Page:United States Statutes at Large Volume 105 Part 2.djvu/461

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PUBLIC LAW 102-190—DEC. 5, 1991 105 STAT. 1413 "(A) from the Department of Defense to contractors, in a reasonable manner, of timely and comprehensive information regarding planned or expected Department of Defense future needs; and "(B) from contractors to the Department of Defense, in a reasonable manner, of information regarding progress by the contractor on the contractor's independent research and development programs. "(d) ADJUSTED MAXIMUM REIMBURSEMENT AMOUNT. —For purposes of subsection (c)(2), the adjusted maximum reimbursement amount for a major contractor for a fiscal year is the sum of^ "(1) the total amount of the allowable independent research and development and bid and proposal costs incurred by the contractor during the preceding fiscal year; "(2) 5 percent of the amount referred to in paragraph (1); and "(3) if the projected total amount of the independent research and development and bid and proposal costs incurred by the contractor for such fiscal year is greater thgin the total amount of the independent research and development and bid and proposal costs incurred by the contractor for the preceding fiscal year, the amount that is determined by multiplying the amount referred to in paragraph (1) by the lesser of— "(A) the percentage by which the projected total amount of such incurred costs for such fiscal year exceeds the total amount of the incurred costs of the contractor for the preceding fiscal year; or "(B) the estimated percentage rate of inflation from the end of the preceding fiscal year to the end of the fiscal year for which the amount of the limitation is being computed. " (e) WAIVER OF ADJUSTED MAXIMUM REIMBURSEMENT AMOUNT.— The Secretary of Defense may waive the applicability of any limitation prescribed under subsection (c)(2) to any contractor for a fiscal year to the extent that the Secretary determines that allowing the contractor to exceed the contractor's adjusted maximum reimbursement amount for such year— "(1) is necessary to reimburse such contractor at least to the extent that would have been allowed under regulations as in effect on the day before the date of the enactment of the National Defense Authorization Act for Fiscal Years 1992 and 1993; or "(2) is otherwise in the best interest of the Government. "(f) LIMITATIONS ON REGULATIONS. —Regulations prescribed pursuant to subsection (c) may not include provisions that would infringe on the independence of a contractor to choose which technologies to pursue in its independent research and development program. " (g) ENCOURAGEMENT OF CERTAIN CONTRACTOR ACTIVITIES.—The regulations under subsection (a) shall encourage contractors to engage in research and development activities of potential interest to the Department of Defense, including activities intended to accomplish any of the following: "(1) Enabling superior performance of future United States weapon systems and components. "(2) Reducing acquisition costs and life-cycle costs of military systems. "(3) Strengthening the defense industrial base and the technology base of the United States.