Sec. 901. ORGANIZATION OF THE OFFICE OF THE SECRETARY OF DEFENSE

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## SEC. 901 ORGANIZATION OF THE OFFICE OF THE SECRETARY OF DEFENSE ###

(a)Under Secretary of Defense for Research and Engineering ####

(1)In general **[**[10 U.S.C. 133a note](/us/usc/t10/s133a)**]** Effective on February 1, 2018, chapter 4 of title 10, United States Code, is amended by striking section 133 and inserting the following new section: > > ## “SEC. 133a Under Secretary of Defense for Research and Engineering > > **[**[10 U.S.C. 133a](/us/usc/t10/s133a)**]** > > > ### “(a) Under Secretary of Defense > > There is an Under Secretary of Defense for Research and Engineering, appointed from civilian life by the President, by and with the advice and consent of the Senate. The Under Secretary shall be appointed from among persons who have an extensive technology, science, or engineering background and experience with managing complex or advanced technological programs. A person may not be appointed as Under Secretary within seven years after relief from active duty as a commissioned officer of a regular component of an armed force. > > > ### “(b) Duties and Powers > > Subject to the authority, direction, and control of the Secretary of Defense, the Under Secretary shall perform such duties and exercise such powers as the Secretary may prescribe, including— > > > #### “(1) > > serving as the chief technology officer of the Department of Defense with the mission of advancing technology and innovation for the armed forces (and the Department); > > > #### “(2) > > establishing policies on, and supervising, all defense research and engineering, technology development, technology transition, prototyping, experimentation, and developmental testing activities and programs, including the allocation of resources for defense research and engineering, and unifying defense research and engineering efforts across the Department; and > > > #### “(3) > > serving as the principal advisor to the Secretary on all research, engineering, and technology development activities and programs in the Department. > > > ### “(c) Precedence in Department of Defense > > > #### “(1) Precedence in matters of responsibility > > With regard to all matters for which the Under Secretary has responsibility by the direction of the Secretary of Defense or by law, the Under Secretary takes precedence in the Department of Defense after the Secretary and the Deputy Secretary of Defense. > > > #### “(2) Precedence in other matters > > With regard to all matters other than the matters for which the Under Secretary has responsibility by the direction of the Secretary or by law, the Under Secretary takes precedence in the Department of Defense after the Secretary, the Deputy Secretary, and the Secretaries of the military departments.” > . **[**Paragraph

(2)was repealed by section 901 of Public Law 115–91.**]** ###

(b)Under Secretary of Defense for Acquisition and Sustainment **[**[10 U.S.C. 133b note](/us/usc/t10/s133b)**]** Effective on February 1, 2018, chapter 4 of title 10, United States Code, is further amended by inserting after section 133a, as added by subsection (a), the following new section: > > ## “SEC. 133b Under Secretary of Defense for Acquisition and Sustainment > > **[**[10 U.S.C. 133b](/us/usc/t10/s133b)**]** > > > ### “(a) Under Secretary of Defense > > There is an Under Secretary of Defense for Acquisition and Sustainment, appointed from civilian life by the President, by and with the advice and consent of the Senate. The Under Secretary shall be appointed from among persons who have an extensive system development, engineering, production, or management background and experience with managing complex programs. A person may not be appointed as Under Secretary within seven years after relief from active duty as a commissioned officer of a regular component of an armed force. > > > ### “(b) Duties and Powers > > Subject to the authority, direction, and control of the Secretary of Defense, the Under Secretary shall perform such duties and exercise such powers as the Secretary may prescribe, including— > > > #### “(1) > > serving as the chief acquisition and sustainment officer of the Department of Defense with the mission of delivering and sustaining timely, cost-effective capabilities for the armed forces (and the Department); > > > #### “(2) > > establishing policies on, and supervising, all elements of the Department relating to acquisition (including system design, development, and production, and procurement of goods and services) and sustainment (including logistics, maintenance, and materiel readiness); > > > #### “(3) > > establishing policies for access to, and maintenance of, the defense industrial base and materials critical to national security, and policies on contract administration; > > > #### “(4) > > serving as— > > > ##### “(A) > > the principal advisor to the Secretary on acquisition and sustainment in the Department; > > > ##### “(B) > > the senior procurement executive for the Department for the purposes of section 1702(c) of title 41; and > > > ##### “(C) > > the Defense Acquisition Executive for purposes of regulations and procedures of the Department providing for a Defense Acquisition Executive; > > > #### “(5) > > overseeing the modernization of nuclear forces and the development of capabilities to counter weapons of mass destruction, and serving as the chairman of the Nuclear Weapons Council and the co-chairman of the Council on Oversight of the National Leadership Command, Control, and Communications System; > > > #### “(6) > > the authority to direct the Secretaries of the military departments and the heads of all other elements of the Department with regard to matters for which the Under Secretary has responsibility, except that the Under Secretary shall exercise supervisory authority over service acquisition programs for which the service acquisition executive is the milestone decision authority; and > > > #### “(7) > > to the extent directed by the Secretary, exercising overall supervision of all personnel (civilian and military) in the Office of the Secretary of Defense with regard to matters for which the Under Secretary has responsibility, unless otherwise provided by law. > > > ### “(c) Precedence in Department of Defense > > > #### “(1) Precedence in matters of responsibility > > With regard to all matters for which the Under Secretary has responsibility by the direction of the Secretary of Defense or by law, the Under Secretary takes precedence in the Department of Defense after the Secretary, the Deputy Secretary of Defense, and the Under Secretary of Defense for Research and Engineering. > > > #### “(2) Precedence in other matters > > With regard to all matters other than the matters for which the Under Secretary has responsibility by the direction of the Secretary or by law, the Under Secretary takes precedence in the Department of Defense after the Secretary, the Deputy Secretary, the Under Secretary of Defense for Research and Engineering, and the Secretaries of the military departments.” > . **[**Subsection

(c)was repealed by section 910(b)(1) of Public Law 115–91.**]** ###

(d)Repeal of Pending Authority To Establish Under Secretary of Defense for Business Management and Information Subsection

(a)of section 901 of the Carl Levin and Howard P. “Buck” McKeon National Defense Authorization Act for Fiscal Year 2015 (Public Law 113-291; 128 Stat. 3462) is repealed. ###

(e)Repeal of Certain ASD and Director Positions Chapter 4 of title 10, United States Code, is further amended— ####

(1)in section 138(b)— #####

(A)by striking paragraphs (6), (7), (8), and (9); and #####

(B)by redesignating paragraph

(10)as paragraph (6); and ####

(2)by striking sections 139b and 139c. ###

(f)Office of the Secretary of Defense **[**[10 U.S.C. 131 note](/us/usc/t10/s131)**]** Effective on February 1, 2018, section 131(b)(2) of title 10, United States Code, is amended— ####

(1)by redesignating subparagraphs

(B)through

(E)as subparagraphs

(C)through (F), respectively; and ####

(2)by striking subparagraph

(A)and inserting the following new subparagraphs: > > ##### “(A) > > The Under Secretary of Defense for Research and Engineering. > > > ##### “(B) > > The Under Secretary of Defense for Acquisition and Sustainment.” > . ###

(g)Table of Section Amendments ####

(1)Table of sections effective on enactment **[**[10 U.S.C. 131](/us/usc/t10/s131)**]** The table of sections at the beginning of chapter 4 of title 10, United States Code, is amended by striking the items relating to sections 139b and 139c. ####

(2)Table of sections effective on delayed effective date **[**[10 U.S.C. 131](/us/usc/t10/s131)**]** Effective on February 1, 2018, the table of sections at the beginning of chapter 4 of such title is further amended by striking the item relating to section 133 and inserting the following new items:" “133a. Under Secretary of Defense for Research and Engineering. “133b. Under Secretary of Defense for Acquisition and Sustainment.” ". ###

(h)Executive Schedule Level II **[**[5 U.S.C. 5313 note](/us/usc/t5/s5313)**]** Effective on February 1, 2018, section 5313 of title 5, United States Code, is amended by striking the item relating to the Under Secretary of Defense for Acquisition, Technology, and Logistics and inserting the following new item:" Under Secretary of Defense for Research and Engineering.” ". ###

(i)Review Required ####

(1)In general The Secretary of Defense shall conduct a review and identify a recommended organizational and management structure for the Department of Defense that implements the organizational policy guidance expressed in this section and the amendments made by this section. ####

(2)Elements The review and recommendations shall address, but not be limited to, the following: #####

(A)The organizational and management structure of the Department including the disposition of leadership positions, subordinate organizations, and defined relationships across such leadership positions and organizations. #####

(B)The recommended disposition within the Office of the Secretary of Defense of the various Assistant Secretaries of Defense, Deputy Assistant Secretaries of Defense, and Directors affected by the organizational policy guidance. #####

(C)The specific delineation of roles, responsibilities, and authorities, as directed by the Secretary, for the organizational and management structure covered by subparagraph (A). ###

(j)Reports ####

(1)Interim report Not later than March 1, 2017, the Secretary of Defense shall submit to the congressional defense committees an interim report on the review and recommended organizational and management structure for the Department of Defense as required by subsection (i). ####

(2)Final report Not later than August 1, 2017, the Secretary shall submit to the congressional defense committees a final report on the review and recommended organizational and management structure, including— #####

(A)a proposed implementation plan for how the Department would implement its recommendations; #####

(B)recommendations for revisions to appointments and qualifications, duties and powers, and precedent in the Department; #####

(C)recommendations for such legislative and administrative action, including conforming and other amendments to law, as the Secretary considers appropriate to implement the plan; and #####

(D)any other matters that the Secretary considers appropriate.

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