Sec. 1822. MULTIYEAR CONTRACTS

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## SEC. 1822 MULTIYEAR CONTRACTS ###

(a)New Chapter **[**[10 U.S.C. 3501](/us/usc/t10/s3501)**]** 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 striking chapter 249 and inserting the following: > > ## “CHAPTER 249 **MULTIYEAR CONTRACTS** > > **[**[10 U.S.C. 3501](/us/usc/t10/s3501)**]** > > > ### “Subchapter I MULTIYEAR CONTRACTS FOR ACQUISITION OF PROPERTY > > **[**[10 U.S.C. 3501](/us/usc/t10/s3501)**]** > > > ## “SEC. 3501 Multiyear contracts for acquisition of property: authority; definitions > > **[**[10 U.S.C. 3501](/us/usc/t10/s3501)**]** > > > ## “SEC. 3502 Multiyear contracts for acquisition of property: regulations > > **[**[10 U.S.C. 3502](/us/usc/t10/s3502)**]** > > > ## “SEC. 3503 Multiyear contracts for acquisition of property: contract cancellation or termination > > **[**[10 U.S.C. 3503](/us/usc/t10/s3503)**]** > > > ## “SEC. 3504 Multiyear contracts for acquisition of property: participation by subcontractors, vendors, and suppliers > > **[**[10 U.S.C. 3504](/us/usc/t10/s3504)**]** > > > ## “SEC. 3505 Multiyear contracts for acquisition of property: protection of existing authority > > **[**[10 U.S.C. 3505](/us/usc/t10/s3505)**]** > > > ## “SEC. 3506 Department of defense contracts: acquisition of weapon systems > > **[**[10 U.S.C. 3506](/us/usc/t10/s3506)**]** > > > ## “SEC. 3507 Department of defense contracts: defense acquisitions specifically authorized by law > > **[**[10 U.S.C. 3507](/us/usc/t10/s3507)**]** > > > ## “SEC. 3508 Department of defense contracts: notice to congressional committees before taking certain actions > > **[**[10 U.S.C. 3508](/us/usc/t10/s3508)**]** > > > ## “SEC. 3509 Department of defense contracts: multiyear contracts with value in excess of $500,000,000 > > **[**[10 U.S.C. 3509](/us/usc/t10/s3509)**]** > > > ## “SEC. 3510 Department of defense contracts: additional matters with respect to multiyear defense contracts > > **[**[10 U.S.C. 3510](/us/usc/t10/s3510)**]** > > > ## “SEC. 3511 Increased funding and reprogramming requests” > > **[**[10 U.S.C. 3511](/us/usc/t10/s3511)**]** > . ###

(b)Transfer of Subsection

(a)of Section 2306b ####

(1)Transfer Subsection

(a)of section 2306b of title 10, United States Code, is transferred to section 3501 of such title, as added by subsection (a), and inserted after the section heading. ####

(2)Conforming cross-reference amendment Paragraph

(7)of such subsection (a), as so transferred, is amended by striking “subparagraphs

(C)through

(F)of subsection (i)(3)” and inserting “paragraphs

(3)through

(6)of section 3507(c) of this title”. ###

(c)Transfer of Subsection

(k)of Section 2306b ####

(1)Transfer Subsection

(k)of section 2306b of title 10, United States Code, is transferred to section 3501 of such title, as added by subsection (a), and inserted after subsection (a), as transferred by subsection (b), and redesignated as subsection (b). ####

(2)Conforming amendment Such subsection (b), as so transferred and redesignated, is amended by striking “this section” and inserting “this subchapter”. ###

(d)Transfer of Subsection

(b)of Section 2306b ####

(1)Transfer and internal redesignations Subsection

(b)of section 2306b of title 10, United States Code, is transferred to section 3502 of such title, as added by subsection (a), inserted after the section heading, and amended— #####

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

(B)by redesignating paragraphs

(1)and

(2)as subsections

(a)and (b), respectively. ####

(2)Amendments to new 3502(a) Subsection

(a)of such section, as so redesignated, is amended— #####

(A)by inserting “Requirement.—” before “Each official named”; #####

(B)by striking “paragraph (2)” and inserting “subsection (b)”; and #####

(C)by striking “subsection (a)” and inserting “section 3501 of this title”. ####

(3)Amendments to new 3502(b) Subsection

(b)of such section, as so redesignated, is amended— #####

(A)by striking “

(A)The Secretary of Defense ” and inserting > “ Officials Specified to Prescribe Regulations.— > > > #### “(1) Department of defense > > The Secretary of Defense” > ; #####

(B)by redesignating subparagraphs

(B)and

(C)as paragraphs

(2)and (3), respectively, and realigning those paragraphs 2 ems to the right; #####

(C)in paragraph (2), as so redesignated, by inserting “Coast guard.—” before “The Secretary of Homeland”; and #####

(D)in paragraph (3), as so redesignated, by inserting “NASA.—” before “The Administrator of”. ###

(e)Transfer of Subsections (c), (f), and

(g)of Section 2306b ####

(1)Transfer Subsections (c), (f), and

(g)of section 2306b of title 10, United States Code, are transferred to section 3503 of such title, as added by subsection (a), inserted (in that order) after the section heading, and redesignated as subsections (a), (b), and (c), respectively. ####

(2)Amendment to new 3503(a) Subsection

(a)of such section 3503, as transferred and redesignated by paragraph (1), is amended by inserting “under section 3502 of this title” after “The regulations”. ####

(3)Amendment to new 3503(b) Subsection

(b)of such section 3503, as transferred and redesignated by paragraph (1), is amended by striking “under this section” and inserting “under this subchapter”. ####

(4)Amendments to new 3503(c) Subsection

(c)of such section 3503, as transferred and redesignated by paragraph (1), is amended— #####

(A)by striking “ Ceilings Exceeding ” and all that follows through “ Before any ” and inserting > “ Ceilings Exceeding $100,000,000.— > > > #### “(1) > > Before any” > ; #####

(B)by realigning paragraph

(2)2 ems to the right: #####

(C)by striking “subsection (a)” in paragraphs

(1)and

(2)and inserting “section 3501(a) of this title”; and #####

(D)in paragraph (2), by striking “required by” and all that follows through “give written” and inserting “required by section 3507(c) of this title, give written”. ###

(f)Transfer of Subsection

(d)of Section 2306b ####

(1)Transfer Subsection

(d)of section 2306b of title 10, United States Code, is transferred to section 3504 of such title, as added by subsection (a), inserted after the section heading, and amended by striking the subsection designation and heading. ####

(2)Amendments to new 3504 Such section is further amended— #####

(A)by inserting “under section 3502 of this title” after “the regulations”; and #####

(B)in paragraph (1), by striking “subsection (a)” and inserting “section 3501(a) of this title”. ###

(g)Transfer of Subsection

(e)of Section 2306b ####

(1)Transfer Subsection

(e)of section 2306b of title 10, United States Code, is transferred to section 3505 of such title, as added by subsection (a), inserted after the section heading, and amended by striking the subsection designation and heading. ####

(2)Amendments to new 3505 Such section is further amended— #####

(A)by inserting “under section 3502 of this title” after “The regulations”; #####

(B)by striking “this section” both places it appears and inserting “this subchapter”; and #####

(C)in paragraph (1), by striking “such a contract” and inserting “a contract under section 3501(a) of this title”. ###

(h)Transfer of Subsection

(h)of Section 2306b ####

(1)Transfer Subsection

(h)of section 2306b of title 10, United States Code, is transferred to section 3506 of such title, as added by subsection (a), inserted after the section heading, and amended by striking the subsection designation and heading. ####

(2)Amendments to new 3506 Such section is further amended— #####

(A)by striking “subsection (a)” and inserting “section 3501(a) of this title”; and #####

(B)by striking “this section” and inserting “this subchapter”. ###

(i)Transfer of Subsection

(i)of Section 2306b ####

(1)Transfer Subsection

(i)of section 2306b of title 10, United States Code, is transferred to section 3507 of such title, as added by subsection (a), inserted after the section heading, and amended by striking the subsection designation and heading. ####

(2)Internal redesignations and transfers Paragraphs (1), (2), (3), (4), (5), (6), and

(7)of such section 3507 are redesignated as subsections (a), (b), (c), (f), (g), (d), and (e), respectively, and subsections

(d)and (e), as so redesignated, are transferred within that section so as to appear after subsection (c), as so redesignated. ####

(3)Amendments to new 3507(a) Subsection

(a)of such section, as so redesignated, is amended— #####

(A)by inserting “Limitation.—” before “In the case of”; and #####

(B)by striking “this section” and inserting “this subchapter”. ####

(4)Amendments to new 3507(b) Subsection

(b)of such section, as redesignated by paragraph (2), is amended— #####

(A)by inserting “Matters to Be Included in Request for Authorization.—” before “In submitting”; #####

(B)by striking “this section” and inserting “this subchapter”; #####

(C)by redesignating subparagraphs

(A)and

(B)as paragraphs

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

(D)in paragraph (1), as so redesignated, by striking “subsection (a)” and inserting “section 3501(a) of this title”; and #####

(E)in paragraph (2), as so redesignated, by striking “subparagraph (A)” and inserting “paragraph (1)”. ####

(5)Amendments to new 3507(c) Subsection

(c)of such section, as redesignated by paragraph (2), is amended— #####

(A)by inserting “Required Certification.—” before “A multiyear contract”; #####

(B)by striking “this section” and inserting “this subchapter”; #####

(C)by redesignating subparagraphs

(A)through

(G)as paragraphs

(1)through (7), respectively; #####

(D)in paragraph (1), as so redesignated, by striking “subsection (a)” and inserting “section 3501(a) of this title”; #####

(E)in paragraph (2), as so redesignated, by striking “section” and all that follows through “of this title” and inserting “section 3226(b) of this title”; and #####

(F)in paragraph (3), as so redesignated, by striking “section 2433(d)” and inserting “section 4374”. ####

(6)Amendments to new 3507(d) Subsection

(d)of such section, as redesignated and transferred by paragraph (2), is amended— #####

(A)by inserting “Authority When One or More Conditions Not Met.—” before “The Secretary may”; #####

(B)by striking “paragraph (3)” and inserting “subsection (c)”; #####

(C)by striking “ not met, if the Secretary determines that ” and inserting > “not met, if— > > > #### “(1) > > the Secretary determines that” > ; and #####

(D)by striking “ of Defense and the Secretary provides ” and inserting > “of Defense; and > > > #### “(2) > > the Secretary provides” > . ####

(7)Amendments to new 3507(e) Subsection

(e)of such section, as redesignated and transferred by paragraph (2), is amended— #####

(A)by inserting “Limitation on Delegation.—” before “The Secretary may not”; #####

(B)by striking “paragraph (3)” and inserting “subsection (c)”; and #####

(C)by striking “paragraph (6)” and inserting “subsection (d)”. ####

(8)Amendments to new 3507(f) Subsection

(f)of such section, as redesignated by paragraph (2), is amended— #####

(A)by inserting “Requests for Relief From Specified Cost Savings.—” before “If for any”; and #####

(B)by striking “this section” and inserting “this subchapter”. ####

(9)Amendments to new 3507(g) Subsection

(g)of such section, as redesignated by paragraph (2), is amended— #####

(A)by striking “

(A)The Secretary may ” and inserting > “ Procurement of Complete and Usable End Items.— > > > #### “(1) In general > > The Secretary may” > ; #####

(B)by redesignating subparagraph

(B)as paragraph (2); and #####

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

(i)by realigning the paragraph 2 ems to the right; and ######

(ii)by inserting “Long-lead items.—” before “The Secretary may”. ###

(j)Transfer of Subsection

(l)of Section 2306b ####

(1)Transfer to new sections 3508, 3509, and 3510 #####

(A)Transfers of certain paragraphs of 2306b to new 3509 ######

(i)Paragraph

(3)of subsection

(l)of section 2306b of title 10, United States Code, is transferred to section 3509 of such title, as added by subsection (a), inserted after the section heading, and redesignated as subsection (a). ######

(ii)Such section 3509 is further amended by adding at the end the following: > > ### “(b) Report Required Before Entering Into Contract Above Threshold.—” > . ######

(iii)Paragraph

(5)of subsection

(l)of such section 2306b is transferred to section 3509 of such title, as added by subsection (a), inserted at the end of subsection (b), as added by clause (ii), and redesignated as paragraph (1). ######

(iv)Paragraphs

(4)and

(9)of subsection

(l)of such section 2306b are transferred to section 3509 of such title, as added by subsection (a), inserted (in that order) after paragraph

(1)of subsection (b), as transferred and redesignated by clause (iii), and redesignated as paragraphs

(2)and (3), respectively. #####

(B)Transfer of certain paragraphs of 2306b to new 3510 Paragraphs

(2)and

(7)of subsection

(l)of such section 2306b are transferred to section 3510 of such title, as added by subsection (a), inserted after the section heading, and redesignated as subsection

(b)and (c), respectively. #####

(C)Transfer of remaining paragraphs of 2306b to new 3508 Subsection

(l)of such section 2306b (as amended by subparagraphs

(A)and (B)) is transferred to section 3508 of such title, as added by subsection (a), inserted after the section heading, and amended— ######

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

(ii)by redesignating paragraphs (1), (6), and

(8)as subsections (a), (b), and (c), respectively. ####

(2)Amendments to new 3508(a) Subsection

(a)of such section 3508, as transferred and redesignated by paragraph (1)(C), is amended— #####

(A)by striking “

(A)The head of an agency ” and inserting > “ Notice Before Award of Certain Contracts.— > > > #### “(1) Required notice > > The head of an agency” > ; #####

(B)by striking “subparagraph (B)” and inserting “paragraph (2)”; #####

(C)by redesignating subparagraph

(B)as paragraph

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

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

(i)by striking “subparagraph (A)” and inserting “Covered contracts.—Paragraph (1)”; ######

(ii)by redesignating clauses

(i)and

(ii)as subparagraphs

(A)and (B), respectively; and ######

(iii)by redesignating subclauses

(I)and

(II)of subparagraph (A), as so redesignated, as clauses

(i)and (ii), respectively. ####

(3)Amendment to new 3508(b) Subsection

(b)of such section 3508, as transferred and redesignated by paragraph (1)(C), is amended by inserting “Notice Before Terminating Multiyear Procurement Contract.—” before “The head of”. ####

(4)Amendments to new 3508(c) Subsection

(c)of such section 3508, as transferred and redesignated by paragraph (1)(C), is amended by striking “This subsection does not” and inserting “Inapplicability to Noaa and Coast Guard.—This section and sections 3509 and 3510 of this title do not”. ####

(5)Amendment to new 3509(a) Subsection

(a)of such section 3509, as transferred and redesignated by paragraph (1)(A)(i), is amended by inserting “Limitation.—” before “The head of”. ####

(6)Amendments to new 3509(b) Subsection

(b)of such section 3509, as designated and amended by clauses (ii), (iii), and

(iv)of paragraph (1)(A), is amended— #####

(A)in paragraph (1)— ######

(i)by inserting “In general.—” before “The head of”; and ######

(ii)by striking “paragraph (4)” and inserting “paragraph (2)”; #####

(B)in paragraph (2), by striking “Each report required by paragraph (5)” and inserting “Matter to be included in report.—Each report required by paragraph (1)”; and #####

(C)in paragraph (3), by inserting “Definitions.—” before “In this”. ####

(7)Amendment to new 3510(b) Subsection

(b)of such section 3510, as transferred and redesignated by paragraph (1)(B), is amended by inserting “Funding for Economic Order Quantity Advance Procurement.—” before “The head of”. ####

(8)Amendment to new 3510(c) Subsection

(c)of such section 3510, as transferred and redesignated by paragraph (1)(B), is amended by inserting “Use of Present Value Analysis.—” before “The execution of”. ###

(k)Transfer of Subsection

(j)of Section 2306b to New 3510 Subsection

(j)of section 2306b of title 10, United States Code, is transferred to section 3510 of such title, as added by subsection (a), inserted after the section heading, redesignated as subsection (a), and amended by striking the first word of the subsection heading. ###

(l)Transfer of Subsection

(m)of Section 2306b to New 3511 Subsection

(m)of section 2306b of title 10, United States Code, is transferred to section 3511 of such title, as added by subsection (a), inserted after the section heading, and amended— ####

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

(2)by striking “this section” and inserting “this subchapter”; and ####

(3)by striking “subsection (i)” and inserting “section 3507 of this title”. ###

(m)New Subchapter Chapter 249 of title 10, United States Code, as amended by subsection (a), is amended by adding at the end the following new subchapter: > > ### “Subchapter II MULTIYEAR CONTRACTS FOR ACQUISITION OF SERVICES > > **[**[10 U.S.C. 3531](/us/usc/t10/s3531)**]** > > > ## “SEC. 3531 Multiyear contracts for acquisition of services: authority; definitions > > **[**[10 U.S.C. 3531](/us/usc/t10/s3531)**]** > > > ## “SEC. 3532 Multiyear contracts for acquisition of services: applicable principles > > **[**[10 U.S.C. 3532](/us/usc/t10/s3532)**]** > > > ## “SEC. 3533 Multiyear contracts for acquisition of services: contract cancellation or termination > > **[**[10 U.S.C. 3533](/us/usc/t10/s3533)**]** > > > ## “SEC. 3534 Multiyear contracts for acquisition of services: contracts with value above $500,000,000 to be specifically authorized by law > > **[**[10 U.S.C. 3534](/us/usc/t10/s3534)**]** > > > ## “SEC. 3535 Multiyear contracts for acquisition of services: notice to congressional committees before taking certain actions” > > **[**[10 U.S.C. 3535](/us/usc/t10/s3535)**]** > . ###

(n)Transfer of Subsections (a), (b), (f), and

(h)of Section 2306c ####

(1)Transfer Subsections (a), (b), (f), and

(h)of section 2306c of title 10, United States Code, are transferred to section 3531 of such title, as added by subsection (n), and inserted (in that order) after the section heading, and subsections

(f)and

(h)are redesignated as subsections

(c)and (d), respectively. ####

(2)Amendment to new 3531(a) Subsection

(a)of such section 3531, as so transferred, is amended by striking “subsections

(d)and (e)” and inserting “sections 3533 and 3534 of this title”. ####

(3)Amendment to new 3531(c) &

(d)Subsections

(c)and

(d)of such section 3531, as so transferred and redesignated, are each amended by striking “this section” and inserting “this subchapter”. ###

(o)Transfer of Subsection

(c)of Section 2306c Subsection

(c)of section 2306c of title 10, United States Code, is transferred to section 3532 of such title, as added by subsection (m), inserted after the section heading, and amended— ####

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

(2)by striking “this section” and inserting “this subchapter”. ###

(p)Transfer of Subsection

(e)of Section 2306c Subsection

(e)of section 2306c of title 10, United States Code, is transferred to section 3533 of such title, as added by subsection (m), inserted after the section heading, and redesignated as subsection (a). ###

(q)Transfer of Paragraphs

(4)&

(5)of Subsection

(d)of Section 2306c ####

(1)Insertion of subsection

(b)designation Such section 3533 is further amended by adding at the end the following: > > ### “(b) Contract Cancellation Ceilings Exceeding $100,000,000.—” > . ####

(2)Transfer and redesignation of paragraphs Paragraphs

(4)and

(5)of subsection

(d)of section 2306c of title 10, United States Code, are transferred to such section 3533 of such title, inserted at the end of subsection (b), as added by paragraph (1), and redesignated as paragraphs

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

(3)Amendment to new 3533(b)(1) Paragraph

(1)of such subsection (b), as so transferred and redesignated, is amended by striking “subsection (a)” and inserting “sections 3531(a) of this title”. ####

(4)Amendment to new 3533(b)(2) Paragraph

(2)of such subsection (b), as so transferred and redesignated, is amended— #####

(A)by striking “subsection (a)” and inserting “sections 3531(a) of this title”; and #####

(B)by striking “paragraph (4)” and inserting “paragraph (1)”. ###

(r)Transfer of Paragraph

(2)of Subsection

(d)of Section 2306c Paragraph

(2)of subsection

(d)of such section 2306c is transferred to section 3534 of such title, as added by subsection (m), inserted after the section heading, and amended— ####

(1)by striking the paragraph designation; and ####

(2)by striking “this section” and inserting “this subchapter”. ###

(s)Transfer of Remainder of Subsection

(d)of Section 2306c ####

(1)Transfer Subsection

(d)of such section 2306c (as amended by subsections

(r)and (s)) is transferred to section 3535 of such title, as added by subsection (m), inserted after the section heading, and amended— #####

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

(B)by redesignating paragraphs

(1)and

(3)as subsections

(a)and (b), respectively. ####

(2)Amendments to new 3535(a) Subsection

(a)of such section 3535, as so transferred and redesignated, is amended— #####

(A)by inserting “Notice Before Award of Certain Contracts.—” before “The head of an agency”; and #####

(B)by striking “this section” and inserting “this subchapter”. ####

(3)Amendment to new 3535(b) Subsection

(b)of such section 3535, as so transferred and redesignated, is amended by inserting “Notice Before Terminating Multiyear Procurement Contract for Services.—” before “The head of an agency”. ###

(t)Other Authorities ####

(1)New subchapter Chapter 249 of title 10, United States Code, as amended by this section, is further amended by adding at the end the following new subchapter: > > ### “Subchapter III OTHER AUTHORITIES RELATING TO MULTIYEAR CONTRACTS > > **[**[10 U.S.C. 3551](/us/usc/t10/s3551)**]** > ####

(2)Transfer of section 2410o Section 2410o of title 10, United States Code, is transferred to subchapter III of chapter 249 of such title, as added by paragraph (1), inserted after the table of sections, and redesignated as section 3551.

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