,,ii  #aag? ,,congress  #b;d ,session   
,s4 #dcgd  ,,9 ,,! ,,s5ate ,,( ,,!      
,,unit$ ,,/ates  ,june #i1 #bjbb,ms4    
,w>r5 introduc$ ! foll[+ bill2 :i* 0    
read twice & ref]r$ to ! ,committee on  
,arm$ ,s]vices  ,a ,,bill  ,to prev5t   
price g\g+ at ! ,dep>tm5t ( ,def5se4    
#a4 ,%ort title ,?is ,act may be cit$ z 
! ,/op ,price ,g\g+ ! ,milit>y ,act4    
#b4 ,/r5g!n+ ,tru? 9 ,negotiations ,act 
provisions  7a7 ,requir$ co/ or pric+   
data & c]tification ,section            
#cgjb7;a77#a7 ( title #aj1 ,unit$ ,/ates
 ,code1 is am5d$ by /rik+ only expect$  
to receive "o bid %all be requir$ &     
replac+ ) only expect$ to h "o (f]or1 or
 = :i* aw>d ( a co/-reimbursem5t        
contract is contemplat$ reg>dless ( !   
numb] ( (f]s receiv$1 %all be requir$4  
7b7 ,exceptions ,section #cgjc7;a7 (    
title #aj1 ,unit$ ,/ates ,code1 is      
am5d$-- 7#a7 9 p>agraph 7#a77;,a71 by   
/rik+ adequate competition & all t      
foll[s ?r\gh bids & ins]t+ adequate     
price competition1 except = ! aw>d ( a  

co/-reimbursem5t contract1 t results 9  
at lea/ two responsive & viable compet+ 
(f]ors2 &  7#b7 9 p>agraph 7#b71 by     
ins]t+ bas$ on adequate price           
competition t results 9 at lea/ two     
responsive & responsible (f]s aft]      
comm]cial s]vice4  7c7 ,con=m+ am5dm5t  
relat$ to civilian contracts ,section   
#cejc7;a77#b7 ( title #da1 ,unit$ ,/ates
 ,code is by ins]t+ aft] comm]cial      
s]vice ! foll[+3 bas$ on adequate price 
competition t results 9 at lea/ two     
responsive & responsible (f]s4  #c4     
,revision ( def9ition ( t]m comm]cial   
item = purposes ( ,f$]al procurem5t     
/atutes provid+ proc$ures = procurem5t (
 comm]cial items  7a7 ,elim9ation ( ( a 
type crit]ion ,section #ajc ( title #da1
 ,unit$ ,/ates ,code1 is am5d$ by /rik+ 
( a type ea* place x appe>s4  7b7       
,elim9ation ( items & s]vices m]ely (f]$
 = sale1 lease1 or lic5se  7#a7 ,items  
,section #ajc7a77;,b7 ( title #da1      
,unit$ ,/ates ,code1 is am5d$ by /rik+ 1
 or (f]$ = sale1 lease1 or lic5se14     

7#b7 ,s]vices ,section #ajc;a7#b7 (     
title #da1 ,unit$ ,/ates ,code1 is am5d$
 by /rik+ (f]$ &4  #d4 ,progress paym5t 
inc5tive pilot  7a7 ,pilot program ,!   
,secret>y ( ,def5se1 act+ ?r\gh ! ,"u   
,secret>y ( ,def5se = ,acquisition &    
,su/a9m5t1 %all e/abli% & implem5t a    
pilot program1 to be kn[n z ! ,progress 
,paym5t ,inc5tive ,pilot ,program1 to   
make accel]at$ progress paym5ts cont+5t 
^u responsiv5ess to ,dep>tm5t ( ,def5se 
goals = effectiv5ess1 effici5cy1 &      
increas+ small bus9ess contract         
opportunities4  7b7 ,purpose ,! purpose 
( ! pilot program is to rew>d ,dep>tm5t 
( ,def5se contractors :o meet contract  
deliv]y dates1 respond to ,dep>tm5t     
solicitations = requir$ c]tifi$ co/ or  
pric+ data1 meet small bus9ess contract+
 goals1 & provide subcontract+          
opportunities = ,ability,one contracts4 
7c7 ,progress paym5ts  7#a7 ,limitations
 = l>ge contractors ,except z provid$ "u
 p>agraph 7#b71 "u ! pilot program1 !   
,dep>tm5t ( ,def5se may n aw>d to l>ge  

bus9ess contractors progress paym5ts 9  
excess ( #ej p]c5t4  7#b7 ,exceptions ,!
 ,dep>tm5t ( ,def5se may increase ! rate
 ( progress paym5ts1 up to a total ( #ie
 p]c5t1 by ! foll[+ p]c5tages3 7,a7 #aj 
p]c5t if ! relevant division ( !        
contractor met contract deliv]y dates = 
contract end items & contract data      
requirem5t li/s or p]=mance mile/one    
s*$ule1 z ! case may be1 at lea/ #ie    
p]c5t ( ! "t dur+ ! prec$+ ,gov]nm5t    
fiscal ye>4  7,b7 #aj p]c5t if !        
division does n h op5 level ,,iii or    
,,iv corrective action reque/s4  7,c7   
#g4e p]c5t if all applicable contractor 
bus9ess sy/ems are acceptable1 )\t      
significant defici5cies4  7,d7 #aj p]c5t
 if at lea/ #ie p]c5t ( ! "t dur+ !     
prec$+ ,gov]nm5t fiscal ye>1 :5 respond+
 to solicitations t requir$ submission (
 c]tifi$ co/ or pric+ data1 ! division  
met ! due date 9 ! reque/ = proposal4   
7,e7 #e p]c5t if ! contractor discloses 
fir/ ti] subcontractor data1 ! prime    
contractor's b5eficial own]s1 & total   

comp5sation = recipi5t executives4  7,f7
 #e p]c5t if ! contractor has met its   
small bus9ess subcontract+ goals dur+ ! 
prec$+ ,gov]nm5t fiscal ye>4  7,g7 #c   
p]c5t if ! contractor has provid$       
subcontract+ opportunities = ! bl9d &   
sev]ely disabl$4  7d7 ,def9itions ,9 ?is
 section3 7#a7 ,b5eficial own]s ,! t]m  
b5eficial own] has ! mean+ giv5 ! t]m 9 
section #hdg ( ! ,national ,def5se      
,au?orization ,act = ,fiscal ,ye> #bjbj 
7,public ,law #aaf-ib2 #acc ,/at4 #aeje2
 #aj ,u4,s4,c4 #beji note74  7#b7       
,comp5sation = recipi5t executives ,!   
t]m comp5sation = recipi5t executives   
ref]s to ! names & total comp5sation ( !
 five mo/ highly comp5sat$ (fic]s ( !   
entity pursuant to section #b7;b77#a7 ( 
! ,f$]al ,fund+ ,acc\ntability &        
,transp>5cy ,act ( #bjjf 7,public ,law  
#aji-bhb2 #ca ,u4,s4,c4 #faja note74    
7#c7 ,fir/ ti] subcontractor ,! t]m fir/
 ti] subcontractor means a subcontractor
 :o has a subcontract directly ) ! prime
 contractor4  7#d7 ,l>ge def5se         

contractor ,! t]m l>ge def5se contractor
 means a contractor 7o!r ?an an in/itute
 ( high] education or a f$]ally fund$   
rese>* & developm5t c5t]7 t receiv$ m   
?an #aj1jjj1jjj 9 annual rev5ue f !     
,dep>tm5t ( ,def5se contracts or lic5ses
 9 any ( ! previ\s ?ree ye>s4  7#e7     
,progress paym5ts ,! t]m progress       
paym5ts means paym5ts provid$ = "u      
section #chjd ( title #aj1 ,unit$ ,/ates
 ,code4  #e4 ,disclosure by l>ge def5se 
contractors  7a7 ,annual report+ ,n lat]
 ?an #fj days aft] ! date ( ! enactm5t (
 ?is ,act1 ! ,secret>y ( ,def5se %all   
am5d ! ,dep>tm5t ( ,def5se ,supplem5t to
 ! ,f$]al ,acquisition ,regulation to   
provide t l>ge def5se contractors %all  
be requir$ to annually report to ! ,"u  
,secret>y ( ,def5se = ,acquisition &    
,su/a9m5t ! foll[+ in=mation ) reg>d to 
! cov]$ ye>1 z comp>$ ) ! ye> prec$+ t  
cov]$ ye>3 7#a7 ,! p]c5tage *ange 9 !   
volume ( goods or s]vices sold & !      
p]c5tage *ange 9 ! av]age sales price ( 
^? goods or s]vices1 :i* %all be brok5  

d[n by mat]ial product categories1 :5   
relevant1 & pres5t$ 9 a tabul> =mat4    
7#b7 ,! gross m>g9s ( ! l>ge def5se     
contractor1 :i* %all be brok5 d[n by    
mat]ial product categories1 :5 relevant1
 & pres5t$ 9 a tabul> =mat4  7#c7       
,pres5t$ 9 tabul> =mat1 ! %>e ( !       
increase 9 rev5ue ( ! l>ge def5se       
contractor t is attributable to-- 7,a7 a
 *ange 9 ! co/ ( goods or s]vices sold  
by ! l>ge def5se contractor2 &  7,b7 a  
*ange 9 ! volume ( goods or s]vices sold
 by ! l>ge def5se contractor4  7#d7 ,!  
p]c5tage *ange 9 ! co/s ( ! l>ge def5se 
contractor1 :i* %all be brok5 d[n by    
category & pres5t$ 9 tabul> =mat4  7#e7 
,9 doll>s1 ! *ange 9 ! co/s ( ! l>ge    
def5se contractor1 :i* %all be pres5t$ 9
 tabul> =mat4  7#f7 ,a detail$ n>rative 
disclosure ( ! pric+ /rategy ( ! l>ge   
def5se contractor1 :i* %all include--   
7,a7 an explanation = any increase 9 !  
gross m>g9s ( mat]ial product           
categories1 includ+-- 7i7 all mat]ial   
causes = su* an increase2  7ii7 an      

explanation ( h[ ea* su* mat]ial cause  
affect$ su* an increase2 &  7iii7 a     
description ( ! relative importance (   
ea* su* mat]ial cause ) respect to su*  
an increase2  7,b7 an explanation = !   
decisions made by ! l>ge def5se         
contractor ) respect to ! prices ( goods
 & s]vices sold by ! l>ge def5se        
contractor2  7,c7 if ! l>ge def5se      
contractor increas$ prices at a rate t 0
 great] ?an ! rate at :i* ! co/s incurr$
 by ! l>ge def5se contractor increas$1 !
 rationale & objectives = increas+      
prices 9 su* a mann]2 &  7,d7 a         
description ( conditions "u :i* ! l>ge  
def5se contractor plans to modify pric+ 
aft] ! date on :i* ! l>ge def5se        
contractor submits ! report4  7b7       
,publication ,! ,"u ,secret>y ( ,def5se 
= ,acquisition & ,su/a9m5t %all annually
 publi% on a publicly available int]net 
website ! previ\s ye>'s reports receiv$ 
"u subsection 7a74  7c7 ,p5alties ,a    
kn[+ failure to disclose or update      
in=mation 9 accordance ) subsection 7a7 

may result 9-- 7#a7 entry ( ! violation 
9 ! database = ,f$]al ag5cy contract &  
grant (fic]s & susp5sion & deb>m5t      
(ficials def9$ 9 section #bcac ( title  
#da1 ,unit$ ,/ates ,code2  7#b7         
imprisonm5t = n m ?an #e ye>s or a f9e  
"u title #ah1 ,unit$ ,/ates ,code1 or   
bo?2  7#c7 a civil f9e ( n m ?an        
#bjj1jjj1 dep5d+ on ! ext5t & gravity ( 
! violation2  7#d7 liability pursuant to
 section #cgbi ( title #ca1 ,unit$      
,/ates ,code2 or  7#e7 susp5sion or     
deb>m5t4  7d7 ,l>ge def5se contractor   
def9$ ,9 ?is section1 ! t]m l>ge def5se 
contractor means a contractor 7o!r ?an  
an in/itute ( high] education or a      
f$]ally fund$ rese>* & developm5t c5t]7 
t-- 7#a7 receiv$ m ?an #aj1jjj1jjj 9    
annual rev5ue f ! ,dep>tm5t ( ,def5se   
contracts or lic5ses 9 any ( ! previ\s  
?ree ye>s2 &  7#b7 e>n$ m ?an #bj p]c5t 
( its total annual rev5ue f ,dep>tm5t ( 
,def5se contracts or lic5ses 9 any ( !  
previ\s ?ree fiscal ye>s4