Sec. 921. AUTHORITIES AND RESPONSIBILITIES OF THE CHIEF MANAGEMENT OFFICER OF THE DEPARTMENT OF DEFENSE
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## SEC. 921 AUTHORITIES AND RESPONSIBILITIES OF THE CHIEF MANAGEMENT OFFICER OF THE DEPARTMENT OF DEFENSE ###
(a)Authorities and Responsibilities ####
(1)In general Subsection
(b)of section 132a of title 10, United States Code, is amended by adding at the end the following new paragraph: > > #### “(7) > > Serving as the official with principal responsibility in the Department for minimizing the duplication of efforts, maximizing efficiency and effectiveness, and establishing metrics for performance among and for all organizations and elements of the Department.” > . ####
(2)Budget authority #####
(A)In general Such section is further amended— ######
(i)by redesignating subsections
(c)and
(d)as subsections
(d)and (e), respectively; and ######
(ii)by inserting after subsection
(b)the following new subsection (c): > > ### “(c) Budget Authority > > > ####
(1)> > > #####
(A)> > Beginning in fiscal year 2020, the Secretary of Defense, acting through the Under Secretary of Defense (Comptroller), shall require the head of each Defense Agency and Department of Defense Field Activity specified by the Secretary for purposes of this subsection to transmit the proposed budget of such Agency or Activity for enterprise business operations for a fiscal year, and for the period covered by the future-years defense program submitted to Congress under section 221 of this title for that fiscal year, to the Chief Management Officer for review under subparagraph
(B)at the same time the proposed budget is submitted to the Under Secretary of Defense (Comptroller). > > > ##### “(B) > > The Chief Management Officer shall review each proposed budget transmitted under subparagraph
(A)and, not later than January 31 of the year preceding the fiscal year for which the budget is proposed, shall submit to the Secretary a report containing the comments of the Chief Management Officer with respect to all such proposed budgets, together with the certification of the Chief Management Officer regarding whether each such proposed budget achieves the required level of efficiency and effectiveness for enterprise business operations, consistent with guidance for budget review established by the Chief Management Officer. > > > ##### “(C) > > Not later than March 31 each year, the Secretary shall submit to Congress a report that includes the following: > > > ###### “(i) > > Each proposed budget for the enterprise business operations of a Defense Agency or Department of Defense Field Activity that was transmitted to the Chief Management Officer under subparagraph (A). > > > ###### “(ii) > > Identification of each proposed budget contained in the most recent report submitted under subparagraph
(B)that the Chief Management Officer did not certify as achieving the required level of efficiency and effectiveness for enterprise business operations. > > > ###### “(iii) > > A discussion of the actions that the Secretary proposes to take, together with any recommended legislation that the Secretary considers appropriate, to address inadequate levels of efficiency and effectiveness for enterprise business operations achieved by the proposed budgets identified in the report. > > > ###### “(iv) > > Any additional comments that the Secretary considers appropriate regarding inadequate levels of efficiency and effectiveness for enterprise business operations achieved by the proposed budgets. > > > #### “(2) > > Nothing in this subsection shall be construed to modify or interfere with the budget-related responsibilities of the Director of National Intelligence.” > . #####
(B)Execution of authority **[**[10 U.S.C. 132a note](/us/usc/t10/s132a)**]** In order to execute the authority in subsection
(c)of section 132a of title 10, United States Code (as amended by subparagraph (A)), the Chief Management Officer of the Department of Defense shall do the following: ######
(i)By April 1, 2019, develop an assessment of cost and expertise requirements to execute such authority. ######
(ii)By September 1, 2019, develop guidance for Defense Agencies and Department of Defense Field Activities to delineate spending on enterprise business operations and develop a process to determine the adequacy of their budgets for such operations. ###
(b)Reform of Business Enterprise Operations in Support of Certain Activities Across Department of Defense **[**[10 U.S.C. 2222 note](/us/usc/t10/s2222)**]** ####
(1)Periodic reform #####
(A)In general Not later than January 1, 2020, and not less frequently than once every five years thereafter, the Secretary of Defense shall, acting through the Chief Management Officer of the Department of Defense, reform enterprise business operations of the Department of Defense, through reductions, eliminations, or improvements, across all organizations and elements of the Department with respect to covered activities in order to increase effectiveness and efficiency of mission execution. #####
(B)CMO reports Not later than January 1 of every fifth calendar year beginning with January 1, 2025, the Chief Management Officer shall submit to the congressional defense committees a report that describes the activities carried out by the Chief Management Officer under this subsection during the preceding five years, including an estimate of any cost savings achieved as a result of such activities. ####
(2)Covered activities defined In this subsection, the term “covered activities” means any activity relating to civilian resources management, logistics management, services contracting, or real estate management. ####
(3)Reporting framework Not later than January 1, 2020, the Chief Management Officer shall establish a consistent reporting framework to establish a baseline for the costs to perform all covered activities, and shall submit to Congress a report that, for each individual covered activity performed in fiscal year 2019, identifies the following: #####
(A)The component or components of the Department responsible for performing such activity, and a business process map of such activity, in fiscal year 2019. #####
(B)The number of the military, civilian, and contractor personnel of the component or components of the Department who performed such activity in that fiscal year. #####
(C)The manpower requirements for such activity as of that fiscal year. #####
(D)The systems and other resources associated with such activity as of that fiscal year. #####
(E)The cost in dollars of performing such activity in fiscal year 2019. ####
(4)Initial plan Not later than February 1, 2019, the Chief Management Officer shall submit to the congressional defense committees a plan, schedule, and cost estimate for conducting the reforms required under paragraph (1)(A). ####
(5)Certification of cost savings Not later than January 1, 2020, the Chief Management Officer shall certify to the congressional defense committees that the savings and costs incurred as a result of activities carried out under paragraph
(1)will achieve savings in fiscal year 2020 against the total amount obligated and expended for covered activities in fiscal year 2019 of— #####
(A)not less than 25 percent of the cost in dollars of performing covered activities in fiscal year 2019 as specified pursuant to paragraph (3)(E); or #####
(B)if the Chief Management Officer determines that achievement of savings of 25 percent or more will create overall inefficiencies for the Department, notice and justification will be submitted to the congressional defense committees specifying a lesser percentage of savings that the Chief Management Officer determines to be necessary to achieve efficiencies in the delivery of covered activities, which notice and justification shall be submitted by not later than October 1, 2019, together with a description of the efficiencies to be achieved. ####
(6)Comptroller general reports The Comptroller General of the United States shall submit to the congressional defense committees the following: #####
(A)Not later than 90 days after the submittal of the plan under paragraph (4), a report that verifies whether the plan is feasible. #####
(B)Not later than 270 days after the date of enactment of this Act, a report setting forth an assessment of the actions taken under paragraph (1)(A) since the date of the enactment of this Act. #####
(C)Not later than 270 days after the submittal of the reporting framework under paragraph (3), a report that verifies whether the baseline established in the framework is accurate. #####
(D)Not later than 270 days after the submittal of the report under paragraph (5), a report that verifies— ######
(i)whether the activities described in the report were carried out; and ######
(ii)whether any cost savings estimated in the report are accurate.
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Sec. 921
AUTHORITIES AND RESPONSIBILITIES OF THE CHIEF MANAGEMENT OFFICER OF THE DEPARTMENT OF DEFENSE
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