Sec. 832. Definition of subcontract
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Chapter 1 of title 41, United States Code, is amended— by redesignating sections 115 and 116 as sections 116 and 117, respectively; and by inserting after section 114 the following new section 115: In this subtitle, the term subcontract means a contract entered into by a prime contractor or subcontractor for the purpose of obtaining supplies, materials, equipment, or services of any kind under a prime contract. The term includes a transfer of a commercial product or commercial service between divisions, subsidiaries, or affiliates of a contractor or subcontractor.
In this subtitle, the term subcontract does not include— a contract the costs of which are applied to general and administrative expenses or indirect costs; or an agreement entered into by a contractor or subcontractor for the supply of a commodity, a commercial product, or a commercial service that is intended for use in the performance of multiple contracts. . The table of sections at the beginning of chapter 1 of title 41, United States Code, is amended by striking the items relating to sections 115 and 116 and inserting the following new items: 115.
Subcontract. 116. Supplies. 117. Technical data. . Title 41, United States Code, is further amended as follows: Section 1502(b)(1) is amended— by striking subparagraph (A); by redesignating subparagraphs
(B)and
(C)as subparagraphs
(A)and (B), respectively; and in subparagraph (B), as so redesignated, by striking Subparagraph
(B)and inserting Subparagraph
(A). Section 1906 is amended— in subsection (c)— by striking paragraph (1); by redesignating paragraphs (2), (3), and
(4)as paragraphs (1), (2), and (3), respectively; in paragraph (1), as so redesignated, by striking paragraph
(3)and inserting paragraph
(2); and in paragraph (2), as so redesignated, by striking paragraph
(2)and inserting paragraph
(1); and in subsection (e), by striking (c)(3) both places it appears and inserting (c)(2) . Section 3307(e)(2) is amended— by striking subparagraph (A); by redesignating subparagraphs (B), (C), (D), and
(E)as subparagraphs (A), (B), (C), and (D), respectively; in subparagraph (C), as so redesignated— by striking subparagraph
(B)and inserting subparagraph
(A); and by striking subparagraph
(C)and inserting subparagraph
(B); and in subparagraph (D), as so redesignated, by striking subparagraph
(B)and inserting subparagraph
(A). Section 3501(a) is amended by striking paragraph (3). Section 2302(3) of title 10, United States Code, is amended by adding at the end the following new subparagraph: The term subcontract . . Section 2375(c) of title 10, United States Code, is amended— by striking paragraph (3); and by redesignating paragraph
(4)as paragraph (3). Section 2376(1) of such title is amended by striking and and inserting commercial component have . commercial component , and subcontract have