PROCUREMENT FLEXIBILITY.

SEC. 118. PROCUREMENT FLEXIBILITY. Section 142 (20 U.S.C. 1018a) is amended—(1) in subsection (b)—(A) in paragraph (1)—(i) by striking “for information systems supporting the programs authorized under title IV”; and(ii) by striking “and” after the semicolon;(B) in paragraph (2), by striking the period at the end and inserting “; and”; and(C) by adding at the end the following:“(3) through the Chief Operating Officer—“(A) to the maximum extent practicable, utilize procurement systems that streamline operations, improve internal controls, and enhance management; and“(B) assess the efficiency of such systems and assess such systems’ ability to meet PBO requirements.”;(2) by striking subsection (c)(2) and inserting the following:“(2) Fee for service arrangements.—The Chief Operating Officer shall, when appropriate and consistent with the purposes of the PBO, acquire services related to the functions set forth in section 141(b)(2) from any entity that has the capability and capacity to meet the requirements set by the PBO. The Chief Operating Officer is authorized to pay fees that are equivalent to those paid by other entities to an organization that provides services that meet the requirements of the PBO, as determined by the Chief Operating Officer.”;(3) in subsection (d)(2)(B), by striking “on Federal Government contracts”;(4) in subsection (g)—(A) in paragraph (4)(A)—(i) in the subparagraph heading, by striking “Sole source.—” and inserting “Single-source basis.—”; and(ii) by striking “sole-source” and inserting “single-source”; and(B) in paragraph (7), by striking “sole-source” and inserting “single-source”;(5) in subsection (h)(2)(A), by striking “sole-source” and inserting “single-source”; and(6) in subsection (l), by striking paragraph (3) and inserting the following:122 STAT. 3117 “(3) Single-source basis.—The term ‘single-source basis’, with respect to an award of a contract, means that the contract is awarded to a source after soliciting an offer or offers from, and negotiating with, only such source (although such source is not the only source in the marketplace capable of meeting the need) because such source is the most advantageous source for purposes of the award.”.