[Congressional Record Volume 163, Number 48 (Monday, March 20, 2017)]
[House]
[Pages H2213-H2215]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
REDUCING DHS ACQUISITION COST GROWTH ACT
Mr. RUTHERFORD. Mr. Speaker, I move to suspend the rules and pass the
bill (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.
The Clerk read the title of the bill.
The text of the bill is as follows:
H.R. 1294
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
[[Page H2214]]
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.''.
The SPEAKER pro tempore. Pursuant to the rule, the gentleman from
Florida (Mr. Rutherford) and the gentlewoman from New York (Miss Rice)
each will control 20 minutes.
General Leave
Mr. RUTHERFORD. Mr. Speaker, I ask unanimous consent that all Members
have 5 legislative days within which to revise and extend their remarks
and include extraneous materials in the Record on the bill under
consideration.
The SPEAKER pro tempore. Is there objection to the request of the
gentleman from Florida?
There was no objection.
Mr. RUTHERFORD. Mr. Speaker, I yield myself such time as I may
consume.
Mr. Speaker, I rise in strong support of H.R. 1294, the Reducing DHS
Acquisition Cost Growth Act.
The Department of Homeland Security, DHS, spends over $7 billion,
annually, on major acquisition programs. These programs secure our
borders, protect our shores, safeguard our airports, and defend our
cyber networks, among other critical missions. Unfortunately, the
Government Accountability Office has reported that DHS acquisition
management is on its high-risk list, since 2003, of areas most
susceptible to waste, fraud, abuse, and mismanagement. Recent watchdog
reports have revealed alarming findings regarding DHS' acquisition
efforts.
For example, in just 2016 alone, 8 out of 25 major acquisition
programs experienced cost growth, schedule slips, or both. These
program cost estimates increased by $1.7 billion, and their schedules
slipped by an average of 11 months. Given the enormous threats that are
facing our homeland, it is unacceptable to make our frontline operators
wait for the tools that they need to secure the homeland.
My bill will require much-needed oversight of DHS' acquisition
programs to safeguard tax dollars and hold program managers
accountable. When programs incur significant cost, schedule, or
requirement problems, my bill requires that DHS leadership be informed.
These programs will be required to put a remediation plan in place that
corrects the problem and also analyzes the root causes of why the
problems occurred in the first place.
The Homeland Security Committee in Congress must also be informed of
such significant problems. No longer will the people's representatives
in Congress be kept in the dark. These requirements are similar to
those used in the Department of Defense and will help DHS better
safeguard tax dollars and more effectively secure our homeland.
Mr. Speaker, I urge all Members to join me in supporting this bill,
and I reserve the balance of my time.
Miss RICE of New York. Mr. Speaker, I yield myself such time as I may
consume.
Mr. Speaker, I rise in support of H.R. 1294, the Reducing DHS
Acquisition Cost Growth Act. Since the Department began its operations
in 2002, it has spent tens of billions of dollars to procure goods,
services, and supplies in support of DHS' national security efforts.
The agency's major acquisitions investments, those that cost at least
$300 million, represent a significant portion of such purchasing.
The Department has worked to improve its acquisition programs in
recent years, but DHS still struggles when it comes to major
acquisitions. Take, for example, the SBInet--a southwest border
infrastructure project--that ballooned in cost to about $1 billion
before it was canceled in 2011, after GAO found that it was
ineffective.
More recently, there is the case of the Electronic Immigration
System, an automated immigration benefits processing system. According
to the Department's inspector general, this U.S. citizenship
immigration services program is now on course to be completed 4 years
later than originally estimated and at a cost of $1 billion more than
estimated.
The importance and complexity of DHS' mission demands effective
oversight of the Department's investments, particularly its major
acquisitions. H.R. 1294 seeks to ensure greater congressional oversight
of such acquisition programs by requiring the Department to report to
Congress when cost, schedule, and performance requirements are not met.
Additionally, when such requirements are not met, this bill requires
DHS to provide Congress with an analysis explaining the root cause of
the failures as well as a remediation plan to mitigate the problems.
The Committee on Homeland Security unanimously approved this measure
earlier this month, and similar language was approved by the House in
October 2015 as a part of comprehensive DHS acquisition legislation.
[[Page H2215]]
I commend my colleague from Florida for his work on this bill.
Mr. Speaker, effective oversight of the Department's acquisitions
programs is essential to ensuring optimal program performance. Given
DHS' limited budgetary resources and the gravity of its mission, it is
critically important that DHS get its major acquisitions right.
Enacting this legislation would require a greater level of
accountability from DHS and give Congress a greater level of oversight
to intercede before programs go off the rails.
Mr. Speaker, I urge support of H.R. 1294, and I yield back the
balance of my time.
Mr. RUTHERFORD. Mr. Speaker, once again, I just urge my colleagues to
support H.R. 1294.
Mr. Speaker, I yield back the balance of my time.
The SPEAKER pro tempore (Mr. Emmer). The question is on the motion
offered by the gentleman from Florida (Mr. Rutherford) that the House
suspend the rules and pass the bill, H.R. 1294.
The question was taken.
The SPEAKER pro tempore. In the opinion of the Chair, two-thirds
being in the affirmative, the ayes have it.
Mr. RUTHERFORD. Mr. Speaker, on that I demand the yeas and nays.
The yeas and nays were ordered.
The SPEAKER pro tempore. Pursuant to clause 8 of rule XX, further
proceedings on this motion will be postponed.
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