Sec. 3523. Contract termination
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/bill/115/hr/5515/eh/section-3523·A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
Chapter 17 of title 14, United States Code, is amended by inserting after section 656 the following: Before terminating a procurement or acquisition contract with a total value of more than $1,000,000, the Commandant of the Coast Guard shall notify each vendor under such contract and require the vendor to maintain all work product related to the contract until the earlier of— not less than 1 year after the date of the notification; or the date the Commandant notifies the vendor that maintenance of such work product is no longer required.
In this section the term work product — means tangible and intangible items and information produced or possessed as a result of a contract referred to in subsection (a); and includes— any completed end items; any uncompleted end items; and any property in the contractor’s possession in which the United States Government has an interest. A vendor that fails to maintain work product as required under subsection
(a)is liable to the United States for a civil penalty of not more than $25,000 for each day on which such work product is unavailable. Not later than 45 days after the end of each fiscal year, the Commandant of the Coast Guard shall provide to the Committee on Transportation and Infrastructure of the House of Representatives and the Committee on Commerce, Science, and Transportation of the Senate a report detailing— all Coast Guard contracts with a total value of more than $1,000,000 that were terminated in the fiscal year; all vendors who were notified under subsection (a)(1) in the fiscal year, and the date of such notification; all criminal, administrative, and other investigations regarding any contract with a total value of more than $1,000,000 that were initiated by the Coast Guard in the fiscal year; all criminal, administrative, and other investigations regarding contracts with a total value of more than $1,000,000 that were completed by the Coast Guard in the fiscal year; and an estimate of costs incurred by the Coast Guard, including contract line items and termination costs, as a result of the requirements of this section. . The analysis at the beginning of such chapter is amended by inserting after the item relating to section 656 the following: 657. Contract termination. .