,,ii #aad? ,,congress #b;d ,session ,s4 #cbfc ,,9 ,,! ,,s5ate ,,( ,,! ,,unit$ ,,/ates ,july #ad1 #bjaf,mr4 ,moran 7= himself1 ,mr4 ,udall1 ,mr4 ,da9es1 & ,mr4 ,w>n]7 introduc$ ! foll[+ bill2 :i* 0 read twice & ref]r$ to ! ,committee on ,homel& ,security & ,gov]nm5tal ,affairs ,a ,,bill ,to promote innovation & realize ! effici5cy ga9s & economic b5efits ( on-dem& comput+ by accel]at+ ! acquisition & deploym5t ( innovative te*nology & comput+ res\rces ?r\gh\t ! ,f$]al ,gov]nm5t1 & = o!r purposes4 #a4 ,%ort title ,?is ,act may be cit$ z ! ,mod]niz+ ,outdat$ & ,vuln]able ,equipm5t & ,in=mation ,te*nology ,act ( #bjaf or ! ,,move ,,x ,act4 #b4 ,f9d+s & purposes 7a7 ,f9d+s ,congress f9ds ! foll[+3 7#a7 ,national ,in/itute ( ,/&>ds & ,te*nology ,special ,publication #hjj-ade describes cl\d comput+ z an evolv+ p>adigm = in=mation te*nology t is a model = enabl+ ubiquit\s1 conv5i5t1 on-dem& network access to a %>$ pool ( configurable comput+ res\rces 7i4e41 networks1 s]v]s1 /orage1 applications1 & s]vices7 t c be rapidly provision$ & releas$ ) m9imal managem5t ef=t or s]vice provid] int]action4 7#b7 ,toge!r1 ! effici5cies1 co/ sav+s1 & great] comput+ p[] enabl$ by cl\d comput+ has ! pot5tial to-- 7,a7 elim9ate inappropriate duplication1 r$uce co/s1 & address wa/e1 fraud1 & abuse 9 provid+ ,gov]nm5t s]vices t are publicly available2 7,b7 address ! critical ne$ = cyb]security by design2 & 7,c7 move ! ,f$]al ,gov]nm5t into a broad digital-s]vices deliv]y model t c\ld trans=m ! fa%ion 9 :i* ! ,f$]al ,gov]nm5t provides s]vices to ! p ( ! ,unit$ ,/ates4 7b7 ,purposes ,! purposes ( ?is ,act are to-- 7#a7 accel]ate ! acquisition & deploym5t ( cl\d comput+ s]vices by address+ key imp$im5ts & roadblocks 9 fund+1 developm5t1 & acquisition practices2 7#b7 support & exp& an effici5t ,f$]al c]tification /&>d = qualify+ cl\d s]vices provid]s "u ! ,f$]al ,risk & ,au?orization ,managem5t ,program us+ a qualify once1 use _m times effici5cy model t /rikes an appropriate balance betwe5-- 7,a7 enc\rag+ ! adoption ( /rong security practices to protect aga9/ ! h>m ( cyb] intrusions & hacks2 & 7,b7 avoid+ ! imposition ( unduly burd5some & re/rictive requirem5ts on cl\d comput+ s]vice provid]s t w\ld det] inve/m5t 9 innovative cl\d comput+ s]vices2 7#c7 assi/ ag5cies 9 migrat+ to cl\d comput+ s]vices by provid+ guidance & ov]sight ( ag5cy ent]prise-wide in=mation te*nology portfolios suitable = & id5tifiable z suitable = a cl\d-bas$ deliv]y model2 & 7#d7 provide = ,f$]al ag5cies to procure cl\d comput+ s]vices t adh]e to s\nd security practices4 #c4 ,f$]al risk & au?orization managem5t program 7a7 ,9 g5]al ,except z provid$ "u subsection 7b71 a cov]$ ag5cy may n /ore or process ,gov]nm5t in=mation on a ,f$]al in=mation sy/em ) any cl\d s]vice provid]1 unless ! provid] has an au?orization to op]ate1 or a provisional au?orization to op]ate1 cov]+ ! propos$ scope ( "w1 f ! cov]$ ag5cy or ! ,jo9t ,au?orization ,bo>d4 ,a cov]$ ag5cy op]at+ "u a provisional au?orization to op]ate %all issue an au?orization to op]ate z soon z practicable & may n rely on ! provisional au?orization to op]ate = ! duration ( ! scope ( "w4 7b7 ,waiv] ( requirem5ts 7#a7 ,9 g5]al ,! ,director ( ,national ,intellig5ce1 or a designee ( ! ,director1 may waive ! applicability to any national security sy/em ( any provision ( ?is section if ! ,director ( ,national ,intellig5ce1 or ! designee1 det]m9es t su* waiv] is 9 ! int]e/ ( national security4 7#b7 ,notification ,n lat] ?an #cj days aft] ex]cis+ a waiv] "u ?is subsection1 ! ,director ( ,national ,intellig5ce1 or ! designee ( ! ,director1 z ! case may be1 %all submit to ! ,committee on ,homel& ,security & ,gov]nm5tal ,affairs & ! ,select ,committee on ,intellig5ce ( ! ,s5ate & ! ,committee on ,ov]sight & ,gov]nm5t ,re=m & ! ,p]man5t ,select ,committee on ,intellig5ce ( ! ,h\se ( ,repres5tatives a /atem5t describ+ & ju/ify+ ! waiv]4 7c7 ,rule ( con/ruction ,no?+ 9 ?is section %all be con/ru$ z limit+ ! ability ( ! ,(fice ( ,managem5t & ,budget to update or modify ,f$]al guidel9es relat+ to ! security ( cl\d comput+4 #d4 ,exp&$ indu/ry collaboration & metrics developm5t = ! ,f$]al ,risk & ,au?orization ,managem5t program (fice 7a7 ,9 g5]al ,! ,director %all coord9ate ) ! ,f$]al ,risk & ,au?orization ,managem5t ,program ,(fice to e/abli% m&atory guidel9es = ! submission ( an application = an au?orization to op]ate & relat$ mat]ials to ! ,f$]al ,risk & ,au?orization ,managem5t ,program ,(fice4 7b7 ,cont5ts ,! guidel9es e/abli%$ "u subsection 7a7 %all /reaml9e & accel]ate ! ,f$]al ,risk & ,au?orization ,managem5t ,program accr$itation process by meet+ ! foll[+ requirem5ts3 7#a7 ,n less frequ5tly ?an mon?ly1 report to ! applicant ! /atus1 expect$ "t to completion1 & o!r key indicators relat$ to compliance = an application = au?orization to op]ate submitt$ to ! ,f$]al ,risk & ,au?orization ,managem5t ,program ,(fice4 7#b7 ,enhanc$ tra9+ & indu/ry liaison opportunities = cov]$ ag5cies & cl\d s]vice provid]s4 7#c7 ,a cl>ification (-- 7,a7 ! role & au?ority ( ?ird p>ty assessm5t organization 9 ! ,f$]al ,risk & ,au?orization ,managem5t ,program process = au?orizations to op]ate by cov]$ ag5cies2 7,b7 ! ext5t to :i* ! ,f$]al ,risk & ,au?orization ,managem5t ,program ,(fice may id5tify & beg9 to accept or rely ^u c]tifications f o!r /&>ds developm5t organizations or ?ird p>ty assessm5t organization2 & 7,c7 ! responsibility ( cov]$ ag5cies to sponsor a ,f$]al ,risk & ,au?orization ,managem5t ,program au?orization to op]ate z "p ( mak+ ,f$]al ,risk & ,au?orization ,managem5t ,program compliance a condition = ent]+ into a contract or provid+ cl\d comput+ s]vices to a cov]$ ag5cy4 7c7 ,fed,r,a,m,p liaison gr\p 7#a7 ,9 g5]al ,! ,director1 9 coord9ation ) ! ,program ,managem5t ,(fice & ! ,national ,in/itute ( ,/&>ds & ,te*nology1 %all ho/ a public-private indu/ry cl\d comm]cial work+ gr\p 79 ?is subsection ref]r$ to z ! ,fed,r,a,m,p ,liaison ,gr\p7 repres5t+ cl\d s]vice provid]s4 7#b7 ,composition & functions ,! ,fed,r,a,m,p ,liaison ,gr\p-- 7,a7 %all include repres5tatives ( cl\d s]vice provid]s2 7,b7 may include su* work+ gr\ps z are det]m9$ appropriate by ! ,fed,r,a,m,p ,liaison ,gr\p2 7,c7 %all be ho/$ by ! ,g5]al ,s]vices ,adm9i/ration1 :o %all conv5e pl5>y meet+s on a qu>t]ly basis ) individual work+ gr\ps meet+ z frequ5tly z det]m9$ by ! gr\p2 & 7,d7 %all consult ) & provide recomm5dations directly to ! ,program ,managem5t ,(fice & ! ,jo9t ,au?orization ,bo>d ( ! ,f$]al ,risk & ,au?orization ,managem5t ,program reg>d+ ! op]ations1 processes improvem5ts1 & be/ practices ( ! ,(fice & ,bo>d4 7#c7 ,,faca exemption ,! ,f$]al ,advisory ,committee ,act %all n apply to ! ,fed,r,a,m,p ,liaison ,gr\p4 7d7 ,provid+ ,d$icat$ ,ag5cy ,support ,! ,program ,managem5t ,(fice %all "w ) ea* cov]$ ag5cy to support & guide ! ef=ts ( ! ag5cy-- 7#a7 to e/abli% & issue ! au?orization to op]ate = ! ag5cy2 7#b7 to facilitate au?orization approval1 support1 & direct int]fac+ ) cl\d s]vice provid]s2 & 7#c7 to facilitate p>tn]%ip among ag5cies to effici5tly support activities relat$ to obta9+ an au?orization to op]ate4 7e7 ,metrics ,! ,director1 9 coord9ation ) ! ,national ,in/itute ( ,/&>ds & ,te*nology & ! ,fed,r,a,m,p ,liaison ,gr\p1 %all e/abli% key p]=mance metrics = ! ,f$]al ,risk & ,au?orization ,managem5t ,program ,(fice1 :i* %all include-- 7#a7 recomm5dations = maximum "t limits = ! completion ( au?orizations to op]ate by s]vice categories ( cl\d s]vice provid]s1 n to exce$ six mon?s2 7#b7 t>gets = ! /reaml9+ ( ! au?orization to op]ate ?r\gh ! use ( innovative templates & transp>5t submission requirem5ts2 & 7#c7 recomm5dations = satisfy+ ,f$]al cont9u\s monitor+ requirem5ts4 7f7 ,report requir$ ,n lat] ?an "o ye> aft] ! date ( ! enactm5t ( ?is ,act1 ! ,director %all submit to ! ,committees on ,appropriations & ,ov]sight & ,gov]nm5t ,re=m ( ! ,h\se ( ,repres5tatives & ! ,committees on ,appropriations & ,homel& ,security & ,gov]nm5tal ,affairs ( ! ,s5ate a report on ! effectiv5ess & effici5cy ( ! ,f$]al ,risk & ,au?orization ,managem5t ,program ,(fice4 #e4 ,additional budget au?orities = ! ,mod]nization ( ,,x ,sy/ems 7a7 ,assessm5t ( ,cl\d ,fir/ ,implem5tation ,n lat] ?an #ij days aft] ! date ( ! enactm5t ( ?is ,act1 ! ,director1 9 consultation ) ! ,*ief ,in=mation ,(fic]s ,c\ncil1 %all assess cl\d comput+ opportunities & issue policies & guidel9es = ! adoption ( ,gov]nm5twide programs provid+ = a /&>diz$ approa* to security assessm5t & op]ational au?orization = cl\d comput+ products & s]vices4 7b7 ,in=mation te*nology sy/em mod]nization & work+ capital fund 7#a7 ,e/abli%m5t ,!re is e/abli%$ 9 ea* cov]$ ag5cy an in=mation te*nology sy/em mod]nization & work+ capital fund 7h]eaft] ,,x work+ capital fund7 = necess>y exp5ses = ! ag5cy describ$ 9 p>agraph 7#b74 7#b7 ,s\rce ( funds ,am\nts may be deposit$ into an ,,x work+ capital fund z foll[s3 7,a7 ,reprogramm+ ( funds1 includ+ reprogramm+ ( any funds available on ! date ( enactm5t ( ?is ,act = ! op]ation & ma9t5ance ( legacy sy/ems1 9 compliance ) any applicable reprogramm+ law or guidel9es ( ! ,committees on ,appropriations ( ! ,h\se ( ,repres5tatives & ! ,s5ate4 7,b7 ,transf] ( funds1 includ+ transf] ( any funds available on ! date ( enactm5t ( ?is ,act = ! op]ation & ma9t5ance ( legacy sy/ems1 b only if transf] au?ority is specifically provid$ = by law4 7,c7 ,am\nts made available ?r\gh discretion>y appropriations4 7#c7 ,use ( funds ,an ,,x work+ capital fund e/abli%$ "u p>agraph 7#a7 may be us$ only = ! foll[+3 7,a7 ,! replacem5t ( a legacy in=mation te*nology sy/em4 7,b7 ,! transition to cl\d comput+ & innovative plat=ms & te*nologies subject to a transition plan = any project t co/s m ?an #e1jjj1jjj & approv$ by ! ,f$]al ,*ief ,in=mation ,(fic] accord+ to su* guidel9es z ! ,(fice ( ,managem5t & ,budget may designate4 7,c7 ,to assi/ & support ag5cy ef=ts to provide adequate1 risk-bas$1 & co/-effective in=mation te*nology capabilities t address evolv+ ?reats to in=mation security4 7,d7 ,developm5tal1 mod]nization1 & enhancem5t activities ( in=mation te*nology4 7#d7 ,exi/+ funds ,an ,,x work+ capital fund may n be us$ to supplant funds provid$ = ! op]ation & ma9t5ance ( any sy/em already )9 an appropriation = ! ag5cy at ! "t ( e/abli%m5t ( ! ,,x work+ capital fund4 7#e7 ,reprogramm+ & transf] ( funds ,! head ( ea* cov]$ ag5cy %all prioritize funds )9 ! ,,x work+ capital fund to be us$ initially = co/ sav+s activities approv$ by ! ,f$]al ,*ief ,in=mation ,(fic]1 9 consultation ) ! ,*ief ,in=mation ,(fic] ( ! cov]$ ag5cy4 ,! head ( ea* cov]$ ag5cy may-- 7,a7 reprogram any am\nts sav$ z a direct result ( su* activities = deposit into ! applicable ,,x work+ capital fund1 consi/5t ) p>agraph 7#b77;,a71 except t any su* reprogramm+ ( am\nts 9 excess ( #ejj1jjj %all be report$ to ! ,committees on ,appropriations ( ! ,h\se ( ,repres5tatives & ! ,s5ate #cj days 9 advance ( su* reprogramm+2 & 7,b7 may transf] any am\nts sav$ z a direct result ( su* activities = deposit into ! applicable ,,x work+ capital fund1 consi/5t ) p>agraph 7#b77;,b71 except t any su* transf] ( am\nts 9 excess ( #ejj1jjj %all be report$ to ! ,committees on ,appropriations ( ! ,h\se ( ,repres5tatives & ! ,s5ate #cj days 9 advance ( su* transf]4 7#f7 ,return ( funds ,any funds deposit$ into an ,,x work+ capital fund mu/ be obligat$ no lat] ?an #c ye>s aft] ! date ( su* deposit4 ,any funds t are unobligat$ #c ye>s aft] su* date %all be resc9d$ & deposit$ into ! g5]al fund ( ! ,treasury & report$ to ! ,committees on ,appropriations ( ! ,h\se ( ,repres5tatives & ! ,s5ate4 7#g7 ,semiannual report requir$ ,n lat] ?an #f mon?s aft] ! date ( ! enactm5t ( ?is ,act1 & semiannually !reaft]1 ! head ( any cov]$ ag5cy t uses an ,,x work+ capital fund %all submit to ! ,committees on ,appropriations & ,ov]sight & ,gov]nm5t ,re=m ( ! ,h\se ( ,repres5tatives & ! ,committees on ,appropriations & ,homel& ,security & ,gov]nm5tal ,affairs ( ! ,s5ate a report on ! obligation & exp5diture ( funds made available "u ?is section4 7c7 ,,gao report ,n lat] ?an "o ye> aft] ! date ( ! enactm5t ( ?is ,act1 & annually !reaft] = five ye>s1 ! ,comptroll] ,g5]al ( ! ,unit$ ,/ates %all submit to ! ,committees on ,appropriations & ,ov]sight & ,gov]nm5t ,re=m ( ! ,h\se ( ,repres5tatives & ! ,committees on ,appropriations & ,homel& ,security & ,gov]nm5tal ,affairs ( ! ,s5ate a report-- 7#a7 on ! implem5tation & op]ation ( ea* ,,x work+ capital fund e/abli%$ "u ?is section2 7#b7 t id5tifies curr5t practices & comp>es ! practices ) indu/ry be/ practices 9 areas su* z ! effective ov]sight & gov]nance ( a cl\d comput+ work+ capital fund2 & 7#c7 t describes ! basis = ! use & op]ation ( an ,,x work+ capital fund1 ! efficacy ( ! work+ capital fund to accel]ate te*nology transitions1 & recomm5dations = fur!r improvem5t = ! work+ capital fund4 #f4 ,def9itions ,9 ?is ,act3 7#a7 ,au?orization to op]ate ,! t]m au?orization to op]ate means an approval & accr$itation1 includ+ a provisional au?orization to op]ate1 reg>d+ ! security & op]ational qualifications ( a cl\d comput+ s]vice provid] to (f] secure1 reliable cl\d comput+ s]vice to a cov]$ ag5cy1 t may be issu$ by ! ,jo9t ,au?orization ,bo>d1 any successor entity1 or ! head ( a cov]$ ag5cy4 7#b7 ,cl\d comput+ ,! t]m cl\d comput+ has ! mean+ giv5 t t]m by ! ,national ,in/itute ( ,/&>ds & ,te*nology 9 ,,ni/ ,special ,publication #hjj-ade & any am5datory or sup]s$+ docum5t !reto4 7#c7 ,cl\d s]vice provid] ,! t]m cl\d s]vice provid] means an entity (f]+ cl\d comput+ infra/ructure1 plat=ms1 or s(tw>e = comm]cial & ,gov]nm5t entities4 7#d7 ,cov]$ ag5cy ,! t]m cov]$ ag5cy means ea* ag5cy li/$ 9 section #ija7;b7 ( title #ca1 ,unit$ ,/ates ,code4 7#e7 ,director ,! t]m ,director means ! ,director ( ! ,(fice ( ,managem5t & ,budget4 7#f7 ,f$]al risk & au?orization managem5t program (fice ,! t]m ,f$]al ,risk & ,au?orization ,managem5t ,program ,(fice or ,program ,managem5t ,(fice means ! ,f$]al ,risk & ,au?orization ,managem5t ,program ,(fice1 or any successor !reto4 7#g7 ,in=mation sy/em ,! t]m in=mation sy/em has ! mean+ giv5 t t]m "u section #cejb ( title #dd1 ,unit$ ,/ates ,code4 7#h7 ,in=mation te*nology ,! t]m in=mation te*nology has ! mean+ giv5 t t]m "u section #aaaja ( title #dj1 ,unit$ ,/ates ,code4 7#i7 ,legacy in=mation te*nology sy/em ,! t]m legacy in=mation te*nology sy/em means an outdat$ or obsolete in=mation te*nology t is no long] support$ by ! orig9at+ v5dor or manufactur]4 7#aj7 ,national security sy/em ,! t]m national security sy/em has ! mean+ giv5 t t]m "u section #ceeb ( title #dd1 ,unit$ ,/ates ,code4 7#aa7 ,?ird p>ty assessm5t organization ,! t]m ?ird p>ty assessm5t organization means a ?ird p>ty accr$itation body t conducts a con=mity assessm5t ( a cl\d s]vice data provid] to ensure ! provid] meets security & op]ational guidel9es issu$ by ! ,f$]al ,risk & ,au?orization ,managem5t ,program ,(fice4