Sponsors (2)
The bill strengthens DoD ICT supply‑chain security and transparency by restricting purchases to OEMs/authorized resellers and requiring waiver reporting, but does so at the cost of higher procurement costs, reduced competition for some vendors, and potential delays or bureaucratic slowdowns for mission needs.
DOD personnel and U.S. taxpayers: DOD systems are less likely to include risky foreign-controlled ICT hardware because procurements are restricted to OEMs or authorized resellers, reducing supply-chain security risks.
Taxpayers and congressional oversight: Requires annual unclassified reports to the armed services committees about waivers for six years, increasing transparency and accountability around exceptions to procurement rules.
Small businesses and state governments: Creates a path for legitimate suppliers to become authorized resellers through procurement guidance, which could expand the vetted supplier pool over time.
Taxpayers, federal employees, small-business owners, and utilities: Limiting procurements to OEMs/authorized resellers can raise acquisition costs and shrink competition by excluding lower-cost or third‑party suppliers.
Federal employees and mission operations: Sourcing restrictions and the waiver process may delay procurements or system upgrades for mission-critical functions, risking readiness or timely service delivery.
Federal employees and decision-makers: Reporting and waiver requirements create additional bureaucratic burden and could slow urgent operational decisions due to notice and justification requirements.
Based on analysis of 2 sections of legislative text.
Requires DOD to buy and use covered products only from OEMs or authorized resellers, with limited waivers and annual reporting to Congress.
The bill stops the Department of Defense from buying, renewing contracts for, or using certain covered products unless those products come directly from the original equipment manufacturer (OEM) or an authorized reseller. It lets the Secretary of Defense grant narrow waivers for valid scientific research or to avoid harming critical missions, but those waivers must be reported to congressional defense committees with explanations and possible mitigations. The bill also requires the Defense Department to create guidance to help companies become authorized resellers and to send annual unclassified reports (with a possible classified annex) to the armed services committees about any waivers and steps taken to reduce them. The rule starts one year after the law goes into effect and does not authorize new funding.
Introduced April 9, 2025 by Pat Fallon · Last progress April 9, 2025