Title 14Coast GuardRelease 119-73

§1135 Acquisition program baseline breach

Title 14 › Subtitle SUBTITLE I— - ESTABLISHMENT, POWERS, DUTIES, AND ADMINISTRATION › Chapter CHAPTER 11— - ACQUISITIONS › Subchapter SUBCHAPTER II— - IMPROVED ACQUISITION PROCESS AND PROCEDURES › § 1135

Last updated Apr 6, 2026|Official source

Summary

When the Coast Guard’s Chief Acquisition Officer learns a Level 1 or Level 2 program has broken its plan, the Coast Guard Commandant must send a report to the right congressional committees and the House Homeland Security Committee within 30 days. A breach means a likely cost overrun over 15 percent, a likely delivery delay over 180 days, or an expected failure to meet key performance goals. The report must explain what went wrong and why, show the effects on cost, schedule, and performance, give updated baselines and schedules with their change histories, provide a full life‑cycle cost estimate, and include a fix plan with risks and how progress will be tracked. If the overrun is over 20 percent or the delay is over 12 months, the report must also state in writing whether the item is essential, whether better alternatives exist, whether the new cost and schedule are reasonable, and whether program management is adequate. If a major contract can’t be carried out as written, the Commandant must notify two specified congressional committees within 48 hours, saying which contract terms can’t be met and whether a stop‑work order was issued.

Full Legal Text

Title 14, §1135

Coast Guard — Source: USLM XML via OLRC

(a)The Commandant shall submit a report to the appropriate congressional committees and the Committee on Homeland Security of the House of Representatives as soon as possible, but not later than 30 days, after the Chief Acquisition Officer of the Coast Guard becomes aware of the breach of an acquisition program baseline for any Level 1 or Level 2 acquisition program, by—
(1)a likely cost overrun greater than 15 percent of the acquisition program baseline for that individual capability or asset or a class of capabilities or assets;
(2)a likely delay of more than 180 days in the delivery schedule for any individual capability or asset or class of capabilities or assets; or
(3)an anticipated failure for any individual capability or asset or class of capabilities or assets to satisfy any key performance threshold or parameter under the acquisition program baseline.
(b)The report submitted under subsection (a) shall include—
(1)a detailed description of the breach and an explanation of its cause;
(2)the projected impact to performance, cost, and schedule;
(3)an updated acquisition program baseline and the complete history of changes to the original acquisition program baseline;
(4)the updated acquisition schedule and the complete history of changes to the original schedule;
(5)a full life-cycle cost analysis for the capability or asset or class of capabilities or assets;
(6)a remediation plan identifying corrective actions and any resulting issues or risks; and
(7)a description of how progress in the remediation plan will be measured and monitored.
(c)If a likely cost overrun is greater than 20 percent or a likely delay is greater than 12 months from the costs and schedule described in the acquisition program baseline for any Level 1 or Level 2 acquisition project or program of the Coast Guard, the Commandant shall include in the report a written determination, with a supporting explanation, of whether—
(1)the capability or asset or capability or asset class to be acquired under the project or program is essential to the accomplishment of Coast Guard missions;
(2)there are no alternatives to such capability or asset or capability or asset class that will provide equal or greater capability in both a more cost-effective and timely manner;
(3)the new acquisition schedule and estimates for total acquisition cost are reasonable; and
(4)the management structure for the acquisition program is adequate to manage and control performance, cost, and schedule.
(d)Not later than 48 hours after the Commandant becomes aware that a major acquisition contract cannot be carried out under the terms specified in the contract, the Commandant shall provide a written notification to the Committee on Commerce, Science, and Transportation of the Senate and the Committee on Transportation and Infrastructure of the House of Representatives that includes—
(1)a description of the terms of the contract that cannot be met; and
(2)an assessment of whether the applicable contract officer has issued a cease and desist order to the contractor based on the breach of such terms of the contract.

Legislative History

Notes & Related Subsidiaries

Editorial Notes

Amendments

2021—Subsec. (d). Pub. L. 116–283 added subsec. (d). 2018—Pub. L. 115–282 renumbered section 575 of this title as this section. Subsec. (c). Pub. L. 115–232, in introductory provisions, substituted “determination, with a supporting explanation, of whether” for “certification, with a supporting explanation, that”.

Reference

Citations & Metadata

Citation

14 U.S.C. § 1135

Title 14Coast Guard

Last Updated

Apr 6, 2026

Release point: 119-73