Sec. 1812. INDEPENDENT COST ESTIMATION AND COST ANALYSIS

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## SEC. 1812 INDEPENDENT COST ESTIMATION AND COST ANALYSIS ###

(a)New Chapter Part V of subtitle A of title 10, United States Code, as added by section 801 of the John S. McCain National Defense Authorization Act for Fiscal Year 2019 (Public Law 115-232), is amended by inserting after chapter 221, as added by the preceding section, the following new chapter: > > ## “CHAPTER 222 **INDEPENDENT COST ESTIMATION AND COST ANALYSIS** > > **[**[10 U.S.C. 3221](/us/usc/t10/s3221)**]** > > > ## “SEC. 3221 Director of Cost Assessment and Program Evaluation > > **[**[10 U.S.C. 3221](/us/usc/t10/s3221)**]** > > > ## “SEC. 3222 Independent cost estimate required before approval > > **[**[10 U.S.C. 3222](/us/usc/t10/s3222)**]** > > > ## “SEC. 3223 Director: review of cost estimates, cost analyses, and records of the military departments and Defense Agencies > > **[**[10 U.S.C. 3223](/us/usc/t10/s3223)**]** > > > ## “SEC. 3224 Director: participation, concurrence, and approval in cost estimation > > **[**[10 U.S.C. 3224](/us/usc/t10/s3224)**]** > > > ## “SEC. 3225 Discussion of risk in cost estimates > > **[**[10 U.S.C. 3225](/us/usc/t10/s3225)**]** > > > ## “SEC. 3226 Estimates for program baseline and analyses and targets for contract negotiation purposes > > **[**[10 U.S.C. 3226](/us/usc/t10/s3226)**]** > > > ## “SEC. 3227 Guidelines and collection method for acquisition of cost data” > > **[**[10 U.S.C. 3227](/us/usc/t10/s3227)**]** > . ###

(b)Transfer of Subsections

(a)and

(h)of Section 2334 to Section 3221 ####

(1)Transfer of subsection

(a)of section 2334 Subsection

(a)of section 2334 of title 10, United States Code, is transferred to section 3221 of such title, as added by subsection (a), inserted after the section heading, and amended by designating the second sentence as subsection (b). ####

(2)Revisions to new subsection

(b)Subsection

(b)of such section 3221, as designated by paragraph (1), is amended— #####

(A)by striking “In carrying out that responsibility,” and inserting “Functions.—In carrying out the responsibility of the Director under subsection (a),”; #####

(B)in paragraph (2)— ######

(i)by striking “provide guidance” and all that follows through “Defense Agencies”; and ######

(ii)by striking “ of this title; ” and inserting > “of this title, provide guidance to and consult with— > > > ##### “(A) > > the Secretary of Defense; > > > ##### “(B) > > the Under Secretary of Defense for Acquisition and Sustainment; > > > ##### “(C) > > the Under Secretary of Defense (Comptroller); > > > ##### “(D) > > the Secretaries of the military departments; and > > > ##### “(E) > > the heads of the Defense Agencies;” > ; #####

(C)in paragraph (6)(A)— ######

(i)in clause (i), by striking “section 2366a or 2366b” and inserting “section 4251 or 4252”; and ######

(ii)in clause (iii), by striking “section 2433a” and inserting “section 4376”; and #####

(D)in paragraph (8), by striking “section 2432(c)(1)” and inserting “section 4353(a)”. ####

(3)Transfer of subsection

(h)of section 2334 Subsection

(h)of section 2334 of title 10, United States Code, is transferred to such section 3221, inserted after subsection (b), as designated by paragraph (2), and redesignated as subsection (c). ###

(c)Transfer of Subsection

(b)of Section 2334 ####

(1)Transfer Subsection

(b)of section 2334 of title 10, United States Code, is transferred to section 3222 of such title, as added by subsection (a), inserted after the section heading, and redesignated as subsection (a). ####

(2)Revisions Such section 3222 is amended— #####

(A)by striking “Independent Cost Estimate Required Before Approval.—(1) A milestone” and inserting “Requirement.— A milestone”; #####

(B)by redesignating paragraph

(2)as subsection (b); #####

(C)in subsection (b), as so redesignated— ######

(i)by inserting “Regulations.—” before “The regulations”; and ######

(ii)by striking “subsection (a)” and inserting “section 3221 of this title”; and #####

(D)in subsections

(a)and (b), as so redesignated, by redesignating subparagraphs

(A)and

(B)as paragraphs

(1)and (2), respectively. ###

(d)Transfer of Subsection

(c)of Section 2334 Subsection

(c)of section 2334 of title 10, United States Code, is transferred to section 3223 of such title, as added by subsection (a), inserted after the section heading, and amended by striking the subsection designation and subsection heading. ###

(e)Transfer of Subsection

(d)of Section 2334 ####

(1)Transfer Subsection

(d)of section 2334 of title 10, United States Code, is transferred to section 3224 of such title, as added by subsection (a), and inserted after the section heading. ####

(2)Revisions Such section 3224 is amended— #####

(A)by striking the subsection designation and subsection heading; and #####

(B)in paragraph (3), by striking “subsection (a)(6)” and inserting “section 3221(b)(6) of this title”. ###

(f)Transfer of Subsection

(e)of Section 2334 ####

(1)Transfer Subsection

(e)of section 2334 of title 10, United States Code, is transferred to section 3225 of such title, as added by subsection (a), and inserted after the section heading. ####

(2)Revisions Such section 3225 is amended— #####

(A)by striking the subsection designation and subsection heading; #####

(B)in paragraph (3)(A), by striking “subsection (a)(6)” and inserting “section 3221(b)(6) of this title”; and #####

(C)in paragraph (3)(B), by striking “section 2432” and inserting “sections 4351 through 4358”. ###

(g)Transfer of Subsection

(f)of Section 2334 ####

(1)Transfer Subsection

(f)of section 2334 of title 10, United States Code, is transferred to section 3226 of such title, as added by subsection (a), inserted after the section heading, and redesignated as subsection (a). ####

(2)Revisions Such section 3226 is amended— #####

(A)by striking “Estimates for” and all that follows through “(1) The policies,” and inserting “Cost Estimates Developed for Specified Purposes Not to Be Used for Contract Negotiations or Obligation of Funds.—The policies,”; #####

(B)in subsection (a), as so redesignated— ######

(i)by striking “subsection (a)” and inserting “section 3221 of this title”; and ######

(ii)by striking “subsection (a)(6)” and inserting “subsection (b)(6) of such section”; #####

(C)by redesignating paragraph

(2)as subsection

(b)and inserting “Cost Estimates Developed for Specified Purposes Not to Be Used for Contract Negotiations or Obligation of Funds.—” before “The Under”; #####

(D)by redesignating paragraph

(3)as subsection

(c)and in that subsection— ######

(i)by striking the first three words and inserting “Program Manager and Contracting Officer.—The program manager”; and ######

(ii)by striking “paragraph (1)” and “paragraph (2)” and inserting “subsection (a)” and “subsection (b)”, respectively; and #####

(E)by redesignating paragraph

(4)as subsection

(d)and in that subsection— ######

(i)by striking “ Funds that are ” and inserting “ Availability of Excess Funds.— ” > > #### “(1) > > Funds that are” > ; ######

(ii)in paragraph (1), as designated by clause (i), by striking “subsection (a)(6)” and “paragraph (2)” and inserting “section 3221(b)(6) of this title” and “subsection (b)”, respectively; ######

(iii)by redesignating paragraph

(5)as paragraph

(2)and moving that paragraph two ems to the right; and ######

(iv)in paragraph (2), as so redesignated— ######

(I)in the matter preceding subparagraph (A), by striking “paragraph (4)” and inserting “paragraph (1)”; ######

(II)in subparagraph (A)(i), by striking “paragraph (2)” and inserting “subsection (b)”; and ######

(III)in subparagraph (A)(ii), by striking “section 2308” and inserting “section 3069”. ###

(h)Transfer of Subsection

(g)of Section 2334 ####

(1)Transfer Subsection

(g)of section 2334 of title 10, United States Code, is transferred to section 3227 of such title, as added by subsection (a), inserted after the section heading, and redesignated as subsection (a). ####

(2)Revisions Section 3227, as amended by paragraph (1), is further amended— #####

(A)by striking “Guidelines and” and all that follows through “(1) The Director of” and inserting “Director of Cape to Develop Guidelines and Collection Method.—The Director of”; #####

(B)by redesignating paragraph

(2)as subsection

(b)and in that subsection— ######

(i)by inserting “Applicability to Acquisition Programs in Amount Greater Than Specified Threshold.—” before “The program manager”; and ######

(ii)by striking “paragraph (1)” and inserting “subsection (a)”; and #####

(C)by redesignating paragraph

(3)as subsection

(c)and in that subsection— ######

(i)by inserting “Limitation on Waiver Authority.—” before “The requirement”; and ######

(ii)by striking “paragraph (1)” and inserting “subsection (a)”.

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