Restructuring of performance evaluation metrics for the acquisition workforce

(a) Establishment of acquisition workforce key performance indicators Not later than 180 days after the date of the enactment of this Act, the Secretary of Defense shall implement mandatory key performance indicators (in this section referred to as KPIs) for evaluating members of the acquisition workforce (as defined in 10 USC 101). Such KPIs shall be used to assess the degree of alignment between activities of such members and strategic priorities of the Department of Defense, including— (1) use of commercial acquisition methods, including the use of fixed-price contracts under terms and conditions similar to those used for commercial contracts; (2) use of innovative acquisition authorities; (3) demonstrated preference for commercial solutions; (4) integration of small business concerns (as defined under section 3 of the Small Business Act (15 U.S.C. 632)) and nontraditional defense contractors (as defined in section 3014 of title 10, United States Code) into the defense industrial base; (5) demonstrated cost and schedule efficiencies; (6) use of milestone-based, modular open system approaches (as defined in section 4401 of title 10, United States Code, as amended by section 1833 of this Act) and capabilities-based pricing; and (7) use of the authorities under chapter 253 of title 10, United States Code, and similar tools aimed at streamlining and improving the acquisition process for the Department of Defense. (b) Integration with personnel systems and promotion boards The KPIs described in subsection (a) shall be integrated into— (1) annual performance appraisals for members of the acquisition workforce; (2) promotion, bonus, and assignment consideration for acquisition positions; and (3) requirements for certification, training, and continuing education under chapter 87 of title 10, United States Code. (c) Public reporting and oversight Beginning not later than 365 days after the date of the enactment of this Act, the Under Secretary of Defense for Acquisition and Sustainment shall submit to the congressional defense committees a semiannual report on— (1) progress in implementing KPIs required by this section; (2) compliance rates by each element of the Department of Defense; (3) any barriers to implementation; and (4) recommendations for additional legislative authorities to carry out the requirements of this section. (d) Definitions For purposes of this section: (1) The term commercial solutions means any method for procurement of a commercial product or commercial service as described in part 12 of the Federal Acquisition Regulation, subparts 212.2 and 212.70 of the Department of Defense Supplement to the Federal Acquisition Regulation, or any product, service, or other solution developed by a private entity and funded by private investment that meets the needs of the Department of Defense. (2) The term innovative acquisition authorities means— (A) the authority under section 4021 and 4022 of title 10, United States Code; (B) authority to use commercial solutions opening contracts pursuant to section 3458 of such title 10; (C) application of policies of a rapid capabilities office of a military department; or (D) any other streamlined acquisition authority. (e) Sense of congress It is the sense of Congress that fostering a risk-tolerant, innovation-forward culture in the defense acquisition workforce is essential to maintaining the United States technological and military advantage. Accordingly, the Department of Defense shall prioritize the cultivation of acquisition professionals who can effectively leverage commercial technology, deliver digital capabilities at speed, and expand the industrial base beyond traditional vendors.

(a) Establishment of acquisition workforce key performance indicators Not later than 180 days after the date of the enactment of this Act, the Secretary of Defense shall implement mandatory key performance indicators (in this section referred to as KPIs) for evaluating members of the acquisition workforce (as defined in 10 USC 101). Such KPIs shall be used to assess the degree of alignment between activities of such members and strategic priorities of the Department of Defense, including— (1) use of commercial acquisition methods, including the use of fixed-price contracts under terms and conditions similar to those used for commercial contracts; (2) use of innovative acquisition authorities; (3) demonstrated preference for commercial solutions; (4) integration of small business concerns (as defined under section 3 of the Small Business Act (15 U.S.C. 632)) and nontraditional defense contractors (as defined in section 3014 of title 10, United States Code) into the defense industrial base; (5) demonstrated cost and schedule efficiencies; (6) use of milestone-based, modular open system approaches (as defined in section 4401 of title 10, United States Code, as amended by section 1833 of this Act) and capabilities-based pricing; and (7) use of the authorities under chapter 253 of title 10, United States Code, and similar tools aimed at streamlining and improving the acquisition process for the Department of Defense. (b) Integration with personnel systems and promotion boards The KPIs described in subsection (a) shall be integrated into— (1) annual performance appraisals for members of the acquisition workforce; (2) promotion, bonus, and assignment consideration for acquisition positions; and (3) requirements for certification, training, and continuing education under chapter 87 of title 10, United States Code. (c) Public reporting and oversight Beginning not later than 365 days after the date of the enactment of this Act, the Under Secretary of Defense for Acquisition and Sustainment shall submit to the congressional defense committees a semiannual report on— (1) progress in implementing KPIs required by this section; (2) compliance rates by each element of the Department of Defense; (3) any barriers to implementation; and (4) recommendations for additional legislative authorities to carry out the requirements of this section. (d) Definitions For purposes of this section: (1) The term commercial solutions means any method for procurement of a commercial product or commercial service as described in part 12 of the Federal Acquisition Regulation, subparts 212.2 and 212.70 of the Department of Defense Supplement to the Federal Acquisition Regulation, or any product, service, or other solution developed by a private entity and funded by private investment that meets the needs of the Department of Defense. (2) The term innovative acquisition authorities means— (A) the authority under section 4021 and 4022 of title 10, United States Code; (B) authority to use commercial solutions opening contracts pursuant to section 3458 of such title 10; (C) application of policies of a rapid capabilities office of a military department; or (D) any other streamlined acquisition authority. (e) Sense of congress It is the sense of Congress that fostering a risk-tolerant, innovation-forward culture in the defense acquisition workforce is essential to maintaining the United States technological and military advantage. Accordingly, the Department of Defense shall prioritize the cultivation of acquisition professionals who can effectively leverage commercial technology, deliver digital capabilities at speed, and expand the industrial base beyond traditional vendors.