What exactly is a special termination cost clause (STCC), and how does it fit in with tools available to program managers in their quest for development and production of an operational weapon system?
The agency head is required to provide notification to Congress of his/her intent to authorize the use of a STCC. Congress then has 45 days in which to notify the head that they agree/disagree with this determination.
An ancillary issue that is related to the STCC concerns the need to fund effort that will not be accomplished during the current fiscal year but will be a "must-pay" bill in one of the out (future) years.
The provision for STCC allows for modifying the clause as necessary.
The STCC provision would seem to make sense for the vast majority of major weapon systems, inasmuch as most of these systems are not terminated and would therefore not require termination costs to be paid out from the contingent fund against which they are accounted.
The agency head makes a promise to "find" the requisite funding to cover the cost of termination identified in the STCC clause.