[Congressional Record Volume 169, Number 120 (Thursday, July 13, 2023)]
[Senate]
[Pages S2600-S2601]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

  SA 435. Mr. DAINES submitted an amendment intended to be proposed by 
him to the bill S. 2226, to authorize appropriations for fiscal year 
2024 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 D of title VIII, add the following:

     SEC. 849. ENTREPRENEURIAL INNOVATION PROJECT DESIGNATIONS.

       (a) In General.--
       (1) Designating certain sbir and sttr programs as 
     entrepreneurial innovation projects.--Chapter 303 of title 
     10, United States Code, is amended by inserting after section 
     4067 the following new section:

     ``SEC. 4068. ENTREPRENEURIAL INNOVATION PROJECT DESIGNATIONS.

       ``(a) In General.--During the first fiscal year, beginning 
     after the date of the enactment of this section, and during 
     each subsequent fiscal year, each Secretary concerned, in 
     consultation with the each chief of an armed force under the 
     jurisdiction of the Secretary concerned, shall designate not 
     less than five eligible programs as Entrepreneurial 
     Innovation Projects.
       ``(b) Application.--An eligible program seeking designation 
     as an Entrepreneurial Innovation Project under this section 
     shall submit to the Secretary concerned an application at 
     such time, in such manner, and containing such information as 
     the Secretary concerned determines appropriate.
       ``(c) Designation Criteria.--In making designations under 
     subsection (a), the Secretary concerned shall consider--
       ``(1) the potential of the eligible program to--
       ``(A) advance the national security capabilities of the 
     United States;
       ``(B) provide new technologies or processes, or new 
     applications of existing technologies, that will enable new 
     alternatives to existing programs; and
       ``(C) provide future cost savings;
       ``(2) whether an advisory panel has recommended the 
     eligible program for designation; and
       ``(3) such other criteria that the Secretary concerned 
     determines to be appropriate.
       ``(d) Designation Benefits.--
       ``(1) Future years defense program inclusion.--With respect 
     to each designated program, the Secretary of Defense shall 
     include in the next future-years defense program the 
     estimated expenditures of such designated program. In the 
     preceding sentence, the term `next future-years defense 
     program' means the future-years defense program submitted to 
     Congress under section 221 of this title, after the date on 
     which such designated program is designated under subsection 
     (a).
       ``(2) Programming proposal.--Each designated program shall 
     be included by the Secretary concerned under a separate 
     heading in any programming proposals submitted to the 
     Secretary of Defense.
       ``(3) PPBE component.--Each designated program shall be 
     considered by the Secretary concerned as an integral part of 
     the planning, programming, budgeting, and execution process 
     of the Department of Defense.
       ``(e) Entrepreneurial Innovation Advisory Panels.--
       ``(1) Establishment.--For each military department, the 
     Secretary concerned shall establish an advisory panel that, 
     starting in the first fiscal year beginning after the date of 
     the enactment of this section, and in each subsequent fiscal 
     year, shall identify and recommend to the Secretary concerned 
     for designation under subsection (a) eligible programs based 
     on the criteria described in subsection (c)(1).
       ``(2) Membership.--
       ``(A) Composition.--
       ``(i) In general.--Each advisory panel shall be composed of 
     four members appointed by the Secretary concerned and one 
     member appointed by the chief of the relevant armed force 
     under the jurisdiction of the Secretary concerned.
       ``(ii) Secretary concerned appointments.--The Secretary 
     concerned shall appoint members to the advisory panel as 
     follows:

       ``(I) Three members who--

       ``(aa) have experience with private sector entrepreneurial 
     innovation, including development and implementation of such 
     innovations into well established markets; and
       ``(bb) are not employed by the Federal Government.

       ``(II) One member who is in the Senior Executive Service in 
     the acquisition workforce (as defined in section 1705 of this 
     title) of the relevant military department.

       ``(iii) Service chief appointment.--The chief of an armed 
     force under the jurisdiction of the Secretary concerned shall 
     appoint to the advisory panel one member who is a member of 
     such armed forces.
       ``(B) Terms.--
       ``(i) Private sector members.--Members described in 
     subparagraph (A)(ii)(I) shall serve for a term of three 
     years, except that of the members first appointed--

       ``(I) one shall serve a term of one year;
       ``(II) one shall serve a term of two years; and
       ``(III) one shall serve a term of three years.

       ``(ii) Federal government employees.--Members described in 
     clause (ii)(II) or (iii) of subparagraph (A) shall serve for 
     a term of two years, except that the first member appointed 
     under subparagraph (A)(iii) shall serve for a term of one 
     year.
       ``(C) Chair.--The chair for each advisory panel shall be as 
     follows:
       ``(i) For the first year of operation of each such advisory 
     panel, and every other year thereafter, the member appointed 
     under subparagraph (A)(iii).
       ``(ii) For the second year of operation of each such 
     advisory panel, and every other year thereafter, the member 
     appointed under subparagraph (A)(ii)(II).
       ``(D) Vacancies.--A vacancy in an advisory panel shall be 
     filled in the same manner as the original appointment.
       ``(E) Conflict of interest.--Members and staff of each 
     advisory panel shall disclose to the relevant Secretary 
     concerned, and such Secretary concerned shall mitigate to the 
     extent practicable, any professional or organizational 
     conflict of interest of such members or staff arising from 
     service on the advisory panel.
       ``(F) Compensation.--
       ``(i) Private sector member compensation.--Except as 
     provided in clause (ii), members of an advisory panel, and 
     the support staff of such members, shall be compensated at a 
     rate determined reasonable by the Secretary concerned and 
     shall be reimbursed in accordance with section 5703 of title 
     5, for reasonable travel costs and expenses incurred in 
     performing duties as members of an advisory panel.
       ``(ii) Prohibition on compensation of federal employees.--
     Members of an advisory panel who are full-time officers or 
     employees of the United States or Members of Congress may not 
     receive additional pay, allowances, or benefits by reason of 
     their service on an advisory panel.
       ``(3) Selection process.--
       ``(A) Initial selection.--Each advisory panel shall select 
     not less than ten eligible programs that have submitted an 
     application under subsection (b).
       ``(B) Program plans.--
       ``(i) In general.--Each eligible program selected under 
     subparagraph (A) may submit to the advisory panel that 
     selected such eligible program a program plan containing the 
     five-year goals, execution plans, schedules, and funding 
     needs of such eligible program.
       ``(ii) Support.--Each Secretary concerned shall, to the 
     greatest extent practicable, provide eligible programs 
     selected under subparagraph (A) with access to information to 
     support the development of the program plans described in 
     clause (i).
       ``(C) Final selection.--Each advisory panel shall recommend 
     to the Secretary concerned for designation under subsection 
     (a) not less than five eligible programs that submitted a 
     program plan under subparagraph (B) to such advisory panel. 
     If there are less than five such eligible programs, such 
     advisory panel may recommend to the Secretary concerned for 
     designation under subsection (a) less than five such eligible 
     programs.
       ``(4) Administrative and technical support.--The Secretary 
     concerned shall provide the relevant advisory panel with such 
     administrative support, staff, and technical assistance as 
     the Secretary concerned determines necessary for such 
     advisory panel to carry out it duties.
       ``(5) Funding.--The Secretary of Defense may use amounts 
     available from the Department of Defense Acquisition 
     Workforce Development Account established under section 1705 
     of this title to support the activities of advisory panels.
       ``(f) Revocation of Designation.--If the Secretary 
     concerned determines that a designated program cannot 
     reasonably meet the objectives of such designated program in 
     the relevant programming proposal referred to in subsection 
     (d)(2) or such objectives are irrelevant, such Secretary 
     concerned may revoke the designation.

[[Page S2601]]

       ``(g) Report to Congress.--The Secretary of Defense shall 
     submit to Congress an annual report describing each 
     designated program and the progress each designated program 
     has made toward achieving the objectives of the designated 
     program.
       ``(h) Definitions.--In this section:
       ``(1) Advisory panel.--The term `advisory panel' means an 
     advisory panel established under subsection (e)(1).
       ``(2) Designated program.--The term `designated program' 
     means an eligible program that has been designated as an 
     Entrepreneurial Innovation Project under this section.
       ``(3) Eligible program.--The term `eligible program' means 
     work performed pursuant to a Phase III agreement (as such 
     term is defined in section 9(r)(2) of the Small Business Act 
     (15 U.S.C. 638(r)(2))).''.
       (2) Clerical amendment.--The table of sections at the 
     beginning of chapter 303 of title 10, United States Code, is 
     amended by inserting after the item related to section 4067 
     the following new item:

``4068. Entrepreneurial Innovation Project designations.''.
       (b) Establishment Deadline.--Not later than 120 days after 
     the date of the enactment of this Act, the Secretaries of 
     each military department shall establish the advisory panels 
     described in section 4068(e) of title 10, United States Code, 
     as added by subsection (a).
                                 ______