H.R. 5726

[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 5726 Introduced in House (IH)]

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119th CONGRESS
1st Session
H. R. 5726

To amend chapter 303 of title 10, United States Code, to require the 
Secretary of each military department to identify promising research 
programs of the Small Business Innovation Research Program or Small 
Business Technology Transfer Program for inclusion in the future 
budgets and plans of the Department of Defense, and for other purposes.

_______________________________________________________________________

IN THE HOUSE OF REPRESENTATIVES

October 10, 2025

Mr. Calvert introduced the following bill; which was referred to the 
Committee on Armed Services

_______________________________________________________________________

A BILL

To amend chapter 303 of title 10, United States Code, to require the 
Secretary of each military department to identify promising research 
programs of the Small Business Innovation Research Program or Small 
Business Technology Transfer Program for inclusion in the future 
budgets and plans of the Department of Defense, and for other purposes.

Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

This Act may be cited as the ``DOD Entrepreneurial Innovation 
Act''.

SEC. 2. ENTREPRENEURIAL INNOVATION PROJECT DESIGNATIONS.

(a) In General.--
(1) Designating certain sbir and sttr programs as 
entrepreneurial innovation projects.--Chapter 303 of title 10, 
United States Code, is amended by inserting after section 4062 
the following new section:
``Sec. 4063. Entrepreneurial Innovation Project designations
``(a) In General.--During the first fiscal year beginning after the 
date of the enactment of this section, and during each subsequent 
fiscal year, each Secretary concerned, in consultation with each chief 
of an armed force under the jurisdiction of the Secretary concerned, 
shall designate not less than five eligible programs as Entrepreneurial 
Innovation Projects.
``(b) Application.--An eligible program seeking designation as an 
Entrepreneurial Innovation Project under this section shall submit to 
the Secretary concerned an application at such time, in such manner, 
and containing such information as the Secretary concerned determines 
appropriate.
``(c) Designation Criteria.--In making designations under 
subsection (a), the Secretary concerned shall consider--
``(1) the potential of the eligible program to--
``(A) advance the national security capabilities of 
the United States;
``(B) provide new technologies or processes, or new 
applications of existing technologies, that will enable 
new alternatives to existing programs; and
``(C) provide future cost savings;
``(2) whether an advisory panel has recommended the 
eligible program for designation; and
``(3) such other criteria that the Secretary concerned 
determines to be appropriate.
``(d) Designation Benefits.--
``(1) Future years defense program inclusion.--With respect 
to each designated program, the Secretary of Defense shall 
include in the next future-years defense program the estimated 
expenditures of such designated program. In the preceding 
sentence, the term `next future-years defense program' means 
the future-years defense program submitted to Congress under 
section 221 of this title after the date on which such 
designated program is designated under subsection (a).
``(2) Programming proposal.--Each designated program shall 
be included by the Secretary concerned under a separate heading 
in any programming proposals submitted to the Secretary of 
Defense.
``(3) PPBE component.--Each designated program shall be 
considered by the Secretary concerned as an integral part of 
the planning, programming, budgeting, and execution process of 
the Department of Defense.
``(e) Entrepreneurial Innovation Advisory Panels.--
``(1) Establishment.--For each military department, the 
Secretary concerned shall establish an advisory panel that, 
starting in the first fiscal year beginning after the date of 
the enactment of this section, and in each subsequent fiscal 
year, shall identify and recommend to the Secretary concerned 
for designation under subsection (a) eligible programs based on 
the criteria described in subsection (c)(1).
``(2) Membership.--
``(A) Composition.--
``(i) In general.--Each advisory panel 
shall be composed of four members appointed by 
the Secretary concerned and one member 
appointed by the chief of the relevant armed 
force under the jurisdiction of the Secretary 
concerned.
``(ii) Secretary concerned appointments.--
The Secretary concerned shall appoint members 
to the advisory panel as follows:
``(I) Three members who--
``(aa) have experience with 
private sector entrepreneurial 
innovation, including 
development and implementation 
of such innovations into well 
established markets; and
``(bb) are not employed by 
the Federal Government.
``(II) One member who is in the 
Senior Executive Service in the 
acquisition workforce (as defined in 
section 1705 of this title) of the 
relevant military department.
``(iii) Service chief appointment.--The 
chief of an armed force under the jurisdiction 
of the Secretary concerned shall appoint to the 
advisory panel one member who is a member of 
such armed forces.
``(B) Terms.--
``(i) Private sector members.--Members 
described in subparagraph (A)(ii)(I) shall 
serve for a term of three years, except that of 
the members first appointed--
``(I) one shall serve a term of one 
year;
``(II) one shall serve a term of 
two years; and
``(III) one shall serve a term of 
three years.
``(ii) Federal government employees.--
Members described in clause (ii)(II) or (iii) 
of subparagraph (A) shall serve for a term of 
two years, except that the first member 
appointed under subparagraph (A)(iii) shall 
serve for a term of one year.
``(C) Chair.--The chair for each advisory panel 
shall be as follows:
``(i) For the first year of operation of 
each such advisory panel, and every other year 
thereafter, the member appointed under 
subparagraph (A)(iii).
``(ii) For the second year of operation of 
each such advisory panel, and every other year 
thereafter, the member appointed under 
subparagraph (A)(ii)(II).
``(D) Vacancies.--A vacancy in an advisory panel 
shall be filled in the same manner as the original 
appointment.
``(E) Conflict of interest.--Members and staff of 
each advisory panel shall disclose to the relevant 
Secretary concerned, and such Secretary concerned shall 
mitigate to the extent practicable, any professional or 
organizational conflict of interest of such members or 
staff arising from service on the advisory panel.
``(F) Compensation.--
``(i) Private sector member compensation.--
Except as provided in clause (ii), members of 
an advisory panel, and the support staff of 
such members, shall be compensated at a rate 
determined reasonable by the Secretary 
concerned and shall be reimbursed in accordance 
with section 5703 of title 5 for reasonable 
travel costs and expenses incurred in 
performing duties as members of an advisory 
panel.
``(ii) Prohibition on compensation of 
federal employees.--Members of an advisory 
panel who are full-time officers or employees 
of the United States or Members of Congress may 
not receive additional pay, allowances, or 
benefits by reason of their service on an 
advisory panel.
``(3) Selection process.--
``(A) Initial selection.--Each advisory panel shall 
select not less than ten eligible programs that have 
submitted an application under subsection (b).
``(B) Program plans.--
``(i) In general.--Each eligible program 
selected under subparagraph (A) may submit to 
the advisory panel that selected such eligible 
program a program plan containing the five-year 
goals, execution plans, schedules, and funding 
needs of such eligible program.
``(ii) Support.--Each Secretary concerned 
shall, to the greatest extent practicable, 
provide eligible programs selected under 
subparagraph (A) with access to information to 
support the development of the program plans 
described in clause (i).
``(C) Final selection.--Each advisory panel shall 
recommend to the Secretary concerned for designation 
under subsection (a) not less than five eligible 
programs that submitted a program plan under 
subparagraph (B) to such advisory panel. If there are 
less than five such eligible programs, such advisory 
panel may recommend to the Secretary concerned for 
designation under subsection (a) less than five such 
eligible programs.
``(4) Administrative and technical support.--The Secretary 
concerned shall provide the relevant advisory panel with such 
administrative support, staff, and technical assistance as the 
Secretary concerned determines necessary for such advisory 
panel to carry out it duties.
``(5) Funding.--The Secretary of Defense may use amounts 
available from the Department of Defense Acquisition Workforce 
Development Account established under section 1705 of this 
title to support the activities of advisory panels.
``(6) Inapplicability of faca.--Chapter 10 of title 5 shall 
not apply to the advisory panels established under this 
subsection.
``(f) Revocation of Designation.--If the Secretary concerned 
determines that a designated program cannot reasonably meet the 
objectives of such designated program in the relevant programming 
proposal referred to in subsection (d)(2) or such objectives are 
irrelevant, such Secretary concerned may revoke the designation.
``(g) Report to Congress.--The Secretary of Defense shall submit to 
Congress an annual report describing each designated program and the 
progress each designated program has made toward achieving the 
objectives of the designated program.
``(h) Definitions.--In this section:
``(1) Advisory panel.--The term `advisory panel' means an 
advisory panel established under subsection (e)(1).
``(2) Designated program.--The term `designated program' 
means an eligible program that has been designated as an 
Entrepreneurial Innovation Project under this section.
``(3) Eligible program.--The term `eligible program' means 
work performed pursuant to a Phase III agreement (as such term 
is defined in section 9(r)(2) of the Small Business Act (15 
U.S.C. 638(r)(2))).''.
(2) Clerical amendment.--The table of sections at the 
beginning of chapter 303 of title 10, United States Code, is 
amended by striking the item relating to section 4063 and 
inserting after the item relating to section 4062 the following 
new item:

``4063. Entrepreneurial Innovation Project designations.''.
(b) Establishment Deadline.--Not later than 120 days after the date 
of the enactment of this Act, the Secretaries of each military 
department shall establish the advisory panels described in section 
4063(e) of title 10, United States Code, as added by subsection (a).
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