Acquisition improvements

(a) In general Subchapter II of chapter 11 of title 14, United States Code, is amended by adding at the end the following: 1138. Service life extension programs (a) In general Requirements for a Level 1 or Level 2 acquisition project or program under sections 1131 through 1134 shall not apply to an acquisition by the Coast Guard that is a service life extension program. (b) Service life extension program defined In this section, the term service life extension program means a capital investment that is solely intended to extend the service life and address obsolescence of components or systems of a particular capability or asset. 1139. Consideration of life-cycle cost estimates for acquisition and procurement In carrying out the acquisition and procurement of vessels and aircraft, the Secretary of the department in which the Coast Guard is operating, acting through the Commandant, shall consider the life-cycle cost estimates of vessels and aircraft, as applicable, during the design and evaluation processes to the maximum extent practicable. 1140. Contracts that provide best value for taxpayer (a) In general In carrying out a Level 1 or Level 2 acquisition project or program under this subchapter, the Commandant shall publicly announce all construction, design, and engineering requirements and negotiate contracts for construction, design, and engineering services on the basis of demonstrated competence and qualification for the type of professional services required and at fair and reasonable prices. (b) Selection procedure The following procedures shall apply to the procurement of Level 1 or Level 2 acquisition project or program under this subchapter: (1) Statements of qualification and performance The Commandant shall require prospective contractors to submit a statement of qualifications and performance data. (2) Evaluation For each proposed project, the Commandant shall— (A) evaluate statements of qualifications and performance submitted by firms regarding the proposed project; and (B) conduct discussions with at least 3 firms to consider anticipated concepts and compare alternative methods for furnishing services. (3) Selection From the firms with which discussions have been conducted under paragraph (2)(B), the Commandant shall select, in order of preference, at least 3 firms that the Commandant considers most highly qualified to provide the services required, based on criteria established and published by the Commandant. (c) Negotiation of contract (1) In general The Commandant shall negotiate a contract for construction, design, and engineering services under this section at compensation which the Commandant determines is fair and reasonable to the Federal Government. (2) Fair and reasonable compensation In determining fair and reasonable compensation, the Commandant shall consider the scope, complexity, professional nature, and estimated value of the services to be rendered. (3) Negotiation The Commandant shall attempt to negotiate a contract with the most highly qualified firm selected under subsection (b). (4) Further negotiation If the Commandant is unable to negotiate a satisfactory contract with the firm under paragraph (3), the Commandant shall formally terminate negotiations with such firm and undertake negotiations with the next most qualified of the selected firms, continuing the process until an agreement is reached. (5) Additional firms If the Commandant is unable to negotiate a satisfactory contract with any of the selected firms, the Commandant shall select additional firms in order of competence and qualification and continue negotiations in accordance with this section until an agreement is reached.. (b) Clerical amendment The analysis for chapter 11 of title 14, United States Code, is amended by inserting after the item relating to section 1137 the following: 1138. Service life extension programs. 1139. Consideration of life-cycle cost estimates for acquisition and procurement. 1140. Contracts that provide best value for taxpayer..

(a) In general Subchapter II of chapter 11 of title 14, United States Code, is amended by adding at the end the following: 1138. Service life extension programs (a) In general Requirements for a Level 1 or Level 2 acquisition project or program under sections 1131 through 1134 shall not apply to an acquisition by the Coast Guard that is a service life extension program. (b) Service life extension program defined In this section, the term service life extension program means a capital investment that is solely intended to extend the service life and address obsolescence of components or systems of a particular capability or asset. 1139. Consideration of life-cycle cost estimates for acquisition and procurement In carrying out the acquisition and procurement of vessels and aircraft, the Secretary of the department in which the Coast Guard is operating, acting through the Commandant, shall consider the life-cycle cost estimates of vessels and aircraft, as applicable, during the design and evaluation processes to the maximum extent practicable. 1140. Contracts that provide best value for taxpayer (a) In general In carrying out a Level 1 or Level 2 acquisition project or program under this subchapter, the Commandant shall publicly announce all construction, design, and engineering requirements and negotiate contracts for construction, design, and engineering services on the basis of demonstrated competence and qualification for the type of professional services required and at fair and reasonable prices. (b) Selection procedure The following procedures shall apply to the procurement of Level 1 or Level 2 acquisition project or program under this subchapter: (1) Statements of qualification and performance The Commandant shall require prospective contractors to submit a statement of qualifications and performance data. (2) Evaluation For each proposed project, the Commandant shall— (A) evaluate statements of qualifications and performance submitted by firms regarding the proposed project; and (B) conduct discussions with at least 3 firms to consider anticipated concepts and compare alternative methods for furnishing services. (3) Selection From the firms with which discussions have been conducted under paragraph (2)(B), the Commandant shall select, in order of preference, at least 3 firms that the Commandant considers most highly qualified to provide the services required, based on criteria established and published by the Commandant. (c) Negotiation of contract (1) In general The Commandant shall negotiate a contract for construction, design, and engineering services under this section at compensation which the Commandant determines is fair and reasonable to the Federal Government. (2) Fair and reasonable compensation In determining fair and reasonable compensation, the Commandant shall consider the scope, complexity, professional nature, and estimated value of the services to be rendered. (3) Negotiation The Commandant shall attempt to negotiate a contract with the most highly qualified firm selected under subsection (b). (4) Further negotiation If the Commandant is unable to negotiate a satisfactory contract with the firm under paragraph (3), the Commandant shall formally terminate negotiations with such firm and undertake negotiations with the next most qualified of the selected firms, continuing the process until an agreement is reached. (5) Additional firms If the Commandant is unable to negotiate a satisfactory contract with any of the selected firms, the Commandant shall select additional firms in order of competence and qualification and continue negotiations in accordance with this section until an agreement is reached.. (b) Clerical amendment The analysis for chapter 11 of title 14, United States Code, is amended by inserting after the item relating to section 1137 the following: 1138. Service life extension programs. 1139. Consideration of life-cycle cost estimates for acquisition and procurement. 1140. Contracts that provide best value for taxpayer..