To authorize the Secretary of Defense to enter into a limited number of cost-plus incentive-fee contracts for the Sentinel Intercontinental Ballistic Missile program, and for other purposes.
About This Bill
Committee
Latest Action · October 25, 2023
Referred to the House Committee on Armed Services.
This bill authorizes the Secretary of Defense to use a special type of contract for construction projects related to the Sentinel Intercontinental Ballistic Missile program. Specifically, it allows the military to enter into cost-plus incentive-fee contracts for building launch facilities, control centers, and related infrastructure for the first two low-rate initial production phases. This contract type, which typically reimburses contractors for costs plus provides financial incentives for meeting performance goals, is being permitted as an exception to normal federal procurement rules to help manage financial and scheduling risks on this major defense project. The bill affects defense contractors and the Department of Defense by providing flexibility in how the military can structure payments for this critical weapons system modernization effort. No specific funding amounts or implementation timelines are outlined in the legislation.
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