[Congressional Record Volume 161, Number 95 (Monday, June 15, 2015)]
[Senate]
[Pages S4165-S4166]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

  SA 2037. Mr. REED (for himself and Mr. McCain) submitted an amendment 
intended to be proposed to amendment SA 1463 proposed by Mr. McCain to 
the bill H.R. 1735, to authorize appropriations for fiscal year 2016 
for military activities of the Department of Defense, for military 
construction, and for defense activities of the Department of Energy, 
to prescribe military personnel strengths for such fiscal year, and for 
other purposes; which was ordered to lie on the table; as follows:

       At the end of subtitle E of title VIII, add the following:

     SEC. 884. PILOT PROGRAM TO IMPROVE ACCESS TO COMMERCIAL 
                   INNOVATION.

       (a) Authority to Establish Program.--The Secretary of 
     Defense may conduct a program to increase access to 
     commercial innovation to meet the mission critical technology 
     needs of the Department of Defense.
       (b) Elements.--The program authorized under this section 
     may include the following elements:
       (1) Funding qualified non-profit entities that invest in 
     privately-held companies that are developing technologies 
     that are potentially mission critical to the Department of 
     Defense and that have secured investments from ``venture 
     capital funds'' (as defined by the Securities and Exchange 
     Commission pursuant to section 203(l) of the Investment 
     Advisers Act of 1940 (15 U.S.C 80b-3(l)) subject to the 
     following conditions:
       (A) The Secretary of Defense shall appoint an individual to 
     manage all such investments who possesses demonstrated 
     knowledge and experience in--
       (i) understanding developing technologies; and
       (ii) managing investments in ``venture capital funds'' (as 
     defined by the Securities and Exchange Commission pursuant to 
     section 203(l) of the Investment Advisers Act of 1940 (15 
     U.S.C 80b-3(l)).
       (B) For each investment in a qualified non-profit entity, 
     the Secretary of Defense shall secure the ability to select 
     at least one member of the qualified non-profit entity's 
     board of directors, board of trustees, or equivalent 
     governing body to actively monitor the Department of 
     Defense's investment in the qualified non-profit entity.
       (C) The Secretary of Defense shall provide to the 
     Committees on Armed Services of the Senate and the House of 
     Representatives a report describing each of the Department of 
     Defense's investments in each qualified non-profit entity, 
     including, at a minimum--
       (i) a description and evaluation of the Department of 
     Defense mission each such investment is intended to help 
     accomplish; and
       (ii) a financial evaluation that estimates the current and 
     projected value the Department of Defense is securing from 
     each of its investments.
       (2) Conducting cost-effective outreach efforts and 
     establishing points of entry for non-traditional defense 
     contractors whose products and technologies could be acquired 
     by the Department of Defense.
       (3) Training Federal acquisition personnel in innovative 
     acquisition techniques to access non-traditional defense 
     contractors.
       (4) Use of other transactions authority under section 2371 
     of title 10, United States

[[Page S4166]]

     Code, and authority to award prizes for advanced technology 
     achievements under section 2374a of such title.
       (c) Authority to Enter Into Intelligence Community 
     Contracts and Other Agreements.--The Secretary of Defense is 
     authorized to use intelligence community contracts and other 
     agreements to meet the needs of the program established under 
     this section.
       (d) Funding.--
       (1) In general.--Of the unobligated amounts appropriated or 
     otherwise made available for fiscal year 2015 for the Office 
     of the Secretary of Defense for science and technology, 
     $10,000,000 may be used for technology innovation, as 
     described in the reprogramming action prior approval request 
     submitted by the Under Secretary of Defense (Comptroller) to 
     Congress on May 15, 2015.
       (2) Defense acquisition workforce fund.--The Defense 
     Acquisition Workforce Development Fund may be used for the 
     training of Department of Defense employees under this 
     section.
       (e) Sunset.--The authority to carry out the pilot program 
     under subsection (a) shall terminate one year after the date 
     of the enactment of this Act.
                                 ______