Title 14Coast GuardRelease 119-73

§1106 Required contract terms

Title 14 › Subtitle SUBTITLE I— - ESTABLISHMENT, POWERS, DUTIES, AND ADMINISTRATION › Chapter CHAPTER 11— - ACQUISITIONS › Subchapter SUBCHAPTER I— - GENERAL PROVISIONS › § 1106

Last updated Apr 6, 2026|Official source

Summary

Require the Commandant to put specific rules into any Coast Guard contract, delivery order, or task order for a capability or asset that is expected to last 10 or more years and costs at least $10,000,000. Final certifications must be done by the Commandant or an independent third party; contractors cannot self-certify. The Commandant must keep the authority to set and approve technical requirements. Contractor work must be judged on all work done, including performance, cost, and schedule. If TEMPEST certification is required for air, surface, or shore items, use the Navy’s current standard for that type of item. Contracts for an Offshore Patrol Cutter must state the service life, fatigue life, days underway in general Atlantic and North Pacific sea conditions, maximum range, and maximum speed. Contracts cannot include equitable adjustments that conflict with the Federal Acquisition Regulations. Any extension or modification that keeps a lead systems integrator on the job may not require buying a set minimum number of specific items and must be reviewed by an independent acquisition expert. That review must be sent to the proper congressional committees at least 60 days before the award. Integrated product teams and their oversight teams must be led by Coast Guard officers, members, or employees. The Commandant must keep or name the technical authority in writing, and that authority cannot be given to the Chief Acquisition Officer under section 308.

Full Legal Text

Title 14, §1106

Coast Guard — Source: USLM XML via OLRC

(a)The Commandant shall ensure that a contract awarded or a delivery order or task order issued for an acquisition of a capability or an asset with an expected service life of 10 or more years and with a total acquisition cost that is equal to or exceeds $10,000,000—
(1)provides that all certifications for an end-state capability or asset under such contract, delivery order, or task order, respectively, will be conducted by the Commandant or an independent third party, and that self-certification by a contractor or subcontractor is not allowed;
(2)provides that the Commandant shall maintain the authority to establish, approve, and maintain technical requirements;
(3)requires that any measurement of contractor and subcontractor performance be based on the status of all work performed, including the extent to which the work performed met all performance, cost, and schedule requirements;
(4)specifies that, for the acquisition or upgrade of air, surface, or shore capabilities and assets for which compliance with TEMPEST certification is a requirement, the standard for determining such compliance will be the air, surface, or shore standard then used by the Department of the Navy for that type of capability or asset; and
(5)for any contract awarded to acquire an Offshore Patrol Cutter, includes provisions specifying the service life, fatigue life, and days underway in general Atlantic and North Pacific Sea conditions, maximum range, and maximum speed the cutter will be built to achieve.
(b)(1)The Commandant shall ensure that any contract awarded or delivery order or task order issued by the Coast Guard does not include any provision allowing for equitable adjustment that is not consistent with the Federal Acquisition Regulations.
(2)A contract, contract modification, or award term extending a contract with a lead systems integrator—
(A)may not include any minimum requirements for the purchase of a given or determinable number of specific capabilities or assets; and
(B)shall be reviewed by an independent third party with expertise in acquisition management, and the results of that review shall be submitted to the appropriate congressional committees at least 60 days prior to the award of the contract, contract modification, or award term.
(c)Integrated product teams, and all teams that oversee integrated product teams, shall be chaired by officers, members, or employees of the Coast Guard.
(d)The Commandant shall maintain or designate the technical authority to establish, approve, and maintain technical requirements. Any such designation shall be made in writing and may not be delegated to the authority of the Chief Acquisition Officer established by section 308 of this title.

Legislative History

Notes & Related Subsidiaries

Editorial Notes

Amendments

2018—Pub. L. 115–282, § 108(b), renumbered section 565 of this title as this section. Subsec. (a). Pub. L. 115–232, § 3533(f)(1), struck out “awarded or issued by the Coast Guard after the date of enactment of the Coast Guard Authorization Act of 2010” after “$10,000,000” in introductory provisions. Subsec. (b)(1). Pub. L. 115–232, § 3533(f)(2), struck out “after the date of enactment of the Coast Guard Authorization Act of 2010” after “Coast Guard”. Subsec. (d). Pub. L. 115–282, § 123(b)(2), substituted “section 308” for “section 56”. 2010—Pub. L. 111–330 amended Pub. L. 111–281, § 402(a), which enacted this section.

Statutory Notes and Related Subsidiaries

Effective Date

of 2010 Amendment Pub. L. 111–330, § 1, Dec. 22, 2010, 124 Stat. 3569, provided that the amendment made by section 1(4) is effective with the enactment of Pub. L. 111–281.

Reference

Citations & Metadata

Citation

14 U.S.C. § 1106

Title 14Coast Guard

Last Updated

Apr 6, 2026

Release point: 119-73