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10 U.S.C. § 4505 — Procurement of services: tracking of purchases
Federal law — U.S. Code and appendices · legal_authorities
**(a) Data Collection Required.—** The Secretary of Defense shall establish a data collection system to provide management information with regard to each purchase of services by a military department or Defense Agency in excess of $3,000,000, regardless of whether such a purchase is made in the form of a contract, task order, delivery order, military interdepartmental purchase request, or any other form of interagency agreement, for services in the following service acquisition portfolio groups:
(1) Logistics management services.
(2) Equipment related services.
(3) Knowledge-based services.
(4) Electronics and communications services.
**(b) Data To Be Collected.—** The data required to be collected under subsection (a) includes the following:
(1) The services purchased.
(2) The total dollar amount of the purchase.
(3) The form of contracting action used to make the purchase.
(4) Whether the purchase was made through—
(A) a performance-based contract, performance-based task order, or other performance-based arrangement that contains firm fixed prices for the specific tasks to be performed;
(B) any other performance-based contract, performance-based task order, or performance-based arrangement; or
(C) any contract, task order, or other arrangement that is not performance based.
(5) In the case of a purchase made through an agency other than the Department of Defense, the agency through which the purchase is made.
(6) The extent of competition provided in making the purchase and whether there was more than one offer.
(7) Whether the purchase was made from—
(A) a small business concern;
(B) a small business concern owned and controlled by socially and economically disadvantaged individuals; or
(C) a small business concern owned and controlled
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Source location: Title 10, Chapter 341, § 4505; chapter-341-acquisition-of-services-generally.md
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**(a) Data Collection Required.—** The Secretary of Defense shall establish a data collection system to provide management information with regard to each purchase of services by a military department or Defense Agency in excess of $3,000,000, regardless of whether such a purchase is made in the form of a contract, task order, delivery order, military interdepartmental purchase request, or any other form of interagency agreement, for services in the following service acquisition portfolio groups:
(1) Logistics management services.
(2) Equipment related services.
(3) Knowledge-based services.
(4) Electronics and communications services.
**(b) Data To Be Collected.—** The data required to be collected under subsection (a) includes the following:
(1) The services purchased.
(2) The total dollar amount of the purchase.
(3) The form of contracting action used to make the purchase.
(4) Whether the purchase was made through—
(A) a performance-based contract, performance-based task order, or other performance-based arrangement that contains firm fixed prices for the specific tasks to be performed;
(B) any other performance-based contract, performance-based task order, or performance-based arrangement; or
(C) any contract, task order, or other arrangement that is not performance based.
(5) In the case of a purchase made through an agency other than the Department of Defense, the agency through which the purchase is made.
(6) The extent of competition provided in making the purchase and whether there was more than one offer.
(7) Whether the purchase was made from—
(A) a small business concern;
(B) a small business concern owned and controlled by socially and economically disadvantaged individuals; or
(C) a small business concern owned and controlled by women.
**(c) Inventory Summary.—**
(1) Not later than the end of the third quarter of each fiscal year, the Secretary of Defense shall prepare an annual inventory, and submit to Congress a summary of the inventory, of activities performed during the preceding fiscal year pursuant to staff augmentation contracts and contracts closely associated with inherently governmental functions on behalf of the Department of Defense. The guidance for compiling the inventory shall be issued by the Under Secretary of Defense for Personnel and Readiness, the Under Secretary of Defense (Comptroller), and the Under Secretary of Defense for Acquisition and Sustainment, as follows:
(A) The Under Secretary of Defense for Personnel and Readiness, as supported by the Under Secretary of Defense (Comptroller), shall be responsible for developing guidance for—
(i) the collection of data regarding functions and missions performed by contractors in a manner that is comparable to the manpower data elements used in inventories of functions performed by Department of Defense employees;
(ii) the calculation of contractor full-time equivalents for direct labor, using direct labor hours in a manner that is comparable to the calculation of Department of Defense civilian full-time employees; and
(iii) the conduct and completion of the annual review required under subsection (e)(1).
(B) The Under Secretary of Defense for Acquisition and Sustainment shall be responsible for developing guidance on other data elements and implementing procedures for requirements relating to acquisition.
(2) The entry for an activity on an inventory under this subsection shall include, for the fiscal year covered by such entry, the following:
(A) The functions and missions performed by the contractor.
(B) The contracting organization, the component of the Department of Defense administering the contract, and the organization whose requirements are being met through contractor performance of the function.
(C) The funding source for the contract under which the function is performed by appropriation and operating agency.
(D) The fiscal year for which the activity first appeared on an inventory under this section.
(E) The number of contractor employees, expressed as full-time equivalents for direct labor, using direct labor hours and associated cost data collected from contractors (except that estimates may be used where such data is not available and cannot reasonably be made available in a timely manner for the purpose of the inventory).
(F) A determination whether the contract pursuant to which the activity is performed is a personal services contract.
(G) A summary of the data required to be collected for the activity under subsection (a).
(3) The inventory required under this subsection shall be submitted in unclassified form, but may include a classified annex.
**(d) Review and Planning Requirements.—** Within 90 days after the date on which an inventory is submitted under subsection (c), the Secretary of the military department or head of the Defense Agency responsible for activities in the inventory shall—
(1) review the contracts and activities in the inventory for which such Secretary or agency head is responsible, with particular focus and attention on the following categories of high-risk product service codes (also referred to as Federal supply codes):
(A) Special studies or analysis that is not research and development.
(B) Information technology and telecommunications.
(C) Support, including professional, administrative, and management;
(2) ensure that—
(A) each contract on the list that is a personal services contract has been entered into, and is being performed, in accordance with applicable statutory and regulatory requirements;
(B) the activities on the list do not include any inherently governmental functions; and
(C) to the maximum extent practicable, the activities on the list do not include any functions closely associated with inherently governmental functions; and
(3) identify activities that should be considered for conversion—
(A) to performance by civilian employees of the Department of Defense pursuant to [section 2463 of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title10-section2463&num=0&edition=prelim); or
(B) to an acquisition approach that would be more advantageous to the Department of Defense.
**(e) Development of Plan and Enforcement and Approval Mechanisms.—** The Secretary of the military department or head of the Defense Agency responsible for activities in the inventory shall develop a plan, including an enforcement mechanism and approval process, to—
(1) provide for the use of the inventory by the military department or Defense Agency to implement the requirements of [section 129a of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title10-section129a&num=0&edition=prelim);
(2) ensure the inventory is used to inform strategic workforce planning;
(3) facilitate use of the inventory for compliance with section 235 11 See References in Text note below. of this title; and
(4) provide for appropriate consideration of the conversion of activities identified under subsection (e)(3) within a reasonable period of time.
**(f) Comptroller General Report.—** Not later than March 31, 2018, the Comptroller General of the United States shall submit to the congressional defense committees a report on the status of the data collection required in subsection (a) and an assessment of the efforts by the Department of Defense to implement subsection (e).
**(g) Rule of Construction.—** Nothing in this section shall be construed to authorize the performance of personal services by a contractor except where expressly authorized by a provision of law other than this section.
**(h) Definitions.—** In this section:
(1) **Performance-based.—** — The term “performance-based”, with respect to a contract, task order, or arrangement, means that the contract, task order, or arrangement, respectively, includes the use of performance work statements that set forth contract requirements in clear, specific, and objective terms with measurable outcomes.
(2) **Function closely associated with inherently governmental functions.—** — The term “function closely associated with inherently governmental functions” has the meaning given that term in [section 4508(b)(3) of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title10-section4508/b/3&num=0&edition=prelim).
(3) **Inherently governmental functions.—** — The term “inherently governmental functions” has the meaning given that term in [section 4508(b)(2) of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title10-section4508/b/2&num=0&edition=prelim).
(4) **Personal services contract.—** — The term “personal services contract” means a contract under which, as a result of its terms or conditions or the manner of its administration during performance, contractor personnel are subject to the relatively continuous supervision and control of one or more Government officers or employees, except that the giving of an order for a specific article or service, with the right to reject the finished product or result, is not the type of supervision or control that makes a contract a personal services contract.
(5) **Service acquisition portfolio groups.—** — The term “service acquisition portfolio groups” means the groups identified in Department of Defense Instruction 5000.74, Defense Acquisition of Services (January 5, 2016) or successor guidance.
(6) **Staff augmentation contracts.—** — The term “staff augmentation contracts” means services contracts for personnel who are physically present in a Government work space on a full-time or permanent part-time basis, for the purpose of advising on, providing support to, or assisting a Government agency in the performance of the agency’s missions, including authorized personal services contracts.
(7) **Simplified acquisition threshold.—** — The term “simplified acquisition threshold” has the meaning given the term in [section 134 of title 41](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title41-section134&num=0&edition=prelim).
(8) **Small business act definitions.—**
(A) The term “small business concern” has the meaning given such term under section 3 of the Small Business Act ([15 U.S.C. 632](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title15-section632&num=0&edition=prelim)).
(B) The terms “small business concern owned and controlled by socially and economically disadvantaged individuals” and “small business concern owned and controlled by women” have the meanings given such terms, respectively, in section 8(d)(3) of the Small Business Act ([15 U.S.C. 637(d)(3)](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title15-section637/d/3&num=0&edition=prelim)).
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Federal law — U.S. Code and appendices · legal_authorities
**(a) Policies and Procedures.—** The Secretary of Defense shall establish policies and procedures for determining the most appropriate and cost efficient mix of military, civilian, and contractor personnel to perform the mission of the Department of Defense.
**(b) Risk Mitigation Over Cost.—** In establishing the policies and procedures under subsection (a), the Secretary shall clearly provide that attainment of a Department of Defense workforce sufficiently sized and comprised of the appropriate mix of personnel necessary to carry out the mission of the Department and the core mission areas of the armed forces takes precedence over cost. The Secretary may not reduce the civilian workforce programmed full-time equivalent levels, or conduct any reductions or realignments that occur outside the normal programming process (including ad hoc, immediate, or unprogrammed changes) of 50 employees or more implemented before or after the submission of the annual budget request, unless the Secretary conducts an appropriate analysis of the impacts of such reductions on workload, military force structure, lethality, readiness, operational effectiveness, stress on the military force, and fully burdened costs.
**(c) Delegation of Responsibilities.—** The Secretary shall delegate responsibility for implementation of the policies and procedures established under subsection (a) as follows:
(1) The Under Secretary of Defense for Personnel and Readiness shall have overall responsibility for guidance to implement such policies and procedures.
(2) The Secretaries of the military departments and the heads of the Defense Agencies shall have overall responsibility for the requirements determination, planning, programming, and budgeting for such policies and procedures. The Secretary of Def
Source: Supplied U.S. Code snapshot — release unconfirmed · 10 U.S.C. § 129a
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Federal law — U.S. Code and appendices · legal_authorities
### Statutory Notes
Section, added Pub. L. 111–84, div. A, title VIII, § 803(a)(1), Oct. 28, 2009, 123 Stat. 2401, related to the specification of amounts requested in the Department of Defense budget with respect to the procurement of contract services submitted to Congress in the budget justification materials.
Provisions similar to those in this section were contained in Pub. L. 110–181, div. A, title VIII, § 806, Jan. 28, 2008, 122 Stat. 213, which was set out as a note under [section 221 of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title10-section221&num=0&edition=prelim), prior to repeal by Pub. L. 111–84, § 803(a)(3).
Source: Supplied U.S. Code snapshot — release unconfirmed · 10 U.S.C. § 235
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Federal law — U.S. Code and appendices · legal_authorities
In division B, the term “simplified acquisition threshold” means $250,000.
Source: Supplied U.S. Code snapshot — release unconfirmed · 41 U.S.C. § 134
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Federal law — U.S. Code and appendices · legal_authorities
**(a) Program Required.—** The Secretary of Defense shall establish a program for information sharing protection and insider threat mitigation for the information systems of the Department of Defense to detect unauthorized access to, use of, or transmission of classified or controlled unclassified information.
**(b) Elements.—** The program established under subsection (a) shall include the following:
(1) Technology solutions for deployment within the Department of Defense that allow for centralized monitoring and detection of unauthorized activities, including—
(A) monitoring the use of external ports and read and write capability controls;
(B) disabling the removable media ports of computers physically or electronically;
(C) electronic auditing and reporting of unusual and unauthorized user activities;
(D) using data-loss prevention and data-rights management technology to prevent the unauthorized export of information from a network or to render such information unusable in the event of the unauthorized export of such information;
(E) a roles-based access certification system;
(F) cross-domain guards for transfers of information between different networks; and
(G) patch management for software and security updates.
(2) Policies and procedures to support such program, including special consideration for policies and procedures related to international and interagency partners and activities in support of ongoing operations in areas of hostilities.
(3) A governance structure and process that integrates information security and sharing technologies with the policies and procedures referred to in paragraph (2). Such structure and process shall include—
(A) coordination with the existing security clearance and suitability review process;
(B)
Source: Supplied U.S. Code snapshot — release unconfirmed · 10 U.S.C. § 2225
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Federal law — U.S. Code and appendices · legal_authorities
**(a) Small business concerns**
(1) **In general** — For the purposes of this chapter, a small-business concern, including but not limited to enterprises that are engaged in the business of production of food and fiber, ranching and raising of livestock, aquaculture, and all other farming and agricultural related industries, shall be deemed to be one which is independently owned and operated and which is not dominant in its field of operation.
(2) **Establishment of size standards**
(A) *In general* — In addition to the criteria specified in paragraph (1) and subject to the requirements specified under subparagraph (C), the Administrator may specify detailed definitions or standards by which a business concern may be determined to be a small business concern for the purposes of this chapter or any other Act.
(B) *Additional criteria* — The standards described in paragraph (1) may utilize number of employees, dollar volume of business, net worth, net income, a combination thereof, or other appropriate factors.
(C) *Requirements* — Unless specifically authorized by statute, no Federal department (including the Administration when acting pursuant to subparagraph (A)) or agency may prescribe a size standard for categorizing a business concern as a small business concern, unless such proposed size standard—
(i) is proposed after an opportunity for public notice and comment;
(ii) provides for determining—
(I) the size of a manufacturing concern as measured by the manufacturing concern’s average employment based upon employment during each of the manufacturing concern’s pay periods for the preceding 24 months;
(II) the size of a business concern providing services on the basis of the annual average gross receipts of the business concern over
Source: Supplied U.S. Code snapshot — release unconfirmed · 15 U.S.C. § 632
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Federal law — U.S. Code and appendices · legal_authorities
**(a) Defense Acquisition System.—** In this part, the term “defense acquisition system” means—
(1) the workforce engaged in carrying out the acquisition of property and services for the Department of Defense;
(2) the management structure responsible for directing and overseeing the acquisition of property and services for the Department of Defense; and
(3) the statutory, regulatory, and policy framework that guides the acquisition of property and services for the Department of Defense.
**(b) Element of the Defense Acquisition System.—** In this part, the term “element of the defense acquisition system” means an organization that—
(1) employs members of the acquisition workforce;
(2) carries out acquisition functions; and
(3) focuses primarily on acquisition.
**(c) Acquisition.—** In this part, the term “acquisition” has the meaning provided in [section 131 of title 41](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title41-section131&num=0&edition=prelim).
Source: Supplied U.S. Code snapshot — release unconfirmed · 10 U.S.C. § 3001
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Federal law — U.S. Code and appendices · legal_authorities
**(a) Guidelines Required.—**
(1) The Under Secretary of Defense for Personnel and Readiness shall devise and implement guidelines and procedures to ensure that consideration is given to using, on a regular basis, Department of Defense civilian employees to perform new functions and functions that are performed by contractors and could be performed by Department of Defense civilian employees. The Secretary of a military department may prescribe supplemental regulations, if the Secretary determines such regulations are necessary for implementing such guidelines within that military department.
(2) The guidelines and procedures required under paragraph (1) may not include any specific limitation or restriction on the number of functions or activities that may be converted to performance by Department of Defense civilian employees.
**(b) Special Consideration for Certain Functions.—** The guidelines and procedures required under subsection (a) shall provide for special consideration to be given to using Department of Defense civilian employees to perform any function that—
(1) is performed by a contractor and—
(A) is a critical function that—
(i) is necessary to maintain sufficient Government expertise and technical capabilities; or
(ii) entails operational risk associated with contractor performance;
(B) is an acquisition workforce function;
(C) is a function closely associated with the performance of an inherently governmental function;
(D) has been performed by Department of Defense civilian employees at any time during the previous 10-year period;
(E) has been performed pursuant to a contract awarded on a non-competitive basis; or
(F) has been performed poorly, as determined by a contracting officer during the 5-year period preceding the
Source: Supplied U.S. Code snapshot — release unconfirmed · 10 U.S.C. § 2463
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Federal law — U.S. Code and appendices · legal_authorities
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Federal law — U.S. Code and appendices · legal_authorities
**(a) Senior Officials.—** The management structure implemented pursuant to [section 4501 of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title10-section4501&num=0&edition=prelim) shall provide for the following:
(1) The service acquisition executive of each military department shall be the senior official responsible for the management of acquisition of contract services for or on behalf of the military department.
(2) The Under Secretary of Defense for Acquisition and Sustainment shall be the senior official responsible for the management of acquisition of contract services for or on behalf of the Defense Agencies and other components of the Department of Defense outside the military departments.
**(b) Duties and Responsibilities of Senior Officials Responsible for the Management of Acquisition of Contract Services.—**
(1) Except as provided in paragraph (2), the senior officials responsible for the management of acquisition of contract services shall assign responsibility for the review and approval of procurements in each contract services acquisition category established under [section 4501(d) of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title10-section4501/d&num=0&edition=prelim) to specific Department of Defense officials, subject to the direction, supervision, and oversight of such senior officials.
(2) With respect to the acquisition of contract services by a component or command of the Department of Defense the primary mission of which is the acquisition of products and services, such acquisition shall be conducted in accordance with policies, procedures, and best practices guidelines developed and maintained by the Under Secretary of Defense for Acquisition and Sustainment pursuant to [section 45
Source: Supplied U.S. Code snapshot — release unconfirmed · 10 U.S.C. § 4502
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Federal law — U.S. Code and appendices · legal_authorities
Page 2778
TITLE 10—ARMED FORCES
§ 4505
Defense Authorization Act for Fiscal Year 1999
(31 U.S.C. 1535 note), and the regulations im-
plementing such sections;
(3) dedicate full-time commodity managers
to coordinate the procurement of key cat-
egories of services;
(4) ensure that contract services are pro-
cured by means of procurement actions that
are in the best interests of the Department of
Defense and are entered into and managed in
compliance with applicable laws, regulations,
directives, and requirements;
(5) ensure that competitive procedures and
performance-based contracting are used to the
maximum extent practicable for the procure-
ment of contract services; and
(6) monitor data collection under section
4505 of this title, and periodically conduct
spending analyses, to ensure that funds ex-
pended for the procurement of contract serv-
ices are being expended in the most rational
and economical manner practicable.
(d) DEFINITIONS.—In this section:
(1) The term ‘‘procurement action’’ includes
the following actions:
(A) Entry into a contract or any other
form of agreement.
(B) Issuance of a task order, delivery
order, or military interdepartmental pur-
chase request.
(2) The term ‘‘contract services’’ includes all
services acquired from private sector entities
by or for the Department of Defense, including
services in support of contingency operations.
The term does not include services relating to
research and development or military con-
struction.
(Added and amended Pub. L. 116–283, div. A, title
XVIII, § 1856(d), (f), Jan. 1, 2021, 134 Stat. 4274,
4275;
Pub.
L.
117–81,
div.
A,
title
XVII,
§ 1701(b)(19)(A), Dec. 27, 2021, 135 Stat. 2135.)
Editorial Notes
REFERENCES IN TEXT
Section 854 of the Ronald W. Reagan National De-
Source: Supplied 2024 U.S. Code historical extraction · 10 U.S.C. § 4505
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