
From the U.S. Code Online via GPO Access
[wais.access.gpo.gov]
[Laws in effect as of January 2, 2001]
[Document affected by Public Law 107-107 Section 821(a)]
[CITE: 10USC2434]

 
                         TITLE 10--ARMED FORCES
 
                    Subtitle A--General Military Law
 
                PART IV--SERVICE, SUPPLY, AND PROCUREMENT
 
             CHAPTER 144--MAJOR DEFENSE ACQUISITION PROGRAMS
 
Sec. 2434. Independent cost estimates; operational manpower 
        requirements
        
    (a) Requirement for Approval.--The Secretary of Defense may not 
approve the engineering and manufacturing development, or the production 
and deployment, of a major defense acquisition program unless an 
independent estimate of the full life-cycle cost of the program and a 
manpower estimate for the program have been considered by the Secretary.
    (b) Regulations.--The Secretary of Defense shall prescribe 
regulations governing the content and submission of the estimates 
required by subsection (a). The regulations shall require--
        (1) that the independent estimate of the full life-cycle cost of 
    a program--
            (A) be prepared--
                (i) by an office or other entity that is not under the 
            supervision, direction, or control of the military 
            department, Defense Agency, or other component of the 
            Department of Defense that is directly responsible for 
            carrying out the development or acquisition of the program; 
            or
                (ii) if the decision authority for the program has been 
            delegated to an official of a military department, Defense 
            Agency, or other component of the Department of Defense, by 
            an office or other entity that is not directly responsible 
            for carrying out the development or acquisition of the 
            program; and

            (B) include all costs of development, procurement, military 
        construction, and operations and support, without regard to 
        funding source or management control; and

        (2) that the manpower estimate include an estimate of the total 
    number of personnel required--
            (A) to operate, maintain, and support the program upon full 
        operational deployment; and
            (B) to train personnel to carry out the activities referred 
        to in subparagraph (A).

(Added Pub. L. 98-94, title XII, Sec. 1203(a)(1), Sept. 24, 1983, 97 
Stat. 682, Sec. 139c; renumbered Sec. 2434 and amended Pub. L. 99-433, 
title I, Secs. 101(a)(5), 110(d)(15), (g)(9), Oct. 1, 1986, 100 Stat. 
995, 1003, 1004; Pub. L. 99-661, div. A, title XII, Sec. 1208(a)-(c)(1), 
Nov. 14, 1986, 100 Stat. 3975; Pub. L. 100-26, Sec. 7(b)(5), Apr. 21, 
1987, 101 Stat. 279; Pub. L. 100-180, div. A, title XIII, 
Sec. 1314(a)(1), Dec. 4, 1987, 101 Stat. 1175; Pub. L. 100-456, div. A, 
title V, Sec. 525, Sept. 29, 1988, 102 Stat. 1975; Pub. L. 102-190, div. 
A, title VIII, Sec. 801(a), (b)(1), Dec. 5, 1991, 105 Stat. 1412; Pub. 
L. 103-355, title III, Sec. 3004, Oct. 13, 1994, 108 Stat. 3330; Pub. L. 
104-106, div. A, title VIII, Sec. 814, Feb. 10, 1996, 110 Stat. 395.)


                               Amendments

    1996--Subsec. (b)(1)(A). Pub. L. 104-106 amended subpar. (A) 
generally. Prior to amendment, subpar. (A) read as follows: ``be 
prepared by an office or other entity that is not under the supervision, 
direction, or control of the military department, Defense Agency, or 
other component of the Department of Defense that is directly 
responsible for carrying out the development or acquisition of the 
program; and''.
    1994--Subsec. (a). Pub. L. 103-355, Sec. 3004(b), substituted 
``engineering and manufacturing development'' for ``full-scale 
engineering development'' and ``full life-cycle cost of the program and 
a manpower estimate for the program have'' for ``cost of the program, 
together with a manpower estimate, has''.
    Subsec. (b). Pub. L. 103-355, Sec. 3004(a), amended subsec. (b) 
generally. Prior to amendment, subsec. (b) defined ``independent 
estimate'', ``cost of the program'', and ``manpower estimate''.
    1991--Subsec. (a). Pub. L. 102-190, Sec. 801(a), substituted 
``unless an independent estimate of the cost of the program, together 
with a manpower estimate, has been considered by the Secretary.'' for 
``unless--
        ``(1) an independent estimate of the cost of the program is 
    first submitted to (and considered by) the Secretary; and
        ``(2) the Secretary submits a manpower estimate of the program 
    to the Committees on Armed Services of the Senate and the House of 
    Representatives at least 30 days in advance of such approval.''
    Subsecs. (b), (c). Pub. L. 102-190, Sec. 801(b)(1), redesignated 
subsec. (c) as (b) and struck out former subsec. (b) which read as 
follows:
    ``(b) Exceptions.--(1) Subsection (a)(2) shall not apply during time 
of war or during a national emergency declared by Congress or the 
President.
    ``(2) The 30-day period specified in subsection (a)(2) shall be 
reduced to 10 days in the case of a major defense acquisition program if 
the manpower estimate submitted by the Secretary of Defense under 
subsection (a)(2) with respect to that program indicates that no 
increase in military or civilian personnel end strengths described in 
subsection (c)(3)(B) will be required.''
    1988--Subsec. (a)(2). Pub. L. 100-456, Sec. 525(1), substituted ``30 
days'' for ``90 days''.
    Subsec. (b). Pub. L. 100-456, Sec. 525(3), added subsec. (b). Former 
subsec. (b) redesignated (c).
    Subsec. (c). Pub. L. 100-456, Sec. 525(2), redesignated subsec. (b) 
as (c), and in par. (3)(A), substituted ``in total personnel or in'' for 
``both in total personnel and''.
    1987--Pub. L. 100-180 made technical amendment to directory language 
of Pub. L. 99-433, Sec. 101(a)(5). See 1986 Amendment note below.
    Subsec. (b). Pub. L. 100-26 redesignated pars. (2) to (4) as (1) to 
(3), respectively, and struck out former par. (1) which defined ``major 
defense acquisition program''.
    1986--Pub. L. 99-433, Sec. 101(a)(5), as amended by Pub. L. 100-180, 
Sec. 1314(a)(1), renumbered section 139c of this title as this section.
    Pub. L. 99-661, Sec. 1208(c)(1), substituted ``Independent cost 
estimates; operational manpower requirements'' for ``Independent cost 
estimates'' in section catchline.
    Pub. L. 99-433, Sec. 110(d)(15), substituted ``Independent cost 
estimates'' for ``Major defense acquisition programs: independent cost 
estimates'' in section catchline.
    Subsec. (a). Pub. L. 99-661, Sec. 1208(a), inserted heading, 
designated existing provisions as par. (1), and added par. (2).
    Subsec. (b). Pub. L. 99-661, Sec. 1208(b)(1), inserted heading.
    Subsec. (b)(1). Pub. L. 99-661, Sec. 1208(b)(2), substituted ``The 
term `Major'' for `` `Major''.
    Pub. L. 99-433, Sec. 110(g)(9), substituted ``section 2432(a)(1)'' 
for ``section 139a(a)(1)''.
    Subsec. (b)(2). Pub. L. 99-661, Sec. 1208(b)(3), substituted ``The 
term `independent'' for `` `Independent''.
    Subsec. (b)(3). Pub. L. 99-661, Sec. 1208(b)(4), substituted ``The 
term `cost'' for `` `Cost''.
    Subsec. (b)(4). Pub. L. 99-661, Sec. 1208(b)(5), added par. (4).


                    Effective Date of 1987 Amendment

    Amendment by Pub. L. 100-180 applicable as if included in enactment 
of the Goldwater-Nichols Department of Defense Reorganization Act of 
1986, Pub. L. 99-433, see section 1314(e) of Pub. L. 100-180, set out as 
a note under section 743 of this title.


                    Effective Date of 1986 Amendment

    Section 1208(d) of Pub. L. 99-661 provided that: ``The amendments 
made by this section [amending this section] shall apply to approvals of 
full-scale engineering development and to approvals of production and 
deployment of major defense acquisition programs made after December 31, 
1986.''


                             Effective Date

    Section 1203(b) of Pub. L. 98-94 provided that: ``Section 139c [now 
2434] of title 10, United States Code, as added by subsection (a), shall 
take effect on October 1, 1983.''


  Report to Congress on Use of Independent Cost Estimates in Planning, 
   Programing, Budgeting, and Selection for Major Defense Acquisition 
                                Programs

    Pub. L. 99-145, title IX, Sec. 952, Nov. 8, 1985, 99 Stat. 701, 
directed Secretary of Defense, not later than Apr. 1, 1986, to submit to 
Congress a report on the continued use of independent cost estimates in 
the planning, programing, budgeting, and selection process for major 
defense acquisition programs of the Department.
    Section 1203(c) of Pub. L. 98-94 directed Secretary of Defense, not 
later than May 1, 1984, to submit a written report to Congress on use of 
independent cost estimates in planning, programing, budgeting, and 
selection process for major defense acquisition programs in Department, 
such report to include an overall assessment of extent to which such 
estimates were adopted by Department in making decisions on the FY 1985 
budget and a general explanation of why such estimates might have been 
modified or rejected, and a discussion of current and future initiatives 
to make greater or more productive use of independent cost estimates in 
the Department.


 Allocation of Adequate Personnel and Financial Resources in Developing 
               or Assessing Independent Estimates of Costs

    Section 1203(d) of Pub. L. 98-94 provided that: ``It is the sense of 
the Congress that the Secretary of Defense should ensure that adequate 
personnel and financial resources are allocated at all levels of the 
Department of Defense to those organizations or offices charged with 
developing or assessing independent estimates of the costs of major 
defense acquisition programs.''
