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119th Congress

Title 10 — Armed Forces

Part V · Chapter 325 — Cost Growth—Unit Cost Reports (nunn-Mccurdy)

§ 4374. Unit cost reports: determinations by service acquisition executive and secretary concerned of breach of significant cost growth threshold or critical cost growth threshold; reports to Congress

Statutory text

(a)

Determination of Breach by Service Acquisition Executive.—

When a unit cost report is submitted to the service acquisition executive designated by the Secretary concerned under this chapter with respect to a major defense acquisition program or any designated major subprogram under the program, the service acquisition executive shall determine whether the current program acquisition unit cost for the program or subprogram has increased by a percentage equal to or greater than the significant cost growth threshold, or the critical cost growth threshold, for the program or subprogram.

(b)

Additional Determination by Service Acquisition Executive When Program or Subprogram Is a Procurement Program.—

When a unit cost report is submitted to the service acquisition executive designated by the Secretary concerned under this chapter with respect to a major defense acquisition program or any designated major subprogram under the program that is a procurement program, the service acquisition executive, in addition to the determination under subsection (a), shall determine whether the procurement unit cost for the program or subprogram has increased by a percentage equal to or greater than the significant cost growth threshold, or the critical cost growth threshold, for the program or subprogram.

(c)

Determination of Breach by Secretary Concerned; Notification to Congress.—

(1)

In general.—

If, based upon the service acquisition executive’s determination, the Secretary concerned determines that the current program acquisition unit cost has increased by a percentage equal to or greater than the significant cost growth threshold or critical cost growth threshold or that the procurement unit cost has increased by a percentage equal to or greater than the significant cost growth threshold or critical cost growth threshold, the Secretary shall notify Congress in writing of such determination and of the increase with respect to the program or subprogram concerned.

(2)

Time for submission of notification to congress.—

In the case of a determination based on a quarterly report submitted in accordance with section 4372 of this title, the Secretary shall submit the notification to Congress within 45 days after the end of the quarter. In the case of a determination based on a report submitted in accordance with section 4373 of this title, the Secretary shall submit the notification to Congress within 45 days after the date of that report.

(3)

Inclusion of date of determination.—

The Secretary shall include in the notification the date on which the determination was made.

Legislative history

Reconstructed from this section’s Code source credit and amendment notes, resolved against the local Statutes at Large. Editorial notes are evidence, not the law that made the change.

  1. William M. (Mac) Thornberry National Defense Authorization Act for Fiscal Year 2021

    Pub. L. 116–283 div. A title XVIII § 1850(a) · 134 Stat. 3388

    Enacted · 10 U.S.C. § 4374

    (Added and amended Pub. L. 116–283, div. A, title XVIII, § 1850(a), (g), Jan. 1, 2021, 134 Stat. 4265, 4267.)

    Source evidence

    Code source credit
    (Added and amended Pub. L. 116–283, div. A, title XVIII, § 1850(a), (g), Jan. 1, 2021, 134 Stat. 4265, 4267.)

    Enacted provision · exact public law section
    (a) Restatement of Sections 2433 and 2433a.— Part V of subtitle A of title 10, United States Code, as added by section 801 of the John S. McCain National Defense Authorization Act for Fiscal Year 2019 (Public Law 115–232), is amended by inserting after chapter 324, as added by the preceding section, the following new chapter: “CHAPTER 325— COST GROWTH—UNIT COST REPORTS (NUNN-MCCURDY) “Sec. “4371. Cost growth definitions; applicability of reporting requirements; constant base year dollars. “4372. Unit cost reports: quarterly report from program manager to service acquisition executive. “4373. Unit cost reports: immediate report from program manager to service acquisition executive upon breach of significant cost growth threshold. “4374. Unit cost reports: determinations by service acquisition executive and secretary concerned of breach of significant cost growth threshold or critical cost growth threshold; reports to Congress. “4375. Breach of significant cost growth threshold or critical cost growth threshold: required action. “4376. Breach of critical cost growth threshold: reassessment of program; presumption of program termination. “4377. Breach of critical cost growth threshold: actions if program not terminated. “§ 4371. Cost growth definitions; applicability of reporting requirements; constant base year dollars “§ 4372. Unit cost reports: quarterly report from program manager to service acquisition executive “§ 4373. Unit cost reports: immediate report from program manager to service acquisition executive upon breach of significant cost growth threshold “§ 4374. Unit cost reports: determinations by service acquisition executive and secretary concerned of breach of significant cost growth threshold or critical cost growth threshold; reports to Congress “§ 4375. Breach of significant cost growth threshold or critical cost growth threshold: required action “§ 4376. Breach of critical cost growth threshold: reassessment of program; presumption of program termination “§ 4377. Breach of critical cost growth threshold: actions if program not terminated” .

  2. William M. (Mac) Thornberry National Defense Authorization Act for Fiscal Year 2021

    Pub. L. 116–283 § 1850(g)(1) · 134 Stat. 3388

    1. Struck · 10 U.S.C. § 4374

      Pub. L. 116–283, § 1850(g)(1), transferred subsec. (d) of section 2433 of this title to this section, struck out subsec. designation

    2. Redesignated · 10 U.S.C. § 4374

      Pub. L. 116–283, § 1850(g)(1), transferred subsec. (d) of section 2433 of this title to this section, redesignated pars. (1) to (3) as subsecs. (a) to (c), respectively

    Source evidence

    Code amendment note
    Pub. L. 116–283, § 1850(g)(1), transferred subsec. (d) of section 2433 of this title to this section, struck out subsec. designation, and redesignated pars. (1) to (3) as subsecs. (a) to (c), respectively.

    Enacted provision · exact public law section
    (1) Transfer.— Subsection (d) of section 2433 of title 10, United States Code, is transferred to section 4374 of such title, as added by subsection (a), inserted after the section heading, and amended— (A) by striking the subsection designation; and (B) by redesignating paragraphs (1), (2), and (3) as subsections (a), (b), and (c), respectively.

  3. William M. (Mac) Thornberry National Defense Authorization Act for Fiscal Year 2021

    Pub. L. 116–283 § 1850(g)(2) · 134 Stat. 3388

    1. Inserted · 10 U.S.C. § 4374(a)

      Pub. L. 116–283, § 1850(g)(2), inserted heading

    2. Substituted · 10 U.S.C. § 4374(a)

      Pub. L. 116–283, § 1850(g)(2), substituted “under this chapter” for “under this section”

    Source evidence

    Code amendment note
    Subsec. (a). Pub. L. 116–283, § 1850(g)(2), inserted heading and substituted “under this chapter” for “under this section”.

    Enacted provision · exact public law section
    (2) Revision to new 4374(a).— Subsection (a) of such section, as so redesignated, is amended— (A) by inserting “Determination of Breach by Service Acquisition Executive.—” before “When a”; and (B) by striking “under this section” and inserting “under this chapter”.

  4. William M. (Mac) Thornberry National Defense Authorization Act for Fiscal Year 2021

    Pub. L. 116–283 § 1850(g)(3) · 134 Stat. 3388

    1. Inserted · 10 U.S.C. § 4374(b)

      Pub. L. 116–283, § 1850(g)(3), inserted heading

    2. Substituted · 10 U.S.C. § 4374(b)

      Pub. L. 116–283, § 1850(g)(3), substituted “under this chapter” for “under this section”

    3. Substituted · 10 U.S.C. § 4374(b)

      Pub. L. 116–283, § 1850(g)(3), substituted “subsection (a)” for “paragraph (1)”

    Source evidence

    Code amendment note
    Subsec. (b). Pub. L. 116–283, § 1850(g)(3), inserted heading and substituted “under this chapter” for “under this section” and “subsection (a)” for “paragraph (1)”.

    Enacted provision · exact public law section
    (3) Revision to new 4374(b).— Subsection (b) of such section, as so redesignated, is amended— (A) by inserting “Additional Determination by Service Acquisition Executive When Program or Subprogram Is a Procurement Program.—” before “When a”; (B) by striking “under this section” and inserting “under this chapter”; and (C) by striking “paragraph (1)” and inserting “subsection (a)”.

  5. William M. (Mac) Thornberry National Defense Authorization Act for Fiscal Year 2021

    Pub. L. 116–283 § 1850(g)(4)(B) · 134 Stat. 3388

    Amended · 10 U.S.C. § 4374(c)

    Pub. L. 116–283, § 1850(g)(4)(B), which directed amendment of subsec. (c) by designating second sentence as par. (2) and fourth sentence as par. (3), was executed by designating second and third sentences as par. (2) and fourth sentence as par. (3) to reflect the probable intent of Congress

    Source evidence

    Code amendment note
    Subsec. (c). Pub. L. 116–283, § 1850(g)(4)(B), which directed amendment of subsec. (c) by designating second sentence as par. (2) and fourth sentence as par. (3), was executed by designating second and third sentences as par. (2) and fourth sentence as par. (3) to reflect the probable intent of Congress.

    Enacted provision · exact public law section
    (B) by designating the second sentence as paragraph (2) and the fourth sentence as paragraph (3);

  6. William M. (Mac) Thornberry National Defense Authorization Act for Fiscal Year 2021

    Pub. L. 116–283 § 1850(g)(4)(A) · 134 Stat. 3388

    1. Inserted · 10 U.S.C. § 4374(c)

      Pub. L. 116–283, § 1850(g)(4)(A), inserted subsec. heading

    2. Amended · 10 U.S.C. § 4374(c)

      Pub. L. 116–283, § 1850(g)(4)(A), designated first sentence as par. (1)

    3. Inserted · 10 U.S.C. § 4374(c)

      Pub. L. 116–283, § 1850(g)(4)(A), inserted par. heading

    Target inherited from the preceding amendment note.

    Source evidence

    Code amendment note
    Pub. L. 116–283, § 1850(g)(4)(A), inserted subsec. heading, designated first sentence as par. (1) and inserted par. heading.

    Enacted provision · exact public law section
    (A) by striking “If, based upon” and inserting “ Determination of Breach by Secretary Concerned; Notification to Congress.— “(1) In general.— If, based upon” ;

  7. William M. (Mac) Thornberry National Defense Authorization Act for Fiscal Year 2021

    Pub. L. 116–283 § 1850(g)(4)(C) · 134 Stat. 3388

    1. Inserted · 10 U.S.C. § 4374(c)(2)

      Pub. L. 116–283, § 1850(g)(4)(C), inserted heading

    2. Substituted · 10 U.S.C. § 4374(c)(2)

      Pub. L. 116–283, § 1850(g)(4)(C), substituted “section 4372 of this title” for “subsection (b)”

    3. Substituted · 10 U.S.C. § 4374(c)(2)

      Pub. L. 116–283, § 1850(g)(4)(C), substituted “section 4373 of this title” for “subsection (c)”

    Source evidence

    Code amendment note
    Subsec. (c)(2). Pub. L. 116–283, § 1850(g)(4)(C), inserted heading and substituted “section 4372 of this title” for “subsection (b)” and “section 4373 of this title” for “subsection (c)”.

    Enacted provision · exact public law section
    (C) in paragraph (2), as so designated— (i) by inserting “Time for submission of notification to congress.—” before “In the case of” the first place it appears; (ii) by striking “subsection (b)” and inserting “section 4372 of this title”; and (iii) by striking “subsection (c)” and inserting “section 4373 of this title”; and

  8. William M. (Mac) Thornberry National Defense Authorization Act for Fiscal Year 2021

    Pub. L. 116–283 § 1850(g)(4)(D) · 134 Stat. 3388

    Inserted · 10 U.S.C. § 4374(c)(3)

    Pub. L. 116–283, § 1850(g)(4)(D), inserted heading

    Source evidence

    Code amendment note
    Subsec. (c)(3). Pub. L. 116–283, § 1850(g)(4)(D), inserted heading.

    Enacted provision · exact public law section
    (D) in paragraph (3), as so designated, by inserting “Inclusion of date of determination.—” before “The Secretary shall”.

16 of 16 references resolved to an enrolled provision

Editorial Notes

Codification

The text of subsec. (d) of section 2433 of this title, which was transferred to this section and amended by Pub. L. 116–283, § 1850(g)(1), was based on Pub. L. 97–252, title XI, § 1107(a)(1), , 96 Stat. 741, § 139b; Pub. L. 98–525, title XII, § 1242(b)(4), , 98 Stat. 2608; Pub. L. 99–145, title XIII, § 1303(a)(2), , 99 Stat. 738; renumbered § 2433, Pub. L. 99–433, title I, § 101(a)(5), , 100 Stat. 995; Pub. L. 100–180, div. A, title XIII, § 1314(a)(1), , 101 Stat. 1175; Pub. L. 101–189, div. A, title VIII, § 811(a)(4), , 103 Stat. 1491; Pub. L. 102–484, div. A, title VIII, § 817(d)(4), , 106 Stat. 2457; Pub. L. 103–355, title III, §§ 3002(a)(2)(B), 3003(a)(2)(B), , 108 Stat. 3328, 3329; Pub. L. 105–85, div. A, title VIII, § 833(c), , 111 Stat. 1843; Pub. L. 109–163, div. A, title VIII, § 802(b)(2), , 119 Stat. 3368; Pub. L. 110–417, [div. A], title VIII, § 811(c)(4), , 122 Stat. 4523.

Amendments

2021—Pub. L. 116–283, § 1850(g)(1), transferred subsec. (d) of section 2433 of this title to this section, struck out subsec. designation, and redesignated pars. (1) to (3) as subsecs. (a) to (c), respectively.

Subsec. (a). Pub. L. 116–283, § 1850(g)(2), inserted heading and substituted “under this chapter” for “under this section”.

Subsec. (b). Pub. L. 116–283, § 1850(g)(3), inserted heading and substituted “under this chapter” for “under this section” and “subsection (a)” for “paragraph (1)”.

Subsec. (c). Pub. L. 116–283, § 1850(g)(4)(B), which directed amendment of subsec. (c) by designating second sentence as par. (2) and fourth sentence as par. (3), was executed by designating second and third sentences as par. (2) and fourth sentence as par. (3) to reflect the probable intent of Congress.

Pub. L. 116–283, § 1850(g)(4)(A), inserted subsec. heading, designated first sentence as par. (1) and inserted par. heading.

Subsec. (c)(2). Pub. L. 116–283, § 1850(g)(4)(C), inserted heading and substituted “section 4372 of this title” for “subsection (b)” and “section 4373 of this title” for “subsection (c)”.

Subsec. (c)(3). Pub. L. 116–283, § 1850(g)(4)(D), inserted heading.

Statutory Notes and Related Subsidiaries

Effective Date

Section and amendment by Pub. L. 116–283 effective , 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.

Credits

(Added and amended Pub. L. 116–283, div. A, title XVIII, § 1850(a), (g), , 134 Stat. 4265, 4267.)

Parsed from the official OLRC USLM XML in data/usc_all/usc10.xml · release point 119-108 · OLRC build 2026-04-17

USLM identifier /us/usc/t10/s4374