Sec. 830. Requirement to use firm fixed-price contracts for foreign military sales
231 words·~1 min read·
/bill/114/s/2943/enr/section-830·A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
Not later than 180 days after the date of the enactment of this Act, the Secretary of Defense shall prescribe regulations to require the use of firm fixed-price contracts for foreign military sales. The regulations prescribed pursuant to subsection
(a)shall include exceptions that may be exercised if the foreign country that is the counterparty to a foreign military sale— has established in writing a preference for a different contract type; or requests in writing that a different contract type be used for a specific foreign military sale. The regulations prescribed pursuant to subsection
(a)shall include a waiver that may be exercised by the Secretary of Defense or his designee if the Secretary or his designee determines on a case-by-case basis that a different contract type is in the best interest of the United States and American taxpayers. The Secretary of Defense shall establish a pilot program to reform and accelerate the contracting and pricing processes associated with full rate production of major weapon systems for no more than 10 foreign military sales contracts by— basing price reasonableness determinations on actual cost and pricing data for purchases of the same product for the Department of Defense; and reducing the cost and pricing data to be submitted in accordance with section 2306a of title 10, United States Code. Authority for the pilot program under this subsection expires on January 1, 2020.