contracts. 104 STAT. 1804 PUBLIC LAW 101-510—NOV. 5, 1990 adopt technologies and practices that the Secretary determines are cost-effective for the Federal Government. G<f^ernment "(c)(1) The Secretary of Defense shall develop a simplified method of contracting for shared energy savings contract services that will accelerate the use of these contracts with respect to military installations and will reduce the administrative effort and cost on the part of the Department as well as the private sector. "(2)(A) In carrying out paragraph (1), the Secretary of Defense may— "(i) request statements of qualifications (as prescribed by the Secretary of Defense), including financial and performance information, from firms engaged in providing shared energy savings contracting; "(ii) designate from the statements received, with an update at least annually, those firms that are presumptively qualified to provide shared energy savings services; "(iii) select at least three firms from the qualifying list to conduct discussions concerning a particular proposed project, including requesting a technical and price proposal from such selected firms for such project; and "(iv) select from such firms the most qualified firm to provide shared energy savings services pursuant to a contractual arrangement that the Secretary determines is fair and reasonable, taking into account the estimated value of the services to be rendered and the scope and nature of the project. "(B) In carrying out paragraph (1), the Secretary may also provide for the direct negotiation, by departments, agencies, and instrumentalities of the Department of Defense, of contracts with shared energy savings contractors that have been selected competitively and approved by any gas or electric utility serving the department, agency, or instrumentality concerned. Reports- "(d) Beginning with fiscal year 1991 and by no later than December 31, 1991, and of each year thereafter, the Secretary of Defense shall transmit an annual report to the Congress containing a description of the actions taken to carry out this section, and the savings realized from such actions, during the fiscal year ending in the year in which the report is made.". (b) CLERICAL AMENDMENT.— The table of contents for such subchapter is amended by adding at the end the following: "2865. Energy savings at military installations.". SEC. 2852. TECHNICAL AMENDMENTS (a) Section 2394a(c) of title 10, United States Code, is amended by striking out paragraphs (2) and (3) and inserting in lieu thereof the following: "(2) A determination under paragraph (1) concerning whether a cost-differential can be recovered over the expected life of a system shall be made using the life-cycle cost methods and procedures established pursuant to section 544(a) of the National Energy Conservation Policy Act.". (b) Section 2857(c) of title 10, United States Code, is amended by striking out paragraphs (2) and (3) and inserting in lieu thereof the following: "(2) A determination under paragraph (1) concerning whether a cost-differential can be recovered over the expected life of a facility shall be made using the life-cycle cost methods and procedures
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