CHAPTER 303 - RESEARCH AND ENGINEERING ACTIVITIES

Title 10 > CHAPTER 303

Sections (17)

§ 4061 Defense Research and Development Rapid Innovation Program

(a) Program Established.— The Secretary of Defense shall establish a competitive, merit-based program to enable and assist small businesses to accelerate the commercialization of various technologies, including critical technologies developed pursuant to phase II Small Business Innovation Research Program projects, phase II Small Business Technology Transfer Program projects, technologies developed by the defense laboratories, capabilities developed through competitively awarded prototype agreements and other innovative technologies (including dual use technologies). The purpose of this program is to stimulate innovative technologies and reduce acquisition or lifecycle costs, address technical risks, improve the timeliness and thoroughness of test and evaluation outcomes, support the integration of such products, and rapidly insert such products directly in support of primarily major defense acquisition programs, but also other defense acquisition programs that meet critical national security needs.

(b) Guidelines.— The Secretary shall issue guidelines for the operation of the program. At a minimum such guidance shall provide for the following: The issuance of one or more broad agency announcements or the use of any other competitive or merit-based processes by the Department of Defense for candidate proposals in support of primarily major defense acquisition programs, but also other defense acquisition programs as described in subsection (a). The review of candidate proposals by the Department of Defense and by each Office of Small Business Programs of each military department and the merit-based selection of the most promising cost-effective proposals for funding through contracts, cooperative agreements, and other transactions for the purposes of carrying out the program. The total amount of funding provided to any project under the program from funding provided under subsection (d) shall not exceed $6,000,000. No project shall receive more than a total of two years of funding under the program from funding provided under subsection (d), unless the Secretary, or the Secretary’s designee, approves funding for any additional year. Mechanisms to facilitate transition of follow-on or current projects carried out under the program into defense acquisition programs, through the use of the authorities of section 4004 of this title or such other authorities as may be appropriate to conduct further testing, low rate production, or full rate production of technologies developed under the program. Projects are selected using merit-based selection procedures and the selection of projects is not subject to undue influence by Congress or other Federal agencies. A preference under the program for funding small business concerns.

(c) Treatment Pursuant to Certain Congressional Rules.— Nothing in this section shall be interpreted to require or enable any official of the Department of Defense to provide funding under this section to any earmark as defined pursuant to House Rule XXI, clause 9, or any congressionally directed spending item as defined pursuant to Senate Rule XLIV, paragraph 5.

(d) Funding.— Subject to the availability of appropriations for such purpose and to the limitation under paragraph (2), the amounts authorized to be appropriated for research, development, test, and evaluation for a fiscal year may be used for such fiscal year for the program established under subsection (a). During any fiscal year, the total amount of awards in an amount greater than $6,000,000 made under the program established under subsection (a) may not exceed 25 percent of the amount made available to carry out such program during such fiscal year.

(e) Transfer Authority.— The Secretary may transfer funds available for the program to the research, development, test, and evaluation accounts of a military department, defense agency, or the unified combatant command for special operations forces pursuant to a proposal, or any part of a proposal, that the Secretary determines would directly support the purposes of the program. The transfer authority provided in this subsection is in addition to any other transfer authority available to the Department of Defense.

§ 4062 Defense Acquisition Challenge Program

(a) Program Required.— The Secretary of Defense, acting through the Under Secretary of Defense for Research and Engineering, shall carry out a program to provide opportunities for the increased introduction of innovative and cost-saving technology in acquisition programs of the Department of Defense. The program, to be known as the Defense Acquisition Challenge Program (hereinafter in this section referred to as the “Challenge Program”), shall provide any person or activity within or outside the Department of Defense with the opportunity to propose alternatives, to be known as challenge proposals, at the component, subsystem, system, or system-of-systems level of an existing Department of Defense acquisition program, or to address any broader functional challenge to Department of Defense missions that may not fall within an acquisition program, that would result in improvements in performance, affordability, manufacturability, or operational capability of that acquisition program or function.

(b) Panels.— The Under Secretary shall establish one or more panels of highly qualified scientists and engineers (hereinafter in this section referred to as “Panels”) to provide preliminary evaluations of challenge proposals under subsection (c).

(c) Preliminary Evaluation by Panels.— Under procedures prescribed by the Under Secretary, a person or activity within or outside the Department of Defense may submit challenge proposals to a Panel, through the unsolicited proposal process or in response to a broad agency announcement. The Under Secretary shall establish procedures pursuant to which appropriate officials of the Department of Defense may identify proposals submitted through the unsolicited proposal process as challenge proposals. The procedures shall provide for the expeditious referral of such proposals to a Panel for preliminary evaluation under this subsection. The Under Secretary shall issue on an annual basis not less than one such broad agency announcement inviting interested parties to submit challenge proposals. Such announcements may also identify particular technology areas and acquisition programs or functions that will be given priority in the evaluation of challenge proposals. The Under Secretary shall establish procedures for the prompt issuance of a solicitation for challenge proposals addressing— any acquisition program for which, since the last such announcement, the Secretary concerned has determined under section 4374 of this title that the program’s acquisition unit cost or procurement unit cost has increased by a percentage equal to or greater than the critical cost growth threshold for the program (in this section referred to as a “critical cost growth threshold breach”); any design, engineering, manufacturing, or technology integration issues, in accordance with the assessment required by section 4375(b) of this title , that have contributed significantly to the cost growth of such program; and any functional challenges of importance to Department of Defense missions. A solicitation under this paragraph may be included in a broad agency announcement issued pursuant to paragraph (3) as long as the broad agency announcement is released in an expeditious manner following the determination of the Secretary concerned that a critical cost growth threshold breach has occurred with respect to a major defense acquisition program. Under procedures established by the Under Secretary, a Panel shall carry out a preliminary evaluation of each challenge proposal submitted in response to a broad agency announcement, or submitted through the unsolicited proposal process and identified as a challenge proposal in accordance with paragraph (2), to determine each of the following: Whether the challenge proposal has merit. Whether the challenge proposal is likely to result in improvements in performance, affordability, manufacturability, or operational capability at the component, subsystem, system, or system-of-systems level of an acquisition program. Whether the challenge proposal could be implemented in the acquisition program rapidly, at an acceptable cost, and without unacceptable disruption to the acquisition program. Whether the challenge proposal is likely to result in improvements to any functional challenges of importance to Department of Defense missions, and whether the proposal could be implemented rapidly, at an acceptable cost, and without unacceptable disruption to such missions. The Under Secretary— may establish procedures to ensure that the Challenge Program does not become an avenue for the repetitive submission of proposals that have been previously reviewed and found not to have merit; and may establish procedures to ensure that the Challenge Program establishes appropriate priorities for proposals from businesses that are not major contractors with the Department of Defense. If a Panel determines that a challenge proposal satisfies each of the criteria specified in paragraph (5), the person or activity submitting that challenge proposal shall be provided an opportunity to submit such challenge proposal for a full review and evaluation under subsection (d).

(d) Full Review and Evaluation.— Under procedures prescribed by the Under Secretary, for each challenge proposal submitted for a full review and evaluation as provided in subsection (c)(7), the office carrying out the acquisition program to which the proposal relates shall, in consultation with the prime system contractor carrying out such program, conduct a full review and evaluation of the proposal. The full review and evaluation shall, independent of the determination of a Panel under subsection (c)(5), determine each of the matters specified in subparagraphs (A), (B), and (C) of such subsection. The full review and evaluation shall also include— an assessment of the cost of adopting the challenge proposal and implementing it in the acquisition program; and consideration of any intellectual property issues associated with the challenge proposal.

(e) Action Upon Favorable Full Review and Evaluation.— Under procedures prescribed by the Under Secretary, each challenge proposal determined under a full review and evaluation to satisfy each of the criteria specified in subsection (c)(5) with respect to an acquisition program shall be considered by the office carrying out the applicable acquisition program and the prime system contractor for incorporation into the acquisition program as a new technology insertion at the component, subsystem, system, or system-of-systems level. The Under Secretary shall encourage the adoption of each challenge proposal referred to in paragraph (1) by providing suitable incentives to the office carrying out the acquisition program and the prime system contractor carrying out such program. In the case of a challenge proposal submitted in response to a solicitation issued as a result of a critical cost growth threshold breach that is determined under full review and evaluation to satisfy each of the criteria specified in subsection (c)(5), the Under Secretary shall establish guidelines for covering the costs of the challenge proposal. If appropriate, such guidelines shall not be restricted to funding provided by the Defense Acquisition Challenge Program, but shall also consider alternative funding sources, such as the acquisition program with respect to which the breach occurred.

(f) Action Upon Unfavorable Full Review and Evaluation.— Under procedures prescribed by the Under Secretary, if a challenge proposal is determined by a Panel to satisfy each of the criteria specified in subsection (c)(5), but is not determined under a full review and evaluation to satisfy such criteria, the following provisions apply: The office carrying out the full review and evaluation shall provide to the Panel that conducted the preliminary evaluation a statement containing a summary of the rationale for the unfavorable evaluation. If the Panel disagrees with the rationale provided under paragraph (1), the Panel may return the challenge proposal to the office for further consideration.

(g) Access to Technical Resources.— Under procedures established by the Under Secretary, the technical resources of the laboratories, research, development, and engineering centers, test and evaluation activities, and other elements of the Department may be called upon to support the activities of the Challenge Program. Funds available to carry out this program may be used to compensate such laboratories, centers, activities, and elements for technical assistance provided to a Panel pursuant to paragraph (1).

(h) Conflicts of Interest and Confidentiality.— In carrying out each preliminary evaluation under subsection (c) and full review under subsection (d), the Under Secretary shall ensure the elimination of conflicts of interest and that the identity of any person or activity submitting a challenge proposal is not disclosed outside the Federal Government, prior to contract award, without the consent of the person or activity. For purposes of the proceeding sentence, the term “Federal Government” includes both employees of the Federal Government and employees of Federal Government contractors providing advisory and assistance services as described in part 37 of the Federal Acquisition Regulation.

(i) Limitation on Use of Funds.— Funds made available for the Challenge Program may be used only for activities authorized by this section, and not for implementation of challenge proposals.

(j) Treatment of Use of Certain Procedures as Use of Competitive Procedures.— The use of general solicitation competitive procedures established under subsection (c) shall be considered to be the use of competitive procedures for purposes of sections 3201 through 3205 of this title.

(k) System Defined.— In this section, the term “system”— means— the organization of hardware, software, material, facilities, personnel, data, and services needed to perform a designated function with specified results (such as the gathering of specified data, its processing, and its delivery to users); or a combination of two or more interrelated pieces (or sets) of equipment arranged in a functional package to perform an operational function or to satisfy a requirement; and includes a major system.

(l) Pilot Program for Programs Other Than Major Defense Acquisition Programs.— The Under Secretary of Defense for Research and Engineering shall carry out a pilot program to expand the use of the authority provided in this section to provide opportunities for the introduction of innovative and cost-saving approaches to programs other than major defense acquisition programs through the submission, review, and implementation, where appropriate, of qualifying proposals. For purposes of this subsection, a qualifying proposal is an offer to supply a nondevelopmental item that— is evaluated as achieving a level of performance that is at least equal to the level of performance of an item being procured under a covered acquisition program and as providing savings in excess of 15 percent after considering all costs to the Government of implementing such proposal; or is evaluated as achieving a level of performance that is significantly better than the level of performance of an item being procured under a covered acquisition program without any increase in cost to the Government. The Under Secretary shall adopt modifications as may be needed to the procedures applicable to the Challenge Program to provide for Department of Defense review of, and action on, qualifying proposals. Such procedures shall include, at a minimum, the issuance of a broad agency announcement inviting interested parties to submit qualifying proposals in areas of interest to the Department. In this subsection: The term “nondevelopmental item” has the meaning given that term in section 110 of title 41 . The term “covered acquisition program” means any acquisition program of the Department of Defense other than a major defense acquisition program, but does not include any contract awarded under an exception to competitive acquisition authorized by the Small Business Act ( 15 U.S.C. 631 et seq.). The term “level of performance”, with respect to a nondevelopmental item, means the extent to which the item demonstrates required item functional characteristics. The authority to carry out the pilot program under this subsection shall terminate on January 7, 2021 .

[§§ 4063 to 4065 Omitted]

§ 4066 Global Research Watch Program

(a) Program.— The Under Secretary of Defense for Research and Engineering shall carry out a Global Research Watch program in accordance with this section.

(b) Program Goals.— The goals of the program are as follows: To monitor and analyze the basic and applied research activities and capabilities of foreign nations and private sector persons in areas of military interest, including allies and competitors. To provide standards for comparison and comparative analysis of research capabilities of foreign nations and private sector persons in relation to the research capabilities of the United States. To assist Congress and Department of Defense officials in making investment decisions for research in technical areas where the United States may not be the global leader. To identify areas where significant opportunities for cooperative research may exist. To coordinate and promote the international cooperative research and analysis activities of each of the armed forces and Defense Agencies. To establish and maintain an electronic database on international research capabilities, comparative assessments of capabilities, cooperative research opportunities, and ongoing cooperative programs.

(c) Focus of Program.— The program shall be focused on research and technologies at a technical maturity level equivalent to Department of Defense basic and applied research programs.

(d) Coordination.— The Under Secretary shall coordinate the program with the international cooperation and analysis activities of the military departments and Defense Agencies. The Secretaries of the military departments and the directors of the Defense Agencies shall provide the Under Secretary of Defense for Research and Engineering such assistance as the Under Secretary may require for purposes of the program. Funds available to a military department for a fiscal year for monitoring or analyzing the research activities and capabilities of foreign nations may not be obligated or expended until the Under Secretary of Defense for Research and Engineering certifies to the Under Secretary of Defense for Acquisition, Technology, and Logistics that the Secretary of such military department has provided the assistance required under paragraph (2). The limitation in subparagraph (A) shall not be construed to alter or effect the availability to a military department of funds for intelligence activities.

(e) Classification of Database Information.— Information in electronic databases of the Global Research Watch program shall be maintained in unclassified form and, as determined necessary by the Under Secretary of Defense for Research and Engineering, in classified form in such databases.

(f) Termination.— The requirement to carry out the program under this section shall terminate on September 30, 2035 .

§ 4067 Technology protection features activities

(a) Activities.— The Secretary of Defense shall carry out activities to develop and incorporate technology protection features in a designated system to increase ally and partner military capability or improve coalition interoperability.

(b) Cost-sharing.— Any contract for the design or development of a system resulting from activities under subsection (a) for the purpose of enhancing or enabling the exportability of the system, either for the development of program protection strategies for the system or the design and incorporation of exportability features into the system, shall include a cost-sharing provision that requires the contractor to bear half of the cost of such activities, or such other portion of such cost as the Secretary considers appropriate upon showing of good cause. Any contract for the design or development of an exportability feature of a system resulting from activities under subsection (a) for the purpose of enhancing or enabling the exportability of the system shall include a cost-sharing provision that requires the contractor to bear half of the cost of such activities, or such other portion of such cost as the Secretary considers appropriate upon showing of good cause. The Secretary may deem the portion of the costs of the contractor described in paragraph (1) or (2) with respect to a designated system or exportability feature as allowable independent research and development costs under the regulations issued under section 3762 of this title if— in the case of a designated system, the designated system receives Milestone B approval; and the Secretary determines that doing so would further the purposes of this section.

(c) Definitions.— In this section: The term “designated system” means any system (including a major system, as defined in section 3041 of title 10 , United States Code) that the Under Secretary of Defense for Acquisition and Sustainment designates for purposes of this section. The term “independent research and development costs” has the meaning given the term in section 31.205-18 of title 48, Code of Federal Regulations. The term “Milestone B approval” has the meaning given the term in section 4172(e)(7) of this title . The term “technology protection features” means the technical modifications necessary to protect critical program information, including anti-tamper technologies and other systems engineering activities intended to prevent or delay exploitation of critical technologies in a designated system.

§ 4091 Authorities for certain positions at science and technology reinvention laboratories

(a) Authority to Make Direct Appointments.— The director of any Science and Technology Reinvention Laboratory (hereinafter in this section referred to as an “STRL”) may appoint qualified candidates possessing a bachelor’s or advanced degree to positions described in paragraph (1) of subsection (b) as an employee in a laboratory described in that paragraph without regard to the provisions of subchapter I of chapter 33 of title 5 (other than sections 3303 and 3328 of such title). The director of any STRL may appoint qualified veteran candidates to positions described in paragraph (2) of subsection (b) as an employee at a laboratory, agency, or organization specified in that paragraph without regard to the provisions of subchapter I of chapter 33 of title 5. The director of any STRL may appoint qualified candidates enrolled in a program of undergraduate or graduate instruction leading to a bachelor’s or an advanced degree in a scientific, technical, engineering or mathematical course of study at an institution of higher education (as that term is defined in sections 101 and 102 of the Higher Education Act of 1965 ( 20 U.S.C. 1001 , 1002)) to positions described in paragraph (3) of subsection (b) as an employee in a laboratory described in that paragraph without regard to the provisions of subchapter I of chapter 33 of title 5 (other than sections 3303 and 3328 of such title). With respect to any student appointed by the director of an STRL under paragraph (3) to a temporary or term appointment, upon graduation from the applicable institution of higher education (as defined in such paragraph), the director may noncompetitively convert such student to another temporary appointment or to a term or permanent appointment within the STRL without regard to the provisions of subchapter I of chapter 33 of title 5 (other than sections 3303 and 3328 of such title), provided the student meets all eligibility and Office of Personnel Management qualification requirements for the position.

(b) Covered Positions.— The positions described in this paragraph are scientific and engineering positions that may be temporary, term, or permanent in any laboratory designated by section 4121(b) of this title as a Department of Defense science and technology reinvention laboratory. The positions described in this paragraph are scientific, technical, engineering, and mathematics positions, including technicians, in the following: Any laboratory referred to in paragraph (1). Any other Department of Defense research and engineering agency or organization designated by the Secretary for purposes of subsection (a)(2). The positions described in this paragraph are scientific and engineering positions that may be temporary or term in any laboratory designated by section 4121(b) of this title as a Department of Defense science and technology reinvention laboratory.

(c) Limitation on Number of Appointments Allowable in a Fiscal Year.— The authority under subsection (a) may not, in any fiscal year and with respect to any laboratory, agency, or organization described in subsection (b), be exercised with respect to a number of candidates greater than the following: In the case of a laboratory described in subsection (b)(1), with respect to appointment authority under subsection (a)(1), the number equal to 11 percent of the total number of scientific and engineering positions in such laboratory that are filled as of the close of the preceding fiscal year. In the case of a laboratory, agency, or organization described in subsection (b)(2), with respect to appointment authority under subsection (a)(2), the number equal to 3 percent of the total number of scientific, technical, engineering, mathematics, and technician positions in such laboratory, agency, or organization that are filled as of the close of the preceding fiscal year. In the case of a laboratory described in subsection (b)(3), with respect to appointment authority under subsection (a)(3), the number equal to 10 percent of the total number of scientific and engineering positions in such laboratory that are filled as of the close of the preceding fiscal year.

(d) Senior Scientific Technical Managers.— There is hereby established in each STRL, each facility of the Major Range and Test Facility Base, and the Defense Test Resource Management Center a category of senior professional scientific and technical positions, the incumbents of which shall be designated as “senior scientific technical managers” and which shall be positions classified above GS–15 of the General Schedule, notwithstanding section 5108(a) of title 5 . The primary functions of such positions shall be— to engage in research and development in the physical, biological, medical, or engineering sciences, or another field closely related to the mission of such STRL, of such facility of the Major Range and Test Facility Base, or the Defense Test Resource Management Center; and to carry out technical supervisory responsibilities. The laboratory positions described in paragraph (1) may be filled, and shall be managed, by the director of the STRL involved, under criteria established pursuant to section 4121(a) of this title , relating to personnel demonstration projects at laboratories of the Department of Defense, except that the director of the laboratory involved shall determine the number of such positions at such laboratory, not to exceed 2 percent of the number of scientists and engineers employed at such laboratory as of the close of the last fiscal year before the fiscal year in which any appointments subject to that numerical limitation are made. The test and evaluation positions described in paragraph (1) may be filled, and shall be managed, by the director of the Major Range and Test Facility Base, in the case of a position at a facility of the Major Range and Test Facility Base, and the director of the Defense Test Resource Management Center, in the case of a position at such center, under criteria established pursuant to section 4121(a) of this title , relating to personnel demonstration projects at laboratories of the Department of Defense, except that the director involved shall determine the number of such positions at each facility of the Major Range and Test Facility Base and the Defense Test Resource Management Center, not to exceed two percent of the number of scientists and engineers, but at least one position, employed at the Major Range and Test Facility Base or the Defense Test Resource Management Center, as the case may be, as of the close of the last fiscal year before the fiscal year in which any appointments subject to those numerical limitations are made.

(e) Exclusion From Personnel Limitations.— The director of an STRL shall manage the workforce strength, structure, positions, and compensation of such STRL— without regard to any limitation on appointments, positions, or funding with respect to such STRL, subject to subparagraph (B); and in a manner consistent with the budget available with respect to such STRL. Paragraph (1) shall not apply to Senior Executive Service positions (as defined in section 3132(a) of title 5 ) or scientific and professional positions authorized under section 3104 of such title.

(f) Definitions.— In this section: The term “Defense Test Resource Management Center” means the Department of Defense Test Resource Management Center established under section 4173 of this title . The term “employee” has the meaning given that term in section 2105 of title 5 . The term “Major Range and Test Facility Base” means the test and evaluation facilities and resources that are designated by the Secretary of Defense as facilities and resources comprising the Major Range and Test Facility Base. The term “veteran” has the meaning given that term in section 101 of title 38 .

§ 4092 Personnel management authority to attract experts in science, engineering, and certain other disciplines

(a) Programs Authorized.— The Secretary of Defense may carry out a program of personnel management authority provided in subsection (b) in order to facilitate recruitment of eminent experts in science or engineering for such laboratories of the military departments as the Secretary shall designate for purposes of the program for research and development projects of such laboratories. The Director of the Defense Advanced Research Projects Agency may carry out a program of personnel management authority provided in subsection (b) in order to facilitate recruitment of eminent experts in science or engineering for research and development projects and to enhance the administration and management of the Agency. The Director of the Office of Operational Test and Evaluation may carry out a program of personnel management authority provided in subsection (b) in order to facilitate recruitment of eminent experts in science or engineering to support operational test and evaluation missions of the Office. The Director of the Strategic Capabilities Office may carry out a program of personnel management authority provided in subsection (b) in order to facilitate recruitment of eminent experts in science or engineering for the Office. The Director of the Defense Innovation Unit may carry out a program of personnel management authority provided in subsection (b) in order to facilitate recruitment of eminent experts in science or engineering for the Unit. The official designated under section 238(b) of the John S. McCain National Defense Authorization Act for Fiscal Year 2019 ( Public Law 115–232 ) may carry out a program of personnel management authority provided in subsection (b) in order to facilitate recruitment of eminent experts in science or engineering to support the activities of such official under section 238 of such Act. The authority to carry out the program under this paragraph shall terminate on December 31, 2024 . The Director of the National Geospatial-Intelligence Agency may carry out a program of personnel management authority provided in subsection (b) in order to facilitate recruitment of eminent experts in science or engineering for research and development projects and to enhance the administration and management of the Agency. The Director of the Space Development Agency may carry out a program of personnel management authority provided in subsection (b) in order to facilitate recruitment of eminent experts in science or engineering for research and development projects and to enhance the administration and management of the Agency. The authority to carry out the program under this paragraph shall terminate on December 31, 2030 . The Commander of United States Cyber Command may carry out a program of personnel management authority provided in subsection (b) in order to facilitate the recruitment of eminent experts in computer science, data science, engineering, mathematics, and computer network exploitation within the headquarters of United States Cyber Command and the Cyber National Mission Force. The Under Secretary of Defense for Research and Engineering may carry out a program of personnel management authority provided in subsection (b) in order to facilitate recruitment of eminent experts in science or engineering for the Office of the Under Secretary. The Director of the Office of Strategic Capital may carry out a program of personnel management authority provided in subsection (b) in order to facilitate recruitment of eminent experts in finance and investment for the Office.

(b) Personnel Management Authority.— Under a program under subsection (a), the official responsible for administration of the program may— without regard to any provision of title 5 governing the appointment of employees in the civil service— in the case of the laboratories of the military departments designated pursuant to subsection (a)(1), appoint scientists and engineers to a total of not more than 40 scientific and engineering positions in such laboratories; in the case of the Defense Advanced Research Projects Agency, appoint individuals to a total of not more than 140 positions in the Agency; in the case of the Office of Operational Test and Evaluation, appoint scientists and engineers to a total of not more than 10 scientific and engineering positions in the Office; in the case of the Strategic Capabilities Office, appoint scientists and engineers to a total of not more than 20 scientific and engineering positions in the Office, of which not more than 5 such positions may be positions of administration or management of the Office; in the case of the Defense Innovation Unit, appoint scientists and engineers to a total of not more than 35 scientific and engineering positions in the Unit, of which not more than 5 such positions may be positions of administration or management of the Unit; in the case of the office of the official designated under section 238(b) of the John S. McCain National Defense Authorization Act for Fiscal Year 2019 ( Public Law 115–232 ), appoint scientists and engineers to a total of not more than 5 scientific and engineering positions in support of the activities of such official under section 238 of such Act; in the case of the National Geospatial-Intelligence Agency, appoint individuals to a total of not more than 7 positions in the Agency, of which not more than 2 such positions may be positions of administration or management in the Agency; in the case of the Space Development Agency, appoint individuals to a total of not more than 25 positions in the Agency, of which not more than 5 such positions may be positions of administration or management of the Agency; in the case of United States Cyber Command, appoint computer scientists, data scientists, engineers, mathematicians, and computer network exploitation specialists to a total of not more than 10 scientific and engineering positions in the Command; in the case of the Office of the Under Secretary of Defense for Research and Engineering, appoint scientists and engineers to a total of not more than 10 scientific and engineering positions in the Office; and in the case of the Office of Strategic Capital, appoint individuals to a total of not more than 30 positions in the Office; notwithstanding any provision of title 5 governing the rates of pay or classification of employees in the executive branch, prescribe the rates of basic pay for positions to which employees are appointed under paragraph (1)— in the case of employees appointed pursuant to subparagraphs (B), (D), (E), (H), and (K) of paragraph (1), at a rate to be determined by the head of the organization concerned up to 150 percent of the total annual compensation payable to the Vice President under section 104 of title 3 ; in the case of employees appointed pursuant to paragraph (1)(G), to any of 2 positions of administration or management designated by the Director of the National Geospatial-Intelligence Agency for purposes of this subparagraph; and in the case of any other employee appointed pursuant to paragraph (1), at rates not in excess of the maximum rate of basic pay authorized for senior-level positions under section 5376 of title 5 ; pay any employee appointed under paragraph (1), other than an employee appointed to a position designated as described in paragraph (2)(A), payments in addition to basic pay within the limit applicable to the employee under subsection (d); and during any fiscal year— pay up to 15 individuals newly appointed pursuant to paragraph (1)(B) the travel, transportation, and relocation expenses and services described under sections 5724, 5724a, and 5724c of title 5; and pay up to 15 individuals previously appointed pursuant to such paragraph, upon separation, the travel, transportation, and relocation expenses and services described under such sections (as applicable).

(c) Limitation on Term of Appointment.— Except as provided in paragraph (2), the service of an employee under an appointment under subsection (b)(1) may not exceed four years. The official responsible for the administration of a program under subsection (a) may, in the case of a particular employee under the program, extend the period to which service is limited under paragraph (1) by up to two years if the official determines that such action is necessary to promote the efficiency of a laboratory of a military department, the Defense Advanced Research Projects Agency, the Office of Operational Test and Evaluation, the Strategic Capabilities Office, the Defense Innovation Unit, the activities under section 238 of the John S. McCain National Defense Authorization Act for Fiscal Year 2019 ( Public Law 115–232 ), the Space Development Agency, or the National Geospatial-Intelligence Agency, as applicable.

(d) Maximum Amount of Additional Payments Payable.— Notwithstanding any other provision of this section or section 5307 of title 5 , no additional payments may be paid to an employee under subsection (b)(3) in any calendar year if, or to the extent that, the employee’s total annual compensation in such calendar year will exceed the maximum amount of total annual compensation payable at the salary set in accordance with section 104 of title 3 .

§ 4093 Science, Mathematics, and Research for Transformation (SMART) Defense Education Program

(a) Requirement for Program.— The Secretary of Defense shall carry out a program to provide financial assistance for education in science, mathematics, engineering, and technology skills and disciplines that, as determined by the Secretary, are critical to the national security functions of the Department of Defense and are needed in the Department of Defense workforce.

(b) Financial Assistance.— Under the program under this section, the Secretary of Defense may award a scholarship or fellowship in accordance with this section to a person who— is a citizen of the United States or, subject to subsection (g), a country the government of which is a party to The Technical Cooperation Program (TTCP) memorandum of understanding of October 24, 1995 ; is pursuing an associates degree, undergraduate degree, or advanced degree in a critical skill or discipline described in subsection (a) at an accredited institution of higher education; and enters into a service agreement with the Secretary of Defense as described in subsection (c). The amount of the financial assistance provided under a scholarship or fellowship awarded to a person under this subsection shall be an amount determined by the Secretary of Defense. Financial assistance provided under a scholarship or fellowship awarded under this section may be paid directly to the recipient of such scholarship or fellowship or to an administering entity for disbursement of the funds.

(c) Service Agreement for Recipients of Financial Assistance.— To receive financial assistance under this section— in the case of an employee of the Department of Defense, the employee shall enter into a written agreement to continue in the employment of the department for the period of obligated service determined under paragraph (2); and in the case of a person not an employee of the Department of Defense, the person shall enter into a written agreement to accept and continue employment for the period of obligated service determined under paragraph (2)— with the Department, including by serving on active duty in the Armed Forces; or with a public or private entity or organization outside of the Department if the Secretary— is unable to find an appropriate position for the person within the Department; and determines that employment of the person with such entity or organization for the purpose of such obligated service would provide a benefit to the Department. For the purposes of this subsection, the period of obligated service for a recipient of financial assistance under this section shall be the period determined by the Secretary of Defense as being appropriate to obtain adequate service in exchange for such financial assistance. The period of service required of a recipient may not be less than the total period of pursuit of a degree that is covered by such financial assistance. The period of obligated service is in addition to any other period for which the recipient is obligated to serve in the civil service of the United States. An agreement entered into under this subsection by a person pursuing an academic degree shall include any terms and conditions that the Secretary of Defense determines necessary to protect the interests of the United States or otherwise appropriate for carrying out this section.

(d) Employment of Program Participants.— The Secretary of Defense— may, without regard to any provision of title 5 governing appointment of employees to competitive service positions within the Department of Defense, appoint to a position in the Department of Defense in the excepted service an individual who has successfully completed an academic program for which a scholarship or fellowship under this section was awarded and who, under the terms of the agreement for such scholarship or fellowship, at the time of such appointment, owes a service commitment to the Department; may, upon satisfactory completion of 2 years of substantially continuous service by an incumbent who was appointed to an excepted service position under the authority of paragraph (1), convert the appointment of such individual, without competition, to a career or career conditional appointment; and may establish arrangements so that participants may participate in a paid internship for an appropriate period with an industry sponsor.

(e) Refund for Period of Unserved Obligated Service.— A participant in the program under this section who is not an employee of the Department of Defense and who voluntarily fails to complete the educational program for which financial assistance has been provided under this section, or fails to maintain satisfactory academic progress as determined in accordance with regulations prescribed by the Secretary of Defense, shall refund to the United States an appropriate amount, as determined by the Secretary. A participant in the program under this section who is an employee of the Department of Defense and who— voluntarily fails to complete the educational program for which financial assistance has been provided, or fails to maintain satisfactory academic progress as determined in accordance with regulations prescribed by the Secretary; or before completion of the period of obligated service required of such participant— voluntarily terminates such participant’s employment with the Department; or is removed from such participant’s employment with the Department on the basis of misconduct, shall refund the United States an appropriate amount, as determined by the Secretary. An obligation to reimburse the United States imposed under paragraph (1) is for all purposes a debt owed to the United States. The Secretary of Defense may waive, in whole or in part, a refund required under paragraph (1) if the Secretary determines that recovery would be against equity and good conscience or would be contrary to the best interests of the United States. A discharge in bankruptcy under title 11 that is entered less than five years after the termination of an agreement under this section does not discharge the person signing such agreement from a debt arising under such agreement or under this subsection.

(f) Relationship to Other Programs.— The Secretary of Defense shall coordinate the provision of financial assistance under the authority of this section with the provision of financial assistance under the other authorities provided in this chapter in order to maximize the benefits derived by the Department of Defense from the exercise of all such authorities. The Secretary of Defense shall seek to enter into partnerships with minority institutions of higher education and appropriate public and private sector organizations to diversify the participants in the program under subsection (a). In coordination with the efforts under paragraph (2), the Secretary of Defense shall additionally establish a program, which shall be known as the “Ronald V. Dellums Memorial Fellowship in STEM”, to provide financial assistance under this section to at least 30 students from communities that are underrepresented in the Department of Defense STEM workforce, not fewer of 50 percent of whom shall attend historically Black colleges and universities and minority-serving institutions. As part of such program, the Secretary shall establish an internship program that provides each student who is awarded a fellowship under this paragraph with an internship in an organization or element of the Department of Defense, and to the extent practicable, each such student shall be paired with a mid-level or a senior-level official of the relevant organization or element of the Department of Defense who shall serve as a mentor during the internship.

(g) Limitation on Participation.— The Secretary may not award scholarships or fellowships under this section to more than five individuals described in paragraph (2) per year. An individual described in this paragraph is an individual who— has not previously been awarded a scholarship or fellowship under the program under this section; is not a citizen of the United States; and is a citizen of a country the government of which is a party to The Technical Cooperation Program (TTCP) memorandum of understanding of October 24, 1995 .

(h) Institution of Higher Education Defined.— In this section, the term “institution of higher education” has the meaning given such term in section 101 of the Higher Education Act of 1965 ( 20 U.S.C. 1001 ).

§ 4094 Enhanced pay authority for certain research and technology positions in science and technology reinvention laboratories

(a) In General.— The Secretary of Defense may carry out a program using the pay authority specified in subsection (d) to fix the rate of basic pay for positions described in subsection (c) in order to assist the military departments in attracting and retaining high quality acquisition and technology experts in positions responsible for managing and performing complex, high-cost research and technology development efforts in the science and technology reinvention laboratories of the Department of Defense.

(b) Approval Required.— The program may be carried out in a military department only with the approval of the service acquisition executive of the military department concerned.

(c) Positions.— The positions described in this subsection are positions in the science and technology reinvention laboratories of the Department of Defense that— require expertise of an extremely high level in a scientific, technical, professional, or acquisition management field; and are critical to the successful accomplishment of an important research or technology development mission.

(d) Rate of Basic Pay.— The pay authority specified in this subsection is authority as follows: Authority to fix the rate of basic pay for a position at a rate not to exceed 150 percent of the rate of basic pay payable for level I of the Executive Schedule, upon the approval of the service acquisition executive concerned. Authority to fix the rate of basic pay for a position at a rate in excess of 150 percent of the rate of basic pay payable for level I of the Executive Schedule, upon the approval of the Secretary of the military department concerned.

(e) Limitations.— The authority in subsection (a) may be used only to the extent necessary to competitively recruit or retain individuals exceptionally well qualified for positions described in subsection (c). The authority in subsection (a) may not be used with respect to more than five positions in each military department at any one time, unless the Under Secretary of Defense for Research and Engineering, in concurrence with the Secretaries of the military departments concerned, authorizes the transfer of positions from one military department to another. The authority in subsection (a) may be used only for positions having a term of less than five years.

(f) Science and Technology Reinvention Laboratories of the Department of Defense Defined.— In this section, the term “science and technology reinvention laboratories of the Department of Defense” means the laboratories designated as science and technology reinvention laboratories by section 4121(b) of this title .

§ 4121 Science and technology reinvention laboratories: authority and designation

(a) In General.— The Secretary of Defense may carry out personnel demonstration projects at Department of Defense laboratories designated by the Secretary as Department of Defense science and technology reinvention laboratories. Each personnel demonstration project carried out under the authority of paragraph (1) shall be generally similar in nature to the China Lake demonstration project. For purposes of subparagraph (A), the China Lake demonstration project is the demonstration project that is authorized by section 6 of the Civil Service Miscellaneous Amendments Act of 1983 ( Public Law 98–224 ) to be continued at the Naval Weapons Center, China Lake, California, and at the Naval Ocean Systems Center, San Diego, California. If the Secretary carries out a demonstration project at a laboratory pursuant to paragraph (1), section 4703 of title 5 shall apply to the demonstration project, except that— subsection (d) of such section 4703 shall not apply to the demonstration project; the authority of the Secretary to carry out the demonstration project is that which is provided in paragraph (1) rather than the authority which is provided in such section 4703; and the Secretary shall exercise the authorities granted to the Office of Personnel Management under such section 4703 through the Under Secretary of Defense for Research and Engineering (who shall place an emphasis in the exercise of such authorities on enhancing efficient operations of the laboratory and who may, in exercising such authorities, request administrative support from science and technology reinvention laboratories to review, research, and adjudicate personnel demonstration project proposals). The employees of a laboratory covered by a personnel demonstration project carried out under this section shall be exempt from, and may not be counted for the purposes of, any constraint or limitation in a statute or regulation in terms of supervisory ratios or maximum number of employees in any specific category or categories of employment that may otherwise be applicable to the employees. The employees shall be managed by the director of the laboratory subject to the supervision of the Under Secretary of Defense for Research and Engineering. The limitations in section 5373 of title 5 do not apply to the authority of the Secretary under this subsection to prescribe salary schedules and other related benefits.

(b) Designation of Laboratories.— Each of the following is hereby designated as a Department of Defense science and technology reinvention laboratory as described in subsection (a): The Air Force Research Laboratory. The Joint Warfare Analysis Center. The Army Research Institute for the Behavioral and Social Sciences. The Combat Capabilities Development Command Armaments Center. The Combat Capabilities Development Command Army Research Laboratory. The Combat Capabilities Development Command Aviation and Missile Center. The Combat Capabilities Development Command Chemical Biological Center. The Combat Capabilities Development Command Command, Control, Communications, Computers, Cyber, Intelligence, Surveillance, and Reconnaissance Center. The Combat Capabilities Development Command Ground Vehicle Systems Center. The Combat Capabilities Development Command Soldier Center. The Engineer Research and Development Center. The Medical Research and Development Command. The Technical Center, US Army Space and Missile Defense Command. The Naval Air Systems Command Warfare Centers. The Naval Facilities Engineering Command Engineering and Expeditionary Warfare Center. The Naval Information Warfare Centers, Atlantic and Pacific. The Naval Medical Research Center. The Naval Research Laboratory. The Naval Sea Systems Command Warfare Centers. The Office of Naval Research.

(c) Conversion Procedures.— The Secretary of Defense shall implement procedures to convert the civilian personnel of each Department of Defense science and technology reinvention laboratory, as so designated by subsection (b), to the personnel system under an appropriate demonstration project (as referred to in subsection (a)). Any conversion under this subsection— shall not adversely affect any employee with respect to pay or any other term or condition of employment; shall be consistent with section 4703(f) of title 5 ; shall be completed within 18 months after designation; and shall not apply to prevailing rate employees (as defined by section 5342(a)(2) of title 5 ) or senior executives (as defined by section 3132(a)(3) of such title).

(d) Limitation.— The science and technology reinvention laboratories, as so designated by subsection (a), may not implement any personnel system, other than a personnel system under an appropriate demonstration project (as referred to subsection (a)), without prior congressional authorization.

§ 4123 Mechanisms to provide funds for defense laboratories and test organizations for research and development of technologies for military missions

(a) Mechanisms to Provide Funds.— The Secretary of Defense, in consultation with the Secretaries of the military departments, shall establish mechanisms under which the director of a defense laboratory or test organization may use an amount of funds equal to not less than two percent and not more than four percent of all funds available to the defense laboratory or test organization for the following purposes: To fund innovative basic and applied research that is conducted at the defense laboratory or test organization and supports military missions. To fund development programs that support the transition of technologies developed by the defense laboratory or test organization into operational use. To fund workforce development activities that improve the capacity of the defense laboratory or test organization to recruit and retain personnel with necessary scientific and engineering expertise that support military missions. To fund the repair or minor military construction of the laboratory or test organization infrastructure and equipment, in accordance with subsection (b). The mechanisms established under paragraph (1) shall provide that funding shall be used under paragraph (1) at the discretion of the director of a defense laboratory or test organization in consultation with the science and technology executive of the military department concerned. The science and technology executive of a military department may develop policies and guidance to leverage funding and promote cross-laboratory collaboration, including with laboratories or test organizations of other military departments. After consultation with the science and technology executive of the military department concerned, the director of a defense laboratory or test organization may charge customer activities a fixed percentage fee, in addition to normal costs of performance, in order to obtain funds to carry out activities authorized by this subsection. The fixed fee may not exceed four percent of costs.

(b) Availability of Funds for Infrastructure Projects.— Funds shall be available in accordance with subsection (a)(1)(D) only if— the Secretary notifies the congressional defense committees of the total cost of the project before the date on which the Secretary uses the mechanism under such subsection for such project; and the Secretary ensures that the project complies with the applicable cost limitations in— section 2805(d) of this title , with respect to revitalization and recapitalization projects; and section 2811 of this title , with respect to repair projects.

(c) Release and Dissemination of Information on Contributions From Use of Authority to Military Missions.— The Secretary shall establish and maintain mechanisms for the continuous collection of information on achievements, best practices identified, lessons learned, and challenges arising in the exercise of the authority in this section. The Secretary shall establish and maintain mechanisms as follows: Mechanisms for the release to the public of information on achievements and best practices described in paragraph (1) in unclassified form. Mechanisms for dissemination to appropriate civilian and military officials of information on achievements and best practices described in paragraph (1) in classified form.

(d) Test Organization Defined.— In this section, the term “test organization” means a test organization of the Major Range and Test Facility Base specified in Department of Defense Directive 3200.11 or any successor directive.

§ 4124 Centers for Science, Technology, and Engineering Partnership

(a) Designation.— The Secretary of Defense, in coordination with the Secretaries of the military departments, shall designate each science and technology reinvention laboratory as a Center for Science, Technology, and Engineering Partnership (in this section referred to as “Centers”) in the recognized core competencies of the designee. The Secretary of Defense shall establish a policy to encourage the Secretary of each military department to reengineer management and business processes and adopt best-business and personnel practices at the Centers of the Secretary concerned in connection with the capability requirements of the Centers, so as to serve as recognized leaders in such capabilities throughout the Department of Defense and in the national technology and industrial base. The Secretary of Defense, acting through the directors of the Centers, may conduct one or more pilot programs, consistent with applicable requirements of law, to test any practices referred to in paragraph (2) that the Directors determine could— improve the efficiency and effectiveness of operations at Centers; improve the support provided by the Centers for the elements of the Department of Defense who use the services of the Centers; and enhance capabilities by reducing the cost and improving the performance and efficiency of executing laboratory missions.

(b) Public-private Partnerships.— To achieve one or more objectives set forth in paragraph (2), the Secretary may authorize and establish incentives for the Director of a Center to enter into public-private cooperative arrangements (in this section referred to as a “public-private partnership”) to provide for any of the following: For employees of the Center, academia, private industry, State and local governments, or other entities outside the Department of Defense to perform (under contract, subcontract, or otherwise) work related to the capabilities of the Center, including any work that— involves one or more capabilities of the Center; and may be applicable to both the Department and commercial entities. For private industry or other entities outside the Department of Defense to use for either Government or commercial purposes any capabilities of the Center that are not fully used for Department of Defense activities for any period determined to be consistent with the needs of the Department of Defense. The objectives for exercising the authority provided in paragraph (1) are as follows: To maximize the use of the capacity of a Center. To reduce or eliminate the cost of ownership of a Center by the Department of Defense. To reduce the cost of science, technology, and engineering activities of the Department of Defense. To leverage private sector investment in— such efforts as research and equipment recapitalization for a Center; and the promotion of the undertaking of commercial business ventures based on the capabilities of a Center, as determined by the director of the Center. To foster cooperation and technology transfer between the armed forces, academia, private industry, and State and local governments. To increase access by a Center to a skilled technical workforce that can contribute to the effective and efficient execution of the missions of the Department of Defense. To increase the ability of a Center to access and use non-Department of Defense methods to develop and innovate and access capabilities that contribute to the effective and efficient execution of the missions of the Department of Defense. Public-private partnerships entered into under paragraph (1) may be used for purposes relating to technology transfer and other authorities described in subparagraph (B). The authorities described in this subparagraph are provisions of law that provide for cooperation and partnership by the Department of Defense with academia, private industry, and State and local governments, including the following: Sections 3371 through 3375 of title 5. Sections 2194, 2563, 4001, 4021, 4831, and 4062 of this title. Section 209 of title 35 . Sections 8, 12, and 23 of the Stevenson-Wydler Technology Innovation Act of 1980 ( 15 U.S.C. 3706 , 3710a, and 3715).

(c) Private Sector Use of Excess Capacity.— Any capability of a Center made available to the private sector may be used to perform research and testing activities in order to make more efficient and economical use of Government-owned capabilities and encourage the creation and preservation of jobs to ensure the availability of a workforce with the necessary research and technical skills to meet the needs of the armed forces.

(d) Crediting of Amounts for Performance.— Amounts received by a Center for work performed under a public-private partnership may— be credited to the appropriation or fund, including a working-capital or revolving fund, that incurs the cost of performing the work; or be used by the Director of the Center as the Director considers appropriate and consistent with section 219 of the Duncan Hunter National Defense Authorization Act for Fiscal Year 2009 ( Public Law 110–417 ; 10 U.S.C. 2358 note). 1

(e) Availability of Excess Capacities to Private-sector Partners.— Capacities of a Center may be made available for use by a private-sector entity under this section only if— the use of the capacities will not have a significant adverse effect on the performance of the Center or the ability of the Center to achieve the mission of the Center, as determined by the Director of the Center; and the private-sector entity agrees— to reimburse the Department of Defense when required in accordance with the guidance of the Department for the direct and indirect costs (including any rental costs) that are attributable to the use of the capabilities by the private-sector entity, as determined by the Secretary of the military departments; and to hold harmless and indemnify the United States from— any claim for damages or injury to any person or property arising out of the use of the capabilities, except under the circumstances described in section 2563(c)(3) of this title ; and any liability or claim for damages or injury to any person or property arising out of a decision by the Secretary to suspend or terminate that use of capabilities during a war or national emergency.

(f) Use of Partnership Intermediaries to Promote Defense Research and Education.— Subject to the approval of the Secretary or the head of the another department or agency of the Federal Government concerned, the Director of a Center may enter into a contract, memorandum of understanding or other transaction with a partnership intermediary that provides for the partnership intermediary to perform services for the Department of Defense that increase the likelihood of success in the conduct of cooperative or joint activities of the Center with industry or academic institutions. In this subsection, the term “partnership intermediary” means an agency of a State or local government, or a nonprofit entity owned in whole or in part by, chartered by, funded in whole or in part by, or operated in whole or in part by or on behalf of a State or local government, that— assists, counsels, advises, evaluates, or otherwise cooperates with industry or academic institutions that need or can make demonstrably productive use of technology-related assistance from a Center; facilitates technology transfer from industry or academic institutions to a Center; or assists and facilitates workforce development in critical technology areas for technology transition activities to fulfill unmet needs of a Center.

(g) Construction of Provision.— Nothing in this section may be construed to authorize a change, otherwise prohibited by law, from the performance of work at a Center by personnel of the Department of Defense to performance by a contractor.

(h) Definitions.— In this section: The term “capabilities”, with respect to a Center for Science, Technology, and Engineering Partnership, means the facilities, equipment, personnel, intellectual property, and other assets that support the core competencies of the Center. The term “national technology and industrial base” has the meaning given that term in section 4801 of this title . The term “science and technology reinvention laboratory” means a science and technology reinvention laboratory designated under section 4121(b) of this title .

§ 4125 Functions of Defense research facilities

(a) Functions of Defense Research Facilities.— The Secretary of Defense shall ensure, to the maximum extent practicable— that Defense research facilities are assigned broad mission requirements rather than specific hardware needs; that appropriate personnel of such facilities are assigned to serve as consultants on component and support system standardization; that the managers of such facilities have broad latitude to choose research and development projects based on awareness of activities throughout the technology domain, including within the Federal Government, the Department of Defense, public and private research institutions and universities, and the global commercial marketplace; that technology position and issue papers prepared by Defense research facilities are readily available to all components of the Department of Defense and to contractors who submit bids or proposals for Department of Defense contracts; that, in order to promote increased consideration of technological issues early in the development process, any technological assessment made by a Defense research facility shall be provided to the Defense Technical Information Center repository to support acquisition decisions; and that, in light of Defense research facilities being funded by the public, Defense research facilities are broadly authorized and encouraged to support national technological development goals and support technological missions of other departments and agencies of the Federal Government, when such support is determined by the Secretary of Defense to be in the best interests of the Federal Government.

(b) Definitions.— In this section, the term “Defense research facility” means a Department of Defense facility which performs or contracts for the performance of— basic research; or applied research known as exploratory development.

§ 4126 Use of federally funded research and development centers

(a) Limitation on Use of Centers.— Except as provided in subsection (b), the Secretary of Defense may not place work with a federally funded research and development center unless such work is within the purpose, mission, and general scope of effort of such center as established in the sponsoring agreement of the Department of Defense with such center.

(b) Exception for Applied Scientific Research.— This section does not apply to a federally funded research and development center that performs applied scientific research under laboratory conditions.

(c) Limitation on Creation of New Centers.— The head of an agency may not obligate or expend amounts appropriated to the Department of Defense for purposes of operating a federally funded research center that was not in existence before June 2, 1986 , until— the head of the agency submits to Congress a report with respect to such center that describes the purpose, mission, and general scope of effort of the center; and a period of 60 days beginning on the date such report is received by Congress has elapsed. In this subsection, the term “head of an agency” has the meaning given such term in section 3004 of this title .

(d) Identification to Congress of FFRDC Workload Effort.— After the close of a fiscal year, and not later than January 1 of the next year, the Secretary shall submit to the Committee on Armed Services and the Committee on Appropriations of the Senate and the Committee on Armed Services and the Committee on Appropriations of the House of Representatives a report setting forth the actual obligations and the actual man-years of effort expended at each federally funded research and development center during that fiscal year.

§ 4127 Defense Innovation Unit

(a) Establishment.— There is established in the Department of Defense a Defense Innovation Unit (referred to in this section as the “Unit”).

(b) Director and Deputy Director.— There is a Director of the Unit who shall be appointed by the Secretary of Defense from among persons with substantial experience in innovation and commercial technology, as determined by the Secretary.

(c) Authority of Director.— The Director is the head of the Unit. The Director— shall serve as a principal staff assistant to the Secretary of Defense on matters within the responsibility of the Unit; shall report directly to the Secretary without intervening authority; and may communicate views on matters within the responsibility of the Unit directly to the Secretary without obtaining the approval or concurrence of any other official within the Department of Defense.

(d) Responsibilities.— The Unit shall have the following responsibilities: Seek out, identify, and support development of and experimentation with commercial technologies that have the potential to be implemented within the Department of Defense. Accelerate the adoption or integration of commercial technologies within the Department of Defense to transform military capacity and capabilities. Serve as the principal liaison between the Department of Defense and individuals and entities in the national security innovation base, including entrepreneurs, startups, commercial technology companies, and venture capital sources. Carry out programs, projects, and other activities to strengthen the national security innovation base. Coordinate and harmonize the activities of other organizations and elements of the Department of Defense on matters relating to commercial technologies, dual use technologies, and the innovation of such technologies. Coordinate and advise efforts among elements of the Department of Defense on matters relating to the development, procurement, and fielding of nontraditional capabilities. Coordinate with the Joint Staff and the commanders of the combatant commands to identify operational challenges that have the potential to be addressed through the use of nontraditional capabilities, including dual-use technologies, that are being developed and financed in the commercial sector. Using funds made available to the Unit— select projects to be carried out by one or more of the service-level innovation organizations; allocate funds to service-level innovation organizations to carry out such projects; and monitor the execution of such projects by the service-level innovation organizations. Serve as the principal liaison between the Department of Defense, nontraditional defense contractors, investors in nontraditional defense companies, and departments and agencies of the Federal Government pursuing nontraditional capabilities similar to those pursued by the Department. Lead engagement with industry, academia, and other nongovernment entities to develop— domestic capacity with respect to innovative, commercial, and dual-use technologies and the use of nontraditional defense contractors; and the capacity of international allies and partners of the United States with respect to such technologies and the use of such contractors. Carry out such other activities as the Secretary of Defense determines appropriate.

(e) Support for Multi-stakeholder Partnerships.— The Director shall identify and support multi-stakeholder research and innovation partnerships that— have the potential to generate technologies, processes, products, or other solutions that address national defense or security needs; and have as an objective the technology transfer or commercialization of the work product generated by the partnership, which may include work product that incorporates Government-developed intellectual property licensed to the partnership in accordance with paragraph (3). Support provided by the Director to a multi-stakeholder research and innovation partnership under this subsection may include— providing funding or other resources to the partnership; participating in the partnership; providing technical and technological advice and guidance to the partnership; suggesting and introducing other participants for inclusion in the partnership; providing the partnership with insight into desired solutions for defense and security needs; and such other forms of support as the Director determines appropriate. To the extent the Director determines appropriate, the Director shall seek to actively inform potential participants in multi-stakeholder research and innovation partnerships of the availability of Government-developed intellectual property that may be licensed to the partnership. On an annual basis, the Director shall submit to the Secretary of Defense and the congressional defense committees a report on the activities, advances, outcomes, and work product of the multi-stakeholder research and innovation partnerships supported under this subsection.

(f) Regional Outreach Centers.— The Director may establish and maintain regional offices of the Unit at locations within and outside the United States for purposes of conducting outreach to and streamlining interactions between the Unit and the private sector, academia, and other mission partners. In the event the Director exercises the authority to establish and maintain regional offices under paragraph (1), the Director shall— develop a strategy and criteria for the selection of locations for such offices; issue any rules, regulations, policies, or guidance necessary for the operation of such offices; and make the information described in subparagraphs (A) and (B) available on a publicly accessible website of the Department of Defense.

(g) Definitions.— In this section: The term “multi-stakeholder research and innovation partnership” means a partnership composed of any combination of two or more of the following: Universities, colleges, or other institutions of higher education with research and innovation capability. Non-profit organizations that provide policy, research, outreach, operations, organizational, management, testing, evaluation, technology transfer, legal, financial, or advocacy expertise. For-profit commercial enterprises that may be publicly or privately owned, early stage or mature, and incorporated or operating by another ownership structure. Departments or agencies of the Federal Government with expertise, operations, or resources related to the objectives of the multi-stakeholder research and innovation partnership. The term “nontraditional capability” means a solution to an operational challenge that can significantly leverage commercial innovation or external capital with minimal dependencies on fielded systems. The term “nontraditional defense contractor” has the meaning given that term in section 3014 of this title .

§ 4128 Laboratory Quality Enhancement Program

(a) Program Required.— The Secretary of Defense, acting through the Under Secretary of Defense for Research and Engineering, shall carry out a program under which the Secretary shall establish the panels described in subsection (b) and direct such panels— to review and make recommendations to the Secretary with respect to— existing policies and practices affecting the science and technology reinvention laboratories to improve the mission effectiveness of such laboratories; new initiatives proposed by the science and technology reinvention laboratories; and new interpretations of existing provisions of law that would enhance the ability of a director of a science and technology reinvention laboratory to manage the laboratory and discharge the mission of the laboratory; to support implementation of current and future initiatives affecting the science and technology reinvention laboratories; and to conduct assessments or data analysis on the effectiveness of the authorities granted to the science and technology reinvention laboratories and such other issues as the Secretary determines to be appropriate. The program carried out pursuant to paragraph (1) shall be known as the “Laboratory Quality Enhancement Program”.

(b) Panels.— The panels described in this subsection are the following: A panel on personnel, workforce development, and talent management. A panel on facilities, equipment, and infrastructure. A panel on research strategy, technology transfer, and industry and university partnerships. A panel on governance and oversight processes.

(c) Composition of Panels.— Each panel described in paragraphs (1) through (3) of subsection (b) may be composed of subject matter and technical management experts from— laboratories and research centers of the Army, Navy, and Air Force; appropriate Defense Agencies; the Office of the Under Secretary of Defense for Research and Engineering; and such other entities as the Secretary determines to be appropriate. The panel described in subsection (b)(4) shall be composed of— at least one member from each of the science and technology reinvention laboratories; and such other members as the Secretary determines to be appropriate.

(d) Governance of Panels.— The chairperson of each panel established pursuant to subsection (a) shall be selected by the members of the respective panel. Each panel, in coordination with the Under Secretary of Defense for Research and Engineering, shall transmit to the Science and Technology Executive Committee of the Department of Defense such information or findings on topics requiring decision or approval as the panel considers appropriate.

(e) Interpretation of Provisions of Law.— The Under Secretary of Defense for Research and Engineering, acting under the guidance of the Secretary, shall issue regulations regarding the meaning, scope, implementation, and applicability of any provision of a statute relating to a science and technology reinvention laboratory. In interpreting or defining under paragraph (1), the Under Secretary shall, to the degree practicable, emphasize providing the maximum operational flexibility to the directors of the science and technology reinvention laboratories to discharge the missions of their laboratories. In interpreting or defining under paragraph (1), the Under Secretary shall, to the extent practicable, consult and coordinate with the secretaries of the military departments and such other agencies or entities as the Under Secretary considers relevant on any proposed revision to regulations under paragraph (1). In interpreting or defining under paragraph (1), the Under Secretary shall seek recommendations from the panel described in subsection (b)(4).

(f) Science and Technology Reinvention Laboratory Defined.— In this section, the term “science and technology reinvention laboratory” means a Department of Defense laboratory designated as a Department of Defense science and technology reinvention laboratory under section 4121 of this title .

§ 4129 Joint Federated Assurance Center

(a) Establishment.— There is in the Office of the Under Secretary of Defense for Research and Engineering a Joint Federated Assurance Center (referred to in this section as the “Center”).

(b) Purpose.— The purpose of the Center shall be to serve as a joint, Department-wide federation of organizations and capabilities to support the assurance needs of the Department of Defense by ensuring, pursuant to policies related to hardware and software assurance and supply chain risk management, that the software and hardware developed, acquired, maintained, and used by the Department are free from intentional and unintentional vulnerability during the life-cycle of development and deployment of assured, trustworthy defense systems.

(c) Governance.— The Center shall be governed by an Executive Steering Group. The Executive Steering Group shall continually evaluate the Center’s capabilities to support the hardware and software assurance needs of the Department. The Executive Steering Group shall be composed of one or more representatives from each of the organizations that comprise the Center. The Under Secretary of Defense for Research and Engineering and the Under Secretary of Defense for Acquisition and Sustainment shall serve as co-Chairpersons of the Executive Steering Group.

(d) Duties.— The duties of the Center are as follows: Providing knowledge management capabilities for hardware and software assurance for the Department. Providing Department-wide visibility on strategy, use cases, procurement, investment, and other relevant activities to aggregate, to the extent practicable, assurance tool purchases by the Department. Developing and standardizing policies, procedures, competencies, risk assessment methodologies, and independent validation and verification test capabilities— to support timely and cost-effective fielding of current and future technologies to the Department; to ensure sustainment of enduring capability needs across the life-cycle of Department of Defense programs and determine the sustainment factors related to the assurance of future hardware and software systems; to increase efficiencies across Department of Defense programs through the use of emerging assurance technologies; and to leverage economies of scale through coordinated acquisition and use of hardware and software assurance technologies. Promoting assurance capabilities for hardware and software assurance— to mature assessment criteria and enable scalable deployment of commercial best practices, such as through the fostering and maturation of evidence-based assurance of trusted defense microelectronics system needs, with emphasis on commercial security protocols that are transferable to defense applications; to scale the Center for Department-wide access, through the resourcing of adequate personnel to address standardization and automation of data collection and analysis; to utilize data from commercial assurance processes to support the development of Department hardware and software that meet standards, applications, and requirements, including through comparative analysis and data modeling; to seek and apply commercial best practices, where practicable, through industry collaboration; and to develop and align Department policy, investments, and activities with commercial best practices, to the extent practicable. For contracts for application-specific integrated circuits designed by defense industrial base contractors, develop guidance for— the consideration of evidence-based assurance processes and techniques that are included in the contract data requirements list, to the extent practicable; the use of commercial best practices, as applicable, for confidentiality, integrity and availability; and the development of a library of certified third-party intellectual property for reuse, including streamlining legal mechanisms for data collection and sharing, and enhanced use of automation technology to achieve efficiency. The assessment, creation, prototyping, maturation, and maintenance of relevant assurance practices, including the validation and maturation of evidence based assurance methods, for the development, procurement, and deployment of hardware and software assurance tools and processes, including— development and assessment of validation methods for such processes and techniques, in coordination with the developmental and operational test and evaluation community, as the Executive Steering Group determines necessary; development and assessment of threat models that comprehensively characterize the threat to microelectronics confidentiality, integrity, and availability across the entire supply chain, and the design, production, packaging, and deployment cycle to support risk management and risk mitigation; and support development of guides to inform use and decision-making by program evaluators, program offices, and industry to meet software and hardware assurance requirements.

(e) Revised Charter.— Not later than 180 days after the date of the enactment of this section, the Secretary of Defense shall issue a revised charter for the Center. The charter shall set forth— the role and authorities of the Center and the Executive Steering Group; the requirement of the Center to establish guidelines for the development of improved software code vulnerability analysis and testing tools; the requirement of the Center to establish guidelines for the development of improved hardware vulnerability testing and protection tools; and the manner in which the Center will connect to the Department’s major governance and resourcing processes to ensure the continuation of Center duties.