Sec. 121. CVN-78 CLASS AIRCRAFT CARRIER PROGRAM

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## SEC. 121 CVN-78 CLASS AIRCRAFT CARRIER PROGRAM ###

(a)Cost Limitation Baseline for Lead Ship Subsection

(a)of section 122 of the John Warner National Defense Authorization Act for Fiscal Year 2007 (Public Law 109-364; 120 Stat. 2104) is amended to read as follows: > > ### “(a) Limitation > > > #### “(1) Lead ship > > The total amount obligated from funds appropriated or otherwise made available for Shipbuilding and Conversion, Navy, or for any other procurement account, for the aircraft carrier designated as CVN-78 may not exceed $12,887,000,000 (as adjusted pursuant to subsection (b)). > > > #### “(2) Follow-on ships > > The total amount obligated from funds appropriated or otherwise made available for Shipbuilding and Conversion, Navy, or for any other procurement account, for the construction of any ship that is constructed in the CVN-78 class of aircraft carriers after the lead ship of that class may not exceed $11,498,000,000 (as adjusted pursuant to subsection (b)).” > . ###

(b)Hull Number; Additional Factor for Adjustment of Limitation Amount ####

(1)In general Subsection

(b)of such section is amended— #####

(A)in the matter preceding paragraph (1), by striking “CVN-21” and inserting “CVN-78”; #####

(B)in paragraph (1), by striking “2006” and inserting “2013”; and #####

(C)by adding at the end the following new paragraph: > > #### “(7) > > With respect to the aircraft carrier designated as CVN-78, the amounts of increases or decreases in costs of that ship that are attributable solely to an urgent and unforeseen requirement identified as a result of the shipboard test program.” > . ####

(2)Limitation on adjustment Such section is further amended by adding at the end the following new subsection: > > ### “(e) Limitation on Shipboard Test Program Cost Adjustment > > With respect to using the authority under subsection (b)(7) to adjust the amount set forth in subsection (a)(1) for the aircraft carrier designated as CVN-78 for reasons relating to an urgent and unforeseen requirement identified as a result of the shipboard test program, the Secretary may only use such authority if— > > > #### “(1) > > the Secretary determines, and certifies to the congressional defense committees, that such requirement was not known before the date of the submittal to Congress of the budget for fiscal year 2014 (as submitted pursuant to section 1105 of title 31, United States Code); > > > #### “(2) > > the Secretary determines, and certifies to the congressional defense committees, that waiting on an action by Congress to raise the cost cap specified in such subsection (a)(1) to account for such requirement will result in a delay in the delivery of that ship or a delay in the date of initial operating capability of that ship; and > > > #### “(3) > > the Secretary submits to the congressional defense committees a report setting forth a description of such requirement before the obligation of additional funds pursuant to such authority.” > . ###

(c)Requirements for CVN-79 Such section is further amended by adding after subsection (e), as added by subsection (b)(2), the following new subsection: > > ### “(f) Requirements for CVN-79 > > > #### “(1) Quarterly cost estimate > > The Secretary of the Navy shall submit to the congressional defense committees on a quarterly basis a report setting forth the most current cost estimate for the aircraft carrier designated as CVN-79 (as estimated by the program manager). Each cost estimate shall include the current percentage of completion of the program, the total costs incurred, and an estimate of costs at completion for ship construction, Government-furnished equipment, and engineering and support costs. > > > #### “(2) Direction for negotiating certain contracts > > The Secretary shall ensure that each prime contract for the aircraft carrier designated as CVN-79 includes an incentive fee structure that will, throughout the period of performance of the contract, provide incentives for each contractor to meet the portion of the cost of the ship, as limited by subsection (a)(2) and adjusted pursuant to subsection (b), for which the contractor is responsible.” > . ###

(d)Conforming Amendment The heading of such section is amended to read as follows: > > ## “SEC. 122 ADHERENCE TO NAVY COST ESTIMATES FOR CVN-78 CLASS OF AIRCRAFT CARRIERS” > . ###

(e)Clerical Amendment The table of contents at the beginning of such Act is amended by striking the item relating to section 122 and inserting the following:" “Sec. 122. Adherence to Navy cost estimates for CVN-78 class of aircraft carriers.” ".

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Pub. L. 109-364
120 Stat. 2104

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Sec. 121

CVN-78 CLASS AIRCRAFT CARRIER PROGRAM

Pub. L.Pub. L. 109-364

Stat.120 Stat. 2104

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