To impose a limitation on Department of Defense contracting for performance of acquisition functions closely associated with inherently governmental functions.

1. Adds SEC. 867. CONTRACTOR PERFORMANCE OF ACQUISITION FUNCTIONS CLOSELY ASSOCIATED WITH INHERENTLY GOVERNMENTAL FUNCTIONS on page 194, line 22

   Adds a sectionPrinted page

   Inserted: SEC. 867. CONTRACTOR PERFORMANCE OF ACQUISITION FUNCTIONS CLOSELY ASSOCIATED WITH INHERENTLY GOVERNMENTAL FUNCTIONS.

   Inserted: (a) Limitation.--(1) Chapter 141 of title 10, United States Code, is amended by inserting after section 2382 the following new section:

   Inserted: "Sec. 2383. Contractor performance of acquisition functions closely associated with inherently governmental functions

   Inserted: "(a) Limitation.--The head of an agency may enter a contract for the performance of acquisition functions closely associated with inherently governmental functions only if the Secretary determines that--

   Inserted: "(1) appropriate military or civilian personnel of the Department of Defense cannot reasonably be made available to perform the functions;

   Inserted: "(2) appropriate military or civilian personnel of the Department of Defense are--

   Inserted: "(A) to supervise contractor performance of the contract; and

   Inserted: "(B) to perform all inherently governmental functions associated with the functions to be performed under the contract; and

   Inserted: "(3) the contractor does not have an organizational conflict of interest or the appearance of an organizational conflict of interest in the performance of the functions under the contract.

   Inserted: "(b) Definitions.--In this section:

   Inserted: "(1) The term 'head of an agency' has the meaning given such term in section 2302(1) of this title, except that such term does not include the Secretary of Homeland Security or the Administrator of the National Oceanic and Atmospheric Administration.

   Inserted: "(2) The term 'inherently governmental functions' has the meaning given such term in subpart 7.5 of part 7 of the Federal Acquisition Regulation.

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   Inserted: "(3) The term 'functions closely associated with inherently governmental functions' means the functions described in section 7.503(d) of the Federal Acquisition Regulation.

   Inserted: "(4) The term 'organizational conflict of interest' has the meaning given such term in subpart 9.5 of part 9 of the Federal Acquisition Regulation.".

   Inserted: (2) The table of sections at the beginning of such chapter is amended by inserting after the item relating to section 2382 the following new item:

   Inserted: "2383. Contractor performance of acquisition functions closely associated with inherently governmental functions.".

   Inserted: (b) Effective Date and Applicability.--Section 2383 of title 10, United States Code (as added by subsection (a)), shall take effect on the date of enactment of this Act and shall apply to--

   Inserted: (1) contracts entered into on or after such date;

   Inserted: (2) any task or delivery order issued on or after such date under a contract entered into before, on, or after such date; and

   Inserted: (3) any decision on or after such date to exercise an option or otherwise extend a contract for program management or oversight of contracts for the reconstruction of Iraq, regardless of whether such program management or oversight contract was entered into before, on, or after the date of enactment of this Act.

   Original wording

   On page 194, after line 22, insert the following:

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As printed