Title 10Armed ForcesRelease 119-73not60

§4202 Authority to Increase Definitional Threshold Amounts: Major Defense Acquisition Programs; Major Systems

Title 10 › Subtitle Subtitle A— General Military Law › Part V— ACQUISITION › Subpart F— Major Systems, Major Defense Acquisition Programs, and Weapon Systems Development › Chapter 321— GENERAL MATTERS › § 4202

Last updated Apr 3, 2026|Official source

Summary

The Secretary of Defense can raise the dollar thresholds and change the base fiscal year used to decide what counts as a major defense acquisition program or a major system. The Secretary must use the Department of Defense’s escalation rates and must consider the Joint Requirements Oversight Council’s estimate of needed resources plus the official program cost estimates and the program baseline cost estimate. The Secretary may make the same kind of change for the other set of thresholds. After an adjustment, any amount not divisible by $5,000,000 is rounded to the nearest $5,000,000. If it is divisible by $2,500,000 but not by $5,000,000, it is rounded up to the next $5,000,000. The change takes effect when the Secretary sends a written notice to the Senate and House Armed Services Committees.

Full Legal Text

Title 10, §4202

Armed Forces — Source: USLM XML via OLRC

(a)(1)The Secretary of Defense may adjust the amounts (and the base fiscal year) provided in section 4201(a)(2) of this title on the basis of Department of Defense escalation rates.
(2)For purposes of section 4201(a)(2) of this title, the Secretary shall consider, as applicable, the following:
(A)The estimated level of resources required to fulfill the relevant joint military requirement, as determined by the Joint Requirements Oversight Council pursuant to section 181 of this title.
(B)The cost estimate referred to in section 4251(a)(6) of this title.
(C)The cost estimate referred to in section 4252(a)(1)(C) of this title.
(D)The cost estimate within a baseline description as required by section 4214 of this title.
(b)(1)The Secretary of Defense may adjust the amounts and the base fiscal year provided in section 3041(c)(1) of this title on the basis of Department of Defense escalation rates.
(2)An amount, as adjusted under paragraph (1), that is not evenly divisible by $5,000,000 shall be rounded to the nearest multiple of $5,000,000. In the case of an amount that is evenly divisible by $2,500,000 but not evenly divisible by $5,000,000, the amount shall be rounded to the next higher multiple of $5,000,000.
(c)An adjustment under subsection (a) or (b) shall be effective after the Secretary transmits to the Committee on Armed Services of the Senate and the Committee on Armed Services of the House of Representatives a written notification of the adjustment.

Legislative History

Notes & Related Subsidiaries

Editorial Notes

Codification The text of subsecs. (b) and (c) of section 2430 of this title, which was transferred to this section, redesignated as pars. (1) and (2) of subsec. (a), respectively, and amended by Pub. L. 116–283, § 1846(d)(1), (2)(A), was based on Pub. L. 102–484, div. A, title VIII, § 817(b)(3), Oct. 23, 1992, 106 Stat. 2455; Pub. L. 104–106, div. A, title XV, § 1502(a)(1), Feb. 10, 1996, 110 Stat. 502; Pub. L. 106–65, div. A, title X, § 1067(1), Oct. 5, 1999, 113 Stat. 774; Pub. L. 111–23, title II, § 206(b)(2), May 22, 2009, 123 Stat. 1728; Pub. L. 113–291, div. A, title X, § 1071(f)(18), Dec. 19, 2014, 128 Stat. 3511; Pub. L. 115–91, div. A, title X, § 1081(a)(38), Dec. 12, 2017, 131 Stat. 1596. The text of subsec. (c) of section 2302d of this title, which was transferred to this section and redesignated as subsecs. (b) and (c) by Pub. L. 116–283, § 1846(e)(1), was based on Pub. L. 104–201, div. A, title VIII, § 805(a)(2), Sept. 23, 1996, 110 Stat. 2605; Pub. L. 106–65, div. A, title X, § 1067(1), Oct. 5, 1999, 113 Stat. 774.

Amendments

2021—Subsec. (a). Pub. L. 116–283, § 1846(d)(2)(A), (B), inserted subsec. heading and par. (1) designation and heading before “The Secretary” and substituted “in section 4201(a)(2) of this title” for “in subsection (a)(1)(B)”. Pub. L. 116–283, § 1846(d)(1), transferred subsecs. (b) and (c) of section 2430 of this title to this section, redesignated subsec. (b) and subsec. (c) and its pars. (1) to (4) as subsec. (a) and subsec. (a)(2) and its subpars. (A) to (D), respectively, realigned margin of subsec. (a)(2), and struck out second sentence of subsec. (a)(1) as redesignated which read as follows: “An adjustment under this subsection shall be effective after the Secretary transmits a written notification of the adjustment to the Committee on Armed Services of the Senate and the Committee on Armed Services of the House of Representatives.” Subsec. (a)(2). Pub. L. 116–283, § 1846(d)(2)(C)(i), (ii), inserted par. heading before “For purposes of” and substituted “section 4201(a)(2) of this title” for “subsection (a)(1)(B)”. Subsec. (a)(2)(B). Pub. L. 116–283, § 1846(d)(2)(C)(iii), substituted “section 4251(a)(6)” for “section 2366a(a)(6)”. Subsec. (a)(2)(C). Pub. L. 116–283, § 1846(d)(2)(C)(iv), substituted “section 4252(a)(1)(C)” for “section 2366b(a)(1)(C)”. Subsec. (a)(2)(D). Pub. L. 116–283, § 1846(d)(2)(C)(v), substituted “section 4214” for “section 2435”. Subsec. (b). Pub. L. 116–283, § 1846(e)(2), substituted “Adjustment Authority for Major Systems” for “Adjustment Authority” in subsec. heading, inserted par. headings, substituted “section 3041(c)(1) of this title” for “subsection (a)” in par. (1), and realigned margins of par. (2). Pub. L. 116–283, § 1846(e)(1), transferred subsec. (c) of section 2302d of this title to subsec. (b) of this section and redesignated par. (3) as subsec. (c). Subsec. (c). Pub. L. 116–283, § 1846(e)(3), inserted heading and substituted “under subsection (a) or (b)” for “under this subsection” in text. Pub. L. 116–283, § 1846(e)(1)(B), redesignated par. (3) of subsec. (b) as subsec. (c).

Statutory Notes and Related Subsidiaries

Effective Date

Section and amendment by Pub. L. 116–283 effective Jan. 1, 2022, with additional provisions for delayed implementation and applicability of existing law, see section 1801(d) of Pub. L. 116–283, set out as an

Effective Date

of 2021 Amendment note preceding section 3001 of this title.

Reference

Citations & Metadata

Citation

10 U.S.C. § 4202

Title 10Armed Forces

Last Updated

Apr 3, 2026

Release point: 119-73not60