Defense Acquisition Improvement Amendments of 1988

Defense Acquisition Improvement Amendments of 1988 - Requires the Under Secretary of Defense for Acquisition to establish an annual program for review, revision, and implementation of regulations affecting the Department of Defense (DOD) acquisition process. Requires the first annual program to commence by February 1, 1989.

Directs the Under Secretary to ensure that final regulations on the following matters are prescribed by June 1, 1989: (1) controls over advisory and assistance services acquired by contract; (2) standards and procedures to ensure that audits of DOD contractors' internal operations are complete and independently-conducted; (3) procedures that eliminate duplicative oversight actions and requirements; (4) revised Defense Acquisition Regulation Council procedures to ensure that primary council actions are assigned to employees of the Office of the Under Secretary, that completion dates are specified for such actions, and that the Under Secretary is informed of delays in actions; (5) appropriate coverage of subcontractors under suspension and debarment procedures; (6) requirements for verification of contractors' assertions of a catalog pricing exemption for contracts in excess of $1,000,000 and authority for a price adjustment in such contracts if such assertions are invalid; (7) implementation of revised work measurement standards to improve productivity and efficiency of contractor operations; (8) implementation of revised cost estimating systems; and (9) guidance to ensure that DOD obtains cost data in connection with split-source procurement contracts and that a defective pricing recovery clause is included in such contracts.

Declares that the Under Secretary is the principal advisor to the Secretary of Defense on the resource allocation implications of all acquisition programs.

Requires the Secretary to prescribe regulations which require each person submitting a bid for a covered contract to certify that no information relating to such bid was obtained from a Federal employee which: (1) was submitted to DOD by an offeror in response to a solicitation for bids for such contract; (2) is marked by the offeror that such information is subject to a privilege against disclosure; (3) is identified by DOD as classified source selection-sensitive or for official use only; or (4) is information the disclosure of which to such person by a Federal employee whould violate a law. Requires the Secretary to prescribe regulations to require such persons to certify that: (1) the prices in such bid were determined independently without consulting with any competitor on matters relating to prices; (2) no attempts to induce other persons to submit or not to submit an offer for purposes of restricting competition have been made; and (3) an accurate description of the internal review for the certification has been attached to such certification.

Directs the Secretary to require covered contracts to contain a clause permitting the Secretary to reduce the contract price by the amount of any anticipated profit if: (1) a person is convicted of violating certain provisions of the Federal criminal code in connection with such contract; or (2) the Secretary determines that the competitive information certification submitted in connection with such contract was false, incomplete, or inaccurate.

Requires the Secretary, before reducing a contract price, to notify the contractor of the proposed reduction and give the contractor at least 30 days to submit an argument in opposition to such reduction.