10 U.S.C. § 2306b
(a) In General.— To the extent that funds are otherwise available for obligation, the head of an agency may enter into multiyear contracts for the purchase of property whenever the head of that agency finds each of the following:
(b) Regulations.—
(2)
(d) Participation by Subcontractors, Vendors, and Suppliers.— In order to broaden the defense industrial base, the regulations shall provide that, to the extent practicable—
(e) Protection of Existing Authority.— The regulations shall provide that, to the extent practicable, the administration of this section, and of the regulations prescribed under this section, shall not be carried out in a manner to preclude or curtail the existing ability of an agency—
(f) Cancellation or Termination for Insufficient Funding.— In the event funds are not made available for the continuation of a contract made under this section into a subsequent fiscal year, the contract shall be canceled or terminated. The costs of cancellation or termination may be paid from—
(g) Contract Cancellation Ceilings Exceeding $100,000,000.—
(2) In the case of a contract described in subsection (a) with a cancellation ceiling described in paragraph (1), if the budget for the contract does not include proposed funding for the costs of contract cancellation up to the cancellation ceiling established in the contract, the head of the agency concerned shall, as part of the certification required by subsection (i)(1)(A), give written notification to the congressional defense committees of—
(h) Defense Acquisitions of Weapon Systems.— In the case of the Department of Defense, the authority under subsection (a) includes authority to enter into the following multiyear contracts in accordance with this section:
(i) Defense Acquisitions Specifically Authorized by Law.—
(2) In submitting a request for a specific authorization by law to carry out a defense acquisition program using multiyear contract authority under this section, the Secretary of Defense shall include in the request the following:
(3) A multiyear contract may not be entered into under this section for a defense acquisition program that has been specifically authorized by law to be carried out using multiyear contract authority unless the Secretary of Defense certifies in writing, not later than 30 days before entry into the contract, that each of the following conditions is satisfied:
(5)
(l) Various Additional Requirements With Respect to Multiyear Defense Contracts.—
(1)
(B) Subparagraph (A) applies to the following contracts:
(i) A multiyear contract—
(4) Not later than the date of the submission of the President’s budget request under section 1105 of title 31, the Secretary of Defense shall submit a report to the congressional defense committees each year, providing the following information with respect to each multiyear contract (and each extension of an existing multiyear contract) entered into, or planned to be entered into, by the head of an agency during the current or preceding year, shown for each year in the current future-years defense program and in the aggregate over the period of the current future-years defense program:
(A) The amount of total obligational authority under the contract (or contract extension) and the percentage that such amount represents of—
(B) The amount of total obligational authority under all multiyear procurements of the agency concerned (determined without regard to the amount of the multiyear contract (or contract extension)) under multiyear contracts in effect at the time the report is submitted and the percentage that such amount represents of—
(C) The amount equal to the sum of the amounts under subparagraphs (A) and (B), and the percentage that such amount represents of—
(9) In this subsection:
(Added Pub. L. 103–355, title I, § 1022(a)(1), , 108 Stat. 3257; amended Pub. L. 104–106, div. A, title XV, § 1502(a)(10), div. E, title LVI, § 5601(b), , 110 Stat. 503, 699; Pub. L. 105–85, div. A, title VIII, § 806(a)(1), (b)(1), (c), title X, § 1073(a)(47), (48)(A), , 111 Stat. 1834, 1835, 1903; Pub. L. 106–65, div. A, title VIII, § 809, title X, § 1067(1), , 113 Stat. 705, 774; Pub. L. 106–398, § 1 [[div. A], title VIII, §§ 802(c), 806], , 114 Stat. 1654, 1654A–205, 1654A–207; Pub. L. 107–296, title XVII, § 1704(b)(1), , 116 Stat. 2314; Pub. L. 107–314, div. A, title VIII, § 820(a), , 116 Stat. 2613; Pub. L. 108–136, div. A, title X, § 1043(b)(10), , 117 Stat. 1611; Pub. L. 108–375, div. A, title VIII, § 814(a), title X, § 1084(b)(2), , 118 Stat. 2014, 2060; Pub. L. 110–181, div. A, title VIII, § 811(a), , 122 Stat. 217; Pub. L. 111–23, title I, § 101(d)(2), , 123 Stat. 1709; Pub. L. 113–291, div. A, title VIII, § 816(a), (b), , 128 Stat. 3430, 3432; Pub. L. 114–92, div. A, title VIII, § 811, , 129 Stat. 891.)
2015—Subsecs. (a)(1), (i)(4). Pub. L. 114–92 substituted “significant” for “substantial”.
2014—Subsec. (a)(7). Pub. L. 113–291, § 816(b), substituted “subparagraphs (C) through (F) of subsection (i)(3)” for “subparagraphs (C) through (F) of paragraph (1) of subsection (i)”.
Subsec. (i). Pub. L. 113–291, § 816(a), amended subsec. (i) generally. Prior to amendment, subsec. (i) related to defense acquisitions specifically authorized by law.
2009—Subsec. (i)(1)(B). Pub. L. 111–23 substituted “Director of Cost Assessment and Program Analysis” for “Cost Analysis Improvement Group of the Department of Defense”.
2008—Subsec. (a)(7). Pub. L. 110–181, § 811(a)(1), added par. (7).
Subsec. (i)(1). Pub. L. 110–181, § 811(a)(2), (3), inserted “the Secretary of Defense certifies in writing by no later than March 1 of the year in which the Secretary requests legislative authority to enter into such contract that” after “unless” in introductory provisions, added subpars. (A) to (F), redesignated former subpar. (B) as (G), and struck out former subpar. (A) which read as follows: “The Secretary of Defense certifies to Congress that the current future-years defense program fully funds the support costs associated with the multiyear program.”
Subsec. (i)(5) to (7). Pub. L. 110–181, § 811(a)(4), added pars. (5) to (7).
Subsec. (m). Pub. L. 110–181, § 811(a)(5), added subsec. (m).
2004—Subsec. (g). Pub. L. 108–375, § 814(a)(1), designated existing provisions as par. (1).
Subsec. (g)(1). Pub. L. 108–375, §§ 814(a)(2), 1084(b)(2), amended par. (1) identically, substituting “congressional defense committees” for “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”.
Subsec. (g)(2). Pub. L. 108–375, § 814(a)(3), added par. (2).
2003—Subsec. (l)(9), (10). Pub. L. 108–136 redesignated par. (10) as (9) and struck out former par. (9) which read as follows: “In this subsection, the term ‘congressional defense committees’ means the following:
“(A) The Committee on Armed Services of the Senate and the Subcommittee on Defense of the Committee on Appropriations of the Senate.
“(B) The Committee on Armed Services of the House of Representatives and the Subcommittee on National Security of the Committee on Appropriations of the House of Representatives.”
2002—Subsec. (b)(2)(B). Pub. L. 107–296 substituted “of Homeland Security” for “of Transportation”.
Subsec. (i)(4). Pub. L. 107–314 added par. (4).
2000—Subsec. (k). Pub. L. 106–398, § 1 [[div. A], title VIII, § 802(c)], struck out “or services” after “purchase of property”.
Subsec. (l)(4). Pub. L. 106–398, § 1 [[div. A], title VIII, § 806(1)(A)], in introductory provisions, substituted “Not later than the date of the submission of the President’s budget request under section 1105 of title 31, the Secretary of Defense shall submit a report to the congressional defense committees each year, providing the following information with respect to each multiyear contract (and each extension of an existing multiyear contract) entered into, or planned to be entered into, by the head of an agency during the current or preceding year” for “The head of an agency may not enter into a multiyear contract (or extend an existing multiyear contract) until the Secretary of Defense submits to the congressional defense committees a report with respect to that contract (or contract extension) that provides the following information”.
Subsec. (l)(4)(B). Pub. L. 106–398, § 1 [[div. A], title VIII, § 806(1)(B)], substituted “in effect at the time the report is submitted” for “in effect immediately before the contract (or contract extension) is entered into” in introductory provisions.
Subsec. (l)(5) to (10). Pub. L. 106–398, § 1 [[div. A], title VIII, § 806(2), (3)], added par. (5) and redesignated former pars. (5) to (9) as (6) to (10), respectively.
1999—Subsec. (g). Pub. L. 106–65, § 1067(1), substituted “and the Committee on Armed Services” for “and the Committee on National Security”.
Subsec. (l)(4) to (7). Pub. L. 106–65, § 809(1), (2), added par. (4) and redesignated former pars. (4) to (6) as (5) to (7), respectively. Former par. (7) redesignated (8).
Subsec. (l)(8). Pub. L. 106–65, § 809(1), redesignated par. (7) as (8).
Subsec. (l)(8)(B). Pub. L. 106–65, § 1067(1), substituted “Committee on Armed Services” for “Committee on National Security”.
Subsec. (l)(9). Pub. L. 106–65, § 809(3), added par. (9).
1997—Pub. L. 105–85, § 1073(a)(48)(A), inserted “: acquisition of property” in section catchline.
Subsec. (a). Pub. L. 105–85, § 806(c)(1), substituted “finds each of the following:” for “finds—” in introductory provisions, capitalized first letter of first word in pars. (1) to (6), and substituted a period for semicolon at end of pars. (1) to (4) and for “; and” at end of par. (5).
Subsec. (d)(1). Pub. L. 105–85, § 806(c)(2), substituted “subsection (a)” for “paragraph (1)”.
Subsec. (i)(1)(A). Pub. L. 105–85, § 806(c)(3), substituted “future-years” for “five-year”.
Subsec. (i)(3). Pub. L. 105–85, § 806(a)(1), added par. (3).
Subsec. (k). Pub. L. 105–85, § 1073(a)(47), substituted “this section” for “this subsection”.
Subsec. (l). Pub. L. 105–85, § 806(b)(1), added subsec. (l).
1996—Subsec. (g). Pub. L. 104–106, § 1502(a)(10), substituted “the Committee on Armed Services and the Committee on Appropriations of the Senate and the Committee on National Security and the Committee on Appropriations of the” for “the Committees on Armed Services and on Appropriations of the Senate and”.
Subsecs. (k), (l). Pub. L. 104–106, § 5601(b), redesignated subsec. (l) as (k) and struck out former subsec. (k) which read as follows: “Inapplicability to Automatic Data Processing Contracts.—This section does not apply to contracts for the purchase of property to which section 111 of the Federal Property and Administrative Services Act of 1949 (40 U.S.C. 759) applies.”
Pub. L. 113–291, div. A, title VIII, § 816(c), , 128 Stat. 3432, provided that:
“The amendments made by this section [amending this section] shall take effect on the date of the enactment of this Act [
Dec. 19, 2014], and shall apply with respect to requests for specific authorization by law to carry out defense acquisition programs using multiyear contract authority that are made on or after that date.”
Pub. L. 110–181, div. A, title VIII, § 811(b), , 122 Stat. 219, provided that:
“The amendments made by this section [amending this section] shall take effect on the date of the enactment of this Act [
Jan. 28, 2008] and shall apply with respect to multiyear contracts for the purchase of major systems for which legislative authority is requested on or after that date.”
Pub. L. 107–314, div. A, title VIII, § 820(b), , 116 Stat. 2614, provided that:
- “(1) Paragraph (4) of section 2306b(i) of title 10, United States Code, as added by subsection (a), shall not apply with respect to any contract awarded before the date of the enactment of this Act [].
- “(2) Nothing in this section [amending this section] shall be construed to authorize the expenditure of funds under any contract awarded before the date of the enactment of this Act for any purpose other than the purpose for which such funds have been authorized and appropriated.”
Amendment by Pub. L. 107–296 effective on the date of transfer of the Coast Guard to the Department of Homeland Security, see section 1704(g) of Pub. L. 107–296, set out as a note under section 101 of this title.
Pub. L. 105–85, div. A, title VIII, § 806(a)(2), , 111 Stat. 1834, provided that:
“Paragraph (3) of
section 2306b(i) of title 10, United States Code, as added by paragraph (1), shall not apply with respect to a contract authorized by law before the date of the enactment of this Act [
Nov. 18, 1997].”
Pub. L. 105–85, div. A, title VIII, § 806(b)(2), , 111 Stat. 1835, provided that:
“The amendment made by paragraph (1) [amending this section] shall take effect on
October 1, 1998.”
Amendment by section 5601(b) of Pub. L. 104–106 effective 180 days after , see section 5701 of Pub. L. 104–106, , 110 Stat. 702.
For effective date and applicability of section, see section 10001 of Pub. L. 103–355, set out as an Effective Date of 1994 Amendment note under section 2302 of this title.
Pub. L. 105–56, title VIII, § 8008, , 111 Stat. 1221, provided that:
- “(a) None of the funds provided in this Act [see Tables for classification] shall be available to initiate: (1) a multiyear contract that employs economic order quantity procurement in excess of $20,000,000 in any one year of the contract or that includes an unfunded contingent liability in excess of $20,000,000; or (2) a contract for advance procurement leading to a multiyear contract that employs economic order quantity procurement in excess of $20,000,000 in any one year, unless the congressional defense committees [Committee on Armed Services and Subcommittee on National Security of the Committee on Appropriations of the House of Representatives and Committee on Armed Services and Subcommittee on Defense of the Committee on Appropriations of the Senate] have been notified at least 30 days in advance of the proposed contract award: Provided, That no part of any appropriation contained in this Act shall be available to initiate a multiyear contract for which the economic order quantity advance procurement is not funded at least to the limits of the Government’s liability: Provided further, That no part of any appropriation contained in this Act shall be available to initiate multiyear procurement contracts for any systems or component thereof if the value of the multiyear contract would exceed $500,000,000 unless specifically provided in this Act: Provided further, That no multiyear procurement contract can be terminated without 10-day prior notification to the congressional defense committees: Provided further, That the execution of multiyear authority shall require the use of a present value analysis to determine lowest cost compared to an annual procurement.“Funds appropriated in title III of this Act [111 Stat. 1211] may be used for multiyear procurement contracts as follows: “Apache Longbow radar; “AV–8B aircraft; and “Family of Medium Tactical Vehicles.
“(b) None of the funds provided in this Act and hereafter may be used to submit to Congress (or to any committee of Congress) a request for authority to enter into a contract covered by those provisions of subsection (a) that precede the first proviso of that subsection unless—
- “(1) such request is made as part of the submission of the President’s Budget for the United States Government for any fiscal year and is set forth in the Appendix to that budget as part of proposed legislative language for appropriations bills for the next fiscal year; or
- “(2) such request is formally submitted by the President as a budget amendment; or
- “(3) the Secretary of Defense makes such request in writing to the congressional defense committees.”
Similar provisions were contained in the following appropriation acts:
Pub. L. 113–235, div. C, title VIII, § 8010, , 128 Stat. 2253.
Pub. L. 113–76, div. C, title VIII, § 8010, , 128 Stat. 105.
Pub. L. 113–6, div. C, title VIII, § 8010, , 127 Stat. 297.
Pub. L. 112–74, div. A, title VIII, § 8010, , 125 Stat. 806.
Pub. L. 112–10, div. A, title VIII, § 8010, , 125 Stat. 57.
Pub. L. 111–118, div. A, title VIII, § 8011, , 123 Stat. 3428, as amended by Pub. L. 111–212, title I, § 305, , 124 Stat. 2311.
Pub. L. 110–329, div. C, title VIII, § 8011, , 122 Stat. 3621.
Pub. L. 110–116, div. A, title VIII, § 8010, , 121 Stat. 1315.
Pub. L. 109–289, div. A, title VIII, § 8008, , 120 Stat. 1273.
Pub. L. 109–148, div. A, title VIII, § 8008, , 119 Stat. 2698.
Pub. L. 108–287, title VIII, § 8008, , 118 Stat. 970.
Pub. L. 108–87, title VIII, § 8008, , 117 Stat. 1072.
Pub. L. 107–248, title VIII, § 8008, , 116 Stat. 1537.
Pub. L. 107–117, div. A, title VIII, § 8008, , 115 Stat. 2248.
Pub. L. 106–259, title VIII, § 8008, , 114 Stat. 675.
Pub. L. 106–79, title VIII, § 8008, , 113 Stat. 1232.
Pub. L. 105–262, title VIII, § 8008, , 112 Stat. 2298.
Pub. L. 104–208, div. A, title I, § 101(b) [title VIII, § 8009], , 110 Stat. 3009–71, 3009–89.
Pub. L. 104–61, title VIII, § 8010, , 109 Stat. 653.
Pub. L. 103–335, title VIII, § 8010, , 108 Stat. 2618.
Pub. L. 103–139, title VIII, § 8011, , 107 Stat. 1439.
Pub. L. 102–396, title IX, § 9013, , 106 Stat. 1903.
Pub. L. 102–172, title VIII, § 8013, , 105 Stat. 1173.