§3906 — Title 41 Public Contracts | U.S. Code

Summary

Require the Federal Acquisition Regulation to include rules about using cost-reimbursement contracts. Executive agency — same meaning as given in section 133. The rules must explain when cost-reimbursement contracts are allowed, what acquisition-plan findings are needed to choose them, and what staff and skills are needed to award and manage them. Require the Director of the Office of Management and Budget to send an annual report on all executive agencies’ use of cost-reimbursement contracts and task or delivery orders. The report must give the total number and dollar value of contracts and orders, the total number and dollar value that were cost-reimbursement, and an assessment of how well the rules work. Reports are due by March 1 each year for the fiscal year ending September 30 of the prior year and must be sent from March 1, 2009, until March 1, 2014, to the named House and Senate oversight, appropriations, and (for Defense and Energy) armed services committees.

Title 41, §3906

Public Contracts — Source: USLM XML via OLRC

(a)In this section, the term “executive agency” has the same meaning given in section 133 of this title.

(b)The Federal Acquisition Regulation shall address the use of cost-reimbursement contracts.

(c)The regulations promulgated under subsection (b) shall include guidance regarding—

(1)when and under what circumstances cost-reimbursement contracts are appropriate;

(2)the acquisition plan findings necessary to support a decision to use cost-reimbursement contracts; and

(3)the acquisition workforce resources necessary to award and manage cost-reimbursement contracts.

(d)(1)The Director of the Office of Management and Budget shall submit an annual report to Congressional committees identified in subsection (e) on the use of cost-reimbursement contracts and task or delivery orders by all executive agencies.

(2)The report shall include—

(A)the total number and value of contracts awarded and orders issued during the covered fiscal year;

(B)the total number and value of cost-reimbursement contracts awarded and orders issued during the covered fiscal year; and

(C)an assessment of the effectiveness of the regulations promulgated pursuant to subsection (b) in ensuring the appropriate use of cost-reimbursement contracts.

(3)(A)The report shall be submitted no later than March 1 and shall cover the fiscal year ending September 30 of the prior year.

(B)The report shall be submitted from March 1, 2009, until March 1, 2014.

(e)The report required by subsection (d) shall be submitted to—

(1)the Committee on Oversight and Government Reform of the House of Representatives;

(2)the Committee on Homeland Security and Governmental Affairs of the Senate;

(3)the Committees on Appropriations of the House of Representatives and the Senate; and

(4)in the case of the Department of Defense and the Department of Energy, the Committees on Armed Services of the Senate and the House of Representatives.

Notes & Related Subsidiaries

Historical and Revision Notes

Revised SectionSource (U.S. Code)Source (Statutes at Large) 390641:254 note.Pub. L. 110–417, [div. A], title VIII, § 864(a), (b), (d), (e), (f)(2), (g), Oct. 14, 2008, 122 Stat. 4549. In subsection (b), the words “Not later than 270 days after the date of the enactment of this Act” are omitted because of section 6(f) of the bill. The words “shall address” are substituted for “shall be revised to address” to reflect the permanence of the provision. In subsection (d), the words “Subject to subsection (f)” are omitted as unnecessary.

Statutory Notes and Related Subsidiaries

Change of Name

Committee on Oversight and Government Reform of House of Representatives changed to Committee on Oversight and Reform of House of Representatives by House Resolution No. 6, One Hundred Sixteenth Congress, Jan. 9, 2019. Committee on Oversight and Reform of House of Representatives changed to Committee on Oversight and Accountability of House of Representatives by House Resolution No. 5, One Hundred Eighteenth Congress, Jan. 9, 2023. Amendment of Federal Acquisition Regulation Pub. L. 111–350, § 6(f)(5), Jan. 4, 2011, 124 Stat. 3855, provided that: “The Federal Acquisition Regulation shall be amended to meet the requirements of section 3906(b) of title 41, United States Code, not later than 270 days after October 14, 2008.”

§3906 Cost-reimbursement Contracts