Modifications to commercial products and commercial services

(a) In general Section 3453 of title 10, United States Code, is amended— (1) in subsection (b)— (A) in the matter preceding paragraph (1), by striking procurement officials in that agency, and inserting acquisition officials in such agency and prime contractors and subcontractors (at any tier) performing contracts with such agency (including those performing consulting, research, and advisory services to acquisition officials of such agency); (B) in paragraph (2), by striking prime contractors and subcontractors at all levels under the agency contracts and inserting such prime contractors and subcontractors; (2) by redesignating subsections (d) and (e) as subsections (e) and (f), respectively; (3) by inserting after subsection (c) the following new subsection: (d) Non-commercial determination required (1) The head of an agency shall establish a process for determinations regarding the non-availability of commercial products or commercial services, including that— (A) a product or service that is not a commercial product or commercial service may not be procured until the head of the agency determines that the market research conducted in accordance with subsection (c)(2) resulted in a determination that no commercial product, commercial service, or nondevelopmental item exists that is suitable to meet the needs of the agency; and (B) prior to acquiring a product or service that is not a commercial product or commercial service, the relevant program manager shall submit a written memorandum confirming the results of the determination in subparagraph (A), which shall be signed by the portfolio acquisition executive; and (2) ensure the determination in paragraph (1)(A) does not inhibit the ability of a contracting officer to determine whether a product, component of a product, or service is a commercial product or commercial service (as applicable).; and (4) in subsection (e), as so redesignated, by striking for the solicitation through in the case of other products or services, and insert for the solicitation. (b) Determinations Section 3456 of title 10, United States Code, is amended— (1) in subsection (a), by amending paragraph (2) to read as follows: (2) assist each Secretary of a military department and each head of a Defense Agency with performing market research in accordance with the requirements of section 3453 of this title relating to market research and the determination regarding the non-availability of commercial products or commercial services, and other analysis, used to determine the reasonableness of price for the purposes of procurements by the Department of Defense.; and (2) in subsection (b)(2), by inserting after the first sentence the following: The contracting officer shall consider the results in the memorandum of the program manager required under section 3453(d)(1)(B) of this title when developing the memorandum required under this paragraph..