f,i,i #aahth ,,congress #ast ,session ,s4 #bbfe ,,in ,,the ,,senate ,,of ,,the ,,united ,,states ,july #ab1 #bjbc,mr4 ,sullivan introduced the following bill2 which was read twice and referred to the ,committee on ,foreign ,relations ,a ,,bill ,to streamline and expedite the foreign military sales process1 and for other purposes4 #a4 ,short title ,this ,act may be cited as the ,speeding the ,execution of ,arms ,deliveries for ,allies and ,securing ,trust ,act or the ,,steadfast ,act4 #b4 ,streamlining and expediting foreign military sales process 7a7 ,security cooperation workforce and defense acquisition workforce 7#a7 ,responsibilities of ,secretary of ,defense 7,a7 ,in general ,the ,secretary of ,defense shall-- 7i7 expand1 carry out activities to professionalize1 and increase the resources available to the security cooperation workforce so as to enable the full implementation of this section and the amendments made by this section2 7ii7 ensure that members of the defense acquisition workforce involved in the foreign military sales process are aware of evolving ,united ,states regional and country-level defense capability-building priorities2 and 7iii7 ensure that members of the defense acquisition workforce are professionally evaluated using metrics to measure-- 7,i7 responsiveness to foreign partner requests2 7,,ii7 ability to meet foreign partner capability and delivery schedule requirements2 and 7,,iii7 advancement of foreign capability-building priorities described in the semiannual guidance issued under paragraph 7#b74 7,b7 ,report ,not later than #ij days after the date of the enactment of this ,act1 the ,secretary of ,defense shall submit to the ,committees on ,armed ,services of the ,senate and the ,house of ,representatives a report on the resources necessary to implement subparagraph 7,a71 including-- 7i7 the anticipated costs of new personnel and training to carry out such subparagraph2 and 7ii7 the estimated increase in foreign military sales administrative user fees necessary to offset such costs4 7#b7 ,guidance 7,a7 ,in general ,not less frequently than semiannually1 the ,secretary of ,defense1 in coordination with the commander of each relevant combatant command1 shall develop and publish guidance-- 7i7 based on the ,national ,security ,strategy and the ,national ,defense ,strategy for dissemination to the security cooperation workforce and the defense acquisition workforce2 and 7ii7 informed by the theater campaign plans and theater security cooperation strategies of such combatant commands4 7,b7 ,elements ,the guidance required by subparagraph 7,a7 shall-- 7i7 identify-- 7,i7 regional and country-level foreign defense capability-building priorities2 and 7,,ii7 levels of urgency and desired timelines for achieving foreign capability-building objectives2 and 7ii7 provide guidance to the defense acquisition workforce regarding levels of resourcing1 innovation1 and risk tolerance that should be considered in meeting urgent needs4 7#c7 ,commission 7,a7 ,establishment ,the ,secretary of ,defense shall establish a commission 7in this section referred to as the ,commission71 independent of the ,department of ,defense1 which shall1 subject to applicable law1 provide independent advice on matters studied under subparagraph 7,b7 directly to the ,secretary of ,defense and the ,deputy ,secretary of ,defense without obtaining the approval or concurrence of any other official within the ,department of ,defense4 7,b7 ,study ,the ,commission shall conduct a study of-- 7i7 the requirements for establishing a contracting capacity that is-- 7,i7 led by the ,defense ,security ,cooperation ,agency2 and 7,,ii7 specific to the foreign military sales process2 and 7ii7 the feasibility and advisability of-- 7,i7 establishing1 at the ,department of ,defense level or the military department level1 a contracting capacity that-- 7aa7 is specific to the execution of contracts for foreign military sales2 7bb7 is fully funded by the ,defense ,security ,cooperation ,agency using foreign military sales administrative funds so as to ensure that such capacity is dedicated solely to foreign military sales contracting2 7cc7 is monitored by the ,defense ,security ,cooperation ,agency ,chief ,performance ,office to ensure effectiveness in meeting foreign military sales contracting requirements2 and 7dd7 empowers the ,director of the ,defense ,security ,cooperation ,agency1 in coordination with the ,under ,secretary of ,defense for ,policy and the ,under ,secretary of ,defense for ,acquisition and ,sustainment1 to increase or decrease foreign military sales contracting capacity through the semiannual guidance under paragraph 7#b72 and 7,,ii7 with respect to technology release deliberations of the ,defense ,technology ,security ,administration1 incorporating greater global and regional strategic considerations1 including by-- 7aa7 transferring the organization1 manpower1 and functions of the ,defense ,technology ,security ,administration to the ,defense ,security ,cooperation ,agency so as to enable the ,director of the ,defense ,security ,cooperation ,agency1 as the head of the security cooperation enterprise of the ,department of ,defense-- 7,,aa7 to readily balance potential risks to technologies with an existing understanding of foreign partner capability needs and levels of urgency2 and 7,,bb7 to provide release recommendations to the ,office of the ,secretary of ,defense at the ,under ,secretary level or the ,assistant ,secretary level1 as appropriate2 and 7bb7 converting the ,defense ,technology ,security ,administration into an organization that reports to the ,under ,secretary of ,defense for ,research and ,engineering to ensure a greater understanding of the state of play with regard to cutting-edge technologies4 7,c7 ,membership 7i7 ,in general ,the ,commission shall be composed of not fewer than seven members1 each of whom shall have expertise in the foreign military sales process4 7ii7 ,restriction ,the ,commission may not have as a member-- 7,i7 an officer or employee of the ,department of ,defense2 or 7,,ii7 a member of the ,united ,states ,armed ,forces4 7,d7 ,report ,not later than #a year after the date of the enactment of this ,act1 the ,commission shall submit to the ,committees on ,armed ,services of the ,senate and the ,house of ,representatives a report on the results of the study required by subparagraph 7,b74 7b7 ,modification of foreign military sales processing 7#a7 ,deadlines 7,a7 ,responses 7i7 ,letters of request for pricing and availability ,the ,secretary of ,defense shall ensure that an eligible foreign purchaser that has submitted a letter of request for pricing and availability data receives a response to the letter not later than #de days after the date on which the letter is received by a ,united ,states security cooperation organization1 the ,defense ,security ,cooperation ,agency1 or other implementing agency4 7ii7 ,letters of request for letters of offer and acceptance 7,i7 ,in general ,subject to subclause 7,,ii71 the ,secretary of ,defense and the ,secretary of ,state shall ensure that an eligible foreign purchaser that has submitted a letter of request for a letter of offer and acceptance receives a response-- 7aa7 in the case of a letter of request for a blanket-order letter of offer and acceptance1 cooperative logistics supply support arrangements1 or associated amendments and modifications1 not later than #de days after the date on which the letter of request is received by a ,united ,states security cooperation organization1 the ,defense ,security ,cooperation ,agency1 or other implementing agency2 7bb7 in the case of a letter of request for a defined-order letter of offer and acceptance or associated amendments and modifications1 not later than #ajj days after such date2 and 7cc7 in the case of a letter of request for a defined-order letter of offer and acceptance or associated amendments that involve extenuating factors1 as approved by the ,director of the ,defense ,security ,cooperation ,agency1 not later than #aej days after such date4 7,,ii7 ,eligible foreign purchasers with special designations ,the ,secretary of ,defense shall ensure that an eligible foreign purchaser with a special designation that has submitted a letter of request for a letter of offer and acceptance receives a response-- 7aa7 in the case of an eligible foreign purchaser that is a member of the national technology and industrial base-- 7,,aa7 in the case of a letter of request for a defined-order letter of offer and acceptance1 not later than #fe days after the date on which the letter of request is received by a ,united ,states security cooperation organization1 the ,defense ,security ,cooperation ,agency1 or other implementing agency2 and 7,,bb7 in the case of a letter of request for a defined-order letter of offer and acceptance involving extenuating factors1 as approved by the ,director of the ,defense ,security ,cooperation ,agency1 not later than #ij days after such date2 7bb7 in the case of ,israel1 ,japan1 the ,republic of ,korea1 ,new ,zealand1 or an eligible foreign purchaser that is a member of the ,north ,atlantic ,treaty ,organization or a major non-,,nato ally-- 7,,aa7 in the case of a letter of request for a defined-order letter of offer and acceptance1 not later than #ge days after such date2 and 7,,bb7 in the case of a letter of request for a defined-order letter of offer and acceptance involving extenuating factors1 as approved by the ,director of the ,defense ,security ,cooperation ,agency1 not later than #ajj days after such date2 and 7cc7 in the case of an eligible foreign purchaser that is a major defense partner or a major security partner-- 7,,aa7 in the case of a letter of request for a defined-order letter of offer and acceptance1 not later than #he days after such date2 and 7,,bb7 in the case of a letter of request for a defined-order letter of offer and acceptance involving extenuating factors1 as approved by the ,director of the ,defense ,security ,cooperation ,agency1 not later than #abe days4 7iii7 ,rule of construction ,nothing in this subparagraph may be construed to include1 within a deadline set forth in this subparagraph-- 7,i7 any period for the issuance of a decision under subparagraph 7,b72 7,,ii7 any period of consultation described in subparagraph 7,c72 or 7,,iii7 a notification period under section #cf7;c77#b7 of the ,arms ,export ,control ,act 7#bb ,u4,s4,c4 #bggf7;c77#b774 7,b7 ,licenses for release of sensitive technology 7i7 ,deadline for decision ,with respect to an application of a defense industry provider for a license for the release of sensitive technology as part of foreign military sales negotiations1 not later than #abj days after the date on which such an application containing all relevant information in the form required is received by the ,department of ,state ,directorate of ,defense ,trade ,controls1 the ,secretary of ,state shall issue a decision on the application4 7ii7 ,approval ,in the case of a decision under clause 7i7 to approve such an application1 the defense industry provider concerned may commence negotiations with the eligible foreign purchaser on the earliest date practicable following the issuance of such decision4 7iii7 ,denial ,concurrently with the issuance of a decision under clause 7i7 denying such an application1 the ,secretary of ,state shall provide to the ,committee on ,armed ,services and the ,committee on ,foreign ,relations of the ,senate and the ,committee on ,armed ,services and the ,committee on ,foreign ,affairs of the ,house of ,representatives written notice of the decision1 including the basis for the denial4 7iv7 ,rule of construction ,nothing in this subparagraph may be construed to include1 within the deadline set forth in clause 7i7-- 7,i7 any response period under subparagraph 7,a72 7,,ii7 any period of consultation described in subparagraph 7,c72 or 7,,iii7 a notification period under section #cf7;c77#b7 of the ,arms ,export ,control ,act 7#bb ,u4,s4,c4 #bggf7;c77#b774 7,c7 ,department of ,state consultation ,any period of consultation between the ,secretary of ,state and ,congress with respect to a proposed foreign military sale may not-- 7i7 be longer than #bj days2 or 7ii7 be construed to include a notification period under section #cf7;c77#b7 of the ,arms ,export ,control ,act 7#bb ,u4,s4,c4 #bggf7;c77#b774 7#b7 ,expansion of country prioritization 7,a7 ,,dx ratings ,with respect to foreign military sales to member countries of the ,north ,atlantic ,treaty ,organization1 major non-,,nato allies1 major defense partners1 and major security partners1 the ,secretary of ,defense may assign a ,defense ,priorities and ,allocations ,system order rating of ,,dx 7within the meaning of section #gjj4aa of title #ae1 ,code of ,federal ,regulations 7as in effect on the date of the enactment of this section774 7,b7 ,rapid technology release review and rapid acquisition ,the ,secretary of ,defense shall establish a path within the foreign military sales process that prioritizes ,israel1 ,japan1 the ,republic of ,korea1 ,new ,zealand1 member countries of the ,north ,atlantic ,treaty ,organization1 major non-,,nato allies1 major defense partners1 major security partners1 and eligible purchasers that are members of the national technology and industrial base for rapid technology release review and rapid acquisition of ,united ,states defense articles and defense services4 7#c7 ,limitations on price modifications 7,a7 ,in general ,with respect to the dollar amount of an offer to sell or the sale of ,united ,states defense articles or services developed by a military department and the ,defense ,security ,cooperation ,agency for purposes of the foreign military sales process documented in a letter of offer to an eligible foreign purchaser and submitted to the ,secretary of ,state for review1 the ,secretary of ,defense may subsequently direct an increase of-- 7i7 not more than #bj percent of such dollar amount to account for supply chain disruptions1 including the unavailability of materials and inflation2 and 7ii7 not less than #bj percent of such dollar amount1 subject to review by the ,foreign ,military ,sales ,cost ,review ,board4 7,b7 ,foreign ,military ,sales ,cost ,review ,board 7i7 ,establishment ,the ,secretary of ,defense shall establish within the ,department of ,defense a board1 to be known as the ,foreign ,military ,sales ,cost ,review ,board 7in this subparagraph referred to as the ,board7-- 7,i7 to review requests by the ,director of the ,defense ,security ,cooperation ,agency for an increase in the dollar amount described in subparagraph 7,a7 that is more than #bj percent of the dollar amount documented in a letter of offer and acceptance to an eligible foreign purchaser and submitted to the ,secretary of ,state for review2 and 7,,ii7 to make recommendations to the ,secretary of ,defense as to whether such an increase in such dollar amount should be directed1 and if so1 the recommended amount of such increase to be implemented4 7ii7 ,consultation ,the ,board shall conduct reviews under clause 7i77,i7 in consultation with the eligible foreign purchaser concerned4 7,c7 ,justification for price increase ,in the case of an increase in the dollar amount described in subparagraph 7,a71 the ,secretary of ,defense shall provide to the eligible foreign purchaser and the primary defense industry provider concerned documentation justifying such increase4 7,d7 ,report ,beginning on ,december #ae1 #bjbe1 and annually thereafter1 the ,under ,secretary of ,defense for ,acquisition and ,sustainment and the ,under ,secretary of ,defense for ,policy shall submit a report1 and provide a briefing1 to the ,committees on ,armed ,services of the ,senate and the ,house of ,representatives on each request for a dollar amount increase reviewed by the ,board during the fiscal year ending on ,september #cj of the applicable year4 7#d7 ,definitions ,in this subsection3 7,a7 ,blanket-order letter of offer and acceptance ,the term blanket-order letter of offer and acceptance means an agreement between an eligible foreign purchaser and the ,united ,states ,government for a specific category of items or services 7including training7 that-- 7i7 does not include a definitive listing of items or quantities2 and 7ii7 specifies a maximum dollar amount against which orders for defense articles and services may be placed4 7,b7 ,cooperative logistics supply support arrangement ,the term cooperative logistics supply support arrangement means a military logistics support arrangement designed to provide responsive and continuous supply support at the depot level for ,united ,states-made military materiel possessed by foreign countries or international organizations4 7,c7 ,defined-order letter of offer and acceptance ,the term defined-order letter of offer and acceptance means a foreign military sales case characterized by an order for a specific defense article or service that is separately identified as a line item on a letter of offer and acceptance4 7,d7 ,implementing agency ,the term implementing agency means the military department or defense agency assigned1 by the ,director of the ,defense ,security ,cooperation ,agency1 the responsibilities of-- 7i7 preparing a letter of offer and acceptance2 7ii7 implementing a foreign military sales case2 and 7iii7 carrying out the overall management of the activities that-- 7,i7 will result in the delivery of the defense articles or services set forth in the letter of offer and acceptance2 and 7,,ii7 was accepted by an eligible foreign purchaser4 7,e7 ,letter of request ,the term letter of request-- 7i7 means a written document-- 7,i7 submitted to a ,united ,states security cooperation organization1 the ,defense ,security ,cooperation ,agency1 or an implementing agency by an eligible foreign purchaser for the purpose of requesting to purchase or otherwise obtain a ,united ,states defense article or defense service through the foreign military sales process2 and 7,,ii7 that contains all relevant information in such form as may be required by the ,secretary of ,defense2 and 7ii7 includes-- 7,i7 a formal letter2 7,,ii7 an email2 7,,iii7 signed meeting minutes from a recognized official of the government of an eligible foreign purchaser2 and 7,,iv7 any other form of written document1 as determined by the ,secretary of ,defense or the ,director of the ,defense ,security ,cooperation ,agency4 7,f7 ,major defense partner ,the term major defense partner means-- 7i7 ,india2 and 7ii7 any other country1 as designated by the ,secretary of ,defense4 7,g7 ,major non-,,nato ally ,the term major non-,,nato ally-- 7i7 has the meaning given the term in section #fdd of the ,foreign ,assistance ,act of #aifa 7#bb ,u4,s4,c4 #bdjc772 and 7ii7 includes ,taiwan1 as required by section #abjf of the ,security ,assistance ,act of #bjjb 7,public ,law #ajg-bbh2 #bb ,u4,s4,c4 #bcbak note74 7,h7 ,major security partner ,the term major security partner means-- 7i7 the ,united ,arab ,emirates2 7ii7 ,bahrain2 7iii7 ,saudi ,arabia2 and 7iv7 any other country1 as designated by the ,secretary of ,defense1 in consultation with the ,secretary of ,state and the ,director of ,national ,intelligence4 7,i7 ,national technology and industrial base ,the term national technology and industrial base has the meaning given the term in section #dhja of title #aj1 ,united ,states ,code4 7c7 ,modification of reporting requirements ,section #cf of the ,arms ,export ,control ,act 7#bb ,u4,s4,c4 #bggf7 is amended-- 7#a7 in subsection 7b7-- 7,a7 in paragraph 7#a7-- 7i7 in the matter preceding subparagraph 7,a71 by striking any letter of offer and all that follows through #ad1jjj1jjj or more and inserting any letter of offer to sell any defense articles or services under this ,act for #agj1jjj1jjj or more1 any design and construction services for #fha1jjj1jjj or more1 or any major defense equipment for #dg1jjj1jjj or more2 and 7ii7 in the undesignated matter at the end1 in the second sentence1 by striking or ,new ,zealand and inserting ,new ,zealand1 any major non-,,nato ally 7as defined in section #fdd of the ,foreign ,assistance ,act of #aifa 7#bb ,u4,s4,c4 #bdjc771 or any major defense partner1 or major security partner2 7,b7 in paragraph 7#b71 by striking or ,new ,zealand and inserting ,new ,zealand1 any major non-,,nato ally1 or any major defense partner or major security partner2 and 7,c7 in paragraph 7#f71 in the matter preceding subparagraph 7,a7-- 7i7 by striking or ,new ,zealand and inserting ,new ,zealand1 a major non-,,nato ally1 or a major defense partner or major security partner2 7ii7 in subparagraph 7,a71 by striking #be1jjj1jjj and inserting #he1jjj1jjj2 7iii7 in subparagraph 7,b71 by striking #ajj1jjj1jjj and inserting #cdj1jjj1jjj2 and 7iv7 in subparagraph 7,c71 by striking #cjj1jjj1jjj and inserting #a1jjj1jjj1jjj2 7#b7 in subsection 7c7-- 7,a7 in paragraph 7#b77;,a71 by striking or ,new ,zealand and inserting ,new ,zealand1 any major non-,,nato ally1 or any major defense partner or major security partner2 7,b7 in paragraph 7#e71 by striking or ,new ,zealand and inserting ,new ,zealand1 a major non-,,nato ally1 or a major defense partner or major security partner2 and 7,c7 by adding at the end the following new paragraph3 7#g7 ,a sale of major defense equipment1 defense articles1 or defense services that is the subject of an application for which notification has been provided under this subsection1 including such a sale for which the number of such equipment1 articles1 or services is increased1 shall not require subsequent notification under this subsection unless the dollar amount of the offer to sell or the sale exceeds #aej percent of the dollar amount of the offer to sell or the sale set forth in the notification provided4 2 7#c7 in subsection 7d77#b77;,a71 by striking or ,new ,zealand and inserting ,new ,zealand1 a major non-,,nato ally1 or a major defense partner or major security partner2 and 7#d7 by adding at the end the following new subsection3 7j7 ,definitions ,in this section3 7#a7 ,major defense partner ,the term major defense partner means-- 7,a7 ,india2 and 7,b7 any other country1 as designated by the ,secretary of ,defense4 7#b7 ,major non-,,nato ally ,the term major non-,,nato ally-- 7,a7 has the meaning given the term in section #fdd of the ,foreign ,assistance ,act of #aifa 7#bb ,u4,s4,c4 #bdjc772 and 7,b7 includes ,taiwan1 as required by section #abjf of the ,security ,assistance ,act of #bjjb 7,public ,law #ajg-bbh2 #bb,u4,s4,c4 #bcbak note74 7#c7 ,major security partner ,the term major security partner means-- 7,a7 the ,united ,arab ,emirates2 7,b7 ,bahrain2 7,c7 ,saudi ,arabia2 and 7,d7 any other country1 as designated by the ,secretary of ,defense1 in consultation with the ,secretary of ,state and the ,director of ,national ,intelligence4 4 7d7 ,assistant ,secretary of ,defense for technology cooperation and security review 7#a7 ,in general ,section #ach of title #aj1 ,united ,states ,code1 is amended-- 7,a7 in subsection 7a77#a71 by striking #ai and inserting #bj2 and 7,b7 in subsection 7b71 by adding at the end the following new paragraph3 7#i7 ,one of the ,assistant ,secretaries is the ,assistance ,secretary of ,defense for ,technology ,cooperation and ,security ,review4 ,the ,assistant ,secretary shall serve under the authority1 direction1 and control of the ,under ,secretary of ,defense for ,acquisition and ,sustainment4 ,the principal duty of the ,assistant ,secretary shall be the overall supervision of policy and processes of the ,department of ,defense for technology cooperation and security review in the context of foreign military sales and direct commercial sales4 4 7#b7 ,conforming amendment ,section #ecae of title #e1 ,united ,states ,code1 is amended by striking ,assistant ,secretaries of ,defense 7#ai7 and inserting ,assistant ,secretaries of ,defense 7#bj74 7e7 ,special ,defense ,acquisition ,fund ,section #ea of the ,arms ,export ,control ,act 7#bb ,u4,s4,c4 #bgie7 is amended by adding at the end the following new subsection3 7d7 ,decisions with respect to the use of a portion of the ,fund for the acquisition of defense articles and defense services in anticipation of their transfer pursuant to this ,act1 the ,foreign ,assistance ,act of #aifa 7#bb ,u4,s4,c4 #baea et seq471 or as otherwise authorized by law1 to eligible foreign countries and international organizations shall be made independently of acquisition decisions relating to the requirements of the ,united ,states ,armed ,forces4 4 7f7 ,expedited deliveries to priority foreign purchasers 7#a7 ,acquisition strategies 7,a7 ,in general ,with respect to a foreign country or capability identified in guidance issued under subsection 7a77#b7 as a regional or country-level foreign defense capability-building priority1 the ,secretary of ,defense shall establish a requirement that1 in developing letters of offer and acceptance1 the acquisition program office of each military department shall develop1 at program inception-- 7i7 an acquisition strategy that documents the standard acquisition path2 and 7ii7 an acquisition strategy that documents the fastest acquisition path4 7,b7 ,associated risk ,in developing each acquisition strategy required by clauses 7i7 and 7ii7 of subparagraph 7,a71 the acquisition program office of the military department concerned shall-- 7i7 measure1 and justify with respect to the urgency of delivering a capability in full or in phases1 the associated risk1 risk mitigation1 and risk cost2 and 7ii7 provide1 in coordination with the appropriate regional directorate of the ,office of the ,under ,secretary of ,defense for ,policy and the ,director of the ,defense ,security ,cooperation ,agency1 to the acquisition leadership of such military department a briefing on the results of the measurements under clause 7i74 7,c7 ,decision ,not later than #cj days after the date of a briefing under subparagraph 7,b77ii71 the acquisition leadership of the military department concerned shall issue a decision with respect to the acquisition strategy selected4 7#b7 ,input from eligible foreign purchaser 7,a7 ,in general ,the ,secretary of ,defense shall ensure that1 in the development of acquisition strategies for priority countries and capabilities under paragraph 7#a71 the foreign purchaser is provided an opportunity to provide input with respect to risk tolerance4 7,b7 ,information sharing ,in carrying out subparagraph 7,a71 the ,secretary of ,defense shall ensure that a foreign purchaser is briefed on risks identified1 alternate approaches that may be taken1 and the schedule1 cost1 and capability tradeoffs associated with such alternate approaches4 7,c7 ,inclusion in briefing ,foreign purchaser input gathered under this paragraph shall be included in the briefing required by paragraph 7#a77;,b77ii7 and appropriately weighted in making final a decision with respect to the appropriate acquisition approach4 7#c7 ,agreements with manufacturers 7,a7 ,in general ,the ,secretary of ,defense shall allow ,united ,states companies to enter into agreements with manufacturers to begin the process of acquiring long-lead ,government-furnished equipment on forecast4 7,b7 ,high-demand systems ,united ,states companies that produce high-demand systems shall purchase certain sensitive and closely controlled items1 such as communications security devices1 military grade ,,gps1 and anti-spoofing devices1 as ,government-furnished equipment4 7,c7 ,department of ,defense policy 7i7 ,in general ,the ,secretary of ,defense shall implement policies1 and ensure that the head of each military department implements policies1 that allow ,united ,states companies to enter into agreements with manufacturers of ,government-furnished equipment so that production on long-lead ,government-furnished equipment may begin before the execution of a signed commercial contract or the issuance of a letter of offer and acceptance4 7ii7 ,elements ,the policies required by clause 7i7 shall require that-- 7,i7 ,united ,states companies shall-- 7aa7 before entering into an agreement under this paragraph1 obtain the concurrence or approval of the head of the military department concerned to do so2 and 7bb7 be responsible for-- 7,,aa7 negotiating directly with the manufacturer of ,government-furnished equipment2 and 7,,bb7 providing any payment to such manufacturer2 and 7,,ii7 transfer of ,government-furnished equipment from such manufacturer to the purchasing company shall not occur until the date on which a letter of offer and acceptance or commercial contract is produced4 7,d7 ,recovery of costs for certain sales ,in the case of defense sales1 purchasing companies may recoup costs associated with ordering the ,government-furnished equipment described in the applicable letter of offer and acceptance4 7g7 ,modification of authority for sales to ,united ,states companies for incorporation into end items ,section #cj7;a77#b7 of the ,arms ,export ,control ,act 7#bb ,u4,s4,c4 #bggj7;a77#b77 is amended by inserting or for the purpose of providing defense capabilities through provision of a service after to be sold by such a company4 7h7 ,treatment of national technology and industrial base as domestic source under ,defense ,production ,act of #aiej ,section #gjb7g77;,a7 of the ,defense ,production ,act of #aiej 7#ej ,u4,s4,c4 #deeb7g77;,a77 is amended by striking the ,united ,states or ,canada and inserting the ,united ,states1 any other country1 the persons or organizations within the national technology and industrial base1 or ,japan4 7i7 ,definitions ,in this section3 7#a7 ,defense acquisition workforce ,the term defense acquisition workforce means the ,department of ,defense acquisition workforce described in chapter #hg of title #aj1 ,united ,states ,code4 7#b7 ,security cooperation workforce ,the term security cooperation workforce has the meaning given the term in section #chd of title #aj1 ,united ,states ,code4