id="id15e656e22ddd4c42a2703b0cc9fa710a"><enum>(d)</enum><header>Responsibilities</header><text>The Director of Cost Assessment and Program Evaluation shall serve as the principal official within the senior management of the Department for the following:</text><paragraph id="id70776b09b3024a279c8cf43b79132b31"><enum>(1)</enum><text>Cost estimation and cost analysis for acquisition programs of the Department.</text></paragraph><paragraph id="id90075c8b2b104110bd2f8e99b925e13e"><enum>(2)</enum><text>Analysis and advice on matters relating to the planning and programming phases of the Planning, Programming, Budgeting, and Execution system, and the preparation of materials and guidance for such system, as directed by the Secretary, working in coordination with the Assistant Secretary for Management and the Chief Financial Officer of the Department.</text></paragraph><paragraph id="id7c551db5e30b46a5aa584ab494a931aa"><enum>(3)</enum><text>Analysis and advice for resource discussions relating to requirements under consideration in the Veterans Health Administration, the Veterans Benefits Administration, the National Cemetery Administration, and all staff offices.</text></paragraph><paragraph id="id6f5f6ee9687f47249e695342313d4b38"><enum>(4)</enum><text>Formulation of study guidance for analyses of alternatives for major acquisition programs and performance of such analyses, as directed by the Secretary.</text></paragraph><paragraph id="id06af3b3dfeed4a6b8fb89863adedd533"><enum>(5)</enum><text>Review, analysis, and evaluation of programs for executing approved strategies and policies, ensuring that information on programs is presented accurately and completely, and assessing the effect of spending by the Department on the United States economy.</text></paragraph><paragraph id="id3f317e18de1e48d5ac124b1dcad9b244"><enum>(6)</enum><text>Assessments of alternative plans, programs, and policies with respect to the acquisition programs of the Department.</text></paragraph><paragraph id="id9217a8e9759049199019884d117c5ddd"><enum>(7)</enum><text>Leading the development of improved analytical skills and competencies within the cost assessment and program evaluation workforce of the Department and improved tools, data, and methods to promote performance, economy, and efficiency in analyzing Department planning and the allocation of Department resources.</text></paragraph></subsection><subsection id="id0f9920534eab44b78793d8bdefdda44a"><enum>(e)</enum><header>Independent cost estimation and cost analysis</header><text>The Director of Cost Assessment and Program Evaluation shall ensure that the cost estimation and cost analysis processes of the Department provide accurate information and realistic estimates of cost for the acquisition programs of the Department. In carrying out that responsibility, the Director shall—</text><paragraph id="id51c932f5012749f29d47d77fa2afa5dc"><enum>(1)</enum><text>prescribe, by authority of the Secretary, policies and procedures for the conduct of cost estimation and cost analysis for the acquisition programs of the Department;</text></paragraph><paragraph id="id1b562293f4b445388fdb607e01976d5b"><enum>(2)</enum><text>provide guidance to and consult with the Secretary, the Chief Acquisition Officer, the Assistant Secretary for Management, the Chief Financial Officer of the Department, the Under Secretary for Health, the Under Secretary for Benefits, and the Under Secretary for Memorial Affairs with respect to cost estimation in the Department in general and with respect to specific cost estimates and cost analyses to be conducted in connection with a major acquisition program;</text></paragraph><paragraph id="idafc90fec4f7042e5949822492365270d"><enum>(3)</enum><text>issue guidance relating to the proper selection of confidence levels in cost estimates generally, and specifically, for the proper selection of confidence levels in cost estimates for major acquisition programs and major automated information system programs;</text></paragraph><paragraph id="idcd5c639ffafd41c5a0a3f6d24961cda5"><enum>(4)</enum><text>issue guidance relating to full consideration of life-cycle management and sustainability costs in major acquisition programs and major automated information system programs;</text></paragraph><paragraph id="idbdd157511c1c4653af1b2b402daa686c"><enum>(5)</enum><text>review all cost estimates and cost analyses conducted in connection with major acquisition programs and major automated information system programs;</text></paragraph><paragraph id="ida538beaab66649cd930cd5c745f78dd2"><enum>(6)</enum><text>conduct independent cost estimates and cost analyses for major acquisition programs and major automated information system programs for which the Chief Acquisition Officer is the Milestone Decision Authority—</text><subparagraph commented="no" display-inline="no-display-inline" id="idc946a885a18342aca67eee6f63013468"><enum>(A)</enum><text display-inline="yes-display-inline">in advance of—</text><clause commented="no" display-inline="no-display-inline" id="id1ccab35df97540a3b2eb67f97f9461bd"><enum>(i)</enum><text>any certification under this title; and</text></clause><clause id="id88918d8b80e24430bab37d8d16a0601d"><enum>(ii)</enum><text>any decision to enter into product or system low-rate initial production, initial pilot implementation, or full-rate production or implementation; and</text></clause></subparagraph><subparagraph id="id70d5868e83e44ed7b49b5655384e9d06"><enum>(B)</enum><text>at any other time considered appropriate by the Director or upon the request of the Chief Acquisition Officer; and</text></subparagraph></paragraph><paragraph id="idffe9291898144968940440a12023716f"><enum>(7)</enum><text>periodically assess and update the cost indexes used by the Department to ensure that such indexes have a sound basis and meet the Department’s needs for realistic cost estimation.</text></paragraph></subsection><subsection id="id7ac44dad4ea148f6a549713df9048900"><enum>(f)</enum><header>Review of cost estimates, cost analyses, and records of the Department</header><text>The Secretary shall ensure that the Director—</text><paragraph id="id618788e58ccc4108aba32401ade70cdd"><enum>(1)</enum><text>promptly receives the results of all cost estimates and cost analyses conducted by the Veterans Benefits Administration, the Veterans Health Administration, the National Cemetery Administration, or staff offices and all studies conducted by the Administration, in connection with such cost estimates and cost analyses for major acquisition programs and major automated information system programs of the Administrations; and</text></paragraph><paragraph id="id703792a69f2849dab2edd3f8792aa939"><enum>(2)</enum><text>has timely access to any records and data in the Department (including the records and data of each Administration that the Director considers necessary to review in order to carry out any duties under this section).</text></paragraph></subsection><subsection id="idf5c0317ea9ba4a56857afed1d69826b0"><enum>(g)</enum><header>Participation, concurrence, and approval in cost estimation</header><text>The Director may—</text><paragraph id="idf21887f85a314310b6e8b9d536bbfd4b"><enum>(1)</enum><text>participate in the discussion of any discrepancies between an independent cost estimate and the cost estimate assessments of the Veterans Benefits Administration, the Veterans Health Administration, the National Cemetery Administration, and staff offices for a major acquisition program or major automated information system program of the Department;</text></paragraph><paragraph id="id3eb07c310b944b39abec04d89e5fe6ad"><enum>(2)</enum><text>comment on deficiencies in the methodology or execution of any cost estimate or cost analysis developed by the Veterans Benefits Administration, the Veterans Health Administration, the National Cemetery Administration, or staff offices for a major acquisition program or major automated information system program;</text></paragraph><paragraph id="id2bef0ea2913844ef840fbd7c9e9eeeb8"><enum>(3)</enum><text>concur in the choice of a cost estimate within the baseline description or any other cost estimate (including the confidence level for any such cost estimate) for use at any event specified in subsection (e)(6); and</text></paragraph><paragraph id="idec4591e86a9b48da9a801fe76b1c2699"><enum>(4)</enum><text>participate in the consideration of any decision to request authorization of a multi-year procurement contract for a major acquisition program.</text></paragraph></subsection><subsection id="id7cd5ddce0fef44a380f7236c41d4b48f"><enum>(h)</enum><header>Annual report on cost assessment activities</header><paragraph commented="no" display-inline="yes-display-inline" id="id95ff360874b4497fab62b4fc3b6f9348"><enum>(1)</enum><text>Each year, not later than 10 days after the transmittal to Congress of the budget of the President for a fiscal year pursuant to section 1105 of title 31, the Director shall submit to the Secretary, the Chief Acquisition Officer of the Department, the Assistant Secretary for Management, the Chief Financial Officer of the Department, the Committee on Veterans' Affairs of the Senate and the Committee on Veterans' Affairs of the House of Representatives an annual report on the cost estimation and cost analysis activities of the Department carried out during the previous year.</text></paragraph><paragraph commented="no" display-inline="no-display-inline" indent="up1" id="id5f7674122b5841f984dd7a6428c32794"><enum>(2)</enum><text>Each report submitted pursuant to paragraph (1) shall include, for the period covered by the report, the following:</text><subparagraph commented="no" display-inline="no-display-inline" id="id08e766bc912c4660b1833532a1ac2a4f"><enum>(A)</enum><text>A summary of the cost estimation and cost analysis activities of the Department.</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id53890870d14a4cd1b3c80542d7cbd6f8"><enum>(B)</enum><text>Assessments of the following:</text><clause commented="no" display-inline="no-display-inline" id="id1c44452a825943d88121261d92f378f6"><enum>(i)</enum><text display-inline="yes-display-inline">The progress of the Department in improving the accuracy of its cost estimates and analyses.</text></clause><clause id="id2a3e37ee1ddf4e7a8e2d1bc0aa33f07d"><enum>(ii)</enum><text>The extent to which each of the Veterans Benefits Administration, the Veterans Health Administration, the National Cemetery Administration, and staff offices have complied with policies, procedures, and guidance issued by the Director with regard to the preparation of cost estimates for major acquisition programs and major automated information systems.</text></clause><clause id="idd7046da21158408cb3c8787c87b2023a"><enum>(iii)</enum><text>The overall quality of cost estimates prepared by each of the Administrations for major acquisition programs and major automated information system programs.</text></clause><clause id="ida9153924ba014986bd9e7a51dbcb2ef0"><enum>(iv)</enum><text>Any consistent differences in methodology or approach among the cost estimates prepared by the Administrations and the Director.</text></clause></subparagraph></paragraph><paragraph id="id76c409bf505a467c86f73acf9fb4daec" indent="up1"><enum>(3)</enum><subparagraph commented="no" display-inline="yes-display-inline" id="id0bbe542a5c5842a781abeccbbe604e93"><enum>(A)</enum><text>The Director shall ensure that a report submitted to paragraph (1) does not include any information, such as proprietary or source selection sensitive information, that could undermine the integrity of the acquisition process.</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" indent="up1" id="id7f35f87af6d14ec6a9b30163ac07ec6e"><enum>(B)</enum><text>The report submitted pursuant to paragraph (1) to the committees described in such paragraph shall be posted on an internet website of the Department that is available to the public.</text></subparagraph></paragraph><paragraph id="idf94e4d1ddf5447bea8240144858d5d31" indent="up1"><enum>(4)</enum><text>The Secretary may comment on any report of the Director submitted to the committees described in paragraph (1) pursuant to such paragraph.</text></paragraph></subsection><subsection id="idcbe79ddc6d61413fa62a9396482a310e"><enum>(i)</enum><header>Staff</header><text>The Secretary shall ensure that the Director has sufficient professional staff to enable the Director to carry out the duties and responsibilities of the Director under this section.</text></subsection></section><after-quoted-block>.</after-quoted-block></quoted-block></subsection><subsection id="idab55626cbab64705920107b59494969d"><enum>(b)</enum><header>Report on monitoring of operating and support costs for major acquisition programs</header><paragraph id="id6320028d1a9b434aad8c18cdc6fb24ac"><enum>(1)</enum><header>Report to Secretary of Veterans Affairs</header><text>Not later than one year after the date of the enactment of this Act, the Director of Cost Assessment and Program Evaluation established pursuant to section 8184 of title 38, United States Code, as added by subsection (a), shall—</text><subparagraph commented="no" display-inline="no-display-inline" id="idc089b9bfe9114707a2723f7380e2d1f8"><enum>(A)</enum><text display-inline="yes-display-inline">review systems and methods of the Department of Veterans Affairs currently in effect for tracking and assessing operating and support costs using cost-accounting standards and procedures, as appropriate, on major acquisition programs (as defined in section 8181 of such title, as added by subsection (a)); and</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id1f06d38f8ae64b4695e125e01aa092a5"><enum>(B)</enum><text display-inline="yes-display-inline">submit to the Secretary of Veterans Affairs a report on such findings and recommendations as the Director may have as a result of the review conducted pursuant to subparagraph (A), including an assessment by the Director of the feasibility and advisability of establishing baselines for operating and support costs under such title.</text></subparagraph></paragraph><paragraph id="id3500f4712de042dda2b7039531f41168" commented="no" display-inline="no-display-inline"><enum>(2)</enum><header>Transmittal to Congress</header><text>Not later than 30 days after receiving the report required by paragraph (1)(A), the Secretary shall submit to the Committee on Veterans' Affairs of the Senate and the Committee on Veterans’ Affairs of the House of Representatives the report received by the Secretary under paragraph (1)(B), together with such comments on the report as the Secretary considers appropriate.</text></paragraph></subsection></section><section id="id2defbde42de24221a1496375fbf97342"><enum>7.</enum><header>Department of Veterans Affairs other transaction authority and advance market commitments for technologies or services for provision of health care</header><text display-inline="no-display-inline">Subchapter VI of <external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/38/81">chapter 81</external-xref> of title 38, United States Code, as added by section 2 and amended by sections 3 and 6, is further amended by adding at the end the following new section:</text><quoted-block style="USC" display-inline="no-display-inline" id="idFF3ABB5CD12B467D83A87AADDF408B6C"><section commented="no" display-inline="no-display-inline" id="id670b23f867394b6b85b810b1cdc9a5c4"><enum>8185.</enum><header>Other transaction authority</header><subsection id="H3FC1333E928B4DA8B0A74C00EB6117E5"><enum>(a)</enum><header>Authority</header><text display-inline="yes-display-inline">The Secretary may enter into transactions (other than contracts, cooperative agreements, and grants) with nontraditional contractors to carry out extramural basic or applied research, or innovation development activities. Such authority may be exercised by the Deputy Assistant Secretary for Innovation for activities aligned with the mission of the Veterans Health Administration Innovation Ecosystem.</text></subsection><subsection id="H6075A12750D948F8B2E5D6C9FDC8D57D"><enum>(b)</enum><header>Requirements</header><text display-inline="yes-display-inline">The Secretary may enter into a transaction under subsection (a) to carry out extramural basic or applied research if each of the following criteria are met:</text><paragraph id="HAA3DD939179D4E739149CA6C2E06303F"><enum>(1)</enum><text>The research is not duplicative of other research being conducted by the Department under another program or through a contract, cooperative agreement, or grant.</text></paragraph><paragraph id="HC9F805C7293A4124ABCD2BEE53BB6F74"><enum>(2)</enum><text>The senior procurement executive has determined that entering into the transaction to carry out the research is appropriate.</text></paragraph><paragraph id="H96120C3068C64A4DA962FEF5140E4A88"><enum>(3)</enum><text>The transaction will not exceed $5,000,000 (including all options), unless the senior procurement executive determines that exceeding such amount is appropriate.</text></paragraph><paragraph commented="no" id="H36FC1839497844658721E01E8D6A2BB1"><enum>(4)</enum><text>Not less than 33 percent of the total cost of the research (regardless of the percentage of such total cost for which the transaction is funding) is paid for, or provided through nonmonetary contributions, by sources other than the Federal Government, unless the senior procurement executive determines that—</text><subparagraph commented="no" id="HBE8E371F4C6440D8A7B0BA30C58714FF"><enum>(A)</enum><text>meeting such threshold for non-Federal sources of funding or contributions is not possible; and</text></subparagraph><subparagraph commented="no" id="H080EFE1B5F364AD4B0DCDF92EEAB1B7A"><enum>(B)</enum><text>carrying out the research without meeting such threshold is in the public interest.</text></subparagraph></paragraph><paragraph id="idfe07395aac7c40bfb8d17cedb3fe92d5"><enum>(5)</enum><text>In the case of transactions supporting innovation development activities described in subsection (a), the Deputy Assistant Secretary for Innovation certifies that such activities align with the goals of improving the delivery of health care for veterans, operational efficiency, or technology adoption, and do not require approval of the Institutional Review Board unless involving human subjects research as defined in part 16 of title 38, Code of Federal Regulations, or successor regulations.</text></paragraph></subsection><subsection id="HBBC7B1FE261544E285D0B2CB2BE9B720"><enum>(c)</enum><header>Provision of information</header><paragraph id="H8A0E9D1E5E0D45D6988B6F66B4D4EE18"><enum>(1)</enum><header>Congress</header><subparagraph id="HF67F01542A164D32AD0A88E54C850D78"><enum>(A)</enum><header>Notification</header><text>Not later than 30 days after the date on which the Secretary enters into a transaction under this section, the Secretary shall notify the appropriate congressional committees of such transaction, including a copy of each determination made under subsection (b).</text></subparagraph><subparagraph id="HAD434807711749ADBE875CB9B5DEE2ED"><enum>(B)</enum><header>By request</header><text>Upon the request of an appropriate congressional committee, the Secretary shall submit to the appropriate congressional committees a copy of a transaction under this section or performance or financial information relating to such transaction.</text></subparagraph></paragraph><paragraph id="H2EB56F17CE374E728697B3409D4A9786"><enum>(2)</enum><header>Comptroller general of the United States</header><text display-inline="yes-display-inline">With respect to transactions entered into under this section, the Secretary shall ensure that, upon request, the Comptroller General of the United States may examine records of any party to the transaction or any entity that participates in the performance of the transaction if such records are generated in the performance of the transaction or are directly related to the transaction.</text></paragraph></subsection><subsection id="H68CB5B9A01854CC8B546E213988478E2"><enum>(d)</enum><header>Regulations</header><text>The Secretary shall prescribe regulations to carry out this section.</text></subsection><subsection id="HA0BA342AA8E94877AE941792EE573AFA"><enum>(e)</enum><header>Termination</header><text>The authority to enter into transactions under this section shall terminate on the date that is three years after the date of the enactment of the <short-title>Acquisition Reform and Cost Assessment Act of 2025</short-title>.</text></subsection><subsection commented="no" id="HF5752CA0F10B4F1784EA86AA0D4DA305"><enum>(f)</enum><header>Definitions</header><text>In this section:</text><paragraph commented="no" id="H3EB0CCD976F040C3ABD0A57CC6B12935"><enum>(1)</enum><text>The term <term>appropriate congressional committees</term> means—</text><subparagraph commented="no" display-inline="no-display-inline" id="id537f8098331d4f16b727ec8e5ca8e063"><enum>(A)</enum><text>the Committee on Veterans' Affairs and the Subcommittees on Military Construction, Veterans’ Affairs, and Related Agencies of the Committees on Appropriations of the Senate; and</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id033289fd64bd4061ad0f026e90998714"><enum>(B)</enum><text>the Committee on Veterans' Affairs and the Subcommittees on Military Construction, Veterans’ Affairs, and Related Agencies of the Committees on Appropriations of the House of Representatives.</text></subparagraph></paragraph><paragraph commented="no" id="H13A80A81FE07459DA45CE68F46660CD6"><enum>(2)</enum><text display-inline="yes-display-inline">The term <term>entity</term> means a for-profit corporation, partnership, or single proprietorship, nonprofit organization, or university organized and having principal operations in the United States.</text></paragraph><paragraph commented="no" id="H5750461A2DDD45EF9991B0AB85D15D9B"><enum>(3)</enum><text display-inline="yes-display-inline">The terms <term>extramural budget</term>, <term>research</term>, and <term>research and development</term> have the meaning given those terms in subsection (e) of section 9 of the Small Business Act (<external-xref legal-doc="usc" parsable-cite="usc/15/638">15 U.S.C. 638</external-xref>).</text></paragraph><paragraph id="id9ecc6495b38547bc95ccc17357f9a726"><enum>(4)</enum><text>The term <term>innovation development activities</term> means efforts to design, test, or implement new technologies, processes, or systems to improve health care delivery, operational efficiency, or veteran outcomes, including prototyping, pilot programs, and technology adoption initiatives, whether or not such efforts meet the definition of <quote>research</quote> under part 16 of title 38, Code of Federal Regulations, or successor regulations.</text></paragraph><paragraph commented="no" id="H0B3C7EFD18D24D5AA6ED5AA12584101B"><enum>(5)</enum><text display-inline="yes-display-inline">The term <term>nontraditional contractor</term> means an entity that is not currently performing and has never performed any contract or subcontract for any department or agency of the Federal Government.</text></paragraph><paragraph id="HDF21E08EBCEB4B39B0F2619845A09A2A" commented="no" display-inline="no-display-inline"><enum>(6)</enum><text display-inline="yes-display-inline">The term <term>senior procurement executive</term> means the official of the Department designated under section 1702(c) of title 41.</text></paragraph></subsection></section><section id="id58d6816405414f5995f3cc767a576087"><enum>8186.</enum><header>Advance market commitments for technologies or services for provision of health care</header><subsection id="id30b53d1352c848c193bebc02ddceaf5e"><enum>(a)</enum><header>Authority</header><text>The Secretary may enter into an advance market commitment under which the Secretary shall guarantee to purchase, for a predetermined price, a technology or service provided by an entity that addresses an unmet need in the provision of health care to veterans.</text></subsection><subsection id="idd9c40f5fa13a4ba6a0ea498b57fe9aa6"><enum>(b)</enum><header>Requirements</header><text>An advance market commitment entered into under subsection (a) shall include the following:</text><paragraph id="idc31d3ebe055145fca6e079fdc09e2946"><enum>(1)</enum><text>Clearly defined and transparent rules.</text></paragraph><paragraph id="id672ed22966b541419eea409fc116f07d"><enum>(2)</enum><text>A clear definition of the technology or service to be provided, to ensure safety, effectiveness, and feasible delivery.</text></paragraph><paragraph id="id639da5e8c9cf4e9caa32d3f9e19518e7"><enum>(3)</enum><text>Dispute settlement mechanisms.</text></paragraph><paragraph id="iddfeb17ef99824004af25c3b317c6c2c4"><enum>(4)</enum><text>The ability to modify the terms of the commitment on the basis of new information regarding the number of veterans to be served with such technology or service.</text></paragraph></subsection><subsection id="id44d6b41d65434f119a96cac4821a5606"><enum>(c)</enum><header>Report</header><text>Not later than 120 days after executing an advance market commitment under subsection (a), the Secretary shall submit to the Committee on Veterans’ Affairs of the Senate and the Committee on Veterans’ Affairs of the House of Representatives a report on the status and efficacy of such commitment.</text></subsection></section><after-quoted-block>.</after-quoted-block></quoted-block></section><section id="idb80b7b46a5354c21ad32fc417ad8f3d0"><enum>8.</enum><header>Development and expansion of an 1102 internship or development pipeline</header><text display-inline="no-display-inline">The Secretary of Veterans Affairs shall monitor the training and experience gap of professionals and establish or expand any existing internship or development pipelines for 1102 contracting officers of the Department.</text></section><section id="H5179D310C52B481CB1A32EF28A56AB57"><enum>9.</enum><header>Clerical amendment</header><text display-inline="no-display-inline">The table of sections at the beginning of <external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/38/81">chapter 81</external-xref> of title 38, United States Code, is amended by adding at the end the following:</text><quoted-block style="OLC" display-inline="no-display-inline" id="idad965eb6a95b49ab895e5409c7bf9956"><toc><toc-entry level="subchapter" idref="H7009D6EF4584483A846D61477C12128C">SUBCHAPTER VII—Acquisition review, cost assessment, and program evaluation </toc-entry><toc-entry level="section" idref="H50B12F453D7545268200E286DEC98F3C">8181. Definitions. </toc-entry><toc-entry level="section">8182. Acquisition reorganization. </toc-entry><toc-entry level="section" idref="HC9A4A9E64552488FA8FF7FB655F0AF36">8183. Major acquisition program managers. </toc-entry><toc-entry level="section" idref="idaea3f208383645d09b0488c9fa54dc77">8184. Cost assessment and program evaluation.</toc-entry><toc-entry level="section" bold="off">8185. Other transaction authority.</toc-entry><toc-entry level="section" bold="off">8186. Advance market commitments for technologies or services for provision of health care.</toc-entry></toc><after-quoted-block>.</after-quoted-block></quoted-block></section></legis-body></bill> 

