    [Congressional Bills 104th Congress]
    [From the U.S. Government Publishing Office]
    [H.R. 3230 Enrolled Bill (ENR)]

            H.R.3230

                           One Hundred Fourth Congress

                                     of the

                            United States of America

                              AT THE SECOND SESSION

             Begun and held at the City of Washington on Wednesday,
       the third day of January, one thousand nine hundred and ninety-six

                                     An Act

    To authorize appropriations for fiscal year 1997 for military activities
    of the Department of Defense, for military construction, and for defense
    activities of the Department of Energy, to prescribe personnel strengths
       for such fiscal year for the Armed Forces, and for other purposes.

        Be it enacted by the Senate and House of Representatives of the
    United States of America in Congress assembled,

    SECTION 1. SHORT TITLE.

        This Act may be cited as the ``National Defense Authorization Act
    for Fiscal Year 1997''.

    SEC. 2. ORGANIZATION OF ACT INTO DIVISIONS; TABLE OF CONTENTS.

        (a) Divisions.--This Act is organized into three divisions as
    follows:
            (1) Division A--Department of Defense Authorizations.
            (2) Division B--Military Construction Authorizations.
            (3) Division C--Department of Energy National Security
        Authorizations and Other Authorizations.
        (b) Table of Contents.--The table of contents for this Act is as
    follows:
    Sec. 1. Short title.
    Sec. 2. Organization of Act into divisions; table of contents.
    Sec. 3. Congressional defense committees defined.

                DIVISION A--DEPARTMENT OF DEFENSE AUTHORIZATIONS

                              TITLE I--PROCUREMENT

                   Subtitle A--Authorization of Appropriations

    Sec. 101. Army.
    Sec. 102. Navy and Marine Corps.
    Sec. 103. Air Force.
    Sec. 104. Defense-wide activities.
    Sec. 105. Reserve components.
    Sec. 106. Defense Inspector General.
    Sec. 107. Chemical Demilitarization Program.
    Sec. 108. Defense health programs.

                            Subtitle B--Army Programs

    Sec. 111. Repeal of limitation on procurement of Armed Kiowa Warrior
    helicopters.
    Sec. 112. Multiyear procurement authority for Army programs.
    Sec. 113. Bradley TOW 2 Test Program sets.

                            Subtitle C--Navy Programs

    Sec. 121. Nuclear attack submarine programs.
    Sec. 122. Arleigh Burke class destroyer program.
    Sec. 123. EA-6B aircraft reactive jammer program.
    Sec. 124. T-39N trainer aircraft for the Navy.
    Sec. 125. Penguin missile program.

                         Subtitle D--Air Force Programs

    Sec. 131. Repeal of limitation on procurement of F-15E aircraft.
    Sec. 132. Modification to multiyear procurement authority for C-17
    aircraft program.

                            Subtitle E--Other Matters

    Sec. 141. Assessments of modernization priorities of the Reserve
    components.
    Sec. 142. Destruction of existing stockpile of lethal chemical agents
    and munitions.
    Sec. 143. Extension of authority to carry out Armament Retooling and
    Manufacturing Support Initiative.

              TITLE II--RESEARCH, DEVELOPMENT, TEST, AND EVALUATION

                   Subtitle A--Authorization of Appropriations

    Sec. 201. Authorization of appropriations.
    Sec. 202. Amount for basic and applied research.
    Sec. 203. Dual-use technology programs.
    Sec. 204. Defense Special Weapons Agency.

         Subtitle B--Program Requirements, Restrictions, and Limitations

    Sec. 211. Space launch modernization.
    Sec. 212. Space-Based Infrared System program.
    Sec. 213. Clementine 2 micro-satellite development program.
    Sec. 214. Live-fire survivability testing of V-22 Osprey aircraft.
    Sec. 215. Live-fire survivability testing of F-22 aircraft.
    Sec. 216. Limitation on funding for F-16 tactical manned reconnaissance
    aircraft.
    Sec. 217. Cost analysis of F-22 aircraft program.
    Sec. 218. F-22 aircraft program reports.
    Sec. 219. Cost-benefit analysis of F/A-18E/F aircraft program.
    Sec. 220. Joint Advanced Strike Technology (JAST) program.
    Sec. 221. Unmanned aerial vehicles.
    Sec. 222. High altitude endurance unmanned aerial reconnaissance system.
    Sec. 223. Cyclone class patrol craft self-defense.
    Sec. 224. One-year extension of deadline for delivery of Enhanced Fiber
    Optic Guided Missile (EFOG-M) system.
    Sec. 225. Hydra-70 rocket product improvement program.
    Sec. 226. Federally funded research and development centers.
    Sec. 227. Demilitarization of conventional munitions, rockets, and
    explosives.
    Sec. 228. Research activities of the Defense Advanced Research Projects
    Agency relating to chemical and biological warfare defense technology.
    Sec. 229. Certification of capability of United States to prevent
    illegal importation of nuclear, biological, or chemical weapons.
    Sec. 230. Nonlethal weapons and technologies programs.
    Sec. 231. Counterproliferation support program.

                 Subtitle C--Ballistic Missile Defense Programs

    Sec. 241. Funding for ballistic missile defense programs for fiscal year
    1997.
    Sec. 242. Certification of capability of United States to defend against
    single ballistic missile.
    Sec. 243. Report on ballistic missile defense and proliferation.
    Sec. 244. Revision to annual report on ballistic missile defense
    program.
    Sec. 245. Report on Air Force National Missile Defense Plan.
    Sec. 246. Capability of National Missile Defense system.
    Sec. 247. Actions to limit adverse effects on private sector employment
    of establishment of National Missile Defense Joint Program Office.
    Sec. 248. ABM Treaty defined.

                            Subtitle D--Other Matters

    Sec. 261. Maintenance and repair at Air Force installations.
    Sec. 262. Report relating to Small Business Innovation Research Program.
    Sec. 263. Amendment to University Research Initiative Support program.
    Sec. 264. Amendments to Defense Experimental Program To Stimulate
    Competitive Research.
    Sec. 265. Elimination of report on the use of competitive procedures for
    the award of certain contracts to colleges and universities.
    Sec. 266. Pilot program for transfer of defense technology information
    to private industry.
    Sec. 267. Research under transactions other than contracts and grants.
    Sec. 268. Desalting technologies.
    Sec. 269. Evaluation of digital video network equipment used in Olympic
    games.
    Sec. 270. Annual joint warfighting science and technology plan.

             Subtitle E--National Oceanographic Partnership Program

    Sec. 281. Findings.
    Sec. 282. National Oceanographic Partnership Program.

                      TITLE III--OPERATION AND MAINTENANCE

                   Subtitle A--Authorization of Appropriations

    Sec. 301. Operation and maintenance funding.
    Sec. 302. Working capital funds.
    Sec. 303. Armed Forces Retirement Home.
    Sec. 304. Transfer from National Defense Stockpile Transaction Fund.
    Sec. 305. Civil Air Patrol Corporation.
    Sec. 306. Availability of additional funds for antiterrorism activities.
    Sec. 307. Nonlethal weapons capabilities.
    Sec. 308. SR-71 contingency reconnaissance force.

                       Subtitle B--Depot-Level Activities

    Sec. 311. Extension of authority for aviation depots and naval shipyards
    to engage in defense-related production and services.
    Sec. 312. Test programs for modernization-through-spares.

                      Subtitle C--Environmental Provisions

    Sec. 321. Defense contractors covered by requirement for reports on
    contractor reimbursement costs for response actions.
    Sec. 322. Establishment of separate environmental restoration accounts
    for each military department.
    Sec. 323. Payment of stipulated penalties assessed under CERCLA.
    Sec. 324. Shipboard solid waste control.
    Sec. 325. Authority to develop and implement land use plans for defense
    environmental restoration program.
    Sec. 326. Pilot program to test alternative technology for limiting air
    emissions during shipyard blasting and coating operations.
    Sec. 327. Agreements for services of other agencies in support of
    environmental technology certification.
    Sec. 328. Repeal of redundant notification and consultation requirements
    regarding remedial investigations and feasibility studies at certain
    installations to be closed under the base closure laws.
    Sec. 329. Authority for agreements with Indian tribes for services under
    environmental restoration program.
    Sec. 330. Authority to withhold listing of Federal facilities on
    National Priorities List.
    Sec. 331. Clarification of meaning of uncontaminated property for
    purposes of transfer by the United States.
    Sec. 332. Conservation and cultural activities.
    Sec. 333. Navy program to monitor ecological effects of organotin.
    Sec. 334. Authority to transfer contaminated Federal property before
    completion of required response actions.

       Subtitle D--Commissaries and Nonappropriated Fund Instrumentalities

    Sec. 341. Contracts with other agencies to provide or obtain goods and
    services to promote efficient operation and management of exchanges and
    morale, welfare, and recreation activities.
    Sec. 342. Noncompetitive procurement of brand-name commercial items for
    resale in commissary stores.
    Sec. 343. Prohibition of sale or rental of sexually explicit material.

         Subtitle E--Performance of Functions by Private-Sector Sources

    Sec. 351. Extension of requirement for competitive procurement of
    printing and duplication services.
    Sec. 352. Reporting requirements under demonstration project for
    purchase of fire, security, police, public works, and utility services
    from local government agencies.

                            Subtitle F--Other Matters

    Sec. 361. Authority for use of appropriated funds for recruiting
    functions.
    Sec. 362. Training of members of the uniformed services at non-
    Government facilities.
    Sec. 363. Requirement for preparation of plan for improved operation of
    working-capital funds and effect of failure to produce an approved plan.
    Sec. 364. Increase in capital asset threshold under Defense Business
    Operations Fund.
    Sec. 365. Expansion of authority to donate unusable food.
    Sec. 366. Assistance to committees involved in inauguration of the
    President.
    Sec. 367. Department of Defense support for sporting events.
    Sec. 368. Storage of motor vehicle in lieu of transportation.
    Sec. 369. Security protections at Department of Defense facilities in
    National Capital Region.
    Sec. 370. Administration of midshipmen's store and other naval academy
    support activities as nonappropriated fund instrumentality.
    Sec. 371. Reimbursement under agreement for instruction of civilian
    students at Foreign Language Institute of the Defense Language
    Institute.
    Sec. 372. Assistance to local educational agencies that benefit
    dependents of members of the Armed Forces and Department of Defense
    civilian employees.
    Sec. 373. Renovation of building for Defense Finance and Accounting
    Service Center, Fort Benjamin Harrison, Indiana.
    Sec. 374. Food donation pilot program at service academies.
    Sec. 375. Authority of Air National Guard to provide certain services at
    Lincoln Municipal Airport, Lincoln, Nebraska.
    Sec. 376. Technical amendment regarding Impact Aid program.

                   TITLE IV--MILITARY PERSONNEL AUTHORIZATIONS

                            Subtitle A--Active Forces

    Sec. 401. End strengths for active forces.
    Sec. 402. Permanent end strength levels to support two major regional
    contingencies.
    Sec. 403. Authorized strengths for commissioned officers on active duty
    in grades of major, lieutenant colonel, and colonel and Navy grades of
    lieutenant commander, commander, and captain.
    Sec. 404. Extension of requirement for recommendations regarding
    appointments to joint 4-star officer positions.
    Sec. 405. Increase in authorized number of general officers on active
    duty in the Marine Corps.

                           Subtitle B--Reserve Forces

    Sec. 411. End strengths for Selected Reserve.
    Sec. 412. End strengths for reserves on active duty in support of the
    Reserves.
    Sec. 413. End strengths for military technicians.
    Sec. 414. Assurance of continued assignment of military personnel to
    serve in Selective Service System.

                   Subtitle C--Authorization of Appropriations

    Sec. 421. Authorization of appropriations for military personnel.

                       TITLE V--MILITARY PERSONNEL POLICY

                      Subtitle A--Officer Personnel Policy

    Sec. 501. Grade of Chief of Naval Research.
    Sec. 502. Chief and Assistant Chief of Army Nurse Corps and Air Force
    Nurse Corps.
    Sec. 503. Navy spot promotion authority for certain lieutenants with
    critical skills.
    Sec. 504. Time for award of degrees by unaccredited educational
    institutions for graduates to be considered educationally qualified for
    appointment as Reserve officers in grade O-3.
    Sec. 505. Exception to baccalaureate degree requirement for appointment
    in the Naval Reserve in grades above O-2.
    Sec. 506. Chief warrant officer promotions.
    Sec. 507. Service credit for senior ROTC cadets and midshipmen in
    simultaneous membership program.
    Sec. 508. Continuation on active status for certain Reserve officers of
    the Air Force.
    Sec. 509. Reports on response to recommendations concerning improvements
    to Department of Defense joint manpower process.
    Sec. 510. Frequency of reports to Congress on joint officer management
    policies.

                      Subtitle B--Enlisted Personnel Policy

    Sec. 511. Career service reenlistments for members with at least 10
    years of service.
    Sec. 512. Authority to extend period for entry on active duty under the
    delayed entry program.

                        Subtitle C--Activation and Recall

    Sec. 521. Limitations on recall of retired members to active duty.
    Sec. 522. Clarification of definition of active status.
    Sec. 523. Limitation of requirement for physical examinations of members
    of National Guard called into Federal service.

                    Subtitle D--Reserve Component Retirement

    Sec. 531. Increase in annual limit on days of inactive duty training
    creditable toward Reserve retirement.
    Sec. 532. Retirement of Reserve enlisted members who qualify for active
    duty retirement after administrative reduction in enlisted grade.
    Sec. 533. Authority for a Reserve on active duty to waive retirement
    sanctuary.
    Sec. 534. Eligibility of Reserves for disability retirement.

                   Subtitle E--Other Reserve Component Matters

    Sec. 541. Training for Reserves on active duty in support of the
    Reserves.
    Sec. 542. Eligibility for enrollment in Ready Reserve mobilization
    income insurance program.
    Sec. 543. Reserve credit for participation in Health Professions
    Scholarship and Financial Assistance Program.
    Sec. 544. Amendments to Reserve Officer Personnel Management Act
    provisions.
    Sec. 545. Report on number of advisers in active component support of
    Reserves pilot program.
    Sec. 546. Sense of Congress and report regarding reemployment rights for
    mobilized Reservists employed in foreign countries.
    Sec. 547. Payment of premiums under Mobilization Income Insurance
    Program.

                     Subtitle F--Officer Education Programs

    Sec. 551. Oversight and management of Senior Reserve Officers' Training
    Corps program.
    Sec. 552. Prohibition on reorganization of Army ROTC cadet command or
    termination of senior ROTC units pending report on ROTC.
    Sec. 553. Pilot program to test expansion of ROTC program to include
    graduate students.
    Sec. 554. Demonstration project for instruction and support of Army ROTC
    units by members of the Army Reserve and National Guard.
    Sec. 555. Extension of maximum age for appointment as a cadet or
    midshipman in the Senior Reserve Officers' Training Corps and the
    service academies.
    Sec. 556. Expansion of eligibility for education benefits to include
    certain Reserve Officers' Training Corps (ROTC) participants.
    Sec. 557. Comptroller General report on cost and policy implications of
    permitting up to five percent of service academy graduates to be
    assigned directly to Reserve duty upon graduation.

                       Subtitle G--Decorations and Awards

    Sec. 561. Authority for award of Medal of Honor to certain African
    American soldiers who served during World War II.
    Sec. 562. Waiver of time limitations for award of certain decorations to
    specified persons.
    Sec. 563. Replacement of certain American Theater Campaign Ribbons.

                            Subtitle H--Other Matters

    Sec. 571. Hate crimes in the military.
    Sec. 572. Disability coverage for members granted excess leave for
    educational or emergency purposes.
    Sec. 573. Clarification of authority of a Reserve judge advocate to act
    as a military notary public when not in a duty status.
    Sec. 574. Panel on jurisdiction of courts-martial for the National Guard
    when not in Federal service.
    Sec. 575. Authority to expand law enforcement placement program to
    include firefighters.
    Sec. 576. Improvements to program to assist separated military and
    civilian personnel to obtain employment as teachers or teachers' aides.
    Sec. 577. Retirement at grade to which selected for promotion when a
    physical disability is found at any physical examination.
    Sec. 578. Revisions to missing persons authorities.

           Subtitle I--Commissioned Corps of the Public Health Service

    Sec. 581. Applicability to Public Health Service of prohibition on
    crediting cadet or midshipmen service at the service academies.
    Sec. 582. Exception to strength limitations for Public Health Service
    officers assigned to the Department of Defense.
    Sec. 583. Authority to provide legal assistance to Public Health Service
    officers.

               TITLE VI--COMPENSATION AND OTHER PERSONNEL BENEFITS

                         Subtitle A--Pay and Allowances

    Sec. 601. Military pay raise for fiscal year 1997.
    Sec. 602. Adjustment of rate of cadet and midshipman pay.
    Sec. 603. Pay of senior noncommissioned officers while hospitalized.
    Sec. 604. Availability of basic allowance for quarters for certain
    members without dependents who serve on sea duty.
    Sec. 605. Uniform applicability of discretion to deny an election not to
    occupy Government quarters.
    Sec. 606. Establishment of minimum monthly amount of variable housing
    allowance for high housing cost areas.
    Sec. 607. Family separation allowance for members separated by military
    orders from spouses who are members.
    Sec. 608. Waiver of time limitations for claim for pay and allowances.

               Subtitle B--Bonuses and Special and Incentive Pays

    Sec. 611. One-year extension of certain bonuses and special pay
    authorities for reserve forces.
    Sec. 612. One-year extension of certain bonuses and special pay
    authorities for nurse officer candidates, registered nurses, and nurse
    anesthetists.
    Sec. 613. One-year extension of authorities relating to payment of other
    bonuses and special pays.
    Sec. 614. Special pay for certain Public Health Service officers.
    Sec. 615. Special incentives to recruit and retain dental officers.
    Sec. 616. Foreign language proficiency pay for Public Health Service and
    National Oceanic and Atmospheric Administration officers.

                Subtitle C--Travel and Transportation Allowances

    Sec. 621. Allowance in connection with shipping motor vehicle at
    Government expense.
    Sec. 622. Dislocation allowance at a rate equal to two and one-half
    months basic allowance for quarters.
    Sec. 623. Allowance for travel performed in connection with leave
    between consecutive overseas tours.
    Sec. 624. Funding for transportation of household effects of Public
    Health Service officers.

         Subtitle D--Retired Pay, Survivor Benefits, and Related Matters

    Sec. 631. Effective date for military retiree cost-of-living adjustment
    for fiscal year 1998.
    Sec. 632. Clarification of initial computation of retiree COLAs after
    retirement.
    Sec. 633. Suspension of payment of retired pay of members who are absent
    from the United States to avoid prosecution.
    Sec. 634. Nonsubstantive restatement of Survivor Benefit Plan statute.
    Sec. 635. Increases in Survivor Benefit Plan contributions to be
    effective concurrently with payment of retired pay cost-of-living
    increases.
    Sec. 636. Amendments to the Uniformed Services Former Spouses'
    Protection Act.
    Sec. 637. Prevention of circumvention of court order by waiver of
    retired pay to enhance civil service retirement annuity.
    Sec. 638. Administration of benefits for so-called minimum income
    widows.

                            Subtitle E--Other Matters

    Sec. 651. Discretionary allotment of pay, including retired or retainer
    pay.
    Sec. 652. Reimbursement for adoption expenses incurred in adoptions
    through private placements.
    Sec. 653. Waiver of recoupment of amounts withheld for tax purposes from
    certain separation pay.
    Sec. 654. Technical correction clarifying limitation on furnishing
    clothing or allowances for enlisted National Guard technicians.
    Sec. 655. Technical correction to prior authority for payment of back
    pay to certain persons.
    Sec. 656. Compensation for persons awarded prisoner of war medal who did
    not previously receive compensation as a prisoner of war.
    Sec. 657. Payments to certain persons captured and interned by North
    Vietnam.

                        TITLE VII--HEALTH CARE PROVISIONS

                        Subtitle A--Health Care Services

    Sec. 701. Preventive health care screening for colon and prostate
    cancer.
    Sec. 702. Implementation of requirement for Selected Reserve dental
    insurance plan.
    Sec. 703. Dental insurance plan for military retirees and unremarried
    surviving spouses and certain other dependents of military retirees.
    Sec. 704. Plan for health care coverage for children with medical
    conditions caused by parental exposure to chemical munitions while
    serving as members of the Armed Forces.

                           Subtitle B--TRICARE Program

    Sec. 711. CHAMPUS payment limits for TRICARE prime enrollees.
    Sec. 712. Improved information exchange between military treatment
    facilities and TRICARE program contractors.
    Sec. 713. Plans for medicare subvention demonstration programs.

               Subtitle C--Uniformed Services Treatment Facilities

    Sec. 721. Definitions.
    Sec. 722. Inclusion of designated providers in uniformed services health
    care delivery system.
    Sec. 723. Provision of uniform benefit by designated providers.
    Sec. 724. Enrollment of covered beneficiaries.
    Sec. 725. Application of CHAMPUS payment rules.
    Sec. 726. Payments for services.
    Sec. 727. Repeal of superseded authorities.

        Subtitle D--Other Changes to Existing Laws Regarding Health Care
                                   Management

    Sec. 731. Authority to waive CHAMPUS exclusion regarding nonmedically
    necessary treatment in connection with certain clinical trials.
    Sec. 732. Exception to maximum allowable payments to individual health-
    care providers under CHAMPUS.
    Sec. 733. Codification of annual authority to credit CHAMPUS refunds to
    current year appropriation.
    Sec. 734. Exceptions to requirements regarding obtaining
    nonavailability-of-health-care statements.
    Sec. 735. Enhancement of third-party collection and secondary payer
    authorities under CHAMPUS.

                            Subtitle E--Other Matters

    Sec. 741. Alternatives to active duty service obligation under Armed
    Forces Health Professions Scholarship and Financial Assistance program
    and Uniformed Services University of the Health Sciences.
    Sec. 742. External peer review for defense health program extramural
    medical research involving human subjects.
    Sec. 743. Independent research regarding Gulf War syndrome.
    Sec. 744. Comptroller General review of health care activities of
    Department of Defense relating to Gulf War illnesses.
    Sec. 745. Report regarding specialized treatment facility program.
    Sec. 746. Study of means of ensuring uniformity in provision of medical
    and dental care for members of Reserve components.
    Sec. 747. Sense of Congress regarding tax treatment of Armed Forces
    Health Professions Scholarship and Financial Assistance program.

      TITLE VIII--ACQUISITION POLICY, ACQUISITION MANAGEMENT, AND RELATED
                                     MATTERS

                       Subtitle A--Acquisition Management

    Sec. 801. Procurement technical assistance programs.
    Sec. 802. Extension of pilot mentor-protege program.
    Sec. 803. Authority to waive certain requirements for defense
    acquisition pilot programs.
    Sec. 804. Modification of authority to carry out certain prototype
    projects.
    Sec. 805. Increase in threshold amounts for major systems.
    Sec. 806. Revisions in information required to be included in selected
    acquisition reports.
    Sec. 807. Increase in simplified acquisition threshold for humanitarian
    or peacekeeping operations.
    Sec. 808. Expansion of audit reciprocity among Federal agencies to
    include post-award audits.
    Sec. 809. Excessive compensation of certain contractor personnel.
    Sec. 810. Exception to prohibition on procurement of foreign goods.

                            Subtitle B--Other Matters

    Sec. 821. Prohibition on release of contractor proposals under Freedom
    of Information Act.
    Sec. 822. Amendments relating to reports on procurement regulatory
    activity.
    Sec. 823. Amendment of multiyear limitation on contracts for inspection,
    maintenance, and repair.
    Sec. 824. Streamlined notice requirements to contractors and employees
    regarding termination or substantial reduction in contracts under major
    defense programs.
    Sec. 825. Repeal of notice requirements for substantially or seriously
    affected parties in downsizing efforts.
    Sec. 826. Study of effectiveness of defense mergers.
    Sec. 827. Annual report relating to Buy American Act.
    Sec. 828. Foreign environmental technology.
    Sec. 829. Assessment of national defense technology and industrial base
    and dependency of base on supplies available only from foreign
    countries.
    Sec. 830. Expansion of report on implementation of automated information
    systems to include additional matters regarding information resources
    management.
    Sec. 831. Year 2000 software conversion.
    Sec. 832. Procurement from firms in industrial base for production of
    small arms.
    Sec. 833. Cable television franchise agreements.

           TITLE IX--DEPARTMENT OF DEFENSE ORGANIZATION AND MANAGEMENT

                           Subtitle A--General Matters

    Sec. 901. Repeal of previously enacted reduction in number of statutory
    positions in Office of the Secretary of Defense.
    Sec. 902. Additional required reduction in defense acquisition
    workforce.
    Sec. 903. Reduction of personnel assigned to Office of the Secretary of
    Defense.
    Sec. 904. Report on military department headquarters staffs.
    Sec. 905. Matters to be considered in next assessment of current
    missions, responsibilities, and force structure of the unified combatant
    commands.
    Sec. 906. Transfer of authority to control transportation systems in
    time of war.
    Sec. 907. Codification of requirements relating to continued operation
    of the Uniformed Services University of the Health Sciences.
    Sec. 908. Joint Requirements Oversight Council.
    Sec. 909. Membership of the Ammunition Storage Board.
    Sec. 910. Removal of Secretary of the Army from membership on the
    Foreign Trade Zone Board.
    Sec. 911. Composition of aircraft accident investigation boards.
    Sec. 912. Mission of the White House Communications Agency.

                       Subtitle B--Force Structure Review

    Sec. 921. Short title.
    Sec. 922. Findings.
    Sec. 923. Quadrennial Defense Review.
    Sec. 924. National Defense Panel.
    Sec. 925. Postponement of deadlines.
    Sec. 926. Definitions.

                           TITLE X--GENERAL PROVISIONS

                          Subtitle A--Financial Matters

    Sec. 1001. Transfer authority.
    Sec. 1002. Incorporation of classified annex.
    Sec. 1003. Authority for obligation of certain unauthorized fiscal year
    1996 defense appropriations.
    Sec. 1004. Authorization of prior emergency supplemental appropriations
    for fiscal year 1996.
    Sec. 1005. Format for budget requests for Navy/Marine Corps and Air
    Force ammunition accounts.
    Sec. 1006. Format for annual budget requests for Defense Airborne
    Reconnaissance Program.
    Sec. 1007. Limitation on use of Department of Defense funds transferred
    to the Coast Guard.
    Sec. 1008. Fisher House Trust Fund for the Department of the Navy.
    Sec. 1009. Designation and liability of disbursing and certifying
    officials for the Coast Guard.
    Sec. 1010. Authority to suspend or terminate collection actions against
    deceased members of the Coast Guard.
    Sec. 1011. Department of Defense disbursing official check cashing and
    exchange transactions.

                     Subtitle B--Naval Vessels and Shipyards

    Sec. 1021. Repeal of requirement for continuous applicability of
    contracts for phased maintenance of AE class ships.
    Sec. 1022. Funding for second and third maritime prepositioning ships
    out of National Defense Sealift Fund.
    Sec. 1023. Transfer of certain obsolete tugboats of the Navy.
    Sec. 1024. Transfer of U.S.S. Drum to city of Vallejo, California.
    Sec. 1025. Sense of Congress concerning USS LCS 102 (LSSL 102).

                       Subtitle C--Counter-Drug Activities

    Sec. 1031. Authority to provide additional support for counter-drug
    activities of Mexico.
    Sec. 1032. Availability of funds for certain drug interdiction and
    counter-drug activities.
    Sec. 1033. Transfer of excess personal property to support law
    enforcement activities.
    Sec. 1034. Sale by Federal departments or agencies of chemicals used to
    manufacture controlled substances.

                         Subtitle D--Reports and Studies

    Sec. 1041. Annual report on Operation Provide Comfort and Operation
    Enhanced Southern Watch.
    Sec. 1042. Annual report on emerging operational concepts.
    Sec. 1043. Report on Department of Defense military child care programs.
    Sec. 1044. Report on Department of Defense military youth programs.
    Sec. 1045. Quarterly reports regarding coproduction agreements.
    Sec. 1046. Report on witness interview procedures for Department of
    Defense criminal investigations.

    Sec. 1047. Report on military readiness requirements of the Armed
    Forces.
    Sec. 1048. Report on NATO enlargement.

             Subtitle E--Management of Armed Forces Retirement Home

    Sec. 1051. Retirement Home Boards of Directors.
    Sec. 1052. Acceptance of uncompensated services.
    Sec. 1053. Disposal of tract of real property in the District of
    Columbia.

                            Subtitle F--Other Matters

    Sec. 1061. Policy on protection of national information infrastructure
    against strategic attack.
    Sec. 1062. Information systems security program.
    Sec. 1063. Authority to accept services from foreign governments and
    international organizations for defense purposes.
    Sec. 1064. Prohibition on collection and release of detailed satellite
    imagery relating to Israel.
    Sec. 1065. George C. Marshall European Center for Strategic Security
    Studies.
    Sec. 1066. Authority to award to civilian participants in the defense of
    Pearl Harbor the Congressional Medal previously authorized only for
    military participants in the defense of Pearl Harbor.
    Sec. 1067. Assimilative crimes authority for traffic offenses on
    military installations.
    Sec. 1068. Uniform Code of Military Justice amendments.
    Sec. 1069. Punishment of interstate stalking.
    Sec. 1070. Participation of members, dependents, and other persons in
    crime prevention efforts at installations.
    Sec. 1071. Display of State flags at installations and facilities of the
    Department of Defense.
    Sec. 1072. Treatment of excess operational support airlift aircraft.
    Sec. 1073. Correction to statutory references to certain Department of
    Defense organizations.
    Sec. 1074. Technical and clerical amendments.
    Sec. 1075. Modification to third-party liability to United States for
    tortious infliction of injury or disease on members of the uniformed
    services.
    Sec. 1076. Chemical Stockpile Emergency Preparedness Program.
    Sec. 1077. Exemption from requirements applicable to savings
    associations for certain savings institutions serving military
    personnel.
    Sec. 1078. Improvements to National Security Education Program.
    Sec. 1079. Aviation and vessel war risk insurance.
    Sec. 1080. Designation of memorial as National D-Day Memorial.
    Sec. 1081. Sense of Congress regarding semiconductor trade agreement
    between United States and Japan.
    Sec. 1082. Agreements for exchange of defense personnel between the
    United States and foreign countries.
    Sec. 1083. Sense of Senate regarding Bosnia and Herzegovina.
    Sec. 1084. Defense burdensharing.

                  TITLE XI--NATIONAL IMAGERY AND MAPPING AGENCY

    Sec. 1101. Short title.
    Sec. 1102. Findings.
    Sec. 1103. Role of Director of Central Intelligence in appointment and
    evaluation of certain intelligence officials.

                       Subtitle A--Establishment of Agency

    Sec. 1111. Establishment.
    Sec. 1112. Missions and authority.
    Sec. 1113. Transfers of personnel and assets.
    Sec. 1114. Compatibility with authority under the National Security Act
    of 1947.
    Sec. 1115. Creditable civilian service for career conditional employees
    of the Defense Mapping Agency.
    Sec. 1116. Saving provisions.
    Sec. 1117. Definitions.
    Sec. 1118. Authorization of appropriations.

              Subtitle B--Conforming Amendments and Effective Dates

    Sec. 1121. Redesignation and repeals.
    Sec. 1122. Reference amendments.
    Sec. 1123. Headings and clerical amendments.
    Sec. 1124. Effective date.

                    TITLE XII--RESERVE FORCES REVITALIZATION

    Sec. 1201. Short title.
    Sec. 1202. Purpose.

                     Subtitle A--Reserve Component Structure

    Sec. 1211. Reserve component commands.
    Sec. 1212. Reserve component chiefs.
    Sec. 1213. Review of active duty and Reserve general and flag officer
    authorizations.
    Sec. 1214. Guard and Reserve technicians.

                   Subtitle B--Reserve Component Accessibility

    Sec. 1231. Report to Congress on measures to improve National Guard and
    Reserve ability to respond to emergencies.
    Sec. 1232. Report to Congress concerning tax incentives for employers of
    members of Reserve components.
    Sec. 1233. Report to Congress concerning income insurance program for
    activated Reservists.
    Sec. 1234. Report to Congress concerning small business loans for
    members released from Reserve service during contingency operations.

                     Subtitle C--Reserve Forces Sustainment

    Sec. 1251. Report concerning tax deductibility of nonreimbursable
    expenses.
    Sec. 1252. Authority to pay transient housing charges for members
    performing active duty for training.
    Sec. 1253. Sense of Congress concerning quarters allowance during
    service on active duty for training.
    Sec. 1254. Sense of Congress concerning military leave policy.
    Sec. 1255. Reserve Forces Policy Board.
    Sec. 1256. Report on parity of benefits for active duty service and
    Reserve service.
    Sec. 1257. Information on proposed funding for the Guard and Reserve
    components in future-years defense programs.

                  TITLE XIII--ARMS CONTROL AND RELATED MATTERS

     Subtitle A--Arms Control, Counterproliferation Activities, and Related
                                     Matters

    Sec. 1301. Extension of counterproliferation authorities.
    Sec. 1302. Limitation on retirement or dismantlement of strategic
    nuclear delivery systems.
    Sec. 1303. Strengthening certain sanctions against nuclear proliferation
    activities.
    Sec. 1304. Authority to pay certain expenses relating to humanitarian
    and civic assistance for clearance of landmines.
    Sec. 1305. Report on military capabilities of People's Republic of
    China.
    Sec. 1306. Presidential report regarding weapons proliferation and
    policies of the People's Republic of China.
    Sec. 1307. United States-People's Republic of China Joint Defense
    Conversion Commission.
    Sec. 1308. Sense of Congress concerning export controls.
    Sec. 1309. Counterproliferation Program Review Committee.
    Sec. 1310. Sense of Congress concerning assisting other countries to
    improve security of fissile material.
    Sec. 1311. Review by Director of Central Intelligence of National
    Intelligence Estimate 95-19.

      Subtitle B--Commission to Assess the Ballistic Missile Threat to the
                                  United States

    Sec. 1321. Establishment of Commission.
    Sec. 1322. Duties of Commission.
    Sec. 1323. Report.
    Sec. 1324. Powers.
    Sec. 1325. Commission procedures.
    Sec. 1326. Personnel matters.
    Sec. 1327. Miscellaneous administrative provisions.
    Sec. 1328. Funding.
    Sec. 1329. Termination of the Commission.

             TITLE XIV--DEFENSE AGAINST WEAPONS OF MASS DESTRUCTION

    Sec. 1401. Short title.
    Sec. 1402. Findings.
    Sec. 1403. Definitions.

                        Subtitle A--Domestic Preparedness

    Sec. 1411. Response to threats of terrorist use of weapons of mass
    destruction.
    Sec. 1412. Emergency response assistance program.
    Sec. 1413. Nuclear, chemical, and biological emergency response.
    Sec. 1414. Chemical-biological emergency response team.
    Sec. 1415. Testing of preparedness for emergencies involving nuclear,
    radiological, chemical, and biological weapons.
    Sec. 1416. Military assistance to civilian law enforcement officials in
    emergency situations involving biological or chemical weapons.
    Sec. 1417. Rapid response information system.

      Subtitle B--Interdiction of Weapons of Mass Destruction and Related
                                    Materials

    Sec. 1421. Procurement of detection equipment United States border
    security.
    Sec. 1422. Extension of coverage of International Emergency Economic
    Powers Act.
    Sec. 1423. Sense of Congress concerning criminal penalties.
    Sec. 1424. International border security.

     Subtitle C--Control and Disposition of Weapons of Mass Destruction and
                 Related Materials Threatening the United States

    Sec. 1431. Coverage of weapons-usable fissile materials in Cooperative
    Threat Reduction programs on elimination or transportation of nuclear
    weapons.
    Sec. 1432. Elimination of plutonium production.

         Subtitle D--Coordination of Policy and Countermeasures Against
                  Proliferation of Weapons of Mass Destruction

    Sec. 1441. National Coordinator on Nonproliferation.
    Sec. 1442. National Security Council Committee on Nonproliferation.
    Sec. 1443. Comprehensive preparedness program.
    Sec. 1444. Termination.

                            Subtitle E--Miscellaneous

    Sec. 1451. Sense of Congress concerning contracting policy.
    Sec. 1452. Transfers of allocations among Cooperative Threat Reduction
    programs.
    Sec. 1453. Sense of Congress concerning assistance to states of former
    Soviet Union.
    Sec. 1454. Purchase of low-enriched uranium derived from Russian highly
    enriched uranium.
    Sec. 1455. Sense of Congress concerning purchase, packaging, and
    transportation of fissile materials at risk of theft.

      TITLE XV--COOPERATIVE THREAT REDUCTION WITH STATES OF FORMER SOVIET
                                      UNION

    Sec. 1501. Specification of Cooperative Threat Reduction programs.
    Sec. 1502. Fiscal year 1997 funding allocations.
    Sec. 1503. Prohibition on use of funds for specified purposes.
    Sec. 1504. Limitation on use of funds until specified reports are
    submitted.
    Sec. 1505. Availability of funds.

               TITLE XVI--DEPARTMENT OF DEFENSE CIVILIAN PERSONNEL

    Subtitle A--Miscellaneous Matters Relating to Personnel Management, Pay,
                                 and Allowances

    Sec. 1601. Modification of requirement for conversion of military
    positions to civilian positions.
    Sec. 1602. Retention of civilian employee positions at military training
    bases transferred to National Guard.
    Sec. 1603. Clarification of applicability of certain management
    constraints on major range and test facility base structure.
    Sec. 1604. Travel expenses and health care for civilian employees of the
    Department of Defense abroad.
    Sec. 1605. Travel, transportation, and relocation allowances for certain
    former nonappropriated fund employees.
    Sec. 1606. Employment and salary practices applicable to Department of
    Defense overseas teachers.
    Sec. 1607. Employment and compensation of civilian faculty members at
    certain Department of Defense schools.
    Sec. 1608. Reimbursement of Department of Defense domestic dependent
    school board members for certain expenses.
    Sec. 1609. Modification of authority for civilian employees of
    Department of Defense to participate voluntarily in reductions in force.
    Sec. 1610. Wage-board compensatory time off.
    Sec. 1611. Liquidation of restored annual leave that remains unused upon
    transfer of employee from installation being closed or realigned.
    Sec. 1612. Waiver of requirement for repayment of Voluntary Separation
    Incentive pay by former Department of Defense employees reemployed by
    the Government without pay.
    Sec. 1613. Simplification of rules relating to the observance of certain
    holidays.
    Sec. 1614. Revision of certain travel management authorities.
    Sec. 1615. Failure to comply with veterans' preference requirements to
    be treated as a prohibited personnel practice.
    Sec. 1616. Pilot programs for defense employees converted to contractor
    employees due to privatization at closed military installations.

         Subtitle B--Department of Defense Intelligence Personnel Policy

    Sec. 1631. Short title.
    Sec. 1632. Management of civilian intelligence personnel.

    Sec. 1633. Repeal of superseded sections and clerical and conforming
    amendments.
    Sec. 1634. Other personnel management authorities.
    Sec. 1635. Effective date.

                   TITLE XVII--FEDERAL EMPLOYEE TRAVEL REFORM

    Sec. 1701. Short title.

                         Subtitle A--Relocation Benefits

    Sec. 1711. Allowance for seeking permanent residence quarters.
    Sec. 1712. Temporary quarters subsistence expenses allowance.
    Sec. 1713. Modification of residence transaction expenses allowance.
    Sec. 1714. Authority to pay for property management services.
    Sec. 1715. Authority to transport a privately owned motor vehicle within
    the continental United States.
    Sec. 1716. Authority to pay limited relocation allowances to an employee
    who is performing an extended assignment.
    Sec. 1717. Authority to pay a home marketing incentive.
    Sec. 1718. Revision and reenactment of additional provisions relating to
    relocation expenses.

                      Subtitle B--Miscellaneous Provisions

    Sec. 1721. Repeal of the long-distance telephone call certification
    requirement.
    Sec. 1722. Transfer of authority to prescribe regulations.
    Sec. 1723. Conforming and clerical amendments.
    Sec. 1724. Assessment of cost savings.
    Sec. 1725. Effective date and issuance of regulations.

         TITLE XVIII--FEDERAL CHARTER FOR THE FLEET RESERVE ASSOCIATION

    Sec. 1801. Recognition and grant of Federal charter.
    Sec. 1802. Powers.
    Sec. 1803. Purposes.
    Sec. 1804. Service of process.
    Sec. 1805. Membership.
    Sec. 1806. Board of directors.
    Sec. 1807. Officers.
    Sec. 1808. Restrictions.
    Sec. 1809. Liability.
    Sec. 1810. Maintenance and inspection of books and records.
    Sec. 1811. Audit of financial transactions.
    Sec. 1812. Annual report.
    Sec. 1813. Reservation of right to alter, amend, or repeal charter.
    Sec. 1814. Tax-exempt status required as condition of charter.
    Sec. 1815. Termination.
    Sec. 1816. Definition of State.

                DIVISION B--MILITARY CONSTRUCTION AUTHORIZATIONS

    Sec. 2001. Short title.

                                 TITLE XXI--ARMY

    Sec. 2101. Authorized Army construction and land acquisition projects.
    Sec. 2102. Family housing.
    Sec. 2103. Improvements to military family housing units.
    Sec. 2104. Authorization of appropriations, Army.
    Sec. 2105. Land acquisition, National Ground Intelligence Center,
    Charlottesville, Virginia.

                                TITLE XXII--NAVY

    Sec. 2201. Authorized Navy construction and land acquisition projects.
    Sec. 2202. Family housing.
    Sec. 2203. Improvements to military family housing units.
    Sec. 2204. Authorization of appropriations, Navy.
    Sec. 2205. Beach replenishment, Naval Air Station, North Island,
    California.

                             TITLE XXIII--AIR FORCE

    Sec. 2301. Authorized Air Force construction and land acquisition
    projects.
    Sec. 2302. Family housing.
    Sec. 2303. Improvements to military family housing units.
    Sec. 2304. Authorization of appropriations, Air Force.
    Sec. 2305. Elimination of authority to carry out fiscal year 1995
    project, Spangdahlem Air Force Base, Germany.

                          TITLE XXIV--DEFENSE AGENCIES

    Sec. 2401. Authorized Defense Agencies construction and land acquisition
    projects.
    Sec. 2402. Military housing planning and design.
    Sec. 2403. Improvements to military family housing units.
    Sec. 2404. Military housing improvement program.
    Sec. 2405. Energy conservation projects.
    Sec. 2406. Authorization of appropriations, Defense Agencies.
    Sec. 2407. Reduction in amounts authorized to be appropriated for fiscal
    year 1996 Defense Agencies military construction, land acquisition, and
    military family housing functions.

       TITLE XXV--NORTH ATLANTIC TREATY ORGANIZATION SECURITY INVESTMENT
                                     PROGRAM

    Sec. 2501. Authorized NATO construction and land acquisition projects.
    Sec. 2502. Authorization of appropriations, NATO.

                 TITLE XXVI--GUARD AND RESERVE FORCES FACILITIES

    Sec. 2601. Authorized Guard and Reserve construction and land
    acquisition projects.
    Sec. 2602. Authorization and funding for construction and improvement of
    Naval Reserve Centers.
    Sec. 2603. Upgrade Air National Guard facilities, Bangor International
    Airport, Maine.

             TITLE XXVII--EXPIRATION AND EXTENSION OF AUTHORIZATIONS

    Sec. 2701. Expiration of authorizations and amounts required to be
    specified by law.
    Sec. 2702. Extension of authorizations of certain fiscal year 1994
    projects.
    Sec. 2703. Extension of authorizations of certain fiscal year 1993
    projects.
    Sec. 2704. Extension of authorizations of certain fiscal year 1992
    projects.
    Sec. 2705. Effective date.

                        TITLE XXVIII--GENERAL PROVISIONS

     Subtitle A--Military Construction Program and Military Family Housing
                                     Changes

    Sec. 2801. Increase in certain thresholds for unspecified minor
    construction projects.
    Sec. 2802. Redesignation of North Atlantic Treaty Organization
    Infrastructure program.
    Sec. 2803. Improvements to family housing units.
    Sec. 2804. Availability of funds for planning, execution, and
    administration of contracts for family housing and unaccompanied
    housing.

                Subtitle B--Defense Base Closure and Realignment

    Sec. 2811. Restoration of authority for certain intragovernment
    transfers under 1988 base closure law.
    Sec. 2812. Contracting for certain services at facilities remaining on
    closed installations.
    Sec. 2813. Authority to compensate owners of manufactured housing.
    Sec. 2814. Additional purpose for which adjustment and diversification
    assistance is authorized.
    Sec. 2815. Payment of stipulated penalties assessed under CERCLA in
    connection with Loring Air Force Base, Maine.
    Sec. 2816. Plan for utilization, reutilization, or disposal of
    Mississippi Army Ammunition Plant.

                          Subtitle C--Land Conveyances

                            Part I--Army Conveyances

    Sec. 2821. Transfer of lands, Arlington National Cemetery, Arlington,
    Virginia.
    Sec. 2822. Land transfer, Fort Sill, Oklahoma.
    Sec. 2823. Land conveyance, Army Reserve Center, Rushville, Indiana.
    Sec. 2824. Land conveyance, Army Reserve Center, Anderson, South
    Carolina.
    Sec. 2825. Land conveyance, Army Reserve Center, Montpelier, Vermont.
    Sec. 2826. Land conveyance, Crafts Brothers Reserve Training Center,
    Manchester, New Hampshire.
    Sec. 2827. Land conveyance, Pine Bluff Arsenal, Arkansas.
    Sec. 2828. Reaffirmation of land conveyances, Fort Sheridan, Illinois.

                            Part II--Navy Conveyances

    Sec. 2831. Land transfer, Potomac Annex, District of Columbia.
    Sec. 2832. Land exchange, St. Helena Annex, Norfolk Naval Shipyard,
    Virginia.
    Sec. 2833. Land conveyance, Calverton Pine Barrens, Naval Weapons
    Industrial Reserve Plant, Calverton, New York.
    Sec. 2834. Land conveyance, former naval reserve facility, Lewes,
    Delaware.
    Sec. 2835. Modification of land conveyance authority, Naval Reserve
    Center, Seattle, Washington.
    Sec. 2836. Release of condition on reconveyance of transferred land,
    Guam.
    Sec. 2837. Lease to facilitate construction of Reserve center, Naval Air
    Station, Meridian, Mississippi.

                         Part III--Air Force Conveyances

    Sec. 2841. Land conveyance, Radar Bomb Scoring Site, Belle Fourche,
    South Dakota.
    Sec. 2842. Conveyance of primate research complex and Air Force-owned
    chimpanzees, Holloman Air Force Base, New Mexico.

                           Part IV--Other Conveyances

    Sec. 2851. Land conveyance, Tatum Salt Dome Test Site, Mississippi.
    Sec. 2852. Land conveyance, William Langer Jewel Bearing Plant, Rolla,
    North Dakota.
    Sec. 2853. Land conveyance, Air Force Plant No. 85, Columbus, Ohio.
    Sec. 2854. Modification of boundaries of White Sands National Monument
    and White Sands Missile Range.

                            Subtitle D--Other Matters

    Sec. 2861. Authority to grant easements for rights-of-way.
    Sec. 2862. Authority to enter into cooperative agreements for the
    management of cultural resources on military installations.
    Sec. 2863. Demonstration project for installation and operation of
    electric power distribution system at Youngstown Air Reserve Station,
    Ohio.
    Sec. 2864. Renovation of the Pentagon reservation.
    Sec. 2865. Plan for repairs and stabilization of the historic district
    at the Forest Glen Annex of Walter Reed Medical Center, Maryland.
    Sec. 2866. Naming of range at Camp Shelby, Mississippi.
    Sec. 2867. Designation of Michael O'Callaghan military hospital.
    Sec. 2868. Naming of building at the Uniformed Services University of
    the Health Sciences.

                      TITLE XXIX--MILITARY LAND WITHDRAWALS

         Subtitle A--Fort Carson-Pinon Canyon Military Lands Withdrawal

    Sec. 2901. Short title.
    Sec. 2902. Withdrawal and reservation of lands at Fort Carson Military
    Reser- vation.
    Sec. 2903. Withdrawal and reservation of lands at Pinon Canyon Maneuver
    Site.
    Sec. 2904. Maps and legal descriptions.
    Sec. 2905. Management of withdrawn lands.
    Sec. 2906. Management of withdrawn and acquired mineral resources.
    Sec. 2907. Hunting, fishing, and trapping.
    Sec. 2908. Termination of withdrawal and reservation.
    Sec. 2909. Determination of presence of contamination and effect of
    contamination.
    Sec. 2910. Delegation.
    Sec. 2911. Hold harmless.
    Sec. 2912. Amendment to Military Lands Withdrawal Act of 1986.
    Sec. 2913. Authorization of appropriations.

           Subtitle B--El Centro Naval Air Facility Ranges Withdrawal

    Sec. 2921. Short title and definitions.
    Sec. 2922. Withdrawal and reservation of lands for El Centro.
    Sec. 2923. Maps and legal descriptions.
    Sec. 2924. Management of withdrawn lands.
    Sec. 2925. Duration of withdrawal and reservation.
    Sec. 2926. Continuation of ongoing decontamination activities.
    Sec. 2927. Requirements for extension.
    Sec. 2928. Early relinquishment of withdrawal.
    Sec. 2929. Delegation of authority.
    Sec. 2930. Hunting, fishing, and trapping.
    Sec. 2931. Hold harmless.

     DIVISION C--DEPARTMENT OF ENERGY NATIONAL SECURITY AUTHORIZATIONS AND
                              OTHER AUTHORIZATIONS

           TITLE XXXI--DEPARTMENT OF ENERGY NATIONAL SECURITY PROGRAMS

              Subtitle A--National Security Programs Authorizations

    Sec. 3101. Weapons activities.
    Sec. 3102. Environmental restoration and waste management.
    Sec. 3103. Defense fixed asset acquisition/privatization.
    Sec. 3104. Other defense activities.
    Sec. 3105. Defense nuclear waste disposal.

                    Subtitle B--Recurring General Provisions

    Sec. 3121. Reprogramming.
    Sec. 3122. Limits on general plant projects.
    Sec. 3123. Limits on construction projects.
    Sec. 3124. Fund transfer authority.
    Sec. 3125. Authority for conceptual and construction design.
    Sec. 3126. Authority for emergency planning, design, and construction
    activities.
    Sec. 3127. Funds available for all national security programs of the
    Department of Energy.
    Sec. 3128. Availability of funds.

        Subtitle C--Program Authorizations, Restrictions, and Limitations

    Sec. 3131. Stockpile stewardship program.
    Sec. 3132. Manufacturing infrastructure for nuclear weapons stockpile.
    Sec. 3133. Tritium production.
    Sec. 3134. Modernization and consolidation of tritium recycling
    facilities.
    Sec. 3135. Production of high explosives.
    Sec. 3136. Limitation on use of funds for certain research and
    development purposes.
    Sec. 3137. Prohibition on funding nuclear weapons activities with
    People's Republic of China.

    Sec. 3138. International cooperative stockpile stewardship programs.
    Sec. 3139. Temporary authority relating to transfers of defense
    environmental management funds.
    Sec. 3140. Management structure for nuclear weapons production
    facilities and nuclear weapons laboratories.
    Sec. 3141. Accelerated schedule for isolating high-level nuclear waste
    at the defense waste processing facility, Savannah River Site.
    Sec. 3142. Processing and treatment of high-level nuclear waste and
    spent nuclear fuel rods.
    Sec. 3143. Projects to accelerate closure activities at defense nuclear
    facilities.
    Sec. 3144. Payment of costs of operation and maintenance of
    infrastructure at Nevada Test Site.

                            Subtitle D--Other Matters

    Sec. 3151. Report on plutonium pit production and remanufacturing plans.
    Sec. 3152. Amendments relating to baseline environmental management
    reports.
    Sec. 3153. Requirement to develop future use plans for environmental
    management program.
    Sec. 3154. Report on Department of Energy liability at Department
    superfund sites.
    Sec. 3155. Requirement for annual five-year budget for the national
    security programs of the Department of Energy.
    Sec. 3156. Requirements for Department of Energy weapons activities
    budgets for fiscal years after fiscal year 1997.
    Sec. 3157. Repeal of requirement relating to accounting procedures for
    Department of Energy funds.
    Sec. 3158. Update of report on nuclear test readiness postures.
    Sec. 3159. Reports on critical difficulties at nuclear weapons
    laboratories and nuclear weapons production plants.
    Sec. 3160. Extension of applicability of notice-and-wait requirement
    regarding proposed cooperation agreements.
    Sec. 3161. Sense of Senate relating to redesignation of defense
    environmental restoration and waste management program.
    Sec. 3162. Commission on maintaining United States nuclear weapons
    expertise.
    Sec. 3163. Sense of Congress regarding reliability and safety of
    remaining nuclear forces.
    Sec. 3164. Study on worker protection at the Mound facility.
    Sec. 3165. Fiscal year 1998 funding for Greenville Road Improvement
    Project, Livermore, California.
    Sec. 3166. Fellowship program for development of skills critical to
    Department of Energy nuclear weapons complex.

        Subtitle E--Defense Nuclear Environmental Cleanup and Management

    Sec. 3171. Purpose.
    Sec. 3172. Applicability.
    Sec. 3173. Site manager.
    Sec. 3174. Department of Energy orders.
    Sec. 3175. Deployment of technology for remediation of defense nuclear
    waste.
    Sec. 3176. Performance-based contracting.
    Sec. 3177. Designation of covered facilities as environmental cleanup
    demonstration areas.
    Sec. 3178. Definitions.
    Sec. 3179. Termination.
    Sec. 3180. Report.

     Subtitle F--Waste Isolation Pilot Plant Land Withdrawal Act Amendments

    Sec. 3181. Short title.
    Sec. 3182. Definitions.
    Sec. 3183. Management plan.
    Sec. 3184. Repeal of test phase and retrieval plans.
    Sec. 3185. Test phase activities.
    Sec. 3186. Disposal operations.
    Sec. 3187. Environmental Protection Agency disposal regulations.
    Sec. 3188. Compliance with environmental laws and regulations.
    Sec. 3189. Sense of Congress on commencement of emplacement of
    transuranic waste.
    Sec. 3190. Decommissioning of WIPP.
    Sec. 3191. Authorizations for economic assistance and miscellaneous
    payments.

              TITLE XXXII--DEFENSE NUCLEAR FACILITIES SAFETY BOARD

    Sec. 3201. Authorization.

                    TITLE XXXIII--NATIONAL DEFENSE STOCKPILE

             Subtitle A--Authorization of Disposals and Use of Funds

    Sec. 3301. Definitions.
    Sec. 3302. Authorized uses of stockpile funds.
    Sec. 3303. Disposal of certain materials in National Defense Stockpile.

                         Subtitle B--Programmatic Change

    Sec. 3311. Biennial report on stockpile requirements.
    Sec. 3312. Notification requirements.
    Sec. 3313. Importation of strategic and critical materials.

                      TITLE XXXIV--NAVAL PETROLEUM RESERVES

    Sec. 3401. Authorization of appropriations.
    Sec. 3402. Price requirement on sale of certain petroleum during fiscal
    year 1997.

                       TITLE XXXV--PANAMA CANAL COMMISSION

                   Subtitle A--Authorization of Appropriations

    Sec. 3501. Short title.
    Sec. 3502. Authorization of expenditures.
    Sec. 3503. Purchase of vehicles.
    Sec. 3504. Expenditures only in accordance with treaties.

               Subtitle B--Amendments to Panama Canal Act of 1979

    Sec. 3521. Short title; references.
    Sec. 3522. Definitions and recommendation for legislation.
    Sec. 3523. Administrator.
    Sec. 3524. Deputy Administrator and Chief Engineer.
    Sec. 3525. Office of Ombudsman.
    Sec. 3526. Appointment and compensation; duties.
    Sec. 3527. Applicability of certain benefits.
    Sec. 3528. Travel and transportation.
    Sec. 3529. Clarification of definition of agency.
    Sec. 3530. Panama Canal Employment System; merit and other employment
    requirements.
    Sec. 3531. Employment standards.
    Sec. 3532. Repeal of obsolete provision regarding interim application of
    Canal Zone Merit System.
    Sec. 3533. Repeal of provision relating to recruitment and retention
    remuneration.
    Sec. 3534. Benefits based on basic pay.
    Sec. 3535. Vesting of general administrative authority of Commission.
    Sec. 3536. Applicability of certain laws.
    Sec. 3537. Repeal of provision relating to transferred or reemployed
    employees.
    Sec. 3538. Administration of special disability benefits.
    Sec. 3539. Panama Canal Revolving Fund.
    Sec. 3540. Printing.
    Sec. 3541. Accounting policies.
    Sec. 3542. Interagency services; reimbursements.
    Sec. 3543. Postal service.
    Sec. 3544. Investigation of accidents or injury giving rise to claim.
    Sec. 3545. Operations regulations.
    Sec. 3546. Miscellaneous repeals.
    Sec. 3547. Exemption from Metric Conversion Act of 1975.
    Sec. 3548. Conforming and clerical amendments.
    Sec. 3549. Repeal of Panama Canal Code.

    SEC. 3. CONGRESSIONAL DEFENSE COMMITTEES DEFINED.

        For purposes of this Act, the term ``congressional defense
    committees'' means--
            (1) the Committee on Armed Services and the Committee on
        Appropriations of the Senate; and
            (2) the Committee on National Security and the Committee on
        Appropriations of the House of Representatives.

                DIVISION A--DEPARTMENT OF DEFENSE AUTHORIZATIONS
                              TITLE I--PROCUREMENT

                              TITLE I--PROCUREMENT

                   Subtitle A--Authorization of Appropriations

    Sec. 101. Army.
    Sec. 102. Navy and Marine Corps.
    Sec. 103. Air Force.
    Sec. 104. Defense-wide activities.
    Sec. 105. Reserve components.
    Sec. 106. Defense Inspector General.
    Sec. 107. Chemical Demilitarization Program.
    Sec. 108. Defense health programs.

                            Subtitle B--Army Programs

    Sec. 111. Repeal of limitation on procurement of Armed Kiowa Warrior
    helicopters.
    Sec. 112. Multiyear procurement authority for Army programs.
    Sec. 113. Bradley TOW 2 Test Program sets.

                            Subtitle C--Navy Programs

    Sec. 121. Nuclear attack submarine programs.
    Sec. 122. Arleigh Burke class destroyer program.
    Sec. 123. EA-6B aircraft reactive jammer program.
    Sec. 124. T-39N trainer aircraft for the Navy.
    Sec. 125. Penguin missile program.

                         Subtitle D--Air Force Programs

    Sec. 131. Repeal of limitation on procurement of F-15E aircraft.
    Sec. 132. Modification to multiyear procurement authority for C-17
    aircraft program.

                            Subtitle E--Other Matters

    Sec. 141. Assessments of modernization priorities of the reserve
    components.
    Sec. 142. Destruction of existing stockpile of lethal chemical agents
    and munitions.
    Sec. 143. Extension of authority to carry out Armament Retooling and
    Manufacturing Support Initiative.

                  Subtitle A--Authorization of Appropriations

    SEC. 101. ARMY.

        Funds are hereby authorized to be appropriated for fiscal year 1997
    for procurement for the Army as follows:
            (1) For aircraft, $1,314,015,000.
            (2) For missiles, $1,031,829,000.
            (3) For weapons and tracked combat vehicles, $1,409,514,000.
            (4) For ammunition, $1,003,028,000.
            (5) For other procurement, $2,990,240,000.

    SEC. 102. NAVY AND MARINE CORPS.

        (a) Navy.--Funds are hereby authorized to be appropriated for
    fiscal year 1997 for procurement for the Navy as follows:
            (1) For aircraft, $7,034,926,000.
            (2) For weapons, including missiles and torpedoes,
        $1,345,408,000.
            (3) For shipbuilding and conversion, $6,193,330,000.
            (4) For other procurement, $2,893,840,000.
        (b) Marine Corps.--Funds are hereby authorized to be appropriated
    for fiscal year 1997 for procurement for the Marine Corps in the amount
    of $560,148,000.
        (c) Navy and Marine Corps Ammunition.--Funds are hereby authorized
    to be appropriated for procurement of ammunition for the Navy and the
    Marine Corps in the amount of $293,239,000.

    SEC. 103. AIR FORCE.

        Funds are hereby authorized to be appropriated for fiscal year 1997
    for procurement for the Air Force as follows:
            (1) For aircraft, $6,764,420,000.
            (2) For missiles, $2,525,875,000.
            (3) For ammunition, $278,302,000.
            (4) For other procurement, $5,814,419,000.

    SEC. 104. DEFENSE-WIDE ACTIVITIES.

        Funds are hereby authorized to be appropriated for fiscal year 1997
    for Defense-wide procurement in the amount of $2,008,261,000.

    SEC. 105. RESERVE COMPONENTS.

        Funds are hereby authorized to be appropriated for fiscal year 1997
    for procurement of aircraft, vehicles, communications equipment, and
    other equipment for the reserve components of the Armed Forces as
    follows:
            (1) For the Army National Guard, $171,000,000.
            (2) For the Air National Guard, $234,000,000.
            (3) For the Army Reserve, $98,000,000.
            (4) For the Naval Reserve, $116,000,000.
            (5) For the Air Force Reserve, $94,000,000.
            (6) For the Marine Corps Reserve, $67,000,000.

    SEC. 106. DEFENSE INSPECTOR GENERAL.

        Funds are hereby authorized to be appropriated for fiscal year 1997
    for procurement for the Inspector General of the Department of Defense
    in the amount of $2,000,000.

    SEC. 107. CHEMICAL DEMILITARIZATION PROGRAM.

        There is hereby authorized to be appropriated for fiscal year 1997
    the amount of $759,847,000 for--
            (1) the destruction of lethal chemical agents and munitions in
        accordance with section 1412 of the Department of Defense
        Authorization Act, 1986 (50 U.S.C. 1521); and
            (2) the destruction of chemical warfare materiel of the United
        States that is not covered by section 1412 of such Act.

    SEC. 108. DEFENSE HEALTH PROGRAMS.

        Funds are hereby authorized to be appropriated for fiscal year 1997
    for the Department of Defense for procurement for carrying out health
    care programs, projects, and activities of the Department of Defense in
    the total amount of $269,470,000.

                           Subtitle B--Army Programs

        SEC. 111. REPEAL OF LIMITATION ON PROCUREMENT OF ARMED KIOWA
          WARRIOR HELICOPTERS.
        Section 133 of the National Defense Authorization Act for Fiscal
    Years 1990 and 1991 (Public Law 101-189; 103 Stat. 1383) is repealed.
        SEC. 112. MULTIYEAR PROCUREMENT AUTHORITY FOR ARMY PROGRAMS.
        (a) Avenger Air Defense Missile System.--Notwithstanding the
    limitation in subsection (k) of section 2306b of title 10, United
    States Code, relating to the maximum duration of a multiyear contract
    under the authority of that section, the Secretary of the Army may
    extend the multiyear contract in effect during fiscal year 1996 for the
    Avenger Air DefenseMissile system through fiscal year 1997 and may
    award such an extension.
        (b) Army Tactical Missile System.--The Secretary of the Army may,
    in accordance with section 2306b of title 10, United States Code, enter
    into a multiyear procurement contract, beginning with the fiscal year
    1997 program year, for procurement of the Army Tactical Missile System
    (Army TACMS).
        (c) Javelin Missile System.--The Secretary of the Army may, in
    accordance with section 2306b of title 10, United States Code, enter
    into multiyear procurement contracts for the procurement of the Javelin
    missile system.

    SEC. 113. BRADLEY TOW 2 TEST PROGRAM SETS.

        Of the funds authorized to be appropriated under section 101(3) of
    the National Defense Authorization Act for Fiscal Year 1996 (Public Law
    104-106; 110 Stat. 204), $6,000,000 is available for the procurement of
    Bradley TOW-2 Test Program sets.

                           Subtitle C--Navy Programs

    SEC. 121. NUCLEAR ATTACK SUBMARINE PROGRAMS.

        (a) Amounts Authorized From SCN Account.--(1) Of the amount
    authorized to be appropriated by section 102(a)(3) for fiscal year
    1997--
            (A) $699,071,000 is available for continued construction of the
        third vessel (designated SSN-23) in the Seawolf attack submarine
        class, which shall be the final vessel in that class;
            (B) $296,186,000 is available for long-lead and advance
        construction and procurement of components for construction of a
        submarine (previously designated by the Navy as the New Attack
        Submarine) beginning in fiscal year 1998 to be built by Electric
        Boat Division; and
            (C) $701,000,000 is available for long-lead and advance
        construction and procurement of components for construction of a
        second submarine (previously designated by the Navy as the New
        Attack Submarine) beginning in fiscal year 1999 to be built by
        Newport News Shipbuilding.
        (2) In addition to the purposes for which the amounts under
    subparagraphs (B) and (C) of paragraph (1) are available, such amounts
    are also available for contracts with Electric Boat Division and
    Newport News Shipbuilding to carry out the provisions of the
    ``Memorandum of Agreement Among the Department of the Navy, Electric
    Boat Corporation (EB) and Newport News Shipbuilding and Drydock Company
    (NNS) Concerning the New Attack Submarine'', dated April 5, 1996,
    relating to design data transfer, design improvements, integrated
    process teams, and updated design base.
        (b) Amounts Authorized From Navy RDT&E Account.--(1) Of the amount
    authorized to be appropriated by section 201(2), $487,611,000 is
    available for the design of the submarine previously designated by the
    Navy as the New Attack Submarine.
        (2)(A) Of the amount authorized to be appropriated by section
    201(2), $60,000,000 is available for obligation under contracts with
    Electric Boat Division and Newport News Shipbuilding and other entities
    to address the inclusion on future nuclear attack submarines of the
    core advanced technologies that are identified by the Secretary of
    Defense (in the report of the Secretary entitled ``Report on Nuclear
    Attack Submarine Procurement and Submarine Technology'', submitted to
    Congress on March 26, 1996) as those technologies the maturation of
    which the Submarine Technology Assessment Panel recommended be
    addressed in its March 15, 1996, final report to the Assistant
    Secretary of the Navy for Research, Development, and Acquisition, as
    follows: hydrodynamics, alternative sail designs, advanced arrays,
    electric drive, external weapons, and active controls and mounts.
        (B) Of the amount available under subparagraph (A), $20,000,000
    shall be equally divided between Electric Boat Division and Newport
    News Shipbuilding for the purpose of ensuring that those shipbuilders
    are principal participants in the process of addressing the inclusion
    of technologies referred to in subparagraph (A) on future nuclear
    attack submarines. Contracts with the shipbuilders under this
    subparagraph shall provide the shipbuilders with wide latitude to
    pursue submarine-wide, integrated systems approaches to the inclusion
    of such technologies. The Secretary of the Navy shall ensure that those
    shipbuilders have access for such purpose (under procedures prescribed
    by the Secretary) to the Navy laboratories and the Office of Naval
    Intelligence and (in accordance with arrangements to be made by the
    Secretary) to the Defense Advanced Research Projects Agency.
        (3) Of the amount authorized to be appropriated by section 201(2),
    $38,000,000 is available to begin funding those Category I and Category
    II advanced technologies described in Appendix C of the report of the
    Secretary of Defense referred to in paragraph (2)(A). The Secretary of
    the Navy shall ensure that Electric Boat Division and Newport News
    Shipbuilding are also principal participants in the technology
    initiatives pursued with such funds to ensure submarine-wide,
    integrated systems approaches to the inclusion of such technologies on
    future nuclear attack submarines.
        (4) In addition to the purposes for which the amounts under
    paragraphs (1), (2), and (3) are available, such amounts are also
    available for contracts with Electric Boat Division and Newport News
    Shipbuilding to carry out the provisions of the memorandum of agreement
    referred to in subsection (a)(2) for research and development
    activities under that memorandum of agreement.
        (c) Amount From Fiscal Year 1996 Funds for National Defense Sealift
    Fund.--(1) Section 132 of the National Defense Authorization Act for
    Fiscal Year 1996 (Public Law 104-106; 110 Stat. 210) is repealed.
        (2) The amount referred to in section 132 of the National Defense
    Authorization Act for Fiscal Year 1996 (as in effect immediately before
    the repeal by paragraph (1)) shall be available to the Secretary of the
    Navy for activities relating only to advanced submarine technology that
    involve the construction of large scale vehicles for purposes of
    hydrodynamic andhydroacoustic research on developmental designs for
    hulls and propulsion systems.
        (d) Contracts Authorized.--(1) The Secretary of the Navy is
    authorized, using funds available pursuant to subparagraphs (B) and (C)
    of subsection (a)(1), to enter into contracts with Electric Boat
    Division and Newport News Shipbuilding, and suppliers of components,
    during fiscal year 1997 for--
            (A) the procurement of long-lead components for the fiscal year
        1998 submarine and the fiscal year 1999 submarine under this
        section; and
            (B) advance construction of such components and other
        components for such submarines.
        (2) The Secretary may enter into a contract or contracts under this
    section with the shipbuilder of the fiscal year 1998 submarine only if
    the Secretary enters into a contract or contracts under this section
    with the shipbuilder of the fiscal year 1999 submarine.
        (e) Limitations.--(1)(A) Of the amounts specified in subsection
    (a)(1), not more than $100,000,000 may be obligated until the Secretary
    of Defense certifies in writing to the Committee on Armed Services of
    the Senate and the Committee on National Security of the House of
    Representatives that procurement of nuclear attack submarines described
    in subparagraph (B) will be under one or more contracts that are
    entered into after competition between Electric Boat Division and
    Newport News Shipbuilding in which the Secretary of the Navy solicits
    competitive proposals and awards the contract or contracts on the basis
    of price.
        (B) The submarines referred to in subparagraph (A) are nuclear
    attack submarines that are to be constructed beginning--
            (i) after fiscal year 1999; or
            (ii) if four submarines are to be procured as provided for in
        the plan required under section 131(c) of the National Defense
        Authorization Act for Fiscal Year 1996 (Public Law 104-106; 110
        Stat. 208), after fiscal year 2001.
        (2) Of the amounts specified in subsection (a)(1), not more than
    $675,000,000 may be obligated until the Under Secretary of Defense for
    Acquisition and Technology submits to the congressional committees
    specified in paragraph (1) a report in writing detailing the following:
            (A) The Under Secretary's oversight activities to date, and
        plans for the future, for the development and improvement of the
        nuclear attack submarine program of the Navy as required by section
        131(b)(2)(C) of the National Defense Authorization Act for Fiscal
        Year 1996 (110 Stat. 207).
            (B) The implementation of, and activities conducted under, the
        program required to be established by the Director of the Defense
        Advanced Research Projects Agency by section 131(i) of the National
        Defense Authorization Act for Fiscal Year 1996 (110 Stat. 210) for
        the development and demonstration of advanced submarine
        technologies and a rapid prototype acquisition strategy for both
        land-based and at-sea subsystem and system demonstrations of such
        technologies.
            (C) A description of all research, development, test, and
        evaluation programs, projects, or activities within the Department
        of Defense which, in the opinion of the Under Secretary, are
        designed to contribute to the development and demonstration of
        advanced submarine technologies leading to a more capable, more
        affordable nuclear attack submarine, specifically identifying
        ongoing involvement, and plans for future involvement, in any such
        program, project, or activity by either Electric Boat Division or
        Newport News Shipbuilding, or by both.
        (3) Of the amount specified in subsection (b)(1), not more than
    $100,000,000 may be obligated or expended until the Under Secretary of
    Defense (Comptroller) certifies in writing to the congressional
    committees specified in paragraph (1) that--
            (A) funds specified in subsection (c)(2) have been made
        available for obligation; and
            (B) to the extent that funds specified in paragraphs (2) and
        (3) of subsection (b) have been appropriated for the purposes
        specified in such paragraphs, such funds have been made available
        for obligation.
        (f) Acquisition Simplification.--In furtherance of the direction
    provided by subsection (d) of section 131 of the National Defense
    Authorization Act for Fiscal Year 1996 (110 Stat. 209) to the Secretary
    of Defense regarding the application of acquisition reform policies and
    procedures to the submarine program under that section, the Secretary
    shall direct the Secretary of the Navy to implement for the submarine
    programs of the Navy acquisition reform initiatives similar in intent
    and approach to the initiatives begun by the Secretary of the Air Force
    in May 1995 and referred to as the ``Lightning Bolt'' initiatives. The
    Secretary of the Navy shall, not later than March 31, 1997, submit to
    the congressional committees specified in subsection (e)(1) a report on
    the results of the implementation of such initiatives.
        (g) Design Responsibility.--(1) The Secretary of the Navy shall
    carry out the submarine program described in section 131 of the
    National Defense Authorization Act for Fiscal Year 1996 in a manner
    that ensures that each of the two shipbuilders in- volved in the design
    and construction of the four submarines described in that section be
    allowed to propose to the Secretary any design improvement that the
    shipbuilder considers appropriate for the submarines to be built by
    that shipbuilder as part of those four submarines. The Secretary shall
    ensure that both shipbuilders have full and open access to all design
    data concerning the design of the submarine previously designated by
    the Navy as the New Attack Submarine.
        (2) The designs proposed by the shipbuilders should proceed from,
    but not be limited to, the specific advanced technologies referred to
    in subsection (b)(2)(A), especially technologies involving
    hydrodynamics and hydroacoustics concepts.
        (3) The Secretary shall require both shipbuilders to submit to the
    Secretary an annual report on the progress of the design work on the
    submarines referred to in paragraph (1) and shalltransmit each such
    report to the committees specified in subsection (e)(1).
        (4) The Secretary shall also submit an annual report to the
    committees specified in subsection (e)(1) on the design improvements
    proposed by the two shipbuilders under paragraph (1) for incorporation
    on any of the four submarines and on the degree to which design
    information on the base design and design improvements has been shared
    between the shipbuilders. Each annual report shall set forth each
    design improvement proposed and whether that proposal was--
            (A) reviewed, approved, and funded by the Navy;
            (B) reviewed and approved, but not funded; or
            (C) not approved, in which case the report shall include the
        reasons therefor and any views of the shipyard making the proposal.
        (5) The reports referred to in paragraphs (3) and (4) shall be
    submitted concurrently with the annual revisions to the Secretary of
    Defense's nuclear attack submarine plan required by section 131(e) of
    the National Defense Authorization Act for Fiscal Year 1996 (Public Law
    104-106; 110 Stat. 209).
        (h) Serial Production.--The Secretary of Defense shall modify the
    plan relating to development of a program leading to production of a
    more capable and less expensive submarine than the New Attack Submarine
    that was submitted to Congress pursuant to section 131(c) of the
    National Defense Authorization Act for Fiscal Year 1996 in order to
    provide in such plan the option for selection of a design for a next
    submarine for serial production not earlier than fiscal year 2002
    (rather than fiscal year 2003, as provided in paragraph (3)(B) of such
    section 131(c)).
        (i) References to Shipbuilders.--For purposes of this section--
            (1) the shipbuilder referred to as ``Electric Boat Division''
        is the Electric Boat Division of the General Dynamics Corporation;
        and
            (2) the shipbuilder referred to as ``Newport News
        Shipbuilding'' is the Newport News Shipbuilding and Drydock
        Company.
        (j) Submarines Defined by Reference to Fiscal Year.--For purposes
    of this section--
            (1) the term ``fiscal year 1998 submarine'' means the submarine
        referred to in subsection (a)(1)(B); and
            (2) the term ``fiscal year 1999 submarine'' means the submarine
        referred to in subsection (a)(1)(C).

    SEC. 122. ARLEIGH BURKE CLASS DESTROYER PROGRAM.

        (a) Funding.--(1) Subject to paragraph (3), funds authorized to be
    appropriated by section 102(a)(3) may be made available for contracts
    entered into during fiscal year 1996 under subsection (b)(1) of section
    135 of the National Defense Authorization Act for Fiscal Year 1996
    (Public Law 104-106; 110 Stat. 211) for construction for the third of
    the three Arleigh Burke class destroyers covered by that subsection.
    Such funds are in addition to amounts made available for such contracts
    by the second sentence of subsection (a) of that section.
        (2) Subject to paragraph (3), funds authorized to be appropriated
    by section 102(a)(3) may be made available for contracts entered into
    during fiscal year 1997 under subsection (b)(2) of such section 135 for
    construction (including advance procurement) for the Arleigh Burke
    class destroyers covered by such subsection (b)(2).
        (3) The aggregate amount of funds available under paragraphs (1)
    and (2) for contracts referred to in such paragraphs may not exceed
    $3,483,030,000.
        (4) Within the amount authorized to be appropriated by section
    102(a)(3), $525,000,000 is authorized to be appropriated for advance
    procurement for construction for the Arleigh Burke class destroyers
    authorized by subsection (b).
        (b) Authority for Multiyear Procurement of Twelve Vessels.--The
    Secretary of the Navy is authorized, pursuant to section 2306b of title
    10, United States Code, to enter into multiyear contracts for the
    procurement of a total of 12 Arleigh Burke class destroyers at a
    procurement rate of three ships in each of fiscal years 1998, 1999,
    2000, and 2001 in accordance with this subsection and subsection
    (a)(4), subject to the availability of appropriations for such
    destroyers. A contract for construction of one or more vessels that is
    entered into in accordance with this subsection shall include a clause
    that limits the liability of the Government to the contractor for any
    termination of the contract.

    SEC. 123. EA-6B AIRCRAFT REACTIVE JAMMER PROGRAM.

        (a) Limitation.--None of the funds appropriated pursuant to section
    102(a)(1) for modifications or upgrades of EA-6B aircraft may be
    obligated, other than for a reactive jammer program for such aircraft,
    until 30 days after the date on which the Secretary of the Navy submits
    to the congressional defense committees in writing--
            (1) a certification that some or all of such funds have been
        obligated for a reactive jammer program for EA-6B aircraft; and
            (2) a report that sets forth a detailed, well-defined program
        for--
                (A) developing a reactive jamming capability for EA-6B
            aircraft; and
                (B) upgrading the EA-6B aircraft of the Navy to incorporate
            the reactive jamming capability.
        (b) Contingent Transfer of Funds to Air Force.--(1) If the
    Secretary of the Navy has not submitted the certification and report
    described in subsection (a) to the congressional defense committees
    before June 1, 1997, then, on that date, the Secretary of Defense shall
    transfer to the Air Force, out of appropriations available to the Navy
    for fiscal year 1997 for procurement of aircraft, the amount equal to
    the amount appropriated to the Navy for fiscal year 1997 for
    modifications and upgrades of EA-6B aircraft.
        (2) Funds transferred to the Air Force pursuant to paragraph (1)
    shall be available for maintaining and upgrading the jamming capability
    of EF-111 aircraft.

    SEC. 124. T-39N TRAINER AIRCRAFT FOR THE NAVY.

        The Secretary of the Navy may, using funds appropriated for fiscal
    year 1996 for procurement of T-39N trainer aircraft for the Navy that
    remain available for obligation for such purpose, enter into a contract
    for the acquisition of T-39N aircraft for naval flight officer training
    that are suitable for low-level training flights. Such a contract may
    be entered into only after the Secretary complies with section 137 of
    the National Defense Authorization Act for Fiscal Year 1996 (Public Law
    104-106; 110 Stat. 212).

    SEC. 125. PENGUIN MISSILE PROGRAM.

        (a) Multiyear Procurement Authority.--The Secretary of the Navy
    may, in accordance with section 2306b of title 10, United States Code,
    enter into multiyear procurement contracts for the procurement of not
    more than 106 Penguin missile systems.
        (b) Limitation on Total Cost.--The total amount obligated or
    expended for procurement of Penguin missile systems under contracts
    under subsection (a) may not exceed $84,800,000.

                         Subtitle D--Air Force Programs

        SEC. 131. REPEAL OF LIMITATION ON PROCUREMENT OF F-15E AIRCRAFT.
        Section 134 of the National Defense Authorization Act for Fiscal
    Years 1990 and 1991 (Public Law 101-189; 103 Stat. 1383) is repealed.
        SEC. 132. MODIFICATION TO MULTIYEAR PROCUREMENT AUTHORITY FOR C-17
          AIRCRAFT PROGRAM.
        (a) Multiyear Contracts Authorized.--The Secretary of the Air Force
    may enter into one or more multiyear contracts for the procurement of
    C-17 aircraft (including the section 2703 contract entered into before
    the date of the enactment of this Act under the authority of section
    2703 of the Supplemental Appropriations Act of 1996 (title II of Public
    Law 104-134)). The total number of aircraft contracted to be procured
    under such multiyear contracts may not exceed 80. Any such contract
    shall be entered into in accordance with section 2306b of title 10,
    United States Code (and subject to such modifications as may be
    authorized by law in the maximum period for such contracts specified in
    subsection (k) of such section).
        (b) Requirement To Negotiate Option to Convert Existing Contract to
    Six Program Years.--The Secretary of the Air Force shall negotiate with
    the prime contractor for the C-17 aircraft program so as to achieve a
    contract option for the United States under the section 2703 contract
    to convert the multiyear procurement period under that contract to a
    period of six program years based upon the level of funding for that
    program for fiscal year 1997.
        (c) Contract Period.--A contract entered into after the date of the
    enactment of this Act on a multiyear basis under the authority of
    subsection (a) may (notwithstanding section 2306b(k) of title 10,
    United States Code) be for a period of six program years.
        (d) Section 2703 Contract Defined.--For purposes of this section,
    the term ``section 2703 contract'' means the contract entered into by
    the Secretary of the Air Force on May 31, 1996, with the prime
    contractor for the C-17 aircraft program under the authority of section
    2703 of the Supplemental Appropriations Act of 1996 (title II of Public
    Law 104-134) providing for a multiyear procurement of C-17 aircraft
    over seven program years with an option for the Secretary to convert
    that period to six program years.

                           Subtitle E--Other Matters

        SEC. 141. ASSESSMENTS OF MODERNIZATION PRIORITIES OF THE RESERVE
          COMPONENTS.
        (a) Assessments Required.--Not later than December 1, 1996, each
    officer referred to in subsection (b) shall submit to the congressional
    defense committees an assessment of the modernization priorities
    established for the reserve component or reserve components for which
    that officer is responsible.
        (b) Responsible Officers.--The officers required to submit a report
    under subsection (a) are as follows:
            (1) The Chief of the National Guard Bureau.
            (2) The Chief of Army Reserve.
            (3) The Chief of Air Force Reserve.
            (4) The Director of Naval Reserve.
            (5) The Commanding General, Marine Forces Reserve.
        SEC. 142. DESTRUCTION OF EXISTING STOCKPILE OF LETHAL CHEMICAL
          AGENTS AND MUNITIONS.
        Section 152 of the National Defense Authorization Act for Fiscal
    Year 1996 (Public Law 104-106; 110 Stat. 214; 50 U.S.C. 1521 note) is
    amended by adding at the end the following new subsections:
        ``(e) Assessment of Alternative Technologies for Demilitarization
    of Assembled Chemical Munitions.--(1) In addition to the assessment
    required by subsection (c), the Secretary of Defense shall conduct an
    assessment of the chemical demilitarization program for destruction of
    assembled chemical munitions and of the alternative demilitarization
    technologies and processes (other than incineration) that could be used
    for the destruction of the lethal chemical agents that are associated
    with these munitions, while ensuring maximum protection for the general
    public, the personnel involved in the demilitarization program, and the
    environment. The measures considered shall be limited to those that
    would minimize the risk to the public and reduce the total cost of the
    chemical agents and munitions destruction program. The assessment shall
    be conducted without regard to any limitation that would otherwise
    apply to the conduct of such assessment under any provision of law.
        ``(2) The assessment shall be conducted in coordination with the
    National Research Council.
        ``(3) Among the alternatives, the assessment shall include a
    determination of the cost of incineration of the current chemical
    munitions stockpile by building incinerators at each existing facility
    compared to the proposed cost of dismantling those same munitions,
    neutralizing them at each storage site (other than Tooele Army Depot or
    Johnston Atoll), and transportingthe neutralized remains and all
    munitions parts to a treatment, storage, and disposal facility within
    the United States that has the necessary environmental permits to
    undertake incineration of the material.
        ``(4) Based on the results of the assessment, the Secretary shall
    develop appropriate recommendations for revision of the chemical
    demilitarization program.
        ``(5) Not later than December 31, 1997, the Secretary of Defense
    shall submit to Congress a report on the assessment conducted in
    accordance with paragraph (1) and any recommendations for revision of
    the chemical demilitarization program, including the continued
    development of alternative demilitarization technologies and processes
    other than incineration that could be used for the destruction of the
    lethal chemical agents that are associated with these assembled
    chemical munitions and the chemical munitions demilitarization sites
    for which the selected technologies should be developed.
        ``(f) Pilot Program for Demilitarization of Chemical Agents for
    Assembled Munitions.--(1) If the Secretary of Defense makes a decision
    to continue the development of an alternative demilitarization
    technology or process (other than incineration) that could be used for
    the destruction of the lethal chemical agents that are associated with
    assembled chemical munitions, $25,000,000 shall be available from the
    funds authorized to be appropriated in section 107 of the National
    Defense Authorization Act for Fiscal Year 1997 for the chemical agents
    and munitions destruction program, in order to initiate a pilot program
    using the selected alternative technology or process for the
    destruction of chemical agents that are stored at these sites.
        ``(2) Not less than 30 days before using funds to initiate the
    pilot program under paragraph (1), the Secretary shall submit notice in
    writing to Congress of the Secretary's intent to do so.
        ``(3) The pilot program shall be conducted at the selected chemical
    agent and munitions stockpile storage site for which the alternative
    technology or process is recommended.''.
        SEC. 143. EXTENSION OF AUTHORITY TO CARRY OUT ARMAMENT RETOOLING
          AND MANUFACTURING SUPPORT INITIATIVE.
        Section 193(a) of the Armament Retooling and Manufacturing Support
    Act of 1992 (subtitle H of title I of Public Law 102-484; 10 U.S.C.
    2501 note) is amended by striking out ``During fiscal years 1993
    through 1996'' and inserting in lieu thereof ``During fiscal years 1993
    through 1998''.

             TITLE II--RESEARCH, DEVELOPMENT, TEST, AND EVALUATION

                   Subtitle A--Authorization of Appropriations

    Sec. 201. Authorization of appropriations.
    Sec. 202. Amount for basic and applied research.
    Sec. 203. Dual-use technology programs.
    Sec. 204. Defense Special Weapons Agency.

         Subtitle B--Program Requirements, Restrictions, and Limitations

    Sec. 211. Space launch modernization.
    Sec. 212. Space-Based Infrared System program.
    Sec. 213. Clementine 2 micro-satellite development program.
    Sec. 214. Live-fire survivability testing of V-22 Osprey aircraft.
    Sec. 215. Live-fire survivability testing of F-22 aircraft.
    Sec. 216. Limitation on funding for F-16 tactical manned reconnaissance
    aircraft.
    Sec. 217. Cost analysis of F-22 aircraft program.
    Sec. 218. F-22 aircraft program reports.
    Sec. 219. Cost-benefit analysis of F/A-18E/F aircraft program.
    Sec. 220. Joint Advanced Strike Technology (JAST) program.
    Sec. 221. Unmanned aerial vehicles.
    Sec. 222. High altitude endurance unmanned aerial reconnaissance system.
    Sec. 223. Cyclone class patrol craft self-defense.
    Sec. 224. One-year extension of deadline for delivery of Enhanced Fiber
    Optic Guided Missile (EFOG-M) system.
    Sec. 225. Hydra-70 rocket product improvement program.
    Sec. 226. Federally funded research and development centers.
    Sec. 227. Demilitarization of conventional munitions, rockets, and
    explosives.
    Sec. 228. Research activities of the Defense Advanced Research Projects
    Agency relating to chemical and biological warfare defense technology.
    Sec. 229. Certification of capability of United States to prevent
    illegal importation of nuclear, biological, or chemical weapons.
    Sec. 230. Nonlethal weapons and technologies programs.
    Sec. 231. Counterproliferation support program.

                 Subtitle C--Ballistic Missile Defense Programs

    Sec. 241. Funding for ballistic missile defense programs for fiscal year
    1997.
    Sec. 242. Certification of capability of United States to defend against
    single ballistic missile.
    Sec. 243. Report on ballistic missile defense and proliferation.
    Sec. 244. Revision to annual report on ballistic missile defense
    program.
    Sec. 245. Report on Air Force National Missile Defense Plan.
    Sec. 246. Capability of National Missile Defense system.
    Sec. 247. Actions to limit adverse effects on private sector employment
    of establishment of National Missile Defense Joint Program Office.
    Sec. 248. ABM Treaty defined.

                            Subtitle D--Other Matters

    Sec. 261. Maintenance and repair at Air Force installations.
    Sec. 262. Report relating to Small Business Innovation Research Program.
    Sec. 263. Amendment to University Research Initiative Support program.
    Sec. 264. Amendments to Defense Experimental Program To Stimulate
    Competitive Research.
    Sec. 265. Elimination of report on the use of competitive procedures for
    the award of certain contracts to colleges and universities.
    Sec. 266. Pilot program for transfer of defense technology information
    to private industry.
    Sec. 267. Research under transactions other than contracts and grants.
    Sec. 268. Desalting technologies.
    Sec. 269. Evaluation of digital video network equipment used in Olympic
    games.
    Sec. 270. Annual joint warfighting science and technology plan.

             Subtitle E--National Oceanographic Partnership Program

    Sec. 281. Findings.
    Sec. 282. National Oceanographic Partnership Program.

                  Subtitle A--Authorization of Appropriations

    SEC. 201. AUTHORIZATION OF APPROPRIATIONS.

        Funds are hereby authorized to be appropriated for fiscal year 1997
    for the use of the Department of Defense for research, development,
    test, and evaluation as follows:
            (1) For the Army, $4,780,615,000.
            (2) For the Navy, $8,068,299,000.
            (3) For the Air Force, $14,756,366,000.
            (4) For Defense-wide activities, $9,691,293,000, of which--
                (A) $269,038,000 is authorized for the activities of the
            Director, Test and Evaluation; and
                (B) $21,968,000 is authorized for the Director of
            Operational Test and Evaluation.

    SEC. 202. AMOUNT FOR BASIC AND APPLIED RESEARCH.

        (a) Fiscal Year 1997.--Of the amounts authorized to be appropriated
    by section 201, $4,031,343,000 shall be available for basic research
    and applied research projects.
        (b) Basic Research and Applied Research Defined.--For purposes of
    this section, the term ``basic research and applied research'' means
    work funded in program elements for defense research and development
    under Department of Defense category 6.1 or 6.2.

    SEC. 203. DUAL-USE TECHNOLOGY PROGRAM.

        (a) Allocation of Funds.--Of the amount appropriated pursuant to
    the authorization in section 201(4), $85,000,000 shall be available for
    the dual-use technology program under this section.
        (b) Designation of Official for Dual-Use Program.--(1) The
    Secretary of Defense shall designate a senior official in the Office of
    the Secretary of Defense to have as that official's sole
    responsibilities developing policy relating to, and ensuring effective
    implementation of, the dual-use technology program of the Department of
    Defense. In carrying out such responsibilities, the official shall
    ensure--
            (A) that commercial technologies are integrated into current
        and future military systems to the maximum extent practicable;
            (B) that dual-use projects are coordinated with the joint
        warfighting science and technology plan referred to in section 270;
        and
            (C) that dual-use projects of the military departments and the
        defense agencies are coordinated and avoid unnecessary duplication.
        (2) The senior official designated under paragraph (1) shall carry
    out such responsibilities during the period beginning on October 1,
    1996, and ending on September 30, 2000. Such official shall report
    directly to the Under Secretary of Defense for Acquisition and
    Technology.
        (c) Funding Requirement.--Of the amounts appropriated pursuant to
    the authorizations in section 201 for the Department of Defense for
    science and technology programs for fiscal year 1997, at least 5
    percent of such amounts shall be available only for dual-use projects
    of the Department of Defense. The funds made available under the
    preceding sentence are in addition to the funds made available under
    subsection (a).
        (d) Limitation on Obligations.--Funds made available pursuant to
    subsections (a) and (c) may be used for a dual-use project only if the
    contract, cooperative agreement, or othertransaction by which the
    project is carried out is entered into through the use of competitive
    procedures.
        (e) Transfer Authority.--In addition to the transfer authority
    provided in section 1001, the Secretary of Defense may transfer funds
    made available pursuant to subsections (a) and (c) for a dual-use
    project from a military department or defense agency to another
    military department or defense agency to ensure efficient
    implementation of the dual-use technology program. The Secretary may
    delegate the authority provided in the preceding sentence to the senior
    official designated under subsection (b).
        (f) Federal Cost Share.--The share contributed by the Secretary of
    a military department or the head of a defense agency for the cost of a
    dual-use project during fiscal year 1997 may not be greater than 50
    percent of the cost of the project for that fiscal year.
        (g) Report.--At the same time the President submits to Congress the
    budget for fiscal year 1998 pursuant to section 1105(a) of title 31,
    United States Code, the Secretary of Defense shall submit to Congress a
    report that specifies the investment strategy for the dual-use
    technology program to be conducted during fiscal years 1998, 1999, and
    2000.
        (h) Definitions.--In this section:
            (1) The term ``dual-use technology program'' means the program
        of the Department of Defense under which research or development of
        a dual-use technology (as defined in section 2491 of title 10,
        United States Code) is carried out and the costs of which are
        shared between the Department of Defense and non-Government
        entities. The term includes the dual-use critical technology
        program established pursuant to section 2511 of title 10, United
        States Code.
            (2) The term ``dual-use project'' means a project under the
        dual-use technology program.
            (3) The term ``science and technology program'' means a program
        of a military department under which basic research, applied
        research, or advanced technology development is carried out.

    SEC. 204. DEFENSE SPECIAL WEAPONS AGENCY.

        There is hereby authorized to be appropriated for fiscal year 1997
    the amount of $314,313,000 for the Defense Special Weapons Agency, of
    which--
            (1) $7,900,000 is for procurement;
            (2) $218,330,000 is for research, development, test, and
        evaluation; and
            (3) $88,083,000 is for operations and maintenance.

        Subtitle B--Program Requirements, Restrictions, and Limitations

    SEC. 211. SPACE LAUNCH MODERNIZATION.

        (a) Funding.--Funds appropriated pursuant to the authorization of
    appropriations in section 201(3) are authorized to be made available
    for space launch modernization for purposes and in amounts as follows:
            (1) For the Evolved Expendable Launch Vehicle program,
        $44,457,000.
            (2) For a competitive reusable launch vehicle program (program
        element 63401F), $25,000,000.
        (b) Limitations.--(1) Of the funds made available for the reusable
    launch vehicle program pursuant to subsection (a)(2), the total amount
    obligated for such purpose may not exceed the total amount allocated in
    the fiscal year 1997 current operating plan of the National Aeronautics
    and Space Administration for the Reusable Space Launch program of the
    National Aeronautics and Space Administration.
        (2) Of the funds made available for the Evolved Expendable Launch
    Vehicle program pursuant to subsection (a)(1), the total amount
    obligated for such purpose may not exceed $20,000,000 until the
    Secretary of Defense certifies to Congress that the Secretary has made
    available for obligation the funds, if any, that are made available for
    the Reusable Launch Vehicle program pursuant to subsection (a)(2).
        (c) Coordination of Engine Testing.--Not later than 90 days after
    the date of the enactment of this Act, the Secretary of Defense and the
    Administrator of the National Aeronautics and Space Administration
    shall submit to Congress a joint plan for coordinating and eliminating
    unnecessary duplication in the operations and planned improvements of
    rocket engine and rocket engine component test facilities managed by
    the Department of the Air Force and the National Aeronautics and Space
    Administration. The plan shall provide, to the extent practical, for
    the development of commonly funded and commonly operated facilities.

    SEC. 212. SPACE-BASED INFRARED SYSTEM PROGRAM.

        (a) Funding.--Funds appropriated pursuant to the authorization of
    appropriations in section 201(3) are authorized to be made available
    for the Space-Based Infrared System program for purposes and in amounts
    as follows:
            (1) For Space Segment High, $173,290,000.
            (2) For Space Segment Low (the Space and Missile Tracking
        System), $247,221,000.
            (3) For Cobra Brass, $6,930,000.
        (b) Limitation.--Not more than $100,000,000 of the funds authorized
    to be made available under subsection (a)(1) may be obligated or
    expended until the Secretary of Defense certifies to Congress that the
    Secretary has made available the funds authorized to be made available
    under subsection (a)(2) for the purpose of accelerating the deployment
    of the Space Segment Low (the Space and Missile Tracking System).
        (c) Program Management.--Before the submission of the President's
    budget for fiscal year 1998, the Secretary of Defense shall conduct a
    review of the appropriate management responsibilities for the Space and
    Missile Tracking System, including whether transferring such management
    responsibility from the Air Force to the Ballistic Missile Defense
    Organization would result in improved program efficiencies and support.

    SEC. 213. CLEMENTINE 2 MICRO-SATELLITE DEVELOPMENT PROGRAM.

        (a) Amount for Program.--Of the amount authorized to be
    appropriated under section 201(3), $50,000,000 shall be available for
    the Clementine 2 micro-satellite near-Earth asteroid interception
    mission.
        (b) Limitation.--Of the funds authorized to be appropriated
    pursuant to this Act for the global positioning system (GPS) Block II F
    Satellite system, not more than $25,000,000 may be obligated until the
    Secretary of Defense certifies to Congress that--
            (1) funds appropriated for fiscal year 1996 for the Clementine
        2 Micro-Satellite development program have been obligated in
        accordance with Public Law 104-106 and the Joint Explanatory
        Statement of the Committee of Conference accompanying S. 1124
        (House Report 104-450 (104th Congress, second session)); and
            (2) the Secretary has made available for obligation the funds
        appropriated for fiscal year 1997 for the purpose specified in
        subsection (a).
        SEC. 214. LIVE-FIRE SURVIVABILITY TESTING OF V-22 OSPREY AIRCRAFT.
        (a) Authority for Retroactive Waiver.--The Secretary of Defense
    may, in accordance with section 2366(c) of title 10, United States
    Code, waive for the V-22 Osprey aircraft program the survivability
    tests required by that section, notwithstanding that such program has
    entered engineering and manufacturing development.
        (b) Report to Congress.--In exercising the waiver authority in
    section 2366(c) of title 10, United States Code, the Secretary shall
    submit to Congress a report explaining how the Secretary plans to
    evaluate the survivability of the V-22 Osprey aircraft system and
    assessing possible alternatives to realistic survivability testing of
    the system.
        (c) Alternative Survivability Test Requirements.--If the Secretary
    of Defense submits in accordance with section 2366(c)(1) of title 10,
    United States Code, a certification that live-fire testing of the V-22
    Osprey aircraft would be unreasonably expensive and impractical, the
    Secretary shall require that components critical to the survivability
    of the V-22 Osprey aircraft be subjected to live-fire testing under an
    alternative live-fire testing program that, by reason of the number of
    such components tested and the realism of the threat environments under
    which the components are tested, will yield test results that provide a
    sufficient basis for drawing meaningful conclusions about the
    survivability of V-22 Osprey aircraft.
        (d) Funding.--The funds required to carry out any alternative live-
    fire testing of the V-22 Osprey aircraft system shall be made available
    from amounts appropriated for the V-22 Osprey program.

    SEC. 215. LIVE-FIRE SURVIVABILITY TESTING OF F-22 AIRCRAFT.

        (a) Authority for Retroactive Waiver.--The Secretary of Defense
    may, in accordance with section 2366(c) of title 10, United States
    Code, waive for the F-22 aircraft program the survivability tests
    required by that section, notwithstanding that such program has entered
    engineering and manufacturing development.
        (b) Alternative Survivability Test Requirements.--If the Secretary
    of Defense submits in accordance with section 2366(c)(1) of title 10,
    United States Code, a certification that live-fire testing of the F-22
    aircraft would be unreasonably expensive and impractical, the Secretary
    shall require that components and subsystems critical to the
    survivability of the F-22 aircraft be subjected to live-fire testing
    under an alternative live-fire testing program that, by reason of the
    number of such components and subsystems tested and the realism of the
    threat environments under which the components and subsystems are
    tested, will yield test results that provide a sufficient basis for
    drawing meaningful conclusions about the survivability of F-22
    aircraft.
        (c) Funding.--The funds required to carry out any alternative live-
    fire testing of the F-22 aircraft system shall be made available from
    amounts appropriated for the F-22 program.
        SEC. 216. LIMITATION ON FUNDING FOR F-16 TACTICAL MANNED
          RECONNAISSANCE AIRCRAFT.
        (a) Limitation.--Effective on the date of the enactment of this
    Act, not more than $50,000,000 (in fiscal year 1997 constant dollars)
    may be obligated or expended for--
            (1) research, development, test, and evaluation for, and
        acquisition and modification of, the F-16 tactical manned
        reconnaissance aircraft program; and
            (2) costs associated with the termination of such program.
        (b) Exception.--The limitation in subsection (a) shall not apply to
    obligations required for improvements planned before the date of the
    enactment of this Act to incorporate the common data link into the F-16
    tactical manned reconnaissance aircraft.

    SEC. 217. COST ANALYSIS OF F-22 AIRCRAFT PROGRAM.

        (a) Review and Report.--The Secretary of Defense shall direct the
    Cost Analysis Improvement Group in the Office of the Secretary of
    Defense to review the F-22 aircraft program, analyze and estimate the
    production costs of the program, and submit to the Secretary a report
    on the results of the review.
        (b) Content of Report.--The report shall include--
            (1) a comparison of--
                (A) the results of the review, with
                (B) the results of the last independent estimate of
            production costs of the program that was prepared by the Cost
            Analysis Improvement Group in July 1991; and
            (2) a description of any major changes in programmatic
        assumptions that have occurred since the estimate referred to in
        paragraph (1)(B) was made, including any major change in
        assumptions regarding the program schedule, the quantity of
        aircraft to be developed and acquired, and the annual rates of
        production, together withan assessment of the effects of such
    changes on the program.
        (c) Submission of Report.--Not later than March 30, 1997, the
    Secretary shall submit the report to the congressional defense
    committees, together with the Secretary's views on the matters covered
    by the report.
        (d) Limitation on Use of Funds Pending Submission of Report.--Not
    more than 92 percent of the funds appropriated for the F-22 aircraft
    program pursuant to the authorization of appropriations in section
    103(1) may be expended until the Secretary of Defense submits the
    report required under this section.

    SEC. 218. F-22 AIRCRAFT PROGRAM REPORTS.

        (a) Annual Report.--(1) At the same time that the President submits
    the budget for a fiscal year to Congress pursuant to section 1105(a) of
    title 31, United States Code, the Secretary of Defense shall submit to
    Congress a report on event-based decisionmaking for the F-22 aircraft
    program for that fiscal year. The Secretary shall submit the report for
    fiscal year 1997 not later than October 1, 1996.
        (2) The report for a fiscal year shall include the following:
            (A) A discussion of each decision known within the Department
        of Defense as an ``event-based decision'' that is expected to be
        made during that fiscal year regarding whether the F-22 program is
        to proceed into a new phase or into a new administrative
        subdivision of a phase.
            (B) The criteria known within the Department of Defense as
        ``exit criteria'' to be applied, for purposes of making the event-
        based decision, in determining whether the F-22 aircraft program
        has demonstrated the specific progress necessary for proceeding
        into the new phase or administrative subdivision of a phase.
        (b) Report on Event-Based Decisions.--Not later than 30 days after
    an event-based decision has been made for the F-22 aircraft program,
    the Secretary of Defense shall submit to Congress a report on the
    decision. The report shall include the following:
            (1) A discussion of the commitments made, and the commitments
        to be made, under the program as a result of the decision.
            (2) The exit criteria applied for purposes of the decision.
            (3) How, in terms of the exit criteria, the program
        demonstrated the specific progress justifying the decision.

    SEC. 219. COST-BENEFIT ANALYSIS OF F/A-18E/F AIRCRAFT PROGRAM.

        (a) Report on Program.--Not later than March 30, 1997, the
    Secretary of Defense shall submit to the congressional defense
    committees a report on the F/A-18E/F aircraft program.
        (b) Content of Report.--The report shall contain the following:
            (1) A review of the F/A-18E/F aircraft program.
            (2) An analysis and estimate of the production costs of the
        program for the total number of aircraft realistically expected to
        be procured at each of three annual production rates as follows:
                (A) 18 aircraft.
                (B) 24 aircraft.
                (C) 36 aircraft.
            (3) A comparison of the costs and benefits of the program with
        the costs and benefits of the F/A-18C/D aircraft program taking
        into account the operational combat effectiveness of the aircraft.
        (c) Limitation on Use of Funds Pending Submission of Report.--Not
    more than 90 percent of the funds authorized to be appropriated by this
    Act for the procurement of F/A-18E/F aircraft may be obligated or
    expended for procurement of such aircraft before the date that is 30
    days after the date on which the congressional defense committees
    receive the report required under subsection (a).

    SEC. 220. JOINT ADVANCED STRIKE TECHNOLOGY (JAST) PROGRAM.

        (a) Allocation of Funds.--Of the amounts authorized to be
    appropriated pursuant to the authorizations in section 201,
    $602,069,000 shall be available only for advanced technology
    development for the Joint Advanced Strike Technology (JAST) program. Of
    that amount--
            (1) $259,833,000 shall be available only for program element
        63800N in the budget of the Department of Defense for fiscal year
        1997;
            (2) $263,836,000 shall be available only for program element
        63800F in the budget of the Department of Defense for fiscal year
        1997; and
            (3) $78,400,000 shall be available only for program element
        63800E in the budget of the Department of Defense for fiscal year
        1997.
        (b) Analysis of Force Structure.--Of the amounts authorized to be
    appropriated by section 201 for the Joint Advanced Strike Technology
    program, up to $10,000,000 shall be available for the conduct of an
    analysis by the Institute for Defense Analyses of the following:
            (1) The weapon systems force structure required to meet the
        anticipated range of threats projected by the intelligence
        community for the period 2000 through 2025.
            (2) Alternative force mixes, including, at a minimum, the
        following force mixes:
                (A) Joint Strike Fighter derivative aircraft;
            remanufactured AV-8 aircraft; F-18C/D, F-18E/F, AH-64, AH-1W,
            RAH-66, F-14, F-16, F-15, F-117, F-22, B-1, B-2, and B-52
            aircraft; and air-to-surface and surface-to-surface weapons
            systems.
                (B) Joint Strike Fighter derivative aircraft;
            remanufactured AV-8 aircraft; F-18C/D, F-18E/F, F-14, F-16, F-
            15, F-117, and F-22 aircraft; and air-to-surface and surface-
            to-surface weapons systems.
            (3) Cost and operational effectiveness of the alternative force
        mixes analyzed under paragraph (2), includingsensitivity analyses
    related to system performance, costs, threats, and force employment
    scenarios.
            (4) Required operational capability dates of systems not yet in
        production for the force mixes analyzed under paragraph (2).
            (5) Affordability, commonality, and roles and missions
        considerations related to the alternative force mixes analyzed
        under paragraph (2).
        (c) Cost Review of Force Structure Analysis.--The Secretary of
    Defense shall direct the Cost Analysis Improvement Group in the Office
    of the Secretary of Defense to review cost estimates made under the
    analysis conducted under subsection (b) and submit to the Secretary a
    report on the results of the review. The report may include comments
    and additional cost sensitivity analyses.
        (d) Briefing and Report.--(1) Not later than November 15, 1996, the
    Secretary of Defense shall make available to the congressional defense
    committees a briefing on the plan and assumptions for the analysis to
    be conducted under subsection (b).
        (2) Not later than May 15, 1997, the Secretary of Defense shall
    submit to the congressional defense committees a report containing a
    copy of the analysis conducted under subsection (b) and of the cost
    review conducted under subsection (c), together with the views of the
    Secretary on such analysis and cost review.

    SEC. 221. UNMANNED AERIAL VEHICLES.

        (a) Procurement Funding Request.--The funding request for
    procurement for unmanned aerial vehicles for any fiscal year shall be
    set forth under the funding requests for the military departments in
    the budget of the Department of Defense.
        (b) Transfer of Program Management.--Program management for the
    Predator Unmanned Aerial Vehicle, and programmed funding for such
    vehicle for fiscal years 1998, 1999, 2000, 2001, and 2002 (as set forth
    in the future-years defense program), shall be transferred to the
    Department of the Air Force, effective October 1, 1996, or the date of
    the enactment of this Act, whichever is later.
        (c) Prohibition on Providing Operating Capability from Naval
    Vessels.--No funds authorized to be appropriated by this Act may be
    obligated for purposes of providing the capability of the Predator
    Unmanned Aerial Vehicle to operate from naval vessels.

    SEC. 222. HIGH ALTITUDE ENDURANCE UNMANNED AERIAL RECONNAISSANCE
                  SYSTEM.

        Any concepts for an improved Tier III Minus (High Altitude
    Endurance Unmanned Aerial Reconnaissance) system, developed using funds
    authorized to be appropriated under this title, that would increase the
    unit flyaway cost for such system to an amount greater than the unit
    flyaway cost established in either of the original contracts for such
    system, may not be carried out under the original contracts, but must
    instead be carried out under another contract that is awarded using
    competitive procedures.

    SEC. 223. CYCLONE CLASS PATROL CRAFT SELF-DEFENSE.

        (a) Study Required.--The Secretary of Defense shall perform a study
    of the operational requirements for vessel self-defense for the Cyclone
    class patrol craft and a comparative evaluation of the potential means
    for meeting the operational requirements for self-defense of the craft.
    The study shall consider the range of operational scenarios in which
    the craft is expected to be employed.
        (b) Systems To Be Evaluated.--The study under subsection (a) shall
    consider those self-defense systems that could be employed aboard the
    Cyclone class patrol craft, including the Barak ship self-defense
    missile system.
        (c) Report.--Not later than March 31, 1997, the Secretary shall
    submit to Congress a report containing the results of the study under
    subsection (a).
        SEC. 224. ONE-YEAR EXTENSION OF DEADLINE FOR DELIVERY OF ENHANCED
          FIBER OPTIC GUIDED MISSILE (EFOG-M) SYSTEM.
        Section 272(a)(2) of the National Defense Authorization Act for
    Fiscal Year 1996 (Public Law 104-106; 110 Stat. 239) is amended by
    striking out ``September 30, 1998,'' and inserting in lieu thereof
    ``September 30, 1999,''.

    SEC. 225. HYDRA-70 ROCKET PRODUCT IMPROVEMENT PROGRAM.

        (a) Funding Authorization.--Of the amount authorized to be
    appropriated under section 201(1) for the Army for Other Missile
    Product Improvement Programs, $9,000,000 is authorized as specified in
    subsection (b) for completion of the Hydra-70 product improvement
    program authorized for fiscal year 1996.
        (b) Authorized Actions.--Funding is authorized to be appropriated
    for the following:
            (1) Procurement for test and flight qualification of at least
        one nondevelopmental item 2.75-inch composite rocket motor
        propellant type, along with other nondevelopmental item candidate
        motors that use composite propellant as the propulsion component.
            (2) Platform integration, including additional quantities of
        the motor chosen for operational certification on the Apache attack
        helicopter.
        (c) Definition.--In this section, the term ``nondevelopmental
    item'' has the meaning provided in section 4 of the Office of Federal
    Procurement Policy Act (41 U.S.C. 403).
        SEC. 226. FEDERALLY FUNDED RESEARCH AND DEVELOPMENT CENTERS.
        (a) Centers Covered.--Funds authorized to be appropriated for the
    Department of Defense for fiscal year 1997 under section 201 may be
    obligated to procure work from a federally funded research and
    development center (in this section referred to as an ``FFRDC'') only
    in the case of a center named in the report required by subsection (b)
    and, in the case of such a center, only in an amount not in excess of
    theamount of the proposed funding level set forth for that center in
    such report.
        (b) Report on Allocations for Centers.--(1) Not later than 30 days
    after the date of the enactment of this Act, the Secretary of Defense
    shall submit to the Committee on Armed Services of the Senate and the
    Committee on National Security of the House of Representatives a report
    containing--
            (A) the name of each FFRDC from which work is proposed to be
        procured for the Department of Defense for fiscal year 1997;
            (B) for each such center, the proposed funding level and the
        estimated personnel level for fiscal year 1997; and
            (C) for each such center, an unambiguous definition of the
        unique core competencies required to be maintained for fiscal year
        1997.
        (2) The total of the proposed funding levels set forth in the
    report for all FFRDCs may not exceed the amount set forth in subsection
    (d).
        (c) Limitation Pending Submission of Report.--Not more than 15
    percent of the funds authorized to be appropriated for the Department
    of Defense for fiscal year 1997 for FFRDCs under section 201 may be
    obligated to procure work from an FFRDC until the Secretary of Defense
    submits the report required by subsection (b).
        (d) Funding.--(1) Subject to paragraph (2), of the amounts
    authorized to be appropriated by section 201, not more than a total of
    $1,214,650,000 may be obligated to procure services from the FFRDCs
    named in the report required by subsection (b).
        (2) The limitation in paragraph (1) does not apply to funds
    obligated for the procurement of equipment for FFRDCs.
        (e) Authority To Waive Funding Limitation.--The Secretary of
    Defense may waive the limitation regarding the maximum funding amount
    that applies under subsection (a) to an FFRDC. Whenever the Secretary
    proposes to make such a waiver, the Secretary shall submit to the
    Committee on Armed Services of the Senate and the Committee on National
    Security of the House of Representatives notice of the proposed waiver
    and the reasons for the waiver. The waiver may then be made only after
    the end of the 60-day period that begins on the date on which the
    notice is submitted to those committees, unless the Secretary
    determines that it is essential to the national security that funds be
    obligated for work at that center in excess of that limitation before
    the end of such period and notifies those committees of that
    determination and the reasons for the determination.
        SEC. 227. DEMILITARIZATION OF CONVENTIONAL MUNITIONS, ROCKETS, AND
          EXPLOSIVES.
        (a) Establishment of Conventional Munitions, Rockets, and
    Explosives Demilitarization Program.--The Secretary of Defense shall
    establish an integrated program for the development and demonstration
    of technologies for the demilitarization and disposal of conventional
    munitions, rockets, and explosives in a manner that complies with
    applicable environmental laws.
        (b) Duration of Program.--The program established pursuant to
    subsection (a) shall be in effect for a period of at least five years,
    beginning with fiscal year 1997.
        (c) Funding.--Of the amount authorized to be appropriated in
    section 201, $15,000,000 is authorized to be appropriated for the
    program established pursuant to subsection (a). The funding request for
    the program shall be set forth separately in the budget justification
    documents for the budget of the Department of Defense for each fiscal
    year during which the program is in effect.
        (d) Reports.--The Secretary of Defense shall submit to Congress a
    report on the plan for the program established pursuant to subsection
    (a) at the same time the President submits to Congress the budget for
    fiscal year 1998. The Secretary shall submit an updated version of such
    report, setting forth in detail the progress of the program, at the
    same time the President submits the budget for each fiscal year after
    fiscal year 1998 during which the program is in effect.
        SEC. 228. RESEARCH ACTIVITIES OF THE DEFENSE ADVANCED RESEARCH
          PROJECTS AGENCY RELATING TO CHEMICAL AND BIOLOGICAL WARFARE
          DEFENSE TECHNOLOGY.
        (a) Authority.--Section 1701(c) of the National Defense
    Authorization Act for Fiscal Year 1994 (Public Law 103-160; 107 Stat.
    1853; 50 U.S.C. 1522) is amended--
            (1) by inserting ``(1)'' before ``The Secretary''; and
            (2) by adding at the end the following new paragraph:
        ``(2) The Director of the Defense Advanced Research Projects Agency
    may conduct a program of basic and applied research and advanced
    technology development on chemical and biological warfare defense
    technologies and systems. In conducting such program, the Director
    shall seek to avoid unnecessary duplication of the activities under the
    program with chemical and biological warfare defense activities of the
    military departments and defense agencies and shall coordinate the
    activities under the program with those of the military departments and
    defense agencies.''.
        (b) Funding.--Section 1701(d) of such Act is amended--
            (1) in paragraph (1), by striking out ``military departments''
        and inserting in lieu thereof ``Department of Defense'';
            (2) in paragraph (2), by inserting after ``requests for the
        program'' in the first sentence the following: ``(other than for
        activities under the program conducted by the Defense Advanced
        Research Projects Agency under subsection (c)(2))'';
            (3) by redesignating paragraph (3) as paragraph (4); and
            (4) by inserting after paragraph (2) the following new
        paragraph (3):
        ``(3) The program conducted by the Defense Advanced Research
    Projects Agency under subsection (c)(2) shall be set forth as a
    separate program element in the budget of that agency.''.
        SEC. 229. CERTIFICATION OF CAPABILITY OF UNITED STATES TO PREVENT
          ILLEGAL IMPORTATION OF NUCLEAR, BIOLOGICAL, AND CHEMICAL WEAPONS.
        Not later than 15 days after the date of the enactment of this Act,
    the President shall submit to Congress a certification in writing
    stating specifically whether or not the United States has the
    capability (as of the date of the certification) to prevent the illegal
    importation of nuclear, biological, and chemical weapons into the
    United States and its possessions.

    SEC. 230. NONLETHAL WEAPONS AND TECHNOLOGIES PROGRAMS.

        (a) Funding.--Of the amount authorized to be appropriated under
    section 201(2), $15,000,000 shall be available for joint service
    research, development, test, and evaluation of nonlethal weapons and
    nonlethal technologies under the program element established pursuant
    to subsection (b).
        (b) New Program Element Required.--The Secretary of Defense shall
    establish a new program element for the funds authorized to be
    appropriated under subsection (a). The funds within that program
    element shall be administered by the executive agent designated for
    joint service research, development, test, and evaluation of nonlethal
    weapons and nonlethal technologies.

    SEC. 231. COUNTERPROLIFERATION SUPPORT PROGRAM.

        (a) Funding.--Of the funds authorized to be appropriated to the
    Department of Defense under section 201(4), $186,200,000 shall be
    available for the Counterproliferation Support Program, of which
    $75,000,000 shall be available for a tactical antisatellite
    technologies program.
        (b) Additional Authority To Transfer Authorizations.--(1) In
    addition to the transfer authority provided in section 1001, upon
    determination by the Secretary of Defense that such action is necessary
    in the national interest, the Secretary may transfer amounts of
    authorizations made available to the Department of Defense in this
    division for fiscal year 1997 to counterproliferation programs,
    projects, and activities identified as areas for progress by the
    Counterproliferation Program Review Committee established by section
    1605 of the National Defense Authorization Act for Fiscal Year 1994 (22
    U.S.C. 2751 note). Amounts of authorizations so transferred shall be
    merged with and be available for the same purposes as the authorization
    to which transferred.
        (2) The total amount of authorizations transferred under the
    authority of this subsection may not exceed $50,000,000.
        (3) The authority provided by this subsection to transfer
    authorizations--
            (A) may only be used to provide authority for items that have a
        higher priority than the items from which authority is transferred;
        and
            (B) may not be used to provide authority for an item that has
        been denied authorization by Congress.
        (4) A transfer made from one account to another under the authority
    of this subsection shall be deemed to increase the amount authorized
    for the account to which the amount is transferred by an amount equal
    to the amount transferred.
        (5) The Secretary of Defense shall promptly notify Congress of
    transfers made under the authority of this subsection.
        (c) Limitation on Use of Funds for Technical Studies and Analyses
    Pending Release of Funds.--(1) None of the funds authorized to be
    appropriated to the Department of Defense for fiscal year 1997 for
    program element 605104D, relating to technical studies and analyses,
    may be obligated or expended until the funds referred to in paragraph
    (2) have been released to the program manager of the tactical anti-
    satellite technology program for implementation of that program.
        (2) The funds for release referred to in paragraph (1) are as
    follows:
            (A) Funds authorized to be appropriated by section 218(a) of
        the National Defense Authorization Act for Fiscal Year 1996 (Public
        Law 104-106; 110 Stat. 222) that are available for the program
        referred to in paragraph (1).
            (B) Funds authorized to be appropriated to the Department for
        fiscal year 1997 by this Act for the Counterproliferation Support
        Program that are to be made available for that program.

                 Subtitle C--Ballistic Missile Defense Programs

        SEC. 241. FUNDING FOR BALLISTIC MISSILE DEFENSE PROGRAMS FOR FISCAL
          YEAR 1997.
        (a) Program Amounts.--Of the amount appropriated pursuant to
    section 201(4), the following amounts may be obligated for the
    following systems managed by the Ballistic Missile Defense
    Organization:
            (1) For the Theater High Altitude Area Defense (THAAD) System,
        $621,798,000.
            (2) For the Navy Upper Tier (Theater Wide) system,
        $304,171,000.
            (3) For the National Missile Defense System, $858,437,000.
            (4) For the Corps Surface-to-Air Missile (SAM)/Medium Extended
        Air Defense System (MEADS), $56,200,000.
        (b) Limitation.--None of the funds appropriated or otherwise made
    available for the Department of Defense pursuant to this or any other
    Act may be obligated or expended by the Office of the Under Secretary
    of Defense for Acquisition and Technology for official representation
    activities, or related activities, until the Secretary of Defense
    certifies to Congress that--
            (1) the Secretary has made available for obligation the funds
        provided under subsection (a) for the purposes specified in that
        subsection and in the amounts appropriated pursuant to that
        subsection; and
            (2) the Secretary has included the Navy Upper Tier theater
        missile defense system in the theater missile defense core program.
        (c) Limitations.--Not more than $15,000,000 of the amount available
    for the Corps SAM/MEADS program undersubsection (a) may be obligated
    until the Secretary of Defense submits to the congressional defense
    committees the following:
            (1) An initial program estimate for the Corps SAM/MEADS
        program, including a tentative schedule of major milestones and an
        estimate of the total program cost through initial operational
        capability.
            (2) A report on the options associated with the use of existing
        systems, technologies, and program management mechanisms to satisfy
        the requirement for the Corps surface-to-air missile, including an
        assessment of cost and schedule implications in relation to the
        program estimate submitted under paragraph (1).
            (3) A certification that there will be no increase in overall
        United States funding commitment to the project definition and
        validation phase of the Corps SAM/MEADS program as a result of the
        withdrawal of France from participation in the program.
        SEC. 242. CERTIFICATION OF CAPABILITY OF UNITED STATES TO DEFEND
          AGAINST SINGLE BALLISTIC MISSILE.
        Not later than 15 days after the date of the enactment of this Act,
    the President shall submit to Congress a certification in writing
    stating specifically whether or not the United States has the military
    capability (as of the time of the certification) to intercept and
    destroy a single ballistic missile launched at the territory of the
    United States.
        SEC. 243. REPORT ON BALLISTIC MISSILE DEFENSE AND PRO- LIFERATION.
        The Secretary of Defense shall submit to Congress a report on
    ballistic missile defense and the proliferation of weapons of mass
    destruction, including nuclear, chemical, and biological weapons, and
    the missiles that can be used to deliver them. The report shall be
    submitted not later than December 31, 1996, and shall include the
    following:
            (1) An assessment of how United States theater missile defenses
        contribute to United States efforts to prevent proliferation,
        including an evaluation of the specific effect United States
        theater missile defense systems can have on dissuading other states
        from acquiring ballistic missiles.
            (2) An assessment of how United States national missile
        defenses contribute to United States efforts to prevent
        proliferation.
            (3) An assessment of the effect of the lack of national missile
        defenses on the desire of other states to acquire ballistic
        missiles and an evaluation of the types of missiles other states
        might seek to acquire as a result.
            (4) A detailed review of the linkages between missile defenses
        (both theater and national) and each of the categories of
        counterproliferation activities identified by the Secretary of
        Defense as part of the Defense Counterproliferation Initiative
        announced by the Secretary in December 1993.
            (5) A description of how theater and national ballistic missile
        defenses can augment the effectiveness of other
        counterproliferation tools.
        SEC. 244. REVISION TO ANNUAL REPORT ON BALLISTIC MISSILE DEFENSE
          PROGRAM.
        Section 224(b) of the National Defense Authorization Act for Fiscal
    Years 1990 and 1991 (10 U.S.C. 2431 note) is amended--
            (1) by striking out paragraphs (3), (4), and (10);
            (2) by redesignating paragraphs (5) and (6) as paragraphs (3)
        and (4), respectively;
            (3) by redesignating paragraph (7) as paragraph (5) and in that
        paragraph by striking out ``of the Soviet Union'' and ``for the
        Soviet Union'';
            (4) by redesignating paragraph (8) as paragraph (6); and
            (5) by redesignating paragraph (9) as paragraph (7) and in that
        paragraph--
                (A) by striking out ``of the Soviet Union'' in subparagraph
            (A);
                (B) by striking out subparagraphs (C) through (F); and
                (C) by redesignating subparagraph (G) as subparagraph (C).

    SEC. 245. REPORT ON AIR FORCE NATIONAL MISSILE DEFENSE PLAN.

        Not later than 120 days after the date of the enactment of this
    Act, the Secretary of Defense shall submit to the Committee on Armed
    Services of the Senate and the Committee on National Security of the
    House of Representatives a report on the following matters regarding
    the National Missile Defense Plan of the Air Force:
            (1) The cost and operational effectiveness of a system that
        could be developed pursuant to that plan.
            (2) The arms control implications of such a system.
            (3) The growth potential of such a system to meet future
        threats.
            (4) The recommendations of the Secretary for improvements to
        that plan.

    SEC. 246. CAPABILITY OF NATIONAL MISSILE DEFENSE SYSTEM.

        The Secretary of Defense shall ensure that any National Missile
    Defense system deployed by the United States is capable of defeating
    the threat posed by the Taepo Dong II missile of North Korea.
        SEC. 247. ACTIONS TO LIMIT ADVERSE EFFECTS ON PRIVATE SECTOR
          EMPLOYMENT OF ESTABLISHMENT OF NATIONAL MISSILE DEFENSE JOINT
          PROGRAM OFFICE.
        The Secretary of Defense shall take such actions as are necessary
    in connection with the establishment of the National Missile Defense
    Joint Program Office within the Ballistic Missile Defense Organization
    to ensure that the establishment of that office does not make it
    necessary for a Federal Government contractor to reduce significantly
    the number of persons employed by that contractor for supporting the
    national missile defense development program at any particular location
    outside the National Capital Region (as defined in section 2674(f)(2)
    of title 10, United States Code).

    SEC. 248. ABM TREATY DEFINED.

        For purposes of this subtitle, the term ``ABM Treaty'' means the
    Treaty Between the United States of America and the Union of Soviet
    Socialist Republics on the Limitation of Anti-Ballistic Missile
    Systems, and signed at Moscow on May 26, 1972, and includes the
    Protocols to that Treaty, signed at Moscow on July 3, 1974.

                           Subtitle D--Other Matters

    SEC. 261. MAINTENANCE AND REPAIR AT AIR FORCE INSTALLATIONS.

        (a) Allocation of Funds.--The Secretary of the Air Force shall
    allocate funds authorized to be appropriated by this title and title
    III of this Act for maintenance and repair of real property at military
    installations of the Department of the Air Force without regard to
    whether the installation is supported with funds authorized by this
    title or title III of this Act.
        (b) Mixing of Funds Prohibited on Individual Projects.--The
    Secretary of the Air Force may not combine funds authorized to be
    appropriated by this title and funds authorized to be appropriated by
    title III for an individual project for maintenance and repair of real
    property at a military installation of the Department of the Air Force.
        SEC. 262. REPORT RELATING TO SMALL BUSINESS INNOVATION RESEARCH
          PROGRAM.
        Not later than March 30, 1997, the Comptroller General shall submit
    to Congress and to the Secretary of Defense a report setting forth the
    following with respect to the Small Business Innovation Research
    Program (as defined by section 2491(11) of title 10, United States
    Code):
            (1) An assessment of whether there has been a demonstrable
        reduction in the quality of research performed under funding
        agreements awarded by the Department of Defense under the program
        since fiscal year 1995.
            (2) An assessment of the degree to which competitive procedures
        are being followed throughout the military departments and defense
        agencies in awarding funding agreements under the program.
            (3) An assessment of the degree to which technologies developed
        through the program are or are likely to be used in military
        projects and programs.
        SEC. 263. AMENDMENT TO UNIVERSITY RESEARCH INITIATIVE SUPPORT
          PROGRAM.
        Section 802(c) of the National Defense Authorization Act for Fiscal
    Year 1994 (Public Law 103-160; 107 Stat. 1701; 10 U.S.C. 2358 note) is
    amended by striking out ``fiscal years before the fiscal year in which
    the institution submits a proposal'' and inserting in lieu thereof
    ``most recent fiscal years for which complete statistics are available
    when proposals are requested''.
        SEC. 264. AMENDMENTS TO DEFENSE EXPERIMENTAL PROGRAM TO STIMULATE
          COMPETITIVE RESEARCH.
        Section 257(d) of the National Defense Authorization Act for Fiscal
    Year 1995 (Public Law 103-337; 108 Stat. 2705; 10 U.S.C. 2358 note) is
    amended--
            (1) in paragraph (1)--
                (A) by striking out ``Director of the National Science
            Foundation'' and inserting in lieu thereof ``Under Secretary of
            Defense for Acquisition and Technology''; and
                (B) by striking out ``and shall notify the Director of
            Defense Research and Engineering of the States so designated'';
            and
            (2) in paragraph (2)--
                (A) in the matter preceding subparagraph (A)--
                    (i) by striking out ``Director of the National Science
                Foundation'' and inserting in lieu thereof ``Under
                Secretary of Defense for Acquisition and Technology''; and
                    (ii) by striking out ``as determined by the Director''
                and inserting in lieu thereof ``as determined by the Under
                Secretary'';
                (B) in subparagraph (A), by striking out ``(to be
            determined in consultation with the Secretary of Defense);''
            and inserting in lieu thereof ``; and'';
                (C) by striking out ``; and'' at the end of subparagraph
            (B) and inserting in lieu thereof a period; and
                (D) by striking out subparagraph (C).
        SEC. 265. ELIMINATION OF REPORT ON THE USE OF COMPETITIVE
          PROCEDURES FOR THE AWARD OF CERTAIN CONTRACTS TO COLLEGES AND
          UNIVERSITIES.
        Section 2361 of title 10, United States Code, is amended by
    striking out subsection (c).
        SEC. 266. PILOT PROGRAM FOR TRANSFER OF DEFENSE TECHNOLOGY
          INFORMATION TO PRIVATE INDUSTRY.
        (a) Program Required.--The Secretary of Defense shall carry out a
    pilot program to demonstrate online transfers of information on defense
    technologies to businesses in the private sector through an interactive
    data network involving Small Business Development Centers of
    institutions of higher education.
        (b) Computerized Data Base of Defense Technologies.--(1) Under the
    pilot program, the Secretary shall enter into an agreement with the
    head of an eligible institution of higher education that provides for
    such institution--
            (A) to develop and maintain a computerized data base of
        information on defense technologies;
            (B) to make such information available online to--
                (i) businesses; and
                (ii) other institutions of higher education entering into
            partnerships with the Secretary under subsection (c).
        (2) The online accessibility may be established by means of any of,
    or any combination of, the following:
            (A) Digital teleconferencing.
            (B) International Signal Digital Network lines.
            (C) Direct modem hookup.
        (c) Partnership Network.--Under the pilot program, the Secretary
    shall seek to enter into agreements with the heads of several eligible
    institutions of higher education having strong business education
    programs to provide for the institutions of higher education entering
    into such agreements--
            (1) to establish interactive computer links with the data base
        developed and maintained under subsection (b); and
            (2) to assist the Secretary in making information on defense
        technologies available online to the broadest practicable number,
        types, and sizes of businesses.
        (d) Eligible Institutions.--For the purposes of this section, an
    institution of higher education is eligible to enter into an agreement
    under subsection (b) or (c) if the institution has a Small Business
    Development Center.
        (e) Defense Technologies Covered.--(1) The Secretary shall
    designate the technologies to be covered by the pilot program from
    among the existing and experimental technologies that the Secretary
    determines--
            (A) are useful in meeting Department of Defense needs; and
            (B) should be made available under the pilot program to
        facilitate the satisfaction of such needs by private sector
        sources.
        (2) Technologies covered by the program should include technologies
    useful for defense purposes that can also be used for nondefense
    purposes (with or without modification).
        (f) Definitions.--In this section:
            (1) The term ``Small Business Development Center'' means a
        small business development center established pursuant to section
        21 of the Small Business Act (15 U.S.C. 648).
            (2) The term ``defense technology'' means a technology
        designated by the Secretary of Defense under subsection (d).
            (3) The term ``partnership'' means an agreement entered into
        under subsection (c).
        (g) Termination of Pilot Program.--The pilot program shall
    terminate one year after the Secretary enters into an agreement under
    subsection (b).
        (h) Authorization of Appropriations.--Of the amount authorized to
    be appropriated under section 201(4) for university research
    initiatives, $3,000,000 is available for the pilot program.
        SEC. 267. RESEARCH UNDER TRANSACTIONS OTHER THAN CONTRACTS AND
          GRANTS.
        (a) Conditions for Use of Authority.--Subsection (e) of section
    2371 of title 10, United States Code, is amended--
            (1) by redesignating paragraphs (1) and (2) as subparagraphs
        (A) and (B);
            (2) by inserting ``and'' after the semicolon at the end of
        subparagraph (A), as so redesignated;
            (3) by striking out ``; and'' at the end of subparagraph (B),
        as so redesignated, and inserting in lieu thereof a period;
            (4) by inserting ``(1)'' after ``(e) Conditions.--''; and
            (5) by striking out paragraph (3) and inserting in lieu thereof
        the following:
        ``(2) A cooperative agreement containing a clause under subsection
    (d) or a transaction authorized by subsection (a) may be used for a
    research project when the use of a standard contract, grant, or
    cooperative agreement for such project is not feasible or
    appropriate.''.
        (b) Revised Requirement for Annual Report.--Section 2371 of such
    title is amended by striking out subsection (h) and inserting in lieu
    thereof the following:
        ``(h) Annual Report.--(1) Not later than 90 days after the end of
    each fiscal year, the Secretary of Defense shall submit to the
    Committee on Armed Services of the Senate and the Committee on National
    Security of the House of Representatives a report on the use by the
    Department of Defense during such fiscal year of--
            ``(A) cooperative agreements authorized under section 2358 of
        this title that contain a clause under subsection (d); and
            ``(B) transactions authorized by subsection (a).
        ``(2) The report shall include, with respect to the cooperative
    agreements and other transactions covered by the report, the following:
            ``(A) The technology areas in which research projects were
        conducted under such agreements or other transactions.
            ``(B) The extent of the cost-sharing among Federal Government
        and non-Federal sources.
            ``(C) The extent to which the use of the cooperative agreements
        and other transactions--
                ``(i) has contributed to a broadening of the technology and
            industrial base available for meeting Department of Defense
            needs; and
                ``(ii) has fostered within the technology and industrial
            base new relationships and practices that support the national
            security of the United States.
            ``(D) The total amount of payments, if any, that were received
        by the Federal Government during the fiscal year covered by the
        report pursuant to a clause described in subsection (d) that was
        included in the cooperative agreements and other transactions, and
        the amount of such payments, if any, that were credited to each
        account established under subsection (f).''.
        (c) Division of Section Into Distinct Provisions by Subject
    Matter.--(1) Chapter 139 of title 10, United States Code, is amended--
            (A) by inserting before the last subsection of section 2371
        (relating to cooperative research and development agreements under
        the Stevenson-Wydler Technology Innovation Act of 1980) the
        following:
    ``Sec. 2371a. Cooperative research and development agreements under
          Stevenson-Wydler Technology Innovation Act of 1980'';
            (B) in section 2371a (as designated by the amendment made by
        subparagraph (A)), by striking out ``(i) Cooperative Research and
        Development Agreements Under Stevenson-Wydler Technology Innovation
        Act of 1980.--''; and
            (C) in the table of sections at the beginning of such chapter,
        by inserting after the item relating to section 2371 the following:

    ``2371a. Cooperative research and development agreements under
    Stevenson-Wydler Technology Innovation Act of 1980.''.

        (2) Section 2358(d) of such title is amended by striking out
    ``section 2371'' and inserting in lieu thereof ``sections 2371 and
    2371a''.

    SEC. 268. DESALTING TECHNOLOGIES.

        (a) Findings.--Congress makes the following findings:
            (1) Access to scarce fresh water is likely to be a cause of
        future military conflicts in the Middle East and has a direct
        impact on stability and security in the region.
            (2) The Middle East is an area of vital and strategic
        importance to the United States.
            (3) The United States has played a military role in the Middle
        East, most recently in the Persian Gulf War, and may likely be
        called upon again to deter aggression in the region.
            (4) United States troops have used desalting technologies to
        guarantee the availability of fresh water in past deployments in
        the Middle East.
            (5) Adequate, efficient, and cheap access to high-quality fresh
        water will be vital to maintaining the readiness and sustainability
        of troops of both the United States and its allies.
        (b) Sense of Congress.--It is the sense of Congress that, as
    improved access to fresh water will be an important factor in helping
    prevent future conflicts in the Middle East, the United States should,
    in cooperation with its allies, promote and invest in technologies to
    reduce the costs of converting saline water into fresh water.
        (c) Funding for Research and Development.--Of the amounts
    authorized to be appropriated by this title, the Secretary shall place
    greater emphasis on making funds available for research and development
    into efficient and economical processes and methods for converting
    saline water into fresh water.
        SEC. 269. EVALUATION OF DIGITAL VIDEO NETWORK EQUIPMENT USED IN
          OLYMPIC GAMES.
        (a) Evaluation.--The Secretary of Defense shall evaluate the
    digital video network equipment used in the 1996 Olympic games to
    determine whether such equipment would be the most appropriate
    equipment for use as a test bed for the military application of
    commercial off-the-shelf advanced technology linking multiple
    continents, multiple satellites, and multiple theaters of operations by
    compressed digital audio and visual broadcasting technology.
        (b) Report.--Not later than April 1, 1997, the Secretary of Defense
    shall submit to Congress a report on the results of the evaluation
    conducted under subsection (a).
        SEC. 270. ANNUAL JOINT WARFIGHTING SCIENCE AND TECHNOLOGY PLAN.
        (a) Annual Plan Required.--On March 1 of each year, the Secretary
    of Defense shall submit to the Committee on Armed Services of the
    Senate and the Committee on National Security of the House of
    Representatives a plan for ensuring that the science and technology
    program of the Department of Defense supports the development of the
    future joint warfighting capabilities identified as priority
    requirements for the Armed Forces.
        (b) First Plan.--The first plan under subsection (a) shall be
    submitted not later than March 1, 1997.

             Subtitle E--National Oceanographic Partnership Program

    SEC. 281. FINDINGS.

        Congress finds the following:
            (1) The oceans and coastal areas of the United States are among
        the Nation's most valuable natural resources, making substantial
        contributions to economic growth, quality of life, and national
        security.
            (2) Oceans drive global and regional climate. Hence, they
        contain information affecting agriculture, fishing, and the
        prediction of severe weather.
            (3) Understanding of the oceans through basic and applied
        research is essential for using the oceans wisely and protecting
        their limited resources. Therefore, the United States should
        maintain its world leadership in oceanography as one key to its
        competitive future.
            (4) Ocean research and education activities take place within
        Federal agencies, academic institutions, and industry. These
        entities often have similar requirements for research facilities,
        data, and other resources (such as oceanographic research vessels).
            (5) The need exists for a formal mechanism to coordinate
        existing partnerships and establish new partnerships for the
        sharing of resources, intellectual talent, and facilities in the
        ocean sciences and education, so that optimal use can be made of
        this most important natural resource for the well-being of all
        Americans.

    SEC. 282. NATIONAL OCEANOGRAPHIC PARTNERSHIP PROGRAM.

        (a) Program Required.--(1) Subtitle C of title 10, United States
    Code, is amended by adding after chapter 663 the following new chapter:

           ``CHAPTER 665--NATIONAL OCEANOGRAPHIC PARTNERSHIP PROGRAM

    ``Sec.
    ``7901. National Oceanographic Partnership Program.
    ``7902. National Ocean Research Leadership Council.
    ``7903. Ocean Research Advisory Panel.

    ``Sec. 7901. National Oceanographic Partnership Program

        ``(a) Establishment.--The Secretary of the Navy shall establish a
    program to be known as the `National Oceanographic Partnership
    Program'.
        ``(b) Purposes.--The purposes of the program are as follows:
            ``(1) To promote the national goals of assuring national
        security, advancing economic development, protecting quality of
        life, and strengthening science education and communication through
        improved knowledge of the ocean.
            ``(2) To coordinate and strengthen oceanographic efforts in
        support of those goals by--
                ``(A) identifying and carrying out partnerships among
            Federal agencies, academia, industry, and other members of the
            oceanographic scientific community in the areas of data,
            resources, education, and communication; and
                ``(B) reporting annually to Congress on the program.

    ``Sec. 7902. National Ocean Research Leadership Council

        ``(a) Council.--There is a National Ocean Research Leadership
    Council (hereinafter in this chapter referred to as the `Council').
        ``(b) Membership.--The Council is composed of the following
    members:
            ``(1) The Secretary of the Navy.
            ``(2) The Administrator of the National Oceanic and Atmospheric
        Administration.
            ``(3) The Director of the National Science Foundation.
            ``(4) The Administrator of the National Aeronautics and Space
        Administration.
            ``(5) The Deputy Secretary of Energy.
            ``(6) The Administrator of the Environmental Protection Agency.
            ``(7) The Commandant of the Coast Guard.
            ``(8) The Director of the Geological Survey of the Department
        of the Interior.
            ``(9) The Director of the Defense Advanced Research Projects
        Agency.
            ``(10) The Director of the Minerals Management Service of the
        Department of the Interior.
            ``(11) The President of the National Academy of Sciences, the
        President of the National Academy of Engineering, and the President
        of the Institute of Medicine.
            ``(12) The Director of the Office of Science and Technology.
            ``(13) The Director of the Office of Management and Budget.
            ``(14) One member appointed by the chairman from among
        individuals who will represent the views of ocean industries.
            ``(15) One member appointed by the chairman from among
        individuals who will represent the views of State governments.
            ``(16) One member appointed by the chairman from among
        individuals who will represent the views of academia.
            ``(17) One member appointed by the chairman from among
        individuals who will represent such other views as the chairman
        considers appropriate.
        ``(c) Chairman and Vice Chairman.--(1) Except as provided in
    paragraph (2), the chairman and vice chairman of the Council shall be
    appointed every two years by a selection committee of the Council
    composed of, at a minimum, the Secretary of the Navy, the Administrator
    of the National Oceanic and Atmospheric Administration, and the
    Director of the National Science Foundation. The term of office of the
    chairman and vice chairman shall be two years. A person who has
    previously served as chairman or vice chairman may be reappointed.
        ``(2) The first chairman of the Council shall be the Secretary of
    the Navy. The first vice chairman of the Council shall be the
    Administrator of the National Oceanic and Atmospheric Administration.
        ``(d) Term of Office.--The term of office of a member of the
    Council appointed under paragraph (14), (15), (16), or (17) of
    subsection (b) shall be two years, except that any person appointed to
    fill a vacancy occurring before the expiration of the term for which
    his predecessor was appointed shall be appointed for the remainder of
    such term.
        ``(e) Responsibilities.--The Council shall have the following
    responsibilities:
            ``(1) To prescribe policies and procedures to implement the
        National Oceanographic Partnership Program.
            ``(2) To review, select, and identify and allocate funds for
        partnership projects for implementation under the program, based on
        the following criteria:
                ``(A) Whether the project addresses critical research
            objectives or operational goals, such as data accessibility and
            quality assurance, sharing of resources, education, or
            communication.
                ``(B) Whether the project has, or is designed to have,
            broad participation within the oceanographic community.
                ``(C) Whether the partners have a long-term commitment to
            the objectives of the project.
                ``(D) Whether the resources supporting the project are
            shared among the partners.
                ``(E) Whether the project has been subjected to adequate
            peer review.
            ``(3) To assess whether there is a need for a facility (or
        facilities) to provide national centralization of oceanographic
        data, and to establish such a facility or facilities if determined
        necessary. In conducting the assessment, the Council shall review,
        at a minimum, the following:
                ``(A) The need for a national oceanographic data center.
                ``(B) The need for a national coastal data center.
                ``(C) Accessibility by potential users of such centers.
                ``(D) Preexisting facilities and expertise.
        ``(f) Annual Report.--Not later than March 1 of each year, the
    Council shall submit to Congress a report on the National Oceanographic
    Partnership Program. The report shall contain the following:
            ``(1) A description of activities of the program carried out
        during the fiscal year before the fiscal year in which the report
        is prepared, together with a list of the members of the Ocean
        Research Advisory Panel and any working groups in existence during
        the fiscal year covered.
            ``(2) A general outline of the activities planned for the
        program during the fiscal year in which the report is prepared.
            ``(3) A summary of projects continued from the fiscal year
        before the fiscal year in which the report is prepared and projects
        expected to be started during the fiscal year in which the report
        is prepared and during the following fiscal year.
            ``(4) A description of the involvement of the program with
        Federal interagency coordinating entities.
            ``(5) The amounts requested, in the budget submitted to
        Congress pursuant to section 1105(a) of title 31, United States
        Code, for the fiscal year following the fiscal year in which the
        report is prepared, for the programs, projects, and activities of
        the program and the estimated expenditures under such programs,
        projects, and activities during such following fiscal year.
        ``(g) Partnership Program Office.--(1) The Council shall establish
    a partnership program office for the National Oceanographic Partnership
    Program. The Council shall use competitive procedures in selecting an
    operator for the partnership program office.
        ``(2) The Council shall assign the following duties to the
    partnership program office:
            ``(A) To establish and oversee working groups to propose
        partnership projects to the Council and advise the Council on such
        projects.
            ``(B) To manage the process for proposing partnership projects
        to the Council, including managing peer review of such projects.
            ``(C) To submit to the Council an annual report on the status
        of all partnership projects and activities of the office.
            ``(D) Any additional duties for the administration of the
        National Oceanographic Partnership Program that the Council
        considers appropriate.
        ``(3) The Council shall supervise the performance of duties by the
    partnership program office.
        ``(h) Contract and Grant Authority.--The Council may authorize one
    or more of the departments or agencies represented on the Council to
    enter into contracts and make grants, using funds appropriated pursuant
    to an authorization of appropriations for the National Oceanographic
    Partnership Program, for the purpose of implementing the program and
    carrying out the responsibilities of the Council.
        ``(i) Establishment and Forms of Partnership Projects.--(1) A
    partnership project under the National Oceanographic Partnership
    Program may be established by any instrument that the Council considers
    appropriate, including a memorandum of understanding, a cooperative
    research and development agreement, and any similar instrument.
        ``(2) Projects under the program may include demonstration
    projects.

    ``Sec. 7903. Ocean Research Advisory Panel

        ``(a) Establishment.--The Council shall establish an Ocean Research
    Advisory Panel consisting of not less than 10 and not more than 18
    members appointed by the Council from among persons eminent in the
    fields of marine science or marine policy, or related fields, and who
    are representative, at a minimum, of the interests of government,
    academia, and industry.
        ``(b) Responsibilities.--The Council shall assign to the Advisory
    Panel responsibilities that the Council considers appropriate.''.
        (2) The table of chapters at the beginning of subtitle C of title
    10, United States Code, and the table of chapters at the beginning of
    part IV of such subtitle, are each amended by inserting after the item
    relating to chapter 663 the following:

    ``665. National Oceanographic Partnership Program................7901''.

        (b) Initial Appointments of Council Members.--The Secretary of the
    Navy shall make the appointments required by section 7902(b) of title
    10, United States Code, as added by subsection (a)(1), not later than
    December 1, 1996.
        (c) Initial Appointments of Advisory Panel Members.--The National
    Ocean Research Leadership Council established by section 7902 of title
    10, United States Code, as added by subsection (a)(1), shall make the
    appointments required by section 7903 of such title not later than
    January 1, 1997.
        (d) First Annual Report of National Ocean Research Leadership
    Council.--The first annual report required by section 7902(f) of title
    10, United States Code, as added by subsection (a)(1), shall be
    submitted to Congress not later than March 1, 1997. The first report
    shall include, in addition to the information required by such section,
    information about the terms of office, procedures, and responsibilities
    of the Ocean Research Advisory Panel established by the Council.
        (e) Authorization.--(1) Of the amount authorized to be appropriated
    to the Department of the Navy by section 201(2), $13,000,000 shall be
    available for the National Oceanographic Partnership Program
    established pursuant to section 7901 of title 10, United States Code,
    as added by subsection (a)(1).
        (2) Of the amount authorized to be appropriated to the Department
    of the Navy by section 301(2), $7,500,000 shall be available for such
    program.
        (f) Funding for Program Office.--Of the amount appropriated for the
    National Oceanographic Partnership Program for fiscal year 1997, at
    least $500,000, or 3 percent of the amount appropriated, whichever is
    greater, shall be available for operations of the partnership program
    office established pursuant to section 7902(g) of title 10, United
    States Code, as added by subsection (a)(1), for such fiscal year.

                      TITLE III--OPERATION AND MAINTENANCE

                   Subtitle A--Authorization of Appropriations

    Sec. 301. Operation and maintenance funding.
    Sec. 302. Working capital funds.
    Sec. 303. Armed Forces Retirement Home.
    Sec. 304. Transfer from National Defense Stockpile Transaction Fund.
    Sec. 305. Civil Air Patrol Corporation.
    Sec. 306. Availability of additional funds for antiterrorism activities.
    Sec. 307. Nonlethal weapons capabilities.
    Sec. 308. SR-71 contingency reconnaissance force.

                       Subtitle B--Depot-Level Activities

    Sec. 311. Extension of authority for aviation depots and naval shipyards
    to engage in defense-related production and services.
    Sec. 312. Test programs for modernization-through-spares.

                      Subtitle C--Environmental Provisions

    Sec. 321. Defense contractors covered by requirement for reports on
    contractor reimbursement costs for response actions.
    Sec. 322. Establishment of separate environmental restoration accounts
    for each military department.
    Sec. 323. Payment of stipulated penalties assessed under CERCLA.
    Sec. 324. Shipboard solid waste control.
    Sec. 325. Authority to develop and implement land use plans for Defense
    Environmental Restoration program.
    Sec. 326. Pilot program to test alternative technology for limiting air
    emissions during shipyard blasting and coating operations.
    Sec. 327. Agreements for services of other agencies in support of
    environmental technology certification.
    Sec. 328. Repeal of redundant notification and consultation requirements
    regarding remedial investigations and feasibility studies at certain
    installations to be closed under the base closure laws.
    Sec. 329. Authority for agreements with Indian tribes for services under
    environmental restoration program.
    Sec. 330. Authority to withhold listing of Federal facilities on
    National Priorities List.
    Sec. 331. Clarification of meaning of uncontaminated property for
    purposes of transfer by the United States.
    Sec. 332. Conservation and cultural activities.
    Sec. 333. Navy program to monitor ecological effects of organotin.
    Sec. 334. Authority to transfer contaminated Federal property before
    completion of required response actions.

       Subtitle D--Commissaries and Nonappropriated Fund Instrumentalities

    Sec. 341. Contracts with other agencies to provide or obtain goods and
    services to promote efficient operation and management of exchanges and
    morale, welfare, and recreation activities.
    Sec. 342. Noncompetitive procurement of brand-name commercial items for
    resale in commissary stores.
    Sec. 343. Prohibition of sale or rental of sexually explicit material.

         Subtitle E--Performance of Functions by Private-Sector Sources

    Sec. 351. Extension of requirement for competitive procurement of
    printing and duplication services.
    Sec. 352. Reporting requirements under demonstration project for
    purchase of fire, security, police, public works, and utility services
    from local government agencies.

                            Subtitle F--Other Matters

    Sec. 361. Authority for use of appropriated funds for recruiting
    functions.
    Sec. 362. Training of members of the uniformed services at non-
    Government facilities.
    Sec. 363. Requirement for preparation of plan for improved operation of
    working-capital funds and effect of failure to produce an approved plan.
    Sec. 364. Increase in capital asset threshold under Defense Business
    Operations Fund.
    Sec. 365. Expansion of authority to donate unusable food.
    Sec. 366. Assistance to committees involved in inauguration of the
    President.
    Sec. 367. Department of Defense support for sporting events.
    Sec. 368. Storage of motor vehicle in lieu of transportation.
    Sec. 369. Security protections at Department of Defense facilities in
    National Capital Region.
    Sec. 370. Administration of midshipmen's store and other Naval Academy
    support activities as nonappropriated fund instrumentality.
    Sec. 371. Reimbursement under agreement for instruction of civilian
    students at Foreign Language Institute of the Defense Language
    Institute.
    Sec. 372. Assistance to local educational agencies that benefit
    dependents of members of the Armed Forces and Department of Defense
    civilian employees.
    Sec. 373. Renovation of building for Defense Finance and Accounting
    Service Center, Fort Benjamin Harrison, Indiana.
    Sec. 374. Food donation pilot program at service academies.
    Sec. 375. Authority of Air National Guard to provide certain services at
    Lincoln Municipal Airport, Lincoln, Nebraska.
    Sec. 376. Technical amendment regarding Impact Aid program.

                  Subtitle A--Authorization of Appropriations

    SEC. 301. OPERATION AND MAINTENANCE FUNDING.

        Funds are hereby authorized to be appropriated for fiscal year 1997
    for the use of the Armed Forces and other activities and agencies of
    the Department of Defense for expenses, not otherwise provided for, for
    operation and maintenance, in amounts as follows:
            (1) For the Army, $18,264,406,000.
            (2) For the Navy, $20,387,737,000.
            (3) For the Marine Corps, $2,421,007,000.
            (4) For the Air Force, $17,635,335,000.
            (5) For Defense-wide activities, $9,912,962,000.
            (6) For the Army Reserve, $1,136,436,000.
            (7) For the Naval Reserve, $858,927,000.
            (8) For the Marine Corps Reserve, $113,367,000.
            (9) For the Air Force Reserve, $1,499,553,000.
            (10) For the Army National Guard, $2,277,477,000.
            (11) For the Air National Guard, $2,711,173,000.
            (12) For the Defense Inspector General, $136,501,000.
            (13) For the United States Court of Appeals for the Armed
        Forces, $6,797,000.
            (14) For Environmental Restoration, Army, $356,916,000.
            (15) For Environmental Restoration, Navy, $302,900,000.
            (16) For Environmental Restoration, Air Force, $414,700,000.
            (17) For Environmental Restoration, Defense-wide, $258,500,000.
            (18) For Overseas Humanitarian, Disaster, and Civic Aid
        programs, $54,544,000.
            (19) For Drug Interdiction and Counter-drug Activities,
        Defense-wide, $796,524,000.
            (20) For the Kaho'olawe Island Conveyance, Remediation, and
        Environmental Restoration Trust Fund, $10,000,000.
            (21) For Medical Programs, Defense, $9,833,288,000.
            (22) For Cooperative Threat Reduction programs, $364,900,000.
            (23) For Domestic Emergency Assistance programs, $97,000,000.
            (24) For OPLAN 34A-35 P.O.W. payments, $20,000,000.

    SEC. 302. WORKING CAPITAL FUNDS.

        Funds are hereby authorized to be appropriated for fiscal year 1997
    for the use of the Armed Forces and other activities and agencies of
    the Department of Defense for providing capital for working capital and
    revolving funds in amounts as follows:
            (1) For the Defense Business Operations Fund, $947,900,000.
            (2) For the National Defense Sealift Fund, $1,118,002,000.

    SEC. 303. ARMED FORCES RETIREMENT HOME.

        There is hereby authorized to be appropriated for fiscal year 1997
    from the Armed Forces Retirement Home Trust Fund the sum of $57,300,000
    for the operation of the Armed Forces Retirement Home, including the
    United States Soldiers' and Airmen's Home and the Naval Home.
        SEC. 304. TRANSFER FROM NATIONAL DEFENSE STOCKPILE TRANSACTION
          FUND.
        (a) Transfer Authority.--To the extent provided in appropriations
    Acts, not more than $150,000,000 is authorized to be transferred from
    the National Defense Stockpile Transaction Fund to operation and
    maintenance accounts for fiscal year 1997 in amounts as follows:
            (1) For the Army, $50,000,000.
            (2) For the Navy, $50,000,000.
            (3) For the Air Force, $50,000,000.
        (b) Treatment of Transfers.--Amounts transferred under this
    section--
            (1) shall be merged with, and be available for the same
        purposes and the same period as, the amounts in the accounts to
        which transferred; and
            (2) may not be expended for an item that has been denied
        authorization of appropriations by Congress.
        (c) Relationship to Other Transfer Authority.--The transfer
    authority provided in this section is in addition to the transfer
    authority provided in section 1001.

    SEC. 305. CIVIL AIR PATROL CORPORATION.

        (a) Funding.--Of the amount authorized to be appropriated pursuant
    to section 301 for operation and maintenance, $14,526,000 shall be
    available for the Civil Air Patrol Corporation.
        (b) Amount for Certain Operations.--Of the amount made available to
    the Civil Air Patrol Corporation pursuant to subsection (a), not less
    than 25 percent of such amount shall be reserved to cover the costs of
    search and rescue missions and disaster relief missions.
        SEC. 306. AVAILABILITY OF ADDITIONAL FUNDS FOR ANTITERRORISM
          ACTIVITIES.
        Of the amount authorized to be appropriated pursuant to section 301
    for operation and maintenance, $14,000,000 shall be available to the
    Secretary of Defense for activities designed to meet the antiterrorism
    responsibilities of the Department of Defense, including activities
    related to intelligence support, physical security measures, and
    education and training regarding antiterrorism. The amount made
    available by this section is in addition to amounts otherwise made
    available by this Act for antiterrorism activities.

    SEC. 307. NONLETHAL WEAPONS CAPABILITIES.

        Of the amount authorized to be appropriated pursuant to section
    301, $5,000,000 shall be available for the immediate procurement of
    nonlethal weapons capabilities to meet existing deficiencies in
    inventories of such capabilities, of which--
            (1) $2,000,000 shall be available for the Army; and
            (2) $3,000,000 shall be available for the Marine Corps.

    SEC. 308. SR-71 CONTINGENCY RECONNAISSANCE FORCE.

        Of the funds authorized to be appropriated by section 301(4),
    $30,000,000 is authorized to be made available for the SR-71
    contingency reconnaissance force.

                       Subtitle B--Depot-Level Activities

        SEC. 311. EXTENSION OF AUTHORITY FOR AVIATION DEPOTS AND NAVAL
          SHIPYARDS TO ENGAGE IN DEFENSE-RELATED PRODUCTION AND SERVICES.
        Section 1425(e) of the National Defense Authorization Act for
    Fiscal Year 1991 (Public Law 101-510; 104 Stat. 1684) is amended by
    striking out ``September 30, 1996'' and inserting in lieu thereof
    ``September 30, 1997''.

    SEC. 312. TEST PROGRAMS FOR MODERNIZATION-THROUGH-SPARES.

        Not later than 60 days after the date of the enactment of this Act,
    the Secretary of the Army shall submit to the Committee on Armed
    Services of the Senate and the Committee on National Security of the
    House of Representatives a report on the steps that the Secretary has
    taken to ensure that each program included in the modernization-
    through-spares program of the Army is conducted in accordance with--
            (1) the competition requirements in section 2304 of title 10,
        United States Code;
            (2) the core logistics requirements in section 2464 of such
        title;
            (3) the public-private competition requirements in section 2469
        of such title; and
            (4) requirements relating to contract bundling and spare parts
        breakout in subsections (a) and (l) of section 15 of the Small
        Business Act (15 U.S.C. 644) and regulations implementing such
        subsections in the Defense Federal Acquisition Regulation
        Supplement.

                      Subtitle C--Environmental Provisions

        SEC. 321. DEFENSE CONTRACTORS COVERED BY REQUIREMENT FOR REPORTS ON
          CONTRACTOR REIMBURSEMENT COSTS FOR RESPONSE ACTIONS.
        Section 2706(d)(1)(A) of title 10, United States Code, is amended
    by striking out ``100'' and inserting in lieu thereof ``20''.
        SEC. 322. ESTABLISHMENT OF SEPARATE ENVIRONMENTAL RESTORATION
          ACCOUNTS FOR EACH MILITARY DEPARTMENT.
        (a) Establishment.--(1) Section 2703 of title 10, United States
    Code, is amended to read as follows:

    ``Sec. 2703. Environmental restoration accounts

        ``(a) Establishment of Accounts.--There are hereby established in
    the Department of Defense the following accounts:
            ``(1) An account to be known as the `Environmental Restoration
        Account, Defense'.
            ``(2) An account to be known as the `Environmental Restoration
        Account, Army'.
            ``(3) An account to be known as the `Environmental Restoration
        Account, Navy'.
            ``(4) An account to be known as the `Environmental Restoration
        Account, Air Force'.
        ``(b) Obligation of Authorized Amounts.--Funds authorized for
    deposit in an account under subsection (a) may be obligated or expended
    from the account only in order to carry out the environmental
    restoration functions of the Secretary of Defense and the Secretaries
    of the military departments under this chapter and under any other
    provision of law. Funds so authorized shall remain available until
    expended.
        ``(c) Budget Reports.--In proposing the budget for any fiscal year
    pursuant to section 1105 of title 31, United States Code, the President
    shall set forth separately the amounts requested for environmental
    restoration programs of the Department of Defense and of each of the
    military departments under this chapter and under any other Act.
        ``(d) Credit of Amounts Recovered.--The following amounts shall be
    credited to the appropriate environmental restoration account:
            ``(1) Amounts recovered under CERCLA for response actions.
            ``(2) Any other amounts recovered from a contractor, insurer,
        surety, or other person to reimburse the Department of Defense or a
        military department for any expenditure for environmental response
        activities.
        ``(e) Payments of Fines and Penalties.--None of the funds
    appropriated to the Environmental Restoration Account, Defense, for
    fiscal years 1995 through 1999, or to any environmental restoration
    account of a military department for fiscal years 1997 through 1999,
    may be used for the payment of a fine or penalty (including any
    supplemental environmental project carried out as part of such penalty)
    imposed against the Department of Defense or a military department
    unless the act or omission for which the fine or penalty is imposed
    arises out of an activity funded by the environmental restoration
    account concerned and the payment of the fine or penalty has been
    specifically authorized by law.''.
        (2) The table of sections at the beginning of chapter 160 of title
    10, United States Code, is amended by striking out the item relating to
    section 2703 and inserting in lieu thereof the following new item:
    ``2703. Environmental restoration accounts.''.

        (b) References.--Any reference to the Defense Environmental
    Restoration Account in any Federal law, Executive Order, regulation,
    delegation of authority, or document shall be deemed to refer to the
    appropriate environmental restoration account established under section
    2703(a)(1) of title 10, United States Code (as amended by subsection
    (a)(1)).
        (c) Conforming Amendment.--Section 2705(g)(1) of title 10, United
    States Code, is amended by striking out ``the Defense Environmental
    Restoration Account established'' and inserting in lieu thereof ``the
    environmental restoration account concerned''.
        (d) Treatment of Unobligated Balances.--Any unobligated balances
    that remain in the Defense Environmental Restoration Account under
    section 2703(a) of title 10, United States Code, as of the effective
    date specified in subsection (e) shall be transferred on such date to
    the Environmental Restoration Account, Defense, established under
    section 2703(a)(1) of title 10, United States Code (as amended by
    subsection (a)(1)).
        (e) Effective Date.--The amendments made by this section shall take
    effect on the later of--
            (1) October 1, 1996; or
            (2) the date of the enactment of this Act.
        SEC. 323. PAYMENTS OF STIPULATED PENALTIES ASSESSED UNDER CERCLA.
        (a) Authority.--The Secretary of Defense may pay the following:
            (1) Stipulated civil penalties, to the Hazardous Substance
        Superfund established under section 9507 of the Internal Revenue
        Code of 1986, in amounts, and using funds, as follows:
                (A) Using funds authorized to be appropriated to the
            Environmental Restoration Account, Army, established under
            section 2703(a)(2) of title 10, United States Code (as amended
            by section 322 of this Act)--
                    (i) not more than $34,000 assessed against Fort Riley,
                Kansas, under CERCLA; and
                    (ii) not more than $37,500 assessed against Lake City
                Army Ammunition Plant, Missouri, under CERCLA.
                (B) Using funds authorized to be appropriated to the
            Environmental Restoration Account, Navy, established under
            section 2703(a)(3) of that title, as so amended, not more than
            $30,000 assessed against the Naval Education and Training
            Center, Newport, Rhode Island, under CERCLA.
                (C) Using funds authorized to be appropriated to the
            Environmental Restoration Account, Air Force, established under
            section 2703(a)(4) of that title, as so amended--
                    (i) not more than $55,000 assessed against the
                Massachusetts Military Reservation, Massachusetts, under
                CERCLA; and
                    (ii) not more than $10,000 assessed against F.E. Warren
                Air Force Base, Wyoming, under CERCLA.
            (2) Using funds authorized to be appropriated to the
        Environmental Restoration Account, Air Force, established under
        section 2703(a)(4) of that title, as so amended, not more than
        $500,000 to carry out one environmental restoration project, as
        part of a negotiated agreement in lieu of stipulated penalties
        assessed under CERCLA against the Massachusetts Military
        Reservation, Massachusetts.
        (b) CERCLA Defined.--In this section, the term ``CERCLA'' means the
    Comprehensive Environmental Response, Compensation, and Liability Act
    of 1980 (42 U.S.C. 9601 et seq.).

    SEC. 324. SHIPBOARD SOLID WASTE CONTROL.

        (a) In General.--Section 3(c) of the Act to Prevent Pollution from
    Ships (33 U.S.C. 1902(c)) is amended--
            (1) in paragraph (1), by striking out ``Not later than'' and
        inserting in lieu thereof ``Except as provided in paragraphs (2)
        and (3), not later than''; and
            (2) by striking out paragraphs (2), (3), and (4) and inserting
        in lieu thereof the following:
        ``(2)(A) Subject to subparagraph (B), any ship described in
    subparagraph (C) may discharge, without regard to the special area
    requirements of Regulation 5 of Annex V to the Convention, the
    following non-plastic, non-floating garbage:
            ``(i) A slurry of seawater, paper, cardboard, or food waste
        that is capable of passing through a screen with openings no larger
        than 12 millimeters in diameter.
            ``(ii) Metal and glass that have been shredded and bagged so as
        to ensure negative buoyancy.
        ``(B)(i) Garbage described in subparagraph (A)(i) may not be
    discharged within 3 nautical miles of land.
        ``(ii) Garbage described in subparagraph (A)(ii) may not be
    discharged within 12 nautical miles of land.
        ``(C) This paragraph applies to any ship that is owned or operated
    by the Department of the Navy that, as determined by the Secretary of
    the Navy--
            ``(i) has unique military design, construction, manning, or
        operating requirements; and
            ``(ii) cannot fully comply with the special area requirements
        of Regulation 5 of Annex V to the Convention because compliance is
        not technologically feasible or would impair the operations or
        operational capability of the ship.
        ``(3)(A) Not later than December 31, 2000, the Secretary of the
    Navy shall prescribe and publish in the Federal Register standards to
    ensure that each ship described in subparagraph (B) is, to the maximum
    extent practicable without impairing the operations or operational
    capabilities of the ship, operated in a manner that is consistent with
    the special area requirements of Regulation 5 of Annex V to the
    Convention.
        ``(B) Subparagraph (A) applies to surface ships that are owned or
    operated by the Department of the Navy that the Secretary plans to
    decommission during the period beginning on January 1, 2001, and ending
    on December 31, 2005.
        ``(C) At the same time that the Secretary publishes standards under
    subparagraph (A), the Secretary shall publish in the Federal Register a
    list of the ships covered by subparagraph (B).''.
        (b) Sense of Congress.--(1) It is the sense of Congress that it
    should be an objective of the Navy to achieve full compliance with
    Annex V to the Convention as part of the Navy's development of ships
    that are environmentally sound.
        (2) In this subsection, the terms ``Convention'' and ``ship'' have
    the meanings given such terms in section 2(a) of the Act to Prevent
    Pollution from Ships (33 U.S.C. 1901(a)).
        (c) Report on Compliance With Annex V to the Convention.--The
    Secretary of Defense shall include in each report on environmental
    compliance activities submitted to Congress under section 2706(b) of
    title 10, United States Code, the following information:
            (1) A list of the ship types, if any, for which the Secretary
        of the Navy has made the determination referred to in paragraph
        (2)(C) of section 3(c) of the Act to Prevent Pollution from Ships,
        as amended by subsection (a)(2) of this section.
            (2) A list of ship types which the Secretary of the Navy has
        determined can comply with Regulation 5 of Annex V to the
        Convention.
            (3) A summary of the progress made by the Navy in implementing
        the requirements of paragraphs (2) and (3) of such section 3(c), as
        so amended.
            (4) A description of any emerging technologies offering the
        potential to achieve full compliance with Regulation 5 of Annex V
        to the Convention.
            (5) The amount and nature of the discharges in special areas,
        not otherwise authorized under the Act to Prevent Pollution from
        Ships (33 U.S.C. 1901 et seq.), during the preceding year from
        ships referred to in section 3(b)(1)(A) of such Act owned or
        operated by the Department of the Navy.
        (d) Publication Regarding Special Area Discharges.--Subparagraph
    (A) of section 3(e)(4) of the Act to Prevent Pollution from Ships (33
    U.S.C. 1902(e)(4)) is amended to read as follows:
                ``(A) Each year, the amount and nature of the discharges in
            special areas, not otherwise authorized under this Act, during
            the preceding year from ships referred to in subsection
            (b)(1)(A) of this section owned or operated by the Department
            of the Navy.''.
        SEC. 325. AUTHORITY TO DEVELOP AND IMPLEMENT LAND USE PLANS FOR
          DEFENSE ENVIRONMENTAL RESTORATION PROGRAM.
        (a) Authority.--The Secretary of Defense may, to the extent
    possible and practical, develop and implement, as part of the Defense
    Environmental Restoration Program provided for in chapter 160 of title
    10, United States Code, a land useplan for any defense site selected by
    the Secretary under subsection (b).
        (b) Selection of Sites.--The Secretary may select up to 10 defense
    sites, from among sites where the Secretary is planning or implementing
    environmental restoration activities, for which land use plans may be
    developed under this section.
        (c) Requirement To Consult With Review Committee or Advisory
    Board.--In developing a land use plan under this section, the Secretary
    shall consult with a technical review committee established pursuant to
    section 2705(c) of title 10, United States Code, a restoration advisory
    board established pursuant to section 2705(d) of such title, a local
    land use redevelopment authority, or another appropriate State agency.
        (d) 50-Year Planning Period.--A land use plan developed under this
    section shall cover a period of at least 50 years.
        (e) Implementation.--For each defense site for which the Secretary
    develops a land use plan under this section, the Secretary shall take
    into account the land use plan in selecting and implementing, in
    accordance with applicable law, environmental restoration activities at
    the site.
        (f) Deadlines.--For each defense site for which the Secretary
    intends to develop a land use plan under this section, the Secretary
    shall develop a draft land use plan by October 1, 1997, and a final
    land use plan by March 15, 1998.
        (g) Definition of Defense Site.--For purposes of this section, the
    term ``defense site'' means (A) any building, structure, installation,
    equipment, pipe or pipeline (including any pipe into a sewer or
    publicly owned treatment works), well, pit, pond, lagoon, impoundment,
    ditch, landfill, storage container, motor vehicle, rolling stock, or
    aircraft under the jurisdiction of the Department of Defense, or (B)
    any site or area under the jurisdiction of the Department of Defense
    where a hazardous substance has been deposited, stored, disposed of, or
    placed, or otherwise come to be located; but does not include any
    consumer product in consumer use or any vessel.
        (h) Report.--In the annual report required under section 2706(a) of
    title 10, United States Code, the Secretary shall include information
    on the land use plans developed under this section and the effect such
    plans have had on environmental restoration activities at the defense
    sites where they have been implemented. The annual report submitted in
    1999 shall include recommendations on whether such land use plans
    should be developed and implemented throughout the Department of
    Defense.
        (i)  Savings Provisions.--(1) Nothing in this section, or in a land
    use plan developed under this section with respect to a defense site,
    shall be construed as requiring any modification to a land use plan
    that was developed before the date of the enactment of this Act.
        (2) Nothing in this section may be construed to affect statutory
    requirements for an environmental restoration or waste management
    activity or project or to modify or otherwise affect applicable
    statutory or regulatory environmental restoration and waste management
    requirements, including substantive standards intended to protect
    public health and the environment, nor shall anything in this section
    be construed to preempt or impair any local land use planning or zoning
    authority or State authority.
        SEC. 326. PILOT PROGRAM TO TEST ALTERNATIVE TECHNOLOGY FOR LIMITING
          AIR EMISSIONS DURING SHIPYARD BLASTING AND COATING OPERATIONS.
        (a) Determination by Secretary of the Navy.--(1) The Secretary of
    the Navy shall make a determination whether the alternative technology
    described in paragraph (2) has the clear potential for significant
    benefit to the Navy. The Secretary shall submit to Congress a
    notification in writing of the determination not later than 60 days
    after the date of the enactment of this Act.
        (2) The technology referred to in paragraph (1) is an alternative
    technology designed to capture and destroy or remove particulate
    emissions and volatile air pollutants that occur during abrasive
    blasting and coating operations at naval shipyards.
        (b) Pilot Program.--If the determination made under subsection
    (a)(1) is in the affirmative, the Secretary shall establish a pilot
    program to test the alternative technology. In conducting the test, the
    Secretary shall seek to demonstrate whether the technology is valid,
    cost effective, and in compliance with environmental laws and
    regulations.
        (c) Report.--Upon completion of the test conducted under the pilot
    program, the Secretary shall submit to the Committee on Armed Services
    of the Senate and the Committee on National Security of the House of
    Representatives a report setting forth in detail the results of the
    test. The report shall include recommendations on whether the
    alternative technology merits implementation at naval shipyards and
    such other recommendations as the Secretary considers appropriate.
        SEC. 327. AGREEMENTS FOR SERVICES OF OTHER AGENCIES IN SUPPORT OF
          ENVIRONMENTAL TECHNOLOGY CERTIFICATION.
        (a) Authority.--Subject to subsection (b), the Secretary of Defense
    may enter into a cooperative agreement with an agency of a State or
    local government to obtain assistance in certifying environmental
    technologies.
        (b) Limitations.--The Secretary of Defense may enter into a
    cooperative agreement with respect to an environmental technology under
    subsection (a) only if the Secretary determines--
            (1) that the technology has clear potential to be of
        significant value to the Department of Defense in carrying out its
        environmental restoration activities; and
            (2) that there is no reasonably available market in the private
        sector for the technology without a certification by the Department
        of Defense, the Environmental Protection Agency, or a State
        environmental agency.
        (c) Types of Assistance.-- The types of assistance that may be
    obtained under subsection (a) include the following:
            (1) Data collection and analysis.
            (2) Technical assistance in conducting a demonstration of an
        environmental technology, including the implementation of quality
        assurance and quality control programs.
        (d) Report.--In the annual report required under section 2706(a) of
    title 10, United States Code, the Secretary of Defense shall include
    the following information with respect to cooperative agreements
    entered into under this section:
            (1) The number of such agreements.
            (2) The number of States in which such agreements have been
        entered into.
            (3) A description of the nature of the technology involved in
        each such agreement.
            (4) The amount of funds obligated or expended by the Department
        of Defense for each such agreement during the year covered by the
        report.
        (e) Termination of Authority.--The authority provided under
    subsection (a) shall terminate five years after the date of the
    enactment of this Act.
        SEC. 328. REPEAL OF REDUNDANT NOTIFICATION AND CONSULTATION
          REQUIREMENTS REGARDING REMEDIAL INVESTIGATIONS AND FEASIBILITY
          STUDIES AT CERTAIN INSTALLATIONS TO BE CLOSED UNDER THE BASE
          CLOSURE LAWS.
        Section 334 of the National Defense Authorization Act for Fiscal
    Years 1992 and 1993 (Public Law 102-190; 105 Stat. 1340; 10 U.S.C. 2687
    note) is repealed.
        SEC. 329. AUTHORITY FOR AGREEMENTS WITH INDIAN TRIBES FOR SERVICES
          UNDER ENVIRONMENTAL RESTORATION PROGRAM.
        Section 2701(d) of title 10, United States Code, is amended--
            (1) in the first sentence of paragraph (1), by striking out ``,
        or with any State or local government agency,'' and inserting in
        lieu thereof ``, with any State or local government agency, or with
        any Indian tribe,''; and
            (2) by adding at the end the following:
            ``(3) Definition.--In this subsection, the term `Indian tribe'
        has the meaning given such term in section 101(36) of the
        Comprehensive Environmental Response, Compensation, and Liability
        Act of 1980 (42 U.S.C. 9601(36)).''.
        SEC. 330. AUTHORITY TO WITHHOLD LISTING OF FEDERAL FACILITIES ON
          NATIONAL PRIORITIES LIST.
        Section 120(d) of the Comprehensive Environmental Response,
    Compensation, and Liability Act of 1980 (42 U.S.C. 9620(d)) is
    amended--
            (1) by redesignating paragraphs (1) and (2) as subparagraphs
        (A) and (B), respectively;
            (2) by striking out ``Not later than 18 months after the
        enactment of the Superfund Amendments and Reauthorization Act of
        1986, the Administrator'' and inserting in lieu thereof the
        following:
            ``(1) In general.--The Administrator'';
            (3) by moving the remainder of the text of paragraph (1), as
        designated by paragraph (2) of this section (including
        subparagraphs (A) and (B), as redesignated by paragraph (1) of this
        section) 2 ems to the right; and
            (4) by striking out ``Such criteria'' and all that follows
        through the end of the subsection and inserting in lieu thereof the
        following:
            ``(2) Application of criteria.--
                ``(A) In general.--Subject to subparagraph (B), the
            criteria referred to in paragraph (1) shall be applied in the
            same manner as the criteria are applied to facilities that are
            owned or operated by persons other than the United States.
                ``(B) Response under other law.--It shall be an appropriate
            factor to be taken into consideration for the purposes of
            section 105(a)(8)(A) that the head of the department, agency,
            or instrumentality that owns or operates a facility has
            arranged with the Administrator or appropriate State
            authorities to respond appropriately, under authority of a law
            other than this Act, to a release or threatened release of a
            hazardous substance.
            ``(3) Completion.--Evaluation and listing under this subsection
        shall be completed in accordance with a reasonable schedule
        established by the Administrator.''.
        SEC. 331. CLARIFICATION OF MEANING OF UNCONTAMINATED PROPERTY FOR
          PURPOSES OF TRANSFER BY THE UNITED STATES.
        Section 120(h)(4)(A) of the Comprehensive Environmental Response,
    Compensation, and Liability Act of 1980 (42 U.S.C. 9620(h)(4)(A)) is
    amended in the first sentence by striking out ``stored for one year or
    more, known to have been released,'' and inserting in lieu thereof
    ``known to have been released''.

    SEC. 332. CONSERVATION AND CULTURAL ACTIVITIES.

        (a) In General.--(1) Chapter 159 of title 10, United States Code,
    is amended by adding at the end the following new section:

    ``Sec. 2694. Conservation and cultural activities

        ``(a) Establishment.--The Secretary of Defense may establish and
    carry out a program to conduct and manage in a coordinated manner the
    conservation and cultural activities described in subsection (b).
        ``(b) Activities.--(1) A conservation or cultural activity eligible
    for the program that the Secretary establishes under subsection (a) is
    any activity--
            ``(A) that has regional or Department of Defense-wide
        significance and that involves more than one military department;
            ``(B) that is necessary to meet legal requirements or to
        support military operations;
            ``(C) that can be more effectively managed at the Department of
        Defense level; and
            ``(D) for which no executive ageny has been designated
        responsible by the Secretary.
        ``(2) Such activities include the following:
            ``(A) The development of ecosystem-wide land management plans.
            ``(B) The conduct of wildlife studies to ensure the safety of
        military operations.
            ``(C) The identification and return of Native American human
        remains and cultural items in the possession or control of the
        Department of Defense, or discovered on land under the jurisdiction
        of the Department, to the appropriate Native American tribes.
            ``(D) The control of invasive species that may hinder military
        activities or degrade military training ranges.
            ``(E) The establishment of a regional curation system for
        artifacts found on military installations.
        ``(c) Cooperative Agreements.--The Secretary may negotiate and
    enter into cooperative agreements with public and private agencies,
    organizations, institutions, individuals, or other entities to carry
    out the program established under subsection (a).
        ``(d) Effect on Other Laws.--Nothing in this section shall be
    construed or interpreted as preempting any otherwise applicable
    Federal, State, or local law or regulation relating to the management
    of natural and cultural resources on military installations.''.
        (2) The table of sections at the beginning of such chapter is
    amended by adding at the end the following new item:

    ``2694. Conservation and cultural activities.''.

        (b) Effective Date.--Section 2694 of title 10, United States Code,
    as added by subsection (a), shall take effect on October 1, 1996.
        SEC. 333. NAVY PROGRAM TO MONITOR ECOLOGICAL EFFECTS OF ORGANOTIN.
        (a) Monitoring Requirement.--The Secretary of the Navy shall, in
    consultation with the Administrator of the Environmental Protection
    Agency, develop and implement a program to monitor the concentrations
    of organotin in the water column, sediments, and aquatic organisms of
    representative estuaries and near-coastal waters in the United States,
    as described in section 7(a) of the Organotin Antifouling Paint Control
    Act of 1988 (33 U.S.C. 2406(a)). The program shall be designed to
    produce high-quality data to enable the Environmental Protection Agency
    to develop water quality criteria concerning organotin compounds.
        (b) Funding.--The Administrator of the Environmental Protection
    Agency shall provide, in advance, such sums as are necessary to the
    Secretary of the Navy for the costs of developing and implementing the
    program under subsection (a).
        (c) Written Agreement.--The Secretary of the Navy and the
    Administrator of the Environmental Protection Agency shall enter into a
    written agreement setting forth the actions that the Secretary plans to
    take under subsection (a) and the funding that the Administrator agrees
    to provide under subsection (b). If the Secretary determines that the
    Administrator will not enter into such an agreement, the Secretary
    shall notify the Committee on National Security of the House of
    Representatives and the Committee on Armed Services of the Senate not
    later than 30 days after such determination.
        (d) Nonimpairment of Mission.--Compliance with subsection (a) shall
    be conducted in such a manner so as not to impair the ability of the
    Department of the Navy to meet its operational requirements.
        (e) Report.--Not later than June 1, 1997, the Secretary of the Navy
    shall submit to Congress a report containing the following:
            (1) A description of the monitoring program developed pursuant
        to subsection (a).
            (2) An analysis of the results of the monitoring program as of
        the date of the submission of the report.
            (3) Information about the progress of Navy programs, referred
        to in section 7(c) of the Organotin Antifouling Paint Control Act
        of 1988 (33 U.S.C. 2406(c)), for evaluating the laboratory toxicity
        and environmental risks associated with the use of antifouling
        paints containing organotin.
            (4) An assessment, developed in consultation with the
        Administrator of the Environmental Protection Agency, of the
        effectiveness of existing laws and rules concerning organotin
        compounds in ensuring protection of human health and the
        environment.
        (f) Sense of Congress.--(1) It is the sense of Congress that the
    Administrator of the Environmental Protection Agency, in consultation
    with the Secretary of the Navy, should develop, for purposes of the
    national pollutant discharge elimination system, a model permit for the
    discharge of organotin compounds at shipbuilding and ship repair
    facilities.
        (2) For purposes of this subsection, the term ``organotin'' has the
    meaning provided in section 3 of the Organotin Antifouling Paint
    Control Act of 1988 (33 U.S.C. 2402).
        (g) Termination.--The program required by subsection (a) shall
    terminate five years after the date of the enactment of this Act.
        SEC. 334. AUTHORITY TO TRANSFER CONTAMINATED FEDERAL PROPERTY
          BEFORE COMPLETION OF REQUIRED RESPONSE ACTIONS.
        (a) In General.--Section 120(h)(3) of the Comprehensive
    Environmental Response, Compensation, and Liability Act of 1980 (42
    U.S.C. 9620(h)(3)) is amended--
            (1) by redesignating subparagraph (A) as clause (i) and clauses
        (i), (ii), and (iii) of that subparagraph as subclauses (I), (II),
        and (III), respectively;
            (2) by striking out ``After the last day'' and inserting in
        lieu thereof the following:
                ``(A) In general.--After the last day'';
            (3) by redesignating subparagraph (B) as clause (ii) and
        clauses (i) and (ii) of that subparagraph as subclauses (I) and
        (II), respectively;
            (4) by redesignating subparagraph (C) as clause (iii);
            (5) by moving the remainder of the text of subparagraph (A), as
        designated by paragraph (2) of this subsection (including the
        clauses and subclauses redesignatedby paragraphs (1), (3), and (4)
    of this subsection) 2 ems to the right;
            (6) by striking ``For purposes of subparagraph (B)(i)'' and
        inserting the following:
                ``(B) Covenant requirements.--For purposes of subparagraphs
            (A)(ii)(I) and (C)(iii)'';
            (7) in subparagraph (B), as designated by paragraph (5), by
        striking ``subparagraph (B)'' each place it appears and inserting
        ``subparagraph (A)(ii)''; and
            (8) by adding at the end the following:
                ``(C) Deferral.--
                    ``(i) In general.--The Administrator, with the
                concurrence of the Governor of the State in which the
                facility is located (in the case of real property at a
                Federal facility that is listed on the National Priorities
                List), or the Governor of the State in which the facility
                is located (in the case of real property at a Federal
                facility not listed on the National Priorities List) may
                defer the requirement of subparagraph (A)(ii)(I) with
                respect to the property if the Administrator or the
                Governor, as the case may be, determines that the property
                is suitable for transfer, based on a finding that--

                        ``(I) the property is suitable for transfer for the
                    use intended by the transferee, and the intended use is
                    consistent with protection of human health and the
                    environment;
                        ``(II) the deed or other agreement proposed to
                    govern the transfer between the United States and the
                    transferee of the property contains the assurances set
                    forth in clause (ii);
                        ``(III) the Federal agency requesting deferral has
                    provided notice, by publication in a newspaper of
                    general circulation in the vicinity of the property, of
                    the proposed transfer and of the opportunity for the
                    public to submit, within a period of not less than 30
                    days after the date of the notice, written comments on
                    the suitability of the property for transfer; and
                        ``(IV) the deferral and the transfer of the
                    property will not substantially delay any necessary
                    response action at the property.

                    ``(ii) Response action assurances.--With regard to a
                release or threatened release of a hazardous substance for
                which a Federal agency is potentially responsible under
                this section, the deed or other agreement proposed to
                govern the transfer shall contain assurances that--

                        ``(I) provide for any necessary restrictions on the
                    use of the property to ensure the protection of human
                    health and the environment;
                        ``(II) provide that there will be restrictions on
                    use necessary to ensure that required remedial
                    investigations, response action, and oversight
                    activities will not be disrupted;
                        ``(III) provide that all necessary response action
                    will be taken and identify the schedules for
                    investigation and completion of all necessary response
                    action as approved by the appropriate regulatory
                    agency; and
                        ``(IV) provide that the Federal agency responsible
                    for the property subject to transfer will submit a
                    budget request to the Director of the Office of
                    Management and Budget that adequately addresses
                    schedules for investigation and completion of all
                    necessary response action, subject to congressional
                    authorizations and appropriations.

                    ``(iii) Warranty.--When all response action necessary
                to protect human health and the environment with respect to
                any substance remaining on the property on the date of
                transfer has been taken, the United States shall execute
                and deliver to the transferee an appropriate document
                containing a warranty that all such response action has
                been taken, and the making of the warranty shall be
                considered to satisfy the requirement of subparagraph
                (A)(ii)(I).
                    ``(iv) Federal responsibility.--A deferral under this
                subparagraph shall not increase, diminish, or affect in any
                manner any rights or obligations of a Federal agency
                (including any rights or obligations under sections 106,
                107, and 120 existing prior to transfer) with respect to a
                property transferred under this subparagraph.''.
        (b) Continued Application of State Law.--The first sentence of
    section 120(a)(4) of the Comprehensive Environmental Response,
    Compensation, and Liability Act of 1980 (42 U.S.C. 9620(a)(4)) is
    amended by inserting ``or facilities that are the subject of a deferral
    under subsection (h)(3)(C)'' after ``United States''.

      Subtitle D--Commissaries and Nonappropriated Fund Instrumentalities

        SEC. 341. CONTRACTS WITH OTHER AGENCIES TO PROVIDE OR OBTAIN GOODS
          AND SERVICES TO PROMOTE EFFICIENT OPERATION AND MANAGEMENT OF
          EXCHANGES AND MORALE, WELFARE, AND RECREATION ACTIVITIES.
        (a) Contracts To Promote Efficient Operation and Management.--(1)
    Chapter 147 of title 10, United States Code, is amended by inserting
    after section 2482 the following new section:
    ``Sec. 2482a. Nonappropriated fund instrumentalities: contracts with
          other agencies and instrumentalities to provide and obtain goods
          and services
        ``An agency or instrumentality of the Department of Defense that
    supports the operation of the exchange system, or the operation of a
    morale, welfare, and recreation system, of the Department of Defense
    may enter into a contract or otheragreement with another element of the
    Department of Defense or with another Federal department, agency, or
    instrumentality to provide or obtain goods and services beneficial to
    the efficient management and operation of the exchange system or that
    morale, welfare, and recreation system.''.
        (2) The table of sections at the beginning of such chapter is
    amended by inserting after the item relating to section 2482 the
    following new item:

    ``2482a. Nonappropriated fund instrumentalities: contracts with other
    agencies and instrumentalities to provide and obtain goods and
    services.''.

        (b) Conforming Amendment Regarding Commissary System.--Section
    2482(b)(1) of such title is amended by striking out ``another
    department'' and all that follows through ``provide services'' and
    inserting in lieu thereof ``another element of the Department of
    Defense or with another Federal department, agency, or instrumentality
    to provide or obtain services''.
        SEC. 342. NONCOMPETITIVE PROCUREMENT OF BRAND-NAME COMMERCIAL ITEMS
          FOR RESALE IN COMMISSARY STORES.
        (a) Clarification of Exception to Competitive Procurement.--Section
    2486 of title 10, United States Code, is amended by adding at the end
    the following new subsection:
        ``(e) The Secretary of Defense may not use the exception provided
    in section 2304(c)(5) of this title regarding the procurement of a
    brand-name commercial item for resale in commissary stores unless the
    commercial item is regularly sold outside of commissary stores under
    the same brand name as the name by which the commercial item will be
    sold in commissary stores.''.
        (b) Effect on Existing Contracts or Other Agreements.--Section
    2486(e) of title 10, United States Code, as added by subsection (a),
    shall not affect the terms, conditions, or duration of any contract or
    other agreement entered into by the Secretary of Defense before the
    date of the enactment of this Act for the procurement of commercial
    items for resale in commissary stores.
        SEC. 343. PROHIBITION OF SALE OR RENTAL OF SEXUALLY EXPLICIT
          MATERIAL.
        (a) In General.--(1) Chapter 147 of title 10, United States Code,
    is amended by inserting after section 2489 the following new section:
    ``Sec. 2489a. Sale or rental of sexually explicit material pro- hibited
        ``(a) Prohibition of Sale or Rental.--The Secretary of Defense may
    not permit the sale or rental of sexually explicit material on property
    under the jurisdiction of the Department of Defense.
        ``(b) Prohibition of Officially Provided Sexually Explicit
    Material.--A member of the armed forces or a civilian officer or
    employee of the Department of Defense acting in an official capacity
    may not provide for sale, remuneration, or rental sexually explicit
    material to another person.
        ``(c) Regulations.--The Secretary of Defense shall prescribe
    regulations to implement this section.
        ``(d) Definitions.--In this section:
            ``(1) The term `sexually explicit material' means an audio
        recording, a film or video recording, or a periodical with visual
        depictions, produced in any medium, the dominant theme of which
        depicts or describes nudity, including sexual or excretory
        activities or organs, in a lascivious way.
            ``(2) The term `property under the jurisdiction of the
        Department of Defense' includes commissaries, all facilities
        operated by the Army and Air Force Exchange Service, the Navy
        Exchange Service Command, the Navy Resale and Services Support
        Office, Marine Corps exchanges, and ships' stores.''.
        (2) The table of sections at the beginning of such chapter is
    amended by inserting after the item relating to section 2489 the
    following new item:

    ``2489a. Sale or rental of sexually explicit material prohibited.''.

        (b) Effective Date.--Subsection (a) of section 2489a of title 10,
    United States Code, as added by subsection (a) of this section, shall
    take effect 90 days after the date of the enactment of this Act.

         Subtitle E--Performance of Functions by Private-Sector Sources

        SEC. 351. EXTENSION OF REQUIREMENT FOR COMPETITIVE PROCUREMENT OF
          PRINTING AND DUPLICATION SERVICES.
        (a) Extension.--Section 351(a) of the National Defense
    Authorization Act for Fiscal Year 1996 (Public Law 104-106; 110 Stat.
    266) is amended by striking out ``fiscal year 1996'' and inserting in
    lieu thereof ``fiscal years 1996 and 1997''.
        (b) Reporting Requirements.--Such section is further amended by
    adding at the end the following new subsection:
        ``(c) Reporting Requirements.--(1) Not later than 90 days after the
    end of each fiscal year in which the requirement of subsection (a)
    applies, the Secretary of Defense shall submit to Congress a report--
            ``(A) describing the extent of the compliance of the Secretary
        with the requirement during that fiscal year;
            ``(B) specifying the total volume of printing and duplication
        services procured by the Department of Defense during that fiscal
        year--
                ``(i) from sources within the Department of Defense;
                ``(ii) from private-sector sources; and
                ``(iii) from other sources in the Federal Govern- ment; and
            ``(C) specifying the total volume of printed and duplicated
        material during that fiscal year covered by the exception in
        subsection (b).
        ``(2) The report required for fiscal year 1996 shall also include
    the plans of the Secretary for further implementation of the
    requirement of subsection (a) during fiscal year 1997.''.
        SEC. 352. REPORTING REQUIREMENTS UNDER DEMONSTRATION PROJECT FOR
          PURCHASE OF FIRE, SECURITY, POLICE, PUBLIC WORKS, AND UTILITY
          SERVICES FROM LOCAL GOVERNMENT AGENCIES.
        Section 816(b) of the National Defense Authorization Act for Fiscal
    Year 1995 (Public Law 103-337; 108 Stat. 2820) is amended by striking
    out ``, 1996'' and inserting in lieu thereof ``of each of the years
    1997 and 1998''.

                           Subtitle F--Other Matters

        SEC. 361. AUTHORITY FOR USE OF APPROPRIATED FUNDS FOR RECRUITING
          FUNCTIONS.
        (a) Authority.--Chapter 31 of title 10, United States Code, is
    amended by adding at the end the following new section:

    ``Sec. 520c. Recruiting functions: use of funds

        ``(a) Provision of Meals and Refreshments.--Under regulations
    prescribed by the Secretary concerned, funds appropriated to the
    Department of Defense for recruitment of military personnel may be
    expended for small meals and refreshments during recruiting functions
    for the following persons:
            ``(1) Persons who have enlisted under the Delayed Entry Program
        authorized by section 513 of this title.
            ``(2) Persons who are objects of armed forces recruiting
        efforts.
            ``(3) Persons whose assistance in recruiting efforts of the
        military departments is determined to be influential by the
        Secretary concerned.
            ``(4) Members of the armed forces and Federal employees when
        attending recruiting events in accordance with a requirement to do
        so.
            ``(5) Other persons whose presence at recruiting efforts will
        contribute to recruiting efforts.
        ``(b) Annual Report.--Not later than February 1 of each of the
    years 1998 through 2002, the Secretary of Defense shall submit to
    Congress a report on the extent to which the authority under subsection
    (a) was exercised during the fiscal year ending in the preceding year.
        ``(c) Termination of Authority.--The authority in subsection (a)
    may not be exercised after September 30, 2001.''.
        (b) Clerical Amendment.--The table of sections at the beginning of
    such chapter is amended by adding at the end the following new item:

    ``520c. Recruiting functions: use of funds.''.

        SEC. 362. TRAINING OF MEMBERS OF THE UNIFORMED SERVICES AT NON-
          GOVERNMENT FACILITIES.
        (a) Authority to Enter Into Agreements for Training at Non-
    Government Facilities.--(1) Chapter 101 of title 10, United States
    Code, is amended by adding at the end the following new section:

    ``Sec. 2013. Training at non-Government facilities

        ``(a) Authority To Enter Into Agreements.--(1) The Secretary
    concerned, without regard to section 3709 of the Revised Statutes (41
    U.S.C. 5), may make agreements or other arrangements for the training
    of members of the uniformed services under the jurisdiction of that
    Secretary by, in, or through non-Government facilities.
        ``(2) In this section, the term `non-Government facility' means any
    of the following:
            ``(A) The government of a State or of a territory or possession
        of the United States, including the Commonwealth of Puerto Rico, an
        interstate governmental organization, and a unit, subdivision, or
        instrumentality of any of the foregoing.
            ``(B) A foreign government or international organization, or
        instrumentality of either, which is designated by the President as
        eligible to provide training under this section.
            ``(C) A medical, scientific, technical, educational, research,
        or professional institution, foundation, or organization.
            ``(D) A business, commercial, or industrial firm, corporation,
        partnership, proprietorship, or other organization.
            ``(E) Individuals other than civilian or military personnel of
        the Government.
            ``(F) The services and property of any of the foregoing
        providing the training.
        ``(b) Expenses.--The Secretary concerned, from appropriations or
    other funds available to the Secretary, may--
            ``(1) pay all or a part of the pay of a member of a uniformed
        service who is selected and assigned for training under this
        section, for the period of training; and
            ``(2) pay, or reimburse the member of a uniformed service for,
        all or a part of the necessary expenses of the training (without
        regard to subsections (a) and (b) of section 3324 of title 31),
        including among those expenses the necessary costs of the
        following:
                ``(A) Travel and per diem instead of subsistence under
            sections 404 and 405 of title 37 and the Joint Travel
            Regulations for the Uniformed Services.
                ``(B) Transportation of immediate family, household goods
            and personal effects, packing, crating, temporarily storing,
            draying, and unpacking under sections 406 and 409 of title 37
            and the Joint Travel Regulations for the Uniformed Services
            when the estimated costs of transportation and related services
            are less than the estimated aggregate per diem payments for the
            period of training.
                ``(C) Tuition and matriculation fees.
                ``(D) Library and laboratory services.
                ``(E) Purchase or rental of books, materials, and supplies.
                ``(F) Other services or facilities directly related to the
            training of the member.
        ``(c) Certain Expenses Excluded.--The expenses of training do not
    include membership fees except to the extent that the fee is a
    necessary cost directly related to the training itself or that payment
    of the fee is a condition precedent to undergoing the training.''.
        (2) The table of sections at the beginning of such chapter is
    amended by adding at the end the following new item:

    ``2013. Training at non-Government facilities.''.

      (b) Effective Date.--Section 2013 of title 10, United States Code, as
    added by subsection (a), shall take effect on October 1, 1996.
        SEC. 363. REQUIREMENT FOR PREPARATION OF PLAN FOR IMPROVED
          OPERATION OF WORKING-CAPITAL FUNDS AND EFFECT OF FAILURE TO
          PRODUCE AN APPROVED PLAN.
        (a) Plan for Improved Operation of Working-Capital Funds.--Not
    later than September 30, 1997, the Secretary of Defense shall submit to
    Congress a plan to improve the management and performance of the
    industrial, commercial, and support type activities of the military
    departments or the Defense Agencies that are currently managed through
    the Defense Business Operations Fund.
        (b) Elements of Plan.--The plan required by subsection (a) shall
    address the following issues:
            (1) The ability of each military department or Defense Agency
        to set working capital requirements and set charges at its own
        industrial and supply activities.
            (2) The desirability of separate business accounts for the
        management of both industrial and supply activities for each
        military department or Defense Agency.
            (3) Liability for operation losses at industrial and supply
        activities.
            (4) Reimbursement to the Department of Defense by each military
        department or Defense Agency of its fair share of the costs of
        legitimate common business support services (such as accounting and
        financial services and central logistics services) provided by the
        Department of Defense.
            (5) The role of the Department of Defense in setting charges or
        imposing surcharges for activities managed by the business accounts
        of a military department or Defense Agency (except for the common
        business support cost described in paragraph (4)), and what such
        charges should properly reflect.
            (6) The appropriate use of operating profits arising from the
        operations of the industrial and supply activities of a military
        department or Defense Agency.
            (7) The ability of a military department or Defense Agency to
        purchase industrial and supply services from, and provide such
        services to, other military departments or Defense Agencies.
            (8) Standardization of financial management and accounting
        practices employed by the business accounts of a military
        department or Defense Agency.
            (9) Reporting requirements related to actual and projected
        performance of business management account activities of a military
        department or Defense Agency.
        (c) Effect of Failure to Submit or Approve of Plan.--(1) Unless,
    before October 1, 1999, the Secretary of Defense submits the plan
    required by subsection (a) and Congress enacts a provision of law
    described in paragraph (2) that approves of the plan as submitted or in
    an amended form, then section 2216a of title 10, United States Code,
    regarding the Defense Business Operations Fund (as redesignated by
    section 1074(a)(10) of this Act), shall be repealed effective as of
    that date.
        (2) The provision of law referred to in paragraph (1) is a
    provision of law that--
            (A) is enacted after the submission of the plan required by
        subsection (a);
            (B) specifically refers to the plan and this section; and
            (C) specifically states that the plan required by subsection
        (a) is approved as submitted or with such amendments as may be
        contained in such law.
        (d) Basis for Charges for Goods And Services; Comptroller General
    Review.--(1) In the development of the proposed budget for the Defense
    Business Operations Fund for a fiscal year, the Secretary of Defense
    shall ensure that accurate and realistic pricing and quantity estimates
    are used regarding the goods and services to be provided by working-
    capital funds and industrial, commercial, and support type activities
    managed through the Fund.
        (2) The Secretary of Defense shall make available to the
    Comptroller General information used to establish the charges for goods
    and services to be provided by working-capital funds and industrial,
    commercial, and support type activities managed through the Fund. The
    Comptroller General shall conduct an annual review of the adequacy of
    the basis for the charges. Not later than 30 days after the date on
    which the Secretary submits the annual report and proposed budget for
    the Fund under subsection (h) of section 2216a of title 10, United
    States Code, as redesignated by section 1074(a)(10) of this Act, the
    Comptroller General shall submit to Congress a report containing the
    results of the review.
        SEC. 364. INCREASE IN CAPITAL ASSET THRESHOLD UNDER DEFENSE
          BUSINESS OPERATIONS FUND.
        Section 2216a of title 10, United States Code, as redesignated by
    section 1074(a)(10) of this Act, is amended in subsection (i)(1) by
    striking out ``$50,000'' and inserting in lieu thereof ``$100,000''.

    SEC. 365. EXPANSION OF AUTHORITY TO DONATE UNUSABLE FOOD.

        (a) Authority for Donations From Defense Agencies.--Section 2485 of
    title 10, United States Code, is amended by striking out ``Secretary of
    a military department'' in subsections (a) and (b) and inserting in
    lieu thereof ``Secretary of Defense''.
        (b) Expansion of Eligible Recipients.--Such section is further
    amended--
            (1) in subsection (a), by striking out ``authorized charitable
        nonprofit food banks'' and inserting in lieu thereof ``entities
        specified under subsection (d)''; and
            (2) in subsection (d), by striking out ``may only be made'' and
        all that follows and inserting in lieu thereof thefollowing: ``may
    only be made to an entity that is one of the following:
            ``(1) A charitable nonprofit food bank that is designated by
        the Secretary of Defense or the Secretary of Health and Human
        Services as authorized to receive such donations.
            ``(2) A State or local agency that is designated by the
        Secretary of Defense or the Secretary of Health and Human Services
        as authorized to receive such donations.
            ``(3) A chapter or other local unit of a recognized national
        veterans organization that provides services to persons without
        adequate shelter and is designated by the Secretary of Veterans
        Affairs as authorized to receive such donations.
            ``(4) A not-for-profit organization that provides care for
        homeless veterans and is designated by the Secretary of Veterans
        Affairs as authorized to receive such donations.''.
        (c) Clarification of Food That May Be Donated.--Subsection (b) of
    such section is further amended by inserting ``rations known as
    humanitarian daily rations (HDRs),'' after ``(MREs),''.
        SEC. 366. ASSISTANCE TO COMMITTEES INVOLVED IN INAUGURATION OF THE
          PRESIDENT.
        (a) In General.--Section 2543 of title 10, United States Code, is
    amended to read as follows:
    ``Sec. 2543. Equipment and services: Presidential inaugural ceremonies
        ``(a) Assistance Authorized.--The Secretary of Defense may, with
    respect to the ceremonies relating to the inaugu- ration of a
    President, provide the assistance referred to in subsection (b) to--
            ``(1) the Presidential Inaugural Committee; and
            ``(2) the congressional Joint Inaugural Committee.
        ``(b) Assistance.--Assistance that may be provided under subsection
    (a) is the following:
            ``(1) Planning and carrying out activities relating to security
        and safety.
            ``(2) Planning and carrying out ceremonial activities.
            ``(3) Loan of property.
            ``(4) Any other assistance that the Secretary considers
        appropriate.
        ``(c) Reimbursement.--(1) The Presidential Inaugural Committee
    shall reimburse the Secretary for any costs incurred in connection with
    the provision to the committee of assistance referred to in subsection
    (b)(4).
        ``(2) Costs reimbursed under paragraph (1) shall be credited to the
    appropriations from which the costs were paid. The amount credited to
    an appropriation shall be proportionate to the amount of the costs
    charged to that appropriation.
        ``(d) Loaned Property.--With respect to property loaned for a
    presidential inauguration under subsection (b)(3), the Presidential
    Inaugural Committee shall--
            ``(1) return that property within nine days after the date of
        the ceremony inaugurating the President;
            ``(2) give good and sufficient bond for the return in good
        order and condition of that property;
            ``(3) indemnify the United States for any loss of, or damage
        to, that property; and
            ``(4) defray any expense incurred for the delivery, return,
        rehabilitation, replacement, or operation of that property.
        ``(e) Definitions.--In this section:
            ``(1) The term `Presidential Inaugural Committee' means the
        committee referred to in subsection (b)(2) of the first section of
        the Presidential Inaugural Ceremonies Act (36 U.S.C. 721) that is
        appointed with respect to the inauguration of a President-elect and
        Vice President-elect.
            ``(2) The term `congressional Joint Inaugural Committee' means
        the joint committee of the Senate and House of Representatives
        referred to in the proviso in section 9 of the Presidential
        Inaugural Ceremonies Act (36 U.S.C. 729) that is appointed with
        respect to the inauguration of a President-elect and Vice
        President-elect.''.
        (b) Clerical Amendment.--The item relating to section 2543 in the
    table of sections at the beginning of chapter 152 of such title is
    amended to read as follows:

    ``2543. Equipment and services: Presidential inaugural ceremonies.''.

        SEC. 367. DEPARTMENT OF DEFENSE SUPPORT FOR SPORTING EVENTS.
        (a) Authority To Provide Support.--Subchapter II of chapter 152 of
    title 10, United States Code, is amended by adding at the end the
    following new section:

    ``Sec. 2554. Provision of support for certain sporting events

        ``(a) Security and Safety Assistance.--At the request of a Federal,
    State, or local government agency responsible for providing law
    enforcement services, security services, or safety services, the
    Secretary of Defense may authorize the commander of a military
    installation or other facility of the Department of Defense or the
    commander of a specified or unified combatant command to provide
    assistance for the World Cup Soccer Games, the Goodwill Games, the
    Olympics, and any other civilian sporting event in support of essential
    security and safety at such event, but only if the Attorney General
    certifies that such assistance is necessary to meet essential security
    and safety needs.
        ``(b) Other Assistance.--The Secretary of Defense may authorize a
    commander referred to in subsection (a) to provide assistance for a
    sporting event referred to in that subsection in support of other needs
    relating to such event, but only--
            ``(1) to the extent that such needs cannot reasonably be met by
        a source other than the Department;
            ``(2) to the extent that the provision of such assistance does
        not adversely affect the military preparedness of the armed forces;
        and
            ``(3) if the organization requesting such assistance agrees to
        reimburse the Department for amounts expended by the Department in
        providing the assistance in accordance with the provisions of
        section 377 of this title and other applicable provisions of law.
        ``(c) Inapplicability to Certain Events.--Subsections (a) and (b)
    do not apply to the following sporting events:
            ``(1) Sporting events for which funds have been appropriated
        before the date of the enactment of this Act.
            ``(2) The Special Olympics.
            ``(3) The Paralympics.
        ``(d) Terms and Conditions.--The Secretary of Defense may require
    such terms and conditions in connection with the provision of
    assistance under this section as the Secretary considers necessary and
    appropriate to protect the interests of the United States.
        ``(e) Report on Assistance.--Not later than January 30 of each year
    following a year in which the Secretary of Defense provides assistance
    under this section, the Secretary shall submit to Congress a report on
    the assistance provided. The report shall set forth--
            ``(1) a description of the assistance provided;
            ``(2) the amount expended by the Department in providing the
        assistance;
            ``(3) if the assistance was provided under subsection (a), the
        certification of the Attorney General with respect to the
        assistance under that subsection; and
            ``(4) if the assistance was provided under subsection (b)--
                ``(A) an explanation why the assistance could not
            reasonably be met by a source other than the Department; and
                ``(B) the amount the Department was reimbursed under that
            subsection.
        ``(f) Relationship to Other Laws.--Assistance provided under this
    section shall be subject to the provisions of sections 375 and 376 of
    this title.''.
        (b) Clerical Amendment.--The table of sections at the beginning of
    such subchapter is amended by adding at the end the following new item:

    ``2554. Provision of support for certain sporting events.''.

    SEC. 368. STORAGE OF MOTOR VEHICLE IN LIEU OF TRANSPORTATION.

        (a) Storage Authorized.--(1) Section 2634 of title 10, United
    States Code, is amended--
            (A) by redesignating subsection (b) as subsection (g);
            (B) by transferring subsection (g), as so redesignated, to the
        end of such section; and
            (C) by inserting after subsection (a) the following new
        subsection:
        ``(b)(1) In lieu of transportation authorized by this section, if a
    member is ordered to make a change of permanent station to a foreign
    country and the laws, regulations, or other restrictions imposed by the
    foreign country or the United States preclude entry of a motor vehicle
    described in subsection (a) into that country, or would require
    extensive modification of the vehicle as a condition to entry, the
    member may elect to have the vehicle stored at the expense of the
    United States at a location approved by the Secretary concerned.
        ``(2) If a member is transferred or assigned in connection with a
    contingency operation to duty at a location other than the permanent
    station of the member for a period of more than 30 consecutive days,
    but the transfer or assignment is not considered a change of permanent
    station, the member may elect to have a motor vehicle described in
    subsection (a) stored at the expense of the United States at a location
    approved by the Secretary concerned.
        ``(3) Authorized expenses under this subsection include costs
    associated with the delivery of the motor vehicle for storage and
    removal of the vehicle for delivery to a destination approved by the
    Secretary concerned.''.
        (2)(A) The heading of such section is amended to read as follows:
    ``Sec. 2634. Motor vehicles: transportation or storage for members on
         change of permanent station or extended deployment''.
        (B) The item relating to such section in the table of sections at
    the beginning of chapter 157 of title 10, United States Code, is
    amended to read as follows:

    ``2634. Motor vehicles: transportation or storage for members on change
              of permanent station or extended deployment.''.

        (b) Conforming Amendment.--Subparagraph (B) of section 406(h)(1) of
    title 37, United States Code, is amended to read as follows:
            ``(B) in the case of a member described in paragraph (2)(A),
        authorize the transportation of one motor vehicle, which is owned
        or leased by the member (or a dependent of the member) and is for
        the personal use of a dependent of the member, to that location by
        means of transportation authorized under section 2634 of title 10
        or authorize the storage of the motor vehicle pursuant to
        subsection (b) of such section.''.
        (c) Effective Date.--The amendments made by this section shall take
    effect on April 1, 1997.
        SEC. 369. SECURITY PROTECTIONS AT DEPARTMENT OF DEFENSE FACILITIES
          IN NATIONAL CAPITAL REGION.
        (a) Expansion of Authority.--Subsection (b) of section 2674 of
    title 10, United States Code, is amended by striking out ``at the
    Pentagon Reservation'' and inserting in lieu thereof ``in the National
    Capital Region''.
        (b) Clerical Amendments.--(1) The heading of such section is
    amended to read as follows:
    ``Sec. 2674. Operation and control of Pentagon Reservation and defense
         facilities in National Capital Region''.
        (2) The item relating to such section in the table of sections at
    the beginning of chapter 159 of such title is amended to read as
    follows:

    ``2674. Operation and control of Pentagon Reservation and defense
              facilities in National Capital Region.''.

    SEC. 370. ADMINISTRATION OF MIDSHIPMEN'S STORE AND OTHER NAVAL ACADEMY
                  SUPPORT ACTIVITIES AS NONAPPROPRIATED FUND
                  INSTRUMENTALITY.

        (a) In General.--Section 6971 of title 10, United States Code, is
    amended to read as follows:
     ``Sec. 6971. Midshipmen's store, trade shops, dairy, and laundry:
         nonappropriated fund instrumentality and accounts
        ``(a) Operation as Nonappropriated Fund Instrumentality.--The
    Superintendent of the Naval Academy shall operate the Naval Academy
    activities referred to in subsection (b) as a nonappropriated fund
    instrumentality under the jurisdiction of the Navy.
        ``(b) Covered Activities.--The nonappropriated fund instrumentality
    required under subsection (a) shall consist of the following Naval
    Academy activities:
            ``(1) The midshipmen's store.
            ``(2) The barber shop.
            ``(3) The cobbler shop.
            ``(4) The tailor shop.
            ``(5) The dairy.
            ``(6) The laundry.
        ``(c) Nonappropriated Fund Accounts.--The Superintendent of the
    Naval Academy shall administer a separate nonappropriated fund account
    for each of the Naval Academy activities included in the
    nonappropriated fund instrumentality required under subsection (a).
        ``(d) Crediting of Revenue.--The Superintendent shall credit all
    revenue received from a Naval Academy activity referred to in
    subsection (b) to the account administered with respect to that
    activity under subsection (c), and amounts so credited shall be
    available for operating expenses of that activity.
        ``(e) Regulations.--This section shall be carried out under
    regulations prescribed by the Secretary of the Navy.''.
        (b) Civil Service Employment Status of Employees of Covered
    Activities.--Section 2105(b) of title 5, United States Code, is
    amended--
            (1) by inserting ``who is'' after ``An individual''; and
            (2) by inserting ``and whose employment in such a position
        began before October 1, 1996, and has been uninterrupted in such a
        position since that date'' after ``Academy dairy,''.
        (c) Conforming Repeal.--Section 6970 of title 10, United States
    Code, is repealed.
        (d) Clerical Amendments.--The table of sections at the beginning of
    chapter 603 of title 10, United States Code, is amended by striking out
    the items relating to sections 6970 and 6971 and inserting in lieu
    thereof the following new item:

    ``6971. Midshipmen's store, trade shops, dairy, and laundry:
              nonappropriated fund instrumentality and accounts.''.

        (e) Effective Date.--The amendments made by this section shall take
    effect on October 1, 1996.
        SEC. 371. REIMBURSEMENT UNDER AGREEMENT FOR INSTRUCTION OF CIVILIAN
          STUDENTS AT FOREIGN LANGUAGE INSTITUTE OF THE DEFENSE LANGUAGE
          INSTITUTE.
        (a) Authority to Accept Reimbursement In Kind.--Section 559(a)(1)
    of the National Defense Authorization Act for Fiscal Year 1995 (Public
    Law 103-337; 108 Stat. 2776; 10 U.S.C. 4411 note) is amended--
            (1) by redesignating subsections (c), (d), and (e) as
        subsections (d), (e), and (f), respectively; and
            (2) by inserting after subsection (b) the following new
        subsection:
        ``(c) Reimbursement Options for Certain Instruction.--In the case
    of instruction provided to students described in subsection (a)(1), the
    Secretary may provide the instruction on a cost-reimbursable basis, a
    reimbursement-in-kind basis, or a combination of both options.
    Regardless of the reimbursement option, the value of the reimbursement
    received under this subsection may not be less than the amount charged
    for providing language instruction to Federal employees who are not
    Department of Defense employees. The Secretary may not delegate the
    authority to accept an offer for in-kind reimbursement below the level
    of the Assistant Secretary of the Army.''.
        (b) Conforming Amendments.--Such section is further amended--
            (1) in subsection (a)(1), by striking out ``cost-reimburs-
        able,''; and
            (2) in subsection (d), as redesignated by subsection (a)(1) of
        this section, by striking out ``subsection (a)'' the first place it
        appears and inserting in lieu thereof ``subsection (a) or (c)''.
        SEC. 372. ASSISTANCE TO LOCAL EDUCATIONAL AGENCIES THAT BENEFIT
          DEPENDENTS OF MEMBERS OF THE ARMED FORCES AND DEPARTMENT OF
          DEFENSE CIVILIAN EMPLOYEES.
        (a) Continuation of Department of Defense Program for Fiscal Year
    1997.--Of the amounts authorized to be appropriated in section 301(5)--
            (1) $30,000,000 shall be available for providing educational
        agencies assistance (as defined in subsection (d)(1)) to local
        educational agencies; and
            (2) $5,000,000 shall be available for making educational
        agencies payments (as defined in subsection (d)(2)) to local
        educational agencies.
        (b) Notification.--Not later than June 30, 1997, the Secretary of
    Defense shall--
            (1) notify each local educational agency that is eligible for
        educational agencies assistance for fiscal year 1997 of that
        agency's eligibility for such assistance and the amount of such
        assistance for which that agency is eligible; and
            (2) notify each local educational agency that is eligible for
        an educational agencies payment for fiscal year 1997 of that
        agency's eligibility for such payment and the amount of the payment
        for which that agency is eligible.
        (c) Disbursement of Funds.--The Secretary of Defense shall disburse
    funds made available under paragraphs (1) and (2) of subsection (a) not
    later than 30 days after the date on which notification to the eligible
    local educational agencies is provided pursuant to subsection (b).
        (d) Definitions.--In this section:
            (1) The term ``educational agencies assistance'' means
        assistance authorized under section 386(b) of the National Defense
        Authorization Act for Fiscal Year 1993 (Public Law 102-484; 20
        U.S.C. 7703 note).
            (2) The term ``educational agencies payments'' means payments
        authorized under section 386(d) of the National Defense
        Authorization Act for Fiscal Year 1993 (Public Law 102-484; 20
        U.S.C. 7703 note).
            (3) The term ``local educational agency'' has the meaning given
        that term in section 8013(9) of the Elementary and Secondary
        Education Act of 1965 (20 U.S.C. 7713(9)).
        SEC. 373. RENOVATION OF BUILDING FOR DEFENSE FINANCE AND ACCOUNTING
          SERVICE CENTER, FORT BENJAMIN HARRISON, INDIANA.
        (a) Transfer Authority.--To pay the costs of planning, design, and
    renovation of Building One, Fort Benjamin Harrison, Indiana, for use as
    a Defense Finance and Accounting Service Center, the Secretary of
    Defense may transfer to the Administrator of General Services in the
    manner provided in subsection (b) funds available to the Department of
    Defense for the Defense Finance and Accounting Service for a fiscal
    year for operation and maintenance.
        (b) Authority Subject to Authorizations and Appropriations.--To the
    extent provided in appropriations Acts--
            (1) of funds described in subsection (a) and appropriated for
        fiscal year 1997, $9,000,000 may be transferred under such
        subsection; and
            (2) of funds described in subsection (a) and appropriated for
        fiscal years 1998, 1999, 2000, and 2001, funds may be transferred
        under such subsection in such amounts as are authorized to be
        transferred in an Act enacted after the date of the enactment of
        this Act.
        (c) Authority Subject To Agreement Between Department of Defense
    and General Services Administration.--The transfer authority provided
    in subsection (a) shall not take effect until the date on which the
    Secretary of Defense and the Administrator of General Services enter
    into an agreement that provides for the Department of Defense to
    receive a full reimbursement for the funds transferred under such
    subsection. Such reimbursement may include reimbursement in the form of
    reduced or static rental rates for Building One.

    SEC. 374. FOOD DONATION PILOT PROGRAM AT SERVICE ACADEMIES.

        (a) Program Authorized.--The Secretaries of the military
    departments and the Secretary of Transportation may each carry out a
    food donation pilot program at the service academy under the
    jurisdiction of such Secretary.
        (b) Donations and Collections of Food and Grocery Products.--Under
    the pilot program, the Secretary concerned may donate to, and permit
    others to collect for, a nonprofit organization any food or grocery
    product that--
            (1) is--
                (A) an apparently wholesome food;
                (B) an apparently fit grocery product; or
                (C) a food or grocery product that is donated in accordance
            with section 402(e) of the National and Community Service Act
            of 1990 (42 U.S.C. 12672(e));
            (2) is owned by the United States;
            (3) is located at a service academy under the jurisdiction of
        such Secretary; and
            (4) is excess to the requirements of the academy.
        (c) Program Commencement.--The Secretary concerned shall commence
    carrying out the pilot program, if at all, during fiscal year 1997.
        (d) Applicability of Good Samaritan Food Donation Act.--Section 402
    of the National and Community Service Act of 1990 (42 U.S.C. 12672)
    shall apply to donations and collections of food and grocery products
    under the pilot program without regard to section 403 of such Act (42
    U.S.C. 12673).
        (e) Reports.--(1) Each Secretary that carries out a pilot program
    at a service academy under this section shall submit to Congress an
    interim report and a final report on the pilot program.
        (2) The Secretary concerned shall submit the interim report not
    later than one year after the date on which the Secretary commences the
    pilot program at a service academy.
        (3) The Secretary concerned shall submit the final report not later
    than 90 days after the Secretary completes the pilot program at a
    service academy.
        (4) Each report shall include the following:
            (A) A description of the conduct of the pilot program.
            (B) A discussion of the experience under the pilot program.
            (C) An evaluation of the extent to which section 402 of the
        National and Community Service Act of 1990 (42 U.S.C. 12672) has
        been effective in protecting the United States and others from
        liabilities associated with actions taken under the pilot program.
            (D) Any recommendations for legislation to facilitate donations
        or collections of excess food and grocery products of the United
        States or others for nonprofit organizations.
        (f) Definitions.--For purposes of this section:
            (1) The term ``service academy'' means each of the following:
                (A) The United States Military Academy.
                (B) The United States Naval Academy.
                (C) The United States Air Force Academy.
                (D) The United States Coast Guard Academy.
            (2) The term ``Secretary concerned'' means the following:
                (A) The Secretary of the Army, with respect to the United
            States Military Academy.
                (B) The Secretary of the Navy, with respect to the United
            States Naval Academy.
                (C) The Secretary of the Air Force, with respect to the
            United States Air Force Academy.
                (D) The Secretary of Transportation, with respect to the
            United States Coast Guard Academy.
            (3) The terms ``apparently fit grocery product'', ``apparently
        wholesome food'', ``donate'', ``food'', and ``grocery product''
        have the meanings given those terms in section 402(b) of the
        National and Community Service Act of 1990 (42 U.S.C. 12672(b)).
        SEC. 375. AUTHORITY OF AIR NATIONAL GUARD TO PROVIDE CERTAIN
          SERVICES AT LINCOLN MUNICIPAL AIRPORT, LINCOLN, NEBRASKA.
        (a) Authority.--The Nebraska Air National Guard may provide fire
    protection services and rescue services relating to aircraft at Lincoln
    Municipal Airport, Lincoln, Nebraska, on behalf of the Lincoln
    Municipal Airport Authority, Lincoln, Nebraska.
        (b) Agreement.--The Nebraska Air National Guard may not provide
    services under subsection (a) until the Nebraska Air National Guard and
    the authority enter into an agreement under which the authority
    agrees--
            (1) to reimburse the Nebraska Air National Guard for the cost
        of the services provided; and
            (2) to hold harmless and indemnify the United States, except in
        cases of willful misconduct or gross negligence, from any claim for
        damages or injury to any person or property arising out of the
        provision of, or the failure to provide, such services.
        (c) Effect on Military Preparedness.--Services may only be provided
    under subsection (a) to the extent that the provision of such services
    does not adversely affect the military preparedness of the Armed
    Forces.
        SEC. 376. TECHNICAL AMENDMENT REGARDING IMPACT AID PROGRAM.
        Paragraph (3) of section 8003(a) of the Elementary and  Secondary
    Education Act of 1965 (20 U.S.C. 7703(a)) is amended by striking out
    ``2,000 and such number equals or exceeds 15'' and inserting in lieu
    thereof ``1,000 or such number equals or exceeds 10''.

                  TITLE IV--MILITARY PERSONNEL AUTHORIZATIONS

                            Subtitle A--Active Forces

    Sec. 401. End strengths for active forces.
    Sec. 402. Permanent end strength levels to support two major regional
    contingencies.
    Sec. 403. Authorized strengths for commissioned officers on active duty
    in grades of major, lieutenant colonel, and colonel and navy grades of
    lieutenant commander, commander, and captain.
    Sec. 404. Extension of requirement for recommendations regarding
    appointments to joint 4-star officer positions.
    Sec. 405. Increase in authorized number of general officers on active
    duty in the Marine Corps.

                           Subtitle B--Reserve Forces

    Sec. 411. End strengths for Selected Reserve.
    Sec. 412. End strengths for reserves on active duty in support of the
    Reserves.
    Sec. 413. End strengths for military technicians.
    Sec. 414. Assurance of continued assignment of military personnel to
    serve in Selective Service System.

                   Subtitle C--Authorization of Appropriations

    Sec. 421. Authorization of appropriations for military personnel.

                           Subtitle A--Active Forces

    SEC. 401. END STRENGTHS FOR ACTIVE FORCES.

        The Armed Forces are authorized strengths for active duty personnel
    as of September 30, 1997, as follows:
            (1) The Army, 495,000.
            (2) The Navy, 407,318.
            (3) The Marine Corps, 174,000.
            (4) The Air Force, 381,100.

    SEC. 402. PERMANENT END STRENGTH LEVELS TO SUPPORT TWO MAJOR REGIONAL
                  CONTINGENCIES.

        (a) Requirement To Budget for and Maintain Statutory End Strength
    Levels.--Section 691 of title 10, United States Code, is amended--
            (1) by redesignating subsections (d) and (e) as subsections (e)
        and (f), respectively; and
            (2) by striking out subsection (c) and inserting in lieu
        thereof the following:
        ``(c) The budget for the Department of Defense for any fiscal year
    as submitted to Congress shall include amounts for funding for each of
    the armed forces (other than the Coast Guard) at least in the amounts
    necessary to maintain the active duty end strengths prescribed in
    subsection (b), as in effect at the time that such budget is submitted.
        ``(d) No funds appropriated to the Department of Defense may be
    used to implement a reduction of the active duty end strength for any
    of the armed forces (other than the Coast Guard) for any fiscal year
    below the level specified in subsection (b) unless the reduction in end
    strength for that armed force for that fiscal year is specifically
    authorized by law.''.
        (b) Temporary Flexibility Relating to Permanent End Strength
    Levels.--Subsection (e) of such section, as redesignated by subsection
    (a)(1), is amended by striking out ``not more than 0.5 percent'' and
    inserting in lieu thereof ``not more than 1 percent''.
        SEC. 403. AUTHORIZED STRENGTHS FOR COMMISSIONED OFFICERS ON ACTIVE
          DUTY IN GRADES OF MAJOR, LIEUTENANT COLONEL, AND COLONEL AND NAVY
          GRADES OF LIEUTENANT COMMANDER, COMMANDER, AND CAPTAIN.
        (a) Revision in Army, Air Force, and Marine Corps Limitations.--The
    table in paragraph (1) of section 523(a) of title 10, United States
    Code, is amended to read as follows:
    ---------------------------------------------------------------------------

    ----------------------------------------------------------------------------------------------------------------
                                                                         Number of officers who may be serving on
                                                                               active duty in the grade of:
     ``Total number of commissioned officers (excluding officers in  -----------------------------------------------
         categories specified in subsection (b)) on active duty:                        Lieutenant
                                                                           Major          Colonel         Colonel
    ----------------------------------------------------------------------------------------------------------------
    Army:
      20,000........................................................           6,848           5,253        1,613
      25,000........................................................           7,539           5,642        1,796
      30,000........................................................           8,231           6,030        1,980
      35,000........................................................           8,922           6,419        2,163
      40,000........................................................           9,614           6,807        2,347
      45,000........................................................          10,305           7,196        2,530
      50,000........................................................          10,997           7,584        2,713
      55,000........................................................          11,688           7,973        2,897
      60,000........................................................          12,380           8,361        3,080
      65,000........................................................          13,071           8,750        3,264
      70,000........................................................          13,763           9,138        3,447
      75,000........................................................          14,454           9,527        3,631
      80,000........................................................          15,146           9,915        3,814
      85,000........................................................          15,837          10,304        3,997
      90,000........................................................          16,529          10,692        4,181
      95,000........................................................          17,220          11,081        4,364
      100,000.......................................................          17,912          11,469        4,548
      110,000.......................................................          19,295          12,246        4,915
      120,000.......................................................          20,678          13,023        5,281
      130,000.......................................................          22,061          13,800        5,648
      170,000.......................................................          27,593          16,908        7,116
    Air Force:
      35,000........................................................           9,216           7,090        2,125
      40,000........................................................          10,025           7,478        2,306
      45,000........................................................          10,835           7,866        2,487
      50,000........................................................          11,645           8,253        2,668
      55,000........................................................          12,454           8,641        2,849
      60,000........................................................          13,264           9,029        3,030
      65,000........................................................          14,073           9,417        3,211
      70,000........................................................          14,883           9,805        3,392
      75,000........................................................          15,693          10,193        3,573
      80,000........................................................          16,502          10,582        3,754
      85,000........................................................          17,312          10,971        3,935
      90,000........................................................          18,121          11,360        4,115
      95,000........................................................          18,931          11,749        4,296
      100,000.......................................................          19,741          12,138        4,477
      105,000.......................................................          20,550          12,527        4,658
      110,000.......................................................          21,360          12,915        4,838
      115,000.......................................................          22,169          13,304        5,019
      120,000.......................................................          22,979          13,692        5,200
      125,000.......................................................          23,789          14,081        5,381
    Marine Corps:
      10,000........................................................           2,525           1,480          571
      12,500........................................................           2,900           1,600          592
      15,000........................................................           3,275           1,720          613
      17,500........................................................           3,650           1,840          633
      20,000........................................................           4,025           1,960          654
      22,500........................................................           4,400           2,080          675
      25,000........................................................           4,775           2,200          695.''
    ----------------------------------------------------------------------------------------------------------------

        (b) Revision in Navy Limitations.--The table in paragraph (2) of
    such section is amended to read as follows:
    ---------------------------------------------------------------------------

    ----------------------------------------------------------------------------------------------------------------
                                                                         Number of officers who may be serving on
                                                                                 active duty in grade of:
     ``Total number of commissioned officers (excluding officers in  -----------------------------------------------
         categories specified in subsection (b)) on active duty:        Lieutenant
                                                                         commander       Commander        Captain
    ----------------------------------------------------------------------------------------------------------------
    Navy:
      30,000........................................................           7,331           5,018        2,116
      33,000........................................................           7,799           5,239        2,223
      36,000........................................................           8,267           5,460        2,330
      39,000........................................................           8,735           5,681        2,437
      42,000........................................................           9,203           5,902        2,544
      45,000........................................................           9,671           6,123        2,651
      48,000........................................................          10,139           6,343        2,758
      51,000........................................................          10,606           6,561        2,864
      54,000........................................................          11,074           6,782        2,971
      57,000........................................................          11,541           7,002        3,078
      60,000........................................................          12,009           7,222        3,185
      63,000........................................................          12,476           7,441        3,292
      66,000........................................................          12,944           7,661        3,398
      70,000........................................................          13,567           7,954        3,541
      90,000........................................................          16,683           9,419        4,254.''
    ----------------------------------------------------------------------------------------------------------------

        (c) Repeal of Temporary Authority for Variations in End
    Strengths.--The following provisions of law are repealed:
            (1) Section 402 of the National Defense Authorization Act for
        Fiscal Year 1994 (Public Law 103-160; 107 Stat. 1639; 10 U.S.C. 523
        note).
            (2) Section 402 of the National Defense Authorization Act for
        Fiscal Year 1995 (Public Law 103-337; 108 Stat. 2743; 10 U.S.C. 523
        note).
            (3) Section 402 of the National Defense Authorization Act for
        Fiscal Year 1996 (Public Law 104-106; 110 Stat. 286; 10 U.S.C. 523
        note).
        (d) Effective Date.--The amendments made by subsections (a), (b),
    and (c) shall take effect on September 1, 1997.

    SEC. 404. EXTENSION OF REQUIREMENT FOR RECOMMENDATIONS REGARDING
                  APPOINTMENTS TO JOINT 4-STAR OFFICER POSITIONS.

        (a) Service Secretary Recommendation Required.--Section 604(c) of
    title 10, United States Code, is amended by striking out ``September
    30, 1997'' and inserting in lieu thereof ``September 30, 2000''.
        (b) Grade Relief When Recommendation Made.--Section 525(b)(5)(C) of
    such title is amended by striking out ``September 30, 1997'' and
    inserting in lieu thereof ``September 30, 2000''.
        SEC. 405. INCREASE IN AUTHORIZED NUMBER OF GENERAL OFFICERS ON
          ACTIVE DUTY IN THE MARINE CORPS.
        Section 526(a)(4) of title 10, United States Code, is amended by
    striking out ``68'' and inserting in lieu thereof ``80''.

                           Subtitle B--Reserve Forces

    SEC. 411. END STRENGTHS FOR SELECTED RESERVE.

        (a) In General.--The Armed Forces are authorized strengths for
    Selected Reserve personnel of the reserve components as of September
    30, 1997, as follows:
            (1) The Army National Guard of the United States, 366,758.
            (2) The Army Reserve, 215,179.
            (3) The Naval Reserve, 96,304.
            (4) The Marine Corps Reserve, 42,000.
            (5) The Air National Guard of the United States, 109,178.
            (6) The Air Force Reserve, 73,311.
            (7) The Coast Guard Reserve, 8,000.
        (b) Waiver Authority.--The Secretary of Defense may vary the end
    strength authorized by subsection (a) by not more than 2 percent.
        (c) Adjustments.--The end strengths prescribed by subsection (a)
    for the Selected Reserve of any reserve component for a fiscal year
    shall be proportionately reduced by--
            (1) the total authorized strength of units organized to serve
        as units of the Selected Reserve of such component which are on
        active duty (other than for training) at the end of the fiscal
        year, and
            (2) the total number of individual members not in units
        organized to serve as units of the Selected Reserve of such
        component who are on active duty (other than for training or for
        unsatisfactory participation in training) without their consent at
        the end of the fiscal year.
    Whenever such units or such individual members are released from active
    duty during any fiscal year, the end strength prescribed for such
    fiscal year for the Selected Reserve of such reserve component shall be
    proportionately increased by the total authorized strengths of such
    units and by the total number of such individual members.

    SEC. 412. END STRENGTHS FOR RESERVES ON ACTIVE DUTY IN SUPPORT OF THE
                  RESERVES.

        Within the end strengths prescribed in section 411(a), the reserve
    components of the Armed Forces are authorized, as of September 30,
    1997, the following number of Reserves to be serving on full-time
    active duty or full-time duty, in the case of members of the National
    Guard, for the purpose of organizing, administering, recruiting,
    instructing, or training the reserve components:
            (1) The Army National Guard of the United States, 22,798.
            (2) The Army Reserve, 11,729.
            (3) The Naval Reserve, 16,603.
            (4) The Marine Corps Reserve, 2,559.
            (5) The Air National Guard of the United States, 10,403.
            (6) The Air Force Reserve, 655.

    SEC. 413. END STRENGTHS FOR MILITARY TECHNICIANS.

        (a) Authorization for Fiscal Year 1997.--The minimum number of
    military technicians as of the last day of fiscal year 1997 for the
    reserve components of the Army and the Air Force (notwithstanding
    section 129 of title 10, United States Code) shall be the following:
            (1) For the Army Reserve, 6,799.
            (2) For the Army National Guard of the United States, 25,500.
            (3) For the Air Force Reserve, 9,802.
            (4) For the Air National Guard of the United States, 23,299.
        (b) Information To Be Provided With Future Authorization
    Requests.--Section 10216 of title 10, United States Code, is amended--
            (1) by redesignating subsection (b) as subsection (c); and
            (2) by inserting after subsection (a) the following new
        subsection (b):
        ``(b) Information Required To Be Submitted With Annual End Strength
    Authorization Request.--(1) The Secretary of Defense shall include as
    part of the budget justification documents submitted to Congress with
    the budget of the Department of Defense for any fiscal year the
    following information with respect to the end strengths for military
    technicians requested in that budget pursuant to section 115(g) of this
    title, shown separately for each of the Army and Air Force reserve
    components:
            ``(A) The number of dual-status technicians in the high
        priority units and organizations specified in subsection (a)(1).
            ``(B) The number of technicians other than dual-status
        technicians in the high priority units and organizations specified
        in subsection (a)(1).
            ``(C) The number of dual-status technicians in other than high
        priority units and organizations specified in subsection (a)(1).
            ``(D) The number of technicians other than dual-status
        technicians in other than high priority units and organizations
        specified in subsection (a)(1).
        ``(2)(A) If the budget submitted to Congress for any fiscal year
    requests authorization for that fiscal year under section 115(g) of
    this title of a military technician end strength for a reserve
    component of the Army or Air Force in a number that constitutes a
    reduction from the end strength minimum established by law for that
    reserve component for the fiscal year during which the budget is
    submitted, the Secretary of Defense shall submit to the congressional
    defense committees with that budget a justification providing the basis
    for that requested reduction in technician end strength.
        ``(B) Any justification submitted under subparagraph (A) shall
    clearly delineate--
            ``(i) in the case of a reduction that includes a reduction in
        technicians described in subparagraph (A) or (C) of paragraph (1),
        the specific force structure reductions forming the basis for such
        requested technician reduction (andthe numbers related to those
    force structure reductions); and
            ``(ii) in the case of a reduction that includes reductions in
        technicians described in subparagraphs (B) or (D) of paragraph (1),
        the specific force structure reductions, Department of Defense
        civilian personnel reductions, or other reasons forming the basis
        for such requested technician reduction (and the numbers related to
        those reductions).''.
        (c) Technical Amendments.--Such section is further amended--
            (1) in subsection (a), by striking out ``section 115'' and
        inserting in lieu thereof ``section 115(g)''; and
            (2) in subsection (c), as redesignated by subsection (b)(1), by
        striking out ``after the date of the enactment of this section''
        both places it appears and inserting in lieu thereof ``after
        February 10, 1996,''.
        SEC. 414. ASSURANCE OF CONTINUED ASSIGNMENT OF MILITARY PERSONNEL
          TO SERVE IN SELECTIVE SERVICE SYSTEM.
        (a) Number of Military Personnel To Be Assigned.--Section 10 of the
    Military Selective Service Act (50 U.S.C. App. 460) is amended--
            (1) in subsection (b)(2), by inserting ``, subject to
        subsection (e),'' after ``to employ such number of civilians,
        and''; and
            (2) by inserting after subsection (d) the following new
        subsection:
        ``(e) The total number of armed forces personnel assigned to the
    Selective Service System under subsection (b)(2) at any time may not be
    less than the number of such personnel determined by the Director of
    Selective Service to be necessary, but not to exceed 745 persons,
    except that the President may assign additional armed forces personnel
    to the Selective Service System during a time of war or a national
    emergency declared by Congress or the President.''.
        (b) Stylistic Amendments.--Subsection (b) of such section is
    amended--
            (1) by striking out ``authorized--'' in the matter preceding
        paragraph (1) and inserting in lieu thereof ``authorized to
        undertake the following:'';
            (2) by striking out ``to'' at the beginning of paragraphs (1)
        through (7) and inserting in lieu thereof ``To'';
            (3) by striking out ``subject'' at the beginning of paragraphs
        (8), (9), and (10) and inserting in lieu thereof ``Subject''; and
            (4) by striking out the semicolon at the end of paragraphs (1)
        through (9) and inserting in lieu thereof a period.

                  Subtitle C--Authorization of Appropriations

        SEC. 421. AUTHORIZATION OF APPROPRIATIONS FOR MILITARY PERSONNEL.
        There is hereby authorized to be appropriated to the Department of
    Defense for military personnel for fiscal year 1997 a total of
    $70,056,130,000. The authorization in the preceding sentence supersedes
    any other authorization of appropriations (definite or indefinite) for
    such purpose for fiscal year 1997.

                       TITLE V--MILITARY PERSONNEL POLICY

                      Subtitle A--Officer Personnel Policy

    Sec. 501. Grade of Chief of Naval Research.
    Sec. 502. Chief and assistant chief of Army Nurse Corps and Air Force
    Nurse Corps.
    Sec. 503. Navy spot promotion authority for certain lieutenants with
    critical skills.
    Sec. 504. Time for award of degrees by unaccredited educational
    institutions for graduates to be considered educationally qualified for
    appointment as Reserve officers in grade O-3.
    Sec. 505. Exception to baccalaureate degree requirement for appointment
    in the Naval Reserve in grades above O-2.
    Sec. 506. Chief warrant officer promotions.
    Sec. 507. Service credit for senior ROTC cadets and midshipmen in
    simultaneous membership program.
    Sec. 508. Continuation on active status for certain Reserve officers of
    the Air Force.
    Sec. 509. Reports on response to recommendations concerning improvements
    to Department of Defense joint manpower process.
    Sec. 510. Frequency of reports to Congress on joint officer management
    policies.

                      Subtitle B--Enlisted Personnel Policy

    Sec. 511. Career service reenlistments for members with at least 10
    years of service.
    Sec. 512. Authority to extend period for entry on active duty under the
    delayed entry program.

                        Subtitle C--Activation and Recall

    Sec. 521. Limitations on recall of retired members to active duty.
    Sec. 522. Clarification of definition of active status.
    Sec. 523. Limitation of requirement for physical examinations of members
    of National Guard called into Federal service.

                    Subtitle D--Reserve Component Retirement

    Sec. 531. Increase in annual limit on days of inactive duty training
    creditable toward reserve retirement.
    Sec. 532. Retirement of reserve enlisted members who qualify for active
    duty retirement after administrative reduction in enlisted grade.
    Sec. 533. Authority for a Reserve on active duty to waive retirement
    sanctuary.
    Sec. 534. Eligibility of Reserves for disability retirement.

                   Subtitle E--Other Reserve Component Matters

    Sec. 541. Training for Reserves on active duty in support of the
    Reserves.
    Sec. 542. Eligibility for enrollment in Ready Reserve mobilization
    income insurance program.
    Sec. 543. Reserve credit for participation in Health Professions
    Scholarship and Financial Assistance Program.
    Sec. 544. Amendments to Reserve Officer Personnel Management Act
    provisions.
    Sec. 545. Report on number of advisers in active component support of
    Reserves pilot program.
    Sec. 546. Sense of Congress and report regarding reemployment rights for
    mobilized Reservists employed in foreign countries.
    Sec. 547. Payment of premiums under Mobilization Income Insurance
    Program.

                     Subtitle F--Officer Education Programs

    Sec. 551. Oversight and management of Senior Reserve Officers' Training
    Corps program.
    Sec. 552. Prohibition on reorganization of Army ROTC cadet command or
    termination of senior ROTC units pending report on ROTC.
    Sec. 553. Pilot program to test expansion of ROTC program to include
    graduate students.
    Sec. 554. Demonstration project for instruction and support of Army ROTC
    units by members of the Army Reserve and National Guard.
    Sec. 555. Extension of maximum age for appointment as a cadet or
    midshipman in the Senior Reserve Officers' Training Corps and the
    service academies.
    Sec. 556. Expansion of eligibility for education benefits to include
    certain Reserve Officers' Training Corps (ROTC) participants.
    Sec. 557. Comptroller General report on cost and policy implications of
    permitting up to five percent of service academy graduates to be
    assigned directly to Reserve duty upon graduation.

                       Subtitle G--Decorations and Awards

    Sec. 561. Authority for award of Medal of Honor to certain African
    American soldiers who served during World War II.
    Sec. 562. Waiver of time limitations for award of certain decorations to
    specified persons.
    Sec. 563. Replacement of certain American Theater Campaign Ribbons.

                            Subtitle H--Other Matters

    Sec. 571. Hate crimes in the military.
    Sec. 572. Disability coverage for members granted excess leave for
    educational or emergency purposes.
    Sec. 573. Clarification of authority of a reserve judge advocate to act
    as a military notary public when not in a duty status.
    Sec. 574. Panel on jurisdiction of courts-martial for the National Guard
    when not in Federal service.
    Sec. 575. Authority to expand law enforcement placement program to
    include firefighters.
    Sec. 576. Improvements to program to assist separated military and
    civilian personnel to obtain employment as teachers or teachers' aides.
    Sec. 577. Retirement at grade to which selected for promotion when a
    physical disability is found at any physical examination.
    Sec. 578. Revisions to missing persons authorities.

           Subtitle I--Commissioned Corps of the Public Health Service

    Sec. 581. Applicability to Public Health Service of prohibition on
    crediting cadet or midshipmen service at the service academies.
    Sec. 582. Exception to strength limitations for Public Health Service
    officers assigned to the Department of Defense.
    Sec. 583. Authority to provide legal assistance to Public Health Service
    officers.

                      Subtitle A--Officer Personnel Policy

        SEC. 501. GRADE OF CHIEF OF NAVAL RESEARCH.
        (a) Rear Admiral (Upper Half).--Section 5022(a) of title 10, United
    States Code, is amended--
            (1) by inserting ``(1)'' after ``(a)''; and
            (2) by adding at the end the following:
        ``(2) Unless appointed to higher grade under another provision of
    law, an officer, while serving in the Office of Naval Research as Chief
    of Naval Research, has the rank of rear admiral (upper half).''.
        (b) Effective Date.--Paragraph (2) of section 5022(a) of title 10,
    United States Code, as added by subsection (a), shall take effect upon
    the occurrence of the first vacancy in the position of Chief of Naval
    Research after the date of the enactment of this Act.
        Sec. 502. CHIEF AND ASSISTANT CHIEF OF ARMY NURSE CORPS AND AIR
          FORCE NURSE CORPS.
        (a) Army Nurse Corps.--(1) Subsection (b) of section 3069 of title
    10, United States Code, is amended--
            (A) in the first sentence, by striking out ``major'' and
        inserting in lieu thereof ``lieutenant colonel'';
            (B) by inserting after the first sentence the following: ``An
        appointee who holds a lower regular grade shall be appointed in the
        regular grade of brigadier general.''; and
            (C) in the last sentence, by inserting ``to the same position''
        before the period at the end.
        (2) Subsection (c) of such section is amended by striking out
    ``major'' in the first sentence and inserting in lieu thereof
    ``lieutenant colonel''.
        (3) The heading of such section is amended to read as follows:
     ``Sec. 3069. Army Nurse Corps: composition; Chief and assistant chief;
         appointment; grade
        (b) Air Force Nurse Corps.--Chapter 807 of such title is amended by
    inserting after section 8067 the following new section:
     ``Sec. 8069. Air Force nurses: Chief and assistant chief; appointment;
         grade
        ``(a) Positions of Chief and Assistant Chief.--There are a Chief
    and assistant chief of the Air Force Nurse Corps.
        ``(b) Chief.--The Secretary of the Air Force shall appoint the
    Chief from the officers of the Regular Air Force designated as Air
    Force nurses whose regular grade is above lieutenant colonel and who
    are recommended by the Surgeon General. An appointee who holds a lower
    regular grade shall be appointed in the regular grade of brigadier
    general. The Chief serves during the pleasure of the Secretary, but not
    for more than three years, and may not be reappointed to the same
    position.
        ``(c) Assistant Chief.--The Surgeon General shall appoint the
    assistant chief from the officers of the Regular Air Force designated
    as Air Force nurses whose regular grade is above lieutenant colonel.''.
        (c) Clerical Amendments.--(1) The item relating to section 3069 in
    the table of sections at the beginning of chapter 307 of such title is
    amended to read as follows:
    ``3069. Army Nurse Corps: composition; Chief and assistant chief;
    appointment; grade.''.

        (2) The table of sections at the beginning of chapter 807 of such
    title is amended by inserting after the item relating to section 8067
    the following new item:
    ``8069. Air Force Nurse Corps: Chief and assistant chief; appointment;
    grade.''.

    Sec. 503. NAVY SPOT PROMOTION AUTHORITY FOR CERTAIN LIEUTENANTS WITH
                  CRITICAL SKILLS.

        (a) Advice-and-Consent Appointments.--Subsection (a) of section
    5721 of title 10, United States Code, is amended by striking out ``the
    President alone'' and inserting in lieu thereof ``the President, by and
    with the advice and consent of the Senate''.
        (b) Repeal of Termination of Authority.--Such section is further
    amended by striking out subsection (g).
        (c) Clerical Amendment.--The caption for subsection (a) is amended
    to read as follows: ``Promotion Authority for Certain Officers With
    Critical Skills.--''.
        SEC. 504. TIME FOR AWARD OF DEGREES BY UNACCREDITED EDUCATIONAL
          INSTITUTIONS FOR GRADUATES TO BE CONSIDERED EDUCATIONALLY
          QUALIFIED FOR APPOINTMENT AS RESERVE OFFICERS IN GRADE O-3.
        Section 12205(c)(2)(C) of title 10, United States Code, is amended
    by striking out ``three years'' and inserting in lieu thereof ``eight
    years''.
        SEC. 505. EXCEPTION TO BACCALAUREATE DEGREE REQUIREMENT FOR
          APPOINTMENT IN THE NAVAL RESERVE IN GRADES ABOVE O-2.
        Section 12205(b)(3) of title 10, United States Code, is amended by
    inserting ``or the Seaman to Admiral program'' after ``(NAVCAD)
    program''.
        SEC. 506. CHIEF WARRANT OFFICER PROMOTIONS.
        (a) Reduction of Minimum Time in Grade Required for Consideration
    for Promotion.--Section 574(e) of title 10, United States Code, is
    amended by striking out ``three years of service'' and inserting in
    lieu thereof ``two years of service''.
        (b) Below-Zone Selection.--Section 575(b)(1) of such title is
    amended by inserting ``chief warrant officer, W-3,'' in the first
    sentence after ``to consider warrant officers for selection for
    promotion to the grade of''.
        SEC. 507. SERVICE CREDIT FOR SENIOR ROTC CADETS AND MIDSHIPMEN IN
          SIMULTANEOUS MEMBERSHIP PROGRAM.
        (a) Amendments to Title 10.--(1) Section 2106(c) of title 10,
    United States Code, is amended by striking out ``while serving on
    active duty other than for training after July 31, 1990, while a member
    of the Selected Reserve'' and inserting in lieu thereof ``performed on
    or after August 1, 1979, as a member of the Selected Reserve''.
        (2) Section 2107(g) of such title is amended by striking out
    ``while serving on active duty other than for training after July 31,
    1990, while a member of the Selected Reserve'' and inserting in lieu
    thereof ``performed on or after August 1, 1979, as a member of the
    Selected Reserve''.
        (3) Section 2107a(g) of such title is amended by inserting ``,
    other than enlisted service performed after August 1, 1979, as a member
    of Selected Reserve'' after ``service as a cadet or with concurrent
    enlisted service''.
        (b) Amendment to Title 37.--Section 205(d) of title 37, United
    States Code, is amended by striking out ``that service after July 31,
    1990, that the officer performed while serving on active duty'' and
    inserting in lieu thereof ``for service that the officer performed on
    or after August 1, 1979.''.
        (c) Benefits Not To Accrue for Prior Periods.--No increase in pay
    or retired or retainer pay shall accrue for periods before the date of
    the enactment of this Act by reason of the amendments made by this
    section.
        SEC. 508. CONTINUATION ON ACTIVE STATUS FOR CERTAIN RESERVE
          OFFICERS OF THE AIR FORCE.
        (a) Authority.--Section 14507 of title 10, United States Code, is
    amended by adding at the end the following new subsection:
        ``(c) Temporary Authority To Retain Certain Officers Designated as
    Judge Advocates.--(1) Notwithstanding the provisions of subsections (a)
    and (b), the Secretary of the Air Force may retain on the reserve
    active-status list any reserve officer of the Air Force who is
    designated as a judge advocate and who obtained the first professional
    degree in law while on an educational delay program subsequent to being
    commissioned through the Reserve Officers' Training Corps.
        ``(2) No more than 50 officers may be retained on the reserve
    active-status list under the authority of paragraph (1) at any time.
        ``(3) No officer may be retained on the reserve active-status list
    under the authority of paragraph (1) for a period exceeding three years
    from the date on which, but for that authority, that officer would have
    been removed from the reserve active-status list under subsection (a)
    or (b).
        ``(4) The authority of the Secretary of the Air Force under
    paragraph (1) expires on September 30, 2003.''.
      (b) Effective Date.--Subsection (c) of section 14507 of title 10,
    United States Code, as added by subsection (a), shall take effect on
    October 1, 1996.
        SEC. 509. REPORTS ON RESPONSE TO RECOMMENDATIONS CONCERNING
          IMPROVEMENTS TO DEPARTMENT OF DEFENSE JOINT MANPOWER PROCESS.
        (a) Semiannual Report.--The Secretary of Defense shall submit to
    Congress a semiannual report on the status of actions taken by the
    Secretary to implement the recommendations made by the Department of
    Defense Inspector General in the report of November 29, 1995, entitled
    ``Inspection of the Department of Defense Joint Manpower Process''
    (Report No. 96-029). The first such report shall be submitted not later
    than February 1, 1997. The requirement to submit such reports
    terminates after the fourth such report is submitted.
        (b) Additional Matter for First Report.--As part of the first
    report under subsection (a), the Secretary shall include the following:
            (1) The Secretary's assessment as to the need to establish a
        joint, centralized permanent organization in the Department of
        Defense to determine, validate, approve, and manage military and
        civilian manpower requirements resources at joint organizations.
            (2) The Secretary's assessment of the Department of Defense
        timeline and plan to increase the capability of the joint
        professional military education system (including the Armed Forces
        Staff College) to overcome the capacity limitations cited in the
        report referred to in subsection (a).
            (3) The Secretary's plan and timeline to provide the necessary
        training and education of reserve component officers.
        (c) GAO Assessment.--The Comptroller General of the United States
    shall assess the completeness and adequacy of the corrective actions
    taken by the Secretary with respect to the matters covered in the
    Inspector General report referred to in subsection (a). Not later than
    one year after the date of the enactment of this Act, the Comptroller
    General shall submit to Congress a report, based on the assessment
    under this subsection, providing the Comptroller General's findings and
    recommendations.
        SEC. 510. FREQUENCY OF REPORTS TO CONGRESS ON JOINT OFFICER
          MANAGEMENT POLICIES.
        (a) Change from Semiannual to Annual Report.--Section 662(b) of
    title 10, United States Code, is amended by striking out ``Report.--The
    Secretary of Defense shall periodically (and not less often than every
    six months) report to Congress on the promotion rates'' and inserting
    in lieu thereof ``Annual Report.--Not later than January 1 of each
    year, the Secretary of Defense shall submit to Congress a report on the
    promotion rates during the preceding fiscal year''.
        (b) Technical and Conforming Amendments.--Such section is further
    amended--
            (1) in the first sentence, by striking out ``clauses'' and
        inserting in lieu thereof ``paragraphs''; and
            (2) in the second sentence--
                (A) by inserting ``for any fiscal year'' after ``such
            objectives''; and
                (B) by striking out ``periodic report required by this
            subsection'' and inserting in lieu thereof ``report for that
            fiscal year''.

                     Subtitle B--Enlisted Personnel Policy

        SEC. 511. CAREER SERVICE REENLISTMENTS FOR MEMBERS WITH AT LEAST 10
          YEARS OF SERVICE.
        Subsection (d) of section 505 of title 10, United States Code, is
    amended to read as follows:
        ``(d)(1) The Secretary concerned may accept a reenlistment in the
    Regular Army, Regular Navy, Regular Air Force, Regular Marine Corps, or
    Regular Coast Guard, as the case may be, for a period determined under
    this subsection.
        ``(2) In the case of a member who has less than 10 years of service
    in the armed forces as of the day before the first day of the period
    for which reenlisted, the period for which the member reenlists shall
    be at least two years but not more than six years.
        ``(3) In the case of a member who has at least 10 years of service
    in the armed forces as of the day before the first day of the period
    for which reenlisted, the Secretary concerned may accept a reenlistment
    for either--
            ``(A) a specified period of at least two years but not more
        than six years; or
            ``(B) an unspecified period.
        ``(4) No enlisted member is entitled to be reenlisted for a period
    that would expire before the end of the member's current enlistment.''.
        SEC. 512. AUTHORITY TO EXTEND PERIOD FOR ENTRY ON ACTIVE DUTY UNDER
          THE DELAYED ENTRY PROGRAM.
        (a) Authority.--Section 513(b) of title 10, United States Code, is
    amended by inserting after the first sentence the following: ``The
    Secretary concerned may extend the 365-day period for any person for up
    to an additional 180 days if the Secretary determines that it is in the
    best interests of the armed force of which that person is a member to
    do so.''.
        (b) Technical Amendments.--Section 513(b) of such title, as amended
    by subsection (a), is further amended--
            (1) by inserting ``(1)'' after ``(b)'';
            (2) by designating the third sentence as paragraph (2); and
            (3) in paragraph (2), as so designated, by striking out ``the
        preceding sentence'' and inserting in lieu thereof ``paragraph
        (1)''.

                       Subtitle C--Activation and Recall

        SEC. 521. LIMITATIONS ON RECALL OF RETIRED MEMBERS TO ACTIVE DUTY.
        (a) Revision and Recodification of Authorities Relating to Retired
    Members Ordered to Active Duty.--Chapter 39 of title 10, United States
    Code, is amended by striking out section 688 and inserting in lieu
    thereof the following:
     ``Sec. 688. Retired members: authority to order to active duty; duties
        ``(a) Authority.--Under regulations prescribed by the Secretary of
    Defense, a member described in subsection (b) may be ordered to active
    duty by the Secretary of the military department concerned at any time.
        ``(b) Covered Members.--Except as provided in subsection (d),
    subsection (a) applies to the following members of the armed forces:
            ``(1) A retired member of the Regular Army, Regular Navy,
        Regular Air Force, or Regular Marine Corps.
            ``(2) A member of the Retired Reserve who was retired under
        section 1293, 3911, 3914, 6323, 8911, or 8914 of this title.
            ``(3) A member of the Fleet Reserve or Fleet Marine Corps
        Reserve.
        ``(c) Duties of Member Ordered to Active Duty.--The Secretary
    concerned may, to the extent consistent with other provisions of law,
    assign a member ordered to active duty under this section to such
    duties as the Secretary considers necessary in the interests of
    national defense.
        ``(d) Exclusion of Officers Retired on Selective Early Retirement
    Basis.--The following officers may not be ordered to active duty under
    this section:
            ``(1) An officer who retired under section 638 of this title.
            ``(2) An officer who--
                ``(A) after having been notified that the officer was to be
            considered for early retirement under section638 of this title
    by a board convened under section 611(b) of this title and before being
    considered by that board, requested retirement under section 3911,
    6323, or 8911 of this title; and
                ``(B) was retired pursuant to that request.
        ``(e) Limitation of Period of Recall Service.--A member ordered to
    active duty under subsection (a) may not serve on active duty pursuant
    to orders under that subsection for more than 12 months within the 24
    months following the first day of the active duty to which ordered
    under that subsection.
        ``(f) Waiver for Periods of War or National Emergency.--Subsections
    (d) and (e) do not apply in time of war or of national emergency
    declared by Congress or the President.
     ``Sec. 689. Retired members: grade in which ordered to active duty and
        upon release from active duty
        ``(a) General Rule for Grade in Which Ordered to Active Duty.--
    Except as provided in subsections (b) and (c), a retired member ordered
    to active duty under section 688 of this title shall be ordered to
    active duty in the member's retired grade.
        ``(b) Members Retired in O-9 and O-10 Grades.--A retired member
    ordered to active duty under section 688 of this title whose retired
    grade is above the grade of major general or rear admiral shall be
    ordered to active duty in the highest permanent grade held by such
    member while serving on active duty.
        ``(c) Members Who Previously Served in Grade Higher Than Retired
    Grade.--(1) A retired member ordered to active duty under section 688
    of this title who has previously served on active duty satisfactorily,
    as determined by the Secretary of the military department concerned, in
    a grade higher than that member's retired grade may be ordered to
    active duty in the highest grade in which the member had so served
    satisfactorily, except that such a member may not be so ordered to
    active duty in a grade above major general or rear admiral.
        ``(2) A retired member ordered to active duty in a grade that is
    higher than the member's retired grade pursuant to subsection (a) shall
    be treated for purposes of section 690 of this title as if the member
    was promoted to that higher grade while on that tour of active duty.
        ``(3) If, upon being released from that tour of active duty, such a
    retired member has served on active duty satisfactorily, as determined
    by the Secretary concerned, for not less than a total of 36 months in a
    grade that is a higher grade than the member's retired grade, the
    member is entitled to placement on the retired list in that grade.
        ``(d) Grade Upon Release From Active Duty.--A member ordered to
    active duty under section 688 of this title who, while on active duty,
    is promoted to a grade that is higher than that member's retired grade
    is entitled, upon that member's release from that tour of active duty,
    to placement on the retired list in the highest grade in which the
    member served on active duty satisfactorily, as determined by the
    Secretary of the military department concerned, for not less than six
    months.
     ``Sec. 690. Retired members ordered to active duty: limitation on
        number
        ``(a) General and Flag Officers.--Not more than 15 retired general
    officers of the Army, Air Force, or Marine Corps, and not more than 15
    retired flag officers of the Navy, may be on active duty at any one
    time. For the purposes of this subsection a retired officer ordered to
    active duty for a period of 60 days or less is not counted.
        ``(b) Limitation by Service.--(1) Not more than 25 officers of any
    one armed force may be serving on active duty concurrently pursuant to
    orders to active duty issued under section 688 of this title.
        ``(2) In the administration of paragraph (1), the following
    officers shall not be counted:
            ``(A) A chaplain who is assigned to duty as a chaplain for the
        period of active duty to which ordered.
            ``(B) A health care professional (as characterized by the
        Secretary concerned) who is assigned to duty as a health care
        professional for the period of the active duty to which ordered.
            ``(C) Any officer assigned to duty with the American Battle
        Monuments Commission for the period of active duty to which
        ordered.
        ``(c) Waiver for Periods of War or National Emergency.--Subsection
    (a) does not apply in time of war or of national emergency declared by
    Congress or the President after November 30, 1980. Subsection (b) does
    not apply in time of war or of national emergency declared by Congress
    or the President.''.
        (b) Effective Date.--The amendments made by this section shall take
    effect on September 30, 1997.
        (c) Clerical Amendment.--The table of sections at the beginning of
    such chapter is amended by striking out the item relating to section
    688 and inserting in lieu thereof the following:

    ``688. Retired members: authority to order to active duty; duties.

    ``689. Retired members: grade in which ordered to active duty and upon
    release from active duty.

    ``690. Retired members ordered to active duty: limitation on number.''.

        (d) Cross Reference Amendment.--Section 6151(a) of title 10, United
    States Code, is amended by striking out ``688'' and inserting in lieu
    thereof ``689''.

    SEC. 522. CLARIFICATION OF DEFINITION OF ACTIVE STATUS.

        Section 101(d)(4) of title 10, United States Code, is amended by
    striking out ``a reserve commissioned officer, other than a
    commissioned warrant officer,'' and inserting in lieu thereof the
    following: ``a member of a reserve component''.
        SEC. 523. LIMITATION OF REQUIREMENT FOR PHYSICAL EXAMINATIONS OF
          MEMBERS OF NATIONAL GUARD CALLED INTO FEDERAL SERVICE.
        Section 12408(a) of title 10, United States Code, is amended by
    inserting ``under section 12301(a), 12302, or 12304 of this title''
    after ``called into Federal service''.

                    Subtitle D--Reserve Component Retirement

        SEC. 531. INCREASE IN ANNUAL LIMIT ON DAYS OF INACTIVE DUTY
          TRAINING CREDITABLE TOWARD RESERVE RETIREMENT.
        (a) Increase in Limit.--Section 12733(3) is amended by inserting
    before the period at the end the following: ``of service before the
    year of service in which the date of the enactment of the National
    Defense Authorization Act for Fiscal Year 1997 occurs and not more than
    75 days in any subsequent year of service''.
        (b) Tracking System for Award of Retirement Points.--To better
    enable the Secretary of Defense and Congress to assess the cost and the
    effect on readiness of the amendment made by subsection (a) and of
    other potential changes to the Reserve retirement system under chapter
    1223 of title 10, United States Code, the Secretary of Defense shall
    require the Secretary of each military department to implement a system
    to monitor the award of retirement points for purposes of that chapter
    by categories in accordance with the recommendation set forth in the
    August 1988 report of the Sixth Quadrennial Review of Military
    Compensation.
        (c) Recommendations to Congress.--The Secretary shall submit to
    Congress, not later than one year after the date of the enactment of
    this Act, the recommendations of the Secretary with regard to the
    adoption of the following Reserve retirement initiatives recommended in
    the August 1988 report of the Sixth Quadrennial Review of Military
    Compensation:
            (1) Elimination of membership points under subparagraph (C) of
        section 12732(a)(2) of title 10, United States Code, in conjunction
        with a decrease from 50 to 35 in the number of points required for
        a satisfactory year under that section.
            (2) Limitation to 60 in any year on the number of points that
        may be credited under subparagraph (B) of section 12732(a)(2) of
        such title at two points per day.
            (3) Limitation to 360 in any year on the total number of
        retirement points countable for purposes of section 12733 of such
        title.
        SEC. 532. RETIREMENT OF RESERVE ENLISTED MEMBERS WHO QUALIFY FOR
          ACTIVE DUTY RETIREMENT AFTER ADMINISTRATIVE REDUCTION IN ENLISTED
          GRADE.
        (a) Army.--(1) Chapter 369 of title 10, United States Code, is
    amended by inserting after section 3962 the following new section:
     ``Sec. 3963. Highest grade held satisfactorily: Reserve enlisted
         members reduced in grade not as a result of the member's
         misconduct
        ``(a) A Reserve enlisted member of the Army described in subsection
    (b) who is retired under section 3914 of this title shall be retired in
    the highest enlisted grade in which the member served on active duty
    satisfactorily (or, in the case of a member of the National Guard, in
    which the member served on full-time National Guard duty
    satisfactorily), as determined by the Secretary of the Army.
        ``(b) This section applies to a Reserve enlisted member who--
            ``(1) at the time of retirement is serving on active duty (or,
        in the case of a member of the National Guard, on full-time
        National Guard duty) in a grade lower than the highest enlisted
        grade held by the member while on active duty (or full-time
        National Guard duty); and
            ``(2) was previously administratively reduced in grade not as a
        result of the member's own misconduct, as determined by the
        Secretary of the Army.
        ``(c) This section applies with respect to Reserve enlisted members
    who are retired under section 3914 of this title after September 30,
    1996.''.
        (2) The table of sections at the beginning of such chapter is
    amended by inserting after the item relating to section 3962 the
    following new item:

    ``3963. Highest grade held satisfactorily: Reserve enlisted members
    reduced in grade not as a result of the member's misconduct.''.

        (b) Navy and Marine Corps.--(1) Chapter 571 of title 10, United
    States Code, is amended by adding at the end the following new section:
     ``Sec. 6336. Highest grade held satisfactorily: Reserve enlisted
         members reduced in grade not as a result of the member's
         misconduct
        ``(a) A member of the Naval Reserve or Marine Corps Reserve
    described in subsection (b) who is transferred to the Fleet Reserve or
    the Fleet Marine Corps Reserve under section 6330 of this title shall
    be transferred in the highest enlisted grade in which the member served
    on active duty satisfactorily, as determined by the Secretary of the
    Navy.
        ``(b) This section applies to a Reserve enlisted member who--
            ``(1) at the time of transfer to the Fleet Reserve or Fleet
        Marine Corps Reserve is serving on active duty in a grade lower
        than the highest enlisted grade held by the member while on active
        duty; and
            ``(2) was previously administratively reduced in grade not as a
        result of the member's own misconduct, as determined by the
        Secretary of the Navy.
        ``(c) This section applies with respect to enlisted members of the
    Naval Reserve and Marine Corps Reserve who are transferred to the Fleet
    Reserve or the Fleet Marine Corps Reserve after September 30, 1996.''.
        (2) The table of sections at the beginning of such chapter is
    amended by adding at the end the following new item:

    ``6336. Highest grade held satisfactorily: Reserve enlisted members
    reduced in grade not as a result of the member's misconduct.''.

        (c) Air Force.--(1) Chapter 869 of title 10, United States Code, is
    amended by inserting after section 8962 the following new section:
    ``Sec. 8963. Highest grade held satisfactorily: Reserve enlisted
         members reduced in grade not as a result of the member's
         misconduct
        ``(a) A Reserve enlisted member of the Air Force described in
    subsection (b) who is retired under section 8914 of this title shall be
    retired in the highest enlisted grade in which the member served on
    active duty satisfactorily (or, in the case of a member of the National
    Guard, in which the member served on full-time National Guard duty
    satisfactorily), as determined by the Secretary of the Air Force.
        ``(b) This section applies to a Reserve enlisted member who--
            ``(1) at the time of retirement is serving on active duty (or,
        in the case of a member of the National Guard, on full-time
        National Guard duty) in a grade lower than the highest enlisted
        grade held by the member while on active duty (or full-time
        National Guard duty); and
            ``(2) was previously administratively reduced in grade not as a
        result of the member's own misconduct, as determined by the
        Secretary of the Air Force.
        ``(c) This section applies with respect to Reserve enlisted members
    who are retired under section 8914 of this title after September 30,
    1996.''.
        (2) The table of sections at the beginning of such chapter is
    amended by inserting after the item relating to section 8962 the
    following new item:

    ``8963. Highest grade held satisfactorily: Reserve enlisted members
    reduced in grade not as a result of the member's misconduct.''.

        (d) Computation of Retired and Retainer Pay Based Upon Retired
    Grade.--(1) Section 3991 of such title is amended by adding at the end
    the following new subsection:
        ``(c) Special Rule for Retired Reserve Enlisted Members Covered by
    Section 3963.--In the case of a Reserve enlisted member retired under
    section 3914 of this title whose retired grade is determined under
    section 3963 of this title and who first became a member of a uniformed
    service before September 8, 1980, the retired pay base of the member
    (notwithstanding section 1406(a)(1) of this title) is the amount of the
    monthly basic pay of the member's retired grade (determined based upon
    the rates of basic pay applicable on the date of the member's
    retirement), and that amount shall be used for the purposes of
    subsection (a)(1)(A) rather than the amount computed under section
    1406(c) of this title.''.
        (2) Section 6333 of such title is amended by adding at the end the
    following new subsection:
        ``(c) In the case of a Reserve enlisted member whose grade upon
    transfer to the Fleet Reserve or Fleet Marine Corps Reserve is
    determined under section 6336 of this title and who first became a
    member of a uniformed service before September 8, 1980, the retainer
    pay base of the member (notwithstanding section 1406(a)(1) of this
    title) is the amount of the monthly basic pay of the grade in which the
    member is so transferred (determined based upon the rates of basic pay
    applicable on the date of the member's transfer), and that amount shall
    be used for the purposes of the table in subsection (a) rather than the
    amount computed under section 1406(d) of this title.''.
        (3) Section 8991 of such title is amended by adding at the end the
    following new subsection:
        ``(c) Special Rule for Retired Reserve Enlisted Members Covered by
    Section 8963.--In the case of a Reserve enlisted member retired under
    section 8914 of this title whose retired grade is determined under
    section 8963 of this title and who first became a member of a uniformed
    service before September 8, 1980, the retired pay base of the member
    (notwithstanding section 1406(a)(1) of this title) is the amount of the
    monthly basic pay of the member's retired grade (determined based upon
    the rates of basic pay applicable on the date of the member's
    retirement), and that amount shall be used for the purposes of
    subsection (a)(1)(A) rather than the amount computed under section
    1406(e) of this title.''.
        SEC. 533. AUTHORITY FOR A RESERVE ON ACTIVE DUTY TO WAIVE
          RETIREMENT SANCTUARY.
        Section 12686 of title 10, United States Code, is amended--
            (1) by inserting ``(a) Limitation.--'' before ``Under
        regulations''; and
            (2) by adding at the end the following:
        ``(b) Waiver.--With respect to a member of a reserve component who
    is to be ordered to active duty (other than for training) under section
    12301 of this title pursuant to an order to active duty that specifies
    a period of less than 180 days and who (but for this subsection) would
    be covered by subsection (a), the Secretary concerned may require, as a
    condition of such order to active duty, that the member waive the
    applicability of subsection (a) to the member for the period of active
    duty covered by that order. In carrying out this subsection, the
    Secretary concerned may require that a waiver under the preceding
    sentence be executed before the period of active duty begins.''.

    SEC. 534. ELIGIBILITY OF RESERVES FOR DISABILITY RETIREMENT.

        Paragraph (2) of section 1204 of title 10, United States Code, is
    amended to read as follows:
            ``(2) the disability is the proximate result of, or was
        incurred in line of duty after the date of the enactment of this
        Act as a result of--
                ``(A) performing active duty or inactive-duty training;
                ``(B) traveling directly to or from the place at which such
            duty is performed; or
                ``(C) an injury, illness, or disease incurred or aggravated
            while remaining overnight, between successive periods of
            inactive-duty training, at or in the vicinity of the site of
            the inactive duty training, if the site is outside reasonable
            commuting distance of the member's residence;''.

                  Subtitle E--Other Reserve Component Matters

        SEC. 541. TRAINING FOR RESERVES ON ACTIVE DUTY IN SUPPORT OF THE
          RESERVES.
        Subsection (b) of section 12310 of title 10, United States Code, is
    amended to read as follows:
        ``(b) A Reserve on active duty as described in subsection (a) may
    be provided training consistent with training provided to other members
    on active duty, as the Secretary concerned sees fit.''.

    SEC. 542. ELIGIBILITY FOR ENROLLMENT IN READY RESERVE MOBILIZATION
                  INCOME INSURANCE PROGRAM.

        Section 12524 of title 10, United States Code, is amended by adding
    at the end the following new subsection:
        ``(g) Members of Individual Ready Reserve.--Notwithstanding any
    other provision of this section, and pursuant to regulations issued by
    the Secretary, a member of the Individual Ready Reserve who becomes a
    member of the Selected Reserve shall not be denied eligibility to
    purchase insurance under this chapter upon becoming a member of the
    Selected Reserve unless the member previously declined to enroll in the
    program of insurance under this chapter while a member of the Selected
    Reserve.''.
        SEC. 543. RESERVE CREDIT FOR PARTICIPATION IN HEALTH PROFESSIONS
          SCHOLARSHIP AND FINANCIAL ASSISTANCE PROGRAM.
        (a) Credit Authorized.--Section 2126 of title 10, United States
    Code, is amended--
            (1) by striking out ``Service performed'' and inserting in lieu
        thereof ``(a) Service Not Creditable.--Except as provided in
        subsection (b), service performed''; and
            (2) by adding at the end the following:
        ``(b) Service Creditable for Certain Purposes.--(1) The Secretary
    concerned may authorize service performed by a member of the program in
    pursuit of a course of study under this subchapter to be counted in
    accordance with this subsection if the member--
            ``(A) completes the course of study;
            ``(B) completes the active duty obligation imposed under
        section 2123(a) of this title; and
            ``(C) possesses a specialty designated by the Secretary
        concerned as critically needed in wartime.
        ``(2) Service credited under paragraph (1) counts only for the
    following purposes:
            ``(A) Award of retirement points for computation of years of
        service under section 12732 of this title and for computation of
        retired pay under section 12733 of this title.
            ``(B) Computation of years of service creditable under section
        205 of title 37.
        ``(3) For purposes of paragraph (2)(A), a member may be credited in
    accordance with paragraph (1) with not more than 50 points for each
    year of participation in a course of study that the member
    satisfactorily completes as a member of the program.
        ``(4) Service may not be counted under paragraph (1) for more than
    four years of participation in a course of study as a member of the
    program.
        ``(5) A member is not entitled to any retroactive award of, or
    increase in, pay or allowances under title 37 by reason of an award of
    service credit under paragraph (1).''.
        (b) Award of Retirement Points.--(1) Section 12732(a)(2) of such
    title is amended--
            (A) by inserting after clause (C) the following:
                ``(D) Points credited for the year under section 2126(b) of
            this title.''; and
            (B) in the matter following clause (D), as inserted by
        paragraph (1), by striking out ``and (C)'' and inserting in lieu
        thereof ``(C), and (D)''.
        (2) Section 12733(3) of such title is amended by striking out ``or
    (C)'' and inserting in lieu thereof ``(C), or (D)''.
        SEC. 544. AMENDMENTS TO RESERVE OFFICER PERSONNEL MANAGEMENT ACT
          PROVISIONS.
        (a) Service Requirement for Retirement in Highest Grade Held.--
    Section 1370(d) of title 10, United States Code, is amended--
            (1) by redesignating paragraph (3) as paragraph (4);
            (2) in paragraph (2)(A), by striking out ``(A)'';
            (3) by redesignating paragraph (2)(B) as paragraph (3); and
            (4) in paragraph (3), as so redesignated--
                (A) by designating the first sentence as subpara- graph
            (A);
                (B) by designating the second sentence as subparagraph (B);
                (C) in subparagraph (B), as so redesignated, by striking
            out ``the preceding sentence'' and inserting in lieu thereof
            ``subparagraph (A)''; and
                (D) by adding at the end the following:
        ``(C) If a person covered by subparagraph (A) has completed at
    least six months of satisfactory service in grade, the person was
    serving in that grade while serving in a position of adjutant general
    required under section 314 of title 32 or while serving in a position
    of assistant adjutant general subordinate to such a position of
    adjutant general, and the person has failed to complete three years of
    service in that grade solely because the person's appointment to such
    position has been terminated or vacated as described in section 324(b)
    of such title, then such person may be credited with satisfactory
    service in that grade, notwithstanding the failure to complete three
    years of service in that grade.
        ``(D) To the extent authorized by the Secretary of the military
    department concerned, a person who, after having been recommended for
    promotion in a report of a promotion board but before being promoted to
    the recommended grade, served in a position for which that grade is the
    minimum authorized grade may be credited for purposes of subparagraph
    (A) as having served in that grade for the period for which the
    personserved in that position while in the next lower grade. The period
    credited may not include any period before the date on which the Senate
    provides advice and consent for the appointment of that person in the
    recommended grade.
        ``(E) To the extent authorized by the Secretary of the military
    department concerned, a person who, after having been extended
    temporary Federal recognition as a reserve officer of the Army National
    Guard in a particular grade under section 308 of title 32 or temporary
    Federal recognition as a reserve officer of the Air National Guard in a
    particular grade under such section, served in a position for which
    that grade is the minimum authorized grade may be credited for purposes
    of subparagraph (A) as having served in that grade for the period for
    which the person served in that position while extended the temporary
    Federal recognition, but only if the person was subsequently extended
    permanent Federal recognition as a reserve officer in that grade and
    also served in that position after being extended the permanent Federal
    recognition.''.
        (b) Exception to Requirement for Retention of Reserve Officers
    Until Completion of Required Service.--Section 12645(b)(2) of such
    title is amended by inserting ``or a reserve active-status list'' after
    ``active-duty list''.
        (c) Technical Correction.--Section 14314(b)(2)(B) of such title is
    amended by striking out ``of the Air Force''.
        SEC. 545. REPORT ON NUMBER OF ADVISERS IN ACTIVE COMPONENT SUPPORT
          OF RESERVES PILOT PROGRAM.
        (a) Report on Number of Active Component Advisers.--Not later than
    six months after the date of the enactment of this Act, the Secretary
    of Defense shall submit to the Committee on Armed Services of the
    Senate and the Committee on National Security of the House of
    Representatives a report setting forth the Secretary's determination as
    to the appropriate number of active component personnel to be assigned
    to serve as advisers to reserve components under section 414 of the
    National Defense Authorization Act for Fiscal Years 1992 and 1993 (10
    U.S.C. 12001 note). If the Secretary's determination is that such
    number should be a number other than the required minimum number in
    effect under subsection (c) of such section, the Secretary shall
    include in the report an explanation providing the Secretary's
    justification for the number recommended.
        (b) Technical Amendment.--Section 414(a) of the National Defense
    Authorization Act for Fiscal Years 1992 and 1993 (10 U.S.C. 12001 note)
    is amended by striking out ``During fiscal years 1992 and 1993, the
    Secretary of the Army shall institute'' and inserting in lieu thereof
    ``The Secretary of the Army shall carry out''.
        SEC. 546. SENSE OF CONGRESS AND REPORT REGARDING REEMPLOYMENT
          RIGHTS FOR MOBILIZED RESERVISTS EMPLOYED IN FOREIGN COUNTRIES.
        (a) Sense of Congress.--Congress is concerned about the lack of
    reemployment rights afforded Reserve component members who reside in
    foreign countries and either work for United States companies that
    maintain offices or operations in foreign countries or work for foreign
    employers. Being outside the jurisdiction of the United States, these
    employers are not subject to the provisions of chapter 43 of title 38,
    United States Code, known as the Uniformed Services Employment and
    Reemployment Rights Act (USERRA). The purpose of that Act is to provide
    statutory employment protections that include reinstatement, seniority,
    status, and rate of pay coverage for Reservists who are ordered to
    active duty for a specified period of time, including involuntary
    active duty in support of an operational contingency. While most
    Reserve members are afforded the protections of that Act (which covers
    reemployment rights in their civilian jobs upon completion of military
    service), approximately 2,000 members of the Selected Reserve reside
    outside the United States and its territories and, not being guaranteed
    the job protection envisioned by the USERRA, are potentially subject to
    reemployment problems after release from active duty. This situation
    poses a continuing personnel management challenge for the reserve
    components.
        (b) Recognition of Problem.--Congress, while recognizing that
    foreign governments and companies located abroad, not being within the
    jurisdiction of the United States, cannot be required to comply with
    the provisions of the Uniformed Services Employment and Reemployment
    Rights Act, also recognizes that there is a need to provide assistance
    to Reservists in the situation described in subsection (a), both in the
    near term and the long term.
        (c) Report Requirement.--Not later than April 1, 1997, the
    Secretary of Defense shall submit to the Committee on Armed Services of
    the Senate and the Committee on National Security of the House of
    Representatives a report that sets forth recommended actions to help
    alleviate reemployment problems for Reservists who are employed outside
    the United States and its territories by United States companies that
    maintain offices or operations in foreign countries or by foreign
    employers. The report shall include recommendations on the assistance
    and support that may be required by other organizations of the
    Government, including the Defense Attache Offices, the Department of
    Labor, and the Department of State. The report shall be prepared in
    consultation with the Secretary of State and the Secretary of Labor.
        SEC. 547. PAYMENT OF PREMIUMS UNDER MOBILIZATION INCOME INSURANCE
          PROGRAM.
        Section 12527(a) of title 10, United States Code, is amended--
            (1) in paragraph (1), by inserting ``of the Selected Reserve''
        after ``a member''; and
            (2) by striking out paragraph (2) and inserting in lieu thereof
        the following:
        ``(2) The Secretary of Defense, in consultation with the Secretary
    of Transportation, shall prescribe regulations which specify the
    procedures for payment of premiums by members of the Individual Ready
    Reserve and other members who do not receive pay on a monthly basis.''.

                     Subtitle F--Officer Education Programs

        SEC. 551. OVERSIGHT AND MANAGEMENT OF SENIOR RESERVE OFFICERS'
          TRAINING CORPS PROGRAM.
        (a) Enrollment Priority To Be Consistent With Purpose of Program.--
    (1) Section 2103 of title 10, United States Code, is amended by adding
    at the end the following new subsection:
        ``(e) An educational institution at which a unit of the program has
    been established shall give priority for enrollment in the program to
    students who are eligible for advanced training under section 2104 of
    this title.''.
        (2) Section 2109 of such title is amended by adding at the end the
    following new subsection:
        ``(c)(1) A person who is not qualified for, and (as determined by
    the Secretary concerned) will not be able to become qualified for,
    advanced training by reason of one or more of the requirements
    prescribed in paragraphs (1) through (3) of section 2104(b) of this
    title shall not be permitted to participate in--
            ``(A) field training or a practice cruise under section
        2106(b)(6) of this title; or
            ``(B) practical military training under subsection (a).
        ``(2) The Secretary of the military department concerned may waive
    the limitation in paragraph (1) under procedures prescribed by the
    Secretary. Such procedures shall ensure uniform application of
    limitations and restrictions without regard to the reason for
    disqualification for advanced training.''.
        (b) Wear of the Military Uniform.--Section 772(h) of such title is
    amended by inserting before the period at the end the following: ``if
    the wear of such uniform is specifically authorized under regulations
    prescribed by the Secretary of the military department concerned''.
        SEC. 552. PROHIBITION ON REORGANIZATION OF ARMY ROTC CADET COMMAND
          OR TERMINATION OF SENIOR ROTC UNITS PENDING REPORT ON ROTC.
        (a) Prohibition.--(1) The Secretary of the Army may not reorganize
    or restructure the Reserve Officers Training Corps Cadet Command, and
    may not terminate any Senior Reserve Officer Training Corps unit
    identified in the document referred to in paragraph (2), until 180 days
    after the date on which the Secretary submits to the Committee on Armed
    Services of the Senate and the Committee on National Security of the
    House of Representatives the report described in subsection (b).
        (2) The document referred to in paragraph (1) is the Department of
    Defense document dated May 20, 1996, entitled ``Information for Members
    of Congress concerning Senior Reserve Officer Training Corps (ROTC)
    Unit Closures''.
        (b) Report Contents.--The report referred to in subsection (a) is a
    report by the Secretary of the Army in which the Secretary--
            (1) describes the selection process used to identify the
        Reserve Officer Training Corps units of the Army to be terminated;
            (2) lists the criteria used by the Army to select Reserve
        Officer Training Corps units for termination;
            (3) sets forth the specific ranking of each unit of the Reserve
        Officer Training Corps of the Army to be terminated as against all
        other such units;
            (4) sets forth the authorized and actual cadre staffing of each
        such unit for each fiscal year of the 10-fiscal year period ending
        with fiscal year 1996;
            (5) sets forth the production goals and performance evaluations
        of each such unit for each fiscal year of the 10-fiscal year period
        ending with fiscal year 1996;
            (6) describes how cadets currently enrolled in the units
        referred to in paragraph (5) will be accommodated after the closure
        of such units;
            (7) describes the incentives to enhance the Reserve Officer
        Training Corps program that are provided by each of the colleges on
        the closure list;
            (8) includes the projected officer accession plan by source of
        commission for the active-duty Army, the Army Reserve, and the Army
        National Guard; and
            (9) describes whether the closure of any ROTC unit will
        adversely affect the recruitment of minority officer candidates.
        SEC. 553. PILOT PROGRAM TO TEST EXPANSION OF ROTC PROGRAM TO
          INCLUDE GRADUATE STUDENTS.
        (a) Test Program.--Section 2107(c) of title 10, United States Code,
    is amended--
            (1) by inserting ``(1)'' after ``(c)''; and
            (2) by adding at the end the following:
        ``(2) The Secretary of Defense shall authorize the Secretaries of
    the military departments to carry out a test program to determine the
    desirability of enabling graduate students to participate in the
    financial assistance program under this section. As part of such test
    program, the Secretary of a military department may provide financial
    assistance, as described in paragraph (1), to a student enrolled in an
    advanced education program beyond the baccalaureate degree level if the
    student also is a cadet or midshipman in an advanced training program.
    Not more than 15 percent of the total number of scholarships awarded
    under this section in any year may be awarded under the test program.
    No scholarship may be awarded under the test program after September
    30, 1999.''.
        (b) Authority To Enroll in Advanced Training Program.--Paragraph
    (3) of section 2101 of title 10, United States Code, is amended by
    inserting ``students enrolled in an advanced education program beyond
    the baccalaureate degree level or to'' after `instruction offered in
    the Senior Reserve Officers' Training Corps to''.
        (c) Report to Congress.--Not later than December 31, 1998, the
    Secretary of Defense shall submit to Congress areport on the experience
    to that date under the test program authorized under the amendment made
    by subsection (a)(2). The report shall include the Secretary's
    assessment of the effect of the test program on the Senior ROTC program
    and the Secretary's recommendation as to whether the authority under
    the test program should be made permanent.
        SEC. 554. DEMONSTRATION PROJECT FOR INSTRUCTION AND SUPPORT OF ARMY
          ROTC UNITS BY MEMBERS OF THE ARMY RESERVE AND NATIONAL GUARD.
        (a) Demonstration Project Required.--The Secretary of the Army
    shall carry out a demonstration project in order to assess the
    feasibility and advisability of providing instruction and similar
    support to units of the Senior Reserve Officers' Training Corps of the
    Army through members of the Army Reserve (including members of the
    Individual Ready Reserve) and members of the Army National Guard.
        (b) Project Requirements.--(1) The Secretary shall carry out the
    demonstration project at at least one institution of higher education.
        (2) In order to enhance the value of the project, the Secretary may
    take actions to ensure that members of the Army Reserve and the Army
    National Guard provide instruction and support under the project in a
    variety of innovative ways.
        (c) Inapplicability of Limitation on Reserves in Support of ROTC.--
    The assignment of a member of the Army Reserve or the Army National
    Guard to provide instruction or support under the demonstration project
    shall not be treated as an assignment of the member to duty with a unit
    of a Reserve Officer Training Corps program for purposes of section
    12321 of title 10, United States Code.
        (d) Reports to Congress.--Not later than February 1 in each of 1998
    and 1999, the Secretary shall submit to Congress a report assessing the
    activities under the demonstration project during the preceding year.
    The report submitted in 1999 shall include the Secretary's
    recommendation as to the advisability of continuing or expanding the
    authority for the project.
        (e) Termination.--The authority of the Secretary to carry out the
    demonstration project shall expire three years after the date of the
    enactment of this Act.
        SEC. 555. EXTENSION OF MAXIMUM AGE FOR APPOINTMENT AS A CADET OR
          MIDSHIPMAN IN THE SENIOR RESERVE OFFICERS' TRAINING CORPS AND THE
          SERVICE ACADEMIES.
        (a) Senior Reserve Officers' Training Corps.--Sections 2107(a) and
    2107a(a) of title 10, United States Code, are amended--
            (1) by striking out ``25 years of age'' and inserting in lieu
        thereof ``27 years of age''; and
            (2) by striking out ``29 years of age'' and inserting in lieu
        thereof ``30 years of age''.
        (b) United States Military Academy.--Section 4346(a) of such title
    is amended by striking out ``twenty-second birthday'' and inserting in
    lieu thereof ``twenty-third birthday''.
        (c) United States Naval Academy.--Section 6958(a)(1) of such title
    is amended by striking out ``twenty-second birthday'' and inserting in
    lieu thereof ``twenty-third birthday''.
        (d) United States Air Force Academy.--Section 9346(a) of such title
    is amended by striking out ``twenty-second birthday'' and inserting in
    lieu thereof ``twenty-third birthday''.
        SEC. 556. EXPANSION OF ELIGIBILITY FOR EDUCATION BENEFITS TO
          INCLUDE CERTAIN RESERVE OFFICERS' TRAINING CORPS (ROTC)
          PARTICIPANTS.
        (a) Active Duty Service.--Section 3011(c) of title 38, United
    States Code, is amended--
            (1) by striking out ``or upon completion of a program of
        educational assistance under section 2107 of title 10'' in
        paragraph (2); and
            (2) by adding at the end the following:
        ``(3) An individual who after December 31, 1976, receives a
    commission as an officer in the Armed Forces upon completion of a
    program of educational assistance under section 2107 of title 10 is not
    eligible for educational assistance under this section if the
    individual enters on active duty--
            ``(A) before October 1, 1996; or
            ``(B) after September 30, 1996, and while participating in such
        program received more than $2,000 for each year of such
        participation.''.
        (b) Selected Reserve.--Section 3012(d) of title 38, United States
    Code, is amended--
            (1) by striking out ``or upon completion of a program of
        educational assistance under section 2107 of title 10'' in
        paragraph (2); and
            (2) by adding at the end the following:
        ``(3) An individual who after December 31, 1976, receives a
    commission as an officer in the Armed Forces upon completion of a
    program of educational assistance under section 2107 of title 10 is not
    eligible for educational assistance under this section if the
    individual enters on active duty--
            ``(A) before October 1, 1996; or
            ``(B) after September 30, 1996, and while participating in such
        program received more than $2,000 for each year of such
        participation.''.
        SEC. 557. COMPTROLLER GENERAL REPORT ON COST AND POLICY
          IMPLICATIONS OF PERMITTING UP TO FIVE PERCENT OF SERVICE ACADEMY
          GRADUATES TO BE ASSIGNED DIRECTLY TO RESERVE DUTY UPON
          GRADUATION.
        (a) Report Required.--The Comptroller General of the United States
    shall submit to the Committee on Armed Services of the Senate and the
    Committee on National Security of the House of Representatives a report
    providing an analysis of the cost implications, and the policy
    implications, of permitting up to five percent of each graduating class
    of each of the service academies to be placed, upon graduation and
    commissioning, in an active status in the appropriate reserve component
    (without a minimum period of obligated active duty service), with
    acorresponding increase in the number of ROTC graduates each year who
    are permitted to serve on active duty upon commissioning.
        (b) Information on Current Academy Graduates in Reserve
    Components.--The Comptroller General shall include in the report
    information (shown in the aggregate and separately for each of the
    Armed Forces and for graduates of each service academy) on--
            (1) the number of academy graduates who at the time of the
        report are serving in an active status in a reserve component; and
            (2) within the number under paragraph (1), the number for each
        reserve component and, of those, the number within each reserve
        component who are on active duty under section 12301(d) of title
        10, United States Code, for the purpose of organizing,
        administering, recruiting, instructing, or training the reserve
        components.
        (c) Submission of Report.--The report shall be submitted not later
    than six months after the date of the enactment of this Act.
        (d) Service Academies.--For purposes of this section, the term
    ``service academies'' means--
            (1) the United States Military Academy;
            (2) the United States Naval Academy; and
            (3) the United States Air Force Academy.

                       Subtitle G--Decorations and Awards

        SEC. 561. AUTHORITY FOR AWARD OF MEDAL OF HONOR TO CERTAIN AFRICAN
          AMERICAN SOLDIERS WHO SERVED DURING WORLD WAR II.
        (a) Inapplicability of Time Limitations.--Notwithstanding the time
    limitations in section 3744(b) of title 10, United States Code, or any
    other time limitation, the President may award the Medal of Honor to
    the persons specified in subsection (b), each of whom has been found by
    the Secretary of the Army to have distinguished himself conspicuously
    by gallantry and intrepidity at the risk of his life above and beyond
    the call of duty while serving in the United States Army during World
    War II.
        (b) Persons Eligible To Receive the Medal of Honor.--The persons
    referred to in subsection (a) are the following:
            (1) Vernon J. Baker, who served as a first lieutenant in the
        370th Infantry Regiment, 92nd Infantry Division.
            (2) Edward A. Carter, who served as a staff sergeant in the
        56th Armored Infantry Battalion, Twelfth Armored Division.
            (3) John R. Fox, who served as a first lieutenant in the 366th
        Infantry Regiment, 92nd Infantry Division.
            (4) Willy F. James, Jr., who served as a private first class in
        the 413th Infantry Regiment, 104th Infantry Division.
            (5) Ruben Rivers, who served as a staff sergeant in the 761st
        Tank Battalion.
            (6) Charles L. Thomas, who served as a first lieutenant in the
        614th Tank Destroyer Battalion.
            (7) George Watson, who served as a private in the 29th
        Quartermaster Regiment.
        (c) Posthumous Award.--The Medal of Honor may be awarded under this
    section posthumously, as provided in section 3752 of title 10, United
    States Code.
        (d) Prior Award.--The Medal of Honor may be awarded under this
    section for service for which a Distinguished-Service Cross, or other
    award, has been awarded.
        SEC. 562. WAIVER OF TIME LIMITATIONS FOR AWARD OF CERTAIN
          DECORATIONS TO SPECIFIED PERSONS.
        (a) Waiver of Time Limitation.--Any limitation established by law
    or policy for the time within which a recommendation for the award of a
    military decoration or award must be submitted shall not apply in the
    case of awards of decorations as described in subsection (b), the award
    of each such decoration having been determined by the Secretary of the
    Navy to be warranted in accordance with section 1130 of title 10,
    United States Code.
        (b) Distinguished Flying Cross.--Subsection (a) applies to awards
    of the Distinguished Flying Cross for service during World War II as
    follows:
            (1) First award.--First award, for completion of at least 20
        qualifying combat missions, to the following members and former
        members of the Armed Forces:
                Vernard V. Aiken of Wilmington, Vermont.
                Ira V. Babcock of Dothan, Georgia.
                George S. Barlow of Grafton, Virginia.
                Earl A. Bratton of Bodega Bay, California.
                Travis C. Cork of Leesburg, Florida.
                Herman C. Edwards of Johns Island, South Carolina.
                Norman J. Ehr of Kiel, Wisconsin.
                James M. Fitzgerald of Anchorage, Alaska.
                Raymond C. Gordon of Sherborn, Massachusetts.
                Paul L. Hitchcock of Raleigh, North Carolina.
                Harold H. Hottle of Hillsboro, Ohio.
                Samuel M. Keith of Anderson, South Carolina.
                Stanley J. Ksiadz of Cheektowaga, New York.
                Otis Lancaster of Wyoming, Michigan.
                Robert W. Lorette of Wilton, New Hampshire.
                John B. McCabe of Biglerville, Pennsylvania.
                James P. Merriman of Midland, Texas.
                The late Michael L. Michalak, formerly of Akron, New York.
                The late Edward J. Naparkowsky, formerly of Hartford,
            Connecticut.
                Pete G. Nicora of Warren, Ohio.
                Stanley J. Orlowski of Jackson, Michigan.
                Raymond A. Peischl of Allentown, Pennsylvania.
                A. Jerome Pfeiffer of Racine, Wisconsin.
                Duane L. Rhodes of Earp, California.
                Frank V. Roach of Bloomfield, New Jersey.
                Arnold V. Rosekrans of Horseheads, New York.
                Joseph E. Seaman, Jr. of Bordentown, New Jersey.
                Richard F. Shumaker of Hilliard, Ohio.
                Luther E. Thomas of Panama City, Florida.
                Merton S. Ward of South Hamilton, Massachusetts.
                Simon L. Webb of Magnolia, Mississippi.
                Jerry W. Webster of Leander, Texas.
            (2) Second award.--Second award, for completion of at least 40
        qualifying combat missions, to the following members and former
        members of the Armed Forces:
                Arthur C. Adair of Grants Pass, Oregon.
                Robert B. Carnes of West Yarmouth, Massachusetts.
                Daniel K. Connors of Hampton, New Hampshire.
                Glen E. Danielson of Whittier, California.
                Ralph J. Deceuster of Dover, Ohio.
                Albert P. Emsley of Bothell, Washington.
                Urbain J. Fournier of Houma, Louisiana.
                Prescott C. Jernegan of Hemet, California.
                Stephen K. Johnson of Englewood, Florida.
                Warren E. Johnson of Vista, California.
                Elbert J. Kimble of San Francisco, California.
                George W. Knauff of Monument, Colorado.
                John W. Lincoln of Rockland, Massachusetts.
                Alan D. Marker of Sonoma, California.
                Joseph J. Oliver of White Haven, Pennsylvania.
                Shefield Phelps of Seattle, Washington.
                John B. Tagliapiri of St. Helena, California.
                Dewilles A.H.W. Schwartz of Watertown, South Dakota.
                Ray B. Stiltner of Centralia, Washington.
            (3) Third award.--Third award, for completion of at least 60
        qualifying combat missions, to the following members and former
        members of the Armed Forces:
                Glenn Bowers of Dillsburg, Pennsylvania.
                Arthur C. Casey of Irving, California.
                Robert J. Larsen of Gulf Breeze, Florida.
                David Mendoza of McAllen, Texas.
                William A. Nickerson of Portland, Oregon.
                Maurice F. Smith of Sequim, Washington.
            (4) Fourth award.--Fourth award, for completion of at least 80
        qualifying combat missions, to the following members and former
        members of the Armed Forces:
                Robert Bair of Ontario, California.
                Arvid L. Kretz of Santa Rosa, California.
                George E. McClane of Cocoa Beach, Florida.
                Orville R. Swick of Issaquah, Washington.
            (5) Fifth award.--Fifth award, for completion of at least 100
        qualifying combat missions, to the following members and former
        members of the Armed Forces:
                William A. Baldwin of San Clemente, California.
                George Bobb of Blackwood, New Jersey.
                John R. Conrad of Hot Springs, Arkansas.
                Herbert R. Hetrick of Roaring Springs, Pennsylvania.
                William L. Wells of Cordele, Georgia.
            (6) Sixth award.--Sixth award, for completion of at least 120
        qualifying combat missions, to Richard L. Murray of Dallas, Texas.
        SEC. 563. REPLACEMENT OF CERTAIN AMERICAN THEATER CAMPAIGN RIBBONS.
        (a) Replacement Ribbons.--The Secretary of the Army, pursuant to
    section 3751 of title 10, United States Code, may replace any World War
    II decoration known as the American Theater Campaign Ribbon that was
    awarded to a person listed in the order described in subsection (b).
         (b) Ribbons Properly Awarded.--Any person listed in the document
    titled ``General Order Number 1'', issued by the Third Auxiliary
    Surgical Group, APO 647, United States Army, dated February 1, 1943,
    shall be considered to have been properly awarded the American Theater
    Campaign Ribbon for service during World War II.

                           Subtitle H--Other Matters

    SEC. 571. HATE CRIMES IN THE MILITARY.

        (a) Human Relations Training.--(1) The Secretary of Defense shall
    ensure that the Secretary of each military department conducts ongoing
    programs for human relations training for all members of the Armed
    Forces under the jurisdiction of the Secretary. Matters to be covered
    by such training include race relations, equal opportunity, opposition
    to gender discrimination, and sensitivity to ``hate group'' activity.
    Such training shall be provided during basic training (or other initial
    military training) and on a regular basis thereafter.
        (2) The Secretary of Defense shall also ensure that unit commanders
    are aware of their responsibilities in ensuring that impermissible
    activity based upon discriminatory motives does not occur in units
    under their command.
        (b) Information To Be Provided to Prospective Recruits.--The
    Secretary of Defense shall ensure that each individual preparing to
    enter an officer accession program or to execute an original enlistment
    agreement is provided information concerning the meaning of the oath of
    office or oath of enlistment for service in the Armed Forces in terms
    of the equal protection and civil liberties guarantees of the
    Constitution, and each such individual shall be informed that if
    supporting those guarantees is not possible personally for that
    individual, then that individual should decline to enter the Armed
    Forces.
        (c) Annual Survey.--(1) Section 451 of title 10, United States
    Code, is amended to read as follows:
    ``Sec. 451. Race relations, gender discrimination, and hate group
        activity: annual survey and report
        ``(a) Annual Survey.--The Secretary of Defense shall carry out an
    annual survey to measure the state of racial, ethnic, and gender issues
    and discrimination among members of the Armed Forces serving on active
    duty and the extent (if any) of activity among such members that may be
    seen as so-called `hate group' activity. The survey shall solicit
    information on therace relations and gender relations climate in the
    Armed Forces, including--
            ``(1) indicators of positive and negative trends of relations
        among all racial and ethnic groups and between the sexes;
            ``(2) the effectiveness of Department of Defense policies
        designed to improve race, ethnic, and gender relations; and
            ``(3) the effectiveness of current processes for complaints on
        and investigations into racial, ethnic, and gender discrimination.
        ``(b) Implementing Entity.--The Secretary shall carry out each
    annual survey through the entity in the Department of Defense known as
    the Armed Forces Survey on Race/Ethnic Issues.
        ``(c) Reports to Congress.--Upon completion of each annual survey
    under subsection (a), the Secretary shall submit to Congress a report
    containing the results of the survey.''.
        (2) The item relating to such section in the table of sections at
    the beginning of chapter 22 of such title is amended to read as
    follows:

    ``451. Race relations, gender discrimination, and hate group activity:
    annual survey and report.''.

    SEC. 572. DISABILITY COVERAGE FOR MEMBERS GRANTED EXCESS LEAVE FOR
                  EDUCATIONAL OR EMERGENCY PURPOSES.

        (a) Eligibility for Retirement.--Section 1201 of title 10, United
    States Code, is amended--
            (1) by striking out the matter preceding paragraph (1) and
        inserting in lieu thereof the following:
        ``(a) Retirement.--Upon a determination by the Secretary concerned
    that a member described in subsection (c) is unfit to perform the
    duties of the member's office, grade, rank, or rating because of
    physical disability incurred while entitled to basic pay or while
    absent as described in subsection (c)(3), the Secretary may retire the
    member, with retired pay computed under section 1401 of this title, if
    the Secretary also makes the determinations with respect to the member
    and that disability specified in subsection (b).
        ``(b) Required Determinations of Disability.--Determinations
    referred to in subsection (a) are determinations by the Secretary
    that--''; and
            (2) by adding at the end the following:
        ``(c) Eligible Members.--This section and sections 1202 and 1203 of
    this title apply to the following members:
            ``(1) A member of a regular component of the armed forces
        entitled to basic pay.
            ``(2) Any other member of the armed forces entitled to basic
        pay who has been called or ordered to active duty (other than for
        training under section 10148(a) of this title) for a period of more
        than 30 days.
            ``(3) Any other member of the armed forces who is on active
        duty but is not entitled to basic pay by reason of section 502(b)
        of title 37 due to authorized absence (A) to participate in an
        educational program, or (B) for an emergency purpose, as determined
        by the Secretary concerned.''.
        (b) Eligibility for Placement on Temporary Disability Retirement
    List.--Section 1202 of title 10, United States Code, is amended by
    striking out ``a member of a regular component'' and all that follows
    through ``more than 30 days,'' and inserting in lieu thereof ``a member
    described in section 1201(c) of this title''.
        (c) Eligibility for Separation.--Section 1203 of title 10, United
    States Code, is amended by striking out the matter preceding paragraph
    (1) and inserting in lieu thereof the following:
        ``(a) Separation.--Upon a determination by the Secretary concerned
    that a member described in section 1201(c) of this title is unfit to
    perform the duties of the member's office, grade, rank, or rating
    because of physical disability incurred while entitled to basic pay or
    while absent as described in section 1201(c)(3) of this title, the
    member may be separated from the member's armed force, with severance
    pay computed under section 1212 of this title, if the Secretary also
    makes the determinations with respect to the member and that disability
    specified in subsection (b).
        ``(b) Required Determinations of Disability.--Determinations
    referred to in subsection (a) are determinations by the Secretary
    that--''.
        (d) Effective Date.--The amendments made by this section shall take
    effect on the date of the enactment of this Act and shall apply with
    respect to physical disabilities incurred on or after such date.
        SEC. 573. CLARIFICATION OF AUTHORITY OF A RESERVE JUDGE ADVOCATE TO
          ACT AS A MILITARY NOTARY PUBLIC WHEN NOT IN A DUTY STATUS.
        Section 1044a(b) of title 10, United States Code, is amended--
            (1) in paragraph (1), by striking out ``on active duty or
        performing inactive-duty training'' and inserting in lieu thereof
        ``, including reserve judge advocates when not in a duty status'';
            (2) in paragraph (3), by striking out ``adjutants on active
        duty or performing inactive-duty training'' and inserting in lieu
        thereof ``adjutants, including reserve members when not in a duty
        status''; and
            (3) in paragraph (4), by striking out ``persons on active duty
        or performing inactive-duty training'' and inserting in lieu
        thereof ``members of the armed forces, including reserve members
        when not in a duty status,''.
        SEC. 574. PANEL ON JURISDICTION OF COURTS-MARTIAL FOR THE NATIONAL
          GUARD WHEN NOT IN FEDERAL SERVICE.
        (a) Establishment.--The Secretary of Defense shall establish a
    panel to review the various authorities for court-martial and
    nonjudicial punishment jurisdiction for the National Guard not in
    Federal service and the use of those authorities.
        (b) Membership.--The Secretary shall appoint the members of the
    panel so as to ensure representation of the following:
            (1) The State Adjutants General of the National Guard.
            (2) The State Attorneys General.
            (3) The Joint Service Committee on Military Justice of the
        Department of Defense.
        (c) Duties.--Matters reviewed by the panel shall include the
    following:
            (1) The extent of the use of court-martial and nonjudicial
        punishment authority for the National Guard not in Federal service.
            (2) The extent to which the authority used is--
                (A) authority under title 32, United States Code; or
                (B) authority under State law.
        (d) Report.--(1) Not later than February 1, 1997, the panel shall
    submit a report on the panel's findings and conclusions to the
    Secretary of Defense.
        (2) The report shall include recommended legislation for amending
    title 32, United States Code--
            (A) to increase the uniformity in State use of courts-martial
        and nonjudicial punishment for the National Guard when not in
        Federal service; and
            (B) to achieve increased comparability between the court-
        martial and nonjudicial punishment procedures that are applicable
        to the National Guard not in Federal service and the court-martial
        and nonjudicial punishment procedures that are applicable under the
        Uniform Code of Military Justice to the National Guard in Federal
        service.
        (e) Submission of Report to Congress.--Not later than March 1,
    1997, the Secretary of Defense shall submit to Congress the report of
    the panel under subsection (d) together with the views of the Secretary
    regarding the report and the matters covered in the report.
        SEC. 575. AUTHORITY TO EXPAND LAW ENFORCEMENT PLACEMENT PROGRAM TO
          INCLUDE FIREFIGHTERS.
        Section 1152(g) of title 10, United States Code, is amended--
            (1) by striking out ``(g) Conditional Expansion of Placement to
        Include Firefighters.--(1) Subject to paragraph (2), the'' and
        inserting in lieu thereof ``(g) Authority To Expand Placement To
        Include Firefighters.--The''; and
            (2) in paragraph (2)--
                (A) by striking out the first sentence; and
                (B) in the second sentence, by inserting ``authorized by
            this subsection'' after ``expansion''.
        SEC. 576. IMPROVEMENTS TO PROGRAM TO ASSIST SEPARATED MILITARY AND
          CIVILIAN PERSONNEL TO OBTAIN EMPLOYMENT AS TEACHERS OR TEACHERS'
          AIDES.
        (a) Program for Separated Members.--(1) Section 1151 of title 10,
    United States Code, is amended--
            (A) in subsection (f)(2), by striking out ``five school years''
        in subparagraphs (A) and (B) and inserting in lieu thereof ``two
        school years''; and
            (B) in subsection (h)(3)(A), by striking out ``five consecutive
        school years'' and inserting in lieu thereof ``two consecutive
        school years''.
        (2) Subsection (g)(2) of such section is amended--
            (A) by striking out the comma after ``section 1174a of this
        title'' and inserting in lieu thereof ``or''; and
            (B) by striking out ``, or retires pursuant to the authority
        provided in section 4403 of the National Defense Authorization Act
        for fiscal year 1993 (Public Law 102-484; 10 U.S.C. 1293 note)''.
        (3) Subsection (h)(3)(B) of such section is amended--
            (A) in clause (i), by striking out ``$25,000'' and inserting in
        lieu thereof ``$17,000'';
            (B) in clause (ii)--
                (i) by striking out ``40 percent'' and inserting in lieu
            thereof ``25 percent''; and
                (ii) by striking out ``$10,000'' and inserting in lieu
            thereof ``$8,000''; and
            (C) by striking out clauses (iii), (iv), and (v).
        (b) Separated Civilian Employees of the Department of Defense.--
    Section 1598(d)(2) of such title is amended by striking out ``five
    school years'' in subparagraphs (A) and (B) and inserting in lieu
    thereof ``two school years''.
        (c) Displaced Department of Defense Contractor Employees.--Section
    2410j(f)(2) of such title is amended by striking out ``five school
    years'' in subparagraphs (A) and (B) and inserting in lieu thereof
    ``two school years''.
        (d) Savings Provision.--The amendments made by this section do not
    affect obligations under agreements entered into in accordance with
    section 1151, 1598, or 2410j of title 10, United States Code, before
    the date of the enactment of this Act.
        SEC. 577. RETIREMENT AT GRADE TO WHICH SELECTED FOR PROMOTION WHEN
          A PHYSICAL DISABILITY IS FOUND AT ANY PHYSICAL EXAMINATION.
        Section 1372 of title 10, United States Code, is amended by
    striking out ``his physical examination for promotion'' in paragraphs
    (3) and (4) and inserting in lieu thereof ``a physical examination''.

    SEC. 578. REVISIONS TO MISSING PERSONS AUTHORITIES.

        (a) Repeal of Applicability of Authorities to Department of Defense
    Civilian Employees and Contractor Employees.--(1) Section 1501 of title
    10, United States Code, is amended--
            (A) in subsection (c)--
                (i) by striking out ``applies in the case of'' and all that
            follows through ``(1) Any member'' and inserting in lieu
            thereof ``applies in the case of any member''; and
                (ii) by striking out paragraph (2); and
            (B) by striking out subsection (f).
        (2) Section 1503(c) of such title is amended--
            (A) in paragraph (1), by striking out ``one individual
        described in paragraph (2)'' and inserting in lieu thereof ``one
        military officer'';
            (B) by striking out paragraph (2); and
            (C) by redesignating paragraphs (3) and (4) as paragraphs (2)
        and (3), respectively.
        (3) Section 1504(d) of such title is amended--
            (A) by striking out the text of paragraph (1) and inserting in
        lieu thereof the following new text: ``A board appointed under this
        section shall be composed of at least three members who are
        officers having the grade of major or lieutenant commander or
        above.''; and
            (B) in paragraph (4), by striking out ``section 1503(c)(4)''
        and inserting in lieu thereof ``section 1503(c)(3)''.
        (4) Paragraph (1) of section 1513 of such title is amended to read
    as follows:
            ``(1) The term `missing person' means a member of the armed
        forces on active duty who is in a missing status.''.
        (b) Report on Preliminary Assessment of Status.--(1) Section 1502
    of such title is amended--
            (A) in subsection (a)(2)--
                (i) by striking out ``48 hours'' and inserting in lieu
            thereof ``10 days''; and
                (ii) by striking out ``theater component commander with
            jurisdiction over the missing person'' and inserting in lieu
            thereof ``Secretary concerned'';
            (B) by striking out subsection (b);
            (C) by redesignating subsection (c) as subsection (b); and
            (D) in subsection (b), as so redesignated, by striking out the
        second sentence.
        (2) Section 1503(a) of such title is amended by striking out
    ``section 1502(b)'' and inserting in lieu thereof ``section 1502(a)''.
        (3) Section 1513 of such title is amended by striking out paragraph
    (8).
        (c) Frequency of Subsequent Reviews.--Subsection (b) of section
    1505 of such title is amended to read as follows:
        ``(b) Frequency of Subsequent Reviews.--The Secretary concerned
    shall conduct inquiries into the whereabouts and status of a person
    under subsection (a) upon receipt of information that may result in a
    change of status of the person. The Secretary concerned shall appoint a
    board to conduct such inquiries.''.
        (d) Repeal of Statutory Penalties for Wrongful Withholding of
    Information.--Section 1506 of such title is amended--
            (1) by striking out subsection (e); and
            (2) by redesignating subsection (f) as subsection (e).
        (e) Information To Accompany Recommendation of Status of Death.--
    Section 1507(b) of such title is amended by striking out paragraphs (3)
    and (4).
        (f) Scope of Preenactment Review.--(1) Section 1509 of such title
    is amended--
            (A) by striking out subsection (c); and
            (B) by redesignating subsection (d) as subsection (c).
        (2)(A) The heading of such section is amended by striking out ``,
    special interest''.
        (B) The item relating to such section in the table of sections at
    the beginning of chapter 76 of such title is amended by striking out
    ``, special interest''.

          Subtitle I--Commissioned Corps of the Public Health Service

        SEC. 581. APPLICABILITY TO PUBLIC HEALTH SERVICE OF PROHIBITION ON
          CREDITING CADET OR MIDSHIPMEN SERVICE AT THE SERVICE ACADEMIES.
        (a) Prohibition on Counting Enlisted Service Performed While at
    Service Academy.--Subsection (a) of section 971 of title 10, United
    States Code, is amended by inserting before the period at the end the
    following: ``or an officer in the Commissioned Corps of the Public
    Health Service''.
        (b) Prohibition on Counting Service as a Cadet or Midshipman.--
    Subsection (b) of such section is amended to read as follows:
        ``(b) Prohibition on Counting Service as a Cadet or Midshipman.--In
    computing length of service for any purpose, service as a cadet or
    midshipman may not be credited to any of the following officers:
            ``(1) An officer of the Navy or Marine Corps.
            ``(2) A commissioned officer of the Army or Air Force.
            ``(3) An officer of the Coast Guard.
            ``(4) An officer in the commissioned corps of the Public Health
        Service.''.
        (c) Technical Amendments.--(1) Such section is further amended by
    adding at the end the following new subsection:
        ``(c) Service as a Cadet or Midshipman Defined.--In this section,
    the term `service as a cadet or midshipman' means--
            ``(1) service as a cadet at the United States Military Academy,
        United States Air Force Academy, or United States Coast Guard
        Academy; or
            ``(2) service as a midshipman at the United States Naval
        Academy.''.
        (2) Subsection (a) of such section is further amended--
            (A) by inserting ``Prohibition on Counting Enlisted Service
        Performed While at Service Academy or in Naval Reserve.--'' after
        ``(a)''; and
            (B) by striking out ``while also serving'' and all that follows
        through ``Naval Academy or'' and inserting in lieu thereof ``while
        also performing service as a cadet or midshipman or serving as a
        midshipman''.
        (3) The heading of such section, and the item relating to such
    section in the table of sections at the beginning of chapter 49 of such
    title, are amended by striking out the seventh word.
        SEC. 582. EXCEPTION TO STRENGTH LIMITATIONS FOR PUBLIC HEALTH
          SERVICE OFFICERS ASSIGNED TO THE DEPARTMENT OF DEFENSE.
        Section 206 of the Public Health Service Act (42 U.S.C. 207) is
    amended by adding at the end the following new subsection:
        ``(f) In computing the maximum number of commissioned officers of
    the Public Health Service authorized by law or administrative
    determination to serve on active duty, there may be excluded from such
    computation officers who are assigned to duty in the Department of
    Defense.''.
        SEC. 583. AUTHORITY TO PROVIDE LEGAL ASSISTANCE TO PUBLIC HEALTH
          SERVICE OFFICERS.
        (a) Legal Assistance Available.--Subsection (a) of section 1044 of
    title 10, United States Code, is amended by striking out paragraph (3)
    and inserting in lieu thereof the following:
            ``(3) Officers of the commissioned corps of the Public Health
        Service who are on active duty or entitled to retired or equivalent
        pay.
            ``(4) Dependents of members and former members described in
        paragraphs (1), (2), and (3).''.
        (b) Limitation on Assistance.--Subsection (c) of such section is
    amended--
            (1) by striking out ``armed forces'' and inserting in lieu
        thereof ``uniformed services described in subsection (a)''; and
            (2) by inserting ``such'' after ``dependent of''.
        (c) Clarifying Amendments.--Subsection (a) of such section is
    further amended by striking out ``under his jurisdiction'' in
    paragraphs (1) and (2).
        (d) Stylistic Amendments.--Subsection (a) of such section is
    further amended--
            (1) in the matter preceding paragraph (1), by striking out
        ``to--'' and inserting in lieu thereof ``to the following
        persons:'';
            (2) by capitalizing the first letter of the first word of
        paragraphs (1) and (2);
            (3) by striking out the semicolon at the end of paragraph (1)
        and inserting in lieu thereof a period; and
            (4) by striking out ``; and'' at the end of paragraph (2) and
        inserting in lieu thereof a period.

              TITLE VI--COMPENSATION AND OTHER PERSONNEL BENEFITS

                         Subtitle A--Pay and Allowances

    Sec. 601. Military pay raise for fiscal year 1997.
    Sec. 602. Adjustment of rate of cadet and midshipman pay.
    Sec. 603. Pay of senior noncommissioned officers while hospitalized.
    Sec. 604. Availability of basic allowance for quarters for certain
    members without dependents who serve on sea duty.
    Sec. 605. Uniform applicability of discretion to deny an election not to
    occupy Government quarters.
    Sec. 606. Establishment of minimum monthly amount of variable housing
    allowance for high housing cost areas.
    Sec. 607. Family separation allowance for members separated by military
    orders from spouses who are members.
    Sec. 608. Waiver of time limitations for claim for pay and allowances.

               Subtitle B--Bonuses and Special and Incentive Pays

    Sec. 611. One-year extension of certain bonuses and special pay
    authorities for Reserve forces.
    Sec. 612. One-year extension of certain bonuses and special pay
    authorities for nurse officer candidates, registered nurses, and nurse
    anesthetists.
    Sec. 613. One-year extension of authorities relating to payment of other
    bonuses and special pays.
    Sec. 614. Special pay for certain Public Health Service officers.
    Sec. 615. Special incentives to recruit and retain dental officers.
    Sec. 616. Foreign language proficiency pay for Public Health Service and
    National Oceanic and Atmospheric Administration officers.

                Subtitle C--Travel and Transportation Allowances

    Sec. 621. Allowance in connection with shipping motor vehicle at
    Government expense.
    Sec. 622. Dislocation allowance at a rate equal to two and one-half
    months basic allowance for quarters.
    Sec. 623. Allowance for travel performed in connection with leave
    between consecutive overseas tours.
    Sec. 624. Funding for transportation of household effects of Public
    Health Service officers.

         Subtitle D--Retired Pay, Survivor Benefits, and Related Matters

    Sec. 631. Effective date for military retiree cost-of-living adjustment
    for fiscal year 1998.
    Sec. 632. Clarification of initial computation of retiree COLAs after
    retirement.
    Sec. 633. Suspension of payment of retired pay of members who are absent
    from the United States to avoid prosecution.
    Sec. 634. Nonsubstantive restatement of Survivor Benefit Plan statute.
    Sec. 635. Increases in Survivor Benefit Plan contributions to be
    effective concurrently with payment of retired pay cost-of-living
    increases.
    Sec. 636. Amendments to the Uniformed Services Former Spouses'
    Protection Act.
    Sec. 637. Prevention of circumvention of court order by waiver of
    retired pay to enhance civil service retirement annuity.
    Sec. 638. Administration of benefits for so-called minimum income
    widows.

                            Subtitle E--Other Matters

    Sec. 651. Discretionary allotment of pay, including retired or retainer
    pay.
    Sec. 652. Reimbursement for adoption expenses incurred in adoptions
    through private placements.
    Sec. 653. Waiver of recoupment of amounts withheld for tax purposes from
    certain separation pay.
    Sec. 654. Technical correction clarifying limitation on furnishing
    clothing or allowances for enlisted National Guard technicians.
    Sec. 655. Technical correction to prior authority for payment of back
    pay to certain persons.
    Sec. 656. Compensation for persons awarded prisoner of war medal who did
    not previously receive compensation as a prisoner of war.
    Sec. 657. Payments to certain persons captured and interned by North
    Vietnam.

                         Subtitle A--Pay and Allowances

    SEC. 601. MILITARY PAY RAISE FOR FISCAL YEAR 1997.

        (a) Waiver of Section 1009 Adjustment.--Any adjustment required by
    section 1009 of title 37, United States Code, in elements of
    compensation of members of the uniformed services to become effective
    during fiscal year 1997 shall not be made.
        (b) Increase in Basic Pay and BAS.--Effective on January 1, 1997,
    the rates of basic pay and basic allowance for subsistence of members
    of the uniformed services are increased by 3.0 percent.
        (c) Increase in BAQ.--Effective on January 1, 1997, the rates of
    basic allowance for quarters of members of the uniformed services are
    increased by 4.6 percent.

    SEC. 602. ADJUSTMENT OF RATE OF CADET AND MIDSHIPMAN PAY.

        Section 203(c) of title 37, United States Code, is amended--
            (1) by striking out paragraph (2); and
            (2) in paragraph (1), by striking out ``(1)''.
        SEC. 603. PAY OF SENIOR NONCOMMISSIONED OFFICERS WHILE
          HOSPITALIZED.
        (a) Pay During Hospitalization.--Section 210 of title 37, United
    States Code, is amended--
            (1) by redesignating subsection (b) as subsection (c); and
            (2) by inserting after subsection (a) the following new
        subsection (b):
        ``(b) A noncommissioned officer of an armed force who is
    hospitalized and who, during or immediately before such
    hospitalization, completed service as the senior enlisted member of
    that armed force, shall continue to be entitled, for not more than 180
    days while so hospitalized, to the rate of basic pay authorized for the
    senior enlisted member of that armed force.''.
        (b) Clerical Amendments.--(1) The heading of such section is
    amended to read as follows:

    ``Sec. 210. Pay of senior enlisted members during terminal leave and
                while hospitalized''.

        (2) The item relating to such section in the table of sections at
    the beginning of chapter 3 of title 37, United States Code, is amended
    to read as follows:

    ``210. Pay of senior enlisted members during terminal leave and while
              hospitalized.''.

    SEC. 604. AVAILABILITY OF BASIC ALLOWANCE FOR QUARTERS FOR CERTAIN
                  MEMBERS WITHOUT DEPENDENTS WHO SERVE ON SEA DUTY.

        (a) Entitlement of Single Members Above Grade E-5.--Section
    403(c)(2) of title 37, United States Code, is amended--
            (1) by striking out ``A member'' in the first sentence and
        inserting in lieu thereof ``(A) Except as provided in subparagraphs
        (B) and (C), a member''; and
            (2) by striking out the second sentence.
        (b) Entitlement of Certain Single Members in Grade E-5.--Such
    section is further amended by adding at the end the following new
    subparagraph:
        ``(B) Under regulations prescribed by the Secretary concerned, the
    Secretary may authorize the payment of a basic allowance for quarters
    to a member of a uniformed service without dependents who is serving in
    pay grade E-5 and is assigned to sea duty. In prescribing regulations
    under this subparagraph, the Secretary concerned shall consider the
    availability of quarters for members serving in pay grade E-5.''.
        (c) Entitlement When Both Spouses in Grades Below Grade E-6 Are
    Assigned to Sea Duty.--Such section is further amended by inserting
    after subparagraph (B), as added by subsection (b), the following new
    subparagraph:
        ``(C) Notwithstanding section 421 of this title, two members of the
    uniformed services in a pay grade below pay grade E-6 who are married
    to each other, have no other dependents, and are simultaneously
    assigned to sea duty are jointly entitled to one basic allowance for
    quarters during the period of such simultaneous sea duty. The amount of
    the allowance shall be based on the without dependents rate for the pay
    grade of the senior member of the couple. However, this subparagraph
    shall not apply to a couple if one or both of the members are entitled
    to a basic allowance for quarters under subparagraph (B).''.
        (d) Conforming Amendment Regarding Variable Housing Allowance.--
    Section 403a(b)(2)(C) of title 37, United States Code, is amended by
    striking out ``E-6'' and inserting in lieu thereof ``E-4''.
        (e) Effective Date.--The amendments made by this section shall take
    effect on July 1, 1997.
        SEC. 605. UNIFORM APPLICABILITY OF DISCRETION TO DENY AN ELECTION
          NOT TO OCCUPY GOVERNMENT QUARTERS.
        Section 403(b)(3) of title 37, United States Code, is amended by
    striking out ``A member'' and inserting in lieu thereof ``Subject to
    the provisions of subsection (j), a member''.
        SEC. 606. ESTABLISHMENT OF MINIMUM MONTHLY AMOUNT OF VARIABLE
          HOUSING ALLOWANCE FOR HIGH HOUSING COST AREAS.
        (a) Minimum Monthly Amount of Allowance.--Subsection (c) of section
    403a of title 37, United States Code, is amended by striking out
    paragraph (1) and inserting in lieu thereof the following new
    paragraph:
        ``(1) The monthly amount of a variable housing allowance under this
    section for a member of a uniformed service with respect to an area is
    equal to the greater of the following amounts:
            ``(A) An amount equal to the difference between--
                ``(i) the median monthly cost of housing in that area for
            members of the uniformed services serving in the same pay grade
            and with the same dependency status as that member; and
                ``(ii) 80 percent of the median monthly cost of housing in
            the United States for members of the uniformed services serving
            in the same pay grade and with the same dependency status as
            that member.
            ``(B) An amount equal to the difference between--
                ``(i) the adequate housing allowance floor determined by
            the Secretary of Defense for all members of the uniformed
            services in that area entitled to a variable housing allowance
            under this section; and
                ``(ii) the monthly basic allowance for quarters for members
            of the uniformed services serving in the same pay grade and
            with the same dependency status as that member.''.
        (b) Adequate Housing Allowance Floor.--Such subsection is further
    amended by adding at the end the following new paragraph:
        ``(7)(A) For purposes of paragraph (1)(B)(i), the Secretary of
    Defense shall establish an adequate housing allowance floor for members
    of the uniformed services in an area as a selected percentage, not to
    exceed 85 percent, of the cost of adequate housing in that area based
    on an index of housing costs selected by the Secretary of Defense from
    among the following:
            ``(i) The fair market rentals established annually by the
        Secretary of Housing and Urban Development under section 8(c)(1) of
        the United States Housing Act of 1937 (42 U.S.C. 1437f(c)(1)).
            ``(ii) An index developed in the private sector that the
        Secretary of Defense determines is comparable to the fair market
        rentals referred to in clause (i) and is appropriate for use to
        determine the adequate housing allowance floor.
        ``(B) The Secretary of Defense shall carry out this paragraph in
    consultation with the Secretary of Transportation, the Secretary of
    Commerce, and the Secretary of Health and Human Services.''.
        (c) Effect on Total Amount Available for Allowance.--Subsection
    (d)(3) of such section is amended in the second sentence by striking
    out ``the second sentence of subsection (c)(3)'' and inserting in lieu
    thereof ``paragraph (1)(B) of subsection (c) and the second sentence of
    paragraph (3) of that subsection''.
        (d) Conforming Amendments.--Subsection (c) of such section is
    further amended--
            (1) in paragraph (3), by striking out ``this subsection'' in
        the first sentence and inserting in lieu thereof ``paragraph (1)(A)
        or the minimum amount of a variable housing allowance under
        paragraph (1)(B)''; and
            (2) in paragraph (5), by inserting ``or minimum amount of a
        variable housing allowance'' after ``costs of housing''.
        (e) Effective Date.--The amendments made by this section shall take
    effect on January 1, 1997, except that the Secretary of Defense may
    delay implementation of the requirements imposed by the amendments to
    such later date as the Secretary considers appropriate upon publication
    of notice to that effect in the Federal Register.
        SEC. 607. FAMILY SEPARATION ALLOWANCE FOR MEMBERS SEPARATED BY
          MILITARY ORDERS FROM SPOUSES WHO ARE MEMBERS.
        (a) Additional Basis for Allowance.--Paragraph (1) of section
    427(b) of title 37, United States Code, is amended--
            (1) by striking out ``or'' at the end of subparagraph (B);
            (2) by striking out the period at the end of subparagraph (C)
        and inserting in lieu thereof ``; or''; and
            (3) by adding at the end the following new subparagraph:
            ``(D) the member is married to a member of a uniformed service,
        the member has no dependent other than the spouse, the two members
        are separated by reason of the execution of military orders, and
        the two members were residing together immediately before being
        separated by reason of execution of military orders.''.
        (b) Conforming Amendment.--Such section is further amended by
    adding at the end the following new paragraph:
        ``(5) Section 421 of this title does not apply to bar an
    entitlement to an allowance under paragraph (1)(D). However, not more
    than one monthly allowance may be paid with respect to a married couple
    under paragraph (1)(D) for any month.''.
        SEC. 608. WAIVER OF TIME LIMITATIONS FOR CLAIM FOR PAY AND
          ALLOWANCES.
        Section 3702 of title 31, United States Code, is amended by adding
    at the end the following new subsection:
        ``(e)(1) Upon the request of the Secretary concerned (as defined in
    section 101 of title 37, United States Code), the Comptroller General
    may waive the time limitations set forth in subsection (b) or (c) in
    the case of a claim for pay or allowances provided under title 37 and,
    subject to paragraph (2), settle the claim.
        ``(2) Payment of a claim settled under paragraph (1) shall be
    subject to the availability of appropriations for payment of that
    particular claim.
        ``(3) This subsection does not apply to a claim in excess of
    $25,000.''.

               Subtitle B--Bonuses and Special and Incentive Pays

        SEC. 611. ONE-YEAR EXTENSION OF CERTAIN BONUSES AND SPECIAL PAY
          AUTHORITIES FOR RESERVE FORCES.
        (a) Special Pay for Critically Short Wartime Health Specialists.--
    Section 302g(f) of title 37, United States Code, is amended by striking
    out ``September 30, 1997'' and inserting in lieu thereof ``September
    30, 1998''.
        (b) Selected Reserve Reenlistment Bonus.--Section 308b(f) of title
    37, United States Code, is amended by striking out ``September 30,
    1997'' and inserting in lieu thereof ``September 30, 1998''.
        (c) Selected Reserve Enlistment Bonus.--Section 308c(e) of title
    37, United States Code, is amended by striking out ``September 30,
    1997'' and inserting in lieu thereof ``September 30, 1998''.
        (d) Special Pay for Enlisted Members Assigned to Certain High
    Priority Units.--Section 308d(c) of title 37, United States Code, is
    amended by striking out ``September 30, 1997'' and inserting in lieu
    thereof ``September 30, 1998''.
        (e) Selected Reserve Affiliation Bonus.--Section 308e(e) of title
    37, United States Code, is amended by striking out ``September 30,
    1997'' and inserting in lieu thereof ``September 30, 1998''.
        (f) Ready Reserve Enlistment and Reenlistment Bonus.--Section
    308h(g) of title 37, United States Code, is amended by striking out
    ``September 30, 1997'' and inserting in lieu thereof ``September 30,
    1998''.
        (g) Prior Service Enlistment Bonus.--Section 308i(i) of title 37,
    United States Code, is amended by striking out ``September 30, 1997''
    and inserting in lieu thereof ``September 30, 1998''.
        SEC. 612. ONE-YEAR EXTENSION OF CERTAIN BONUSES AND SPECIAL PAY
          AUTHORITIES FOR NURSE OFFICER CANDIDATES, REGISTERED NURSES, AND
          NURSE ANESTHETISTS.
        (a) Nurse Officer Candidate Accession Program.--Section 2130a(a)(1)
    of title 10, United States Code, is amended by striking out ``September
    30, 1997'' and inserting in lieu thereof ``September 30, 1998''.
        (b) Accession Bonus for Registered Nurses.--Section 302d(a)(1) of
    title 37, United States Code, is amended by striking out ``September
    30, 1997'' and inserting in lieu thereof ``September 30, 1998''.
        (c) Incentive Special Pay for Nurse Anesthetists.--Section
    302e(a)(1) of title 37, United States Code, is amended by striking out
    ``September 30, 1997'' and inserting in lieu thereof ``September 30,
    1998''.
        SEC. 613. ONE-YEAR EXTENSION OF AUTHORITIES RELATING TO PAYMENT OF
          OTHER BONUSES AND SPECIAL PAYS.
        (a) Aviation Officer Retention Bonus.--Section 301b(a) of title 37,
    United States Code, is amended by striking out ``September 30, 1997''
    and inserting in lieu thereof ``September 30, 1998,''.
        (b) Reenlistment Bonus for Active Members.--Section 308(g) of title
    37, United States Code, is amended by striking out ``September 30,
    1997'' and inserting in lieu thereof ``September 30, 1998''.
        (c) Enlistment Bonuses for Critical Skills.--Sections 308a(c) and
    308f(c) of title 37, United States Code, are each amended by striking
    out ``September 30, 1997'' and inserting in lieu thereof ``September
    30, 1998''.
        (d) Special Pay for Nuclear Qualified Officers Extending Period of
    Active Service.--Section 312(e) of title 37, United States Code, is
    amended by striking out ``September 30, 1997'' and inserting in lieu
    thereof ``September 30, 1998''.
        (e) Nuclear Career Accession Bonus.--Section 312b(c) of title 37,
    United States Code, is amended by striking out ``September 30, 1997''
    and inserting in lieu thereof ``September 30, 1998''.
        (f) Nuclear Career Annual Incentive Bonus.--Section 312c(d) of
    title 37, United States Code, is amended by striking out ``October 1,
    1997'' and inserting in lieu thereof ``October 1, 1998''.
        (g) Repayment of Education Loans for Certain Health Professionals
    Who Serve in the Selected Reserve.--Section 16302(d) of title 10,
    United States Code, is amended by striking out ``October 1, 1997'' and
    inserting in lieu thereof ``October 1, 1998''.
        SEC. 614. SPECIAL PAY FOR CERTAIN PUBLIC HEALTH SERVICE OFFICERS.
        (a) Optometrists.--Section 302a(b) of title 37, United States Code,
    is amended--
            (1) in paragraph (2)--
                (A) by striking out ``an armed force'' in the matter
            preceding subparagraph (A) and inserting in lieu thereof ``a
            uniformed service''; and
                (B) by striking out ``of the military department'' in
            subparagraph (C); and
            (2) in paragraph (4), by striking out ``of the military
        department''.
        (b) Nonphysician Health Care Providers.--Section 302c(d) of title
    37, United States Code, is amended--
            (1) in the matter preceding paragraph (1), by striking out
        ``Secretary of Defense'' and inserting in lieu thereof ``Secretary
        concerned''; and
            (2) in paragraph (1)--
                (A) by striking out ``or'' the third place it appears; and
                (B) by inserting before the period at the end the
            following: ``, or an officer in the Regular or Reserve Corps of
            the Public Health Service''.
        SEC. 615. SPECIAL INCENTIVES TO RECRUIT AND RETAIN DENTAL OFFICERS.
        (a) Variable, Additional, and Board Certified Special Pays for
    Active Duty Dental Officers.--Section 302b(a) of title 37, United
    States Code, is amended--
            (1) in paragraph (2)--
                (A) in subparagraph (A), by striking out ``$1,200'' and
            inserting in lieu thereof ``$3,000'';
                (B) in subparagraph (B), by striking out ``$2,000'' and
            inserting in lieu thereof ``$7,000''; and
                (C) in subparagraph (C), by striking out ``$4,000'' and
            inserting in lieu thereof ``$7,000'';
            (2) in paragraph (4), by striking out subparagraphs (A), (B),
        and (C) and inserting in lieu thereof the following:
            ``(A) $4,000 per year, if the officer has less than three years
        of creditable service.
            ``(B) $6,000 per year, if the officer has at least three but
        less than 14 years of creditable service.
            ``(C) $8,000 per year, if the officer has at least 14 but less
        than 18 years of creditable service.
            ``(D) $10,000 per year, if the officer has at least 18 or more
        years of creditable service.''; and
            (3) in paragraph (5), by striking out subparagraphs (A), (B),
        and (C) and inserting in lieu thereof the following:
            ``(A) $2,500 per year, if the officer has less than 10 years of
        creditable service.
            ``(B) $3,500 per year, if the officer has at least 10 but less
        than 12 years of creditable service.
            ``(C) $4,000 per year, if the officer has at least 12 but less
        than 14 years of creditable service.
            ``(D) $5,000 per year, if the officer has at least 14 but less
        than 18 years of creditable service.
            ``(E) $6,000 per year, if the officer has 18 or more years of
        creditable service.''.
        (b) Reserve Dental Officers Special Pay.--Section 302b of title 37,
    United States Code, is amended by adding at the end the following new
    subsection:
        ``(h) Reserve Dental Officers Special Pay.--(1) A reserve dental
    officer described in paragraph (2) is entitled to special pay at the
    rate of $350 a month for each month of active duty, including active
    duty in the form of annual training, active duty for training, and
    active duty for special work.
        ``(2) A reserve dental officer referred to in paragraph (1) is a
    reserve officer who--
            ``(A) is an officer of the Dental Corps of the Army or the Navy
        or an officer of the Air Force designated as a dental officer; and
            ``(B) is on active duty under a call or order to active duty
        for a period of less than one year.''.
        (c) Accession Bonus for Dental School Graduates Who Enter the Armed
    Forces.--(1) Chapter 5 of title 37, United States Code, is amended by
    inserting after section 302g the following new section:

    ``Sec. 302h. Special pay: accession bonus for dental officers

        ``(a) Accession Bonus Authorized.--(1) A person who is a graduate
    of an accredited dental school and who, during the period beginning on
    the date of the enactment of this section, and ending on September 30,
    2002, executes a written agreement described in subsection (c) to
    accept a commission as an officer of the armed forces and remain on
    active duty for a period of not less than four years may, upon the
    acceptance of the agreement by the Secretary concerned, be paid an
    accession bonus in an amount determined by the Secretary concerned.
        ``(2) The amount of an accession bonus under paragraph (1) may not
    exceed $30,000.
        ``(b) Limitation on Eligibility for Bonus.--A person may not be
    paid a bonus under subsection (a) if--
            ``(1) the person, in exchange for an agreement to accept an
        appointment as an officer, received financial assistance from the
        Department of Defense to pursue a course of study in dentistry; or
            ``(2) the Secretary concerned determines that the person is not
        qualified to become and remain certified and licensed as a dentist.
        ``(c) Agreement.--The agreement referred to in subsection (a) shall
    provide that, consistent with the needs of the armed service concerned,
    the person executing the agreement will be assigned to duty, for the
    period of obligated service covered by the agreement, as an officer of
    the Dental Corps of the Army or the Navy or an officer of the Air Force
    designated as a dental officer.
        ``(d) Repayment.--(1) An officer who receives a payment under
    subsection (a) and who fails to become and remain certified or licensed
    as a dentist during the period for which the payment is made shall
    refund to the United States an amount equal to the full amount of such
    payment.
        ``(2) An officer who voluntarily terminates service on active duty
    before the end of the period agreed to be served under subsection (a)
    shall refund to the United States an amount that bears the same ratio
    to the amount paid to the officer as the unserved part of such period
    bears to the total period agreed to be served.
        ``(3) An obligation to reimburse the United States imposed under
    paragraph (1) or (2) is for all purposes a debt owed to the United
    States.
        ``(4) A discharge in bankruptcy under title 11 that is entered less
    than five years after the termination of an agreement under this
    section does not discharge the person signing such agreement from a
    debt arising under such agreement or this subsection. This paragraph
    applies to any case commenced under title 11 after the date of the
    enactment of this section.''.
        (2) The table of sections at the beginning of such chapter is
    amended by inserting after the item relating to section 302g the
    following new item:

    ``302h. Special pay: accession bonus for dental officers.''.

        (3) Section 303a of title 37, United States Code, is amended by
    striking out ``302g'' each place it appears and inserting in lieu
    thereof ``302h''.
        (d) Report on Additional Activities To Increase Recruitment of
    Dentists.--Not later than April 1, 1997, the Secretary of Defense shall
    submit to Congress a report describing the feasibility of increasing
    the number of persons enrolled in the Armed Forces Health Professions
    Scholarship and Financial Assistance program who are pursuing a course
    of study in dentistry in anticipation of service as an officer of the
    Dental Corps of the Army or the Navy or an officer of the Air Force
    designated as a dental officer.
        (e) Stylistic Amendments.--Section 302b of title 37, United States
    Code, is amended--
            (1) in subsection (a), by inserting ``Variable, Additional, and
        Board Certification Special Pay.--'' after ``(a)'';
            (2) in subsection (b), by inserting ``Active-Duty Agreement.--
        '' after ``(b)'';
            (3) in subsection (c), by inserting ``Regulations.--'' after
        ``(c)'';
            (4) in subsection (d), by inserting ``Frequency of Payments.--
        '' after ``(d)'';
            (5) in subsection (e), by inserting ``Refund for Period of
        Unserved Obligated Service.--'' after ``(e)'';
            (6) in subsection (f), by inserting ``Effect of Discharge in
        Bankruptcy.--'' after ``(f)''; and
            (7) in subsection (g), by inserting ``Determination of
        Creditable Service.--'' after ``(g)''.
        SEC. 616. FOREIGN LANGUAGE PROFICIENCY PAY FOR PUBLIC HEALTH
          SERVICE AND NATIONAL OCEANIC AND ATMOSPHERIC ADMINISTRATION
          OFFICERS.
        (a) Eligibility.--Subsection (a) of section 316 of title 37, United
    States Code, is amended--
            (1) in the matter preceding paragraph (1), by striking out
        ``armed forces'' and inserting in lieu thereof ``uniformed
        services'';
            (2) in paragraph (2)--
                (A) by striking out ``Secretary of Defense'' and inserting
            in lieu thereof ``Secretary concerned''; and
                (B) by inserting ``or public health'' after ``national
            defense''; and
            (3) in paragraph (3)--
                (A) in subparagraph (A), by striking out ``military'' and
            inserting in lieu thereof ``uniformed services'';
                (B) in subparagraph (C), by striking out ``military''; and
                (C) in subparagraph (D)--
                    (i) by striking out ``Department of Defense'' and
                inserting in lieu thereof ``uniformed service''; and
                    (ii) by striking out ``Secretary of Defense'' and
                inserting in lieu thereof ``Secretary concerned''.
        (b) Administration.--Subsection (d) of such section is amended--
            (1) by striking out ``his jurisdiction and'' and inserting in
        lieu thereof ``the jurisdiction of the Secretary,''; and
            (2) by inserting before the period at the end the following:
        ``, by the Secretary of Health and Human Services for the
        Commissioned Corps of the Public Health Service, and by the
        Secretary of Commerce for the National Oceanic and Atmospheric
        Administration''.
        (c) Effective Date.--The amendments made by this section shall take
    effect on October 1, 1996, and apply with respect to months beginning
    on or after such date.

                Subtitle C--Travel and Transportation Allowances

        SEC. 621. ALLOWANCE IN CONNECTION WITH SHIPPING MOTOR VEHICLE AT
          GOVERNMENT EXPENSE.
        (a) Allowance Authorized.--Section 406(b)(1)(B) of title 37, United
    States Code, is amended by adding at the end the following: ``If clause
    (i)(I) applies to the transportation by the member of a motor vehicle
    from the old duty station, the monetary allowance under this
    subparagraph shall also cover return travel to the old duty station by
    the member or other person transporting the vehicle. In the case of
    transportation described in clause (ii), the monetary allowance shall
    also cover travel from the new duty station to the port of debarkation
    to pick up the vehicle.''.
        (b) Effective Date.--The amendment made by subsection (a) shall
    take effect on January 1, 1997.
        SEC. 622. DISLOCATION ALLOWANCE AT A RATE EQUAL TO TWO AND ONE-HALF
          MONTHS BASIC ALLOWANCE FOR QUARTERS.
        (a) Allowance Authorized.--Section 407(a) of title 37, United
    States Code, is amended in the matter preceding paragraph (1) by
    striking out ``two months'' and inserting in lieu thereof ``two and
    one-half months''.
        (b) Effective Date.--The amendment made by subsection (a) shall
    take effect on January 1, 1997.
        SEC. 623. ALLOWANCE FOR TRAVEL PERFORMED IN CONNECTION WITH LEAVE
          BETWEEN CONSECUTIVE OVERSEAS TOURS.
        (a) Authority for Additional Deferral of Travel.--Section
    411b(a)(2) of title 37, United States Code, is amended by adding at the
    end the following: ``If the member is unable to undertake the travel
    before the end of such one-year period as a result of duty in
    connection with a contingency operation, the member may defer the
    travel for one additional year beginning on the date the duty of the
    member in connection with the contingency operation ends.''.
        (b) Effective Date.--The amendment made by subsection (a) shall
    take effect as of November 1, 1995.
        SEC. 624. FUNDING FOR TRANSPORTATION OF HOUSEHOLD EFFECTS OF PUBLIC
          HEALTH SERVICE OFFICERS.
        Section 406(j) of title 37, United States Code, is amended--
            (1) in the first sentence of paragraph (1)--
                (A) by striking out ``Appropriations available'' and all
            that follows through ``to a member'' and inserting in lieu
            thereof ``The Secretary concerned may pay a monetary allowance
            to a member of the armed forces or a member of the Commissioned
            Corps of the Public Health Service''; and
                (B) by striking out ``of the military department''; and
            (2) by adding at the end the following new paragraph:
        ``(3) Appropriations available to the Department of Defense for
    providing transportation of household effects of members of the armed
    forces under subsection (b) shall be available to pay the monetary
    allowance authorized under paragraph (1) to such members.
    Appropriations available to the Department of Health and Human Services
    for providing transportation of household effects of members of the
    Commissioned Corps of the Public Health Service under subsection (b)
    shall be available to pay the monetary allowance authorized under
    paragraph (1) to such members.''.

        Subtitle D--Retired Pay, Survivor Benefits, and Related Matters

        SEC. 631. EFFECTIVE DATE FOR MILITARY RETIREE COST-OF-LIVING
          ADJUSTMENT FOR FISCAL YEAR 1998.
        (a) Repeal of Adjustment of Effective Date for Fiscal Year 1998.--
    Section 1401a(b)(2)(B) of title 10, United States Code, is amended--
            (1) by striking out ``(B) Special rules'' and all that follows
        through ``In the case of'' in clause(i) and inserting in lieu
    thereof ``(B) Special rule for fiscal year 1996.--In the case of''; and
            (2) by striking out clause (ii).
        (b) Repeal of Contingent Alternative Date for Fiscal Year 1998.--
    Section 631 of the National Defense Authorization Act for Fiscal Year
    1996 (Public Law 104-106; 110 Stat. 364) is amended by striking out
    subsection (b).
        SEC. 632. CLARIFICATION OF INITIAL COMPUTATION OF RETIREE COLAS
          AFTER RETIREMENT.
        (a) In General.--Section 1401a of title 10, United States Code, is
    amended by striking out subsections (c) and (d) and inserting in lieu
    thereof the following new subsections:
        ``(c) First COLA Adjustment for Members With Retired Pay Computed
    Using Final Basic Pay.--
            ``(1) First adjustment with intervening increase in basic
        pay.--Notwithstanding subsection (b), if a person described in
        paragraph (3) becomes entitled to retired pay based on rates of
        monthly basic pay that became effective after the last day of the
        calendar quarter of the base index, the retired pay of the member
        or former member shall be increased on the effective date of the
        next adjustment of retired pay under subsection (b) only by the
        percent (adjusted to the nearest one-tenth of 1 percent) by which--
                ``(A) the price index for the base quarter of that year,
            exceeds
                ``(B) the price index for the calendar quarter immediately
            before the calendar quarter in which the rates of monthly basic
            pay on which the retired pay is based became effective.
            ``(2) First adjustment with no intervening increase in basic
        pay.--If a person described in paragraph (3) becomes entitled to
        retired pay on or after the effective date of an adjustment in
        retired pay under subsection (b) but before the effective date of
        the next increase in the rates of monthly basic pay, the retired
        pay of the member or former member shall be increased, effective on
        the date the member becomes entitled to that pay, by the percent
        (adjusted to the nearest one-tenth of 1 percent) by which--
                ``(A) the base index, exceeds
                ``(B) the price index for the calendar quarter immediately
            before the calendar quarter in which the rates of monthly basic
            pay on which the retired pay is based became effective.
            ``(3) Members covered.--Paragraphs (1) and (2) apply to a
        member or former member of an armed force who first became a member
        of a uniformed service before August 1, 1986, and whose retired pay
        base is determined under section 1406 of this title.
        ``(d) First COLA Adjustment for Members With Retired Pay Computed
    Using High-Three.--Notwithstanding subsection (b), the retired pay of a
    member or former member of an armed force who first became a member of
    a uniformed service before August 1, 1986, and whose retired pay base
    is determined under section 1407 of this title shall be increased on
    the effective date of the first adjustment of retired pay under
    subsection (b) after the member or former member becomes entitled to
    retired pay by the percent (adjusted to the nearest one-tenth of 1
    percent) equal to the difference between the percent by which--
            ``(1) the price index for the base quarter of that year,
        exceeds
            ``(2) the price index for the calendar quarter immediately
        before the calendar quarter during which the member became entitled
        to retired pay.''.
        (b) Effective Date.--The amendment made by subsection (a) shall
    apply only to adjustments of retired and retainer pay effective after
    the date of the enactment of this Act.
        SEC. 633. SUSPENSION OF PAYMENT OF RETIRED PAY OF MEMBERS WHO ARE
          ABSENT FROM THE UNITED STATES TO AVOID PROSECUTION.
        (a) Development of Procedures for Suspension.--The Secretary of
    Defense shall develop uniform procedures under which the Secretary of a
    military department may suspend the payment of the retired pay of a
    member or former member of the Armed Forces during periods in which the
    member willfully remains outside the United States to avoid criminal
    prosecution or civil liability. The procedures shall address the types
    of criminal offenses and civil proceedings for which the procedures may
    be used, including the offenses specified in section 8312 of title 5,
    United States Code, and the manner by which a member, upon the return
    of the member to the United States, may obtain retired pay withheld
    during the member's absence.
        (b) Report to Congress.--The Secretary of Defense shall submit to
    Congress a report describing the procedures developed under subsection
    (a). The report shall include recommendations regarding changes to
    existing provisions of law (including section 8313 of title 5, United
    States Code) that the Secretary determines are necessary to fully
    implement the procedures.
        (c) Retired Pay Defined.--For purposes of this section, the term
    ``retired pay'' means retired pay, retirement pay, retainer pay, or
    equivalent pay, payable under a statute to a member or former member of
    a uniformed service.
        (d) Effective Date.--The uniform procedures required by subsection
    (a) shall be developed not later than 30 days after the date of the
    enactment of this Act.
        SEC. 634. NONSUBSTANTIVE RESTATEMENT OF SURVIVOR BENEFIT PLAN
          STATUTE.
        Subchapter II of chapter 73 of title 10, United States Code, is
    amended to read as follows:

                     ``SUBCHAPTER II--SURVIVOR BENEFIT PLAN

    ``Sec.
    ``1447. Definitions.
    ``1448. Application of Plan.
    ``1449. Mental incompetency of member.
    ``1450. Payment of annuity: beneficiaries.
    ``1451. Amount of annuity.
    ``1452. Reduction in retired pay.
    ``1453. Recovery of amounts erroneously paid.
    ``1454. Correction of administrative errors.
    ``1455. Regulations.

    ``Sec. 1447. Definitions

        ``In this subchapter:
            ``(1) Plan.--The term `Plan' means the Survivor Benefit Plan
        established by this subchapter.
            ``(2) Standard annuity.--The term `standard annuity' means an
        annuity provided by virtue of eligibility under section
        1448(a)(1)(A) of this title.
            ``(3) Reserve-component annuity.--The term `reserve-component
        annuity' means an annuity provided by virtue of eligibility under
        section 1448(a)(1)(B) of this title.
            ``(4) Retired pay.--The term `retired pay' includes retainer
        pay paid under section 6330 of this title.
            ``(5) Reserve-component retired pay.--The term `reserve-
        component retired pay' means retired pay under chapter 1223 of this
        title (or under chapter 67 of this title as in effect before the
        effective date of the Reserve Officer Personnel Management Act).
            ``(6) Base amount.--The term `base amount' means the following:
                ``(A) Full amount under standard annuity.--In the case of a
            person who dies after becoming entitled to retired pay, such
            term means the amount of monthly retired pay (determined
            without regard to any reduction under section 1409(b)(2) of
            this title) to which the person--
                    ``(i) was entitled when he became eligible for that
                pay; or
                    ``(ii) later became entitled by being advanced on the
                retired list, performing active duty, or being transferred
                from the temporary disability retired list to the permanent
                disability retired list.
                ``(B) Full amount under reserve-component annuity.--In the
            case of a person who would have become eligible for reserve-
            component retired pay but for the fact that he died before
            becoming 60 years of age, such term means the amount of monthly
            retired pay for which the person would have been eligible--
                    ``(i) if he had been 60 years of age on the date of his
                death, for purposes of an annuity to become effective on
                the day after his death in accordance with a designation
                made under section 1448(e) of this title; or
                    ``(ii) upon becoming 60 years of age (if he had lived
                to that age), for purposes of an annuity to become
                effective on the 60th anniversary of his birth in
                accordance with a designation made under section 1448(e) of
                this title.
                ``(C) Reduced amount.--Such term means any amount less than
            the amount otherwise applicable under subparagraph (A) or (B)
            with respect to an annuity provided under the Plan but which is
            not less than $300 and which is designated by the person (with
            the concurrence of the person's spouse, if required under
            section 1448(a)(3) of this title) providing the annuity on or
            before--
                    ``(i) the first day for which he becomes eligible for
                retired pay, in the case of a person providing a standard
                annuity, or
                    ``(ii) the end of the 90-day period beginning on the
                date on which he receives the notification required by
                section 12731(d) of this title that he has completed the
                years of service required for eligibility for reserve-
                component retired pay, in the case of a person providing a
                reserve-component annuity.
            ``(7) Widow.--The term `widow' means the surviving wife of a
        person who, if not married to the person at the time he became
        eligible for retired pay--
                ``(A) was married to him for at least one year immediately
            before his death; or
                ``(B) is the mother of issue by that marriage.
            ``(8) Widower.--The term `widower' means the surviving husband
        of a person who, if not married to the person at the time she
        became eligible for retired pay--
                ``(A) was married to her for at least one year immediately
            before her death; or
                ``(B) is the father of issue by that marriage.
            ``(9) Surviving spouse.--The term `surviving spouse' means a
        widow or widower.
            ``(10) Former spouse.--The term `former spouse' means the
        surviving former husband or wife of a person who is eligible to
        participate in the Plan.
            ``(11) Dependent child.--
                ``(A) In general.--The term `dependent child' means a
            person who--
                    ``(i) is unmarried;
                    ``(ii) is (I) under 18 years of age, (II) at least 18,
                but under 22, years of age and pursuing a full-time course
                of study or training in a high school, trade school,
                technical or vocational institute, junior college, college,
                university, or comparable recognized educational
                institution, or (III) incapable of self support because of
                a mental or physical incapacity existing before the
                person's eighteenth birthday or incurred on or after that
                birthday, but before the person's twenty-second birthday,
                while pursuing such a full-time course of study or
                training; and
                    ``(iii) is the child of a person to whom the Plan
                applies, including (I) an adopted child, and (II) a
                stepchild, foster child, or recognized natural child who
                lived with that person in a regular parent-child
                relationship.
                ``(B) Special rules for college students.--For the purpose
            of subparagraph (A), a child whose twenty-second birthday
            occurs before July 1 or after August 31 of a calendar year, and
            while regularly pursuing such a course of study or training, is
            considered to have become 22 years of age on the first day of
            July after that birthday. A child who is a student is
            considered not to have ceased to be a student during an interim
            between school years if the interim is not more than 150 days
            and if the child shows to the satisfaction of the Secretary of
            Defense that the child has a bona fide intention of continuing
            to pursue a course of study or training in the same or a
            different school during the school semester (or other period
            into which the school year is divided) immediately after the
            interim.
                ``(C) Foster children.--A foster child, to qualify under
            this paragraph as the dependent child of a person to whom the
            Plan applies, must, at the time of the death of that person,
            also reside with, and receive over one-half of his support
            from, that person, and not be cared for under a social agency
            contract. The temporary absence of a foster child from the
            residence of that person, while a student as described in this
            paragraph, shall not be considered to affect the residence of
            such a foster child.
            ``(12) Court.--The term `court' has the meaning given that term
        by section 1408(a)(1) of this title.
            ``(13) Court order.--
                ``(A) In general.--The term `court order' means a court's
            final decree of divorce, dissolution, or annulment or a court
            ordered, ratified, or approved property settlement incident to
            such a decree (including a final decree modifying the terms of
            a previously issued decree of divorce, dissolution, annulment,
            or legal separation, or of a court ordered, ratified, or
            approved property settlement agreement incident to such
            previously issued decree).
                ``(B) Final decree.--The term `final decree' means a decree
            from which no appeal may be taken or from which no appeal has
            been taken within the time allowed for the taking of such
            appeals under the laws applicable to such appeals, or a decree
            from which timely appeal has been taken and such appeal has
            been finally decided under the laws applicable to such appeals.
                ``(C) Regular on its face.--The term `regular on its face',
            when used in connection with a court order, means a court order
            that meets the conditions prescribed in section 1408(b)(2) of
            this title.

    ``Sec. 1448. Application of plan

        ``(a) General Rules for Participation in the Plan.--
            ``(1) Name of plan; eligible participants.--The program
        established by this subchapter shall be known as the Survivor
        Benefit Plan. The following persons are eligible to participate in
        the Plan:
                ``(A) Persons entitled to retired pay.
                ``(B) Persons who would be eligible for reserve-component
            retired pay but for the fact that they are under 60 years of
            age.
            ``(2) Participants in the plan.--The Plan applies to the
        following persons, who shall be participants in the Plan:
                ``(A) Standard annuity participants.--A person who is
            eligible to participate in the Plan under paragraph (1)(A) and
            who is married or has a dependent child when he becomes
            entitled to retired pay, unless he elects (with his spouse's
            concurrence, if required under paragraph (3)) not to
            participate in the Plan before the first day for which he is
            eligible for that pay.
                ``(B) Reserve-component annuity participants.--A person who
            (i) is eligible to participate in the Plan under paragraph
            (1)(B), (ii) is married or has a dependent child when he is
            notified under section 12731(d) of this title that he has
            completed the years of service required for eligibility for
            reserve-component retired pay, and (iii) elects to participate
            in the Plan (and makes a designation under subsection (e))
            before the end of the 90-day period beginning on the date he
            receives such notification.
        A person described in clauses (i) and (ii) of subparagraph (B) who
        does not elect to participate in the Plan before the end of the 90-
        day period referred to in that clause remains eligible, upon
        reaching 60 years of age and otherwise becoming entitled to retired
        pay, to participate in the Plan in accordance with eligibility
        under paragraph (1)(A).
            ``(3) Elections.--
                ``(A) Spousal consent for certain elections respecting
            standard annuity.--A married person who is eligible to provide
            a standard annuity may not without the concurrence of the
            person's spouse elect--
                    ``(i) not to participate in the Plan;
                    ``(ii) to provide an annuity for the person's spouse at
                less than the maximum level; or
                    ``(iii) to provide an annuity for a dependent child but
                not for the person's spouse.
                ``(B) Spousal consent for certain elections respecting
            reserve-component annuity.--A married person who elects to
            provide a reserve-component annuity may not without the
            concurrence of the person's spouse elect--
                    ``(i) to provide an annuity for the person's spouse at
                less than the maximum level; or
                    ``(ii) to provide an annuity for a dependent child but
                not for the person's spouse.
                ``(C) Exception when spouse unavailable.--A person may make
            an election described in subparagraph (A) or (B) without the
            concurrence of the person's spouse if the person establishes to
            the satisfaction of the Secretary concerned--
                    ``(i) that the spouse's whereabouts cannot be
                determined; or
                    ``(ii) that, due to exceptional circumstances,
                requiring the person to seek the spouse's consent would
                otherwise be inappropriate.
                ``(D) Construction with former spouse election
            provisions.--This paragraph does not affect any right or
            obligation to elect to provide an annuity for a former spouse
            (or for a former spouse and dependent child) under subsection
            (b)(2).
                ``(E) Notice to spouse of election to provide former spouse
            annuity.--If a married person who is eligible to provide a
            standard annuity elects to provide an annuity for a former
            spouse (or for a former spouse and dependent child) under
            subsection (b)(2), that person's spouse shall be notified of
            that election.
            ``(4) Irrevocability of elections.--
                ``(A) Standard annuity.--An election under paragraph (2)(A)
            not to participate in the Plan is irrevocable if not revoked
            before the date on which the person first becomes entitled to
            retired pay.
                ``(B) Reserve-component annuity.--An election under
            paragraph (2)(B) to participate in the Plan is irrevocable if
            not revoked before the end of the 90-day period referred to in
            that paragraph.
            ``(5) Participation by person marrying after re- tirement,
        etc.--
                ``(A) Election to participate in plan.--A person who is not
            married and has no dependent child upon becoming eligible to
            participate in the Plan but who later marries or acquires a
            dependent child may elect to participate in the Plan.
                ``(B) Manner and time of election.--Such an election must
            be written, signed by the person making the election, and
            received by the Secretary concerned within one year after the
            date on which that person marries or acquires that dependent
            child.
                ``(C) Limitation on revocation of election.--Such an
            election may not be revoked except in accordance with
            subsection (b)(3).
                ``(D) Effective date of election.--The election is
            effective as of the first day of the first calendar month
            following the month in which the election is received by the
            Secretary concerned.
                ``(E) Designation if rcsbp election.--In the case of a
            person providing a reserve-component annuity, such an election
            shall include a designation under subsection (e).
            ``(6) Election out of plan by person with spouse coverage who
        remarries.--
                ``(A) General rule.--A person--
                    ``(i) who is a participant in the Plan and is providing
                coverage under the Plan for a spouse (or a spouse and
                child);
                    ``(ii) who does not have an eligible spouse beneficiary
                under the Plan; and
                    ``(iii) who remarries,
            may elect not to provide coverage under the Plan for the
            person's spouse.
                ``(B) Effect of election on retired pay.--If such an
            election is made, reductions in the retired pay of that person
            under section 1452 of this title shall not be made.
                ``(C) Terms and conditions of election.--An election under
            this paragraph--
                    ``(i) is irrevocable;
                    ``(ii) shall be made within one year after the person's
                remarriage; and
                    ``(iii) shall be made in such form and manner as may be
                prescribed in regulations under section 1455 of this title.
                ``(D) Notice to spouse.--If a person makes an election
            under this paragraph--
                    ``(i) not to participate in the Plan;
                    ``(ii) to provide an annuity for the person's spouse at
                less than the maximum level; or
                    ``(iii) to provide an annuity for a dependent child but
                not for the person's spouse,
            the person's spouse shall be notified of that election.
                ``(E) Construction with former spouse election
            provisions.--This paragraph does not affect any right or
            obligation to elect to provide an annuity to a former spouse
            under subsection (b).
        ``(b) Insurable Interest and Former Spouse Coverage.--
            ``(1) Coverage for person with insurable interest.--
                ``(A) General rule.--A person who is not married and does
            not have a dependent child upon becoming eligible to
            participate in the Plan may elect to provide an annuity under
            the Plan to a natural person with an insurable interest in that
            person. In the case of a person providing a reserve-component
            annuity, such an election shall include a designation under
            subsection (e).
                ``(B) Termination of coverage.--An election under
            subparagraph (A) for a beneficiary who is not the former spouse
            of the person providing the annuity may be terminated. Any such
            termination shall be made by a participant by the submission to
            the Secretary concerned of a request to discontinue
            participation in the Plan, and such participation in the Plan
            shall be discontinued effective on the first day of the first
            month following the month in which the request is received by
            the Secretary concerned. Effective onsuch date, the Secretary
    concerned shall discontinue the reduction being made in such person's
    retired pay on account of participation in the Plan or, in the case of
    a person who has been required to make deposits in the Treasury on
    account of participation in the Plan, such person may discontinue
    making such deposits effective on such date.
                ``(C) Form for discontinuation.--A request under
            subparagraph (B) to discontinue participation in the Plan shall
            be in such form and shall contain such information as may be
            required under regulations prescribed by the Secretary of
            Defense.
                ``(D) Withdrawal of request for discontinuation.--The
            Secretary concerned shall furnish promptly to each person who
            submits a request under subparagraph (B) to discontinue
            participation in the Plan a written statement of the advantages
            and disadvantages of participating in the Plan and the possible
            disadvantages of discontinuing participation. A person may
            withdraw the request to discontinue participation if withdrawn
            within 30 days after having been submitted to the Secretary
            concerned.
                ``(E) Consequences of discontinuation.--Once participation
            is discontinued, benefits may not be paid in conjunction with
            the earlier participation in the Plan and premiums paid may not
            be refunded. Participation in the Plan may not later be resumed
            except through a qualified election under paragraph (5) of
            subsection (a).
            ``(2) Former spouse coverage upon becoming a participant in the
        plan.--
                ``(A) General rule.--A person who has a former spouse upon
            becoming eligible to participate in the Plan may elect to
            provide an annuity to that former spouse.
                ``(B) Effect of former spouse election on spouse or
            dependent child.--In the case of a person with a spouse or a
            dependent child, such an election prevents payment of an
            annuity to that spouse or child (other than a child who is a
            beneficiary under an election under paragraph (4)), including
            payment under subsection (d).
                ``(C) Designation if more than one former spouse.--If there
            is more than one former spouse, the person shall designate
            which former spouse is to be provided the annuity.
                ``(D) Designation if rcsbp election.--In the case of a
            person providing a reserve-component annuity, such an election
            shall include a designation under subsection (e).
            ``(3) Former spouse coverage by persons already participating
        in plan.--
                ``(A) Election of coverage.--
                    ``(i) Authority for election.--A person--

                        ``(I) who is a participant in the Plan and is
                    providing coverage for a spouse or a spouse and child
                    (even though there is no beneficiary currently eligible
                    for such coverage), and
                        ``(II) who has a former spouse who was not that
                    person's former spouse when that person became eligible
                    to participate in the Plan,

                may (subject to subparagraph (B)) elect to provide an
                annuity to that former spouse.
                    ``(ii) Termination of previous coverage.--Any such
                election terminates any previous coverage under the Plan.
                    ``(iii) Manner and time of election.--Any such election
                must be written, signed by the person making the election,
                and received by the Secretary concerned within one year
                after the date of the decree of divorce, dissolution, or
                annulment.
                ``(B) Limitation on election.--A person may not make an
            election under subparagraph (A) to provide an annuity to a
            former spouse who that person married after becoming eligible
            for retired pay unless--
                    ``(i) the person was married to that former spouse for
                at least one year, or
                    ``(ii) that former spouse is the parent of issue by
                that marriage.
                ``(C) Irrevocability, effective date, etc.--An election
            under this paragraph may not be revoked except in accordance
            with section 1450(f) of this title. Such an election is
            effective as of the first day of the first calendar month
            following the month in which it is received by the Secretary
            concerned. This paragraph does not provide the authority to
            change a designation previously made under subsection (e).
                ``(D) Notice to spouse.--If a person who is married makes
            an election to provide an annuity to a former spouse under this
            paragraph, that person's spouse shall be notified of the
            election.
            ``(4) Former spouse and child coverage.--A person who elects to
        provide an annuity for a former spouse under paragraph (2) or (3)
        may, at the time of the election, elect to provide coverage under
        that annuity for both the former spouse and a dependent child, if
        the child resulted from the person's marriage to that former
        spouse.
            ``(5) Disclosure of whether election of former spouse coverage
        is required.--A person who elects to provide an annuity to a former
        spouse under paragraph (2) or (3) shall, at the time of making the
        election, provide the Secretary concerned with a written statement
        (in a form to be prescribed by that Secretary and signed by such
        person and the former spouse) setting forth--
                ``(A) whether the election is being made pursuant to the
            requirements of a court order; or
                ``(B) whether the election is being made pursuant to a
            written agreement previously entered into voluntarily by such
            person as a part of, or incident to, a proceeding of divorce,
            dissolution, or annulment and (if so)whether such voluntary
    written agreement has been incorporated in, or ratified or approved by,
    a court order.
        ``(c) Persons on Temporary Disability Retired List.--The
    application of the Plan to a person whose name is on the temporary
    disability retired list terminates when his name is removed from that
    list and he is no longer entitled to disability retired pay.
        ``(d) Coverage for Survivors of Retirement-Eligible Members Who Die
    on Active Duty.--
            ``(1) Surviving spouse annuity.--The Secretary concerned shall
        pay an annuity under this subchapter to the surviving spouse of a
        member who dies on active duty after--
                ``(A) becoming eligible to receive retired pay;
                ``(B) qualifying for retired pay except that he has not
            applied for or been granted that pay; or
                ``(C) completing 20 years of active service but before he
            is eligible to retire as a commissioned officer because he has
            not completed 10 years of active commissioned service.
            ``(2) Dependent child annuity.--The Secretary concerned shall
        pay an annuity under this subchapter to the dependent child of a
        member described in paragraph (1) if there is no surviving spouse
        or if the member's surviving spouse subsequently dies.
            ``(3) Mandatory former spouse annuity.--If a member described
        in paragraph (1) is required under a court order or spousal
        agreement to provide an annuity to a former spouse upon becoming
        eligible to be a participant in the Plan or has made an election
        under subsection (b) to provide an annuity to a former spouse, the
        Secretary--
                ``(A) may not pay an annuity under paragraph (1) or (2);
            but
                ``(B) shall pay an annuity to that former spouse as if the
            member had been a participant in the Plan and had made an
            election under subsection (b) to provide an annuity to the
            former spouse, or in accordance with that election, as the case
            may be, if the Secretary receives a written request from the
            former spouse concerned that the election be deemed to have
            been made in the same manner as provided in section 1450(f)(3)
            of this title.
            ``(4) Priority.--An annuity that may be provided under this
        subsection shall be provided in preference to an annuity that may
        be provided under any other provision of this subchapter on account
        of service of the same member.
            ``(5) Computation.--The amount of an annuity under this
        subsection is computed under section 1451(c) of this title.
        ``(e) Designation for Commencement of Reserve-Component Annuity.--
    In any case in which a person electing to participate in the Plan is
    required to make a designation under this subsection, the person making
    such election shall designate whether, in the event he dies before
    becoming 60 years of age, the annuity provided shall become effective
    on--
            ``(1) the day after the date of his death; or
            ``(2) the 60th anniversary of his birth.
        ``(f) Coverage of Survivors of Persons Dying When Eligible To Elect
    Reserve-Component Annuity.--
            ``(1) Surviving spouse annuity.--The Secretary concerned shall
        pay an annuity under this subchapter to the surviving spouse of a
        person who is eligible to provide a reserve-component annuity and
        who dies--
                ``(A) before being notified under section 12731(d) of this
            title that he has completed the years of service required for
            eligibility for reserve-component retired pay; or
                ``(B) during the 90-day period beginning on the date he
            receives notification under section 12731(d) of this title that
            he has completed the years of service required for eligibility
            for reserve-component retired pay if he had not made an
            election under subsection (a)(2)(B) to participate in the Plan.
            ``(2) Dependent child annuity.--The Secretary concerned shall
        pay an annuity under this subchapter to the dependent child of a
        person described in paragraph (1) if there is no surviving spouse
        or if the person's surviving spouse subsequently dies.
            ``(3) Mandatory former spouse annuity.--If a person described
        in paragraph (1) is required under a court order or spousal
        agreement to provide an annuity to a former spouse upon becoming
        eligible to be a participant in the Plan or has made an election
        under subsection (b) to provide an annuity to a former spouse, the
        Secretary--
                ``(A) may not pay an annuity under paragraph (1) or (2);
            but
                ``(B) shall pay an annuity to that former spouse as if the
            person had been a participant in the Plan and had made an
            election under subsection (b) to provide an annuity to the
            former spouse, or in accordance with that election, as the case
            may be, if the Secretary receives a written request from the
            former spouse concerned that the election be deemed to have
            been made in the same manner as provided in section 1450(f)(3)
            of this title.
            ``(4) Computation.--The amount of an annuity under this
        subsection is computed under section 1451(c) of this title.
        ``(g) Election To Increase Coverage Upon Remarriage.--
            ``(1) Election.--A person--
                ``(A) who is a participant in the Plan and is providing
            coverage under subsection (a) for a spouse or a spouse and
            child, but at less than the maximum level; and
                ``(B) who remarries,
        may elect, within one year of such remarriage, to increase the
        level of coverage provided under the Plan to a level not in excess
        of the current retired pay of that person.
            ``(2) Payment required.--Such an election shall be contingent
        on the person paying to the United States the amount determined
        under paragraph (3) plus interest on such amount at a rate
        determined under regulations prescribed by the Secretary of
        Defense.
            ``(3) Amount to be paid.--The amount referred to in paragraph
        (2) is the amount equal to the difference between--
                ``(A) the amount that would have been withheld from such
            person's retired pay under section 1452 of this title if the
            higher level of coverage had been in effect from the time the
            person became a participant in the Plan; and
                ``(B) the amount of such person's retired pay actually
            withheld.
            ``(4) Manner of making election.--An election under paragraph
        (1) shall be made in such manner as the Secretary shall prescribe
        and shall become effective upon receipt of the payment required by
        paragraph (2).
            ``(5) Disposition of payments.--A payment received under this
        subsection by the Secretary of Defense shall be deposited into the
        Department of Defense Military Retirement Fund. Any other payment
        received under this subsection shall be deposited in the Treasury
        as miscellaneous receipts.

    ``Sec. 1449. Mental incompetency of member

        ``(a) Election by Secretary Concerned on Behalf of Mentally
    Incompetent Member.--If a person to whom section 1448 of this title
    applies is determined to be mentally incompetent by medical officers of
    the armed force concerned or of the Department of Veterans Affairs, or
    by a court of competent jurisdiction, an election described in
    subsection (a)(2) or (b) of section 1448 of this title may be made on
    behalf of that person by the Secretary concerned.
        ``(b) Revocation of Election by Member.--
            ``(1) Authority upon subsequent determination of mental
        competence.--If a person for whom the Secretary has made an
        election under subsection (a) is later determined to be mentally
        competent by an authority named in that subsection, that person
        may, within 180 days after that determination, revoke that
        election.
            ``(2) Deductions from retired pay not to be refunded.--Any
        deduction made from retired pay by reason of such an election may
        not be refunded.

    ``Sec. 1450. Payment of annuity: beneficiaries

        ``(a) In General.--Effective as of the first day after the death of
    a person to whom section 1448 of this title applies (or on such other
    day as that person may provide under subsection (j)), a monthly annuity
    under section 1451 of this title shall be paid to the person's
    beneficiaries under the Plan, as follows:
            ``(1) Surviving spouse or former spouse.--The eligible
        surviving spouse or the eligible former spouse.
            ``(2) Surviving children.--The surviving dependent children in
        equal shares, if the eligible surviving spouse or the eligible
        former spouse is dead, dies, or otherwise becomes ineligible under
        this section.
            ``(3) Dependent children.--The dependent children in equal
        shares if the person to whom section 1448 of this title applies
        (with the concurrence of the person's spouse, if required under
        section 1448(a)(3) of this title) elected to provide an annuity for
        dependent children but not for the spouse or former spouse.
            ``(4) Natural person designated under `insurable interest'
        coverage.--The natural person designated under section 1448(b)(1)
        of this title, unless the election to provide an annuity to the
        natural person has been changed as provided in subsection (f).
        ``(b) Termination of Annuity for Death, Remarriage Before Age 55,
    Etc.--
            ``(1) General rule.--An annuity payable to the beneficiary
        terminates effective as of the first day of the month in which
        eligibility is lost.
            ``(2) Termination of spouse annuity upon death or remarriage
        before age 55.--An annuity for a surviving spouse or former spouse
        shall be paid to the surviving spouse or former spouse while the
        surviving spouse or former spouse is living or, if the surviving
        spouse or former spouse remarries before reaching age 55, until the
        surviving spouse or former spouse remarries.
            ``(3) Effect of termination of subsequent marriage before age
        55.--If the surviving spouse or former spouse remarries before
        reaching age 55 and that marriage is terminated by death,
        annulment, or divorce, payment of the annuity shall be resumed
        effective as of the first day of the month in which the marriage is
        so terminated. However, if the surviving spouse or former spouse is
        also entitled to an annuity under the Plan based upon the marriage
        so terminated, the surviving spouse or former spouse may not
        receive both annuities but must elect which to receive.
        ``(c) Offset for Amount of Dependency and Indemnity Compensation.--
            ``(1) Required offset.--If, upon the death of a person to whom
        section 1448 of this title applies, the surviving spouse or former
        spouse of that person is also entitled to dependency and indemnity
        compensation under section 1311(a) of title 38, the surviving
        spouse or former spouse may be paid an annuity under this section,
        but only in the amount that the annuity otherwise payable under
        this section would exceed that compensation.
            ``(2) Effective date of offset.--A reduction in an annuity
        under this section required by paragraph (1) shall be effective on
        the date of the commencement of the period of payment of such
        dependency and indemnity compensation under title 38.
        ``(d) Limitation on Payment of Annuities When Coverage Under Civil
    Service Retirement Elected.--If, upon the death of a person to whom
    section 1448 of this title applies, that person had in effect a waiver
    of that person's retired pay for the purposes of subchapter III of
    chapter 83 of title 5, an annuity under this section shall not be
    payable unless, in accordance with section 8339(j) of title 5, that
    personnotified the Office of Personnel Management that he did not
    desire any spouse surviving him to receive an annuity under section
    8341(b) of that title.
        ``(e) Refund of Amounts Deducted From Retired Pay When DIC Offset
    Is Applicable.--
            ``(1) Full refund when dic greater than sbp annuity.--If an
        annuity under this section is not payable because of subsection
        (c), any amount deducted from the retired pay of the deceased under
        section 1452 of this title shall be refunded to the surviving
        spouse or former spouse.
            ``(2) Partial refund when sbp annuity reduced by dic.--If,
        because of subsection (c), the annuity payable is less than the
        amount established under section 1451 of this title, the annuity
        payable shall be recalculated under that section. The amount of the
        reduction in the retired pay required to provide that recalculated
        annuity shall be computed under section 1452 of this title, and the
        difference between the amount deducted before the computation of
        that recalculated annuity and the amount that would have been
        deducted on the basis of that recalculated annuity shall be
        refunded to the surviving spouse or former spouse.
        ``(f) Change in Election of Insurable Interest or Former Spouse
    Beneficiary.--
            ``(1) Authorized changes.--
                ``(A) Election in favor of spouse or child.--A person who
            elects to provide an annuity to a person designated by him
            under section 1448(b) of this title may, subject to paragraph
            (2), change that election and provide an annuity to his spouse
            or dependent child.
                ``(B) Notice.--The Secretary concerned shall notify the
            former spouse or other natural person previously designated
            under section 1448(b) of this title of any change of election
            under subparagraph (A).
                ``(C) Procedures, effective date, etc.--Any such change of
            election is subject to the same rules with respect to
            execution, revocation, and effectiveness as are set forth in
            section 1448(a)(5) of this title (without regard to the
            eligibility of the person making the change of election to make
            such an election under that section).
            ``(2) Limitation on change in beneficiary when former spouse
        coverage in effect.--A person who, incident to a proceeding of
        divorce, dissolution, or annulment, is required by a court order to
        elect under section 1448(b) of this title to provide an annuity to
        a former spouse (or to both a former spouse and child), or who
        enters into a written agreement (whether voluntary or required by a
        court order) to make such an election, and who makes an election
        pursuant to such order or agreement, may not change that election
        under paragraph (1) unless, of the following requirements,
        whichever are applicable in a particular case are satisfied:
                ``(A) In a case in which the election is required by a
            court order, or in which an agreement to make the election has
            been incorporated in or ratified or approved by a court order,
            the person--
                    ``(i) furnishes to the Secretary concerned a certified
                copy of a court order which is regular on its face and
                which modifies the provisions of all previous court orders
                relating to such election, or the agreement to make such
                election, so as to permit the person to change the
                election; and
                    ``(ii) certifies to the Secretary concerned that the
                court order is valid and in effect.
                ``(B) In a case of a written agreement that has not been
            incorporated in or ratified or approved by a court order, the
            person--
                    ``(i) furnishes to the Secretary concerned a statement,
                in such form as the Secretary concerned may prescribe,
                signed by the former spouse and evidencing the former
                spouse's agreement to a change in the election under
                paragraph (1); and
                    ``(ii) certifies to the Secretary concerned that the
                statement is current and in effect.
            ``(3) Required former spouse election to be deemed to have been
        made.--
                ``(A) Deemed election upon request by former spouse.--If a
            person described in paragraph (2) or (3) of section 1448(b) of
            this title is required (as described in subparagraph (B)) to
            elect under section 1448(b) of this title to provide an annuity
            to a former spouse and such person then fails or refuses to
            make such an election, such person shall be deemed to have made
            such an election if the Secretary concerned receives the
            following:
                    ``(i) Request from former spouse.--A written request,
                in such manner as the Secretary shall prescribe, from the
                former spouse concerned requesting that such an election be
                deemed to have been made.
                    ``(ii) Copy of court order or other official
                statement.--Either--

                        ``(I) a copy of the court order, regular on its
                    face, which requires such election or incorporates,
                    ratifies, or approves the written agreement of such
                    person; or
                        ``(II) a statement from the clerk of the court (or
                    other appropriate official) that such agreement has
                    been filed with the court in accordance with applicable
                    State law.

                ``(B) Persons required to make election.--A person shall be
            considered for purposes of subparagraph (A) to be required to
            elect under section 1448(b) of this title to provide an annuity
            to a former spouse if--
                    ``(i) the person enters, incident to a proceeding of
                divorce, dissolution, or annulment, into a written
                agreement to make such an election and the agreement (I)
                has been incorporated in or ratified orapproved by a court
    order, or (II) has been filed with the court of appropriate
    jurisdiction in accordance with appli- cable State law; or
                    ``(ii) the person is required by a court order to make
                such an election.
                ``(C) Time limit for request by former spouse.--An election
            may not be deemed to have been made under subparagraph (A) in
            the case of any person unless the Secretary concerned receives
            a request from the former spouse of the person within one year
            of the date of the court order or filing involved.
                ``(D) Effective date of deemed election.--An election
            deemed to have been made under subparagraph (A) shall become
            effective on the first day of the first month which begins
            after the date of the court order or filing involved.
            ``(4) Former spouse coverage may be required by court order.--A
        court order may require a person to elect (or to enter into an
        agreement to elect) under section 1448(b) of this title to provide
        an annuity to a former spouse (or to both a former spouse and
        child).
        ``(g) Limitation on Changing or Revoking Elections.--
            ``(1) In general.--An election under this section may not be
        changed or revoked.
            ``(2) Exceptions.--Paragraph (1) does not apply to--
                ``(A) a revocation of an election under section 1449(b) of
            this title; or
                ``(B) a change in an election under subsection (f).
        ``(h) Treatment of Annuities Under Other Laws.--Except as provided
    in section 1451 of this title, an annuity under this section is in
    addition to any other payment to which a person is entitled under any
    other provision of law. Such annuity shall be considered as income
    under laws administered by the Secretary of Veterans Affairs.
        ``(i) Annuities Exempt From Certain Legal Process.--Except as
    provided in subsection (l)(3)(B), an annuity under this section is not
    assignable or subject to execution, levy, attachment, garnishment, or
    other legal process.
        ``(j) Effective Date of Reserve-Component Annuities.--
            ``(1) Persons making section 1448(e) designation.--An annuity
        elected by a person providing a reserve-component annuity shall be
        effective in accordance with the designation made by such person
        under section 1448(e) of this title.
            ``(2) Persons dying before making section 1448(e)
        designation.--An annuity payable under section 1448(f) of this
        title shall be effective on the day after the date of the death of
        the person upon whose service the right to the annuity is based.
        ``(k) Adjustment of Spouse or Former Spouse Annuity Upon Loss of
    Dependency and Indemnity Compensation.--
            ``(1) Readjustment if beneficiary 55 years of age or more.--If
        a surviving spouse or former spouse whose annuity has been adjusted
        under subsection (c) subsequently loses entitlement to dependency
        and indemnity compensation under section 1311(a) of title 38
        because of the remarriage of the surviving spouse, or former
        spouse, and if at the time of such remarriage the surviving spouse
        or former spouse is 55 years of age or more, the amount of the
        annuity of the surviving spouse or former spouse shall be
        readjusted, effective on the effective date of such loss of
        dependency and indemnity compensation, to the amount of the annuity
        which would be in effect with respect to the surviving spouse or
        former spouse if the adjustment under subsection (c) had never been
        made.
            ``(2) Repayment of amounts previously refunded.--
                ``(A) General rule.--A surviving spouse or former spouse
            whose annuity is readjusted under paragraph (1) shall repay any
            amount refunded under subsection (e) by reason of the
            adjustment under subsection (c).
                ``(B) Interest required if repayment not a lump sum.--If
            the repayment is not made in a lump sum, the surviving spouse
            or former spouse shall pay interest on the amount to be repaid.
            Such interest shall commence on the date on which the first
            such payment is due and shall be applied over the period during
            which any part of the repayment remains to be paid.
                ``(C) Manner of repayment; rate of interest.--The manner in
            which such repayment shall be made, and the rate of any such
            interest, shall be prescribed in regulations under section 1455
            of this title.
                ``(D) Deposit of amounts repaid.--An amount repaid under
            this paragraph (including any such interest) received by the
            Secretary of Defense shall be deposited into the Department of
            Defense Military Retirement Fund. Any other amount repaid under
            this paragraph shall be deposited into the Treasury as
            miscellaneous receipts.
        ``(l) Participants in the Plan Who Are Missing.--
            ``(1) Authority to presume death of missing participant.--
                ``(A) In general.--Upon application of the beneficiary of a
            participant in the Plan who is missing, the Secretary concerned
            may determine for purposes of this subchapter that the
            participant is presumed dead.
                ``(B) Participant who is missing.--A participant in the
            Plan is considered to be missing for purposes of this
            subsection if--
                    ``(i) the retired pay of the participant has been
                suspended on the basis that the participant is missing; or
                    ``(ii) in the case of a participant in the Plan who
                would be eligible for reserve-component retired pay but for
                the fact that he is under 60 years ofage, his retired pay,
    if he were entitled to retired pay, would be suspended on the basis
    that he is missing.
                ``(C) Requirements applicable to presumption of death.--Any
            such determination shall be made in accordance with regulations
            prescribed under section 1455 of this title. The Secretary
            concerned may not make a determination for purposes of this
            subchapter that a participant who is missing is presumed dead
            unless the Secretary finds that--
                    ``(i) the participant has been missing for at least 30
                days; and
                    ``(ii) the circumstances under which the participant is
                missing would lead a reasonably prudent person to conclude
                that the participant is dead.
            ``(2) Commencement of annuity.--Upon a determination under
        paragraph (1) with respect to a participant in the Plan, an annuity
        otherwise payable under this subchapter shall be paid as if the
        participant died on the date as of which the retired pay of the
        participant was suspended.
            ``(3) Effect of person not being dead.--
                ``(A) Termination of annuity.--If, after a determination
            under paragraph (1), the Secretary concerned determines that
            the participant is alive--
                    ``(i) any annuity being paid under this subchapter by
                reason of this subsection shall be terminated; and
                    ``(ii) the total amount of any annuity payments made by
                reason of this subsection shall constitute a debt to the
                United States.
                ``(B) Collection from participant of annuity amounts
            erroneously paid.--A debt under subparagraph (A)(ii) may be
            collected or offset--
                    ``(i) from any retired pay otherwise payable to the
                participant;
                    ``(ii) if the participant is entitled to compensation
                under chapter 11 of title 38, from that compen- sation; or
                    ``(iii) if the participant is entitled to any other
                payment from the United States, from that payment.
                ``(C) Collection from beneficiary.--If the participant dies
            before the full recovery of the amount of annuity payments
            described in subparagraph (A)(ii) has been made by the United
            States, the remaining amount of such annuity payments may be
            collected from the participant's beneficiary under the Plan if
            that beneficiary was the recipient of the annuity payments made
            by reason of this subsection.

    ``Sec. 1451. Amount of annuity

        ``(a) Computation of Annuity for a Spouse, Former Spouse, or
    Child.--
            ``(1) Standard annuity.--In the case of a standard annuity
        provided to a beneficiary under section 1450(a) of this title
        (other than under section 1450(a)(4)), the monthly annuity payable
        to the beneficiary shall be determined as follows:
                ``(A) Beneficiary under 62 years of age.--If the
            beneficiary is under 62 years of age or is a dependent child
            when becoming entitled to the annuity, the monthly annuity
            shall be the amount equal to 55 percent of the base amount.
                ``(B) Beneficiary 62 years of age or older.--
                    ``(i) General rule.--If the beneficiary (other than a
                dependent child) is 62 years of age or older when becoming
                entitled to the annuity, the monthly annuity shall be the
                amount equal to 35 percent of the base amount.
                    ``(ii) Rule if beneficiary eligible for social security
                offset computation.--If the beneficiary is eligible to have
                the annuity computed under subsection (e) and if, at the
                time the beneficiary becomes entitled to the annuity,
                computation of the annuity under that subsection is more
                favorable to the beneficiary than computation under clause
                (i), the annuity shall be computed under that subsection
                rather than under clause (i).
            ``(2) Reserve-component annuity--In the case of a reserve-
        component annuity provided to a beneficiary under section 1450(a)
        of this title (other than under section 1450(a)(4)), the monthly
        annuity payable to the beneficiary shall be determined as follows:
                ``(A) Beneficiary under 62 years of age.--If the
            beneficiary is under 62 years of age or is a dependent child
            when becoming entitled to the annuity, the monthly annuity
            shall be the amount equal to a percentage of the base amount
            that--
                    ``(i) is less than 55 percent; and
                    ``(ii) is determined under subsection (f).
                ``(B) Beneficiary 62 years of age or older.--
                    ``(i) General rule.--If the beneficiary (other than a
                dependent child) is 62 years of age or older when becoming
                entitled to the annuity, the monthly annuity shall be the
                amount equal to a percentage of the base amount that--

                        ``(I) is less than 35 percent; and
                        ``(II) is determined under subsection (f).

                    ``(ii) Rule if beneficiary eligible for social security
                offset computation.--If the beneficiary is eligible to have
                the annuity computed under subsection (e) and if, at the
                time the beneficiary becomes entitled to the annuity,
                computation of the annuity under that subsection is more
                favorable to the beneficiary than computation under clause
                (i), the annuity shall be computed under that subsection
                rather than under clause (i).
        ``(b) Insurable Interest Beneficiary.--
            ``(1) Standard annuity.--In the case of a standard annuity
        provided to a beneficiary under section 1450(a)(4) of this title,
        the monthly annuity payable to the beneficiary shall be the amount
        equal to 55 percent of the retired pay of the person who elected to
        provide the annuity after the reduction in that pay in accordance
        with section 1452(c) of this title.
            ``(2) Reserve-component annuity.--In the case of a reserve-
        component annuity provided to a beneficiary under section
        1450(a)(4) of this title, the monthly annuity payable to the
        beneficiary shall be the amount equal to a percentage of the
        retired pay of the person who elected to provide the annuity after
        the reduction in such pay in accordance with section 1452(c) of
        this title that--
                ``(A) is less than 55 percent; and
                ``(B) is determined under subsection (f).
            ``(3) Computation of reserve-component annuity when participant
        dies before age 60.--For the purposes of paragraph (2), a person--
                ``(A) who provides an annuity that is determined in
            accordance with that paragraph;
                ``(B) who dies before becoming 60 years of age; and
                ``(C) who at the time of death is otherwise entitled to
            retired pay,
        shall be considered to have been entitled to retired pay at the
        time of death. The retired pay of such person for the purposes of
        such paragraph shall be computed on the basis of the rates of basic
        pay in effect on the date on which the annuity provided by such
        person is to become effective in accordance with the designation of
        such person under section 1448(e) of this title.
        ``(c) Annuities for Survivors of Certain Persons Dying During a
    Period of Special Eligibility for SBP.--
            ``(1) In general.--In the case of an annuity provided under
        section 1448(d) or 1448(f) of this title, the amount of the annuity
        shall be determined as follows:
                ``(A) Beneficiary under 62 years of age.--If the person
            receiving the annuity is under 62 years of age or is a
            dependent child when the member or former member dies, the
            monthly annuity shall be the amount equal to 55 percent of the
            retired pay to which the member or former member would have
            been entitled if the member or former member had been entitled
            to that pay based upon his years of active service when he
            died.
                ``(B) Beneficiary 62 years of age or older.--
                    ``(i) General rule.--If the person receiving the
                annuity (other than a dependent child) is 62 years of age
                or older when the member or former member dies, the monthly
                annuity shall be the amount equal to 35 percent of the
                retired pay to which the member or former member would have
                been entitled if the member or former member had been
                entitled to that pay based upon his years of active service
                when he died.
                    ``(ii) Rule if beneficiary eligible for social security
                offset computation.--If the beneficiary is eligible to have
                the annuity computed under subsection (e) and if, at the
                time the beneficiary becomes entitled to the annuity,
                computation of the annuity under that subsection is more
                favorable to the beneficiary than computation under clause
                (i), the annuity shall be computed under that subsection
                rather than under clause (i).
            ``(2) DIC offset.--An annuity computed under paragraph (1) that
        is paid to a surviving spouse shall be reduced by the amount of
        dependency and indemnity compensation to which the surviving spouse
        is entitled under section 1311(a) of title 38. Any such reduction
        shall be effective on the date of the commencement of the period of
        payment of such compensation under title 38.
            ``(3) Servicemembers not yet granted retired pay.--In the case
        of an annuity provided by reason of the service of a member
        described in section 1448(d)(1)(B) or 1448(d)(1)(C) of this title
        who first became a member of a uniformed service before September
        8, 1980, the retired pay to which the member would have been
        entitled when he died shall be determined for purposes of paragraph
        (1) based upon the rate of basic pay in effect at the time of death
        for the grade in which the member was serving at the time of death,
        unless (as determined by the Secretary concerned) the member would
        have been entitled to be retired in a higher grade.
            ``(4) Rate of pay to be used in computing annuity.--In the case
        of an annuity paid under section 1448(f) of this title by reason of
        the service of a person who first became a member of a uniformed
        service before September 8, 1980, the retired pay of the person
        providing the annuity shall for the purposes of paragraph (1) be
        computed on the basis of the rates of basic pay in effect on the
        effective date of the annuity.
        ``(d) Reduction of Annuities at Age 62.--
            ``(1) Reduction required.--The annuity of a person whose
        annuity is computed under subparagraph (A) of subsection (a)(1),
        (a)(2), or (c)(1) shall be reduced on the first day of the month
        after the month in which the person becomes 62 years of age.
            ``(2) Amount of annuity as reduced.--
                ``(A) 35 percent annuity.--Except as provided in
            subparagraph (B), the reduced amount of the annuity shall be
            the amount of the annuity that the person would be receiving on
            that date if the annuity had initially been computed under
            subparagraph (B) of that subsection.
                ``(B) Savings provision for beneficiaries eligible for
            social security offsetcomputation.--In the case of a person
    eligible to have an annuity computed under subsection (e) and for whom,
    at the time the person becomes 62 years of age, the annuity computed
    with a reduction under subsection (e)(3) is more favorable than the
    annuity with a reduction described in subparagraph (A), the reduction
    in the annuity shall be computed in the same manner as a reduction
    under subsection (e)(3).
        ``(e) Savings Provision for Certain Beneficiaries.--
            ``(1) Persons covered.--The following beneficiaries under the
        Plan are eligible to have an annuity under the Plan computed under
        this subsection:
                ``(A) A beneficiary receiving an annuity under the Plan on
            October 1, 1985, as the surviving spouse or former spouse of
            the person providing the annuity.
                ``(B) A spouse or former spouse beneficiary of a person who
            on October 1, 1985--
                    ``(i) was a participant in the Plan;
                    ``(ii) was entitled to retired pay or was qualified for
                that pay except that he had not applied for and been
                granted that pay; or
                    ``(iii) would have been eligible for reserve-component
                retired pay but for the fact that he was under 60 years of
                age.
            ``(2) Amount of annuity.--Subject to paragraph (3), an annuity
        computed under this subsection is determined as follows:
                ``(A) Standard annuity.--In the case of the beneficiary of
            a standard annuity, the annuity shall be the amount equal to 55
            percent of the base amount.
                ``(B) Reserve-component annuity.--In the case of the
            beneficiary of a reserve-component annuity, the annuity shall
            be the percentage of the base amount that--
                    ``(i) is less than 55 percent; and
                    ``(ii) is determined under subsection (f).
                ``(C) Beneficiaries of persons dying during a period of
            special eligibility for sbp.--In the case of the beneficiary of
            an annuity under section 1448(d) or 1448(f) of this title, the
            annuity shall be the amount equal to 55 percent of the retired
            pay of the person providing the annuity (as that pay is
            determined under subsection (c)).
            ``(3) Social security offset.--An annuity computed under this
        subsection shall be reduced by the lesser of the following:
                ``(A) Social security computation.--The amount of the
            survivor benefit, if any, to which the surviving spouse (or the
            former spouse, in the case of a former spouse beneficiary who
            became a former spouse under a divorce that became final after
            November 29, 1989) would be entitled under title II of the
            Social Security Act (42 U.S.C. 401 et seq.) based solely upon
            service by the person concerned as described in section
            210(l)(1) of such Act (42 U.S.C. 410(l)(1)) and calculated
            assuming that the person concerned lives to age 65.
                ``(B) Maximum amount of reduction.--40 percent of the
            amount of the monthly annuity as determined under paragraph
            (2).
            ``(4) Special rules for social security offset computation.--
                ``(A) Treatment of deductions made on account of work.--For
            the purpose of paragraph (3), a surviving spouse (or a former
            spouse, in the case of a person who becomes a former spouse
            under a divorce that becomes final after November 29, 1989)
            shall not be considered as entitled to a benefit under title II
            of the Social Security Act (42 U.S.C. 401 et seq.) to the
            extent that such benefit has been offset by deductions under
            section 203 of such Act (42 U.S.C. 403) on account of work.
                ``(B) Treatment of certain periods for which social
            security refunds are made.--In the computation of any reduction
            made under paragraph (3), there shall be excluded any period of
            service described in section 210(l)(1) of the Social Security
            Act (42 U.S.C. 410(l)(1))--
                    ``(i) which was performed after December 1, 1980; and
                    ``(ii) which involved periods of service of less than
                30 continuous days for which the person concerned is
                entitled to receive a refund under section 6413(c) of the
                Internal Revenue Code of 1986 of the social security tax
                which the person had paid.
        ``(f) Determination of Percentages Applicable to Computation of
    Reserve-Component Annuities.--The percentage to be applied in
    determining the amount of an annuity computed under subsection (a)(2),
    (b)(2), or (e)(2)(B) shall be determined under regulations prescribed
    by the Secretary of Defense. Such regulations shall be prescribed
    taking into consideration the following:
            ``(1) The age of the person electing to provide the annuity at
        the time of such election.
            ``(2) The difference in age between such person and the
        beneficiary of the annuity.
            ``(3) Whether such person provided for the annuity to become
        effective (in the event he died before becoming 60 years of age) on
        the day after his death or on the 60th anniversary of his birth.
            ``(4) Appropriate group annuity tables.
            ``(5) Such other factors as the Secretary considers relevant.
        ``(g) Adjustments to Annuities.--
            ``(1) Periodic adjustments for cost-of-living.--
                ``(A) Increases in annuities when retired pay increased.--
            Whenever retired pay is increased under section 1401a of this
            title (or any other provisionof law), each annuity that is
    payable under the Plan shall be increased at the same time.
                ``(B) Percentage of increase.--The increase shall, in the
            case of any annuity, be by the same percent as the percent by
            which the retired pay of the person providing the annuity would
            have been increased at such time if the person were alive (and
            otherwise entitled to such pay).
                ``(C) Certain reductions to be disregarded.--The amount of
            the increase shall be based on the monthly annuity payable
            before any reduction under section 1450(c) of this title or
            under subsection (c)(2).
            ``(2) Rounding down.--The monthly amount of an annuity payable
        under this subchapter, if not a multiple of $1, shall be rounded to
        the next lower multiple of $1.
        ``(h) Adjustments to Base Amount.--
            ``(1) Periodic adjustments for cost-of-living.--
                ``(A) Increases in base amount when retired pay
            increased.--Whenever retired pay is increased under section
            1401a of this title (or any other provision of law), the base
            amount applicable to each participant in the Plan shall be
            increased at the same time.
                ``(B) Percentage of increase.--The increase shall be by the
            same percent as the percent by which the retired pay of the
            participant is so increased.
            ``(2) Recomputation at age 62.--When the retired pay of a
        person who first became a member of a uniformed service on or after
        August 1, 1986, and who is a participant in the Plan is recomputed
        under section 1410 of this title upon the person's becoming 62
        years of age, the base amount applicable to that person shall be
        recomputed (effective on the effective date of the recomputation of
        such retired pay under section 1410 of this title) so as to be the
        amount equal to the amount of the base amount that would be in
        effect on that date if increases in such base amount under
        paragraph (1) had been computed as provided in paragraph (2) of
        section 1401a(b) of this title (rather than under paragraph (3) of
        that section).
            ``(3) Disregarding of retired pay reductions for retirement
        before 30 years of service.--Computation of a member's retired pay
        for purposes of this section shall be made without regard to any
        reduction under section 1409(b)(2) of this title.
        ``(i) Recomputation of Annuity for Certain Beneficiaries.--In the
    case of an annuity under the Plan which is computed on the basis of the
    retired pay of a person who would have been entitled to have that
    retired pay recomputed under section 1410 of this title upon attaining
    62 years of age, but who dies before attaining that age, the annuity
    shall be recomputed, effective on the first day of the first month
    beginning after the date on which the member or former member would
    have attained 62 years of age, so as to be the amount equal to the
    amount of the annuity that would be in effect on that date if increases
    under subsection (h)(1) in the base amount applicable to that annuity
    to the time of the death of the member or former member, and increases
    in such annuity under subsection (g)(1), had been computed as provided
    in paragraph (2) of section 1401a(b) of this title (rather than under
    paragraph (3) of that section).

    ``Sec. 1452. Reduction in retired pay

        ``(a) Spouse and Former Spouse Annuities.--
            ``(1) Required reduction in retired pay.--Except as provided in
        subsection (b), the retired pay of a participant in the Plan who is
        providing spouse coverage (as described in paragraph (5)) shall be
        reduced as follows:
                ``(A) Standard annuity.--If the annuity coverage being
            providing is a standard annuity, the reduction shall be as
            follows:
                    ``(i) Disability and nonregular service re- tirees.--In
                the case of a person who is entitled to retired pay under
                chapter 61 or chapter 1223 of this title, the reduction
                shall be in whichever of the alternative reduction amounts
                is more favorable to that person.
                    ``(ii) Members as of enactment of flat-rate
                reduction.--In the case of a person who first became a
                member of a uniformed service before March 1, 1990, the
                reduction shall be in whichever of the alternative
                reduction amounts is more favorable to that person.
                    ``(iii) New entrants after enactment of flat-rate
                reduction.--In the case of a person who first becomes a
                member of a uniformed service on or after March 1, 1990,
                and who is entitled to retired pay under a provision of law
                other than chapter 61 or chapter 1223 of this title, the
                reduction shall be in an amount equal to 6\1/2\ percent of
                the base amount.
                    ``(iv) Alternative reduction amounts.--For purposes of
                clauses (i) and (ii), the alternative reduction amounts are
                the following:

                        ``(I) Flat-rate reduction.--An amount equal to 6\1/
                    2\ percent of the base amount.
                        ``(II) Amount under pre-flat-rate reduction.--An
                    amount equal to 2\1/2\ percent of the first $337 (as
                    adjusted after November 1, 1989, under paragraph (4))
                    of the base amount plus 10 percent of the remainder of
                    the base amount.

                ``(B) Reserve-component annuity.--If the annuity coverage
            being provided is a reserve-component annuity, the reduction
            shall be in whichever of the following amounts is more
            favorable to that person:
                    ``(i) Flat-rate reduction.--An amount equal to 6\1/2\
                percent of the base amount plus an amount determined in
                accordance with regulations prescribed by the Secretary of
                Defense as a premium for the additional coverage provided
                throughreserve-component annuity coverage under the Plan.
                    ``(ii) Amount under pre-flat-rate reduction.--An amount
                equal to 2\1/2\ percent of the first $337 (as adjusted
                after November 1, 1989, under paragraph (4)) of the base
                amount plus 10 percent of the remainder of the base amount
                plus an amount determined in accordance with regulations
                prescribed by the Secretary of Defense as a premium for the
                additional coverage provided through reserve-component
                annuity coverage under the Plan.
            ``(2) Additional reduction for child coverage.--If there is a
        dependent child as well as a spouse or former spouse, the amount
        prescribed under paragraph (1) shall be increased by an amount
        prescribed under regulations of the Secretary of Defense.
            ``(3) No reduction when no beneficiary.--The reduction in
        retired pay prescribed by paragraph (1) shall not be applicable
        during any month in which there is no eligible spouse or former
        spouse beneficiary.
            ``(4) Periodic adjustments.--
                ``(A) Adjustments for increases in rates of basic pay.--
            Whenever there is an increase in the rates of basic pay of
            members of the uniformed services effective on or after October
            1, 1985, the amounts under paragraph (1) with respect to which
            the percentage factor of 2\1/2\ is applied shall be increased
            by the overall percentage of such increase in the rates of
            basic pay. The increase under the preceding sentence shall
            apply only with respect to persons whose retired pay is
            computed based on the rates of basic pay in effect on or after
            the date of such increase in rates of basic pay.
                ``(B) Adjustments for retired pay colas.--In addition to
            the increase under subparagraph (A), the amounts under
            paragraph (1) with respect to which the percentage factor of
            2\1/2\ is applied shall be further increased at the same time
            and by the same percentage as an increase in retired pay under
            section 1401a of this title effective on or after October 1,
            1985. Such increase under the preceding sentence shall apply
            only with respect to a person who initially participates in the
            Plan on a date which is after both the effective date of such
            increase under section 1401a and the effective date of the
            rates of basic pay upon which that person's retired pay is
            computed.
            ``(5) Spouse coverage described.--For the purposes of paragraph
        (1), a participant in the Plan who is providing spouse coverage is
        a participant who--
                ``(A) has (i) a spouse or former spouse, or (ii) a spouse
            or former spouse and a dependent child; and
                ``(B) has not elected to provide an annuity to a person
            designated by him under section 1448(b)(1) of this title or,
            having made such an election, has changed his election in favor
            of his spouse under section 1450(f) of this title.
        ``(b) Child-Only Annuities.--
            ``(1) Required reduction in retired pay.--The retired pay of a
        participant in the Plan who is providing child-only coverage (as
        described in paragraph (4)) shall be reduced by an amount
        prescribed under regulations by the Secretary of Defense.
            ``(2) No reduction when no child.--There shall be no reduction
        in retired pay under paragraph (1) for any month during which the
        participant has no eligible dependent child.
            ``(3) Special rule for certain rcsbp participants.--In the case
        of a participant in the Plan who is participating in the Plan under
        an election under section 1448(a)(2)(B) of this title and who
        provided child-only coverage during a period before the participant
        becomes entitled to receive retired pay, the retired pay of the
        participant shall be reduced by an amount prescribed under
        regulations by the Secretary of Defense to reflect the coverage
        provided under the Plan during the period before the participant
        became entitled to receive retired pay. A reduction under this
        paragraph is in addition to any reduction under paragraph (1) and
        is made without regard to whether there is an eligible dependent
        child during a month for which the reduction is made.
            ``(4) Child-only coverage defined.--For the purposes of this
        subsection, a participant in the Plan who is providing child-only
        coverage is a participant who has a dependent child and who--
                ``(A) does not have an eligible spouse or former spouse; or
                ``(B) has a spouse or former spouse but has elected to
            provide an annuity for dependent children only.
        ``(c) Reduction for Insurable Interest Coverage.--
            ``(1) Required reduction in retired pay.--The retired pay of a
        person who has elected to provide an annuity to a person designated
        by him under section 1450(a)(4) of this title shall be reduced as
        follows:
                ``(A) Standard annuity.--In the case of a person providing
            a standard annuity, the reduction shall be by 10 percent plus 5
            percent for each full five years the individual designated is
            younger than that person.
                ``(B) Reserve component annuity.--In the case of a person
            providing a reserve-component annuity, the reduction shall be
            by an amount prescribed under regulations of the Secretary of
            Defense.
            ``(2) Limitation on total reduction.--The total reduction under
        paragraph (1) may not exceed 40 percent.
            ``(3) Duration of reduction.--The reduction in retired pay
        prescribed by this subsection shall continue during the lifetime of
        the person designated under section 1450(a)(4) of this title or
        until the person receiving retired pay changes his election under
        section 1450(f) of this title.
            ``(4) Rule for computation.--Computation of a member's retired
        pay for purposes of this subsection shallbe made without regard to
    any reduction under section 1409(b)(2) of this title.
        ``(d) Deposits To Cover Periods When Retired Pay Not Paid.--
            ``(1) Required deposits.--If a person who has elected to
        participate in the Plan has been awarded retired pay and is not
        entitled to that pay for any period, that person must deposit in
        the Treasury the amount that would otherwise have been deducted
        from his pay for that period.
            ``(2) Deposits not required when participant on active duty.--
        Paragraph (1) does not apply to a person with respect to any period
        when that person is on active duty under a call or order to active
        duty for a period of more than 30 days.
        ``(e) Deposits Not Required for Certain Participants in CSRS.--When
    a person who has elected to participate in the Plan waives that
    person's retired pay for the purposes of subchapter III of chapter 83
    of title 5, that person shall not be required to make the deposit
    otherwise required by subsection (d) as long as that waiver is in
    effect unless, in accordance with section 8339(i) of title 5, that
    person has notified the Office of Personnel Management that he does not
    desire a spouse surviving him to receive an annuity under section
    8331(b) of title 5.
        ``(f) Refunds of Deductions Not Allowed.--
            ``(1) General rule.--A person is not entitled to refund of any
        amount deducted from retired pay under this section.
            ``(2) Exceptions.--Paragraph (1) does not apply--
                ``(A) in the case of a refund authorized by section 1450(e)
            of this title; or
                ``(B) in case of a deduction made through administrative
            error.
        ``(g) Discontinuation of Participation by Participants Whose
    Surviving Spouses Will Be Entitled to DIC.--
            ``(1) Discontinuation.--
                ``(A) Conditions.--Notwithstanding any other provision of
            this subchapter but subject to paragraphs (2) and (3), a person
            who has elected to participate in the Plan and who is suffering
            from a service-connected disability rated by the Secretary of
            Veterans Affairs as totally disabling and has suffered from
            such disability while so rated for a continuous period of 10 or
            more years (or, if so rated for a lesser period, has suffered
            from such disability while so rated for a continuous period of
            not less than 5 years from the date of such person's last
            discharge or release from active duty) may discontinue
            participation in the Plan by submitting to the Secretary
            concerned a request to discontinue participation in the Plan.
                ``(B) Effective date.--Participation in the Plan of a
            person who submits a request under subparagraph (A) shall be
            discontinued effective on the first day of the first month
            following the month in which the request under subparagraph (A)
            is received by the Secretary concerned. Effective on such date,
            the Secretary concerned shall discontinue the reduction being
            made in such person's retired pay on account of participation
            in the Plan or, in the case of a person who has been required
            to make deposits in the Treasury on account of participation in
            the Plan, such person may discontinue making such deposits
            effective on such date.
                ``(C) Form for request for discontinuation.--Any request
            under this paragraph to discontinue participation in the Plan
            shall be in such form and shall contain such information as the
            Secretary concerned may require by regulation.
            ``(2) Consent of beneficiaries required.--A person described in
        paragraph (1) may not discontinue participation in the Plan under
        such paragraph without the written consent of the beneficiary or
        beneficiaries of such person under the Plan.
            ``(3) Information on plan to be provided by secretary
        concerned.--
                ``(A) Information to be provided promptly to participant.--
            The Secretary concerned shall furnish promptly to each person
            who files a request under paragraph (1) to discontinue
            participation in the Plan a written statement of the advantages
            of participating in the Plan and the possible disadvantages of
            discontinuing participation.
                ``(B) Right to withdraw discontinuation request.--A person
            may withdraw a request made under paragraph (1) if it is
            withdrawn within 30 days after having been submitted to the
            Secretary concerned.
            ``(4) Refund of deductions from retired pay.--Upon the death of
        a person described in paragraph (1) who discontinued participation
        in the Plan in accordance with this subsection, any amount deducted
        from the retired pay of that person under this section shall be
        refunded to the person's surviving spouse.
            ``(5) Resumption of participation in plan.--
                ``(A) Conditions for resumption.--A person described in
            paragraph (1) who discontinued participation in the Plan may
            elect to participate again in the Plan if--
                    ``(i) after having discontinued participation in the
                Plan the Secretary of Veterans Affairs reduces that
                person's service-connected disability rating to a rating of
                less than total; and
                    ``(ii) that person applies to the Secretary concerned,
                within such period of time after the reduction in such
                person's service-connected disability rating has been made
                as the Secretary concerned may prescribe, to again
                participate in the Plan and includes in such application
                such information as the Secretary concerned may require.
                ``(B) Effective date of resumed coverage.--Such person's
            participation in the Plan underthis paragraph is effective
    beginning on the first day of the month after the month in which the
    Secretary concerned receives the application for resumption of
    participation in the Plan.
                ``(C) Resumption of contributions.--When a person elects to
            participate in the Plan under this paragraph, the Secretary
            concerned shall begin making reductions in that person's
            retired pay, or require such person to make deposits in the
            Treasury under subsection (d), as appropriate, effective on the
            effective date of such participation under subparagraph (B).
        ``(h) Increases in Reduction With Increases in Retired Pay.--
            ``(1) General rule.--Whenever retired pay is increased under
        section 1401a of this title (or any other provision of law), the
        amount of the reduction to be made under subsection (a) or (b) in
        the retired pay of any person shall be increased at the same time
        and by the same percentage as such retired pay is so increased.
        ``(i) Recomputation of Reduction Upon Recomputation of Retired
    Pay.--When the retired pay of a person who first became a member of a
    uniformed service on or after August 1, 1986, and who is a participant
    in the Plan is recomputed under section 1410 of this title upon the
    person's becoming 62 years of age, the amount of the reduction in such
    retired pay under this section shall be recomputed (effective on the
    effective date of the recomputation of such retired pay under section
    1410 of this title) so as to be the amount equal to the amount of such
    reduction that would be in effect on that date if increases in such
    retired pay under section 1401a(b) of this title, and increases in
    reductions in such retired pay under subsection (h), had been computed
    as provided in paragraph (2) of section 1401a(b) of this title (rather
    than under paragraph (3) of that section).

    ``Sec. 1453. Recovery of amounts erroneously paid

        ``(a) Recovery.--In addition to any other method of recovery
    provided by law, the Secretary concerned may authorize the recovery of
    any amount erroneously paid to a person under this subchapter by
    deduction from later payments to that person.
        ``(b) Authority To Waive Recovery.--Recovery of an amount
    erroneously paid to a person under this subchapter is not required if,
    in the judgment of the Secretary concerned and the Comptroller
    General--
            ``(1) there has been no fault by the person to whom the amount
        was erroneously paid; and
            ``(2) recovery of such amount would be contrary to the purposes
        of this subchapter or against equity and good conscience.

    ``Sec. 1454. Correction of administrative errors

        ``(a) Authority.--The Secretary concerned may, under regulations
    prescribed under section 1455 of this title, correct or revoke any
    election under this subchapter when the Secretary considers it
    necessary to correct an administrative error.
        ``(b) Finality.--Except when procured by fraud, a correction or
    revocation under this section is final and conclusive on all officers
    of the United States.

    ``Sec. 1455. Regulations

        ``(a) In General.--The President shall prescribe regulations to
    carry out this subchapter. Those regulations shall, so far as
    practicable, be uniform for the uniformed services.
        ``(b) Notice of Elections.--Regulations prescribed under this
    section shall provide that before the date on which a member becomes
    entitled to retired pay--
            ``(1) if the member is married, the member and the member's
        spouse shall be informed of the elections available under section
        1448(a) of this title and the effects of such elections; and
            ``(2) if the notification referred to in section 1448(a)(3)(E)
        of this title is required, any former spouse of the member shall be
        informed of the elections available and the effects of such
        elections.
        ``(c) Procedure for Depositing Certain Receipts.--Regulations
    prescribed under this section shall establish procedures for depositing
    the amounts referred to in sections 1448(g), 1450(k)(2), and 1452(d) of
    this title.
        ``(d) Payments to Guardians and Fiduciaries.--
            ``(1) In general.--Regulations prescribed under this section
        shall provide procedures for the payment of an annuity under this
        subchapter in the case of--
                ``(A) a person for whom a guardian or other fiduciary has
            been appointed; and
                ``(B) a minor, mentally incompetent, or otherwise legally
            disabled person for whom a guardian or other fiduciary has not
            been appointed.
            ``(2) Authorized procedures.--The regulations under paragraph
        (1) may include provisions for the following:
                ``(A) In the case of an annuitant referred to in paragraph
            (1)(A), payment of the annuity to the appointed guardian or
            other fiduciary.
                ``(B) In the case of an annuitant referred to in paragraph
            (1)(B), payment of the annuity to any person who, in the
            judgment of the Secretary concerned, is responsible for the
            care of the annuitant.
                ``(C) Subject to subparagraphs (D) and (E), a requirement
            for the payee of an annuity to spend or invest the amounts paid
            on behalf of the annuitant solely for benefit of the annuitant.
                ``(D) Authority for the Secretary concerned to permit the
            payee to withhold from the annuity payment such amount, not in
            excess of 4 percent of the annuity, as the Secretary concerned
            considers a reasonable fee for the fiduciary services of the
            payee when a court appointment order provides for payment of
            such a fee to the payee for such services or the Secretary
            concerned determines that payment of a fee to such payee is
            necessary in order to obtain the fiduciary services of the
            payee.
                ``(E) Authority for the Secretary concerned to require the
            payee to provide a surety bond in an amountsufficient to
    protect the interests of the annuitant and to pay for such bond out of
    the annuity.
                ``(F) A requirement for the payee of an annuity to maintain
            and, upon request, to provide to the Secretary concerned an
            accounting of expenditures and investments of amounts paid to
            the payee.
                ``(G) In the case of an annuitant referred to in paragraph
            (1)(B)--
                    ``(i) procedures for determining incompetency and for
                selecting a payee to represent the annuitant for the
                purposes of this section, including provisions for
                notifying the annuitant of the actions being taken to make
                such a determination and to select a representative payee,
                an opportunity for the annuitant to review the evidence
                being considered, and an opportunity for the annuitant to
                submit additional evidence before the determination is
                made; and
                    ``(ii) standards for determining incompetency,
                including standards for determining the sufficiency of
                medical evidence and other evidence.
                ``(H) Provisions for any other matter that the President
            considers appropriate in connection with the payment of an
            annuity in the case of a person referred to in paragraph (1).
            ``(3) Legal effect of payment to guardian or fiduciary.--An
        annuity paid to a person on behalf of an annuitant in accordance
        with the regulations prescribed pursuant to paragraph (1)
        discharges the obligation of the United States for payment to the
        annuitant of the amount of the annuity so paid.''.
        SEC. 635. INCREASES IN SURVIVOR BENEFIT PLAN CONTRIBUTIONS TO BE
          EFFECTIVE CONCURRENTLY WITH PAYMENT OF RETIRED PAY COST-OF-LIVING
          INCREASES.
        (a) Survivor Benefit Plan.--Section 1452(h) of title 10, United
    States Code, as amended by section 634, is amended by adding at the end
    the following new paragraph:
            ``(2) Coordination when payment of increase in retired pay is
        delayed by law.--
                ``(A) In general.--Notwithstanding paragraph (1), when the
            initial payment of an increase in retired pay under section
            1401a of this title (or any other provision of law) to a person
            is for a month that begins later than the effective date of
            that increase by reason of the application of subsection
            (b)(2)(B) of such section (or section 631(b) of Public Law 104-
            106 (110 Stat. 364)), then the amount of the reduction in the
            person's retired pay shall be effective on the date of that
            initial payment of the increase in retired pay rather than the
            effective date of the increase in retired pay.
                ``(B) Delay not to affect computation of annuity.--
            Subparagraph (A) may not be construed as delaying, for purposes
            of determining the amount of a monthly annuity under section
            1451 of this title, the effective date of an increase in a base
            amount under subsection (h) of such section from the effective
            date of an increase in retired pay under section 1401a of this
            title to the date on which the initial payment of that increase
            in retired pay is made in accordance with subsection (b)(2)(B)
            of such section.''.
        (b) Effective Date.--The amendment made by subsection (a) shall
    apply with respect to retired pay payable for months beginning on or
    after the date of the enactment of this Act.
        SEC. 636. AMENDMENTS TO THE UNIFORMED SERVICES FORMER SPOUSES'
          PROTECTION ACT.
        (a) Manner of Service of Process.--Subsection (b)(1)(A) of section
    1408 of title 10, United States Code, is amended by striking out
    ``certified or registered mail, return receipt requested'' and
    inserting in lieu thereof ``facsimile or electronic transmission or by
    mail''.
        (b) Subsequent Court Order From Another State.--Subsection (d) of
    such section is amended by adding at the end the following new
    paragraph:
        ``(6)(A) The Secretary concerned may not accept service of a court
    order that is an out-of State modification, or comply with the
    provisions of such a court order, unless the court issuing that order
    has jurisdiction in the manner specified in subsection (c)(4) over both
    the member and the spouse or former spouse involved.
        ``(B) A court order shall be considered to be an out-of-State
    modification for purposes of this paragraph if the order--
            ``(i) modifies a previous court order under this section upon
        which payments under this subsection are based; and
            ``(ii) is issued by a court of a State other than the State of
        the court that issued the previous court order.''.
        SEC. 637. PREVENTION OF CIRCUMVENTION OF COURT ORDER BY WAIVER OF
          RETIRED PAY TO ENHANCE CIVIL SERVICE RETIREMENT ANNUITY.
        (a) Civil Service Retirement and Disability System.--(1) Subsection
    (c) of section 8332 of title 5, United States Code, is amended by
    adding at the end the following new paragraph:
        ``(4) If, after January 1, 1997, an employee or Member waives
    retired pay that is subject to a court order for which there has been
    effective service on the Secretary concerned for purposes of section
    1408 of title 10, the military service on which the retired pay is
    based may be credited as service for purposes of this subchapter only
    if the employee or Member authorizes the Director to deduct and
    withhold from the annuitypayable to the employee or Member under this
    subchapter an amount equal to the amount that, if the annuity payment
    was instead a payment of the employee's or Member's retired pay, would
    have been deducted and withheld and paid to the former spouse covered
    by the court order under such section 1408. The amount deducted and
    withheld under this paragraph shall be paid to that former spouse. The
    period of civil service employment by the employee or Member shall not
    be taken into consideration in determining the amount of the deductions
    and withholding or the amount of the payment to the former spouse. The
    Director of the Office of Personnel Management shall prescribe
    regulations to carry out this paragraph.''.
        (2) Paragraph (1) of such subsection is amended by striking out
    ``Except as provided in paragraph (2)'' and inserting in lieu thereof
    ``Except as provided in paragraphs (2) and (4)''.
        (b) Federal Employees' Retirement System.--(1) Subsection (c) of
    section 8411 of title 5, United States Code, is amended by adding at
    the end the following new paragraph:
        ``(5) If, after January 1, 1997, an employee or Member waives
    retired pay that is subject to a court order for which there has been
    effective service on the Secretary concerned for purposes of section
    1408 of title 10, the military service on which the retired pay is
    based may be credited as service for purposes of this chapter only if
    the employee or Member authorizes the Director to deduct and withhold
    from the annuity payable to the employee or Member under this
    subchapter an amount equal to the amount that, if the annuity payment
    was instead a payment of the employee's or Member's retired pay, would
    have been deducted and withheld and paid to the former spouse covered
    by the court order under such section 1408. The amount deducted and
    withheld under this paragraph shall be paid to that former spouse. The
    period of civil service employment by the employee or Member shall not
    be taken into consideration in determining the amount of the deductions
    and withholding or the amount of the payment to the former spouse. The
    Director of the Office of Personnel Management shall prescribe
    regulations to carry out this paragraph.''.
        (2) Paragraph (1) of such subsection is amended by striking
    ``Except as provided in paragraph (2) or (3)'' and inserting ``Except
    as provided in paragraphs (2), (3), and (5)''.
        (c) Effective Date.--The amendments made by subsections (a) and (b)
    shall take effect on January 1, 1997.
        SEC. 638. ADMINISTRATION OF BENEFITS FOR SO-CALLED MINIMUM INCOME
          WIDOWS.
        (a) Adjusted Annual Income Limitation Appliable to Eligibility for
    Income Supplement.--(1) Section 4 of Public Law 92-425 (10 U.S.C. 1448
    note) is amended--
            (A) in subsection (a)(3), by striking out ``$2,340'' and
        inserting in lieu thereof ``the maximum annual rate of pension in
        effect under section 1541(b) of title 38, United States Code''; and
            (B) in the first sentence of subsection (b), by striking out
        ``$2,340 a year'' and inserting in lieu thereof ``the maximum
        annual rate of pension in effect under section 1541(b) of title 38,
        United States Code''.
        (2) Subsection (c) of such section is repealed.
        (b) Payments To Be Made by Secretary of Veterans Affairs.--Such
    section is further amended by adding at the end the following new
    subsection:
        ``(e)(1) Payment of annuities under this section shall be made by
    the Secretary of Veterans Affairs. If appropriate for administrative
    convenience (or otherwise determined appropriate by the Secretary of
    Veterans Affairs), that Secretary may combine a payment to any person
    for any month under this section with any other payment for that month
    under laws administered by the Secretary so as to provide that person
    with a single payment for that month.
        ``(2) The Secretary concerned shall annually transfer to the
    Secretary of Veterans Affairs such amounts as may be necessary for
    payments by the Secretary of Veterans Affairs under this section and
    for costs of the Secretary of Veterans Affairs in administering this
    section. Such transfers shall be made from amounts that would otherwise
    be used for payment of annuities by the Secretary concerned under this
    section. The authority to make such a transfer is in addition to any
    other authority of the Secretary concerned to transfer funds for a
    purpose other than the purpose for which the funds were originally made
    available. In the case of a transfer by the Secretary of a military
    department, the provisions of section 2215 of title 10, United States
    Code, do not apply.
        ``(3) The Secretary concerned shall promptly notify the Secretary
    of Veterans Affairs of any change in beneficiaries under this
    section.''.
        (c) Clarification of Continuing Eligiblity for Department of
    Veterans Affairs Pension.--Such section, as amended by subsection
    (a)(2), is further amended by inserting after subsection (b) the
    following new subsection (c):
        ``(c) The amount of an annuity payable under this section, although
    counted as income in determining the amount of any pension described in
    subsection (a)(2) of this section, shall not be considered to affect
    the eligiblity of the recipient of such annuity for such pension, even
    though, as a result of including the amount of the annuity as income,
    no amount of such pension is due.''.
        (d) Effective Date.--The amendments made by this section take
    effect on July 1, 1997, and apply with respect to payments of benefits
    for any month after June 1997.

                           Subtitle E--Other Matters

        SEC. 651. DISCRETIONARY ALLOTMENT OF PAY, INCLUDING RETIRED OR
          RETAINER PAY.
        (a) Allotments Authorized.--Section 701 of title 37, United States
    Code, is amended by striking out subsection (d) and inserting in lieu
    thereof the following new subsections:
        ``(d) Under regulations prescribed by the Secretary of Defense, a
    member of the Army, Navy, Air Force, or Marine Corps and a contract
    surgeon of the Army, Navy, or Air Force may make allotments from the
    pay of the member or surgeon for the purpose of supporting relatives or
    for any other purpose that the Secretary considers proper. Such
    allotments may include a maximum of six allotments considered to be
    discretionary under such regulations. For a member or former member
    entitled to retired or retainer pay, a maximum of six discretionary
    allotments authorized during active military service may be continued
    into retired status, and new discretionary allotments may be authorized
    so long as the total number of discretionary allotments does not exceed
    six.
        ``(e) If an allotment made under subsection (d) is paid to the
    allottee before the disbursing officer receives a notice of
    discontinuance from the officer required by regulation to furnish the
    notice, the amount of the allotment shall be credited to the disbursing
    officer. If an allotment is erroneously paid because the officer
    required by regulation to so report failed to report the death of the
    allotter or any other fact that makes the allotment not payable, the
    amount of the payment not recovered from the allottee shall, if
    practicable, be collected by the Secretary concerned from the officer
    who failed to make the report.''.
        (b) Issuance of Regulations.--The Secretaries of the military
    departments shall prescribe regulations under subsection (d) of section
    701 of title 37, United States Code, as added by subsection (a), not
    later than October 1, 1997.
        SEC. 652. REIMBURSEMENT FOR ADOPTION EXPENSES INCURRED IN ADOPTIONS
          THROUGH PRIVATE PLACEMENTS.
        (a) Department of Defense.--Section 1052(g) of title 10, United
    States Code, is amended--
            (1) in paragraph (1), by striking out ``State or local
        government'' and all that follows through the period at the end of
        the first sentence and inserting in lieu thereof ``qualified
        adoption agency.''; and
            (2) by adding at the end the following new paragraph:
            ``(3) The term `qualified adoption agency' means any of the
        following:
                ``(A) A State or local government agency which has
            responsibility under State or local law for child placement
            through adoption.
                ``(B) A nonprofit, voluntary adoption agency which is
            authorized by State or local law to place children for
            adoption.
                ``(C) Any other source authorized by a State to provide
            adoption placement if the adoption is supervised by a court
            under State or local law.''.
        (b) Coast Guard.--Section 514(g) of title 14, United States Code,
    is amended--
            (1) in paragraph (1), by striking out ``State or local
        government'' and all that follows through the period at the end of
        the first sentence and inserting in lieu thereof ``qualified
        adoption agency.''; and
            (2) by adding at the end the following new paragraph:
            ``(3) The term `qualified adoption agency' means any of the
        following:
                ``(A) A State or local government agency which has
            responsibility under State or local law for child placement
            through adoption.
                ``(B) A nonprofit, voluntary adoption agency which is
            authorized by State or local law to place children for
            adoption.
                ``(C) Any other source authorized by a State to provide
            adoption placement if the adoption is supervised by a court
            under State or local law.''.
        SEC. 653. WAIVER OF RECOUPMENT OF AMOUNTS WITHHELD FOR TAX PURPOSES
          FROM CERTAIN SEPARATION PAY.
        (a) In General.--Section 1174(h)(2) of title 10, United States
    Code, is amended by inserting before the period at the end of the first
    sentence the following: ``, less the amount of Federal income tax
    withheld from such pay (such withholding being at the flat withholding
    rate for Federal income tax withholding, as in effect pursuant to
    regulations prescribed under chapter 24 of the Internal Revenue Code of
    1986)''.
        (b) Effective Date.--The amendments made by this section shall take
    effect on October 1, 1996, and shall apply to payments of separation
    pay, severance pay, or readjustment pay that are made after September
    30, 1996.
        SEC. 654. TECHNICAL CORRECTION CLARIFYING LIMITATION ON FURNISHING
          CLOTHING OR ALLOWANCES FOR ENLISTED NATIONAL GUARD TECHNICIANS.
        Section 418(c) of title 37, United States Code, is amended by
    striking out ``for which a uniform allowance is paid under section 415
    or 416 of this title'' and inserting in lieu thereof ``for which
    clothing is furnished or a uniform allowance is paid under this
    section''.
        SEC. 655. TECHNICAL CORRECTION TO PRIOR AUTHORITY FOR PAYMENT OF
          BACKPAY TO CERTAIN PERSONS.
        Section 634 of the National Defense Authorization Act for Fiscal
    Year 1996 (Public Law 104-106; 110 Stat. 366) is amended--
            (1) in subsection (b)(1), by striking out ``Island of Bataan''
        and inserting in lieu thereof ``peninsula of Bataan or island of
        Corregidor''; and
            (2) in subsection (c), by inserting after the first sentence
        the following: ``For the purposes of this subsection, the Secretary
        of War shall be deemed to have determinedthat conditions in the
    Philippines during the specified period justified payment under
    applicable regulations of quarters and subsistence allowances at the
    maximum special rate for duty where emergency conditions existed.''.
        SEC. 656. COMPENSATION FOR PERSONS AWARDED PRISONER OF WAR MEDAL
          WHO DID NOT PREVIOUSLY RECEIVE COMPENSATION AS A PRISONER OF WAR.
        (a) Authority To Make Payments.--The Secretary of the military
    department concerned shall make payments in the manner provided in
    section 6 of the War Claims Act of 1948 (50 U.S.C. App. 2005) to (or on
    behalf of) any person described in subsection (b) who submits an
    application for such payment in accordance with subsection (d).
        (b) Eligible Persons.--This section applies with respect to a
    member or former member of the Armed Forces who--
            (1) has received the prisoner of war medal under section 1128
        of title 10, United States Code; and
            (2) has not previously received a payment under section 6 of
        the War Claims Act of 1948 (50 U.S.C. App. 2005) with respect to
        the period of internment for which the person received the prisoner
        of war medal.
        (c) Amount of Payment.--The amount of the payment to any person
    under this section shall be determined based upon the provisions of
    section 6 of the War Claims Act of 1948 that are applicable with
    respect to the period of time during which the internment occurred for
    which the person received the prisoner of war medal.
        (d) One-Year Period for Submission of Applications.--A payment may
    be made by reason of this section only in the case of a person who
    submits an application to the Secretary concerned for such payment
    during the one-year period beginning on the date of the enactment of
    this Act. Any such application shall be submitted in such form and
    manner as the Secretary may require.
        SEC. 657. PAYMENTS TO CERTAIN PERSONS CAPTURED AND INTERNED BY
          NORTH VIETNAM.
        (a) Payment Authorized to Eligible Persons.--(1) Using amounts made
    available under subsection (g), the Secretary of Defense shall make a
    payment under this section to a person who demonstrates to the
    satisfaction of the Secretary of Defense that the person was captured
    and incarcerated by the Democratic Republic of Vietnam as a result of
    the participation by the person in operations conducted under OPLAN 34A
    or its predecessor.
        (2) Using amounts made available under subsection (g), the
    Secretary of Defense shall also make a payment under this section to a
    person who demonstrates to the satisfaction of the Secretary of Defense
    that the person--
            (A) served as a Vietnamese operative pursuant to OPLAN 35;
            (B) was captured and incarcerated by North Vietnamese forces as
        a result of the participation by the person in operations in Laos
        or along the Lao-Vietnamese border pursuant to OPLAN 35;
            (C) remained in captivity after 1973 (or died in captivity);
        and
            (D) has not previously received payment from the United States
        for the period spent in captivity.
        (3) A payment may not be made under this section to, or with
    respect to, a person who the Secretary of Defense determines, based on
    the available evidence, served in the Peoples Army of Vietnam or
    provided active assistance to the Government of the Democratic Republic
    of Vietnam during the period from 1958 through 1975.
        (b) Effect of Death of Eligible Person.--In the case of a decedent
    who would have been eligible for a payment under this section if alive,
    the documentation required under subsection (a) may be provided by
    survivors of the decedent, and the payment under this section shall be
    made to survivors of the decedent in the following order:
            (1) To the surviving spouse.
            (2) If there is no surviving spouse, to the surviving children
        (including natural children and adopted children) of the decedent,
        in equal shares.
        (c) Amount Payable.--The amount payable to, or with respect to, a
    person under this section is $40,000. If a person can demonstrate to
    the Secretary of Defense that confinement or incarceration exceeded 20
    years, the Secretary may pay an additional $2,000 for each full year in
    excess of 20 (and a proportionate amount for a partial year), but the
    total amount paid to, or with respect to, a person under this section
    may not exceed $50,000.
        (d) Time Limitations.--(1) To be eligible for a payment under this
    section, a claimant must file a claim for such payment with the
    Secretary of Defense within 18 months of the effective date of the
    regulations implementing this section.
        (2) Not later than 18 months after receiving a claim for payment
    under this section, the Secretary shall determine the eligibility of
    the claimant for payment of the claim. Subject to subsection (f), if
    the Secretary determines that the claimant is eligible for the payment,
    the Secretary shall promptly pay the claim.
        (e) Regulations.--(1) The Secretary of Defense shall prescribe
    regulations to carry out this section. Such regulations shall include
    procedures by which persons may submit claims for payment under this
    section. Such regulations shall be prescribed not later than six months
    after the date of the enactment of this Act.
        (2) The Secretary of Defense may establish guidelines regarding
    what constitutes adequate documentation for determining whether a
    person satisfies the requirements specified in subsection (a) regarding
    eligibility for a payment under this section. Such guidelines shall be
    established in consultation with the heads of other agencies of the
    Government involved with OPLAN 34A or its predecessor or OPLAN 35.
        (f) Limitation on Disbursement.--(1) The actual disbursement of a
    payment under this section may be made onlyto the person who is
    eligible for the payment under subsection (a) or (b) and only--
            (A) upon the appearance of that person, in person, at any
        designated disbursement office in the United States or its
        territories; or
            (B) at such other location or in such other manner as that
        person may request in writing.
        (2) In the case of a claim approved for payment but not disbursed
    as a result of operation of paragraph (1), the Secretary of Defense
    shall hold the funds in trust for the person in an interest bearing
    account until such time as the person makes an election under such
    paragraph.
        (g) Funding.--To the extent provided in advance for this section in
    appropriations Acts, of amounts authorized to be appropriated under
    section 301(24) for this purpose, $20,000,000 shall be available until
    expended for payments under this section.
        (h) Payment in Full Satisfaction of Claims Against the United
    States.--The acceptance of payment by, or with respect to, a person
    under this section shall be in full satisfaction of all claims by or on
    behalf of that individual against the United States arising from
    operations under OPLAN 34A or its predecessor or OPLAN 35.
        (i) Attorney Fees.--Notwithstanding any contract, the
    representative of a person may not receive, for services rendered in
    connection with the claim of, or with respect to, a person under this
    section, more than 10 percent of a payment made under this section on
    that claim.
        (j) No Right to Judicial Review.--All determinations by the
    Secretary of Defense pursuant to this section are final and conclusive,
    notwithstanding any other provision of law. Claimants under this
    section have no right to judicial review, and such review is
    specifically precluded.
        (k) Reports to Congress.--(1) Not later than 24 months after the
    date of the enactment of this Act, the Secretary of Defense shall
    submit to Congress a report on the payment of claims under this
    section.
        (2) After the submission of the report under paragraph (1), the
    Secretary shall periodically submit to Congress a report on the status
    of payment of claims under this section.

                       TITLE VII--HEALTH CARE PROVISIONS

                        Subtitle A--Health Care Services

    Sec. 701. Preventive health care screening for colon and prostate
    cancer.
    Sec. 702. Implementation of requirement for Selected Reserve dental
    insurance plan.
    Sec. 703. Dental insurance plan for military retirees and unremarried
    surviving spouses and certain other dependents of military retirees.
    Sec. 704. Plan for health care coverage for children with medical
    conditions caused by parental exposure to chemical munitions while
    serving as members of the Armed Forces.

                           Subtitle B--TRICARE Program

    Sec. 711. CHAMPUS payment limits for TRICARE prime enrollees.
    Sec. 712. Improved information exchange between military treatment
    facilities and TRICARE program contractors.
    Sec. 713. Plans for medicare subvention demonstration programs.

               Subtitle C--Uniformed Services Treatment Facilities

    Sec. 721. Definitions.
    Sec. 722. Inclusion of designated providers in uniformed services health
    care delivery system.
    Sec. 723. Provision of uniform benefit by designated providers.
    Sec. 724. Enrollment of covered beneficiaries.
    Sec. 725. Application of CHAMPUS payment rules.
    Sec. 726. Payments for services.
    Sec. 727. Repeal of superseded authorities.

        Subtitle D--Other Changes to Existing Laws Regarding Health Care
                                   Management

    Sec. 731. Authority to waive CHAMPUS exclusion regarding nonmedically
    necessary treatment in connection with certain clinical trials.
    Sec. 732. Exception to maximum allowable payments to individual health-
    care providers under CHAMPUS.
    Sec. 733. Codification of annual authority to credit CHAMPUS refunds to
    current year appropriation.
    Sec. 734. Exceptions to requirements regarding obtaining
    nonavailability-of-health-care statements.
    Sec. 735. Enhancement of third-party collection and secondary payer
    authorities under CHAMPUS.

                            Subtitle E--Other Matters

    Sec. 741. Alternatives to active duty service obligation under Armed
    Forces Health Professions Scholarship and Financial Assistance program
    and Uniformed Services University of the Health Sciences.
    Sec. 742. External peer review for defense health program extramural
    medical research involving human subjects.
    Sec. 743. Independent research regarding Gulf War syndrome.
    Sec. 744. Comptroller General review of health care activities of
    Department of Defense relating to Gulf War illnesses.
    Sec. 745. Report regarding specialized treatment facility program.
    Sec. 746. Study of means of ensuring uniformity in provision of medical
    and dental care for members of reserve components.
    Sec. 747. Sense of Congress regarding tax treatment of Armed Forces
    Health Professions Scholarship and Financial Assistance program.

                        Subtitle A--Health Care Services

        SEC. 701. PREVENTIVE HEALTH CARE SCREENING FOR COLON AND PROSTATE
          CANCER.
        (a) Members and Former Members.--(1) Section 1074d of title 10,
    United States Code, is amended--
            (A) in subsection (a)--
                (i) by inserting ``(1)'' before ``Female''; and
                (ii) by adding at the end the following new paragraph:
        ``(2) Male members and former members of the uniformed services
    entitled to medical care under section 1074 or 1074a of this title
    shall also be entitled to preventive health care screening for colon or
    prostate cancer at such intervals and using such screening methods as
    the administering Secretaries consider appropriate.''; and
            (B) in subsection (b), by adding at the end the following new
        paragraph:
            ``(8) Colon cancer screening, at the intervals and using the
        screening methods prescribed under subsection (a)(2).''.
        (2)(A) The heading of such section is amended to read as follows:
    ``Sec. 1074d. Certain primary and preventive health care services
        (B) The item relating to such section in the table of sections at
    the beginning of chapter 55 of such title is amended to read as
    follows:

    ``1074d. Certain primary and preventive health care services.''.

        (b) Dependents.--(1) Section 1077(a) of such title is amended by
    adding at the end the following new paragraph:
            ``(14) Preventive health care screening for colon or prostate
        cancer, at the intervals and using the screening methods prescribed
        under section 1074d(a)(2) of this title.''.
        (2) Section 1079(a)(2) of such title is amended--
            (A) in the matter preceding subparagraph (A), by inserting
        ``the schedule and method of colon and prostate cancer
        screenings,'' after ``pap smears and mammograms,''; and
            (B) in subparagraph (B), by inserting ``or colon and prostate
        cancer screenings'' after ``pap smears and mammograms''.
        SEC. 702. IMPLEMENTATION OF REQUIREMENT FOR SELECTED RESERVE DENTAL
          INSURANCE PLAN.
        (a) Implementation by Contract.--Subsection (a) of section 1076b of
    title 10, United States Code, is amended--
            (1) by inserting ``(1)'' after ``(a) Authority To Establish
        Plan.--'';
            (2) by designating the third sentence as paragraph (3); and
            (3) by inserting after paragraph (1), as designated by
        paragraph (1) of this subsection, the following new paragraph:
        ``(2) The Secretary shall provide benefits under the plan through
    one or more contracts awarded after full and open competition.''.
        (b) Collection of Premiums of Members Not Receiving Basic Pay.--
    Subsection (b)(3) of such section is amended by adding at the end the
    following: ``In the case of a member who does not receive basic pay,
    the Secretary of Defense shall establish procedures for the collection
    of the member's share of the premium for coverage.''.
        (c) Schedule for Implementation.--Section 705(b) of the National
    Defense Authorization Act for Fiscal Year 1996 (Public Law 104-106; 110
    Stat. 373; 10 U.S.C. 1076b note) is amended--
            (1) in the first sentence, by striking out ``October 1, 1996''
        and inserting in lieu thereof ``October 1, 1997''; and
            (2) by striking out ``fiscal year 1996'' both places it appears
        and inserting in lieu thereof ``fiscal years 1996 and 1997''.
        SEC. 703. DENTAL INSURANCE PLAN FOR MILITARY RETIREES AND
          UNREMARRIED SURVIVING SPOUSES AND CERTAIN OTHER DEPENDENTS OF
          MILITARY RETIREES.
        (a) Establishment of Dental Plan.--(1) Chapter 55 of title 10,
    United States Code, is amended by inserting after section 1076b the
    following new section:
     ``Sec. 1076c. Dental insurance plan: certain retirees and their
          surviving spouses and other dependents
        ``(a) Requirement for Plan.--The Secretary of Defense shall
    establish a dental insurance plan for military retirees, certain
    unremarried surviving spouses, and dependents in accordance with this
    section.
        ``(b) Persons Eligible for Plan.--The following persons are
    eligible to enroll in the dental insurance plan established under
    subsection (a):
            ``(1) Members of the Armed Forces who are entitled to retired
        pay.
            ``(2) Members of the Retired Reserve who would be entitled to
        retired pay under chapter 1223 of this title but for being under 60
        years of age.
            ``(3) Eligible dependents of a member described in paragraph
        (1) or (2) who are covered by the enrollment of the member in the
        plan.
            ``(4) The unremarried surviving spouse and eligible child
        dependents of a deceased member--
                ``(A) who dies while in a status described in paragraph (1)
            or (2); or
                ``(B) who is described in section 1448(d)(1) of this title.
        ``(c) Premiums.--(1) A member enrolled in the dental insurance plan
    established under subsection (a) shall pay the premiums charged for the
    insurance coverage.
        ``(2) The amount of the premiums payable by a member entitled to
    retired pay shall be deducted and withheld from the retired pay and
    shall be disbursed to pay the premiums. The regulations prescribed
    under subsection (h) shall specify the procedures for payment of the
    premiums by other enrolled members and by enrolled surviving spouses.
        ``(d) Benefits Available Under the Plan.--The dental insurance plan
    established under subsection (a) shall provide benefits for basic
    dental care and treatment, including diagnostic services, preventative
    services, basic restorative services (including endodontics), surgical
    services, and emergency services.
        ``(e) Coverage.--(1) The Secretary shall prescribe a minimum
    required period for enrollment by a member or surviving spouse in the
    dental insurance plan established under subsection (a).
        ``(2) The dental insurance plan shall provide for voluntary
    enrollment of participants and shall authorize a member or eligible
    unremarried surviving spouse to enroll for self only or for self and
    eligible dependents.
        ``(f) Termination of Enrollment.--The Secretary shall terminate the
    enrollment of any enrollee, and any eligible dependents of the enrollee
    covered by the enrollment, in the dental insurance plan established
    under subsection (a) upon the occurrence of the following:
            ``(1) In the case of an enrollment under subsection (b)(1),
        termination of the member's entitlement to retired pay.
            ``(2) In the case of an enrollment under subsection (b)(2),
        termination of the member's status as a member of the Retired
        Reserve.
            ``(3) In the case of an enrollment under subsection (b)(4),
        remarriage of the surviving spouse.
        ``(g) Continuation of Dependents' Enrollment Upon Death of
    Enrollee.--Coverage of a dependent in the dental insurance plan
    established under subsection (a) under an enrollment of a member or a
    surviving spouse who dies during the period of enrollment shall
    continue until the end of that period and may be renewed by (or for)
    the dependent, so long as the premium paid is sufficient to cover
    continuation of the dependent's enrollment. The Secretary may terminate
    coverage of the dependent when the premiums paid are no longer
    sufficient to cover continuation of the enrollment. The Secretary shall
    prescribe in regulations under subsection (h) the parties responsible
    for paying the remaining premiums due on the enrollment and the manner
    for collection of the premiums.
        ``(h) Regulations.--The dental insurance plan established under
    subsection (a) shall be administered under regulations prescribed by
    the Secretary of Defense, in consultation with the Secretary of
    Transportation.
        ``(i) Definitions.--In this section:
            ``(1) The term `eligible dependent' means a dependent described
        in subparagraph (A), (D), or (I) of section 1072(2) of this title.
            ``(2) The term `eligible child dependent' means a dependent
        described in subparagraph (D) or (I) of section 1072(2) of this
        title.
            ``(3) The term `retired pay' includes retainer pay.''.
        (2) The table of sections at the beginning of such chapter is
    amended by inserting after the item relating to section 1076b the
    following new item:

    ``1076c. Dental insurance plan: certain retirees and their surviving
              spouses and other dependents.''.

        (b) Implementation.--Beginning not later than October 1, 1997, the
    Secretary of Defense shall--
            (1) offer members of the Armed Forces and other persons
        described in subsection (b) of section 1076c of title 10, United
        States Code (as added by subsection (a)(1) of this section), the
        opportunity to enroll in the dental insurance plan required under
        that section; and
            (2) begin to provide benefits under the plan.
        SEC. 704. PLAN FOR HEALTH CARE COVERAGE FOR CHILDREN WITH MEDICAL
          CONDITIONS CAUSED BY PARENTAL EXPOSURE TO CHEMICAL MUNITIONS
          WHILE SERVING AS MEMBERS OF THE ARMED FORCES.
        (a) Plan Required.--The Secretary of Defense, in coordination with
    the Secretary of Veterans Affairs, shall develop a plan for ensuring
    the provision of medical care to any natural child of a member of the
    Armed Forces (including former members and members discharged or
    otherwise separated from active duty) who has a congenital defect or
    catastrophic illness, proven to a reasonable degree of scientific
    certainty on the basis of scientific research to have resulted from
    exposure of the member to a chemical warfare agent or other hazardous
    material to which the member was exposed during active military
    service.
        (b) Submission to Congress.--Not later than 180 days after the date
    of the enactment of this Act, the Secretary of Defense shall submit the
    plan developed under subsection (a) to Congress.
        (c) Definitions of Congenital Defect and Catastrophic Illness.--The
    Secretary of Defense shall prescribe in regulations a definition of the
    terms ``congenital defect'' and ``catastrophic illness'' for the
    purposes of this section.

                          Subtitle B--TRICARE Program

        SEC. 711. CHAMPUS PAYMENT LIMITS FOR TRICARE PRIME ENROLLEES.
        Section 1079(h)(4) of title 10, United States Code, is amended in
    the second sentence by striking out ``emergency''.
        SEC. 712. IMPROVED INFORMATION EXCHANGE BETWEEN MILITARY TREATMENT
          FACILITIES AND TRICARE PROGRAM CONTRACTORS.
        (a) Uniform Interfaces.--The Secretary of Defense shall ensure that
    the automated medical information system being developed by the
    Department of Defense (known as the Composite Health Care System)
    provides for uniform interfaces between information systems of military
    treatment facilities and private contractors under managed care
    programs of the TRICARE program. The uniform interface shall provide
    for a full electronic two-way exchange of health care information
    between the military treatment facilities and contractor information
    systems, including enrollment information, information regarding
    eligibility determinations, provider network information, appointment
    information, and information regarding the existence of third-party
    payers.
        (b) Amendment of Existing Contracts.--To assure a single consistent
    source of information throughout the health care delivery system of the
    uniformed services, the Secretary of Defense shall amend each TRICARE
    program contract, with the consent of the TRICARE program contractor
    and notwithstanding any requirement for competition, to require the
    contractor--
            (1) to use software furnished under the Composite Health Care
        System to record military treatment facility provider appointments;
        and
            (2) to record TRICARE program enrollment through direct use of
        the Composite Health Care System software or through the uniform
        two-way interface between the contractor and military treatment
        facilities systems, where applicable.
        (c) Definition of TRICARE Program.--For purposes of this section,
    the term ``TRICARE program'' means the managed health care program that
    is established by the Secretary of Defense under the authority of
    chapter 55 of title 10, United States Code, principally section 1097 of
    such title, and includes the competitive selection of contractors to
    financially underwrite the delivery of health care services under the
    Civilian Health and Medical Program of the Uniformed Services.
        SEC. 713. PLANS FOR MEDICARE SUBVENTION DEMONSTRATION PROGRAMS.
        (a) Program for Enrollment in TRICARE Managed Care Option.--Not
    later than September 6, 1996, the Secretary of Defense and the
    Secretary of Health and Human Services shall jointly submit to Congress
    and the President a report containing a specific plan (including the
    recommendations of the Secretaries required under subsection (b))
    regarding the establishment of a demonstration program under which--
            (1) covered beneficiaries under chapter 55 of title 10, United
        States Code, who are also entitled to benefits under part A of the
        medicare program are permitted to enroll in the managed care option
        of the TRICARE program; and
            (2) the Secretary of Health and Human Services reimburses the
        Secretary of Defense from the Medicare program on a capitated basis
        for the costs of providing health care services to military
        retirees who enroll.
        (b) Specific Elements of Report.--The report shall include the
    following:
            (1) The number of covered beneficiaries described in subsection
        (a) who are projected to participate in the demonstration program
        and the minimum number of such participants necessary to conduct
        the demonstration program effectively.
            (2) A plan for notifying such covered beneficiaries of their
        eligibility for enrollment in the demonstration program and for any
        other matters connected with enrollment.
            (3) A recommendation for the duration of the demonstration
        program.
            (4) A recommendation for the geographic regions in which the
        demonstration program should be conducted.
            (5) The appropriate level of capitated reimbursement, and a
        schedule for such reimbursement, from the Medicare program to the
        Department of Defense for health care services provided enrollees
        in the demonstration program.
            (6) An estimate of the amounts that, in the absence of the
        demonstration program, would be required to be allocated by the
        Department of Defense for the provision of health care services to
        covered beneficiaries described in subsection (a) who reside in the
        regions in which the demonstration program is proposed to be
        conducted.
            (7) An assessment of revisions to the allocation estimated
        under paragraph (6) that would result from the conduct of the
        demonstration program in such regions.
            (8) An estimate of the cost to the Department of Defense and to
        the Medicare program of providing health care services to covered
        beneficiaries described in subsection (a) who enroll in the
        demonstration program.
            (9) An assessment of the likelihood of cost shifting among the
        Department of Defense and the Medicare program under the
        demonstration program.
            (10) A proposal for mechanisms for reconciling and reimbursing
        any improper payments among the Department of Defense and the
        Medicare program under the demonstration program.
            (11) A methodology for evaluating the demonstration program,
        including cost analyses.
            (12) As assessment of the extent to which the TRICARE program
        is prepared to meet requirements of the Medicare program for
        purposes of the demonstration program and the provisions of law or
        regulation that would have to be waived in order to facilitate the
        carrying out of the demonstration program.
            (13) An assessment of the impact of the demonstration program
        on military readiness.
            (14) Contingency plans for the provision of health care
        services under the demonstration program in the event of the
        mobilization of health care personnel.
            (15) A recommendation of the reports that the Department of
        Defense and the Department of Health and Human Services should
        submit to Congress describing the conduct of the demonstration
        program.
        (c) Program for Enrollment in TRICARE Fee-For-Service Option.--Not
    later than January 3, 1997, the Secretary of Defense and the Secretary
    of Health and Human Services shall jointly submit to Congress and the
    President a report on the feasibility and advisability of expanding the
    demonstration program referred to in subsection (a) so as to provide
    the Department of Defense with reimbursement from the Medicare program
    on a fee-for-service basis for health care services provided covered
    beneficiaries described in subsection (a) who enroll in the
    demonstration program. The report shall include a proposal for the
    expansion of the program if the expansion is determined to be
    advisable.

              Subtitle C--Uniformed Services Treatment Facilities

    SEC. 721. DEFINITIONS.

        In this subtitle:
            (1) The term ``administering Secretaries'' means the Secretary
        of Defense, the Secretary of Transportation, and the Secretary of
        Health and Human Services.
            (2) The term ``agreement'' means the agreement required under
        section 722(b) between the Secretary of Defense and a designated
        provider.
            (3) The term ``capitation payment'' means an actuarially sound
        payment for a defined set of health care services that is
        established on a per enrollee per month basis.
            (4) The term ``covered beneficiary'' means a beneficiary under
        chapter 55 of title 10, United States Code, other than a
        beneficiary under section 1074(a) of such title.
            (5) The term ``designated provider'' means a public or
        nonprofit private entity that was a transferee of a Public Health
        Service hospital or other station under section 987 of the Omnibus
        Budget Reconciliation Act of 1981 (Public Law 97-35; 42 U.S.C.
        248b) and that, before the date of the enactment of this Act, was
        deemed to be a facility of the uniformed services for the purposes
        of chapter 55 of title 10, United States Code. The term includes
        any legal successor in interest of the transferee.
            (6) The term ``enrollee'' means a covered beneficiary who
        enrolls with a designated provider.
            (7) The term ``health care services'' means the health care
        services provided under the health plan known as the ``TRICARE
        PRIME'' option under the TRICARE program.
            (8) The term ``Secretary'' means the Secretary of Defense.
            (9) The term ``TRICARE program'' means the managed health care
        program that is established by the Secretary of Defense under the
        authority of chapter 55 of title 10, United States Code,
        principally section 1097 of such title, and includes the
        competitive selection of contractors to financially underwrite the
        delivery of health care services under the Civilian Health and
        Medical Program of the Uniformed Services.
        SEC. 722. INCLUSION OF DESIGNATED PROVIDERS IN UNIFORMED SERVICES
          HEALTH CARE DELIVERY SYSTEM.
        (a) Inclusion in System.--The health care delivery system of the
    uniformed services shall include the designated providers.
        (b) Agreements to Provide Managed Health Care Services.--(1) After
    consultation with the other administering Secretaries, the Secretary of
    Defense shall negotiate and enter into an agreement with each
    designated provider under which the designated provider will provide
    health care services in or through managed care plans to covered
    beneficiaries who enroll with the designated provider.
        (2) The agreement shall be entered into on a sole source basis. The
    Federal Acquisition Regulation, except for those requirements regarding
    competition, issued pursuant to section 25(c) of the Office of Federal
    Procurement Policy Act (41 U.S.C. 421(c)) shall apply to the agreements
    as acquisitions of commercial items.
        (3) The implementation of an agreement is subject to availability
    of funds for such purpose.
        (c) Effective Date of Agreements.--(1) Unless an earlier effective
    date is agreed upon by the Secretary and the designated provider, the
    agreement shall take effect upon the later of the following:
            (A) The date on which a managed care support contract under the
        TRICARE program is implemented in the service area of the
        designated provider.
            (B) October 1, 1997.
        (2) Notwithstanding paragraph (1), the designated provider whose
    service area includes Seattle, Washington, shall implement its
    agreement as soon as the agreement permits.
        (d) Temporary Continuation of Existing Participation Agreements.--
    The Secretary shall extend the participation agreement of a designated
    provider in effect immediately before the date of the enactment of this
    Act under section 718(c) of the National Defense Authorization Act for
    Fiscal Year 1991 (Public Law 101-510; 42 U.S.C. 248c) until the
    agreement required by this section takes effect under subsection (c).
        (e) Service Area.--The Secretary may not reduce the size of the
    service area of a designated provider below the size of the service
    area in effect as of September 30, 1996.
        (f) Compliance With Administrative Requirements.--(1) Unless
    otherwise agreed upon by the Secretary and a designated provider, the
    designated provider shall comply with necessary and appropriate
    administrative requirements established by the Secretary for other
    providers of health care services and requirements established by the
    Secretary of Health and Human Services for risk-sharing contractors
    under section 1876 of the Social Security Act (42 U.S.C. 1395mm). The
    Secretary and the designated provider shall determine and apply only
    such administrative requirements as are minimally necessary and
    appropriate. A designated provider shall not be required to comply with
    a law or regulation of a State government requiring licensure as a
    health insurer or health maintenance organization.
        (2) A designated provider may not contract out more than five
    percent of its primary care enrollment without the approval of the
    Secretary, except in the case of primary care contracts between a
    designated provider and a primary care contractor in force on the date
    of the enactment of this Act.
        SEC. 723. PROVISION OF UNIFORM BENEFIT BY DESIGNATED PROVIDERS.
        (a) Uniform Benefit Required.--A designated provider shall offer to
    enrollees the health benefit option prescribed and implemented by the
    Secretary under section 731 of the National Defense Authorization Act
    for Fiscal Year 1994 (Public Law 103-160; 10 U.S.C. 1073 note),
    including accompanying cost-sharing requirements.
        (b) Time for Implementation of Benefit.--A designated provider
    shall offer the health benefit option described in subsection (a) to
    enrollees upon the later of the following:
            (1) The date on which health care services within the health
        care delivery system of the uniformed services are rendered through
        the TRICARE program in the region in which the designated provider
        operates.
            (2) October 1, 1997.
        (c) Adjustments.--The Secretary may establish a later date under
    subsection (b)(2) or prescribe reduced cost-sharing requirements for
    enrollees.

    SEC. 724. ENROLLMENT OF COVERED BENEFICIARIES.

        (a) Fiscal Year 1997 Limitation.--(1) During fiscal year 1997, the
    number of covered beneficiaries who are enrolled in managed care plans
    offered by designated providers may not exceed the number of such
    enrollees as of October 1, 1995.
        (2) The Secretary may waive the limitation under paragraph (1) if
    the Secretary determines that additional enrollment authority for a
    designated provider is required to accommodate covered beneficiaries
    who are dependents of members of the uniformed services entitled to
    health care under section 1074(a) of title 10, United States Code.
        (b) Permanent Limitation.--For each fiscal year beginning after
    September 30, 1997, the number of enrollees in managed care plans
    offered by designated providers may not exceed 110 percent of the
    number of such enrollees as of the first day of the immediately
    preceding fiscal year. The Secretary may waive this limitation as
    provided in subsection (a)(2).
        (c) Retention of Current Enrollees.--An enrollee in the managed
    care plan of a designated provider as of September 30, 1997, or such
    earlier date as the designated provider and the Secretary may agree
    upon, shall continue receiving services from the designated provider
    pursuant to the agreement entered into under section 722 unless the
    enrollee disenrolls from the designated provider. Except as provided in
    subsection (e), the administering Secretaries may not disenroll such an
    enrollee unless the disenrollment is agreed to by the Secretary and the
    designated provider.
        (d) Additional Enrollment Authority.--Other covered beneficiaries
    may also receive health care services from a designated provider,
    except that the designated provider may market such services to, and
    enroll, only those covered beneficiaries who--
            (1) do not have other primary health insurance coverage (other
        than Medicare coverage) covering basic primary care and inpatient
        and outpatient services; or
            (2) are enrolled in the direct care system under the TRICARE
        program, regardless of whether the covered beneficiaries were users
        of the health care delivery system of the uniformed services in
        prior years.
        (e) Special Rule for Medicare-Eligible Beneficiaries.--If a covered
    beneficiary who desires to enroll in the managed care program of a
    designated provider is also entitled to hospital insurance benefits
    under part A of title XVIII of the Social Security Act (42 U.S.C. 1395c
    et seq.), the covered beneficiary shall elect whether to receive health
    care services as an enrollee or under part A of title XVIII of the
    Social Security Act. The Secretary may disenroll an enrollee who
    subsequently violates the election made under this subsection and
    receives benefits under part A of title XVIII of the Social Security
    Act.
        (f) Information Regarding Eligible Covered Beneficiaries.--The
    Secretary shall provide, in a timely manner, a designated provider with
    an accurate list of covered beneficiaries within the marketing area of
    the designated provider to whom the designated provider may offer
    enrollment.

    SEC. 725. APPLICATION OF CHAMPUS PAYMENT RULES.

        (a) Application of Payment Rules.--Subject to subsection (b), the
    Secretary shall require a private facility orhealth care provider that
    is a health care provider under the Civilian Health and Medical Program
    of the Uniformed Services to apply the payment rules described in
    section 1074(c) of title 10, United States Code, in imposing charges
    for health care that the private facility or provider provides to
    enrollees of a designated provider.
        (b) Authorized Adjustments.--The payment rules imposed under
    subsection (a) shall be subject to such modifications as the Secretary
    considers appropriate. The Secretary may authorize a lower rate than
    the maximum rate that would otherwise apply under subsection (a) if the
    lower rate is agreed to by the designated provider and the private
    facility or health care provider.
        (c) Regulations.--The Secretary shall prescribe regulations to
    implement this section after consultation with the other administering
    Secretaries.
        (d) Conforming Amendment.--Section 1074 of title 10, United States
    Code, is amended by striking out subsection (d).

    SEC. 726. PAYMENTS FOR SERVICES.

        (a) Form of Payment.--Unless otherwise agreed to by the Secretary
    and a designated provider, the form of payment for health care services
    provided by a designated provider shall be on a full risk capitation
    payment basis. The capitation payments shall be negotiated and agreed
    upon by the Secretary and the designated provider. In addition to such
    other factors as the parties may agree to apply, the capitation
    payments shall be based on the utilization experience of enrollees and
    competitive market rates for equivalent health care services for a
    comparable population to such enrollees in the area in which the
    designated provider is located.
        (b) Limitation on Total Payments.--Total capitation payments for
    health care services to a designated provider shall not exceed an
    amount equal to the cost that would have been incurred by the
    Government if the enrollees had received such health care services
    through a military treatment facility, the TRICARE program, or the
    Medicare program, as the case may be.
        (c) Establishment of Payment Rates on Annual Basis.--The Secretary
    and a designated provider shall establish capitation payments on an
    annual basis, subject to periodic review for actuarial soundness and to
    adjustment for any adverse or favorable selection reasonably
    anticipated to result from the design of the program under this
    subtitle.
        (d) Alternative Basis for Calculating Payments.--After September
    30, 1999, the Secretary and a designated provider may mutually agree
    upon a new basis for calculating capitation payments.

    SEC. 727. REPEAL OF SUPERSEDED AUTHORITIES.

        (a) Repeals.--The following provisions of law are repealed:
            (1) Section 911 of the Military Construction Authorization Act,
        1982 (42 U.S.C. 248c).
            (2) Section 1252 of the Department of Defense Authorization
        Act, 1984 (42 U.S.C. 248d).
            (3) Section 718(c) of the National Defense Authorization Act
        for Fiscal Year 1991 (Public Law 101-510; 42 U.S.C. 248c note).
            (4) Section 726 of the National Defense Authorization Act for
        Fiscal Year 1996 (Public Law 104-106; 42 U.S.C. 248c note).
        (b) Effective Date.--The amendments made by paragraphs (1), (2),
    and (3) of subsection (a) shall take effect on October 1, 1997.

       Subtitle D--Other Changes to Existing Laws Regarding Health Care
                                   Management

        SEC. 731. AUTHORITY TO WAIVE CHAMPUS EXCLUSION REGARDING
          NONMEDICALLY NECESSARY TREATMENT IN CONNECTION WITH CERTAIN
          CLINICAL TRIALS.
        (a) Waiver Authority.--Paragraph (13) of section 1079(a) of title
    10, United States Code, is amended--
            (1) by striking out ``any service'' and inserting in lieu
        thereof ``Any service'';
            (2) by striking out the semicolon at the end and inserting in
        lieu thereof a period; and
            (3) by adding at the end the following: ``Pursuant to an
        agreement with the Secretary of Health and Human Services and under
        such regulations as the Secretary of Defense may prescribe, the
        Secretary of Defense may waive the operation of this paragraph in
        connection with clinical trials sponsored or approved by the
        National Institutes of Health if the Secretary of Defense
        determines that such a waiver will promote access by covered
        beneficiaries to promising new treatments and contribute to the
        development of such treatments.''.
        (b) Clerical Amendments.--Such section is further amended--
            (1) in the matter preceding paragraph (1), by striking out
        ``except that--'' and inserting in lieu thereof ``except as
        follows:'';
            (2) by capitalizing the first letter of the first word of each
        of paragraphs (1) through (17);
            (3) by striking out the semicolon at the end of each of
        paragraphs (1) through (12) and paragraphs (14) and (15) and
        inserting in lieu thereof a period; and
            (4) in paragraph (16), by striking out ``; and'' and inserting
        in lieu thereof a period.
        SEC. 732. EXCEPTION TO MAXIMUM ALLOWABLE PAYMENTS TO INDIVIDUAL
          HEALTH-CARE PROVIDERS UNDER CHAMPUS.
        Section 1079(h) of title 10, United States Code, is amended--
            (1) by redesignating paragraph (5) as paragraph (6); and
            (2) by inserting after paragraph (4) the following new
        paragraph:
        ``(5) In addition to the authority provided under paragraph (4),
    the Secretary may authorize the commander of a facility of the
    uniformed services, the lead agent (if other than the commander), and
    the health care contractor to modify the payment limitations under
    paragraph (1) for certain health care providers when necessary to
    ensure both the availability of certain services for covered
    beneficiaries and lower costs than would otherwise be incurred to
    provide the services.''.
        SEC. 733. CODIFICATION OF ANNUAL AUTHORITY TO CREDIT CHAMPUS
          REFUNDS TO CURRENT YEAR APPROPRIATION.
        (a) Credits to CHAMPUS Accounts.--(1) Chapter 55 of title 10,
    United States Code, is amended by inserting after section 1079 the
    following new section:
    ``Sec. 1079a. CHAMPUS: treatment of refunds and other amounts collected
        ``All refunds and other amounts collected in the administration of
    the Civilian Health and Medical Program of the Uniformed Services shall
    be credited to the appropriation available for that program for the
    fiscal year in which the refund or amount is collected.''.
        (2) The table of sections at the beginning of such chapter is
    amended by inserting after the item relating to section 1079 the
    following new item:

    ``1079a. CHAMPUS: treatment of refunds and other amounts collected.''.

        (b) Conforming Repeal.--Section 8094 of the Department of Defense
    Appropriations Act, 1996 (Public Law 104-61; 109 Stat. 671), is
    repealed.
        SEC. 734. EXCEPTIONS TO REQUIREMENTS REGARDING OBTAINING
          NONAVAILABILITY-OF-HEALTH-CARE STATEMENTS.
        (a) Reference to Inpatient Medical Care.--(1) Section 1080(a) of
    title 10, United States Code, is amended by inserting ``inpatient''
    before ``medical care'' in the first sentence.
        (2) Section 1086(e) of such title is amended in the first sentence
    by striking out ``benefits'' and inserting in lieu thereof ``inpatient
    medical care''.
        (b) Waivers and Exceptions to Requirements.--(1) Section 1080 of
    such title is amended by adding at the end the following new
    subsection:
        ``(c) Waivers and Exceptions to Requirements.--(1) A covered
    beneficiary enrolled in a managed care plan offered pursuant to any
    contract or agreement under this chapter for the provision of health
    care services shall not be required to obtain a nonavailability-of-
    health-care statement as a condition for the receipt of health care.
        ``(2) The Secretary of Defense may waive the requirement to obtain
    nonavailability-of-health-care statements following an evaluation of
    the effectiveness of such statements in optimizing the use of
    facilities of the uniformed services.''.
        (2) Section 1086(e) of such title is amended in the last sentence
    by striking out ``section 1080(b)'' and inserting in lieu thereof
    ``subsections (b) and (c) of section 1080''.
        (c) Conforming Amendments.--Section 1080(b) of such title is
    amended--
            (1) by striking out ``Nonavailability of Health Care
        Statements'' and inserting in lieu thereof ``Nonavailability-of-
        Health-Care Statements''; and
            (2) by striking out ``nonavailability of health care
        statement'' and inserting in lieu thereof ``nonavailability-of-
        health-care statement''.
        SEC. 735. ENHANCEMENT OF THIRD-PARTY COLLECTION AND SECONDARY PAYER
          AUTHORITIES UNDER CHAMPUS.
        (a) Retention and Use by Treatment Facilities of Amounts
    Collected.--Subsection (g)(1) of section 1095 of title 10, United
    States Code, is amended by inserting ``or through'' after ``provided
    at''.
        (b) Expansion of Definition of Third-Party Payer.--Subsection (h)
    of such section is amended--
            (1) in the first sentence of paragraph (1), by inserting ``and
        a workers' compensation program or plan'' before the period; and
            (2) in paragraph (2)--
                (A) by striking out ``organization and'' and inserting in
            lieu thereof a ``organization,''; and
                (B) by inserting before the period at the end the
            following: ``, and a personal injury protection plan or medical
            payments benefit plan for personal injuries resulting from the
            operation of a motor vehicle''.
        (c) Applicability of Secondary Payer Requirement.--Section
    1079(j)(1) of such title is amended by inserting after ``or health
    plan'' the following: ``, including any plan offered by a third-party
    payer (as defined in section 1095(h)(1) of this title),''.

                           Subtitle E--Other Matters

        SEC. 741. ALTERNATIVES TO ACTIVE DUTY SERVICE OBLIGATION UNDER
          ARMED FORCES HEALTH PROFESSIONS SCHOLARSHIP AND FINANCIAL
          ASSISTANCE PROGRAM AND UNIFORMED SERVICES UNIVERSITY OF THE
          HEALTH SCIENCES.
        (a) Armed Forces Health Professions Scholarship and Financial
    Assistance Program.--Subsection (e) of section 2123 of title 10, United
    States Code, is amended to read as follows:
        ``(e)(1) A member of the program who is relieved of the member's
    active duty obligation under this subchapter before the completion of
    that active duty obligation may be given, with or without the consent
    of the member, any of the following alternative obligations, as
    determined by the Secretary of the military department concerned:
            ``(A) A service obligation in another armed force for a period
        of time not less than the member's remaining active duty service
        obligation.
            ``(B) A service obligation in a component of the Selected
        Reserve for a period not less than twice as long as the member's
        remaining active duty service obligation.
            ``(C) Repayment to the Secretary of Defense of a percentage of
        the total cost incurred by the Secretary under this subchapter on
        behalf of the member equal to the percentage of the member's total
        active duty service obligation being relieved, plus interest.
        ``(2) In addition to the alternative obligations specified in
    paragraph (1), if the member is relieved of an active duty obligation
    by reason of the separation of the member because of a physical
    disability, the Secretary of the military department concerned may give
    the member a service obligation as a civilian employee employed as a
    health care professional in a facility of the uniformed services for a
    period of time equal to the member's remaining active duty service
    obligation.
        ``(3) The Secretary of Defense shall prescribe regulations
    describing the manner in which an alternative obligation may be given
    under this subsection.''.
        (b) Uniformed Services University of the Health Sciences.--Section
    2114 of title 10, United States Code is amended by adding at the end
    the following new subsection:
        ``(h) A graduate of the University who is relieved of the
    graduate's active-duty service obligation under subsection (b) before
    the completion of that active-duty service obligation may be given,
    with or without the consent of the graduate, an alternative obligation
    in the same manner as provided in subparagraphs (A) and (B) of
    paragraph (1) of section 2123(e)(1) of this title or paragraph (2) of
    such section for members of the Armed Forces Health Professions
    Scholarship and Financial Assistance program.''.
        (c) Application of Amendments.--The amendments made by this section
    shall apply with respect to individuals who first become members of the
    Armed Forces Health Professions Scholarship and Financial Assistance
    program or students of the Uniformed Services University of the Health
    Sciences on or after October 1, 1996.
        (d) Transition Provision.--(1) In the case of any member of the
    Armed Forces Health Professions Scholarship and Financial Assistance
    program who, as of October 1, 1996, is serving an active duty
    obligation under the program or is incurring an active duty obligation
    as a participant in the program, and who is subsequently relieved of
    the active duty obligation before the completion of the obligation, the
    alternative obligations authorized by the amendment made by subsection
    (a) may be used by the Secretary of the military department concerned
    with the agreement of the member.
        (2) In the case of any person who, as of October 1, 1996, is
    serving an active-duty service obligation as a graduate of the
    Uniformed Services University of the Health Sciences or is incurring an
    active-duty service obligation as a student of the University, and who
    is subsequently relieved of the active-duty service obligation before
    the completion of the obligation, the alternative obligations
    authorized by the amendment made by subsection (b) may be implemented
    by the Secretary of Defense with the agreement of the person.
        (e) Report on Utilization of Graduates of University.--Not later
    than 120 days after the date of the enactment of this Act, the
    Secretary of Defense shall submit to Congress a report on the
    utilization by the Department of Defense of graduates of the Uniformed
    Services University of the Health Sciences. The report shall include a
    discussion of means of ensuring that graduates of the University have
    received training in medical specialties for which the Department has
    particular need.
        SEC. 742. EXTERNAL PEER REVIEW FOR DEFENSE HEALTH PROGRAM
          EXTRAMURAL MEDICAL RESEARCH INVOLVING HUMAN SUBJECTS.
        (a) Establishment of External Peer Review Process.--The Secretary
    of Defense shall establish a peer review process that will use persons
    who are not officers or employees of the Government to review the
    research protocols of medical research projects.
        (b) Peer Review Requirements.--Funds of the Department of Defense
    may not be obligated or expended for any medical research project
    unless the research protocol for the project has been approved by the
    external peer review process established under subsection (a).
        (c) Medical Research Project Defined.--For purposes of this
    section, the term ``medical research project'' means a research project
    that--
            (1) involves the participation of human subjects;
            (2) is conducted solely by a non-Federal entity; and
            (3) is funded through the Defense Health Program account.
        (d) Effective Date.--The peer review requirements of subsection (b)
    shall take effect on October 1, 1996, and, except as provided in
    subsection (e), shall apply to all medical research projects proposed
    funded on or after that date, includingmedical research projects funded
    pursuant to any requirement of law enacted before, on, or after that
    date.
        (e) Exceptions.--Only the following medical research projects shall
    be exempt from the peer review requirements of sub- section (b):
            (1) A medical research project that the Secretary determines
        has been substantially completed by October 1, 1996.
            (2) A medical research project funded pursuant to any provision
        of law enacted on or after that date if the provision of law
        specifically refers to this section and specifically states that
        the peer review requirements do not apply.
        SEC. 743. INDEPENDENT RESEARCH REGARDING GULF WAR SYNDROME.
        (a) Definitions.--For purposes of this section:
            (1) The term ``Gulf War service'' means service on active duty
        as a member of the Armed Forces in the Southwest Asia theater of
        operations during the Persian Gulf War.
            (2) The term ``Gulf War syndrome'' means the complex of
        illnesses and symptoms commonly known as Gulf War syndrome.
            (3) The term ``Persian Gulf War'' has the meaning given that
        term in section 101(33) of title 38, United States Code.
        (b) Research.--The Secretary of Defense shall provide, by contract,
    grant, or other transaction, for scientific research to be carried out
    by entities independent of the Federal Government on possible causal
    relationships between Gulf War syndrome and--
            (1) the possible exposures of members of the Armed Forces to
        chemical warfare agents or other hazardous materials during Gulf
        War service; and
            (2) the use by the Department of Defense during the Persian
        Gulf War of combinations of various inoculations and
        investigational new drugs.
        (c) Procedures for Awarding Grants.--The Secretary shall prescribe
    the procedures to be used to make research awards under subsection (b).
    The procedures shall--
            (1) include a comprehensive, independent peer-review process
        for the evaluation of proposals for scientific research that are
        submitted to the Department of Defense; and
            (2) provide for the final selection of proposals for award to
        be based on the scientific merit and program relevance of the
        proposed research.
        (d) Availability of Funds.--Of the amount authorized to be
    appropriated under section 301(21) for defense medical programs,
    $10,000,000 is available for research under subsection (b).
        SEC. 744. COMPTROLLER GENERAL REVIEW OF HEALTH CARE ACTIVITIES OF
          DEPARTMENT OF DEFENSE RELATING TO GULF WAR ILLNESSES.
        (a) Medical Research and Clinical Care Programs.--The Comptroller
    General shall analyze the effectiveness of the medical research
    programs and clinical care programs of the Department of Defense that
    relate to illnesses that might have been contracted by members of the
    Armed Forces as a result of service in the Southwest Asia theater of
    operations during the Persian Gulf War.
        (b) Policies Regarding Investigational New Drugs.--The Comptroller
    General shall analyze the scope and effectiveness of the policies of
    the Department of Defense with respect to--
            (1) the use of investigational new drugs during the Persian
        Gulf War to treat members of the Armed Forces who served in the
        Southwest Asia theater of operations; and
            (2) the current use of investigational new drugs to treat
        illnesses referred to in subsection (a).
        (c) Administration of Medical Records.--The Comptroller General
    shall analyze the administration of medical records by the military
    departments in order to assess the extent to which such records
    accurately reflect the pre-deployment medical assessments, immunization
    records, informed consent releases, complaints during routine sick
    call, emergency room visits, visits with unit medics during deployment,
    and other relevant medical information relating to the members and
    former members referred to in subsection (a) with respect to the
    illnesses referred to in that subsection.
        (d) Reports.--Not later than March 1, 1997, the Comptroller General
    shall submit to Congress a separate report on each of the analyses
    required under subsections (a), (b), and (c).
        SEC. 745. REPORT REGARDING SPECIALIZED TREATMENT FACILITY PROGRAM.
        Not later than April 1, 1997, the Secretary of Defense shall submit
    to Congress a report evaluating the impact on the military health care
    system of limiting the service area of a facility designated as part of
    the specialized treatment facility program under section 1105 of title
    10, United States Code, to not more than 100 miles from the facility.
        SEC. 746. TUDY OF MEANS OF ENSURING UNIFORMITY IN PROVISION OF
          MEDICAL AND DENTAL CARE FOR MEMBERS OF RESERVE COMPONENTS.
        (a) Study.--(1) In consultation with the Secretary of
    Transportation, the Secretary of Defense shall conduct a study of means
    of improving the provision of medical and dental care to members of the
    reserve components referred to in paragraph (2) in order to ensure
    uniformity and consistency in the provision of such care to such
    members.
        (2) The members of the reserve components referred to in paragraph
    (1) are the following:
            (A) Members on active duty, including active duty for training
        and annual training duty.
            (B) Members on full-time National Guard duty.
            (C) Members on inactive-duty training, regardless of whether
        such members are in a pay or nonpay status.
        (b) Report.--Not later than 180 days after the date of the
    enactment of this Act, the Secretary of Defense shall submit to
    Congress a report on the study conducted under subsection (a). The
    report shall include such recommendations (including recommendations
    for legislation) as the Secretary considers appropriate.
        SEC. 747. SENSE OF CONGRESS REGARDING TAX TREATMENT OF ARMED FORCES
          HEALTH PROFESSIONS SCHOLARSHIP AND FINANCIAL ASSISTANCE PROGRAM.
        It is the sense of Congress that the Secretary of Defense should
    work with the Secretary of the Treasury to interpret section 117 of the
    Internal Revenue Code of 1986 so that the limitation on the amount of a
    qualified scholarship or qualified tuition reduction excluded from
    gross income does not apply to any portion of a scholarship or
    financial assistance provided by the Secretary of Defense to a person
    enrolled in the Armed Forces Health Professions Scholarship and
    Financial Assistance program under subchapter I of chapter 105 of title
    10, United States Code.

      TITLE VIII--ACQUISITION POLICY, ACQUISITION MANAGEMENT, AND RELATED
                                    MATTERS

                       Subtitle A--Acquisition Management

    Sec. 801. Procurement technical assistance programs.
    Sec. 802. Extension of pilot mentor-protege program.
    Sec. 803. Authority to waive certain requirements for defense
              acquisition pilot programs.
    Sec. 804. Modification of authority to carry out certain prototype
              projects.
    Sec. 805. Increase in threshold amounts for major systems.
    Sec. 806. Revisions in information required to be included in selected
              acquisition reports.
    Sec. 807. Increase in simplified acquisition threshold for humanitarian
              or peacekeeping operations.
    Sec. 808. Expansion of audit reciprocity among Federal agencies to
              include post-award audits.
    Sec. 809. Excessive compensation of certain contractor personnel.
    Sec. 810. Exception to prohibition on procurement of foreign goods.

                            Subtitle B--Other Matters

    Sec. 821. Prohibition on release of contractor proposals under Freedom
              of Information Act.
    Sec. 822. Amendments relating to reports on procurement regulatory
              activity.
    Sec. 823. Amendment of multiyear limitation on contracts for inspection,
              maintenance, and repair.
    Sec. 824. Streamlined notice requirements to contractors and employees
              regarding termination or substantial reduction in contracts
              under major defense programs.
    Sec. 825. Repeal of notice requirements for substantially or seriously
              affected parties in downsizing efforts.
    Sec. 826. Study of effectiveness of defense mergers.
    Sec. 827. Annual report relating to Buy American Act.
    Sec. 828. Foreign environmental technology.
    Sec. 829. Assessment of national defense technology and industrial base
              and dependency of base on supplies available only from foreign
              countries.
    Sec. 830. Expansion of report on implementation of automated information
              systems to include additional matters regarding information
              resources management.
    Sec. 831. Year 2000 software conversion.
    Sec. 832. Procurement from firms in industrial base for production of
              small arms.
    Sec. 833. Cable television franchise agreements.

                       Subtitle A--Acquisition Management

    SEC. 801. PROCUREMENT TECHNICAL ASSISTANCE PROGRAMS.

        (a) Funding.--Of the amount authorized to be appropriated under
    section 301(5), $12,000,000 shall be available for carrying out the
    provisions of chapter 142 of title 10, United States Code.
        (b) Specific Programs.--Of the amounts made available pursuant to
    subsection (a), $600,000 shall be available for fiscal year 1997 for
    the purpose of carrying out programs sponsored by eligible entities
    referred to in subparagraph (D) of section 2411(1) of title 10, United
    States Code, that provide procurement technical assistance in
    distressed areas referred to in subparagraph (B) of section 2411(2) of
    such title. If there is an insufficient number of satisfactory
    proposals for cooperative agreements in such distressed areas to allow
    effective use of the funds made available in accordance with this
    subsection in such areas, the funds shall be allocated among the
    Defense Contract Administration Services regions in accordance with
    section 2415 of such title.

    SEC. 802. EXTENSION OF PILOT MENTOR-PROTEGE PROGRAM.

        Section 831(j) of the National Defense Authorization Act for Fiscal
    Year 1991 (10 U.S.C. 2302 note) is amended--
            (1) in paragraph (1), by striking out ``1995'' and inserting in
        lieu thereof ``1998''; and
            (2) in paragraph (2), by striking out ``1996'' and inserting in
        lieu thereof ``1999''.
        SEC. 803. AUTHORITY TO WAIVE CERTAIN REQUIREMENTS FOR DEFENSE
          ACQUISITION PILOT PROGRAMS.
        (a) Authority.--The Secretary of Defense may waive sections 2399,
    2403, 2432, and 2433 of title 10, United States Code, in accordance
    with this section for any defense acquisition program designated by the
    Secretary of Defense for participation in the defense acquisition pilot
    program authorized by section 809 of the National Defense Authorization
    Act for Fiscal Year 1991 (Public Law 101-510; 10 U.S.C. 2430 note).
        (b) Operational Test and Evaluation.--The Secretary of Defense may
    waive the requirements for operational test and evaluation for such a
    defense acquisition program as set forth in section 2399 of title 10,
    United States Code, if the Secretary--
            (1) determines (without delegation) that such test would be
        unreasonably expensive or impractical;
            (2) develops a suitable alternate operational test program for
        the system concerned;
            (3) describes in the test and evaluation master plan, as
        approved by the Director of Operational Test and Evaluation, the
        method of evaluation that will be used to evaluate whether the
        system will be effective and suitable for combat; and
            (4) submits to the congressional defense committees a report
        containing the determination that was made under paragraph (1), a
        justification for that determination, and a copy of the plan
        required by paragraph (3).
        (c) Contractor Guarantees for Major Weapons Systems.--The Secretary
    of Defense may waive the requirements of section 2403 of title 10,
    United States Code, for such a defense acquisition program if an
    alternative guarantee is used that ensures high quality weapons
    systems.
        (d) Selected Acquisition Reports.--The Secretary of Defense may
    waive the requirements of sections 2432 and 2433 of title 10, United
    States Code, for such a defense acquisition program if the Secretary
    provides a single annual report to Congress at the end of each fiscal
    year that describes the status of the program in relation to the
    baseline description for the program established under section 2435 of
    such title.
        SEC. 804. MODIFICATION OF AUTHORITY TO CARRY OUT CERTAIN PROTOTYPE
          PROJECTS.
        (a) Authorized Officials.--(1) Subsection (a) of section 845 of the
    National Defense Authorization Act for Fiscal Year 1994 (Public Law
    103-160; 107 Stat. 1721; 10 U.S.C. 2371 note) is amended by inserting
    ``, the Secretary of a military department, or any other official
    designated by the Secretary of Defense'' after ``Agency''.
        (2) Subsection (b)(2) of such section is amended to read as
    follows:
        ``(2) To the maximum extent practicable, competitive procedures
    shall be used when entering into agreements to carry out projects under
    subsection (a).''.
        (b) Extension of Authority.--Subsection (c) of such section is
    amended by striking out ``terminate'' and all that follows and
    inserting in lieu thereof ``terminate at the end of September 30,
    1999.''.
        (c) Conforming and Technical Amendments.--Section 845 of such Act
    is further amended--
            (1) in subsection (b)--
                (A) in paragraph (1), by striking out ``(c)(2) and (c)(3)
            of such section 2371, as redesignated by section
            827(b)(1)(B),'' and inserting in lieu thereof ``(e)(2) and
            (e)(3) of such section 2371''; and
                (B) in paragraph (2), by inserting after ``Director'' the
            following: ``, Secretary, or other official''; and
            (2) in subsection (c), by striking out ``of the Director''.

    SEC. 805. INCREASE IN THRESHOLD AMOUNTS FOR MAJOR SYSTEMS.

        (a) Increase and Adjustment.--Chapter 137 of title 10, United
    States Code, is amended--
            (1) in section 2302(5), by striking out the third sentence and
        inserting in lieu thereof the following: ``A system shall be
        considered a major system if (A) the conditions of section 2302d of
        this title are satisfied, or (B) the system is designated a `major
        system' by the head of the agency responsible for the system.'';
        and
            (2) by inserting after section 2302c the following:
    ``Sec. 2302d. Major system: definitional threshold amounts
        ``(a) Department of Defense Systems.--For purposes of section
    2302(5) of this title, a system for which the Department of Defense is
    responsible shall be considered a major system if--
            ``(1) the total expenditures for research, development, test,
        and evaluation for the system are estimated to be more than
        $115,000,000 (based on fiscal year 1990 constant dollars); or
            ``(2) the eventual total expenditure for procurement of more
        than $540,000,000 (based on fiscal year 1990 constant dollars).
        ``(b) Civilian Agency Systems.--For purposes of section 2302(5) of
    this title, a system for which a civilian agency is responsible shall
    be considered a major system if total expenditures for the system are
    estimated to exceed the greater of--
            ``(1) $750,000 (based on fiscal year 1980 constant dollars); or
            ``(2) the dollar threshold for a `major system' established by
        the agency pursuant to Office of Management and Budget (OMB)
        Circular A-109, entitled `Major Systems Acquisitions'.
        ``(c) Adjustment Authority.--(1) The Secretary of Defense may
    adjust the amounts and the base fiscal year provided in subsection (a)
    on the basis of Department of Defense escalation rates.
        ``(2) An amount, as adjusted under paragraph (1), that is not
    evenly divisible by $5,000,000 shall be rounded to the nearest multiple
    of $5,000,000. In the case of an amount that is evenly divisible by
    $2,500,000 but not evenly divisible by $5,000,000, the amount shall be
    rounded to the next higher multiple of $5,000,000.
        ``(3) An adjustment under this subsection shall be effective after
    the Secretary transmits to the Committee on Armed Services of the
    Senate and the Committee on National Security of the House of
    Representatives a written notification of the adjustment.''.
        (b) Clerical Amendment.--The table of sections at the beginning of
    such chapter is amended by inserting after the item relating to section
    2302c the following:

    ``2302d. Major system: definitional threshold amounts.''.

    SEC. 806. REVISIONS IN INFORMATION REQUIRED TO BE INCLUDED IN SELECTED
                  ACQUISITION REPORTS.

        Section 2432 of title 10, United States Code, is amended--
            (1) in subsection (c)(1)--
                (A) by striking out ``and'' at the end of subpara- graph
            (B);
                (B) by redesignating subparagraph (C) as subparagraph (D);
            and
                (C) by inserting after subparagraph (B) the following new
            subparagraph (C):
            ``(C) the current procurement unit cost for each major defense
        acquisition program included in the report and the history of that
        cost from the date the program was first included in a Selected
        Acquisition Report to the end of the quarter for which the current
        report is submitted; and''; and
            (2) in subsection (e), by striking out paragraph (8) and
        redesignating paragraph (9) as paragraph (8).
        SEC. 807. INCREASE IN SIMPLIFIED ACQUISITION THRESHOLD FOR
          HUMANITARIAN OR PEACEKEEPING OPERATIONS.
        (a) Armed Services Acquisitions.--Section 2302(7) of title 10,
    United States Code, is amended--
            (1) by inserting ``(A)'' after ``(7)'';
            (2) by inserting after ``contingency operation'' the following:
        ``or a humanitarian or peacekeeping operation''; and
            (3) by adding at the end the following:
            ``(B) In subparagraph (A), the term `humanitarian or
        peacekeeping operation' means a military operation in support of
        the provision of humanitarian or foreign disaster assistance or in
        support of a peacekeeping operation under chapter VI or VII of the
        Charter of the United Nations. The term does not include routine
        training, force rotation, or stationing.''.
        (b) Civilian Agency Acquisitions.--Section 309(d) of the Federal
    Property and Administrative Services Act of 1949 (41 U.S.C. 259(d)) is
    amended--
            (1) by inserting ``(1)'' after ``(d)'';
            (2) by inserting after ``contingency operation'' the following:
        ``or a humanitarian or peacekeeping operation''; and
            (3) by adding at the end the following:
        ``(2) In paragraph (1):
            ``(A) The term `contingency operation' has the meaning given
        such term in section 101(a) of title 10, United States Code.
            ``(B) The term `humanitarian or peacekeeping operation' means a
        military operation in support of the provision of humanitarian or
        foreign disaster assistance or in support of a peacekeeping
        operation under chapter VI or VII of the Charter of the United
        Nations. The term does not include routine training, force
        rotation, or stationing.''.
        SEC. 808. EXPANSION OF AUDIT RECIPROCITY AMONG FEDERAL AGENCIES TO
          INCLUDE POST-AWARD AUDITS.
        (a) Armed Services Acquisitions.--Subsection (d) of section 2313 of
    title 10, United States Code, is amended to read as follows:
        ``(d) Limitation on Audits Relating to Indirect Costs.--The head of
    an agency may not perform an audit of indirect costs under a contract,
    subcontract, or modification before or after entering into the
    contract, subcontract, or modification in any case in which the
    contracting officer determines that the objectives of the audit can
    reasonably be met by accepting the results of an audit that was
    conducted by any other department or agency of the Federal Government
    within one year preceding the date of the contracting officer's
    determination.''.
        (b) Civilian Agency Acquisitions.--Subsection (d) of section 304C
    of the Federal Property and Administrative Services Act of 1949 (41
    U.S.C. 254d) is amended to read as follows:
        ``(d) Limitation on Audits Relating to Indirect Costs.--An
    executive agency may not perform an audit of indirect costs under a
    contract, subcontract, or modification before or after entering into
    the contract, subcontract, or modification in any case in which the
    contracting officer determines that the objectives of the audit can
    reasonably be met by accepting the results of an audit that was
    conducted by any other department or agency of the Federal Government
    within one year preceding the date of the contracting officer's
    determination.''.
        (c) Guidelines for Acceptance of Audits by State and Local
    Governments Receiving Federal Assistance.--The Director of the Office
    of Management and Budget shall issue guidelines to ensure that an audit
    of indirect costs performed by the Federal Government is accepted by
    State and local governments that receive Federal funds under contracts,
    grants, or other Federal assistance programs.

    SEC. 809. COMPENSATION OF CERTAIN CONTRACTOR PERSONNEL.

        (a) Armed Services Procurements.--(1) During fiscal year 1997, the
    head of an agency shall treat the costs described in paragraph (2) as
    not allowable under a covered contract, in the same manner as costs
    listed in section 2324(e)(1) of title 10, United States Code.
        (2) The costs covered by paragraph (1) are costs of compensation
    paid with respect to services of any one officer to the extent that the
    total amount of the compensation paid in a fiscal year exceeds
    $250,000.
        (b) Civilian Agency Procurements.--(1) During fiscal year 1997, an
    executive agency shall treat the costs described in paragraph (2) as
    not allowable under a covered contract, in the same manner as costs
    listed in section 306(e)(1) of the Federal Property and Administrative
    Services Act of 1949 (41 U.S.C. 256(e)(1)).
        (2) The costs covered by paragraph (1) are costs of compensation
    paid with respect to services of any one officer to the extent that the
    total amount of the compensation paid in a fiscal year exceeds
    $250,000.
        (c) Definitions.--In this section:
            (1) The term ``head of an agency'' has the meaning provided in
        section 2302 of title 10, United States Code.
            (2) The term ``executive agency'' has the meaning provided in
        section 3 of the Federal Property and Administrative Services Act
        of 1949 (40 U.S.C. 472).
            (3) The term ``covered contract''--
                (A) with respect to procurements subject to chapter 137 of
            title 10, United States Code, has the meaning provided by
            section 2324(l) of such title; and
                (B) with respect to procurements subject to title III of
            the Federal Property and Administrative Services Act of 1949
            (41 U.S.C. 251 et seq.), has the meaning provided by section
            306(l) of such Act (41 U.S.C. 256(l)).
            (4) The term ``compensation'' means--
                (A) the total amount of wages as defined in section 3401(a)
            of the Internal Revenue Code of 1986 for the year concerned;
            and
                (B) the total amount of elective deferrals (within the
            meaning of section 402(g)(3) of such Code) for the year
            concerned.
            (5) The term ``officer'' means a person who is determined to be
        in a senior management position as established by regulation.
        (d) Review.--The Administrator for Federal Procurement Policy, in
    consultation with the Secretary of Defense, shall conduct a
    comprehensive review of the levels of compensation received by senior
    executives of corporations performing a significant amount of business
    with the Federal Government in order to determine the appropriate cost
    allowability policy in this area. Such a review should include the
    following:
            (1) In consultation with the Secretary of the Treasury, an
        examination of the appropriate definition and treatment of
        compensation, including deferred compensation.
            (2) An examination of the appropriate definition of senior
        executive positions and any other positions that should be covered
        under the cost allowability policy.
            (3) An examination of how to apply the cost allowability policy
        to individual contracts and aggregations of contracts within a
        corporation.
            (4) Any other matter related to the cost allowability of
        executive compensation that the Administrator considers
        appropriate.
        (e) Legislative Proposal.--Not later than March 1, 1997, the
    President shall submit to Congress a legislative proposal incorporating
    the conclusions reached by the review conducted under subsection (d)
    and establishing a statutory Government standard on the cost
    allowability of executive compensation.
        SEC. 810. EXCEPTION TO PROHIBITION ON PROCUREMENT OF FOREIGN GOODS.
        Section 2534(d)(3) of title 10, United States Code, is amended by
    inserting ``or would impede the reciprocal procurement of defense items
    under a memorandum of understanding providing for reciprocal
    procurement of defense items that is entered into under section 2531 of
    this title,'' after ``a foreign country,''.

                           Subtitle B--Other Matters

        SEC. 821. PROHIBITION ON RELEASE OF CONTRACTOR PROPOSALS UNDER
          FREEDOM OF INFORMATION ACT.
        (a) Armed Services Acquisitions.--Section 2305 of title 10, United
    States Code, is amended by adding at the end the following new
    subsection:
        ``(g) Prohibition on Release of Contractor Proposals.--(1) Except
    as provided in paragraph (2), a proposal in the possession or control
    of the Department of Defense may not be made available to any person
    under section 552 of title 5.
        ``(2) Paragraph (1) does not apply to any proposal that is set
    forth or incorporated by reference in a contract entered into between
    the Department and the contractor that submitted the proposal.
        ``(3) In this subsection, the term `proposal' means any proposal,
    including a technical, management, or cost proposal, submitted by a
    contractor in response to the requirements of a solicitation for a
    competitive proposal.''.
        (b) Civilian Agency Acquisitions.--Section 303B of the Federal
    Property and Administrative Services Act of 1949 (41 U.S.C. 253b) is
    amended by adding at the end the following new subsection:
        ``(m) Prohibition on Release of Contractor Proposals.--(1) Except
    as provided in paragraph (2), a proposal in the possession or control
    of an executive agency may not be made available to any person under
    section 552 of title 5, United States Code.
        ``(2) Paragraph (1) does not apply to any proposal that is set
    forth or incorporated by reference in a contract entered into between
    the agency and the contractor that submitted the proposal.
        ``(3) In this subsection, the term `proposal' means any proposal,
    including a technical, management, or cost proposal, submitted by a
    contractor in response to the requirements of a solicitation for a
    competitive proposal.''.
        SEC. 822. AMENDMENTS RELATING TO REPORTS ON PROCUREMENT REGULATORY
          ACTIVITY.
        Subsection (g) of section 25 of the Office of Federal Procurement
    Policy Act (41 U.S.C. 421) is amended--
            (1) in paragraph (1)--
                (A) by striking out ``within 6 months after the date of
            enactment of this section and every 6 months thereafter'' and
            inserting in lieu thereof ``every 12 months''; and
                (B) by inserting ``and'' after the semicolon at the end;
            (2) in paragraph (2)(H), by striking out ``; and'' and
        inserting in lieu thereof a period; and
            (3) by striking out paragraph (3).
        SEC. 823. AMENDMENT OF MULTIYEAR LIMITATION ON CONTRACTS FOR
          INSPECTION, MAINTENANCE, AND REPAIR.
        Paragraph (14) of section 210(a) of the Federal Property and
    Administrative Services Act of 1949 (40 U.S.C. 490(a)) is amended by
    striking out ``for periods not exceeding three years'' and inserting in
    lieu thereof ``for periods not exceeding five years''.
        SEC. 824. STREAMLINED NOTICE REQUIREMENTS TO CONTRACTORS AND
          EMPLOYEES REGARDING TERMINATION OR SUBSTANTIAL REDUCTION IN
          CONTRACTS UNDER MAJOR DEFENSE PROGRAMS.
        (a) Elimination of Unnecessary Requirements.--Section 4471 of the
    Defense Conversion, Reinvestment, and Transition Assistance Act of 1992
    (division D of Public Law 102-484; 10 U.S.C. 2501 note) is amended--
            (1) by striking out subsection (a);
            (2) by striking out subsection (f), except paragraph (4);
            (3) by redesignating subsections (b), (c), (d), (e), and (g) as
        subsections (a), (b), (c), (d), and (f), respectively; and
            (4) by redesignating such paragraph (4) as subsection (e).
        (b) Notice to Contractors.--Subsection (a) of such section, as
    redesignated by subsection (a)(3), is amended by striking out
    paragraphs (1) and (2) and inserting in lieu thereof the following:
            ``(1) shall identify each contract (if any) under major defense
        programs of the Department of Defense that will be terminated or
        substantially reduced as a result of the funding levels provided in
        that Act; and
            ``(2) shall ensure that notice of the termination of, or
        substantial reduction in, the funding of the contract is provided--
                ``(A) directly to the prime contractor under the con-
            tract; and
                ``(B) directly to the Secretary of Labor.''.
        (c) Notice to Subcontractors.--Subsection (b) of such section, as
    redesignated by subsection (a)(3), is amended--
            (1) by striking out ``As soon as'' and all that follows through
        ``prime contractor shall--'' in the matter preceding paragraph (1)
        and inserting in lieu thereof ``Not later than 60 days after the
        date on which the prime contractor for a contract under a major
        defense program receives notice under subsection (a), the prime
        contractor shall--'';
            (2) in paragraph (1)--
                (A) by striking out ``for that program under a contract''
            and inserting in lieu thereof ``under that prime contract for
            subcontracts''; and
                (B) by striking out ``for the program''; and
            (3) in paragraph (2)(A), by striking out ``for the program
        under a contract'' and inserting in lieu thereof ``for
        subcontracts''.
        (d) Notice to Employees and State Dislocated Worker Unit.--
    Subsection (c) of such section, as redesignated by subsection (a)(3),
    is amended by striking out ``under subsection (a)(1)'' and all that
    follows through ``a defense program,'' in the matter preceding
    paragraph (1) and inserting in lieu thereof ``under subsection (a),''.
        (e) Cross References and Conforming Amendments.--(1) Subsection (d)
    of such section, as redesignated by subsection (a)(3), is amended--
            (A) by striking out ``a major defense program provided under
        subsection (d)(1)'' and inserting in lieu thereof ``a defense
        contract provided under subsection (c)(1)''; and
            (B) by striking out ``the program'' and inserting in lieu
        thereof ``the contract''.
        (2) Subsection (e) of such section, as redesignated by subsection
    (a)(4), is amended--
            (A) by striking out ``eligibility'' and inserting in lieu
        thereof ``Eligibility''; and
            (B) by striking out ``under paragraph (3)'' and inserting in
        lieu thereof ``or cancellation of the termination of, or
        substantial reduction in, contract funding''.
        (3) Subsection (f) of such section, as redesignated by subsection
    (a)(3), is amended in paragraph (2)--
            (A) by inserting ``a defense contract under'' before ``a major
        defense program''; and
            (B) by striking out ``contracts under the program'' and
        inserting in lieu thereof ``the funds obligated by the contract''.
        SEC. 825. REPEAL OF NOTICE REQUIREMENTS FOR SUBSTANTIALLY OR
          SERIOUSLY AFFECTED PARTIES IN DOWNSIZING EFFORTS.
        Sections 4101 and 4201 of the National Defense Authorization Act
    for Fiscal Year 1991 (Public Law 101-510; 104 Stat. 1850, 1851; 10
    U.S.C. 2391 note) are repealed.

    SEC. 826. STUDY OF EFFECTIVENESS OF DEFENSE MERGERS.

        (a) Study.--The Secretary of Defense shall conduct a study on
    mergers and acquisitions in the defense sector. The study shall address
    the following:
            (1) The effectiveness of defense mergers and acquisitions in
        eliminating excess capacity within the defense industry.
            (2) The degree of change in the dependence by defense
        contractors on defense-related Federal contracts within their
        overall business after mergers.
            (3) The effect on defense industry employment resulting from
        defense mergers and acquisitions occurring during the three years
        preceding the date of the enactment of this Act.
            (4) The effect on competition for defense contracts.
        (b) Report.--Not later than six months after the date of the
    enactment of this Act, the Secretary of Defense shall submit to
    Congress a report on the results of the study conducted under
    subsection (a).

    SEC. 827. ANNUAL REPORT RELATING TO BUY AMERICAN ACT.

        The Secretary of Defense shall submit to Congress, not later than
    120 days after the end of each fiscal year, a report on the amount of
    purchases by the Department of Defense from foreign entities in that
    fiscal year. Such report shall separately indicate the dollar value of
    items for which the Buy American Act (41 U.S.C. 10a et seq.) was waived
    pursuant to any of the following:
            (1) Any reciprocal defense procurement memorandum of
        understanding described in section 849(c)(2) of Public Law 103-160
        (41 U.S.C. 10b-2 note).
            (2) The Trade Agreements Act of 1979 (19 U.S.C. 2501 et seq.)
            (3) Any international agreement to which the United States is a
        party.

    SEC. 828. FOREIGN ENVIRONMENTAL TECHNOLOGY.

        Subsection (b) of section 2536 of title 10, United States Code, is
    amended to read as follows:
        ``(b) Waiver Authority.--(1) The Secretary concerned may waive the
    application of subsection (a) to a contract award if--
            ``(A) the Secretary concerned determines that the waiver is
        essential to the national security interests of the United States;
        or
            ``(B) in the case of a contract awarded for environmental
        restoration, remediation, or waste management at a Department of
        Defense or Department of Energy facility--
                ``(i) the Secretary concerned determines that the waiver
            will advance the environmental restoration, remediation, or
            waste management objectives of the department concerned and
            will not harm the national security interests of the United
            States; and
                ``(ii) the entity to which the contract is awarded is
            controlled by a foreign government with which the Secretary
            concerned is authorized to exchange Restricted Data under
            section 144 c. of the Atomic Energy Act of 1954 (42 U.S.C.
            2164(c)).
        ``(2) The Secretary concerned shall notify Congress of any decision
    to grant a waiver under paragraph (1)(B) with respect to a contract.
    The contract may be awarded only after the end of the 45-day period
    beginning on the date the notification is received by the
    committees.''.
        SEC. 829. ASSESSMENT OF NATIONAL DEFENSE TECHNOLOGY AND INDUSTRIAL
          BASE AND DEPENDENCY OF BASE ON SUPPLIES AVAILABLE ONLY FROM
          FOREIGN COUNTRIES.
        (a) National Security Objectives for National Technology and
    Industrial Base.--Section 2501(a) of title 10, United States Code, is
    amended by adding at the end the following:
            ``(5) Providing for the development, manufacture, and supply of
        items and technologies critical to the production and sustainment
        of advanced military weapon systems within the national technology
        and industrial base.''.
        (b) National Defense Program for Analysis of the Technology and
    Industrial Base.--Section 2503 of title 10, United States Code, is
    amended--
            (1) in subsection (a)--
                (A) by striking out ``(1) The Secretary of Defense, in
            consultation with the National Defense Technology and
            Industrial Base Council,'' in paragraph (1) and inserting in
            lieu thereof ``The Secretary of Defense''; and
                (B) by striking out paragraphs (2), (3), and (4); and
            (2) in subsection (c)(3)(A)--
                (A) by striking out ``the National Defense Technology and
            Industrial Base Council in'' and inserting in lieu thereof
            ``the Secretary of Defense for''; and
                (B) by striking out ``and the periodic plans required by
            section 2506 of this title''.
        (c) Periodic Defense Capability Assessments, Including Foreign
    Dependency.--(1) Section 2505 of title 10, United States Code, is
    amended to read as follows:
    ``Sec. 2505. National technology and industrial base: periodic defense
         capability assessments
        ``(a) Periodic Assessment.--Each fiscal year, the Secretary of
    Defense shall prepare selected assessments of the capability of the
    national technology and industrial base to attain the national security
    objectives set forth in section 2501(a) of this title. The Secretary of
    Defense shall prepare such assessments in consultation with the
    Secretary of Commerce and the Secretary of Energy.
        ``(b) Assessment Process.--The Secretary of Defense shall ensure
    that technology and industrial capability assessments--
            ``(1) describe sectors or capabilities, their underlying
        infrastructure and processes;
            ``(2) analyze present and projected financial performance of
        industries supporting the sectors or capabilities in the
        assessment; and
            ``(3) identify technological and industrial capabilities and
        processes for which there is potential for the national industrial
        and technology base not to be able to support the achievement of
        national security objectives.
        ``(c) Assessment of Extent of Dependency on Foreign Source Items.--
    Each assessment under subsection (a) shall include a separate
    discussion and presentation regarding the extent to which the national
    technology and industrial base is dependent on items for which the
    source of supply, manufacture, or technology is outside of the United
    States and Canada and for which there is no immediately available
    source in the United States or Canada. The discussion and presentation
    regarding foreign dependency shall--
            ``(1) identify cases that pose an unacceptable risk of foreign
        dependency, as determined by the Secretary; and
            ``(2) present actions being taken or proposed to be taken to
        remedy the risk posed by the cases identified under paragraph (1),
        including efforts to develop a domestic source for the item in
        question.
        ``(d) Integrated Process.--The Secretary of Defense shall ensure
    that consideration of the technology and industrial base assessments is
    integrated into the overall budget, acquisition, and logistics support
    decision processes of the Department of Defense.''.
        (2) Section 2502(b) of title 10, United States Code, is amended--
            (A) by striking out ``the following responsibilities:'' and all
        that follows through ``effective cooperation'' and inserting in
        lieu thereof ``the responsibility to ensure effective
        cooperation''; and
            (B) by striking out paragraph (2); and
        (3) by redesignating subparagraphs (A), (B), and (C) as paragraphs
    (1), (2), and (3), respectively, and adjusting the margin of such
    paragraphs two ems to the left.
        (d) Repeal of Requirement for Periodic Defense Capability Plan;
    Development of Policy Guidance.--Section 2506 of title 10, United
    States Code, is amended to read as follows:
    ``Sec. 2506. Department of Defense technology and industrial base
         policy guidance
        ``(a) Departmental Guidance.--The Secretary of Defense shall
    prescribe departmental guidance for the attainment of each of the
    national security objectives set forth in section 2501(a) of this
    title. Such guidance shall provide for technological and industrial
    capability considerations to be integrated into the budget allocation,
    weapons acquisition, and logistics support decision processes.
        ``(b) Report to Congress.--The Secretary of Defense shall report on
    the implementation of the departmental guidance in the annual report to
    Congress submitted pursuant to section 2504 of this title.''.
        (e) Annual Report to Congress.--Subchapter II of chapter 148 of
    title 10, United States Code, is amended by inserting after section
    2503 the following new section:

    ``Sec. 2504. Annual report to Congress

        ``The Secretary of Defense shall transmit to the Committee on Armed
    Services of the Senate and the Committee on National Security of the
    House of Representatives by March 1 of each year a report which shall
    include the following information:
            ``(1) A description of the departmental guidance prepared
        pursuant to section 2506 of this title.
            ``(2) A description of the methods and analyses being
        undertaken by the Department of Defense alone or in cooperation
        with other Federal agencies, to identify and address concerns
        regarding technological and industrial capabilities of the national
        technology and industrial base.
            ``(3) A description of the assessments prepared pursuant to
        section 2505 of this title and other analyses used in developing
        the budget submission of the Department of Defense for the next
        fiscal year.
            ``(4) Identification of each program designed to sustain
        specific essential technological and industrial capabilities and
        processes of the national technology and industrial base.''.
        (f) Repeal of Requirement To Coordinate the Encouragement of
    Technology Transfer With the Council.--Subsection 2514(c) of title 10,
    United States Code, is amended by striking out paragraph (5).
        (g) Clerical Amendments.--(1) The table of sections at the
    beginning of subchapter II of chapter 148 of title 10, United States
    Code, is amended by inserting after the item relating to section 2503
    the following new item:

    ``2504. Annual report to Congress.''.

        (2) Such table of sections is further amended by striking out the
    item relating to section 2506 and inserting in lieu thereof the
    following new item:

    ``2506. Department of Defense technology and industrial base policy
              guidance.''.

        (h) Repeal of Superseded and Executed Law.--Sections 4218, 4219,
    and 4220 of the National Defense Authorization Act for Fiscal Year 1993
    (Public Law 102-484; 10 U.S.C. 2505 note and 2506 note) are repealed.
        SEC. 830. EXPANSION OF REPORT ON IMPLEMENTATION OF AUTOMATED
          INFORMATION SYSTEMS TO INCLUDE ADDITIONAL MATTERS REGARDING
          INFORMATION RESOURCES MANAGEMENT.
        (a) Expanded Report.--The Secretary of Defense shall include in the
    report submitted in 1997 under section 381(f) of the National Defense
    Authorization Act for Fiscal Year 1995 (Public Law 103-337; 10 U.S.C.
    113 note) a discussion of the following matters relating to information
    resources management:
            (1) The progress made in implementing the Information
        Technology Management Reform Act of 1996 (division E of Public Law
        104-106; 110 Stat. 679; 40 U.S.C. 1401 et seq.) and the amendments
        made by that Act.
            (2) The progress made in implementing the strategy for the
        development or modernization of automated information systems for
        the Department of Defense, as required by section 366 of the
        National Defense Authorization Act for Fiscal Year 1996 (Public Law
        104-106; 110 Stat. 275; 10 U.S.C. 113 note).
            (3) Plans of the Department of Defense for establishing an
        integrated framework for management of information resources within
        the department.
        (b) Specific Elements of Report.--The presentation of matters under
    subsection (a) shall specifically include a discussion of the
    following:
            (1) The status of the implementation of performance measures.
            (2) The specific actions being taken to link the proposed
        performance measures to the planning, programming, and budgeting
        system of the Department of Defense and to the life-cycle
        management processes of the department.
            (3) The results of pilot program testing of proposed
        performance measures.
            (4) The additional training necessary for the implementation of
        performance-based information management.
            (5) The department-wide actions that are necessary to comply
        with the requirements of the following provisions of law:
                (A) The amendments made by the Government Performance and
            Results Act of 1993 (Public Law 103-62; 107 Stat. 285).
                (B) The Information Technology Management Reform Act of
            1996 (division E of Public Law 104-106; 110 Stat. 679; 40
            U.S.C. 1401 et seq.) and the amendments made by that Act.
                (C) Title V of the Federal Acquisition Streamlining Act of
            1994 (Public Law 103-355; 108 Stat. 3349) and the amendments
            made by that title.
                (D) The Chief Financial Officers Act of 1990 (Public Law
            101-576; 104 Stat. 2838) and the amendments made by that Act.

    SEC. 831. YEAR 2000 SOFTWARE CONVERSION.

        (a) Year 2000 Software Conversion.--The Secretary of Defense shall
    ensure that, as soon as practicable, all information technology
    acquired by the Department of Defense pursuant to contracts entered
    into after September 30, 1996, has the capabilities to process date and
    date-related data in 2000.
        (b) Assessment.--The Secretary, acting through the chief
    information officers within the department (as designated pursuant to
    section 3506 of title 44, United States Code), shall assess all
    information technology within the Department of Defense to determine
    the extent to which such technology has the capabilities to operate
    effectively.
        (c) Plan.--Not later than January 1, 1997, the Secretary shall
    submit to Congress a detailed plan for eliminating anydeficiencies
    identified pursuant to subsection (b). The plan shall include--
            (1) a list of affected major systems;
            (2) a description of how the deficiencies could affect the
        national security of the United States; and
            (3) an estimate and prioritization of the resources that are
        necessary to eliminate the deficiencies.
        SEC. 832. PROCUREMENT FROM FIRMS IN INDUSTRIAL BASE FOR PRODUCTION
          OF SMALL ARMS.
        (a) Requirement.--Chapter 146 of title 10, United States Code, is
    amended by adding at the end the following new section:
    ``Sec. 2473. Procurements from the small arms production industrial
         base
        ``(a) Authority To Limit Procurements To Certain Sources.--To the
    extent that the Secretary of Defense determines necessary to preserve
    the small arms production industrial base, the Secretary may require
    that any procurement of property or services described in subsection
    (b) for the Department of Defense be made only from a firm in the small
    arms production industrial base.
        ``(b) Covered Property and Services.--Subsection (a) applies to the
    following:
            ``(1) Repair parts for small arms.
            ``(2) Modifications of parts to improve small arms used by the
        armed forces.
        ``(c) Small Arms Production Industrial Base.--In this section, the
    term `small arms production industrial base' means the firms comprising
    the small arms production industrial base, as described in the plan
    entitled `Preservation of Critical Elements of the Small Arms
    Industrial Base', dated January 8, 1994, that was prepared by an
    independent assessment panel of the Army Science Board.''.
        (b) Clerical Amendment.--The table of sections at the beginning of
    such chapter is amended by adding at the end the following new item:

    ``2473. Procurements from the small arms production industrial base.''.

    SEC. 833. CABLE TELEVISION FRANCHISE AGREEMENTS.

        Based on the advisory opinion from the United States Court of
    Federal Claims, In the Matter of the Department of Defense Cable
    Television Franchise Agreements, National Defense Authorization Act for
    Fiscal Year 1996, Section 823, No. 96-133X (July 11, 1996)--
            (1) cable television franchise agreements for the construction,
        installation, or capital improvement of cable systems at military
        installations shall be considered contracts for purposes of the
        Federal Acquisition Regulation;
            (2) cable television operators are entitled to recovery of
        their investments at such installations to the extent authorized in
        part 49 of the Federal Acquisition Regulation; and
            (3) the appropriate official of the Department of Defense shall
        promptly issue a written notice of the termination for the
        convenience of the Government of the contracts described in such
        advisory opinion and commence settlement negotiations pursuant to
        the requirements of part 49 of the Federal Acquisition Regulation.

          TITLE IX--DEPARTMENT OF DEFENSE ORGANIZATION AND MANAGEMENT

                           Subtitle A--General Matters

    Sec. 901. Repeal of previously enacted reduction in number of statutory
              positions in Office of the Secretary of Defense.
    Sec. 902. Additional required reduction in defense acquisition
              workforce.
    Sec. 903. Reduction of personnel assigned to Office of the Secretary of
              Defense.
    Sec. 904. Report on military department headquarters staffs.
    Sec. 905. Matters to be considered in next assessment of current
              missions, responsibilities, and force structure of the unified
              combatant commands.
    Sec. 906. Transfer of authority to control transportation systems in
              time of war.
    Sec. 907. Codification of requirements relating to continued operation
              of the Uniformed Services University of the Health Sciences.
    Sec. 908. Joint Requirements Oversight Council.
    Sec. 909. Membership of the Ammunition Storage Board.
    Sec. 910. Removal of Secretary of the Army from membership on the
              Foreign Trade Zone Board.
    Sec. 911. Composition of aircraft accident investigation boards.
    Sec. 912. Mission of the White House Communications Agency.

                       Subtitle B--Force Structure Review

    Sec. 921. Short title.
    Sec. 922. Findings.
    Sec. 923. Quadrennial Defense Review.
    Sec. 924. National Defense Panel.
    Sec. 925. Postponement of deadlines.
    Sec. 926. Definitions.

                          Subtitle A--General Matters

        SEC. 901. REPEAL OF PREVIOUSLY ENACTED REDUCTION IN NUMBER OF
          STATUTORY POSITIONS IN OFFICE OF THE SECRETARY OF DEFENSE.
        Section 903 of the National Defense Authorization Act for Fiscal
    Year 1996 (Public Law 104-106; 110 Stat. 401) is repealed.
        SEC. 902. ADDITIONAL REQUIRED REDUCTION IN DEFENSE ACQUISITION
          WORKFORCE.
        (a) Additional Reductions for Fiscal Year 1997.--Section 906(d) of
    the National Defense Authorization Act for Fiscal Year 1996 (Public Law
    104-106; 110 Stat. 405) is amended in paragraph (1) by striking out
    ``positions during fiscal year 1996'' and all that follows and
    inserting in lieu thereof ``so that--
            ``(A) the total number of defense acquisition personnel as of
        October 1, 1996, is less than the baseline number by at least
        15,000; and
            ``(B) the total number of defense acquisition personnel as of
        October 1, 1997, is less than the baseline number by at least
        30,000.''.
        (b) Baseline Number.--Such section is further amended by adding at
    the end the following new paragraph:
        ``(3) For purposes of this subsection, the term `baseline number'
    means the total number of defense acquisition personnel as of October
    1, 1995.''.
        SEC. 903. REDUCTION OF PERSONNEL ASSIGNED TO OFFICE OF THE
          SECRETARY OF DEFENSE.
        (a) Permanent Limitation on OSD Personnel.--Effective October 1,
    1999, the number of OSD personnel may not exceed 75 percent of the
    baseline number.
        (b) Phased Reduction.--The number of OSD personnel--
            (1) as of October 1, 1997, may not exceed 85 percent of the
        baseline number; and
            (2) as of October 1, 1998, may not exceed 80 percent of the
        baseline number.
        (c) Baseline Number.--For purposes of this section, the term
    ``baseline number'' means the number of OSD personnel as of October 1,
    1994.
        (d) OSD Personnel Defined.--For purposes of this section, the term
    ``OSD personnel'' means military and civilian personnel of the
    Department of Defense who are assigned to, or employed in, functions in
    the Office of the Secretary of Defense (including Direct Support
    Activities of that Office and the Washington Headquarters Services of
    the Department of Defense).
        (e) Limitation on Reassignment of Functions.--In carrying out
    reductions in the number of personnel assigned to, or employed in, the
    Office of the Secretary of Defense in order to comply with this
    section, the Secretary of Defense may not reassign functions solely in
    order to evade the requirements contained in this section.
        (f) Flexibility.--If the Secretary of Defense determines, and
    certifies to Congress, that the limitation in subsection (b) with
    respect to any fiscal year would adversely affect United States
    national security, the Secretary may waive the limitation under that
    subsection with respect to that fiscal year. If the Secretary of
    Defense determines, and certifies to Congress, that the limitation in
    subsection (a) during fiscal year 1999 would adversely affect United
    States national security, the Secretary may waive the limitation under
    that subsection with respect to that fiscal year. The authority under
    this subsection may be used only once, with respect to a single fiscal
    year.
        (g) Repeal of Prior Requirement.--Section 901(d) of the National
    Defense Authorization Act for Fiscal Year 1996 (Public Law 104-106; 110
    Stat. 401) is repealed.
        SEC. 904. REPORT ON MILITARY DEPARTMENT HEADQUARTERS STAFFS.
        (a) Review by Secretary of Defense.--The Secretary of Defense shall
    conduct a review of the size, mission, organization, and functions of
    the military department headquarters staffs. This review shall include
    the following:
            (1) An assessment on the adequacy of the present organization
        structure to efficiently and effectively support the mission of the
        military departments.
            (2) An assessment of options to reduce the number of personnel
        assigned to the military department headquarters staffs.
            (3) An assessment of the extent of unnecessary duplication of
        functions between the Office of the Secretary of Defense and the
        military department headquarters staffs.
            (4) An assessment of the possible benefits that could be
        derived from further functional consolidation between the civilian
        secretariat of the military departments and the staffs of the
        military service chiefs.
            (5) An assessment of the possible benefits that could be
        derived from reducing the number of civilian officers inthe
    military departments who are appointed by and with the advice and
    consent of the Senate.
        (b) Report.--Not later than March 1, 1997, the Secretary of Defense
    shall submit to the congressional defense committees a report
    containing--
            (1) the findings and conclusions of the Secretary resulting
        from the review under subsection (a); and
            (2) a plan for implementing resulting recommendations,
        including proposals for legislation (with supporting rationale)
        that would be required as a result of the review.
        (c) Reduction in Total Number of Personnel Assigned.--In developing
    the plan under subsection (b)(2), the Secretary shall make every effort
    to provide for significant reductions in the overall number of military
    and civilian personnel assigned to or serving in the military
    department headquarters staffs.
        (d) Military Department Headquarters Staffs Defined.--For the
    purposes of this section, the term ``military department headquarters
    staffs'' means the offices, organizations, and other elements of the
    Department of Defense comprising the following:
            (1) The Office of the Secretary of the Army.
            (2) The Army Staff.
            (3) The Office of the Secretary of the Air Force.
            (4) The Air Staff.
            (5) The Office of the Secretary of the Navy.
            (6) The Office of the Chief of Naval Operations.
            (7) Headquarters, Marine Corps.
        SEC. 905. MATTERS TO BE CONSIDERED IN NEXT ASSESSMENT OF CURRENT
          MISSIONS, RESPONSIBILITIES, AND FORCE STRUCTURE OF THE UNIFIED
          COMBATANT COMMANDS.
        The Chairman of the Joint Chiefs of Staff shall consider, as part
    of the next periodic review by the Chairman of the missions,
    responsibilities, and force structure of the unified combatant commands
    pursuant to section 161(b) of title 10, United States Code, the
    following matters:
            (1) Whether there exists an adequate distribution of threats,
        mission requirements, and responsibilities for geographic areas
        among the regional unified combatant commands.
            (2) Whether reductions in the overall force structure of the
        Armed Forces permit the United States to better execute its
        warfighting plans through fewer or differently configured unified
        combatant commands, including--
                (A) a total of five or fewer commands, all of which are
            regional;
                (B) a total of three commands consisting of an eastward-
            oriented command, a westward-oriented command, and a central
            command;
                (C) a purely functional command structure, involving (for
            example) a first theater command, a second theater command, a
            logistics command, a special contingencies command, and a
            strategic command; or
                (D) any other command structure or configuration the
            Chairman finds appropriate.
            (3) Whether any missions, staff, facilities, equipment,
        training programs, or other assets or activities of the unified
        combatant commands are redundant.
            (4) Whether warfighting requirements are adequate to justify
        the current functional commands.
            (5) Whether the exclusion of certain nations from the Areas of
        Responsibility of the unified combatant commands presents
        difficulties with respect to the achievement of United States
        national security objectives in those areas.
            (6) Whether the current geographic boundary between the United
        States Central Command and the United States European Command
        through the Middle East could create command conflicts in the
        context of a major regional conflict in the Middle East region.
        SEC. 906. TRANSFER OF AUTHORITY TO CONTROL TRANSPORTATION SYSTEMS
          IN TIME OF WAR.
        (a) Authority of Secretary of Defense.--Section 4742 of title 10,
    United States Code, is amended by striking out ``Secretary of the
    Army'' and inserting in lieu thereof ``Secretary of Defense''.
        (b) Transfer of Section.--Such section, as amended by subsection
    (a), is transferred to the end of chapter 157 of such title and is
    redesignated as section 2644.
        (c) Conforming Repeal.--Section 9742 of such title is repealed.
        (d) Clerical Amendments.--(1) The table of sections at the
    beginning of chapter 157 of such title is amended by adding at the end
    the following new item:

    ``2644. Control of transportation systems in time of war.''.

        (2) The table of sections at the beginning of chapter 447 of such
    title is amended by striking out the item relating to section 4742.
        (3) The table of sections at the beginning of chapter 947 of such
    title is amended by striking out the item relating to section 9742.
        SEC. 907. CODIFICATION OF REQUIREMENTS RELATING TO CONTINUED
          OPERATION OF THE UNIFORMED SERVICES UNIVERSITY OF THE HEALTH
          SCIENCES.
        (a) Codification of Existing Law.--(1) Chapter 104 of title 10,
    United States Code, is amended by inserting after section 2112 the
    following new section:

    ``Sec. 2112a. Continued operation of University

        ``(a) Closure Prohibited.--The University may not be closed.
        ``(b) Personnel Strength.--During the five-year period beginning on
    October 1, 1996, the personnel staffing levels for the University may
    not be reduced below the personnel staffing levels for the University
    as of October 1, 1993.''.
        (2) The table of sections at the beginning of such chapter is
    amended by inserting after the item relating to section 2112 the
    following new item:

    ``2112a. Continued operation of University.''.

        (b) Repeal of Superseded Law.--(1) Section 922 of the National
    Defense Authorization Act for Fiscal Year 1995 (Public Law 103-337; 108
    Stat. 2829; 10 U.S.C. 2112 note) is amended by striking out subsection
    (a).
        (2) Section 1071 of the National Defense Authorization Act for
    Fiscal Year 1996 (Public Law 104-106; 110 Stat. 445; 10 U.S.C. 2112
    note) is amended by striking out subsection (b).
        SEC. 908. JOINT REQUIREMENTS OVERSIGHT COUNCIL.
        Section 181 of title 10, United States Code, as added effective
    January 31, 1997, is amended by adding at the end the following new
    subsection:
        ``(d) Availability of Oversight Information to Congressional
    Defense Committees.--(1) The Secretary of Defense shall ensure that, in
    the case of a recommendation by the Chairman to the Secretary that is
    approved by the Secretary, oversight information with respect to such
    recommendation that is produced as a result of the activities of the
    Joint Requirements Oversight Council is made available in a timely
    fashion to the congressional defense committees.
        ``(2) In this subsection:
            ``(A) The term `oversight information' means information and
        materials comprising analysis and justification that are prepared
        to support a recommendation that is made to, and approved by, the
        Secretary of Defense.
            ``(B) The term `congressional defense committees' means--
                ``(i) the Committee on Armed Services and the Committee on
            Appropriations of the Senate; and
                ``(ii) the Committee on National Security and the Committee
            on Appropriations of the House of Representatives.''.
        SEC. 909. MEMBERSHIP OF THE AMMUNITION STORAGE BOARD.
        Section 172(a) of title 10, United States Code, is amended by
    striking out ``a joint board of officers selected by them'' and
    inserting in lieu thereof ``a joint board selected by them composed of
    officers, civilian officers and employees of the Department of Defense,
    or both''.
        SEC. 910. REMOVAL OF SECRETARY OF THE ARMY FROM MEMBERSHIP ON THE
          FOREIGN TRADE ZONE BOARD.
        The first section of the Act of June 18, 1934 (Public Law Numbered
    397, Seventy-third Congress; 48 Stat. 998) (19 U.S.C. 81a), popularly
    known as the ``Foreign Trade Zones Act'', is amended--
            (1) in subsection (b), by striking out ``the Secretary of the
        Treasury, and the Secretary of War'' and inserting in lieu thereof
        ``and the Secretary of the Treasury''; and
            (2) in subsection (c), by striking out ``Alaska, Hawaii,''.
        SEC. 911. COMPOSITION OF AIRCRAFT ACCIDENT INVESTIGATION BOARDS.
        (a) Selection of Board Members.--(1) Chapter 134 of title 10,
    United States Code, is amended by adding at the end the following new
    section:
    ``Sec. 2255. Aircraft accident investigation boards: composition
         requirements
        ``(a) Required Membership of Boards.--Whenever the Secretary of a
    military department convenes an aircraft accident investigation board
    to conduct an accident investigation (as described in section
    2254(a)(2) of this title) with respect to a Class A accident involving
    an aircraft under the jurisdiction of the Secretary, the Secretary
    shall select the membership of the board so that--
            ``(1) a majority of the members (or in the case of a board
        consisting of a single member, the member) is selected from units
        other than the mishap unit or a unit subordinate to the mishap
        unit; and
            ``(2) in the case of a board consisting of more than one
        member, at least one member of the board is a member of the armed
        forces or an officer or an employee of the Department of Defense
        who possesses knowledge and expertise relevant to aircraft accident
        investigations.
        ``(b) Exception.--(1) The Secretary of the military department
    concerned may waive the requirement of subsection (a)(1) in the case of
    an aircraft accident if the Secretary determines that--
            ``(A)  it  is  not  practicable  to  meet  the  requirement
        because of--
                ``(i) the remote location of the aircraft accident;
                ``(ii) an urgent need to promptly begin the investi-
            gation; or
                ``(iii) a lack of available persons outside of the mishap
            unit who have adequate knowledge and expertise regarding the
            type of aircraft involved in the accident; and
            ``(B) the objectivity and independence of the aircraft accident
        investigation board will not be compromised.
        ``(2) The Secretary shall notify Congress of a waiver exercised
    under this subsection and the reasons therefor.
        ``(c) Consultation Requirement.--In the case of an aircraft
    accident investigation board consisting of a single member, the member
    shall consult with a member of the armed forces or an officer or an
    employee of the Department of Defense who possesses knowledge and
    expertise relevant to aircraft accident investigations.
        ``(d) Designation of Class A Accidents.--Not later than 60 days
    after an aircraft accident involving an aircraft under the jurisdiction
    of the Secretary of a military department, the Secretary shall
    determine whether the aircraft accident should be designated as a Class
    A accident for purposes of this section.
        ``(e) Definitions.--In this section:
            ``(1) The term `Class A accident' means an accident involving
        an aircraft that results in--
                ``(A) the loss of life or permanent disability;
                ``(B) damages to the aircraft, other property, or a
            combination of both, in an amount in excess of the amount
            specified by the Secretary of Defense for purposes of
            determining Class A accidents; or
                ``(C) the destruction of the aircraft.
            ``(2) The term `mishap unit', with respect to an aircraft
        accident investigation, means the unit of the armed forces (at the
        squadron or battalion level or equivalent) to which was assigned
        the flight crew of the aircraft that sustained the accident that is
        the subject of the investigation.''.
        (2) The table of sections at the beginning of subchapter II of such
    chapter is amended by adding at the end the following new item:

    ``2255. Aircraft accident investigation boards: composition
              requirements.''.

        (b) Effective Date.--Section 2255 of title 10, United States Code,
    as added by subsection (a), shall apply with respect to any aircraft
    accident investigation board convened by the Secretary of a military
    department after the end of the six-month period beginning on the date
    of the enactment of this Act.

    SEC. 912. MISSION OF THE WHITE HOUSE COMMUNICATIONS AGENCY.

        (a) Telecommunications Support.--The Secretary of Defense shall
    ensure that the activities of the White House Communications Agency in
    providing support services on a nonreimbursable basis for the President
    from funds appropriated for the Department of Defense for any fiscal
    year are limited to the provision of telecommunications support to the
    President and Vice President and to related elements (as defined in
    regulations of that agency and specified by the President with respect
    to particular individuals within those related elements).
        (b) Other Support.--Support services other than telecommunications
    support services described in subsection (a) may be provided by the
    Department of Defense for the President through the White House
    Communications Agency on a reimbursable basis.
        (c) White House Communications Agency.--For purposes of this
    section, the term ``White House Communications Agency'' means the
    element of the Department of Defense within the Defense Communications
    Agency that is known on the date of the enactment of this Act as the
    White House Communications Agency and includes any successor agency.
        (d) Report on Issues Raised by DOD Inspector General Review of
    White House Communications Agency.--Not later than October 1, 1996, or
    30 days after the date of the enactment of this Act, whichever is
    later, the Secretary of Defense shall submit to Congress a report
    setting forth the actions taken by the Secretary to address the issues
    raised by the report of the Department of Defense Inspector General
    reviewing the mission of the White House Communications Agency.
        (e) Quarterly Reports During Fiscal Year 1997.--Not later than 30
    days after the end of each quarter of fiscal year 1997, the Secretary
    of Defense shall submit to Congress a report describing the support
    services other than telecommunications support services described in
    subsection (a) that were provided during the preceding quarter by the
    Department of Defense for the President through the White House
    Communications Agency.
        (f) Effective Date.--This section takes effect on October 1, 1997,
    and applies to funds appropriated for the Department of Defense for any
    fiscal year after fiscal year 1997.

                       Subtitle B--Force Structure Review

    SEC. 921. SHORT TITLE.

        This subtitle may be cited as the ``Military Force Structure Review
    Act of 1996''.

    SEC. 922. FINDINGS.

        Congress makes the following findings:
            (1) Since the collapse of the Soviet Union in 1991, the United
        States has conducted two substantial assessments of the force
        structure of the Armed Forces necessary to meet United States
        defense requirements.
            (2) The assessment by the Bush Administration (known as the
        ``Base Force'' assessment) and the assessment by the Clinton
        Administration (known as the ``Bottom-Up Review'') were intended to
        reassess the force structure of the Armed Forces in light of the
        changing realities of the post-Cold War world.
            (3) Both assessments served an important purpose in focusing
        attention on the need to reevaluate the military posture of the
        United States, but the pace of global change necessitates a new,
        comprehensive assessment of the defense strategy of the United
        States and the force structure of the Armed Forces required to meet
        the threats to the United States in the twenty-first century.
            (4) The Bottom-Up Review has been criticized on several points,
        including--
                (A) the assumptions underlying the strategy of planning to
            fight and win two nearly simultaneous major regional conflicts;
                (B) the force levels recommended to carry out that
            strategy; and
                (C) the funding proposed for such recommended force levels.
            (5) In response to the recommendations of the Commission on
        Roles and Missions of the Armed Forces, the Secretary of Defense
        endorsed the concept of conducting a quadrennial review of the
        defense program at the beginning of each newly elected Presidential
        administration, and the Department intends to complete the first
        such review in 1997.
            (6) The review is to involve a comprehensive examination of
        defense strategy, the force structure of the active, guard, and
        reserve components, force modernization plans, infrastructure, and
        other elements of the defense program and policies in order to
        determine and express the defensestrategy of the United States and
    to establish a revised defense program through the year 2005.
            (7) In order to ensure that the force structure of the Armed
        Forces is adequate to meet the challenges to the national security
        interests of the United States in the twenty-first century, to
        assist the Secretary of Defense in conducting the review referred
        to in paragraph (5), and to assess the appropriate force structure
        of the Armed Forces through the year 2010 and beyond (if
        practicable), it is important to provide for the conduct of an
        independent, nonpartisan review of the force structure that is more
        comprehensive than prior assessments of the force structure,
        extends beyond the quadrennial defense review, and explores
        innovative and forward-thinking ways of meeting such challenges.

    SEC. 923. QUADRENNIAL DEFENSE REVIEW.

        (a) Requirement in 1997.--The Secretary of Defense, in consultation
    with the Chairman of the Joint Chiefs of Staff, shall complete in 1997
    a review of the defense program of the United States intended to
    satisfy the requirements for a Quadrennial Defense Review as identified
    in the recommendations of the Commission on Roles and Missions of the
    Armed Forces. The review shall include a comprehensive examination of
    the defense strategy, force structure, force modernization plans,
    infrastructure, budget plan, and other elements of the defense program
    and policies with a view toward determining and expressing the defense
    strategy of the United States and establishing a revised defense
    program through the year 2005.
        (b) Involvement of National Defense Panel.--(1) The Secretary shall
    apprise the National Defense Panel established under section 924, on an
    ongoing basis, of the work undertaken in the conduct of the review.
        (2) Not later than March 14, 1997, the Chairman of the National
    Defense Panel shall submit to the Secretary the Panel's assessment of
    work undertaken in the conduct of the review as of that date and shall
    include in the assessment the recommendations of the Panel for
    improvements to the review, including recommendations for additional
    matters to be covered in the review.
        (c) Assessments of Review.--Upon completion of the review, the
    Chairman of the Joint Chiefs of Staff and the Chairman of the National
    Defense Panel, on behalf of the Panel, shall each prepare and submit to
    the Secretary such Chairman's assessment of the review in time for the
    inclusion of the assessment in its entirety in the report under
    subsection (d).
        (d) Report.--Not later than May 15, 1997, the Secretary shall
    submit to the Committee on Armed Services of the Senate and the
    Committee on National Security of the House of Representatives a
    comprehensive report on the review. The report shall include the
    following:
            (1) The results of the review, including a comprehensive
        discussion of the defense strategy of the United States and the
        force structure best suited to implement that strategy.
            (2) The threats examined for purposes of the review and the
        scenarios developed in the examination of such threats.
            (3) The assumptions used in the review, including assumptions
        relating to the cooperation of allies and mission-sharing, levels
        of acceptable risk, warning times, and intensity and duration of
        conflict.
            (4) The effect on the force structure of preparations for and
        participation in peace operations and military operations other
        than war.
            (5) The effect on the force structure of the utilization by the
        Armed Forces of technologies anticipated to be available by the
        year 2005, including precision guided munitions, stealth, night
        vision, digitization, and communications, and the changes in
        doctrine and operational concepts that would result from the
        utilization of such technologies.
            (6) The manpower and sustainment policies required under the
        defense strategy to support engagement in conflicts lasting more
        than 120 days.
            (7) The anticipated roles and missions of the reserve
        components in the defense strategy and the strength, capabilities,
        and equipment necessary to assure that the reserve components can
        capably discharge those roles and missions.
            (8) The appropriate ratio of combat forces to support forces
        (commonly referred to as the ``tooth-to-tail'' ratio) under the
        defense strategy, including, in particular, the appropriate number
        and size of headquarter units and Defense Agencies for that
        purpose.
            (9) The air-lift and sea-lift capabilities required to support
        the defense strategy.
            (10) The forward presence, pre-positioning, and other
        anticipatory deployments necessary under the defense strategy for
        conflict deterrence and adequate military response to anticipated
        conflicts.
            (11) The extent to which resources must be shifted among two or
        more theaters under the defense strategy in the event of conflict
        in such theaters.
            (12) The advisability of revisions to the Unified Command Plan
        as a result of the defense strategy.
            (13) Any other matter the Secretary considers appropriate.

    SEC. 924. NATIONAL DEFENSE PANEL.

        (a) Establishment.--Not later than December 1, 1996, the Secretary
    of Defense shall establish a nonpartisan, independent panel to be known
    as the National Defense Panel (in this section referred to as the
    ``Panel''). The Panel shall have the duties set forth in this section.
        (b) Membership.--The Panel shall be composed of a chairman and
    eight other individuals appointed by the Secretary, in consultation
    with the chairman and ranking member of the Committee on Armed Services
    of the Senate and the chairman and ranking member of the Committee on
    National Security of the House of Representatives, from among
    individuals in the private sector who are recognized experts in matters
    relating to the national security of the United States.
        (c) Duties.--The Panel shall--
            (1) conduct and submit to the Secretary the assessment of the
        review under section 923 that is required by subsection (b)(2) of
        that section;
            (2) conduct and submit to the Secretary the comprehensive
        assessment of the review that is required by subsection (c) of that
        section upon completion of the review; and
            (3) conduct the assessment of alternative force structures for
        the Armed Forces required under subsection (d).
        (d) Alternative Force Structure Assessment.--(1) The Panel shall
    submit to the Secretary an independent assessment of a variety of
    possible force structures of the Armed Forces through the year 2010 and
    beyond, including the force structure identified in the report on the
    review under section 923(d). The purpose of the assessment is to
    develop proposals for an ``above the line'' force structure of the
    Armed Forces and to provide the Secretary and Congress recommendations
    regarding the optimal force structure to meet anticipated threats to
    the national security of the United States through the time covered by
    the assessment.
        (2) In conducting the assessment, the Panel shall examine a variety
    of potential threats (including near-term threats and long-term
    threats) to the national security interests of the United States,
    including the following:
            (A) Conventional threats across a spectrum of conflicts.
            (B) The proliferation of weapons of mass destruction and the
        means of delivering such weapons, and the illicit transfer of
        technology relating to such weapons.
            (C) The vulnerability of United States technology to
        nontraditional threats, including information warfare.
            (D) Domestic and international terrorism.
            (E) The emergence of a major potential adversary having
        military capabilities similar to those of the United States.
            (F) Any other significant threat, or combination of threats,
        identified by the Panel.
        (3) For purposes of the assessment, the Panel shall develop a
    variety of scenarios requiring a military response by the United
    States, including the following:
            (A) Scenarios developed in light of the threats examined under
        paragraph (2).
            (B) Scenarios developed in light of a continuum of conflicts
        ranging from a conflict of lesser magnitude than the conflict
        described in the Bottom-Up Review to a conflict of greater
        magnitude than the conflict so described.
        (4) As part of the assessment, the Panel shall also--
            (A) develop recommendations regarding a variety of force
        structures for the Armed Forces that permit the forward deployment
        of sufficient air, land, and sea-based forces to provide an
        effective deterrent to conflict and to permit a military response
        by the United States to the scenarios developed under paragraph
        (3);
            (B) to the extent practicable, estimate the funding required by
        fiscal year, in constant fiscal year 1997 dollars, to organize,
        equip, and support the forces contemplated under the force
        structures assessed in the assessment; and
            (C) comment on each of the matters also to be included by the
        Secretary in the report required by section 923(d).
        (e) Report.--(1) Not later than December 1, 1997, the Panel shall
    submit to the Secretary a report setting forth the activities and the
    findings and recommendations of the Panel under subsection (d),
    including any recommendations for legislation that the Panel considers
    appropriate.
        (2) Not later than December 15, 1997, the Secretary shall, after
    consultation with the Chairman of the Joint Chiefs of Staff, submit to
    the committees referred to in subsection (b) a copy of the report under
    paragraph (1), together with the Secretary's comments on the report.
        (f) Information From Federal Agencies.--The Panel may secure
    directly from the Department of Defense and any of its components and
    from any other Federal department and agency such information as the
    Panel considers necessary to carry out its duties under this section.
    The head of the department or agency concerned shall ensure that
    information requested by the Panel under this subsection is promptly
    provided.
        (g) Personnel Matters.--(1) Each member of the Panel shall be
    compensated at a rate equal to the daily equivalent of the annual rate
    of basic pay prescribed for level IV of the Executive Schedule under
    section 5315 of title 5, United States Code, for each day (including
    travel time) during which such member is engaged in the performance of
    the duties of the Panel.
        (2) The members of the Panel shall be allowed travel expenses,
    including per diem in lieu of subsistence, at rates authorized for
    employees of agencies under subchapter I of chapter 57 of title 5,
    United States Code, while away from their homes or regular places of
    business in the performance of services for the Panel.
        (3)(A) The chairman of the Panel may, without regard to the civil
    service laws and regulations, appoint and terminate an executive
    director, and a staff of not more than four additional individuals, if
    the Panel determines that an executive director and staff are necessary
    in order for the Panel to perform its duties effectively. The
    employment of an executive director shall be subject to confirmation by
    the Panel.
        (B) The chairman may fix the compensation of the executive director
    without regard to the provisions of chapter 51 and subchapter III of
    chapter 53 of title 5, United States Code, relating to classification
    of positions and General Schedule pay rates, except that the rate of
    pay for the executive director may not exceed the rate payable for
    level V of the Executive Schedule under section 5316 of such title.
        (4) Any Federal Government employee may be detailed to the Panel
    without reimbursement, and such detail shall be without interruption or
    loss of civil service status or privilege. The Secretary shall ensure
    that sufficient personnel are detailed to the Panel to enable the Panel
    to carry out its duties effectively.
        (5) To the maximum extent practicable, the members and employees of
    the Panel shall travel on military aircraft, military ships, military
    vehicles, or other military conveyances when travel is necessary in the
    performance of a duty of the Panel, except that no such aircraft, ship,
    vehicle, or other conveyance may be scheduled primarily for the
    transportation of any such member or employee when the cost of
    commercial transportation is less expensive.
        (h) Administrative Provisions.--(1) The Panel may use the United
    States mails and obtain printing and binding services in the same
    manner and under the same conditions as other departments and agencies
    of the Federal Government.
        (2) The Secretary shall furnish the Panel any administrative and
    support services requested by the Panel.
        (3) The Panel may accept, use, and dispose of gifts or donations of
    services or property.
        (i) Payment of Panel Expenses.--The compensation, travel expenses,
    and per diem allowances of members and employees of the Panel shall be
    paid out of funds available to the Department of Defense for the
    payment of compensation, travel allowances, and per diem allowances,
    respectively, of civilian employees of the Department. The other
    expenses of the Panel shall be paid out of funds available to the
    Department for the payment of similar expenses incurred by the
    Department.
        (j) Termination.--The Panel shall terminate 30 days after the date
    on which the Panel submits its report to the Secretary under subsection
    (e).

    SEC. 925. POSTPONEMENT OF DEADLINES.

        If the Presidential election in 1996 results in the election of a
    new President, each deadline set forth in this subtitle shall be
    postponed by three months.

    SEC. 926. DEFINITIONS.

        In this subtitle:
            (1) The term ```above the line' force structure of the Armed
        Forces'' means the force structure (including numbers, strengths,
        and composition and major items of equipment) for the Armed Forces
        at the following unit levels:
                (A) In the case of the Army, the division.
                (B) In the case of the Navy, the battle group.
                (C) In the case of the Air Force, the wing.
                (D) In the case of the Marine Corps, the expeditionary
            force.
                (E) In the case of special operations forces of the Army,
            Navy, or Air Force, the major operating unit.
                (F) In the case of the strategic forces, the ballistic
            missile submarine fleet, the heavy bomber force, and the
            intercontinental ballistic missile force.
            (2) The term ``Commission on Roles and Missions of the Armed
        Forces'' means the Commission on Roles and Missions of the Armed
        Forces established by subtitle E of title IX of the National
        Defense Authorization Act for Fiscal Year 1994 (Public Law 103-160;
        107 Stat. 1738; 10 U.S.C. 111 note).
            (3) The term ``military operation other than war'' means any
        operation other than war that requires the utilization of the
        military capabilities of the Armed Forces, including peace
        operations, humanitarian assistance operations and activities,
        counter-terrorism operations and activities, disaster relief
        activities, and counter-drug operations and activities.
            (4) The term ``peace operations'' means military operations in
        support of diplomatic efforts to reach long-term political
        settlements of conflicts and includes peacekeeping operations and
        peace enforcement operations.

                          TITLE X--GENERAL PROVISIONS

                          Subtitle A--Financial Matters

    Sec. 1001. Transfer authority.
    Sec. 1002. Incorporation of classified annex.
    Sec. 1003. Authority for obligation of certain unauthorized fiscal year
    1996 defense appropriations.
    Sec. 1004. Authorization of prior emergency supplemental appropriations
    for fiscal year 1996.
    Sec. 1005. Format for budget requests for Navy/Marine Corps and Air
    Force ammunition accounts.
    Sec. 1006. Format for annual budget requests for Defense Airborne
    Reconnaissance Program.
    Sec. 1007. Limitation on use of Department of Defense funds transferred
    to the Coast Guard.
    Sec. 1008. Fisher House Trust Fund for the Department of the Navy.
    Sec. 1009. Designation and liability of disbursing and certifying
    officials for the Coast Guard.
    Sec. 1010. Authority to suspend or terminate collection actions against
    deceased members of the Coast Guard.
    Sec. 1011. Department of Defense disbursing official check cashing and
    exchange transactions.

                     Subtitle B--Naval Vessels and Shipyards

    Sec. 1021. Repeal of requirement for continuous applicability of
    contracts for phased maintenance of AE class ships.
    Sec. 1022. Funding for second and third maritime prepositioning ships
    out of National Defense Sealift Fund.
    Sec. 1023. Transfer of certain obsolete tugboats of the Navy.
    Sec. 1024. Transfer of U.S.S. Drum to city of Vallejo, California.
    Sec. 1025. Sense of Congress concerning USS LCS 102 (LSSL 102).

                       Subtitle C--Counter-Drug Activities

    Sec. 1031. Authority to provide additional support for counter-drug
    activities of Mexico.
    Sec. 1032. Availability of funds for certain drug interdiction and
    counter-drug activities.
    Sec. 1033. Transfer of excess personal property to support law
    enforcement activities.
    Sec. 1034. Sale by Federal departments or agencies of chemicals used to
    manufacture controlled substances.

                         Subtitle D--Reports and Studies

    Sec. 1041. Annual report on Operation Provide Comfort and Operation
    Enhanced Southern Watch.
    Sec. 1042. Annual report on emerging operational concepts.
    Sec. 1043. Report on Department of Defense military child care programs.
    Sec. 1044. Report on Department of Defense military youth programs.
    Sec. 1045. Quarterly reports regarding coproduction agreements.
    Sec. 1046. Report on witness interview procedures for Department of
    Defense criminal investigations.
    Sec. 1047. Report on military readiness requirements of the Armed
    Forces.
    Sec. 1048. Report on NATO enlargement.

             Subtitle E--Management of Armed Forces Retirement Home

    Sec. 1051. Retirement Home Boards of Directors.
    Sec. 1052. Acceptance of uncompensated services.
    Sec. 1053. Disposal of tract of real property in the District of
    Columbia.

                            Subtitle F--Other Matters

    Sec. 1061. Policy on protection of national information infrastructure
    against strategic attack.
    Sec. 1062. Information systems security program.
    Sec. 1063. Authority to accept services from foreign governments and
    international organizations for defense purposes.
    Sec. 1064. Prohibition on collection and release of detailed satellite
    imagery relating to Israel.
    Sec. 1065. George C. Marshall European Center for Strategic Security
    Studies.
    Sec. 1066. Authority to award to civilian participants in the defense of
    Pearl Harbor the Congressional Medal previously authorized only for
    military participants in the defense of Pearl Harbor.
    Sec. 1067. Assimilative crimes authority for traffic offenses on
    military installations.
    Sec. 1068. Uniform Code of Military Justice amendments.
    Sec. 1069. Punishment of interstate stalking.
    Sec. 1070. Participation of members, dependents, and other persons in
    crime prevention efforts at installations.
    Sec. 1071. Display of State flags at installations and facilities of the
    Department of Defense.
    Sec. 1072. Treatment of excess operational support airlift aircraft.
    Sec. 1073. Correction to statutory references to certain Department of
    Defense organizations.
    Sec. 1074. Technical and clerical amendments.
    Sec. 1075. Modification to third-party liability to United States for
    tortious infliction of injury or disease on members of the uniformed
    services.
    Sec. 1076. Chemical Stockpile Emergency Preparedness Program.
    Sec. 1077. Exemption from requirements applicable to savings
    associations for certain savings institutions serving military
    personnel.
    Sec. 1078. Improvements to National Security Education Program.
    Sec. 1079. Aviation and vessel war risk insurance.
    Sec. 1080. Designation of memorial as National D-Day Memorial.
    Sec. 1081. Sense of Congress regarding semiconductor trade agreement
    between United States and Japan.
    Sec. 1082. Agreements for exchange of defense personnel between the
    United States and foreign countries.
    Sec. 1083. Sense of Senate regarding Bosnia and Herzegovina.
    Sec. 1084. Defense burdensharing.

                         Subtitle A--Financial Matters

    SEC. 1001. TRANSFER AUTHORITY.

        (a) Authority To Transfer Authorizations.--(1) Upon determination
    by the Secretary of Defense that such action is necessary in the
    national interest, the Secretary may transfer amounts of authorizations
    made available to the Department of Defense in this division for fiscal
    year 1997 between any such authorizations for that fiscal year (or any
    subdivisions thereof). Amounts of authorizations so transferred shall
    be merged with and be available for the same purposes as the
    authorization to which transferred.
        (2) The total amount of authorizations that the Secretary of
    Defense may transfer under the authority of this section may not exceed
    $2,000,000,000.
        (b) Limitations.--The authority provided by this section to
    transfer authorizations--
            (1) may only be used to provide authority for items that have a
        higher priority than the items from which authority is transferred;
        and
            (2) may not be used to provide authority for an item that has
        been denied authorization by Congress.
        (c) Effect on Authorization Amounts.--A transfer made from one
    account to another under the authority of this section shall be deemed
    to increase the amount authorized for the account to which the amount
    is transferred by an amount equal to the amount transferred.
        (d) Notice to Congress.--The Secretary shall promptly notify
    Congress of each transfer made under subsection (a).

    SEC. 1002. INCORPORATION OF CLASSIFIED ANNEX.

        (a) Status of Classified Annex.--The Classified Annex prepared by
    the committee of conference to accompany the conference report on the
    bill H.R. 3230 of the One Hundred Fourth Congress and transmitted to
    the President is hereby incorporated into this Act.
        (b) Construction With Other Provisions of Act.--The amounts
    specified in the Classified Annex are not in addition to amounts
    authorized to be appropriated by other provisions of this Act.
        (c) Limitation on Use of Funds.--Funds appropriated pursuant to an
    authorization contained in this Act that are made available for a
    program, project, or activity referred to in the Classified Annex may
    only be expended for such program, project, or activity in accordance
    with such terms, conditions, limitations, restrictions, and
    requirements as are set out for that program, project, or activity in
    the Classified Annex.
        (d) Distribution of Classified Annex.--The President shall provide
    for appropriate distribution of the Classified Annex, or of appropriate
    portions of the annex, within the executive branch of the Government.
    SEC. 1003. AUTHORITY FOR OBLIGATION OF CERTAIN UNAUTHORIZED FISCAL YEAR
    1996 DEFENSE APPROPRIATIONS.
        (a) Authority.--The amounts described in subsection (b) may be
    obligated and expended for programs, projects, and activities of the
    Department of Defense in accordance with fiscal year 1996 defense
    appropriations.
        (b) Covered Amounts.--The amounts referred to in subsection (a) are
    the amounts provided for programs, projects, and activities of the
    Department of Defense in fiscal year 1996 defense appropriations that
    are in excess of the amounts provided for such programs, projects, and
    activities in fiscal year 1996 defense authorizations.
        (c) Definitions.--For the purposes of this section:
            (1) Fiscal year 1996 defense appropriations.--The term ``fiscal
        year 1996 defense appropriations'' means amounts appropriated or
        otherwise made available to the Department of Defense for fiscal
        year 1996 in the Department of Defense Appropriations Act, 1996
        (Public Law 104-61).
            (2) Fiscal year 1996 defense authorizations.--The term ``fiscal
        year 1996 defense authorizations'' means amounts authorized to be
        appropriated for the Department of Defense for fiscal year 1996 in
        the National Defense Authorization Act for Fiscal Year 1996 (Public
        Law 104-106).
    SEC. 1004. AUTHORIZATION OF PRIOR EMERGENCY SUPPLEMENTAL APPROPRIATIONS
    FOR FISCAL YEAR 1996.
        Amounts authorized to be appropriated to the Department of Defense
    for fiscal year 1996 in the National Defense Authorization Act for
    Fiscal Year 1996 (Public Law 104-106) are hereby adjusted, with respect
    to any such authorized amount, by the amount by which appropriations
    pursuant to such authorization were increased (by a supplemental
    appropriation) or decreased (by a rescission), or both, in the Omnibus
    Consolidated Rescissions and Appropriations Act of 1996 (Public Law
    104-134).
    SEC. 1005. FORMAT FOR BUDGET REQUESTS FOR NAVY/MARINE CORPS AND AIR
    FORCE AMMUNITION ACCOUNTS.
        Section 114 of title 10, United States Code, is amended by adding
    at the end the following new subsection:
        ``(f) In each budget submitted by the President to Congress under
    section 1105 of title 31, amounts requested for procurement of
    ammunition for the Navy and Marine Corps, and for procurement of
    ammunition for the Air Force, shall be set forth separately from other
    amounts requested for procurement.''.
    SEC. 1006. FORMAT FOR ANNUAL BUDGET REQUESTS FOR DEFENSE AIRBORNE
    RECONNAISSANCE PROGRAM.
        (a) Separate Display Required.--The Secretary of Defense shall
    ensure that in the budget justification documents for any fiscal year
    there are set forth separately the amount requested for research,
    development, test, and evaluation, and the amount requested for
    procurement, for each program area within the Defense Airborne
    Reconnaissance Program.
        (b) Program Areas Within Defense Airborne Reconnaissance Program.--
    For purposes of subsection (a), the programs of the Defense Airborne
    Reconnaissance Program shall be categorized as being within one of the
    following areas:
            (1) Tactical unmanned aerial vehicles.
            (2) Endurance unmanned aerial vehicles.
            (3) Airborne reconnaissance systems.
            (4) Manned reconnaissance systems.
            (5) Distributed common ground systems.
            (6) Any additional program area established by the Secretary of
        Defense.
        (c) Budget Justification Documents.--For purposes of subsection
    (a), the term ``budget justification documents'' means the supporting
    budget documentation submitted to the congressional defense committees
    in support of the budget of the Department of Defense for a fiscal year
    as included in the budget of the President submitted under section 1105
    of title 31, United States Code, for that fiscal year.
    SEC. 1007. LIMITATION ON USE OF DEPARTMENT OF DEFENSE FUNDS TRANSFERRED
    TO THE COAST GUARD.
        (a) Limitation to National Security Functions.--Funds appropriated
    to the Department of Defense for fiscal year 1997 that are transferred
    pursuant to law to the Coast Guard may be used only for the performance
    of national security functions of the Coast Guard in support of the
    Department of Defense.
        (b) Certification Required.--Funds appropriated to the Department
    of Defense for fiscal year 1997 may not be transferred to the Coast
    Guard until the Secretary of Defense and the Secretary of
    Transportation jointly certify to Congress that the funds so
    transferred will be used only in accordance with the limitation in
    subsection (a).
        (c) Periodic GAO Audits.--The Comptroller General of the United
    States shall--
            (1) audit, from time to time, the use of funds transferred to
        the Coast Guard from appropriations for the Department of Defense
        for fiscal year 1997 in order to verify that those funds are being
        used in accordance with the limitation in subsection (a); and
            (2) notify the congressional defense committees of any use of
        those funds that, in the judgment of the Comptroller General, is a
        violation of that limitation.
    SEC. 1008. FISHER HOUSE TRUST FUND FOR THE DEPARTMENT OF THE NAVY.
        (a) Authority.--Section 2221 of title 10, United States Code, is
    amended--
            (1) by adding at the end of subsection (a) the following:
            ``(3) The Fisher House Trust Fund, Department of the Navy.'';
            (2) in subsection (c)--
                (A) by redesignating paragraph (3) as paragraph (4); and
                (B) by inserting after paragraph (2) the following new
            paragraph (3):
        ``(3) Amounts in the Fisher House Trust Fund, Department of the
    Navy, that are attributable to earnings or gains realized from
    investments shall be available for the operation and maintenance of
    Fisher houses that are located in proximity to medical treatment
    facilities of the Navy.''; and
            (3) in subsection (d)(1), by striking out ``or the Air Force''
        and inserting in lieu thereof ``, the Air Force, or the Navy''.
        (b) Corpus of Trust Funds.--The Secretary of the Navy shall
    transfer to the Fisher House Trust Fund, Department of the Navy,
    established by section 2221(a)(3) of title 10, United States Code (as
    added by subsection (a)(1)), all amounts in the accounts for Navy
    installations and other facilities that, as of the date of the
    enactment of this Act, are available for operation and maintenance of
    Fisher houses, as defined in section 2221(d) of such title.
        (c) Conforming Amendments.--Section 1321 of title 31, United States
    Code, is amended--
            (1) by adding at the end of subsection (a) the following:
            ``(94) Fisher House Trust Fund, Department of the Navy.''; and
            (2) by adding at the end of subsection (b)(2) the following:
            ``(D) Fisher House Trust Fund, Department of the Navy.''.
    SEC. 1009. DESIGNATION AND LIABILITY OF DISBURSING AND CERTIFYING
    OFFICIALS FOR THE COAST GUARD.
        (a) Disbursing Officials.--(1) Section 3321(c) of title 31, United
    States Code, is amended by adding at the end the following:
            ``(3) The Department of Transportation (with respect to public
        money available for expenditure by the Coast Guard when it is not
        operating as a service in the Navy).''.
        (2)(A) Chapter 17 of title 14, United States Code, is amended by
    adding at the end the following new section:
    ``Sec. 673. Designation, powers, and accountability of deputy
        disbursing officials
        ``(a)(1) Subject to paragraph (3), a disbursing official of the
    Coast Guard may designate a deputy disbursing official--
            ``(A) to make payments as the agent of the disbursing official;
            ``(B) to sign checks drawn on disbursing accounts of the
        Secretary of the Treasury; and
            ``(C) to carry out other duties required under law.
        ``(2) The penalties for misconduct that apply to a disbursing
    official apply to a deputy disbursing official designated under this
    subsection.
        ``(3) A disbursing official may make a designation under paragraph
    (1) only with the approval of the Secretary of Transportation (when the
    Coast Guard is not operating as a service in the Navy).
        ``(b)(1) If a disbursing official of the Coast Guard dies, becomes
    disabled, or is separated from office, a deputy disbursing official may
    continue the accounts and payments in the name of the former disbursing
    official until the last day of the second month after the month in
    which the death, disability, or separation occurs. The accounts and
    payments shall be allowed, audited, and settled as provided by law. The
    Secretary of the Treasury shall honor checks signed in the name of the
    former disbursing official in the same way as if the former disbursing
    official had continued in office.
        ``(2) The deputy disbursing official, and not the former disbursing
    official or the estate of the former disbursing official, is liable for
    the actions of the deputy disbursing official under this subsection.
        ``(c)(1) Except as provided in paragraph (2), this section does not
    apply to the Coast Guard when section 2773 of title 10 applies to the
    Coast Guard by reason of the operation of the Coast Guard as a service
    in the Navy.
        ``(2) A designation of a deputy disbursing official under
    subsection (a) that is made while the Coast Guard is not operating as a
    service in the Navy continues in effect for purposes of section 2773 of
    title 10 while the Coast Guard operates as a service in the Navy unless
    and until the designation is terminated by the disbursing official who
    made the designation or an official authorized to approve such a
    designation under subsection (a)(3) of such section.''.
        (B) The table of sections at the beginning of such chapter is
    amended by adding at the end the following new item:
    ``673. Designation, powers, and accountability of deputy disbursing
              officials.''.

        (b) Designation of Members of the Armed Forces To Have Authority To
    Certify Vouchers.--Section 3325(b) of title 31, United States Code, is
    amended by striking out ``members of the armed forces under the
    jurisdiction of the Secretary of Defense may certify vouchers when
    authorized, in writing, by the Secretary to do so'' and inserting in
    lieu thereof ``members of the armed forces may certify vouchers when
    authorized, in writing, by the Secretary of Defense or, in the case of
    the Coast Guard when it is not operating as a service in the Navy, by
    the Secretary of Transportation''.
        (c) Conforming Amendments.--(1) Section 1007(a) of title 37, United
    States Code, is amended by inserting after ``Secretary of Defense'' the
    following: ``(or the Secretary of Transportation, in the case of an
    officer of the Coast Guard when the Coast Guard is not operating as a
    service in the Navy)''.
        (2) Section 3527(b)(1) of title 31, United States Code, is
    amended--
            (A) in subparagraph (A)(i), by inserting after ``Department of
        Defense'' the following: ``(or the Secretary of Transportation, in
        the case of a disbursing official of the Coast Guard when the Coast
        Guard is not operating as a service in the Navy)''; and
            (B) in subparagraph (B), by inserting after ``or the Secretary
        of the appropriate military department'' the following: ``(or the
        Secretary of Transportation, in the case of a disbursing official
        of the Coast Guard when the Coast Guard is not operating as a
        service in the Navy)''.
    SEC. 1010. AUTHORITY TO SUSPEND OR TERMINATE COLLECTION ACTIONS AGAINST
    DECEASED MEMBERS OF THE COAST GUARD.
        Section 3711(g) of title 31, United States Code, is amended--
            (1) in paragraph (1), by striking out ``or Marine Corps'' and
        inserting in lieu thereof ``Marine Corps, or Coast Guard during a
        period when the Coast Guard is operating as a service in the
        Navy'';
            (2) by redesignating paragraph (2) as paragraph (3); and
            (3) by inserting after paragraph (1) the following new
        paragraph (2):
        ``(2) The Secretary of Transportation may suspend or terminate an
    action by the Secretary under subsection (a) to collect a claim against
    the estate of a person who died while serving on active duty as a
    member of the Coast Guard if the Secretary determines that, under the
    circumstances applicable with respect to the deceased person, it is
    appropriate to do so.''.
    SEC. 1011. DEPARTMENT OF DEFENSE DISBURSING OFFICIAL CHECK CASHING AND
    EXCHANGE TRANSACTIONS.
        Section 3342(b) of title 31, United States Code, is amended--
            (1) by striking out the period at the end of paragraph (3) and
        inserting in lieu thereof a semicolon;
            (2) by striking out ``and'' at the end of paragraph (5);
            (3) by striking out the period at the end of paragraph (6) and
        inserting in lieu thereof ``; or''; and
            (4) by adding at the end the following new paragraph:
            ``(7) a Federal credit union (as defined in section 101(1) of
        the Federal Credit Union Act (12 U.S.C. 1752(1)) that at the
        request of the Secretary of Defense is operating on a United States
        military installation in a foreign country, but only if that
        country does not permit contractor-operated military banking
        facilities to operate on such installations.''.

                    Subtitle B--Naval Vessels and Shipyards

    SEC. 1021. REPEAL OF REQUIREMENT FOR CONTINUOUS APPLICABILITY OF
    CONTRACTS FOR PHASED MAINTENANCE OF AE CLASS SHIPS.
        Section 1016 of the National Defense Authorization Act for Fiscal
    Year 1996 (Public Law 104-106; 110 Stat. 425) is repealed.
    SEC. 1022. FUNDING FOR SECOND AND THIRD MARITIME PREPOSITIONING SHIPS
    OUT OF NATIONAL DEFENSE SEALIFT FUND.
        (a) National Defense Sealift Fund.--To the extent provided in
    appropriations Acts, funds in the National Defense Sealift Fund may be
    obligated and expended for the purchase and conversion, or
    construction, of a total of three ships for the purpose of enhancing
    Marine Corps prepositioning ship squadrons.
        (b) Authorization of Appropriations.--Of the amount authorized to
    be appropriated under section 302(2), $240,000,000 is authorized to be
    appropriated for the purpose stated in subsection (a).

    SEC. 1023. TRANSFER OF CERTAIN OBSOLETE TUGBOATS OF THE NAVY.

        (a) Requirement To Transfer Vessels.--The Secretary of the Navy
    shall transfer the six obsolete tugboats of the Navy specified in
    subsection (b) to the Northeast Wisconsin Railroad Transportation
    Commission, an instrumentality of the State of Wisconsin, if the
    Secretary determines that the tugboats are not needed for transfer,
    donation, or other disposal under title II of the Federal Property and
    Administrative Services Act of 1949 (40 U.S.C. 481 et seq.).
        (b) Vessels Covered.--The requirement in subsection (a) applies to
    the six decommissioned Cherokee class tugboats, listed as of the date
    of the enactment of this Act as being surplus to the Navy, that are
    designatedas ATF-105, ATF-110, ATF-149, ATF-158, ATF-159, and ATF-160.
        (c) Condition Relating to Environmental Compliance.--The Secretary
    shall require as a condition of the transfer of a vessel under
    subsection (a) that use of the vessel by the Commission not commence
    until the terms of any necessary environmental compliance letter or
    agreement with respect to that vessel have been complied with.
        (d) Additional Terms and Conditions.--The Secretary may require
    such additional terms and conditions (including a requirement that the
    transfer be at no cost to the Government) in connection with the
    transfers required by subsection (a) as the Secretary considers
    appropriate.
    SEC. 1024. TRANSFER OF U.S.S. DRUM TO CITY OF VALLEJO, CALIFORNIA.
        (a) Transfer.--The Secretary of the Navy shall transfer the U.S.S.
    Drum (SSN-677) to the city of Vallejo, California, in accordance with
    this section and upon satisfactory completion of a ship donation
    application. Before making such transfer, the Secretary of the Navy
    shall remove from the vessel the reactor compartment and other
    classified and sensitive military equipment.
        (b) Funding.--As provided in section 7306(c) of title 10, United
    States Code, the transfer of the vessel authorized by this section
    shall be made at no cost to the United States (beyond the cost which
    the United States would otherwise incur for dismantling and recycling
    of the vessel).
        (c) Applicable Law.--The transfer under this section shall be
    subject to subsection (b) of section 7306 of title 10, United States
    Code, but the provisions of subsection (d) of such section shall not be
    applicable to such transfer.

    SEC. 1025. SENSE OF CONGRESS CONCERNING USS LCS 102 (LSSL 102).

        It is the sense of Congress that the Secretary of Defense should
    use existing authorities in law to seek the expeditious return, upon
    completion of service, of the former USS LCS102 (LSSL 102) from the
    Government of Thailand in order for the ship to be transferred to the
    United States Shipbuilding Museum in Quincy, Massachusetts.

                      Subtitle C--Counter-Drug Activities

    SEC. 1031. AUTHORITY TO PROVIDE ADDITIONAL SUPPORT FOR COUNTER-DRUG
    ACTIVITIES OF MEXICO.
        (a) Authority To Provide Additional Support.--Subject to subsection
    (e), during fiscal year 1997, the Secretary of Defense may provide the
    Government of Mexico with the support described in subsection (b) for
    the counter-drug activities of the Government of Mexico. The support
    provided under the authority of this subsection shall be in addition to
    support provided to the Government of Mexico under any other provision
    of law.
        (b) Types of Support.--The authority under subsection (a) is
    limited to the provision of the following types of support:
            (1) The transfer of nonlethal protective and utility per-
        sonnel equipment.
            (2) The transfer of the following nonlethal specialized
        equipment:
                (A) Navigation equipment.
                (B) Secure and nonsecure communications equipment.
                (C) Photo equipment.
                (D) Radar equipment.
                (E) Night vision systems.
                (F) Repair equipment and parts for equipment referred to in
            subparagraphs (A), (B), (C), (D), and (E).
            (3) The transfer of nonlethal components, accessories,
        attachments, parts (including ground support equipment), firmware,
        and software for aircraft or patrol boats, and related repair
        equipment.
            (4) The maintenance and repair of equipment of the Government
        of Mexico that is used for counter-drug activities.
        (c) Applicability of Other Support Authorities.--Except as
    otherwise provided in this section, the provisions of section 1004 of
    the National Defense Authorization Act for Fiscal Year 1991 (Public Law
    101-510; 10 U.S.C. 374 note) shall apply to the provision of support
    under this section.
        (d) Funding.--Of the amount authorized to be appropriated under
    section 301(19) for drug interdiction and counter-drug activities, not
    more than $8,000,000 shall be available for the provision of support
    under this section.
        (e) Limitations.--(1) The Secretary may not obligate or expend
    funds to provide support under this section until 15 days after the
    date on which the Secretary submits to the committees referred to in
    paragraph (3) the certification described in paragraph (2).
        (2) The certification referred to in paragraph (1) is a written
    certification of the following:
            (A) That the provision of support under this section will not
        adversely affect the military preparedness of the United States
        Armed Forces.
            (B) That the equipment and materiel provided as support will be
        used only by officials and employees of the Government of Mexico
        who have undergone a background check by that government.
            (C) That the Government of Mexico has certified to the
        Secretary that--
                (i) the equipment and material provided as support will be
            used only by the officials and employees referred to in
            subparagraph (B);
                (ii) none of the equipment or materiel will be transferred
            (by sale, gift, or otherwise) to any person or entity not
            authorized by the United States to receive the equipment or
            materiel; and
                (iii) the equipment and materiel will be used only for the
            purposes intended by the United States Government.
            (D) That the Government of Mexico has implemented, to the
        satisfaction of the Secretary, a system that will provide an
        accounting and inventory of the equipment and materiel provided as
        support.
            (E) That the departments, agencies, and instrumentalities of
        the Government of Mexico will grant United States Government
        personnel access to any of the equipment or materiel provided as
        support, or to any of the records relating to such equipment or
        materiel, under terms and conditions similar to the terms and
        conditions imposed with respect to such access under section
        505(a)(3) of the Foreign Assistance Act of 1961 (22 U.S.C.
        2314(a)(3)).
            (F) That the Government of Mexico will provide security with
        respect to the equipment and materiel provided as support that is
        substantially the same degree of security that the United States
        Government would provide with respect to such equipment and
        materiel.
            (G) That the Government of Mexico will permit continuous
        observation and review by United States Government personnel of the
        use of the equipment and materiel provided as support under terms
        and conditions similar to the terms and conditions imposed with
        respect to such observation and review under section 505(a)(3) of
        the Foreign Assistance Act of 1961 (22 U.S.C. 2314(a)(3)).
        (3) The committees referred to in this paragraph are the following:
            (A) The Committee on Armed Services and the Committee on
        Foreign Relations of the Senate.
            (B) The Committee on National Security and the Committee on
        International Relations of the House of Representatives.
    SEC. 1032. AVAILABILITY OF FUNDS FOR CERTAIN DRUG INTERDICTION AND
    COUNTER-DRUG ACTIVITIES.
        (a) P-3B Aircraft.--Of the funds authorized to be appropriated
    under section 301(19) for drug interdiction and counter-drug
    activities, not more than $98,000,000 may be used for the purpose of
    procuring or modifying two P-3B aircraft for use by departments and
    agencies of the United Statesoutside the Department of Defense for drug
    interdiction and counter-drug activities. However, funds may not be
    obligated for such purpose until the Secretary of Defense submits to
    the congressional defense committees a certification that the
    procurement or modification of such aircraft and the use of such
    aircraft by other departments or agencies of the United States will
    significantly reduce the level of support that would otherwise be
    required of E-3 AWACS aircraft as part of the drug interdiction and
    counter-drug mission of the Department of Defense.
        (b) Nonintrusive Inspection Devices.--Of the funds authorized to be
    appropriated under section 301(19) for drug interdiction and counter-
    drug activities, not more than $10,000,000 may be used to procure three
    nonintrusive inspection devices for use by departments and agencies of
    the United States outside the Department of Defense for drug
    interdiction and counter-drug activities.
        (c) Authority To Transfer Equipment.--The Secretary of Defense may
    transfer to the head of any department or agency of the United States
    outside the Department of Defense any equipment procured or modified
    under this section with funds referred to in this section.
    SEC. 1033. TRANSFER OF EXCESS PERSONAL PROPERTY TO SUPPORT LAW
    ENFORCEMENT ACTIVITIES.
        (a) Transfer Authority.--(1) Chapter 153 of title 10, United States
    Code, is amended by inserting after section 2576 the following new
    section:
    ``Sec. 2576a. Excess personal property: sale or donation for law
          enforcement activities
        ``(a) Transfer Authorized.--(1) Notwithstanding any other provision
    of law and subject to subsection (b), the Secretary of Defense may
    transfer to Federal and State agencies personal property of the
    Department of Defense, including small arms and ammunition, that the
    Secretary determines is--
            ``(A) suitable for use by the agencies in law enforcement
        activities, including counter-drug and counter-terrorism
        activities; and
            ``(B) excess to the needs of the Department of Defense.
        ``(2) The Secretary shall carry out this section in consultation
    with the Attorney General and the Director of National Drug Control
    Policy.
        ``(b) Conditions for Transfer.--The Secretary of Defense may
    transfer personal property under this section only if--
            ``(1) the property is drawn from existing stocks of the
        Department of Defense;
            ``(2) the recipient accepts the property on an as-is, where-is
        basis;
            ``(3) the transfer is made without the expenditure of any funds
        available to the Department of Defense for the procurement of
        defense equipment; and
            ``(4) all costs incurred subsequent to the transfer of the
        property are borne or reimbursed by the recipient.
        ``(c) Consideration.--Subject to subsection (b)(4), the Secretary
    may transfer personal property under this section without charge to the
    recipient agency.
        ``(d) Preference for Certain Transfers.--In considering
    applications for the transfer of personal property under this section,
    the Secretary shall give a preference to those applications indicating
    that the transferred property will be used in the counter-drug or
    counter-terrorism activities of the recipient agency.''.
        (2) The table of sections at the beginning of such chapter is
    amended by inserting after the item relating to section 2576 the
    following new item:
    ``2576a. Excess personal property: sale or donation for law enforcement
              activities.''.

        (b) Conforming Amendments.--(1) Section 1208 of the National
    Defense Authorization Act for Fiscal Years 1990 and 1991 (Public Law
    101-189; 10 U.S.C. 372 note) is repealed.
        (2) Section 1005 of the National Defense Authorization Act for
    Fiscal Year 1991 (Public Law 101-510; 104 Stat. 1630) is amended by
    striking out ``section 1208 of the National Defense Authorization Act
    for Fiscal Years 1990 and 1991 (10 U.S.C. 372 note) and section 372''
    and inserting in lieu thereof ``sections 372 and 2576a''.
    SEC. 1034. SALE BY FEDERAL DEPARTMENTS OR AGENCIES OF CHEMICALS USED TO
    MANUFACTURE CONTROLLED SUBSTANCES.
        (a) DEA Certification.--The Controlled Substances Act is amended by
    inserting after section 519 (21 U.S.C. 889) the following new section:
    ``SEC. 520. REVIEW OF FEDERAL SALES OF CHEMICALS USABLE TO MANUFACTURE
    CONTROLLED SUBSTANCES.
        ``A Federal department or agency may not sell from the stocks of
    the department or agency any chemical which, as determined by the
    Administrator of the Drug Enforcement Administration, could be used in
    the manufacture of a controlled substance unless the Administrator
    certifies in writing to the head of the department or agency that there
    is no reasonable cause to believe that the sale of the chemical would
    result in the illegal manufacture of a controlled substance.''.
        (b) Clerical Amendment.--The table of contents of the Comprehensive
    Drug Abuse Prevention and Control Act of 1970 (84 Stat. 1236) is
    amended by inserting after the item relating to section 519 the
    following new item:
    ``Sec. 520. Review of Federal sales of chemicals usable to manufacture
              controlled substances.''.

                        Subtitle D--Reports and Studies

    SEC. 1041. ANNUAL REPORT ON OPERATION PROVIDE COMFORT AND OPERATION
    ENHANCED SOUTHERN WATCH.
        (a) Annual Report.--Not later than March 1 of each year, the
    Secretary of Defense shall submit to Congress a report on Operation
    Provide Comfort and Operation Enhanced Southern Watch.
        (b) Matters Relating to Operation Provide Comfort.--Each report
    under subsection (a) shall include, with respect to Operation Provide
    Comfort, the following:
            (1) A detailed presentation of the projected costs to be
        incurred by the Department of Defense for that operation during the
        fiscal year in which the report is submitted and projected for the
        following fiscal year, together with a discussion of missions and
        functions expected to be performed by the Department as part of
        that operation during each of those fiscal years.
            (2) A detailed presentation of the projected costs to be
        incurred by other departments and agencies of the Federal
        Government participating in or providing support to that operation
        during each of those fiscal years.
            (3) A discussion of options being pursued to reduce the
        involvement of the Department of Defense in those aspects of that
        operation that are not directly related to the military mission of
        the Department of Defense.
            (4) A discussion of the exit strategy for United States
        involvement in, and support for, that operation.
            (5) A description of alternative approaches to accomplishing
        the mission of that operation that are designed to limit the scope
        and cost to the Department of Defense of accomplishing that mission
        while maintaining mission success.
            (6) The contributions (both in-kind and actual) by other
        nations to the costs of conducting that operation.
            (7) A detailed presentation of significant Iraqi military
        activity (including specific violations of the no-fly zone)
        determined to jeopardize the security of the Kurdish population in
        northern Iraq.
        (c) Matters Relating to Operation Enhanced Southern Watch.--Each
    report under subsection (a) shall include, with respect to Operation
    Enhanced Southern Watch, the following:
            (1) The expected duration and annual costs of the various
        elements of that operation.
            (2) The political and military objectives associated with that
        operation.
            (3) The contributions (both in-kind and actual) by other
        nations to the costs of conducting that operation.
            (4) A description of alternative approaches to accomplishing
        the mission of that operation that are designed to limit the scope
        and cost of accomplishing that mission while maintaining mission
        success.
            (5) A comprehensive discussion of the political and military
        objectives and initiatives that the Department of Defense has
        pursued, and intends to pursue, in order to reduce United States
        involvement in that operation.
            (6) A detailed presentation of significant Iraqi military
        activity (including specific violations of the no-fly zone)
        determined to jeopardize the security of the Shiite population by
        air attack in southern Iraq or to jeopardize the security of
        Kuwait.
        (d) Termination of Report Requirement.--The requirement under
    subsection (a) shall cease to apply with respect to an operation named
    in that subsection upon the termination of United States involvement in
    that operation.
        (e) Definitions.--For purposes of this section:
            (1) Operation enhanced southern watch.--The term ``Operation
        Enhanced Southern Watch'' means the operation of the Department of
        Defense that as of October 30, 1995, is designated as Operation
        Enhanced Southern Watch.
            (2) Operation provide comfort.--The term ``Operation Provide
        Comfort'' means the operation of the Department of Defense that as
        of October 30, 1995, is designated as Operation Provide Comfort.

    SEC. 1042. ANNUAL REPORT ON EMERGING OPERATIONAL CONCEPTS.

        (a) Report Required.--Not later than March 1 of each year through
    2000, the Secretary of Defense shall submit to the Committee on Armed
    Services of the Senate and the Committee on National Security of the
    House of Representatives a report on emerging operational concepts.
    Each such report shall be prepared by the Secretary in consultation
    with the Chairman of the Joint Chiefs of Staff.
        (b) Matters To Be Included.--Each such report shall contain a
    description, for the year preceding the year in which the report is
    submitted, of the following:
            (1) The process undertaken in the Department of Defense, and in
        each of the Army, Navy, Air Force, and Marine Corps, to define and
        develop doctrine, operational concepts, organizational concepts,
        and acquisition strategies to address--
                (A) the potential of emerging technologies for
            significantly improving the operational effectiveness of the
            Armed Forces;
                (B) changes in the international order that may necessitate
            changes in the operational capabilities of the Armed Forces;
                (C) emerging capabilities of potential adversary states;
            and
                (D) changes in defense budget projections.
            (2) The manner in which the processes described in paragraph
        (1) are harmonized to ensure that there is a sufficient
        consideration of the development of joint doctrine, operational
        concepts, and acquisition strategies.
            (3) The manner in which the processes described in paragraph
        (1) are coordinated through the Joint Requirements Oversight
        Council and reflected in the planning, programming, and budgeting
        process of the Department of Defense.
    SEC. 1043. REPORT ON DEPARTMENT OF DEFENSE MILITARY CHILD CARE
    PROGRAMS.
        (a) Findings.--Congress makes the following findings:
            (1) The Department of Defense should be congratulated on the
        successful implementation of the Military Child Care Act of 1989
        (originally enacted as title XV of Public Law 101-189 and
        subsequently codified as subchapter II of chapter 88 of title 10,
        United States Code).
            (2) The actions taken by the Department as a result of that Act
        have dramatically improved the availability, affordability,
        quality, and consistency of the child-care services provided to
        members of the Armed Forces.
            (3) Child care is important to the readiness of members of the
        Armed Forces since single parents and couples in military service
        must have access to affordable child care of good quality if they
        are to perform their jobs and respond effectively to long work
        hours or deployments.
            (4) Child care is important to the retention of members of the
        Armed Forces in military service because the dissatisfaction of the
        families of such members with military life is a primary reason for
        the departure of such members from military service.
        (b) Sense of Congress Related to Military-Civilian Child-Care
    Partnership Programs.--It is the sense of Congress that--
            (1) the civilian and military child-care communities, Federal,
        State, and local agencies, and businesses and communities involved
        in the provision of child-care services could benefit from the
        development of partnerships to foster an exchange of ideas,
        information, and materials relating to their experiences with the
        provision of such services and to encourage closer relationships
        between military installations and the communities that support
        them;
            (2) such partnerships would be beneficial to all families by
        helping providers of child-care services exchange ideas about
        innovative ways to address barriers to the effective provision of
        such services; and
            (3) there are many ways that such partnerships could be
        developed, including--
                (A) cooperation between the directors and curriculum
            specialists of military child development centers and civilian
            child development centers in assisting such centers in the
            accreditation process;
                (B) use of family support staff to conduct parent and
            family workshops for new parents and parents with young
            children in family housing on military installations and in
            communities in the vicinity of such installations;
                (C) internships in Department of Defense child-care
            programs for civilian child-care providers to broaden the base
            of good-quality child-care services in communities in the
            vicinity of military installations; and
                (D) attendance by civilian child-care providers at
            Department child-care training classes on a space-available
            basis.
        (c) Report.--Not later than June 30, 1997, the Secretary of Defense
    shall submit to Congress a report on the status of any partnerships and
    other initiatives undertaken by the Department of Defense as described
    in subsection (b), including recommendations for additional ways to
    improve the child-care programs of the Department of Defense and to
    improve such programs so as to benefit civilian child-care providers in
    communities in the vicinity of military installations.
    SEC. 1044. REPORT ON DEPARTMENT OF DEFENSE MILITARY YOUTH PROGRAMS.
        (a) Findings.--Congress makes the following findings:
            (1) Programs of the Department of Defense for youth who are
        dependents of members of the Armed Forces have not received the
        same level of attention and resources as have child-care programs
        of the Department since the passage of the Military Child Care Act
        of 1989 (originally enacted as title XV of Public Law 101-189 and
        subsequently codified as subchapter II of chapter 88 of title 10,
        United States Code).
            (2) Older children deserve as much attention to their
        developmental needs as do younger children.
            (3) The Department has started to direct more attention to
        programs for youths who are dependents of members of the Armed
        Forces by providing funds for the implementation of 20 model
        community programs to address the needs of such youths.
            (4) The lessons learned from such programs could apply to
        civilian youth programs as well.
        (b) Sense of Congress Related to Military-Civilian Youth
    Partnership Programs.--It is the sense of Congress that--
            (1) the Department of Defense, Federal, State, and local
        agencies, and businesses and communities involved in conducting
        youth programs could benefit from the development of partnerships
        to foster an exchange of ideas, information, and materials relating
        to such programs and to encourage closer relationships between
        military installations and the communities that support them;
            (2) such partnerships could be beneficial to all families by
        helping the providers of services for youths exchange ideas about
        innovative ways to address barriers to the effective provision of
        such services; and
            (3) there are many ways that such partnerships could be
        developed, including--
                (A) cooperation between the Department and Federal and
            State educational agencies in exploring the use of public
            school facilities for child-care programs and youth programs
            that are mutually beneficial to the Department and civilian
            communities and complement programs of the Department carried
            out at its facilities; and
                (B) improving youth programs that enable adolescents to
            relate to new peer groups when families of members of the Armed
            Forces are relocated.
        (c) Report.--Not later than June 30, 1997, the Secretary of Defense
    shall submit to Congress a report on the status of any partnerships and
    other initiatives undertaken by the Department as described in
    subsection (b), including recommendations for additional ways to
    improve the youth programs of the Department of Defense and to improve
    such programs so as to benefit communities in the vicinity of military
    installations.
    SEC. 1045. QUARTERLY REPORTS REGARDING COPRODUCTION AGREEMENTS.
        (a) Quarterly Reports on Coproduction Agreements.--Section 36(a) of
    the Arms Export Control Act (22 U.S.C. 2776(a)) is amended--
            (1) by striking out ``and'' at the end of paragraph (10);
            (2) by striking out the period at the end of paragraph (11) and
        inserting in lieu thereof ``; and''; and
            (3) by inserting after paragraph (11) the following new
        paragraph:
            ``(12) a report on all concluded government-to-government
        agreements regarding foreign coproduction of defense articles of
        United States origin and all other concluded agreements involving
        coproduction or licensed production outside of the United States of
        defense articles of United States origin (including coproduction
        memoranda of understanding or agreement) that have not been
        previously reported under this subsection, which shall include--
                ``(A) the identity of the foreign countries, international
            organizations, or foreign firms involved;
                ``(B) a description and the estimated value of the articles
            authorized to be produced, and an estimate of the quantity of
            the articles authorized to be produced;
                ``(C) a description of any restrictions on third-party
            transfers of the foreign-manufactured articles; and
                ``(D) if any such agreement does not provide for United
            States access to and verification of quantities of articles
            produced overseas and their disposition in the foreign country,
            a description of alternative measures and controls incorporated
            in the coproduction or licensing program to ensure compliance
            with restrictions in the agreement on production quantities and
            third-party transfers.''.
        (b) Effective Date.--Paragraph (12) of section 36(a) of the Arms
    Export Control Act, as added by subsection (a)(3), does not apply with
    respect to an agreement described in such paragraph entered into before
    the date of the enactment of this Act.
    SEC. 1046. REPORT ON WITNESS INTERVIEW PROCEDURES FOR DEPARTMENT OF
    DEFENSE CRIMINAL INVESTIGATIONS.
        (a) Survey of Military Department Policies and Practices.--The
    Comptroller General of the United States shall conduct a survey of the
    policies and practices of the Naval Criminal Investigative Service with
    respect to the manner in which interviews of suspects and witnesses are
    conducted in connection with criminal investigations of allegations of
    contractor fraud. The purpose of the survey shall be to ascertain
    whether or not investigators and agents of the Naval Criminal
    Investigative Service conduct investigations of contractor fraud in
    accordance with generally accepted Federal law enforcement standards
    and applicable law.
        (b) Report.--Not later than 180 days after the date of the
    enactment of this Act, the Comptroller General shall submit to the
    Committee on National Security of the House of Representatives and the
    Committee on Armed Services of the Senate a report concerning the
    survey under subsection (a). The report shall specifically address the
    following:
            (1) The extent to which investigators of the Naval Criminal
        Investigative Service investigators and agents of the Naval
        Criminal Investigative Service conduct investigations of contractor
        fraud in accordance with generally accepted Federal law enforcement
        standards and applicable law.
            (2) The extent to which the interview policies established by
        Department of Defense directives or Navy regulations are adequate
        to instruct and guide investigators in the proper conduct of
        subject and witness interviews.
            (3) The desirability and feasibility of providing for video and
        audio recording of interviews and, if recording is desirable, the
        circumstances under which recordings should be made.
            (4) The desirability and feasibility of making such recordings
        or written transcriptions of interviews, or both, available on
        demand to the subject or witness interviewed.
            (5) The extent to which existing Department of Defense
        directives and Navy regulations address the carrying and display of
        weapons by agents, together with an assessment of whether any
        change in any such directive or regulation is necessary.
            (6) The extent to which existing Department of Defense
        directives and Navy regulations provide guidance to agents to
        ensure that the agents' conduct and demeanor is in accordance with
        generally accepted Federal law enforcement standards and applicable
        law.
            (7) Any recommendation for legislation to ensure that
        investigators and agents of the Naval Criminal Investigative
        Service use legal and proper tactics during interviews in
        connection with criminal investigations of allegations of
        contractor fraud.
    SEC. 1047. REPORT ON MILITARY READINESS REQUIREMENTS OF THE ARMED
    FORCES.
        (a) Report Required.--Not later than January 31, 1997, the
    Secretary of Defense shall submit to the Committee on Armed Services of
    the Senate and the Committee on National Security of the House of
    Representatives a report on the military readiness requirements of the
    active and reserve components of the Armed Forces, including specific
    combat units, combat support units, and combat service support units.
    Based on the assessment scenario described in subsection (c), the
    report shall assess such readiness requirements under a tiered
    readiness and response system that categorizes a given unit of the
    Armed Forces according to the likelihood that the unit will be required
    to respond to a military conflict and the time in which the unit will
    be required to respond.
        (b) Preparation of Report.--The Chairman of the Joint Chiefs of
    Staff, together with the other members of the Joint Chiefs of Staff
    specified in section 151(a) of title 10, United States Code, shall
    prepare the report required bysubsection (a). The Chairman of the Joint
    Chiefs of Staff shall consult with the Commander of the Special
    Operations Command in the preparation of the report.
        (c) Assessment Scenario.--The report shall assess readiness
    requirements in a scenario based on the following assumptions:
            (1) The conflict is in a generic theater of operations located
        anywhere in the world and does not exceed the notional limits for a
        major regional conflict.
            (2) The forces available for deployment include the forces
        described in the Bottom-Up Review force structure, including all
        planned force enhancements.
            (3) Assistance is not available from allies.
        (d) Assessment Elements.--The report shall identify by unit type
    and component, and assess the readiness requirements of, all active and
    reserve component units. Each such unit shall be categorized within one
    of the following classifications:
            (1) Forward-deployed and crisis response forces, or ``Tier I''
        forces, that possess limited internal sustainment capability and do
        not require immediate access to regional air bases or ports or
        overflight rights, including the following:
                (A) Force units that are routinely deployed forward at sea
            or on land outside the United States.
                (B) Combat-ready crises response forces that are capable of
            mobilizing and deploying within 10 days after receipt of
            orders.
                (C) Forces that are supported by prepositioning equipment
            afloat or are capable of being inserted into a theater upon the
            capture of a port or airfield by forcible entry forces.
            (2) Combat-ready follow-on forces, or ``Tier II'' forces, that
        can be mobilized and deployed to a theater within approximately 60
        days after receipt of orders.
            (3) Combat-ready conflict resolution forces, or ``Tier III''
        forces, that can be mobilized and deployed to a theater within
        approximately 180 days after receipt of orders.
            (4) All other active and reserve component force units which
        are not categorized within a classification described in paragraph
        (1), (2), or (3).
        (e) Additional Information Regarding Certain Units.--With regard to
    each unit that is not categorized within a classification described in
    paragraph (1), (2), or (3) of subsection (d), the report shall
    include--
            (1) a description of the mission and mobilization or deployment
        schedule (or both) of the unit in connection with the requirements
        of the assessment scenario and the combat readiness requirements of
        the Armed Forces; or
            (2) an identification of the unit as excess to the needs of the
        national military strategy and the reasons therefor.
        (f) Form of Report.--The report under this section shall be
    submitted in unclassified form but may contain a classified annex.

    SEC. 1048. REPORT ON NATO ENLARGEMENT.

        (a) Report.--Not later than February 1, 1997, the President shall
    transmit to the Committee on Armed Services and the Committee on
    Foreign Relations of the Senate and the Committee on National Security
    and the Committee on International Relations of the House of
    Representatives a report on the enlargement of the North Atlantic
    Treaty Organization. The report shall contain a comprehensive
    discussion of the following:
            (1) Geopolitical and financial costs and benefits, including
        financial savings, associated with--
                (A) enlargement of the North Atlantic Treaty Organization;
                (B) further delays in the process of enlargement of the
            North Atlantic Treaty Organization; and
                (C) a failure to enlarge the North Atlantic Treaty
            Organization.
            (2) Additional North Atlantic Treaty Organization and United
        States military expenditures requested by prospective members of
        the North Atlantic Treaty Organization to facilitate their
        admission into the North Atlantic Treaty Organization.
            (3) Modifications necessary in the military strategy of the
        North Atlantic Treaty Organization and force structure required by
        the inclusion of new members and steps necessary to integrate new
        members, including the role of nuclear and conventional
        capabilities, reinforcement, force deployments, prepositioning of
        equipment, mobility, and headquarter locations.
            (4) The relationship between enlargement of the North Atlantic
        Treaty Organization and transatlantic stability and security.
            (5) The state of military preparedness and interoperability of
        Central and Eastern European nations as it relates to the
        responsibilities of membership of the North Atlantic Treaty
        Organization and additional security costs or benefits that may
        accrue to the United States from enlargement of the North Atlantic
        Treaty Organization.
            (6) The state of democracy and free market development as it
        affects the preparedness of Central and Eastern European nations
        for the responsibilities of membership of the North Atlantic Treaty
        Organization, including civilian control of the military, the rule
        of law, human rights, and parliamentary oversight.
            (7) The state of relations between prospective members of the
        North Atlantic Treaty Organization and their neighbors, steps taken
        by prospective members to reduce tensions, and mechanisms for the
        peaceful resolution of border disputes.
            (8) The commitment of prospective members of the North Atlantic
        Treaty Organization to the principles of the North Atlantic Treaty
        and the security of the North Atlantic area.
            (9) The effect of enlargement of the North Atlantic Treaty
        Organization on the political, economic, and security conditions of
        European Partnership for Peace nations not among the first new
        members of the North Atlantic Treaty Organization.
            (10) The relationship between enlargement of the North Atlantic
        Treaty Organization and EU enlargement and the costs and benefits
        of both.
            (11) The relationship between enlargement of the North Atlantic
        Treaty Organization and treaties relevant to United States and
        European security, such as the Conventional Armed Forces in Europe
        Treaty.
            (12) The anticipated impact both of enlargement of the North
        Atlantic Treaty Organization and further delays of enlargement on
        Russian foreign and defense policies and the costs and benefits of
        a security relationship between the North Atlantic Treaty
        Organization and Russia.
        (b) Interpretation.--Nothing in this section shall be interpreted
    or construed to affect the implementation of the NATO Participation Act
    of 1994 (title II of Public Law 103-447; 22 U.S.C. 1928 note), or any
    other program or activity which facilitates or assists prospective
    members of the North Atlantic Treaty Organization.

             Subtitle E--Management of Armed Forces Retirement Home

    SEC. 1051. RETIREMENT HOME BOARDS OF DIRECTORS.

        (a) Additional Term of Office.--Subsection (e) of section 1515 of
    the Armed Forces Retirement Home Act of 1991 (24 U.S.C. 415) is amended
    by adding at the end the following new paragraph:
        ``(3) The Chairman of the Retirement Home Board may appoint a
    member of the Retirement Home Board for a second consecutive term. The
    Chairman of a Local Board may appoint a member of that Local Board for
    a second consecutive term.''.
        (b) Early Expiration of Term.--(1) Subsection (f) of such section
    is amended to read as follows:
        ``(f) Early Expiration of Term.--A member of the Armed Forces or
    Federal civilian employee who is appointed as a member of the
    Retirement Home Board or a Local Board may serve as a board member only
    so long as the member of the Armed Forces or Federal civilian employee
    is assigned to or serving in the duty position that gave rise to the
    appointment as a board member.''.
        (2) The amendment made by this subsection shall not affect the
    staggered terms of members of the Armed Forces Retirement Home Board or
    a Local Board of the Retirement Home under section 1515(f) of such Act,
    as such section is in effect before the date of the enactment of this
    Act.
        (c) Annual Evaluation of Directors.--Section 1517 of such Act (24
    U.S.C. 417) is amended by striking out subsection (f) and inserting in
    lieu thereof the following:
        ``(f) Annual Evaluation of Directors.--The Chairman of the
    Retirement Home Board shall annually evaluate the performance of the
    Directors and shall make such recommendations to the Secretary of
    Defense as the Chairman considers appropriate in light of the
    evaluation.''.

    SEC. 1052. ACCEPTANCE OF UNCOMPENSATED SERVICES.

        (a) Authority.--Part A of the Armed Forces Retirement Home Act of
    1991 (title XV of Public Law 101-510; 24 U.S.C. 401 et seq.) is amended
    by adding at the end the following new section:
    ``SEC. 1522. AUTHORITY TO ACCEPT CERTAIN UNCOMPENSATED SERVICES.
        ``(a) Authority To Accept Services.--Subject to subsection (b) and
    notwithstanding section 1342 of title 31, United States Code, the
    Chairman of the Retirement Home Board or the Director of each
    establishment of the Retirement Home may accept from any person
    voluntary personal services or gratuitous services unless the
    acceptance of the voluntary services is disapproved by the Retirement
    Home Board.
        ``(b) Requirements and Limitations.--(1) The Chairman of the
    Retirement Home Board or the Director of the establishment accepting
    the services shall notify the person of the scope of the services
    accepted.
        ``(2) The Chairman or Director shall--
            ``(A) supervise the person providing the services to the same
        extent as that official would supervise a compensated employee
        providing similar services; and
            ``(B) ensure that the person is licensed, privileged, has
        appropriate credentials, or is otherwise qualified under applicable
        laws or regulations to provide such services.
        ``(3) A person providing services accepted under subsection (a) may
    not--
            ``(A) serve in a policymaking position of the Retirement Home;
        or
            ``(B) be compensated for the services by the Retirement Home.
        ``(c) Authority To Recruit and Train Persons Providing Services.--
    The Chairman of the Retirement Home Board or the Director of an
    establishment of the Retirement Home may recruit and train persons to
    provide services authorized to be accepted under subsection (a).
        ``(d) Status of Persons Providing Services.--(1) Subject to
    paragraph (3), while providing services accepted under subsection (a)
    or receiving training under subsection (c), a person shall be
    considered to be an employee of the Federal Government only for
    purposes of the following provisions of law:
            ``(A) Subchapter I of chapter 81 of title 5, United States Code
        (relating to compensation for work-related injuries).
            ``(B) Chapter 171 of title 28, United States Code (relating to
        claims for damages or loss).
        ``(2) A person providing services accepted under subsection (a)
    shall be considered to be an employee of the Federal Government under
    paragraph (1) only with respect to services that are within the scope
    of the services accepted.
        ``(3) For purposes of determining the compensation for work-related
    injuries payable under chapter 81 of title 5,United States Code
    (pursuant to this subsection) to a person providing services accepted
    under subsection (a), the monthly pay of the person for such services
    shall be deemed to be the amount determined by multiplying--
            ``(A) the average monthly number of hours that the person
        provided the services, by
            ``(B) the minimum wage determined in accordance with section
        6(a)(1) of the Fair Labor Standards Act of 1938 (29 U.S.C.
        206(a)(1)).
        ``(e) Reimbursement of Incidental Expenses.--The Chairman of the
    Retirement Board or the Director of the establishment accepting
    services under subsection (a) may provide for reimbursement of a person
    for incidental expenses incurred by the person in providing the
    services accepted under subsection (a). The Chairman or Director shall
    determine which expenses qualify for reimbursement under this
    subsection.''.
        (b) Federal Status of Residents Paid for Part-Time or Intermittent
    Services.--Paragraph (2) of section 1521(b) of the Armed Forces
    Retirement Home Act of 1991 (24 U.S.C. 421(b)) is amended to read as
    follows:
            ``(2) being an employee of the United States for any purpose
        other than--
                ``(A) subchapter I of chapter 81 of title 5, United States
            Code (relating to compensation for work-related injuries); and
                ``(B) chapter 171 of title 28, United States Code (relating
            to claims for damages or loss).''.
    SEC. 1053. DISPOSAL OF TRACT OF REAL PROPERTY IN THE DISTRICT OF
    COLUMBIA.
        (a) Disposal Authorized.--Notwithstanding title II the Federal
    Property and Administrative Services Act of 1949 (40 U.S.C. 481 et
    seq.), title VIII of such Act (40 U.S.C. 531 et seq.), section 501 of
    the Stewart B. McKinney Homeless Assistance Act (42 U.S.C. 11411), or
    any other provision of law relating to the management and disposal of
    real property by the United States, the Armed Forces Retirement Home
    Board may convey, by sale or otherwise, all right, title, and interest
    of the United States in a parcel of real property, including
    improvements thereon, consisting of approximately 49 acres located in
    Washington, District of Columbia, east of North Capitol Street, and
    recorded as District Parcel 121/19.
        (b) Manner, Terms, and Conditions of Disposal.--The Armed Forces
    Retirement Home Board may determine--
            (1) the manner for the disposal of the real property under
        subsection (a); and
            (2) the terms and conditions for the conveyance of that
        property, including any terms and conditions that the Board
        considers necessary to protect the interests of the United States.
        (c) Description of Property.--The exact acreage and legal
    description of the real property to be conveyed under subsection (a)
    shall be determined by a survey satisfactory to the Armed Forces
    Retirement Home Board. The cost of the survey shall be borne by the
    party or parties to which the property is to be conveyed.
        (d) Congressional Notification.--(1) Before disposing of real
    property under subsection (a), the Armed Forces Retirement Home Board
    shall notify the Committee on Armed Services of the Senate and the
    Committee on National Security of the House of Representatives of the
    proposed disposal. The Board may not dispose of the real property until
    the later of--
            (A) the date that is 60 days after the date on which the
        notification is received by the committees; or
            (B) the date of the next day following the expiration of the
        first period of 30 days of continuous session of Congress that
        follows the date on which the notification is received by the
        committees.
        (2) For the purposes of paragraph (1)--
            (A) continuity of session is broken only by an adjournment of
        Congress sine die; and
            (B) the days on which either House is not in session because of
        an adjournment of more than three days to a day certain are
        excluded in the computation of any period of time in which Congress
        is in continuous session.

                           Subtitle F--Other Matters

    SEC. 1061. POLICY ON PROTECTION OF NATIONAL INFORMATION INFRASTRUCTURE
    AGAINST STRATEGIC ATTACK.
        (a) Report Requirement.--Not later than 180 days after the date of
    the enactment of this Act, the President shall submit to Congress a
    report setting forth a national policy on protecting the national
    information infrastructure against strategic attack.
        (b) Matters To Be Included.--The policy described in the report
    shall include the following:
            (1) Plans to meet essential Government and civilian needs
        during a national security emergency associated with a strategic
        attack on elements of the national information infrastructure the
        functioning of which depend on networked computer systems.
            (2) The identification of information infrastructure functions
        that must be performed during such an emergency.
            (3) The assignment of responsibilities to Federal departments
        and agencies, and a description of the roles of Government and
        industry, relating to indications and warning of, assessment of,
        response to, and reconstitution after, potential strategic attacks
        on the elements of the national information infrastructure
        described under paragraph (1).
        (c) Unresolved Issues.--The report shall also identify--
            (1) matters relating to the national policy described in the
        report that, as of the submission of the report, are in need of
        further study and resolution, such as technology and funding
        shortfalls; and
            (2) legal and regulatory considerations relating to the
        national policy.
        (d) Update of Earlier Report.--The report shall include an update
    of the report required to be submitted toCongress pursuant to section
    1053 of the National Defense Authorization Act for Fiscal Year 1996
    (Public Law 104-106; 110 Stat. 440).
    SEC. 1062. INFORMATION SYSTEMS SECURITY PROGRAM.
        (a) Allocation.--Of the amounts appropriated for the Department of
    Defense for the Defense Information Infrastructure for each of fiscal
    years 1999 through 2002, the Secretary of Defense shall allocate to the
    information systems security program (program element 0303140K) amounts
    as follows:
            (1) For fiscal year 1999, 2.5 percent.
            (2) For fiscal year 2000, 3.0 percent.
            (3) For fiscal year 2001, 3.5 percent.
            (4) For fiscal year 2002, 4.0 percent.
        (b) Relationship to Other Amounts.--Amounts allocated under
    subsection (a) are in addition to amounts appropriated to the National
    Security Agency and the Defense Advanced Research Projects Agency for
    development of information security systems, acquisition of information
    security systems, and operation of information security systems.
        (c) Report.--Not later than November 15, 1997, the Secretary of
    Defense shall submit to the congressional defense committees and the
    congressional intelligence committees a report on information security
    activities of the Department of Defense. The report shall describe--
            (1) the objectives of the Secretary with respect to information
        security and the strategy of the Secretary (including the strategy
        with respect to funding) during fiscal years 1999 through 2002 to
        achieve those objectives;
            (2) how the Secretary intends to manage and allocate the funds
        required by subsection (a) to be allocated to the information
        systems security program; and
            (3) if the Secretary determines that a funding plan for the
        information systems security program for fiscal years 1999 through
        2002 other than that specified in subsection (a) is appropriate,
        the alternative funding plan proposed by the Secretary.
        (d) Defense Information Infrastructure.--For purposes of this
    section, the Defense Information Infrastructure is the web of
    communications networks, computers, software, databases, applications,
    data security services, and other capabilities that meets the
    information processing and transport needs of Department of Defense
    users.
    SEC. 1063. AUTHORITY TO ACCEPT SERVICES FROM FOREIGN GOVERNMENTS AND
    INTERNATIONAL ORGANIZATIONS FOR DEFENSE PURPOSES.
        Section 2608(a) of title 10, United States Code, is amended by
    inserting before the period at the end the following: ``and may accept
    from any foreign government or international organization any
    contribution of services made by such foreign government or
    international organization for use by the Department of Defense''.
    SEC. 1064. PROHIBITION ON COLLECTION AND RELEASE OF DETAILED SATELLITE
    IMAGERY RELATING TO ISRAEL.
        (a) Collection and Dissemination.--A department or agency of the
    United States may issue a license for the collection or dissemination
    by a non-Federal entity of satellite imagery with respect to Israel
    only if such imagery is no more detailed or precise than satellite
    imagery of Israel that is available from commercial sources.
        (b) Declassification and Release.--A department or agency of the
    United States may declassify or otherwise release satellite imagery
    with respect to Israel only if such imagery is no more detailed or
    precise than satellite imagery of Israel that is available from
    commercial sources.

    SEC. 1065. GEORGE C. MARSHALL EUROPEAN CENTER FOR STRATEGIC SECURITY
                  STUDIES.

        (a) Authority To Accept Foreign Gifts and Donations.--(1) The
    Secretary of Defense may, on behalf of the George C. Marshall European
    Center for Strategic Security Studies (in this section referred to as
    the ``Marshall Center''), accept foreign gifts or donations in order to
    defray the costs of, or enhance the operation of, the Marshall Center.
        (2) Funds received by the Secretary under paragraph (1) shall be
    credited to appropriations available for the Department of Defense for
    the Marshall Center. Funds so credited shall be merged with the
    appropriations to which credited and shall be available for the
    Marshall Center for the same purposes and same period as the
    appropriations with which merged.
        (3) The Secretary of Defense shall notify Congress if the total
    amount of money accepted under paragraph (1) exceeds $2,000,000 in any
    fiscal year. Any such notice shall list each of the contributors of
    such amounts and the amount of each contribution in such fiscal year.
        (4) For purposes of this subsection, a foreign gift or donation is
    a gift or donation of funds, materials (including research materials),
    property, or services (including lecture services and faculty services)
    from a foreign government, a foundation or other charitable
    organization in a foreign country, or an individual in a foreign
    country.
        (b) Marshall Center Participation By Foreign Nations.--(1)
    Notwithstanding any other provision of law, the Secretary of Defense
    may authorize participation by a European or Eurasian nation in
    Marshall Center programs if the Secretary determines, after
    consultation with the Secretary of State, that such participation is in
    the national interest of the United States.
        (2) Not later than January 31 of each year, the Secretary of
    Defense shall submit to Congress a report setting forth the names of
    the foreign nations permitted to participate in programs of the
    Marshall Center during the preceding year under paragraph (1). Each
    such report shall be prepared by the Secretary with the assistance of
    the Director of the Marshall Center.
        (c) Exemptions for Members of Marshall Center Board of Visitors
    From Certain Requirements.--(1) In the case of any person invited to
    serve without compensation on the Marshall Center Board of Visitors,
    the Secretary of Defense may waive any requirement for financial
    disclosure thatwould otherwise apply to that person solely by reason of
    service on such Board.
        (2) Notwithstanding any other provision of law, a member of the
    Marshall Center Board of Visitors may not be required to register as an
    agent of a foreign government solely by reason of service as a member
    of the Board.
        (3) Notwithstanding section 219 of title 18, United States Code, a
    non-United States citizen may serve on the Marshall Center Board of
    Visitors even though registered as a foreign agent.
    SEC. 1066. AUTHORITY TO AWARD TO CIVILIAN PARTICIPANTS IN THE DEFENSE
    OF PEARL HARBOR THE CONGRESSIONAL MEDAL PREVIOUSLY AUTHORIZED ONLY FOR
    MILITARY PARTICIPANTS IN THE DEFENSE OF PEARL HARBOR.
        (a) Authority.--The Speaker of the House of Representatives and the
    President pro tempore of the Senate are authorized jointly to present,
    on behalf of Congress, a bronze medal provided for under section 1492
    of the National Defense Authorization Act for Fiscal Year 1991 (Public
    Law 101-510; 104 Stat. 1721) to any person who meets the eligibility
    requirements set forth in subsection (d) of that section other than the
    requirement for membership in the Armed Forces, as certified under
    subsection (e) of that section or under subsection (b) of this section.
        (b) Certification.--The Secretary of Defense shall, not later than
    12 months after the date of the enactment of this Act, certify to the
    Speaker of the House of Representatives and the President pro tempore
    of the Senate the names of persons who are eligible for award of the
    medal under this Act and have not previously been certified under
    section 1492(e) of the National Defense Authorization Act for Fiscal
    Year 1991.
        (c) Applications.--Subsections (d)(2) and (f) of section 1492 of
    the National Defense Authorization Act for Fiscal Year 1991 shall apply
    in the administration of this section.
        (d) Additional Striking Authority.--The Secretary of the Treasury
    shall strike such additional medals as may be necessary for
    presentation under the authority of subsection (a).
        (e) Authorization of Appropriations.--There is authorized to be
    appropriated such sum as may be necessary to carry out this section.
        (f) Retroactive Effective Date.--The authority under subsection (a)
    shall be effective as of November 5, 1990.
    SEC. 1067. ASSIMILATIVE CRIMES AUTHORITY FOR TRAFFIC OFFENSES ON
    MILITARY INSTALLATIONS.
        Section 4 of the Act of June 1, 1948 (40 U.S.C. 318c), is amended--
            (1) by striking out ``Whoever shall violate'' and inserting in
        lieu thereof ``(a) Except as provided in subsection (b), whoever
        violates'';
            (2) by inserting ``than'' after ``not more''; and
            (3) by adding at the end the following:
        ``(b)(1) Whoever violates any military traffic regulation shall be
    fined an amount not to exceed the amount of the maximum fine for a like
    or similar offense under the criminal or civil law of the State,
    territory, possession, or district where the military installation in
    which the violation occurred is located, or imprisoned for not more
    than 30 days, or both.
        ``(2) For purposes of this subsection, the term `military traffic
    regulation' means a rule or regulation for the control of vehicular or
    pedestrian traffic on military installations that is promulgated by the
    Secretary of Defense, or the designee of the Secretary, under the
    authority delegated pursuant to section 2.''.

    SEC. 1068. UNIFORM CODE OF MILITARY JUSTICE AMENDMENTS.

        (a) Technical Amendment Regarding Forfeitures During Confinement
    Adjudged by a Court-martial.--(1) Section 858b(a)(1) of title 10,
    United States Code (article 58b(a)(1) of the Uniform Code of Military
    Justice), is amended--
            (A) in the first sentence, by inserting ``(if adjudged by a
        general court-martial)'' after ``all pay and''; and
            (B) in the third sentence, by striking out ``two-thirds of all
        pay and allowances'' and inserting in lieu thereof ``two-thirds of
        all pay''.
        (2) The amendments made by paragraph (1) shall take effect as of
    April 1, 1996, and shall apply to any case in which a sentence is
    adjudged by a court-martial on or after that date.
        (b)  Excepted Service Appointments to Certain Nonattorney Positions
    of the United States Court of Appeals for the Armed Forces.--(1)
    Subsection (c) of section 943 of title 10, United States Code (article
    143(c) of the Uniform Code of Military Justice) is amended in paragraph
    (1) by inserting after the first sentence the following: ``A position
    of employment under the Court that is provided primarily for the
    service of one judge of the court, reports directly to the judge, and
    is a position of a confidential character is excepted from the
    competitive service.''.
        (2) The caption for such subsection is amended by striking out
    ``attorney'' and inserting in lieu thereof ``certain''.
        (c) Repeal of 13-Year Special Limit on Term of Transitional Judge
    of United States Court of Appeals for the Armed Forces.--(1) Subsection
    (d)(2) of section 1301 of the National Defense Authorization Act for
    Fiscal Years 1990 and 1991 (Public Law 101-189; 103 Stat. 1575; 10
    U.S.C. 942 note) is amended by striking out ``to the judges who are
    first appointed to the two new positions of the court created as of
    October 1, 1990--'' and all that follows and inserting in lieu thereof
    ``to the judge who is first appointed to one of the two new positions
    of the court created as of October 1, 1990, as designated by the
    President at the time of appointment, the anniversary referred to in
    subparagraph (A) of that paragraph shall be treated as being the
    seventh anniversary and the number of years referred to in subparagraph
    (B) of that paragraph shall be treated as being seven.''.
        (2) Subsection (e)(1) of such section is amended by striking out
    ``each judge'' and inserting in lieu thereof ``a judge''.

    SEC. 1069. PUNISHMENT OF INTERSTATE STALKING.

        (a) In General.--Chapter 110A of title 18, United States Code, is
    amended by inserting after section 2261 the following new section:

    ``Sec. 2261A. Interstate stalking

        ``Whoever travels across a State line or within the special
    maritime and territorial jurisdiction of the United States with the
    intent to injure or harass another person, and in the course of, or as
    a result of, such travel places that person in reasonable fear of the
    death of, or serious bodily injury (as defined in section 1365(g)(3) of
    this title) to, that person or a member of that person's immediate
    family (as defined in section 115 of this title) shall be punished as
    provided in section 2261 of this title.''.
        (b) Conforming Amendments.--Title 18, United States Code, is
    amended as follows:
            (1) Section 2261(b) is amended by inserting ``or section
        2261A'' after ``this section''.
            (2) Sections 2261(b) and 2262(b) are each amended by striking
        ``offender's spouse or intimate partner'' each place it appears and
        inserting ``victim''.
            (3) The chapter heading for chapter 110A is amended by
        inserting ``AND STALKING'' after ``VIOLENCE''.
            (4) The item relating to chapter 110A in the table of chapters
        at the beginning of part I is amended to read as follows:

    ``110A.    Domestic violence and stalking........................2261''.

        (c) Clerical Amendment.--The table of sections at the beginning of
    chapter 110A of such title is amended by inserting after the item
    relating to section 2261 the following new item:
    ``2261A. Interstate stalking.''.
    SEC. 1070. PARTICIPATION OF MEMBERS, DEPENDENTS, AND OTHER PERSONS IN
    CRIME PREVENTION EFFORTS AT INSTALLATIONS.
        (a) Crime Prevention Plan.--The Secretary of Defense shall prepare
    and implement an incentive-based plan to encourage members of the Armed
    Forces, dependents of members, civilian employees of the Department of
    Defense, and employees of defense contractors performing work at
    military installations to report to an appropriate military law
    enforcement agency any crime or criminal activity that the person
    reasonably believes occurred on a military installation or involves a
    member of the Armed Forces.
        (b) Incentives to Report Criminal Activity.--The Secretary of
    Defense shall include in the plan developed under subsection (a)
    incentives for members and other persons described in such subsection
    to provide information to appropriate military law enforcement agencies
    regarding any crime or criminal activity occurring on a military
    installation or involving a member of the Armed Forces.
        (c) Report Regarding Implementation.--Not later than February 1,
    1997, the Secretary shall submit to Congress a report describing the
    plan being developed under subsection (a).

    SEC. 1071. DISPLAY OF STATE FLAGS AT INSTALLATIONS AND FACILITIES OF
                  THE DEPARTMENT OF DEFENSE.

        (a) In General.--Subchapter I of chapter 134 of title 10, United
    States Code, is amended by adding at the end the following new section:
    ``Sec. 2249b. Display of State flags: prohibition on use of funds to
          arbitrarily exclude flag; position and manner of display
        ``(a) Prohibition on Use of Funds.--Funds available to the
    Department of Defense may not be used to prescribe or enforce any rule
    that arbitrarily excludes the official flag of any State, territory, or
    possession of the United States from any display of the flags of the
    States, territories, and possessions of the United States at an
    official ceremony of the Department of Defense.
        ``(b) Position and Manner of Display.--The display of an official
    flag of a State, territory, or possession of the United States at an
    installation or other facility of the Department shall be governed by
    the provisions of section 3 of the Joint Resolution of June 22, 1942
    (56 Stat. 378, chapter 435; 36 U.S.C. 175), and any modification of
    such provisions under section 8 of that Joint Resolution (36 U.S.C.
    178).''.
        (b) Clerical Amendment.--The table of sections at the beginning of
    chapter I of such chapter is amended by adding at the end the following
    new item:

    ``2249b. Display of State flags: prohibition on use of funds to
              arbitrarily exclude flag; position and manner of display.''.

    SEC. 1072. TREATMENT OF EXCESS OPERATIONAL SUPPORT AIRLIFT AIRCRAFT.

        (a) Reutilization or Sale Before Transfer.--An operational support
    airlift aircraft that is excess to the requirements of the United
    States shall be placed in an inactive status and stored at Davis-
    Monthan Air Force Base, Arizona, only upon the determination of the
    Secretary of Defense that all reasonable efforts for the reutilization
    of the aircraft by, or sale of the aircraft to, Federal agencies or
    other persons have been completed. The Secretary shall ensure that
    attempts to reutilize or sell the entire aircraft are given precedence
    over any reutilization or sale of individual parts or components of the
    aircraft.
        (b) Operational Support Airlift Aircraft Defined.--In this section,
    the term ``operational support airlift aircraft'' has the meaning given
    such term in section 1086(f) of the National Defense Authorization Act
    for Fiscal Year 1996 (Public Law 104-106; 110 Stat. 458).

    SEC. 1073. CORRECTION TO STATUTORY REFERENCES TO CERTAIN DEPARTMENT OF
                  DEFENSE ORGANIZATIONS.

        (a) North American Aerospace Defense Command.--Section 162(a) of
    title 10, United States Code, is amended by striking out ``North
    American Air Defense Command'' in paragraphs (1), (2), and (3) and
    inserting in lieu thereof ``North American Aerospace Defense Command''.
        (b) Former Naval Records and History Office and Fund.--(1) Section
    7222 of title 10, United States Code, is amended by striking out
    ``Office of Naval Records andHistory'' each place it appears in
    subsections (a) and (c) and inserting in lieu thereof ``Naval
    Historical Center''.
        (2)(A) The heading of such section is amended to read as follows:

    ``Sec. 7222. Naval Historical Center Fund''.

        (B) The item relating to such section in the table of sections at
    the beginning of chapter 631 of title 10, United States Code, is
    amended to read as follows:

    ``7222. Naval Historical Center Fund.''.

        (3) Section 2055(g) of the Internal Revenue Code of 1986 is amended
    by striking out paragraph (4) and inserting in lieu thereof the
    following:

                ``(4) For treatment of gifts and bequests for the benefit of
            the Naval Historical Center as gifts or bequests to or for the
            use of the United States, see section 7222 of title 10, United
            States Code.''.

        (c) Defense Distribution Center, Anniston.--The Corporation for the
    Promotion of Rifle Practice and Firearms Safety Act (title XVI of
    Public Law 104-106; 110 Stat. 515; 36 U.S.C. 5501 et seq.) is amended
    by striking out ``Anniston Army Depot'' each place it appears in the
    following provisions and inserting in lieu thereof ``Defense
    Distribution Depot, Anniston'':
            (1) Section 1615(a)(3) (36 U.S.C. 5505(a)(3)).
            (2) Section 1616(b) (36 U.S.C. 5506(b)).
            (3) Section 1619(a)(1) (36 U.S.C. 5509(a)(1)).
        (d) Chemical Demilitarization Citizens Advisory Commissions.--
    Section 172 of the National Defense Authorization Act for Fiscal Year
    1993 (Public Law 102-484; 106 Stat. 2341; 50 U.S.C. 1521 note) is
    amended by striking out ``Assistant Secretary of the Army
    (Installations, Logistics, and Environment)'' in subsections (b) and
    (f) and inserting in lieu thereof ``Assistant Secretary of the Army
    (Research, Development and Acquisition)''.
        (e) Defense Advanced Research Projects Agency.--(1) Each of the
    following provisions of law is amended by inserting ``Defense'' before
    ``Advanced Research Projects Agency'' each place it appears:
            (A) Section 5316 of title 5, United States Code.
            (B) Subsections (b), (f), and (i) of section 2371 of title 10,
        United States Code.
            (C) Section 822(c)(1)(D) of Public Law 101-510 (42 U.S.C.
        6686).
            (D) Section 845(a) of Public Law 103-160 (10 U.S.C. 2371 note).
            (E) Section 243(a) of Public Law 103-160 (10 U.S.C. 2431 note).
            (F) Sections 1352(c)(2), 1353, and 1354(a) of Public Law 103-
        160 (10 U.S.C. 2501 note).
        (2) The section headings of each of the following sections are
    amended by inserting ``defense'' before ``advanced'':
            (A) Section 845 of Public Law 103-160 (10 U.S.C. 2371 note).
            (B) Sections 1353 and 1354 of Public Law 103-160 (10 U.S.C.
        2501 note).
        (3) The heading for subsection (a) of section 1354 of Public Law
    103-160 (10 U.S.C. 2501 note) is amended by striking out ``ARPA'' and
    inserting in lieu thereof ``DARPA''.

    SEC. 1074. TECHNICAL AND CLERICAL AMENDMENTS.

        (a) Miscellaneous Amendments to Title 10, United States Code.--
    Title 10, United States Code, is amended as follows:
            (1) Section 129(a) is amended by striking out ``the date of the
        enactment of the National Defense Authorization Act for Fiscal Year
        1996'' and inserting in lieu thereof ``February 10, 1996,''.
            (2) Section 401 is amended--
                (A) in subsection (a)(4), by striking out ``Armed Forces''
            both places it appears and inserting in lieu thereof ``armed
            forces''; and
                (B) in subsection (e), by inserting ``any of the
            following'' after ``means''.
            (3) Section 528(b) is amended by striking out ``(1)'' after
        ``(b)'' and inserting ``(1)'' before ``The limitation''.
            (4) Section 1078a(a) is amended by striking out ``Beginning on
        October 1, 1994, the'' and inserting in lieu thereof ``The''.
            (5) Section 1161(b)(2) is amended by striking out ``section
        1178'' and inserting in lieu thereof ``section 1167''.
            (6) Section 1167 is amended by striking out ``person'' and
        inserting in lieu thereof ``member''.
            (7) The table of sections at the beginning of chapter 81 is
        amended by striking out ``Sec.'' in the item relating to section
        1599a.
            (8) Section 1588(d)(1)(C) is amended by striking out ``Section
        522a'' and inserting in lieu thereof ``Section 552a''.
            (9) Chapter 87 is amended--
                (A) in section 1723(a), by striking out the second
            sentence;
                (B) in section 1724--
                    (i) in subsection (a), by striking out ``small purchase
                threshold'' and inserting in lieu thereof ``simplified
                acquisition threshold''; and
                    (ii) in subsections (a) and (b), by striking out ``,
                beginning on October 1, 1993,'';
                (C) in section 1733(a), by striking out ``On and after
            October 1, 1993, a'' and inserting in lieu thereof ``A''; and
                (D) in section 1734--
                    (i) in subsection (a)(1), by striking out ``, on and
                after October 1, 1993,''; and
                    (ii) in subsection (b)(1)(A), by striking out ``, on
                and after October 1, 1991,''.
            (10) Section 2216, as added by section 371 of the National
        Defense Authorization Act for Fiscal Year 1996 (Public Law 104-106;
        107 Stat. 277), is redesignated as section 2216a, and the item
        relating to that section in thetable of sections at the beginning
    of chapter 131 is revised so as to reflect such redesignation.
            (11) Section 2305(b)(6) is amended--
                (A) in subparagraph (B), by striking out ``of this
            section'' and ``of this paragraph'';
                (B) in subparagraph (C), by striking out ``this
            subsection'' and inserting in lieu thereof ``subparagraph
            (A)''; and
                (C) in subparagraph (D), by striking out ``pursuant to this
            subsection'' and inserting in lieu thereof ``under subparagraph
            (A)''.
            (12) Section 2306a(h)(3) is amended by inserting ``(41 U.S.C.
        403(12))'' before the period at the end.
            (13) Section 2323a(a) is amended by striking out ``section 1207
        of the National Defense Authorization Act for Fiscal Year 1987 (10
        U.S.C. 2301 note)'' and inserting in lieu thereof ``section 2323 of
        this title''.
            (14) Section 2534(c)(4) is amended by striking out ``the date
        occurring two years after the date of the enactment of the National
        Defense Authorization Act for Fiscal Year 1996'' and inserting in
        lieu thereof ``February 10, 1998''.
            (15) The table of sections at the beginning of chapter 155 is
        amended by striking out the item relating to section 2609.
            (16) Section 2610(e) is amended by striking out ``two years
        after the date of the enactment of the National Defense
        Authorization Act for Fiscal Year 1996'' and inserting in lieu
        thereof ``on February 10, 1998''.
            (17) Sections 2824(c) and 2826(i)(1) are amended by striking
        out ``the date of the enactment of the National Defense
        Authorization Act for Fiscal Year 1996'' and inserting in lieu
        thereof ``February 10, 1996''.
            (18) Section 3036(d)(3) is amended by striking out ``For
        purposes of this subsection,'' and inserting in lieu thereof ``In
        this subsection,''.
            (19) The table of sections at the beginning of chapter 641 is
        amended by striking out the item relating to section 7434.
            (20) Section 7863 is amended by inserting ``were'' in the first
        sentence after ``the stores''.
            (21) Section 10542(b)(21) is amended by striking out ``261''
        and inserting in lieu thereof ``12001''.
            (22) Section 12205(a) is amended by striking out ``After
        September 30, 1995, no person'' and inserting in lieu thereof ``No
        person''.
        (b) Amendments to Public Law 104-106.--The National Defense
    Authorization Act for Fiscal Year 1996 (Public Law 104-106; 110 Stat.
    186 et seq.) is amended as follows:
            (1) Section 561(d)(1) (110 Stat. 322) is amended by inserting
        ``of such title'' after ``Section 1405(c)''.
            (2) Section 1092(b)(2) (110 Stat. 460) is amended by striking
        out the period at the end and inserting in lieu thereof ``; and''.
            (3) Section 4301(a)(1) (110 Stat. 656) is amended by inserting
        ``of subsection (a)'' after ``in paragraph (2)''.
            (4) Section 5601 (110 Stat. 699) is amended--
                (A) in subsection (a), by inserting ``of title 10, United
            States Code,'' before ``is amended''; and
                (B) in subsection (c), by striking out ``use of equipment
            or services if,'' in the second quoted matter therein and
            inserting in lieu thereof ``use of the equipment or services''.
            (5) Section 3403 (110 Stat. 631) is amended by striking out
        ``Act of Fiscal'' and inserting in lieu thereof ``Act for Fiscal''.
            (6) Section 4202(c)(1) (110 Stat. 653) is amended, effective as
        of February 10, 1996, by striking out ``purchases of''' in the
        first quoted matter therein and inserting in lieu thereof
        ``contracts for'''.
            (7) Section 5607(c) (110 Stat. 701) is amended, effective as of
        February 10, 1996--
                (A) by striking out ``303B(h)'' and by inserting in lieu
            thereof ``303B(k)''; and
                (B) by striking out ``253b(h)'' and by inserting in lieu
            thereof ``253b(k)''.
        (c) Provisions Executed Before Enactment of Public Law 104-106.--
            (1) Section 533(b) of the National Defense Authorization Act
        for Fiscal Year 1996 (Public Law 104-106; 110 Stat. 315) shall
        apply as if enacted as of December 31, 1995.
            (2) The authority provided under section 942(f) of title 10,
        United States Code, shall be effective as if section 1142 of the
        National Defense Authorization Act for Fiscal Year 1996 (Public Law
        104-106; 110 Stat. 467) had been enacted on September 29, 1995.
        (d) Amendments to Other Acts.--
            (1) The last section of the Office of Federal Procurement
        Policy Act (41 U.S.C. 434), as added by section 5202 of Public Law
        104-106 (110 Stat. 690), is redesignated as section 38, and the
        item appearing after section 34 in the table of contents in the
        first section of that Act is transferred to the end of such table
        of contents and revised so as to reflect such redesignation.
            (2) Section 1412(g)(2) of the Department of Defense
        Authorization Act, 1986 (50 U.S.C. 1521(g)(2)), is amended--
                (A) in the matter preceding subparagraph (A), by striking
            out ``shall contain--'' and inserting in lieu thereof ``shall
            include the following:'';
                (B) in subparagraph (A)--
                    (i) by striking out ``a'' before ``site-by-site'' and
                inserting in lieu thereof ``A''; and
                    (ii) by striking out the semicolon at the end and
                inserting in lieu thereof a period; and
                (C) in subparagraphs (B) and (C), by striking out ``an'' at
            the beginning of the subparagraph and inserting in lieu thereof
            ``An''.
            (3) Section 3131 of Public Law 99-570 (19 U.S.C. 2081; 100
        Stat. 3207-91) is amended in clause (v) of subsection (a)(1)(A) by
        striking out ``and (c)'' both places it appears.
        (e) Coordination With Other Amendments.--For purposes of applying
    amendments made by provisions of this Act other than provisions of this
    section, this section shall be treated as having been enacted
    immediately before the other provisions of this Act.
        (f) Amendments to the Office of Federal Procurement Policy Act.--
    The Office of Federal Procurement Policy Act (41 U.S.C. 403 et seq.) is
    amended as follows:
            (1) Section 6(f) (41 U.S.C. 405(f)) is amended by striking out
        ``the policies set forth in section 2 or''.
            (2) Section 15(a) (41 U.S.C. 413(a)) is amended by striking out
        the second sentence.
            (3) Section 25 (41 U.S.C. 421) is amended--
                (A) in subsection (c)--
                    (i) in paragraph (3), by striking out ``the policies
                set forth in section 2 of this Act or''; and
                    (ii) in paragraph (5), by striking out ``or the
                policies set forth in section 2 of this Act''; and
                (B) in subsection (e), by striking out ``the policies of
            section 2 and''.
    SEC. 1075. MODIFICATION TO THIRD-PARTY LIABILITY TO UNITED STATES FOR
    TORTIOUS INFLICTION OF INJURY OR DISEASE ON MEMBERS OF THE UNIFORMED
    SERVICES.
        (a) Recovery of Pay and Allowances.--The first section of Public
    Law 87-693 (42 U.S.C. 2651) is amended--
            (1) in the first sentence of subsection (a)--
                (A) by inserting ``or pay for'' after ``required by law to
            furnish''; and
                (B) by striking out ``or to be furnished'' both places it
            appears and inserting in lieu thereof ``, to be furnished, paid
            for, or to be paid for'';
            (2) by redesignating subsections (b) and (c) as subsections (d)
        and (e), respectively;
            (3) by inserting after subsection (a), the following new
        subsections:
        ``(b) If a member of the uniformed services is injured, or
    contracts a disease, under circumstances creating a tort liability upon
    a third person (other than or in addition to the United States and
    except employers of seamen referred to in subsection (a)) for damages
    for such injury or disease and the member is unable to perform the
    member's regular military duties as a result of the injury or disease,
    the United States shall have a right (independent of the rights of the
    member) to recover from the third person or an insurer of the third
    person, or both, the amount equal to the total amount of the pay that
    accrues and is to accrue to the member for the period for which the
    member is unable to perform such duties as a result of the injury or
    disease and is not assigned to perform other military duties.
        ``(c)(1) If, pursuant to the laws of a State that are applicable in
    a case of a member of the uniformed services who is injured or
    contracts a disease as a result of tortious conduct of a third person,
    there is in effect for such a case (as a substitute or alternative for
    compensation for damages through tort liability) a system of
    compensation or reimbursement for expenses of hospital, medical,
    surgical, or dental care and treatment or for lost pay pursuant to a
    policy of insurance, contract, medical or hospital service agreement,
    or similar arrangement, the United States shall be deemed to be a
    third-party beneficiary of such a policy, contract, agreement, or
    arrangement.
        ``(2) For the purposes of paragraph (1)--
            ``(A) the expenses incurred or to be incurred by the United
        States for care and treatment for an injured or diseased member as
        described in subsection (a) shall be deemed to have been incurred
        by the member;
            ``(B) the cost to the United States of the pay of the member as
        described in subsection (b) shall be deemed to have been pay lost
        by the member as a result of the injury or disease; and
            ``(C) the United States shall be subrogated to any right or
        claim that the injured or diseased member or the member's guardian,
        personal representative, estate, dependents, or survivors have
        under a policy, contract, agreement, or arrangement referred to in
        paragraph (1) to the extent of the reasonable value of the care and
        treatment and the total amount of the pay deemed lost under
        subparagraph (B).'';
            (4) in subsection (d), as redesignated by paragraph (2), by
        inserting ``or paid for'' after ``treatment is furnished''; and
            (5) by adding at the end the following:
        ``(f)(1) Any amount recovered under this section for medical care
    and related services furnished by a military medical treatment facility
    or similar military activity shall be credited to the appropriation or
    appropriations supporting the operation of that facility or activity,
    as determined under regulations prescribed by the Secretary of Defense.
        ``(2) Any amount recovered under this section for the cost to the
    United States of pay of an injured or diseased member of the uniformed
    services shall be credited to the appropriation that supports the
    operation of the command, activity, or other unit to which the member
    was assigned at the time of the injury or illness, as determined under
    regulations prescribed by the Secretary concerned.
        ``(g) For the purposes of this section:
            ``(1) The term `uniformed services' has the meaning given such
        term in section 101 of title 10, United States Code.
            ``(2) The term `tortious conduct' includes any tortious
        omission.
            ``(3) The term `pay', with respect to a member of the uniformed
        services, means basic pay, special pay, and incentive pay that the
        member is authorized to receive undertitle 37, United States Code,
    or any other law providing pay for service in the uniformed services.
            ``(4) The term `Secretary concerned' means--
                ``(A) the Secretary of Defense, with respect to the Army,
            the Navy, the Air Force, the Marine Corps, and the Coast Guard
            (when it is operating as a service in the Navy);
                ``(B) the Secretary of Transportation, with respect to the
            Coast Guard when it is not operating as a service in the Navy;
                ``(C) the Secretary of Health and Human Services, with
            respect to the commissioned corps of the Public Health Service;
            and
                ``(D) the Secretary of Commerce, with respect to the
            commissioned corps of the National Oceanic and Atmospheric
            Administration.''.
        (b) Conforming Amendments.--The first section of Public Law 87-693
    (42 U.S.C. 2651) is amended--
            (1) in the first sentence of subsection (a)--
                (A) by inserting ``(independent of the rights of the
            injured or diseased person)'' after ``a right to recover''; and
                (B) by inserting ``, or that person's insurer,'' after
            ``from said third person'';
            (2) in subsection (d), as redesignated by subsection (a)(2)--
                (A) by striking out ``such right,'' and inserting in lieu
            thereof ``a right under subsections (a), (b), and (c)''; and
                (B) by inserting ``or the insurance carrier or other entity
            responsible for the payment or reimbursement of medical
            expenses or lost pay'' after ``the third person who is liable
            for the injury or disease'' each place it appears.
        (c) Effective Date.--The authority to collect pursuant to the
    amendments made by this section shall apply to expenses described in
    the first section of Public Law 87-693 (as amended by this section)
    that are incurred, or are to be incurred, by the United States on or
    after the date of the enactment of this Act, whether the event from
    which the claim arises occurs before, on, or after that date.
    SEC. 1076. CHEMICAL STOCKPILE EMERGENCY PREPAREDNESS PROGRAM.
        (a) Report.--Not later than 120 days after the date of the
    enactment of this Act, the Secretary of the Army shall submit to the
    Committee on Armed Services of the Senate and the Committee on National
    Security of the House of Representatives a report assessing the
    implementation and success of the establishment of site-specific
    Integrated Product and Process Teams as a management tool for the
    Chemical Stockpile Emergency Preparedness Program.
        (b) Contingent Mandated Reforms.--If at the end of the 120-day
    period beginning on the date of the enactment of this Act the Secretary
    of the Army and the Director of the Federal Emergency Management Agency
    have been unsuccessful in implementing a site-specific Integrated
    Product and Process Team with each of the affected States, the
    Secretary of the Army shall--
            (1) assume full control and responsibility for the Chemical
        Stockpile Emergency Preparedness Program (eliminating the role of
        the Director of the Federal Emergency Management Agency as joint
        manager of the program);
            (2) establish programmatic agreement with each of the affected
        States regarding program requirements, implementation schedules,
        training and exercise requirements, and funding (to include direct
        grants for program support);
            (3) clearly define the goals of the program; and
            (4) establish fiscal constraints for the program.
    SEC. 1077. EXEMPTION FROM REQUIREMENTS APPLICABLE TO SAVINGS
    ASSOCIATIONS FOR CERTAIN SAVINGS INSTITUTIONS SERVING MILITARY
    PERSONNEL.
        Section 10(m)(3)(F) of the Home Owners' Loan Act (12 U.S.C.
    1467a(m)(3)(F)) is amended--
            (1) in the subparagraph caption, by striking out ``association
        serving transient'' and inserting in lieu thereof ``associations
        serving certain'';
            (2) by striking out ``company if--'' and all that follows
        through ``90 percent'' and inserting in lieu thereof ``company if
        at least 90 percent''; and
            (3) by striking out ``officers'' both places it appears and
        inserting in lieu thereof ``members''.
    SEC. 1078. IMPROVEMENTS TO NATIONAL SECURITY EDUCATION PROGRAM.
        (a) Temporary Requirement Relating to Employment.--Title VII of the
    Department of Defense Appropriations Act, 1996 (Public Law 104-61; 109
    Stat. 650), is amended in the paragraph under the heading ``National
    Security Education Trust Fund'' by striking out the proviso.
        (b) General Program Requirements.--(1) Subparagraph (A) of
    subsection (a)(1) of section 802 of the David L. Boren National
    Security Education Act of 1991 (50 U.S.C. 1902) is amended to read as
    follows:
                ``(A) awarding scholarships to undergraduate students who--
                    ``(i) are United States citizens in order to enable
                such students to study, for at least one academic semester
                or equivalent term, in foreign countries that are critical
                countries (as determined under section 803(d)(4)(A)) in
                those languages and study areas where deficiencies exist
                (as identified in the assessments undertaken pursuant to
                section 806(d)); and
                    ``(ii) pursuant to subsection (b)(2)(A), enter into an
                agreement to work in a national security position or work
                in the field of higher education in the area of study for
                which the scholarship was awarded;''; and
        (2) Subparagraph (B) of that subsection is amended--
            (A) in clause (i), by inserting ``relating to the national
        security interests of the United States'' after ``international
        fields''; and
            (B) in clause (ii)--
                (i) by striking out ``subsection (b)(2)'' and inserting in
            lieu thereof ``subsection (b)(2)(B)''; and
                (ii) by striking out ``work for an agency or office of the
            Federal Government or in'' and inserting in lieu thereof ``work
            in a national security position or work in''.
        (c) Service Agreement.--(1) Subsection (b) of that section is
    amended in the matter preceding paragraph (1) by striking out ``, or of
    scholarships'' and all that follows through ``12 months or more,'' and
    inserting in lieu thereof ``or any scholarship''.
        (2) Paragraph (2) of that subsection is amended to read as follows:
            ``(2) will--
                ``(A) not later than eight years after such recipient's
            completion of the study for which scholarship assistance was
            provided under the program, and in accordance with regulations
            issued by the Secretary--
                    ``(i) work in a national security position for a period
                specified by the Secretary, which period shall be no longer
                than the period for which scholarship assistance was
                provided; or
                    ``(ii) if the recipient demonstrates to the Secretary
                (in accordance with such regulations) that no national
                security position is available, work in the field of higher
                education in a discipline relating to the foreign country,
                foreign language, area study, or international field of
                study for which the scholarship was awarded, for a period
                specified by the Secretary, which period shall be
                determined in accordance with clause (i); or
                ``(B) upon completion of such recipient's education under
            the program, and in accordance with such regulations--
                    ``(i) work in a national security position for a period
                specified by the Secretary, which period shall be not less
                than one and not more than three times the period for which
                the fellowship assistance was provided; or
                    ``(ii) if the recipient demonstrates to the Secretary
                (in accordance with such regulations) that no national
                security position is available upon the completion of the
                degree, work in the field of higher education in a
                discipline relating to the foreign country, foreign
                language, area study, or international field of study for
                which the fellowship was awarded, for a period specified by
                the Secretary, which period shall be established in
                accordance with clause (i); and''.
        (d) Evaluation of Progress in Language Skills.--Such section is
    further amended--
            (1) by redesignating subsections (c), (d), and (e) as
        subsections (d), (e), and (f), respectively; and
            (2) by inserting after subsection (b) the following new
        subsection (c):
        ``(c) Evaluation of Progress in Language Skills.--The Secretary
    shall, through the National Security Education Program office,
    administer a test of the foreign language skills of each recipient of a
    scholarship or fellowship under this title before the commencement of
    the study or education for which the scholarship or fellowship is
    awarded and after the completion of such study or education. The
    purpose of these tests is to evaluate the progress made by recipients
    of scholarships and fellowships in developing foreign language skills
    as a result of assistance under this title.''.
        (e) Functions of the National Security Education Board.--Section
    803(d) of that Act (50 U.S.C. 1903(d)) is amended--
            (1) in paragraph (1), by inserting ``, including an order of
        priority in such awards that favors individuals expressing an
        interest in national security issues or pursuing a career in a
        national security position'' before the period;
            (2) in paragraph (4)--
                (A) in the matter preceding subparagraph (A), by striking
            out ``Make recommendations'' and inserting in lieu thereof
            ``After taking into account the annual analyses of trends in
            language, international, and area studies under section
            806(b)(1), make recommendations'';
                (B) in subparagraph (A), by inserting ``and countries which
            are of importance to the national security interests of the
            United States'' after ``are studying''; and
                (C) in subparagraph (B), by inserting ``relating to the
            national security interests of the United States'' after
            ``section 802(a)(1)(B)'';
            (3) by redesignating paragraph (5) as paragraph (8); and
            (4) by inserting after paragraph (4) the following new
        paragraphs:
            ``(5) Encourage applications for fellowships under this title
        from graduate students having an educational background in any
        academic discipline, particularly in the areas of science or
        technology.
            ``(6) Provide the Secretary biennially with a list of
        scholarship recipients and fellowship recipients, including an
        assessment of their foreign area and language skills, who are
        available to work in a national security position.
            ``(7) Not later than 30 days after a scholarship or fellowship
        recipient completes the study or education for which assistance was
        provided under the program, provide the Secretary with a report
        fully describing the foreign area and language skills obtained by
        the recipient as a result of the assistance.''.
        (f) National Security Position Defined.--(1) Section 808 of that
    Act (50 U.S.C. 1908) is amended by adding at the end the following new
    paragraph:
            ``(4) The term `national security position' means a position--
                ``(A) having national security responsibilities in a agency
            or office of the Federal Government that has national security
            responsibilities, as determined under section 802(g); and
                ``(B) in which the individual in such position makes their
            foreign language skills available to such agency or office.''.
        (2) Section 802 of that Act (50 U.S.C. 1902), as amended by
    subsection (d)(1) of this section, is further amended by adding at the
    end the following new subsection:
        ``(g) Determination of Agencies and Offices of the Federal
    Government Having National Security Responsibilities.--(1) The
    Secretary, in consultation with the Board, shall annually determine and
    develop a list identifying each agency or office of the Federal
    Government having national security responsibilities at which a
    recipient of a fellowship or scholarship under this title will be able
    to make the recipient's foreign area and language skills available to
    such agency or office. The Secretary shall submit the first such list
    to the Congress and include each subsequent list in the annual report
    to the Congress, as required by section 806(b)(6).
        ``(2) Notwithstanding section 804, funds may not be made available
    from the Fund to carry out this title for fiscal year 1997 until 30
    days after the date on which the Secretary of Defense submits to the
    Congress the first such list required by paragraph (1).''.
        (3) Section 806(b) of that Act (50 U.S.C. 1906(b)) is amended by
    striking out ``and'' at the end of paragraph (5), redesignating
    paragraph (6) as paragraph (7), and inserting after paragraph (5) the
    following new paragraph (6):
            ``(6) the current list of agencies and offices of the Federal
        Government required to be developed by section 802(g); and''.
        (g) Report on Program.--(1) Not later than six months after the
    date of the enactment of this Act, the Secretary of Defense shall
    submit to Congress a report assessing the improvements to the program
    established under the David L. Boren National Security Education Act of
    1991 (50 U.S.C. 1901 et seq.) that result from the amendments made by
    this section.
        (2) The report shall include an assessment of the contribution of
    the program, as so improved, in meeting the national security
    objectives of the United States.

    SEC. 1079. AVIATION AND VESSEL WAR RISK INSURANCE.

        (a) Aviation Risk Insurance.--(1) Chapter 931 of title 10, United
    States Code, is amended by adding at the end the following new section:
    ``Sec. 9514. Indemnification of Department of Transportation for losses
         covered by defense-related aviation insurance
        ``(a) Prompt Indemnification Required.--(1) In the event of a loss
    that is covered by defense-related aviation insurance, the Secretary of
    Defense shall promptly indemnify the Secretary of Transportation for
    the amount of the loss consistent with the indemnification agreement
    between the two Secretaries that underlies such insurance. The
    Secretary of Defense shall make such indemnification--
            ``(A) in the case of a claim for the loss of an aircraft hull,
        not later than 30 days after the date on which the Secretary of
        Transportation determines the claim to be payable or that amounts
        are due under the policy that provided the defense-related aviation
        insurance; and
            ``(B) in the case of any other claim, not later than 180 days
        after the date on which the Secretary of Transportation determines
        the claim to be payable.
        ``(2) When there is a loss of an aircraft hull that is (or may be)
    covered by defense-related aviation insurance, the Secretary of
    Transportation may make, during the period when a claim for such loss
    is pending with the Secretary of Transportation, any required periodic
    payments owed by the insured party to a lessor or mortgagee of such
    aircraft. Such payments shall commence not later than 30 days following
    the date of the presentment of the claim for the loss of the aircraft
    hull to the Secretary of Transportation. If the Secretary of
    Transportation determines that the claim is payable, any amount paid
    under this paragraph arising from such claim shall be credited against
    the amount payable under the aviation insurance. If the Secretary of
    Transportation determines that the claim is not payable, any amount
    paid under this paragraph arising from such claim shall constitute a
    debt to the United States, payable to the insurance fund. Any such
    amounts so returned to the United States shall be promptly credited to
    the fund or account from which the payments were made under this
    paragraph.
        ``(b) Source of Funds for Payment of Indemnity.--The Secretary of
    Defense may pay an indemnity described in subsection (a) from any funds
    available to the Department of Defense for operation and maintenance,
    and such sums as may be necessary for payment of such indemnity are
    hereby authorized to be transferred to the Secretary of Transportation
    for such purpose.
        ``(c) Notice to Congress.--In the event of a loss that is covered
    by defense-related aviation insurance in the case of an incident in
    which the covered loss is (or is expected to be) in an amount in excess
    of $1,000,000, the Secretary of Defense shall submit to Congress--
            ``(1) notification of the loss as soon after the occurrence of
        the loss as possible and in no event more than 30 days after the
        date of the loss; and
            ``(2) semiannual reports thereafter updating the information
        submitted under paragraph (1) and showing with respect to losses
        arising from such incident the total amount expended to cover such
        losses, the source of thosefunds, pending litigation, and estimated
    total cost to the Government.
        ``(d) Implementing Matters.--(1) Payment of indemnification under
    this section is not subject to section 2214 or 2215 of this title or
    any other provision of law requiring notification to Congress before
    funds may be transferred.
        ``(2) Consolidation of claims arising from the same incident is not
    required before indemnification of the Secretary of Transportation for
    payment of a claim may be made under this section.
        ``(e) Construction With Other Transfer Authority.--Authority to
    transfer funds under this section is in addition to any other authority
    provided by law to transfer funds (whether enacted before, on, or after
    the date of the enactment of this section) and is not subject to any
    dollar limitation or notification requirement contained in any other
    such authority to transfer funds.
        ``(f) Annual Report on Contingent Liabilities.--Not later than
    March 1 of each year, the Secretary of Defense shall submit to Congress
    a report setting forth the current amount of the contingent outstanding
    liability of the United States under the insurance program under
    chapter 443 of title 49.
        ``(g) Definitions.--In this section:
            ``(1) Defense-related aviation insurance.--The term `defense-
        related aviation insurance' means aviation insurance and
        reinsurance provided through policies issued by the Secretary of
        Transportation under chapter 443 of title 49 that pursuant to
        section 44305(b) of that title is provided by that Secretary
        without premium at the request of the Secretary of Defense and is
        covered by an indemnity agreement between the Secretary of
        Transportation and the Secretary of Defense.
            ``(2) Loss.--The term `loss' includes damage to or destruction
        of property, personal injury or death, and other liabilities and
        expenses covered by the defense-related aviation insurance.''.
        (2) The table of sections at the beginning of such chapter is
    amended by adding at the end the following new item:

    ``9514. Indemnification of Department of Transportation for losses
              covered by defense-related aviation insurance.''.

        (b) Vessel War Risk Insurance.--(1) Chapter 157 of title 10, United
    States Code, is amended by adding after section 2644, as redesignated
    by section 906, the following new section:
    ``Sec. 2645. Indemnification of Department of Transportation for losses
         covered by vessel war risk insurance
        ``(a) Prompt Indemnification Required.--(1) In the event of a loss
    that is covered by vessel war risk insurance, the Secretary of Defense
    shall promptly indemnify the Secretary of Transportation for the amount
    of the loss consistent with the indemnification agreement between the
    two Secretaries that underlies such insurance. The Secretary of Defense
    shall make such indemnification--
            ``(A) in the case of a claim for the loss of a vessel, not
        later than 90 days after the date on which the Secretary of
        Transportation determines the claim to be payable or that amounts
        are due under the policy that provided the vessel war risk
        insurance; and
            ``(B) in the case of any other claim, not later than 180 days
        after the date on which on which the Secretary of Transportation
        determines the claim to be payable.
        ``(2) When there is a loss of a vessel that is (or may be) covered
    by vessel war risk insurance, the Secretary of Transportation may make,
    during the period when a claim for such loss is pending with the
    Secretary of Transportation, any required periodic payments owed by the
    insured party to a lessor or mortgagee of such vessel. Such payments
    shall commence not later than 30 days following the date of the
    presentment of the claim for the loss of the vessel to the Secretary of
    Transportation. If the Secretary of Transportation determines that the
    claim is payable, any amount paid under this paragraph arising from
    such claim shall be credited against the amount payable under the
    vessel war risk insurance. If the Secretary of Transportation
    determines that the claim is not payable, any amount paid under this
    paragraph arising from such claim shall constitute a debt to the United
    States, payable to the insurance fund. Any such amounts so returned to
    the United States shall be promptly credited to the fund or account
    from which the payments were made under this paragraph.
        ``(b) Source of Funds for Payment of Indemnity.--The Secretary of
    Defense may pay an indemnity described in subsection (a) from any funds
    available to the Department of Defense for operation and maintenance,
    and such sums as may be necessary for payment of such indemnity are
    hereby authorized to be transferred to the Secretary of Transportation
    for such purpose.
        ``(c) Deposit of Funds.--Any amount transferred to the Secretary of
    Transportation under this section shall be deposited in, and merged
    with amounts in, the Vessel War Risk Insurance Fund as provided in the
    second sentence of section 1208(a) of the Merchant Marine Act, 1936 (46
    U.S.C. App. 1288(a)).
        ``(d) Notice to Congress.--In the event of a loss that is covered
    by vessel war risk insurance in the case of an incident in which the
    covered loss is (or is expected to be) in an amount in excess of
    $1,000,000, the Secretary of Defense shall submit to Congress--
            ``(1) notification of the loss as soon after the occurrence of
        the loss as possible and in no event more than 30 days after the
        date of the loss; and
            ``(2) semiannual reports thereafter updating the information
        submitted under paragraph (1) and showing with respect to losses
        arising from such incident the total amount expended to cover such
        losses, the source of such funds, pending litigation, and estimated
        total cost to the Government.
        ``(e) Implementing Matters.--(1) Payment of indemnification under
    this section is not subject to section 2214 or2215 of this title or any
    other provision of law requiring notification to Congress before funds
    may be transferred.
        ``(2) Consolidation of claims arising from the same incident is not
    required before indemnification of the Secretary of Transportation for
    payment of a claim may be made under this section.
        ``(f) Construction With Other Transfer Authority.--Authority to
    transfer funds under this section is in addition to any other authority
    provided by law to transfer funds (whether enacted before, on, or after
    the date of the enactment of this section) and is not subject to any
    dollar limitation or notification requirement contained in any other
    such authority to transfer funds.
        ``(g) Annual Report on Contingent Liabilities.--Not later than
    March 1 of each year, the Secretary of Defense shall submit to Congress
    a report setting forth the current amount of the contingent outstanding
    liability of the United States under the vessel war risk insurance
    program under title XII of the Merchant Marine Act, 1936 (46 U.S.C.
    App. 1281 et seq.).
        ``(h) Definitions.--In this section:
            ``(1) Vessel war risk insurance.--The term `vessel war risk
        insurance' means insurance and reinsurance provided through
        policies issued by the Secretary of Transportation under title XII
        of the Merchant Marine Act, 1936 (46 U.S.C. App. 1281 et seq.),
        that is provided by that Secretary without premium at the request
        of the Secretary of Defense and is covered by an indemnity
        agreement between the Secretary of Transportation and the Secretary
        of Defense.
            ``(2) Vessel war risk insurance fund.--The term `Vessel War
        Risk Insurance Fund' means the insurance fund referred to in the
        first sentence of section 1208(a) of the Merchant Marine Act, 1936
        (46 U.S.C. App. 1288(a)).
            ``(3) Loss.--The term `loss' includes damage to or destruction
        of property, personal injury or death, and other liabilities and
        expenses covered by the vessel war risk insurance.''.
        (2) The table of sections at the beginning of such chapter is
    amended by adding after the item relating to section 2644, as added by
    section 906, the following new item:

    ``2645. Indemnification of Department of Transportation for losses
              covered by vessel war risk insurance.''.

    SEC. 1080. DESIGNATION OF MEMORIAL AS NATIONAL D-DAY MEMORIAL.
        (a) Designation.--The memorial to be constructed by the National D-
    Day Memorial Foundation in Bedford, Virginia, is hereby designated as a
    national memorial to be known as the ``National D-Day Memorial''. The
    memorial shall serve to honor the members of the Armed Forces of the
    United States who served in the liberation of Normandy, France, in June
    1944.
        (b) Public Proclamation.--The President is requested and urged to
    issue a public proclamation acknowledging the designation of the
    memorial to be constructed by the National D-Day Memorial Foundation in
    Bedford, Virginia, as the National D-Day Memorial.
        (c) Maintenance of Memorial.--All expenses for maintenance and care
    of the memorial shall be paid for with non-Federal funds, including
    funds provided by the National D-Day Memorial Foundation. The United
    States shall not be liable for any expense incurred for the maintenance
    and care of the memorial.
    SEC. 1081. SENSE OF CONGRESS REGARDING SEMICONDUCTOR TRADE AGREEMENT
    BETWEEN UNITED STATES AND JAPAN.
        (a) Findings.--Congress makes the following findings:
            (1) The United States and Japan share a long and important
        bilateral relationship which serves as an anchor of peace and
        stability in the Asia Pacific region, an alliance which was
        reaffirmed at the recent summit meeting between President Clinton
        and Prime Minister Hashimoto in Tokyo.
            (2) The Japanese economy has experienced difficulty over the
        past few years, demonstrating that it is no longer possible for
        Japan, the world's second largest economy, to use exports as the
        sole engine of economic growth, but that the Government of Japan
        must promote deregulation of its domestic economy in order to
        increase economic growth.
            (3) Deregulation of the Japanese economy requires government
        attention to the removal of barriers to imports of manufactured
        goods.
            (4) The United States-Japan Semiconductor Trade Agreement has
        begun the process of deregulation in the semiconductor sector and
        is opening the Japanese market to competitive foreign products.
            (5) The United States-Japan Semiconductor Trade Agreement has
        put in place both government-to-government and industry-to-industry
        mechanisms which have played a vital role in allowing cooperation
        to replace conflict in this important high technology sector.
            (6) The mechanisms include joint calculation of foreign market
        share, deterrence of dumping, and promotion of industrial
        cooperation in the design of foreign semiconductor devices.
            (7) Because of these actions under the United States-Japan
        Semiconductor Trade Agreement, the United States and Japan today
        enjoy trade in semiconductors which is mutually beneficial,
        harmonious, and free from the friction that once characterized the
        semiconductor industry.
            (8) Because of structural barriers in Japan, a gap still
        remains between the share of the world market for semiconductor
        products outside Japan that the United States and other foreign
        semiconductor sources are able to capture through competitiveness
        and the share of the Japanese semiconductor market that the United
        States and those other sources are able to capture through
        competitiveness, and that gap is consistent across the full range
        of semiconductor products as well as a full range of end-use
        applications.
            (9) The competitiveness and health of the United States
        semiconductor industry is of critical importance to the overall
        economic well-being and high-technology defense capabilities of the
        United States.
            (10) The economic interests of both the United States and Japan
        are best served by well functioning, open markets, deterrence of
        dumping, and continuing good cooperative relationships in all
        sectors, including semiconductors.
            (11) A strong and healthy military and political alliance
        between the United States and Japan requires continuation of the
        industrial and economic cooperation promoted by the United States-
        Japan Semiconductor Trade Agreement.
            (12) President Clinton has called on the Government of Japan to
        agree to a continuation of the United States-Japan Semiconductor
        Trade Agreement beyond the current agreement's expiration on July
        31, 1996.
            (13) The Government of Japan has opposed any continuation of
        the United States-Japan Semiconductor Trade Agreement to promote
        cooperation in United States-Japan semiconductor trade.
        (b) Sense of Congress.--On the basis of the findings contained in
    subsection (a), it is the sense of Congress that--
            (1) it is regrettable that the Government of Japan has refused
        to consider continuation of the United States-Japan Semiconductor
        Trade Agreement to ensure that cooperation continues in the
        semiconductor sector beyond the expiration of the agreement on July
        31, 1996; and
            (2) the President should take all necessary and appropriate
        actions to ensure the resumption and extension of the United
        States-Japan Semiconductor Trade Agreement beyond July 31, 1996.
        (c) Definition.--For purposes of this section, the term ``United
    States-Japan Semiconductor Trade Agreement'' refers to the agreement
    between the United States and Japan concerning trade in semiconductor
    products, with arrangement, done by exchange of letters at Washington
    on June 11, 1991.
    SEC. 1082. AGREEMENTS FOR EXCHANGE OF DEFENSE PERSONNEL BETWEEN THE
    UNITED STATES AND FOREIGN COUNTRIES.
        (a) Authority To Enter Into International Exchange Agreements.--(1)
    The Secretary of Defense may enter into international defense personnel
    exchange agreements.
        (2) For purposes of this section, an international defense
    personnel exchange agreement is an agreement with the government of an
    ally of the United States or another friendly foreign country for the
    exchange of--
            (A) military and civilian personnel of the Department of
        Defense; and
            (B) military and civilian personnel of the defense ministry of
        that foreign government.
        (b) Assignment of Personnel.--(1) Pursuant to an international
    defense personnel exchange agreement, personnel of the defense ministry
    of a foreign government may be assigned to positions in the Department
    of Defense and personnel of the Department of Defense may be assigned
    to positions in the defense ministry of such foreign government.
    Positions to which exchanged personnel are assigned may include
    positions of instructors.
        (2) An agreement for the exchange of personnel engaged in research
    and development activities may provide for assignment of Department of
    Defense personnel to positions in private industry that support the
    defense ministry of the host foreign government.
        (3) An individual may not be assigned to a position pursuant to an
    international defense personnel exchange agreement unless the
    assignment is acceptable to both governments.
        (c) Reciprocity of Personnel Qualifications Required.--Each
    government shall be required under an international defense personnel
    exchange agreement to provide personnel with qualifications, training,
    and skills that are essentially equal to those of the personnel
    provided by the other government.
        (d) Payment of Personnel Costs.--(1) Each government shall pay the
    salary, per diem, cost of living, travel costs, cost of language or
    other training, and other costs for its own personnel in accordance
    with the applicable laws and regulations of such government.
        (2) Paragraph (1) does not apply to the following costs:
            (A) The cost of temporary duty directed by the host government.
            (B) The cost of training programs conducted to familiarize,
        orient, or certify exchanged personnel regarding unique aspects of
        the assignments of the exchanged personnel.
            (C) Costs incident to the use of the facilities of the host
        government in the performance of assigned duties.
        (e) Prohibited Conditions.--No personnel exchanged pursuant to an
    agreement under this section may take or be required to take an oath of
    allegiance to the host country or to hold an official capacity in the
    government of such country.
        (f) Relationship to Other Authority.--The requirements in
    subsections (c) and (d) shall apply in the exercise of any authority of
    the Secretaries of the military departments to enter into an agreement
    with the government of a foreign country to provide for the exchange of
    members of the armed forces and military personnel of the foreign
    country. The Secretary of Defense may prescribe regulations for the
    application of such subsections in the exercise of such authority.

    SEC. 1083. SENSE OF SENATE REGARDING BOSNIA AND HERZEGOVINA.

        It is the sense of the Senate that, notwithstanding any other
    provision of law, in order to maximize the amount of equipment provided
    to the Government of Bosnia and Herzegovina under the authority
    contained in section 540 of the Foreign Operations, Export Financing,
    and Related Programs Appropriations Act, 1996 (Public Law 104-107; 110
    Stat. 737), the price of the transferred equipment shall not exceed the
    lowest level at which the same or similar equipmenthas been transferred
    to any other country under any other United States Government program.

    SEC. 1084. DEFENSE BURDENSHARING.

        (a) Efforts To Increase Allied Burdensharing.--The President shall
    seek to have each nation that has cooperative military relations with
    the United States (including security agreements, basing arrangements,
    or mutual participation in multinational military organizations or
    operations) take one or more of the following actions:
            (1) Increase its financial contributions to the payment of the
        nonpersonnel costs incurred by the United States Government for
        stationing United States military personnel in that nation, with a
        goal of achieving by September 30, 2000, 75 percent of such costs.
        An increase in financial contributions by any nation under this
        paragraph may include the elimination of taxes, fees, or other
        charges levied on United States military personnel, equipment, or
        facilities stationed in that nation.
            (2) Increase its annual budgetary outlays for national defense
        as a percentage of its gross domestic product by 10 percent or at
        least to a level commensurate to that of the United States by
        September 30, 1997.
            (3) Increase its annual budgetary outlays for foreign
        assistance (to promote democratization, economic stabilization,
        transparency arrangements, defense economic conversion, respect for
        the rule of law, and internationally recognized human rights) by 10
        percent or at least to a level commensurate to that of the United
        States by September 30, 1997.
            (4) Increase the amount of military assets (including
        personnel, equipment, logistics, support and other resources) that
        it contributes, or would be prepared to contribute, to
        multinational military activities worldwide.
        (b) Authorities To Encourage Actions by United States Allies.--In
    seeking the actions described in subsection (a) with respect to any
    nation, or in response to a failure by any nation to undertake one or
    more of such actions, the President may take any of the following
    measures to the extent otherwise authorized by law:
            (1) Reduce the end strength level of members of the Armed
        Forces assigned to permanent duty ashore in that nation.
            (2) Impose on that nation fees or other charges similar to
        those that such nation imposes on United States forces stationed in
        that nation.
            (3) Reduce (through rescission, impoundment, or other
        appropriate procedures as authorized by law) the amount the United
        States contributes to the NATO Civil Budget, Military Budget, or
        Security Investment Program.
            (4) Suspend, modify, or terminate any bilateral security
        agreement the United States has with that nation, consistent with
        the terms of such agreement.
            (5) Reduce (through rescission, impoundment, or other
        appropriate procedures as authorized by law) any United States
        bilateral assistance appropriated for that nation.
            (6) Take any other action the President determines to be
        appropriate as authorized by law.
        (c) Report on Progress in Increasing Allied Burdensharing.--Not
    later than March 1, 1997, the Secretary of Defense shall submit to
    Congress a report on--
            (1) steps taken by other nations to complete the actions
        described in subsection (a);
            (2) all measures taken by the President, including those
        authorized in subsection (b), to achieve the actions described in
        subsection (a); and
            (3) the budgetary savings to the United States that are
        expected to accrue as a result of the steps described under
        paragraph (1).
        (d) Report on National Security Bases for Forward Deployment and
    Burdensharing Relationships.--(1) In order to ensure the best
    allocation of budgetary resources, the President shall undertake a
    review of the status of elements of the United States Armed Forces that
    are permanently stationed outside the United States. The review shall
    include an assessment of the following:
            (A) The alliance requirements that are to be found in
        agreements between the United States and other countries.
            (B) The national security interests that support permanently
        stationing elements of the United States Armed Forces outside the
        United States.
            (C) The stationing costs associated with the forward deployment
        of elements of the United States Armed Forces.
            (D) The alternatives available to forward deployment (such as
        material prepositioning, enhanced airlift and sealift, or joint
        training operations) to meet such alliance requirements or national
        security interests, with such alternatives identified and described
        in detail.
            (E) The costs and force structure configurations associated
        with such alternatives to forward deployment.
            (F) The financial contributions that allies of the United
        States make to common defense efforts (to promote democratization,
        economic stabilization, transparency arrangements, defense economic
        conversion, respect for the rule of law, and internationally
        recognized human rights).
            (G) The contributions that allies of the United States make to
        meeting the stationing costs associated with the forward deployment
        of elements of the United States Armed Forces.
            (H) The annual expenditures of the United States and its allies
        on national defense, and the relative percentages of each nation's
        gross domestic product constituted by those expenditures.
        (2) The President shall submit to Congress a report on the review
    under paragraph (1). The report shall be submitted not later than March
    1, 1997, in classified and unclassified form.
        (e) Report Date.--Section 1003(c) of Public Law 98-515 is amended
    by striking out ``each year'' and inserting ``by March 1, 1998, and
    every other year thereafter''.

                 TITLE XI--NATIONAL IMAGERY AND MAPPING AGENCY

    Sec. 1101. Short title.
    Sec. 1102. Findings.
    Sec. 1103. Role of Director of Central Intelligence in appointment and
              evaluation of certain intelligence officials.

                       Subtitle A--Establishment of Agency

    Sec. 1111. Establishment.
    Sec. 1112. Missions and authority.
    Sec. 1113. Transfers of personnel and assets.
    Sec. 1114. Compatibility with authority under the National Security Act
              of 1947.
    Sec. 1115. Creditable civilian service for career conditional employees
              of the Defense Mapping Agency.
    Sec. 1116. Saving provisions.
    Sec. 1117. Definitions.
    Sec. 1118. Authorization of appropriations.

              Subtitle B--Conforming Amendments and Effective Dates

    Sec. 1121. Redesignation and repeals.
    Sec. 1122. Reference amendments.
    Sec. 1123. Headings and clerical amendments.
    Sec. 1124. Effective date.

    SEC. 1101. SHORT TITLE.

        This title may be cited as the ``National Imagery and Mapping
    Agency Act of 1996''.

    SEC. 1102. FINDINGS.

        Congress makes the following findings:
            (1) There is a need within the Department of Defense and the
        Intelligence Community of the United States to provide a single
        agency focus for the growing number and diverse types of customers
        for imagery and geospatial information resources within the
        Government, to ensure visibility and accountability for those
        resources, and to harness, leverage, and focus rapid technological
        developments to serve the imagery, imagery intelligence, and
        geospatial information customers.
            (2) There is a need for a single Government agency to solicit
        and advocate the needs of that growing and diverse pool of
        customers.
            (3) A single combat support agency dedicated to imagery,
        imagery intelligence, and geospatial information could act as a
        focal point for support of all imagery intelligence and geospatial
        information customers, including customers in the Department of
        Defense, the Intelligence Community, and related agencies outside
        of the Department of Defense.
            (4) Such an agency would best serve the needs of the imagery,
        imagery intelligence, and geospatial information customers if it
        were organized--
                (A) to carry out its mission responsibilities under the
            authority, direction, and control of the Secretary of Defense,
            with the advice of the Chairman of the Joint Chiefs of Staff;
            and
                (B) to carry out its responsibilities to national
            intelligence customers in accordance with policies and
            priorities established by the Director of Central Intelligence.

    SEC. 1103. ROLE OF DIRECTOR OF CENTRAL INTELLIGENCE IN APPOINTMENT AND
                  EVALUATION OF CERTAIN INTELLIGENCE OFFICIALS.

        (a) In General.--Section 201 of title 10, United States Code, is
    amended to read as follows:
    ``Sec. 201. Certain intelligence officials: consultation and
        concurrence regarding appointments; evaluation of performance
        ``(a) Consultation Regarding Appointment.--Before submitting a
    recommendation to the President regarding the appointment of an
    individual to the position of Director of the Defense Intelligence
    Agency, the Secretary of Defense shall consult with the Director of
    Central Intelligence regarding the recommendation.
        ``(b) Concurrence in Appointment.--(1) Before submitting a
    recommendation to the President regarding the appointment of an
    individual to a position referred to in paragraph (2), the Secretary of
    Defense shall seek the concurrence of the Director of Central
    Intelligence in the recommendation. If the Director does not concur in
    the recommendation, the Secretary may make the recommendation to the
    President without the Director's concurrence, but shall include in the
    recommendation a statement that the Director does not concur in the
    recommendation.
        ``(2) Paragraph (1) applies to the following positions:
            ``(A) The Director of the National Security Agency.
            ``(B) The Director of the National Reconnaissance Office.
            ``(C) The Director of the National Imagery and Mapping Agency.
        ``(c) Performance Evaluations.--(1) The Director of Central
    Intelligence shall provide annually to the Secretary of Defense, for
    the Secretary's consideration, an evaluation of the performance of the
    individuals holding the positions referred to in paragraph (2) in
    fulfilling their respective responsibilities with regard to the
    National Foreign Intelligence Program.
        ``(2) The positions referred to in paragraph (1) are the following:
            ``(A) The Director of the National Security Agency.
            ``(B) The Director of the National Reconnaissance Office.
            ``(C) The Director of the National Imagery and Mapping
        Agency.''.
        (b) Clerical Amendment.--The item relating to section 201 in the
    table of sections at the beginning of subchapter II of chapter 8 of
    such title is amended to read as follows:

    ``201. Certain intelligence officials: consultation and concurrence
              regarding appointments; evaluation of performance.''.

                      Subtitle A--Establishment of Agency

    SEC. 1111. ESTABLISHMENT.

        (a) Establishment.--There is hereby established in the Department
    of Defense a Defense Agency to be known as the National Imagery and
    Mapping Agency.
        (b) Transfer of Functions From Department of Defense Entities.--The
    missions and functions of the following elements of the Department of
    Defense are transferred to the National Imagery and Mapping Agency:
            (1) The Defense Mapping Agency.
            (2) The Central Imagery Office.
            (3) Other elements of the Department of Defense as specified in
        the classified annex to this Act.
        (c) Transfer of Functions From Central Intelligence Agency.--The
    missions and functions of the following elements of the Central
    Intelligence Agency are transferred to the National Imagery and Mapping
    Agency:
            (1) The National Photographic Interpretation Center.
            (2) Other elements of the Central Intelligence Agency as
        specified in the classified annex to this Act.
        (d) Preservation of Level and Quality of Imagery Intelligence
    Support to All-Source Analysis and Production.--In managing the
    establishment of the National Imagery and Mapping Agency, the Secretary
    of Defense, in consultation with the Director of Central Intelligence,
    shall ensure that imagery intelligence support provided to all-source
    analysis and production is in no way degraded or compromised.

    SEC. 1112. MISSIONS AND AUTHORITY.

        (a) Agency Charter.--Part I of subtitle A of title 10, United
    States Code, is amended--
            (1) by redesignating chapter 22 as chapter 23; and
            (2) by inserting after chapter 21 the following new chapter 22:

               ``CHAPTER 22--NATIONAL IMAGERY AND MAPPING AGENCY

    ``Subchapter
                                                                        Sec.
    ``I. Missions and Authority.......................................   441

    ``II. Maps, Charts, and Geodetic Products.........................   451

    ``III. Personnel Management.......................................   461

    ``IV. Definitions.................................................   467

                     ``SUBCHAPTER I--MISSIONS AND AUTHORITY

    ``Sec.
    ``441. Establishment.
    ``442. Missions.
    ``443. Imagery intelligence and geospatial information: support for
              foreign countries.
    ``444. Support from Central Intelligence Agency.
    ``445. Protection of agency identifications and organizational
              information.

    ``Sec. 441. Establishment

        ``(a) Establishment.--The National Imagery and Mapping Agency is a
    combat support agency of the Department of Defense and has significant
    national missions.
        ``(b) Director.--(1) The Director of the National Imagery and
    Mapping Agency is the head of the agency.
        ``(2) Upon a vacancy in the position of Director, the Secretary of
    Defense shall recommend to the President an individual for appointment
    to the position.
        ``(3) If an officer of the armed forces on active duty is appointed
    to the position of Director, the position shall be treated as having
    been designated by the President as a position of importance and
    responsibility for purposes of section 601 of this title and shall
    carry the grade of lieutenant general, or, in the case of an officer of
    the Navy, vice admiral.
        ``(c) Director of Central Intelligence Collection Tasking
    Authority.--Unless otherwise directed by the President, the Director of
    Central Intelligence shall have authority (except as otherwise agreed
    by the Director and the Secretary of Defense) to--
            ``(1) approve collection requirements levied on national
        imagery collection assets;
            ``(2) determine priorities for such requirements; and
            ``(3) resolve conflicts in such priorities.
        ``(d) Availability and Continued Improvement of Imagery
    Intelligence Support to All-Source Analysis and Production Function.--
    The Secretary of Defense, in consultation with the Director of Central
    Intelligence, shall take all necessary steps to ensure the full
    availability and continued improvement of imagery intelligence support
    for all-source analysis and production.

    ``Sec. 442. Missions

        ``(a) National Security Missions.--(1) The National Imagery and
    Mapping Agency shall, in support of the national security objectives of
    the United States, provide the following:
            ``(A) Imagery.
            ``(B) Imagery intelligence.
            ``(C) Geospatial information.
        ``(2) Imagery, intelligence, and information provided in carrying
    out paragraph (1) shall be timely, relevant, and accurate.
        ``(b) Navigation Information.--The National Imagery and Mapping
    Agency shall improve means of navigating vessels of the Navy and the
    merchant marine by providing, under the authority of the Secretary of
    Defense, accurate and inexpensive nautical charts, sailing directions,
    books on navigation, and manuals of instructions for the use of all
    vessels of the United States and of navigators generally.
        ``(c) Maps, Charts, Etc.--The National Imagery and Mapping Agency
    shall prepare and distribute maps, charts, books, and geodetic products
    as authorized under subchapter II of this chapter.
        ``(d) National Missions.--The National Imagery and Mapping Agency
    also has national missions as specified in section 120(a) of the
    National Security Act of 1947.
        ``(e) Systems.--The National Imagery and Mapping Agency may, in
    furtherance of a mission of the Agency, design, develop, deploy,
    operate, and maintain systems related to the processing and
    dissemination of imagery intelligence and geospatial information that
    may be transferred to, accepted or used by, or used on behalf of--
            ``(1) the armed forces, including any combatant command,
        component of a combatant command, joint task force, or tactical
        unit; or
            ``(2) any other department or agency of the United States.
    ``Sec. 443. Imagery intelligence and geospatial information: support
        for foreign countries
        ``(a) Use of Appropriated Funds.--The Director of the National
    Imagery and Mapping Agency may use appropriated funds available to the
    National Imagery and Mapping Agency to provide foreign countries with
    imagery intelligence and geospatial information support.
        ``(b) Use of Funds Other Than Appropriated Funds.--The Director may
    use funds other than appropriated funds to provide foreign countries
    with imagery intelligence and geospatial information support,
    notwithstanding provisions of law relating to the expenditure of funds
    of the United States, except that--
            ``(1) no such funds may be expended, in whole or in part, by or
        for the benefit of the National Imagery and Mapping Agency for a
        purpose for which Congress had previously denied funds.
            ``(2) proceeds from the sale of imagery intelligence or
        geospatial information items may be used only to purchase
        replacement items similar to the items that are sold; and
            ``(3) the authority provided by this subsection may not be used
        to acquire items or services for the principal benefit of the
        United States.
        ``(c) Accommodation Procurements.--The authority under this section
    may be exercised to conduct accommodation procurements on behalf of
    foreign countries.
        ``(d) Coordination With Director of Central Intelligence.--The
    Director of the Agency shall coordinate with the Director of Central
    Intelligence any action under this section that involves imagery
    intelligence or intelligence products or involves providing support to
    an intelligence or security service of a foreign country.
    ``Sec. 444. Support from Central Intelligence Agency
        ``(a) Support Authorized.--The Director of Central Intelligence may
    provide support in accordance with this section to the Director of the
    National Imagery and Mapping Agency. The Director of the National
    Imagery and Mapping Agency may accept support provided under this
    section.
        ``(b) Administrative and Contract Services.--(1) In furtherance of
    the national intelligence effort, the Director of Central Intelligence
    may provide administrative and contract services to the National
    Imagery and Mapping Agency as if that agency were an organizational
    element of the Central Intelligence Agency.
        ``(2) Services provided under paragraph (1) may include the
    services of security police. For purposes of section 15 of the Central
    Intelligence Agency Act of 1949 (50 U.S.C. 403o), an installation of
    the National Imagery and Mapping Agency that is provided security
    police services under this section shall be considered an installation
    of the Central Intelligence Agency.
        ``(3) Support provided under this subsection shall be provided
    under terms and conditions agreed upon by the Secretary of Defense and
    the Director of Central Intelligence.
        ``(c) Detail of Personnel.--The Director of Central Intelligence
    may detail personnel of the Central Intelligence Agency indefinitely to
    the National Imagery and Mapping Agency without regard to any
    limitation on the duration of interagency details of Federal Government
    personnel.
        ``(d) Reimbursable or Nonreimbursable Support.--Support under this
    section may be provided and accepted on either a reimbursable basis or
    a nonreimbursable basis.
        ``(e) Authority To Transfer Funds.--(1) The Director of the
    National Imagery and Mapping Agency may transfer funds available for
    that agency to the Director of Central Intelligence for the Central
    Intelligence Agency.
        ``(2) The Director of Central Intelligence--
            ``(A) may accept funds transferred under paragraph (1); and
            ``(B) shall expend such funds, in accordance with the Central
        Intelligence Agency Act of 1949 (50 U.S.C. 403a et seq.), to
        provide administrative and contract services or detail personnel to
        the National Imagery and Mapping Agency under this section.
    ``Sec. 445. Protection of agency identifications and organizational
        information
        ``(a) Unauthorized Use of Agency Name, Initials, or Seal.--(1)
    Except with the written permission of the Secretary of Defense, no
    person may knowingly use, in connection with any merchandise, retail
    product, impersonation, solicitation, or commercial activity in a
    manner reasonably calculatedto convey the impression that such use is
    approved, endorsed, or authorized by the Secretary of Defense, any of
    the following:
            ``(A) The words `National Imagery and Mapping Agency', the
        initials `NIMA', or the seal of the National Imagery and Mapping
        Agency.
            ``(B) The words `Defense Mapping Agency', the initials `DMA',
        or the seal of the Defense Mapping Agency.
            ``(C) Any colorable imitation of such words, initials, or
        seals.
        ``(2) Whenever it appears to the Attorney General that any person
    is engaged or about to engage in an act or practice which constitutes
    or will constitute conduct prohibited by paragraph (1), the Attorney
    General may initiate a civil proceeding in a district court of the
    United States to enjoin such act or practice. Such court shall proceed
    as soon as practicable to a hearing and determination of such action
    and may, at any time before such final determination, enter such
    restraining orders or prohibitions, or take such other action as is
    warranted, to prevent injury to the United States or to any person or
    class of persons for whose protection the action is brought.

              ``SUBCHAPTER II--MAPS, CHARTS, AND GEODETIC PRODUCTS

    ``Sec.
    ``451. Maps, charts, and books.
    ``452. Pilot charts.
    ``453. Prices of maps, charts, and navigational publications.
    ``454. Exchange of mapping, charting, and geodetic data with foreign
              countries and international organizations.
    ``455. Maps, charts, and geodetic data: public availability; exceptions.
    ``456. Civil actions barred.

                     ``SUBCHAPTER III--PERSONNEL MANAGEMENT

    ``Sec.
    ``461. Management rights.

    ``Sec. 461. Management rights

        ``(a) Scope.--If there is no obligation under the provisions of
    chapter 71 of title 5 for the head of an agency of the United States to
    consult or negotiate with a labor organization on a particular matter
    by reason of that matter being covered by a provision of law or a
    Governmentwide regulation, the Director of the National Imagery and
    Mapping Agency is not obligated to consult or negotiate with a labor
    organization on that matter even if that provision of law or regulation
    is inapplicable to the National Imagery and Mapping Agency.
        ``(b) Bargaining Units.--The National Imagery and Mapping Agency
    shall accord exclusive recognition to a labor organization under
    section 7111 of title 5 only for a bargaining unit that was recognized
    as appropriate for the Defense Mapping Agency on the day before the
    date on which employees and positions of the Defense Mapping Agency in
    that bargaining unit became employees and positions of the National
    Imagery and Mapping Agency under the National Imagery and Mapping
    Agency Act of 1996 (title XI of the National Defense Authorization Act
    for Fiscal Year 1997).
        ``(c) Termination of Bargaining Unit Coverage of Position Modified
    To Affect National Security Directly.--(1) If the Director of the
    National Imagery and Mapping Agency determines that the
    responsibilities of a position within a collective bargaining unit
    should be modified to include intelligence, counterintelligence,
    investigative, or security duties not previously assigned to that
    position and that the performance of the newly assigned duties directly
    affects the national security of the United States, then, upon such a
    modification of the responsibilities of that position, the position
    shall cease to be covered by the collective bargaining unit and the
    employee in that position shall cease to be entitled to representation
    by a labor organization accorded exclusive recognition for that
    collective bargaining unit.
        ``(2) A determination described in paragraph (1) that is made by
    the Director of the National Imagery and Mapping Agency may not be
    reviewed by the Federal Labor Relations Authority or any court of the
    United States.

                          ``SUBCHAPTER IV--DEFINITIONS

    ``Sec.
    ``467. Definitions.

    ``Sec. 467. Definitions

        ``In this chapter:
            ``(1) The term `function' means any duty, obligation,
        responsibility, privilege, activity, or program.
            ``(2)(A) The term `imagery' means, except as provided in
        subparagraph (B), a likeness or presentation of any natural or
        manmade feature or related object or activity and the positional
        data acquired at the same time the likeness or representation was
        acquired, including--
                ``(i) products produced by space-based national
            intelligence reconnaissance systems; and
                ``(ii) likenesses or presentations produced by satellites,
            airborne platforms, unmanned aerial vehicles, or other similar
            means.
            ``(B) Such term does not include handheld or clandestine
        photography taken by or on behalf of human intelligence collection
        organizations.
            ``(3) The term `imagery intelligence' means the technical,
        geographic, and intelligence information derived through the
        interpretation or analysis of imagery and collateral materials.
            ``(4) The term `geospatial information' means information that
        identifies the geographic location and characteristics of natural
        or constructed features and boundaries on the earth and includes--
                ``(A) statistical data and information derived from, among
            other things, remote sensing, mapping, and surveying
            technologies;
                ``(B) mapping, charting, and geodetic data; and
                ``(C) geodetic products, as defined in section 455(c) of
            this title.''.
        (b) Transfer of Defense Mapping Agency Provisions.--(1) Sections
    2792, 2793, 2794, 2795, 2796, and 2798 of title 10, United States Code,
    are transferred to subchapter II of chapter 22 of such title, as added
    by subsection (a), inserted in that sequence in such subchapter
    following the table of sections, and redesignated in accordance with
    the following table:

    Section
                                                                  Section as
    transferred
                                                                redesignated
        2792..........................................................  451

        2793..........................................................  452

        2794..........................................................  453

        2795..........................................................  454

        2796..........................................................  455

        2798..........................................................  456.

        (2) Sections 451(1), 452, 453, 454, and 455 (in subsections (a) and
    (b)(1)(C)), and 456 of title 10, United States Code, as transferred and
    redesignated by paragraph (1), are amended by striking out ``Defense
    Mapping Agency'' each place it appears and inserting in lieu thereof
    ``National Imagery and Mapping Agency''.
        (c) Oversight of Agency as a Combat Support Agency.--Section 193 of
    title 10, United States Code, is amended--
            (1) in subsection (d)--
                (A) by striking out the caption and inserting in lieu
            thereof ``Review of National Security Agency and National
            Imagery and Mapping Agency.--'';
                (B) in paragraph (1)--
                    (i) by inserting ``and the National Imagery and Mapping
                Agency'' after ``the National Security Agency''; and
                    (ii) by striking out ``the Agency'' and inserting in
                lieu thereof ``that the agencies''; and
                (C) in paragraph (2), by inserting ``and the National
            Imagery and Mapping Agency'' after ``the National Security
            Agency'';
            (2) in subsection (e)--
                (A) by striking out ``DIA and NSA'' in the caption and
            inserting in lieu thereof the following: ``DIA, NSA, and
            NIMA''; and
                (B) by striking out ``and the National Security Agency''
            and inserting in lieu thereof ``, the National Security Agency,
            and the National Imagery and Mapping Agency''; and
            (3) in subsection (f), by striking out paragraph (4) and
        inserting in lieu thereof the following:
            ``(4) The National Imagery and Mapping Agency.''.
        (d) Consolidation and Standardization of Exemptions From Disclosure
    of Organizational and Personnel Information.--Chapter 21 of title 10,
    United States Code, is amended by striking out sections 424 and 425 and
    inserting in lieu thereof the following:
    ``Sec. 424. Disclosure of organizational and personnel information:
        exemption for Defense Intelligence Agency, National Reconnaissance
        Office, and National Imagery and Mapping Agency
        ``(a) Exemption From Disclosure.--Except as required by the
    President or as provided in subsection (c), no provision of law shall
    be construed to require the disclosure of--
            ``(1) the organization or any function of an organization of
        the Department of Defense named in subsection (b); or
            ``(2) the number of persons employed by or assigned or detailed
        to any such organization or the name, official title, occupational
        series, grade, or salary of any such person.
        ``(b) Covered Organizations.--This section applies to the following
    organizations of the Department of Defense:
            ``(1) The Defense Intelligence Agency.
            ``(2) The National Reconnaissance Office.
            ``(3) The National Imagery and Mapping Agency.
        ``(c) Provision of Information to Congress.--Subsection (a) does
    not apply with respect to the provision of information to Congress.''.
        (e) Special Printing Authority for Agency.--(1) Section
    207(a)(2)(B) of the Legislative Branch Appropriations Act, 1993 (Public
    Law 102-392; 44 U.S.C. 501 note), is amended by inserting ``National
    Imagery and Mapping Agency,'' after ``Defense Intelligence Agency,''.
        (2) Section 1336 of title 44, United States Code, is amended--
            (A) by striking out ``Secretary of the Navy'' and inserting in
        lieu thereof ``Director of the National Imagery and Mapping
        Agency''; and
            (B) by striking out ``United States Naval Oceanographic
        Office'' and inserting in lieu thereof ``National Imagery and
        Mapping Agency''.

    SEC. 1113. TRANSFERS OF PERSONNEL AND ASSETS.

        (a) Personnel and Assets.--Subject to subsections (b) and (c), the
    personnel, assets, unobligated balances of appropriations and
    authorizations of appropriations, and, to the extent jointly determined
    appropriate by the Secretary of Defense and Director of Central
    Intelligence, obligated balances of appropriations and authorizations
    of appropriations employed, used, held, arising from, or available in
    connection with the missions and functions transferred under section
    1111(b) or section 1111(c) are transferred to the National Imagery and
    Mapping Agency. Transfers of appropriations from the Central
    Intelligence Agency under this subsection shall be made in accordance
    with section 1531 of title 31, United States Code.
        (b) Determination of CIA Positions To Be Transferred.--Not earlier
    than two years after the effective date of this subtitle, the Secretary
    of Defense and the Director of Central Intelligence shall determine
    which, if any, positions and personnel of the Central Intelligence
    Agency are to be transferred to the National Imagery and Mapping
    Agency. The positions to be transferred, and the employees serving in
    such positions, shall be transferred to the National Imagery and
    Mapping Agency under terms and conditions prescribed by the Secretary
    of Defense and the Director of Central Intelligence.
        (c) Rule For CIA Imagery Activities Only Partially Transferred.--If
    the National Photographic Interpretation Center of the Central
    Intelligence Agency or any imagery-related activity of the Central
    Intelligence Agency authorized to be performed by the National Imagery
    and Mapping Agency is not completely transferred to the National
    Imagery and Mapping Agency, the Secretary of Defense and the Director
    of Central Intelligence shall--
            (1) jointly determine which, if any, contracts, leases,
        property, and records employed, used, held, arising from, available
        to, or otherwise relating to such Center or activity is to be
        transferred to the National Imagery and Intelligence Agency; and
            (2) provide by written agreement for the transfer of such
        items.
    SEC. 1114. COMPATIBILITY WITH AUTHORITY UNDER THE NATIONAL SECURITY ACT
    OF 1947.
        (a) Agency Functions.--Paragraph (2) of section 105(b) of the
    National Security Act of 1947 (50 U.S.C. 403-5(b)) is amended to read
    as follows:
            ``(2) through the National Imagery and Mapping Agency (except
        as otherwise directed by the President or the National Security
        Council), with appropriate representation from the intelligence
        community, the continued operation of an effective unified
        organization within the Department of Defense--
                ``(A) for carrying out tasking of imagery collection;
                ``(B) for the coordination of imagery processing and
            exploitation activities;
                ``(C) for ensuring the dissemination of imagery in a timely
            manner to authorized recipients; and
                ``(D) notwithstanding any other provision of law, for--
                    ``(i) prescribing technical architecture and standards
                related to imagery intelligence and geospatial information
                and ensuring compliance with such architecture and
                standards; and
                    ``(ii) developing and fielding systems of common
                concern related to imagery intelligence and geospatial
                information;''.
        (b) National Mission.--Title I of such Act (50 U.S.C. 402 et seq.)
    is amended by adding at the end the following new section:

            ``national mission of national imagery and mapping agency

        ``Sec. 120. (a) In General.--In addition to the Department of
    Defense missions set forth in section 442 of title 10, United States
    Code, the National Imagery and Mapping Agency shall support the imagery
    requirements of the Department of State and other departments and
    agencies of the United States outside the Department of Defense.
        ``(b) Requirements and Priorities.--The Director of Central
    Intelligence shall establish requirements and priorities governing the
    collection of national intelligence by the National Imagery and Mapping
    Agency under subsection (a).
        ``(c) Correction of Deficiencies.--The Director of Central
    Intelligence shall develop and implement such programs and policies as
    the Director and the Secretary of Defense jointly determine necessary
    to review and correct deficiencies identified in the capabilities of
    the National Imagery and Mapping Agency to accomplish assigned national
    missions, including support to the all-source analysis and production
    process. The Director shall consult with the Secretary of Defense on
    the development and implementation of such programs and policies. The
    Secretary shall obtain the advice of the Chairman of the Joint Chiefs
    of Staff regarding the matters on which the Director and the Secretary
    are to consult under the preceding sentence.''.
        (c) Tasking of Imagery Assets.--Title I of such Act is further
    amended by adding at the end the following new section:

                          ``collection tasking authority

        ``Sec. 121. Unless otherwise directed by the President, the
    Director of Central Intelligence shall have authority (except as
    otherwise agreed by the Director and the Secretary of Defense) to--
            ``(1) approve collection requirements levied on national
        imagery collection assets;
            ``(2) determine priorities for such requirements; and
            ``(3) resolve conflicts in such priorities.''.
        (d) Clerical Amendment.--The table of contents in the first section
    of such Act is amended by inserting after the item relating to section
    109 the following new items:
    ``Sec. 120. National mission of National Imagery and Mapping Agency.
    ``Sec. 121. Collection tasking authority.''.
    SEC. 1115. CREDITABLE CIVILIAN SERVICE FOR CAREER CONDITIONAL EMPLOYEES
    OF THE DEFENSE MAPPING AGENCY.
        In the case of an employee of the National Imagery and Mapping
    Agency who, on the day before the effective date of this title, was an
    employee of the Defense Mapping Agency in a career-conditional status,
    the continuous service of that employee as an employee of the National
    Imagery and Mapping Agency on and after such date shall be considered
    creditable service for the purpose of any determination of the career
    status of the employee.

    SEC. 1116. SAVING PROVISIONS.

        (a) Continuing Effect on Legal Documents.--All orders,
    determinations, rules, regulations, permits, agreements, international
    agreements, grants, contracts, leases, certificates, licenses,
    registrations, privileges, and other administrative actions--
            (1) which have been issued, made, granted, or allowed to become
        effective by the President, any Federal agency or official thereof,
        or by a court of competent jurisdiction, in connection with any of
        the functions which are transferred under this title or any
        function that the National Imagery and Mapping Agency is authorized
        to perform by law, and
            (2) which are in effect at the time this title takes effect, or
        were final before the effective date of this title and are to
        become effective on or after the effective date of this title,
    shall continue in effect according to their terms until modified,
    terminated, superseded, set aside, or revoked in accordance with law by
    the President, the Secretary of Defense, the Director of the National
    Imagery and Mapping Agency or other authorized official, a court of
    competent jurisdiction, or by operation of law.
        (b) Proceedings Not Affected.--This title and the amendments made
    by this title shall not affect any proceedings, including notices of
    proposed rulemaking, or any application for any license, permit,
    certificate, or financial assistance pending before an element of the
    Department of Defense or Central Intelligence Agency at the time this
    title takes effect, with respect to function of that element
    transferred by section 1122, but such proceedings and applications
    shall be continued. Orders shall be issued in such proceedings, appeals
    shall be taken therefrom, and payments shall be made pursuant to such
    orders, as if this title had not been enacted, and orders issued in any
    such proceedings shall continue in effect until modified, terminated,
    superseded, or revoked by a duly authorized official, by a court of
    competent jurisdiction, or by operation of law. Nothing in this section
    shall be deemed to prohibit the discontinuance or modification of any
    such proceeding under the same terms and conditions and to the same
    extent that such proceeding could have been discontinued or modified if
    this title had not been enacted.

    SEC. 1117. DEFINITIONS.

        In this subtitle, the terms ``function'', ``imagery'', ``imagery
    intelligence'', and ``geospatial information'' have the meanings given
    those terms in section 467 of title 10, United States Code, as added by
    section 1112.

    SEC. 1118. AUTHORIZATION OF APPROPRIATIONS.

        Funds are authorized to be appropriated for the National Imagery
    and Mapping Agency for fiscal year 1997 in amounts and for purposes,
    and subject to the terms, conditions, limitations, restrictions, and
    requirements, that are set forth in the Classified Annex to this Act.

             Subtitle B--Conforming Amendments and Effective Dates

    SEC. 1121. REDESIGNATION AND REPEALS.

        (a) Redesignation.--Chapter 23 of title 10, United States Code (as
    redesignated by section 1112(a)(1)) is amended by redesignating the
    sections in that chapter as sections 481 and 482, respectively.
        (b) Repeal of Superseded Law.--Chapter 167 of such title, as
    amended by section 1112(b), is repealed.

    SEC. 1122. REFERENCE AMENDMENTS.

        (a) Title 5, United States Code.--Title 5, United States Code, is
    amended as follows:
            (1) Central imagery office.--Sections 2302(a)(2)(C)(ii),
        3132(a)(1)(B), 4301(1) (in clause (ii)), 4701(a)(1)(B), 5102(a)(1)
        (in clause (xi)), 5342(a)(1)(L), 6339(a)(1)(E), and
        7323(b)(2)(B)(i)(XIII) are amended by striking out ``Central
        Imagery Office'' and inserting in lieu thereof ``National Imagery
        and Mapping Agency''.
            (2) Director, central imagery office.--Section 6339(a)(2)(E) is
        amended by striking out ``Central Imagery Office, the Director of
        the Central Imagery Office'' and inserting in lieu thereof
        ``National Imagery and Mapping Agency, the Director of the National
        Imagery and Mapping Agency''.
        (b) Other Laws.--The following provisions of law are amended by
    striking out ``Central Imagery Office'' and inserting in lieu thereof
    ``National Imagery and Mapping Agency'':
            (1) National security act of 1947.--Section 3(4)(E) of the
        National Security Act of 1947 (50 U.S.C. 401a(4)(E)).
            (2) Ethics in government act of 1978.--Section 105(a) of the
        Ethics in Government Act of 1978 (Public Law 95-521; 5 U.S.C. App.
        4).
            (3) Employee polygraph protection act.--Section 7(b)(2)(A)(i)
        of the Employee Polygraph Protection Act of 1988 (Public Law 100-
        347; 29 U.S.C. 2006(b)(2)(A)(i)).
        (c) Cross Reference.--Section 82 of title 14, United States Code,
    is amended by striking out ``chapter 167'' and inserting in lieu
    thereof ``subchapter II of chapter 22''.

    SEC. 1123. HEADINGS AND CLERICAL AMENDMENTS.

        (a) Title 10, United States Code.--
            (1) The table of chapters at the beginning of subtitle A of
        title 10, United States Code, is amended--
                (A) by striking out the item relating to chapter 22 and
            inserting in lieu thereof the following:

    ``22. National Imagery and Mapping Agency.........................  441

    ``23. Miscellaneous Studies and Reports...........................471'';

            and
                (B) by striking out the item relating to chapter 167.
            (2) The table of chapters at the beginning of part I of such
        subtitle is amended by striking out the item relating to chapter 22
        and inserting in lieu thereof the following:

    ``22. National Imagery and Mapping Agency.........................  441

    ``23. Miscellaneous Studies and Reports...........................471'';

            (3) The table of chapters at the beginning of part IV of such
        subtitle is amended by striking out the item relating to chapter
        167.
            (4) The items in the table of sections at the beginning of
        chapter 23 of title 10, United States Code (as redesignated by
        section 1112(a)(1)), are revised so as to reflect the
        redesignations made by section 1121(a).
        (b) Title 44, United States Code.--
            (1) The heading of section 1336 of title 44, United States
        Code, is amended to read as follows:
    ``Sec. 1336. National Imagery and Mapping Agency: special
         publications''.
            (2) The item relating to that section in the tables of sections
        at the beginning of chapter 13 of such title is amended to read as
        follows:
    ``1336. National Imagery and Mapping Agency: special publications.''.

    SEC. 1124. EFFECTIVE DATE.

        This title and the amendments made by this title shall take effect
    on October 1, 1996, or the date of the enactment of this Act, whichever
    is later.

                    TITLE XII--RESERVE FORCES REVITALIZATION

                    TITLE XII--RESERVE FORCES REVITALIZATION

    Sec. 1201. Short title.
    Sec. 1202. Purpose.

                     Subtitle A--Reserve Component Structure

    Sec. 1211. Reserve component commands.
    Sec. 1212. Reserve component chiefs.
    Sec. 1213. Review of active duty and Reserve general and flag officer
              authorizations.
    Sec. 1214. Guard and Reserve technicians.

                   Subtitle B--Reserve Component Accessibility

    Sec. 1231. Report to Congress on measures to improve National Guard and
              Reserve ability to respond to emergencies.
    Sec. 1232. Report to Congress concerning tax incentives for employers of
              members of Reserve components.
    Sec. 1233. Report to Congress concerning income insurance program for
              activated Reservists.
    Sec. 1234. Report to Congress concerning small business loans for
              members released from Reserve service during contingency
              operations.

                     Subtitle C--Reserve Forces Sustainment

    Sec. 1251. Report concerning tax deductibility of nonreimbursable
              expenses.
    Sec. 1252. Authority to pay transient housing charges for members
              performing active duty for training.
    Sec. 1253. Sense of Congress concerning quarters allowance during
              service on active duty for training.
    Sec. 1254. Sense of Congress concerning military leave policy.
    Sec. 1255. Reserve Forces Policy Board.
    Sec. 1256. Report on parity of benefits for active duty service and
              Reserve service.
    Sec. 1257. Information on proposed funding for the Guard and Reserve
              components in future-years defense programs.

    SEC. 1201. SHORT TITLE.

        This title may be cited as the ``Reserve Forces Revitalization Act
    of 1996''.

    SEC. 1202. PURPOSE.

        The purpose of this title is to revise the basic statutory
    authorities governing the organization and administration of the
    reserve components of the Armed Forces in order to recognize the
    realities of reserve component partnership in the Total Force and to
    better prepare the American citizen-soldier, sailor, airman, and Marine
    in time of peace for duties in war.

                    Subtitle A--Reserve Component Structure

    SEC. 1211. RESERVE COMPONENT COMMANDS.

        (a) Establishment.--(1) Part I of subtitle E of title 10, United
    States Code, is amended by inserting after chapter 1005 the following
    new chapter:

                   ``CHAPTER 1006--RESERVE COMPONENT COMMANDS

    ``Sec.
    ``10171. United States Army Reserve Command.
    ``10172. Naval Reserve Force.
    ``10173. Marine Forces Reserve.
    ``10174. Air Force Reserve Command.

    ``Sec. 10171. United States Army Reserve Command

        ``(a) Command.--The United States Army Reserve Command is a
    separate command of the Army commanded by the Chief of Army Reserve.
        ``(b) Chain of Command.--Except as otherwise prescribed by the
    Secretary of Defense, the Secretary of the Army shall prescribe the
    chain of command for the United States Army Reserve Command.
        ``(c) Assignment of Forces.--The Secretary of the Army--
            ``(1) shall assign to the United States Army Reserve Command
        all forces of the Army Reserve in the continental United States
        other than forces assigned to the unified combatant command for
        special operations forces established pursuant to section 167 of
        this title; and
            ``(2) except as otherwise directed by the Secretary of Defense
        in the case of forces assigned to carry out functions of the
        Secretary of the Army specified in section 3013 of this title,
        shall assign all such forces of the Army Reserve to the commander
        of the United States Atlantic Command.

    ``Sec. 10172. Naval Reserve Force

        ``(a) Establishment of Command.--The Secretary of the Navy, with
    the advice and assistance of the Chief of Naval Operations, shall
    establish a Naval Reserve Force. The Naval Reserve Force shall be
    operated as a separate command of the Navy.
        ``(b) Commander.--The Chief of Naval Reserve shall be the commander
    of the Naval Reserve Force. The commander of the Naval Reserve Force
    reports directly to the Chief of Naval Operations.
        ``(c) Assignment of Forces.--The Secretary of the Navy--
            ``(1) shall assign to the Naval Reserve Force specified
        portions of the Naval Reserve other than forces assigned to the
        unified combatant command for special operations forces established
        pursuant to section 167 of this title; and
            ``(2) except as otherwise directed by the Secretary of Defense
        in the case of forces assigned to carry out functions of the
        Secretary of the Navy specified in section 5013 of this title,
        shall assign to the combatant commands all such forces assigned to
        the Naval Reserve Force under paragraph (1) in the manner specified
        by the Secretary of Defense.

    ``Sec. 10173. Marine Forces Reserve

        ``(a) Establishment.--The Secretary of the Navy, with the advice
    and assistance of the Commandant of the Marine Corps, shall establish
    in the Marine Corps a command known as the Marine Forces Reserve.
        ``(b) Commander.--The Marine Forces Reserve is commanded by the
    Commander, Marine Forces Reserve. The Commander, Marine Forces Reserve,
    reports directly to the Commandant of the Marine Corps.
        ``(c) Assignment of Forces.--The Commandant of the Marine Corps--
            ``(1) shall assign to the Marine Forces Reserve the forces of
        the Marine Corps Reserve stationed in the continental United States
        other than forces assigned to the unified combatant command for
        special operations forces established pursuant to section 167 of
        this title; and
            ``(2) except as otherwise directed by the Secretary of Defense
        in the case of forces assigned to carry out functions of the
        Secretary of the Navy specified in section 5013 of this title,
        shall assign to the combatant commands (through the Marine Corps
        component commander for each such command) all such forces assigned
        to the Marine Forces Reserve under paragraph (1) in the manner
        specified by the Secretary of Defense.

    ``Sec. 10174. Air Force Reserve Command

        ``(a) Establishment of Command.--The Secretary of the Air Force,
    with the advice and assistance of the Chief of Staff of the Air Force,
    shall establish an Air Force Reserve Command. The Air Force Reserve
    Command shall be operated as a separate command of the Air Force.
        ``(b) Commander.--The Chief of Air Force Reserve is the Commander
    of the Air Force Reserve Command. The commander of the Air Force
    Reserve Command reports directly to the Chief of Staff of the Air
    Force.
        ``(c) Assignment of Forces.--The Secretary of the Air Force--
            ``(1) shall assign to the Air Force Reserve Command all forces
        of the Air Force Reserve stationed in the continental United States
        other than forces assigned to the unified combatant command for
        special operations forces established pursuant to section 167 of
        this title; and
            ``(2) except as otherwise directed by the Secretary of Defense
        in the case of forces assigned to carry out functions of the
        Secretary of the Air Force specified in section 8013 of this title,
        shall assign to the combatant commands all such forces assigned to
        the Air Force Reserve Command under paragraph (1) in the manner
        specified by the Secretary of Defense.''.
        (2) The tables of chapters at the beginning of part I of such
    subtitle and at the beginning of such subtitle are each amended by
    inserting after the item relating to chapter 1005 the following new
    item:

    ``1006. Reserve Component Commands..............................10171''.

        (b) Conforming Repeal.--Section 903 of the National Defense
    Authorization Act for Fiscal Year 1991 (10 U.S.C. 3074 note) is
    repealed.
        (c) Implementation Schedule.--Implementation of chapter 1006 of
    title 10, United States Code, as added by subsection (a), shall begin
    not later than 90 days after the date of the enactment of this Act and
    shall be completed not later than one year after such date.

    SEC. 1212. RESERVE COMPONENT CHIEFS.

        (a) Chief of Army Reserve.--Section 3038 of title 10, United States
    Code, is amended by adding at the end the following new subsections:
        ``(d) Budget.--The Chief of Army Reserve is the official within the
    executive part of the Department of the Army who, subject to the
    authority, direction, and control of the Secretary of the Army and the
    Chief of Staff, is responsible for justification and execution of the
    personnel, operation and maintenance, and construction budgets for the
    Army Reserve. As such, the Chief of Army Reserve is the director and
    functional manager of appropriations made for the Army Reserve in those
    areas.
        ``(e) Full Time Support Program.--The Chief of Army Reserve
    manages, with respect to the Army Reserve, the personnel program of the
    Department of Defense known as the Full Time Support Program.
        ``(f) Annual Report.--(1) The Chief of Army Reserve shall submit to
    the Secretary of Defense, through the Secretary of the Army, an annual
    report on the state of the Army Reserve and the ability of the Army
    Reserve to meet its missions. The report shall be prepared in
    conjunction with the Chief of Staff of the Army and may be submitted in
    classified and unclassified versions.
        ``(2) The Secretary of Defense shall transmit the annual report of
    the Chief of Army Reserve under paragraph (1) to Congress, together
    with such comments on the report as the Secretary considers
    appropriate. The report shall be transmitted at the same time each year
    that the annual report of the Secretary under section 113 of this title
    is submitted to Congress.''.
        (b) Chief of Naval Reserve.--(1) Chapter 513 of such title is
    amended by inserting after section 5142a the following new section:

    ``Sec. 5143. Office of Naval Reserve: appointment of Chief

        ``(a) Establishment of Office: Chief of Naval Reserve.--There is in
    the executive part of the Department of the Navy, on the staff of the
    Chief of Naval Operations, an Office of the Naval Reserve, which is
    headed by a Chief of Naval Reserve. The Chief of Naval Reserve--
            ``(1) is the principal adviser on Naval Reserve matters to the
        Chief of Naval Operations; and
            ``(2) is the commander of the Naval Reserve Force.
        ``(b) Appointment.--The President, by and with the advice and
    consent of the Senate, shall appoint the Chief of Naval Reserve from
    officers who--
            ``(1) have had at least 10 years of commissioned service;
            ``(2) are in a grade above captain; and
            ``(3) have been recommended by the Secretary of the Navy.
        ``(c) Grade.--(1) The Chief of Naval Reserve holds office for a
    term determined by the Chief of Naval Operations, normally four years,
    but may be removed for cause at any time. He is eligible to succeed
    himself.
        ``(2) The Chief of Naval Reserve, while so serving, has a grade
    above rear admiral (lower half), without vacating the officer's
    permanent grade.
        ``(d) Budget.--The Chief of Naval Reserve is the official within
    the executive part of the Department of the Navy who, subject to the
    authority, direction, and control of the Secretary of the Navy and the
    Chief of Naval Operations, is responsible for preparation,
    justification, and execution of the personnel, operation and
    maintenance, and construction budgets for the Naval Reserve. As such,
    the Chief of Naval Reserve is the director and functional manager of
    appropriations made for the Naval Reserve in those areas.
        ``(e) Annual Report.--(1) The Chief of Naval Reserve shall submit
    to the Secretary of Defense, through the Secretary of the Navy, an
    annual report on the state of the Naval Reserve and the ability of the
    Naval Reserve to meet its missions. The report shall be prepared in
    conjunction with the Chief of Naval Operations and may be submitted in
    classified and unclassified versions.
        ``(2) The Secretary of Defense shall transmit the annual report of
    the Chief of Naval Reserve under paragraph (1) to Congress, together
    with such comments on the report as the Secretary considers
    appropriate. The report shall be transmitted at the same time each year
    that the annual report of the Secretary under section 113 of this title
    is submitted to Congress.''.
        (2) The table of sections at the beginning of such chapter is
    amended by inserting after the item relating to section 5142a the
    following new item:
    ``5143. Office of Naval Reserve: appointment of Chief.''.

        (c) Chief of Marine Forces Reserve.--(1) Chapter 513 of such title
    is amended by inserting after section 5143 (as added by subsection (b))
    the following new section:

    ``Sec. 5144. Office of Marine Forces Reserve: appointment of Commander

        ``(a) Establishment of Office; Commander, Marine Forces Reserve.--
    There is in the executive part of the Department of the Navy an Office
    of the Marine Forces Reserve, which is headed by the Commander, Marine
    Forces Reserve. The Commander, Marine Forces Reserve, is the principal
    adviser to the Commandant on Marine Forces Reserve matters.
        ``(b) Appointment.--The President, by and with the advice and
    consent of the Senate, shall appoint the Commander, Marine Forces
    Reserve, from officers of the Marine Corps who--
            ``(1) have had at least 10 years of commissioned service;
            ``(2) are in a grade above colonel; and
            ``(3) have been recommended by the Secretary of the Navy.
        ``(c) Term of Office; Grade.--(1) The Commander, Marine Forces
    Reserve, holds office for a term determined by the Commandant of the
    Marine Corps, normally four years, but may be removed for cause at any
    time. He is eligible to succeed himself.
        ``(2) The Commander, Marine Forces Reserve, while so serving, has a
    grade above brigadier general, without vacating the officer's permanent
    grade.
        ``(d) Annual Report.--(1) The Commander, Marine Forces Reserve,
    shall submit to the Secretary of Defense, through the Secretary of the
    Navy, an annual report on the state of the Marine Corps Reserve and the
    ability of the Marine Corps Reserve to meet its missions. The report
    shall be prepared in conjunction with the Commandant of the Marine
    Corps and may be submitted in classified and unclassified versions.
        ``(2) The Secretary of Defense shall transmit the annual report of
    the Commander, Marine Forces Reserve, under paragraph (1) to Congress,
    together with such comments on the report as the Secretary considers
    appropriate. The report shall be transmitted at the same time each year
    that the annual report of the Secretary under section 113 of this title
    is submitted to Congress.''.
        (2) The table of sections at the beginning of such chapter is
    amended by inserting after the item relating to section 5143 (as added
    by subsection (b)) the following new item:

    ``5144. Office of Marine Forces Reserve: appointment of Commander.''.

        (d) Chief of Air Force Reserve.--Section 8038 of such title is
    amended by adding at the end the following new subsections:
        ``(d) Budget.--The Chief of Air Force Reserve is the official
    within the executive part of the Department of the Air Force who,
    subject to the authority, direction, and control of the Secretary of
    the Air Force and the Chief of Staff, is responsible for preparation,
    justification, and execution of the personnel, operation and
    maintenance, and construction budgets for the Air Force Reserve. As
    such, the Chief of Air Force Reserve is the director and functional
    manager of appropriations made for the Air Force Reserve in those
    areas.
        ``(e) Full Time Support Program.--(1) The Chief of Air Force
    Reserve manages, with respect to the Air Force Reserve, the personnel
    program of the Department of Defense known as the Full Time Support
    Program.
        ``(f) Annual Report.--(1) The Chief of Air Force Reserve shall
    submit to the Secretary of Defense, through the Secretary of the Air
    Force, an annual report on the state of the Air Force Reserve and the
    ability of the Air Force Reserve to meet its missions. The report shall
    be prepared in conjunction with the Chief of Staff of the Air Force and
    may be submitted in classified and unclassified versions.
        ``(2) The Secretary of Defense shall transmit the annual report of
    the Chief of Air Force Reserve under paragraph (1) to Congress,
    together with such comments on the report as the Secretary considers
    appropriate. The report shall be transmitted at the same time each year
    that the annual report of the Secretary under section 113 of this title
    is submitted to Congress.''.
        (e) Conforming Amendment.--Section 641(1)(B) of such title is
    amended by inserting ``5143, 5144,'' after ``3038,''.
    SEC. 1213. REVIEW OF ACTIVE DUTY AND RESERVE GENERAL AND FLAG OFFICER
    AUTHORIZATIONS.
        (a) Report to Congress.--Not later than six months after the date
    of the enactment of this Act, the Secretary of Defense shall submit to
    Congress a report containing any recommendations of the Secretary
    (together with the rationale of the Secretary for the recommendations)
    concerning the following:
            (1) Revision of the limitations on general and flag officer
        grade authorizations and distribution in grade prescribed by
        sections 525, 526, and 12004 of title 10, United States Code.
            (2) Statutory designation of the positions and grades of any
        additional general and flag officers in the commands and offices
        created by sections 1211 and 1212.
        (b) Matters To Be Included.--The Secretary shall include in the
    report under subsection (a) the Secretary's views on whether current
    limitations referred to in subsection (a)--
            (1) permit the Secretaries of the military departments, in view
        of increased requirements for assignment of general and flag
        officers in positions external to their organic services, to meet
        adequately both internal and external requirements for general and
        flag officers;
            (2) adequately recognize the significantly increased role of
        the reserve components in both service-specific and joint
        operations; and
            (3) permit the Secretaries of the military departments and the
        reserve components to assign general and flag officers to active
        and reserve component positions with grades commensurate with the
        scope of duties and responsibilities of the position.
        (c) Exemptions From Active-Duty Ceilings.--(1) The Secretary shall
    include in the report under subsection (a) the Secretary's
    recommendations regarding the merits of exempting from any active-duty
    ceiling (established by law or administrative action) the following
    officers:
            (A) Reserve general and flag officers assigned to positions
        specified in the organizations created by this title.
            (B) Reserve general and flag officers serving on active duty,
        but who are excluded from the active-duty list.
        (2) If the Secretary determines under paragraph (1) that any
    Reserve general or flag officers should be exempt from active duty
    limits, the Secretary shall include in the report under subsection (a)
    the Secretary's recommendations for--
            (A) the effective management of those Reserve general and flag
        officers; and
            (B) revision of active duty ceilings so as to prevent an
        increase in the numbers of active general and flag officers
        authorizations due solely to the removal of Reserve general and
        flag officers from under the active duty authorizations.
        (3) If the Secretary determines under paragraph (1) that active and
    reserve general officers on active duty should continue to be managed
    under a common ceiling, the Secretary shall make recommendations for
    the appropriate apportionment of numbers for general and flag officers
    among active and reserve officers.
        (d) Reserve Forces Policy Board Participation.--The Secretary of
    Defense shall ensure that the Reserve Forces Policy Board participates
    in the internal Department of Defense process for development of the
    recommendations of the Secretary contained in the report under
    subsection (a). If the Board submits to the Secretary any comments or
    recommendations for inclusion in the report, the Secretary shall
    transmit them to Congress, with the report, in the same form as that in
    which they were submitted to the Secretary.
        (e) GAO Review.--The Comptroller General of the United States shall
    assess the criteria used by the Secretary of Defense to develop
    recommendations for purposes of the report under this section and shall
    submit to Congress, not later than 30 days after the date on which the
    report of the Secretary under this section is submitted, a report
    setting forth the Comptroller General's conclusions concerning the
    adequacy and completeness of the recommendations made by the Secretary
    in the report.

    SEC. 1214. GUARD AND RESERVE TECHNICIANS.

        Section 10216 of title 10, United States Code, as amended by
    section 413, is amended--
            (1) by redesignating subsections (a), (b), and (c) as
        subsections (b), (c), and (d), respectively;
            (2) by inserting after the section heading the following new
        subsection (a):
        ``(a) In General.--Military technicians are Federal civilian
    employees hired under title 5 and title 32 who are required to maintain
    dual-status as drilling reserve component members as a condition of
    their Federal civilian employment. Such employees shall be authorized
    and accounted for as a separate category of dual-status civilian
    employees, exempt as specified in subsection (b)(3) from any general or
    regulatory requirement for adjustments in Department of Defense
    civilian personnel.''; and
            (3) in paragraph (3) of subsection (b), as redesignated by
        paragraph (1), by striking out ``in high-priority units and
        organizations specified in paragraph (1)''.

                  Subtitle B--Reserve Component Accessibility

    SEC. 1231. REPORT TO CONGRESS ON MEASURES TO IMPROVE NATIONAL GUARD AND
    RESERVE ABILITY TO RESPOND TO EMERGENCIES.
        (a) Report.--Not later than six months after the date of the
    enactment of this Act, the Secretary of Defense shall submit to
    Congress a report regarding reserve component responsiveness to both
    domestic emergencies and national contingency operations. The report
    shall set forth the measures taken, underway, and projected to be taken
    to improve the timeliness, adequacy, and effectiveness of reserve
    component responses to such emergencies and operations.
        (b) Matters Related to Responsiveness to Domestic Emergencies.--The
    report shall address the following:
            (1) The need to expand the time period set by section 12301(b)
        of title 10, United States Code, which permits the involuntary
        recall at any time to active duty of units and individuals for up
        to 15 days per year.
            (2) The recommendations of the 1995 report of the RAND
        Corporation entitled ``Assessing the State and Federal Missions of
        the National Guard'', as follows:
                (A) That Federal law be clarified and amended to authorize
            Presidential use of the Federal reserves of all military
            services for domestic emergencies and disasters without any
            time constraint.
                (B) That the Secretary of Defense develop and support
            establishment of an appropriate national level compact for
            interstate sharing of resources, including the domestic
            capabilities of the national guards of the States, during
            emergencies and disasters.
                (C) That Federal level contingency stocks be created to
            support the National Guard in domestic disasters.
                (D) That Federal funding and regulatory support be provided
            for Federal-State disaster emergency response planning
            exercises.
        (c) Matters Related to Presidential Reserve Call-Up Authority.--The
    report under this section shall specifically address matters related to
    the authority of the President to activate for service on active duty
    units and members of reserve components under sections 12301, 12302,
    and 12304 of title 10, United States Code, including--
            (1) whether such authority is adequate to meet the full range
        of reserve component missions for the 21st century, particularly
        with regard to the time periods for which such units and members
        may be on active duty under those authorities and the ability to
        activate both units and individual members; and
            (2) whether the three-tiered set of statutory authorities
        (under such sections 12301, 12302, and 12304) should be
        consolidated, modified, or in part eliminated in order to
        facilitate current and future use of Reserve units and individual
        reserve component members for a broader range of missions, and, if
        so, in what manner.
        (d) Matters Related to Release From Active Duty.--The report under
    this section shall include findings and recommendations (based upon a
    review of current policies and procedures) concerning procedures for
    release from active duty of units and members of reserve components who
    have been involuntarily called or ordered to active duty under section
    12301, 12302, or 12304 of title 10, United States Code, with specific
    recommendations concerning the desirability of statutory provisions
    to--
            (1) establish specific guidelines for when it is appropriate
        (or inappropriate) to retain on active duty such reserve component
        units when active component units are available to perform the
        mission being performed by the reserve component unit;
            (2) minimize the effects of frequent mobilization of the
        civilian employers, as well as the effects of frequent mobilization
        on recruiting and retention in the reserve components; and
            (3) address other matters relating to the needs of such members
        of reserve components, their employers, and (in the case of such
        members who own businesses) their employees, while such members are
        on active duty.
        (e) Reserve Forces Policy Board Participation.--The Secretary of
    Defense shall ensure that the Reserve Forces Policy Board participates
    in the internal Department of Defense process for development of the
    recommendations of the Secretary contained in the report under
    subsection (a). If the Board submits to the Secretary any comments or
    recommendations for inclusion in the report, the Secretary shall
    transmit them to Congress, with the report, in the same form as that in
    which they were submitted to the Secretary.
        (f) GAO Review.--The Comptroller General of the United States shall
    assess the criteria used by the Secretary of Defense to develop
    recommendations for purposes of the report under this section and shall
    submit to Congress, not later than 30 days after the date on which the
    report of the Secretary under this section is submitted, a report
    setting forth the Comptroller General's conclusions concerning the
    adequacy and completeness of the recommendations made by the Secretary
    in the report.
    SEC. 1232. REPORT TO CONGRESS CONCERNING TAX INCENTIVES FOR EMPLOYERS
    OF MEMBERS OF RESERVE COMPONENTS.
        Not later than 180 days after the date of the enactment of this
    Act, the Secretary of Defense shall submit to Congress a report setting
    forth a draft of legislation to provide tax incentives to employers of
    members of reserve components in order to compensate employers for
    absences of those employees due to required training and for absences
    due to performance of active duty.
    SEC. 1233. REPORT TO CONGRESS CONCERNING INCOME INSURANCE PROGRAM FOR
    ACTIVATED RESERVISTS.
        Not later than 180 days after the date of the enactment of this
    Act, the Secretary of Defense shall submit to Congress a report setting
    forth legislative recommendations for changes to chapter 1214 of title
    10, United States Code. Such recommendations shall in particular
    provide, in the case of a mobilized member who owns a business, income
    replacement for that business and for employees of that member or
    business who have a loss of income during the period of such activation
    attributable to the activation of the member.
    SEC. 1234. REPORT TO CONGRESS CONCERNING SMALL BUSINESS LOANS FOR
    MEMBERS RELEASED FROM RESERVE SERVICE DURING CONTINGENCY OPERATIONS.
        Not later than 180 days after the date of the enactment of this
    Act, the Secretary of Defense shall submit to Congress a report setting
    forth a draft of legislation to establish a small business loan program
    to provide members of reserve components who are ordered to active duty
    or active Federal service (other than for training) during a
    contingency operation (as defined in section 101 of title 10, United
    States Code) low-cost loans to assist those members in retaining or
    rebuilding businesses that were affected by their service on active
    duty or in active Federal service.

                     Subtitle C--Reserve Forces Sustainment

    SEC. 1251. REPORT CONCERNING TAX DEDUCTIBILITY OF NONREIMBURSABLE
    EXPENSES.
        Not later than 180 days after the date of the enactment of this
    Act, the Secretary of Defense shall submit to Congress a report setting
    forth a draft of legislation to restore the tax deductibility of
    nonreimbursable expenses incurred by members of reserve components in
    connection with military service.
    SEC. 1252. AUTHORITY TO PAY TRANSIENT HOUSING CHARGES FOR MEMBERS
    PERFORMING ACTIVE DUTY FOR TRAINING.
        Section 404(j)(1) of title 37, United States Code, is amended by
    striking out ``annual training duty'' and inserting in lieu thereof
    ``active duty for training''.
    SEC. 1253. SENSE OF CONGRESS CONCERNING QUARTERS ALLOWANCE DURING
    SERVICE ON ACTIVE DUTY FOR TRAINING.
        It is the sense of Congress that the United States should continue
    to pay members of reserve components appropriate quarters allowances
    during periods of service on active duty for training.
    SEC. 1254. SENSE OF CONGRESS CONCERNING MILITARY LEAVE POLICY.
        It is the sense of Congress that military leave policies in effect
    as of the date of the enactment of this Act with respect to members of
    the reserve components should not be changed.
    SEC. 1255. RESERVE FORCES POLICY BOARD.
        (a) Commendation.--The Congress commends the Reserve Forces Policy
    Board, created by the Armed Forces Reserve Act of 1952 (Public Law 82-
    476), for its fine work in the past as an independent source of advice
    to the Secretary of Defense on all matters pertaining to the reserve
    components.
        (b) Sense of Congress.--It is the sense of Congress that the
    Reserve Forces Policy Board and the reserve forces policy committees
    for the individual branches of the ArmedForces should continue to
    perform the vital role of providing the civilian leadership of the
    Department of Defense with independent advice on matters pertaining to
    the reserve components.
        (c) Annual Report of Reserve Forces Policy Board.--Section 113(c)
    of title 10, United States Code, is amended--
            (1) by striking out paragraph (3);
            (2) by redesignating paragraphs (1), (2), and (4) as
        subparagraphs (A), (B), and (C), respectively;
            (3) by inserting ``(1)'' after ``(c)'';
            (4) by inserting ``and'' at the end of subparagraph (B), as
        redesignated by paragraph (2); and
            (5) by adding at the end the following:
        ``(2) At the same time that the Secretary submits the annual report
    under paragraph (1), the Secretary shall transmit to the President and
    Congress a separate report from the Reserve Forces Policy Board on the
    reserve programs of the Department of Defense and on any other matters
    that the Reserve Forces Policy Board considers appropriate to include
    in the report.''.
    SEC. 1256. REPORT ON PARITY OF BENEFITS FOR ACTIVE DUTY SERVICE AND
    RESERVE SERVICE.
        No later than six months after the date of the enactment of this
    Act, the Secretary of Defense shall submit to Congress a report
    providing recommendations for changes in law that the Secretary
    considers necessary, feasible, and affordable to reduce the disparities
    in pay and benefits that occur between active component members of the
    Armed Forces and reserve component members as a result of eligibility
    based on length of time on active duty.
    SEC. 1257. INFORMATION ON PROPOSED FUNDING FOR THE GUARD AND RESERVE
    COMPONENTS IN FUTURE-YEARS DEFENSE PROGRAMS.
        (a) In General.--(1) Chapter 1013 of title 10, United States Code,
    is amended by adding at the end the following new section:

    ``Sec. 10543. National Guard and reserve component equipment
                procurement and military construction funding: inclusion in
                future-years defense program

        ``The Secretary of Defense shall specify in each future-years
    defense program submitted to Congress under section 221 of this title
    the estimated expenditures and the proposed appropriations, for each
    fiscal year of the period covered by that program, for the procurement
    of equipment and for military construction for each of the reserve
    components of the armed forces.''.
        (2) The table of sections at the beginning of such chapter is
    amended by adding at the end the following new item:

    ``10543. National Guard and reserve component equipment procurement and
              military construction funding: inclusion in future-years
              defense program.''.

        (b) Effective Date.--Section 10543 of title 10, United States Code,
    as added by subsection (a), shall apply with respect to each future-
    years defense program submitted to Congress after the date of the
    enactment of this Act.

                  TITLE XIII--ARMS CONTROL AND RELATED MATTERS

    Subtitle A--Arms Control, Counterpro- liferation Activities, and Related
                                     Matters

    Sec. 1301. Extension of counterproliferation authorities.
    Sec. 1302. Limitation on retirement or dismantlement of strategic
              nuclear delivery systems.
    Sec. 1303. Strengthening certain sanctions against nuclear proliferation
              activities.
    Sec. 1304. Authority to pay certain expenses relating to humanitarian
              and civic assistance for clearance of landmines.
    Sec. 1305. Report on military capabilities of People's Republic of
              China.
    Sec. 1306. Presidential report regarding weapons proliferation and
              policies of the People's Republic of China.
    Sec. 1307. United States-People's Republic of China Joint Defense
              Conversion Commission.
    Sec. 1308. Sense of Congress concerning export controls.
    Sec. 1309. Counterproliferation Program Review Committee.
    Sec. 1310. Sense of Congress concerning assisting other countries to
              improve security of fissile material.
    Sec. 1311. Review by Director of Central Intelligence of National
              Intelligence Estimate 95-19.

      Subtitle B--Commission to Assess the Ballistic Missile Threat to the
                                  United States

    Sec. 1321. Establishment of Commission.
    Sec. 1322. Duties of Commission.
    Sec. 1323. Report.
    Sec. 1324. Powers.
    Sec. 1325. Commission procedures.
    Sec. 1326. Personnel matters.
    Sec. 1327. Miscellaneous administrative provisions.
    Sec. 1328. Funding.
    Sec. 1329. Termination of the Commission.

       Subtitle A--Arms Control, Counter- proliferation Activities, and
                                Related Matters

    SEC. 1301. EXTENSION OF COUNTERPROLIFERATION AUTHORITIES.
        (a) One-Year Extension of Authority.--Section 1505 of the Weapons
    of Mass Destruction Control Act of 1992 (title XV of Public Law 102-
    484; 22 U.S.C. 5859a) is amended--
            (1) in subsection (d)(3), by striking out ``or'' after ``fiscal
        year 1995,'' and by inserting ``, or $15,000,000 for fiscal year
        1997'' before the period at the end; and
            (2) in subsection (f), by striking out ``1996'' and inserting
        in lieu thereof ``1997''.
        (b) Funding Flexibility.--Subsection (d) of such section is further
    amended by adding at the end the following new paragraph:
        ``(4)(A) In the event of a significant unforeseen development
    related to the activities of the United Nations Special Commission on
    Iraq for which the Secretary of Defense determines that financial
    assistance under this section is required at a level which would result
    in the total amount of assistance provided under this section during
    the then-current fiscal year exceeding the amount specified with
    respect to that year under paragraph (3), the Secretary of Defense may
    provide such assistance notwithstanding the limitation with respect to
    that fiscal year under paragraph (3). Funds for such purpose may be
    derived from any funds available to the Department of Defense for that
    fiscal year.
        ``(B) Financial assistance may be provided under subparagraph (A)
    only after the Secretary of Defense provides notice in writing to the
    committees of Congress named in subsection (e)(2) of the significant
    unforeseen development and of the Secretary's intent to provide
    assistance in excess of the limitation for that fiscal year under
    paragraph (3). However, if the Secretary determines in any case that
    under the specific circumstances of that case advance notice is not
    possible, such notice shall be provided as soon as possible and not
    later than 15 days after the date on which the assistance is provided.
    Any notice under this subparagraph shall include a description of the
    development, the amount of assistance provided or to be provided, and
    the source of the funds for that assistance.''.

    SEC. 1302. LIMITATION ON RETIREMENT OR DISMANTLEMENT OF STRATEGIC
                  NUCLEAR DELIVERY SYSTEMS.

        (a) Funding Limitation.--Funds available to the Department of
    Defense may not be obligated or expended during fiscal year 1997 for
    retiring or dismantling, or for preparing to retire or dismantle, any
    of the following strategic nuclear delivery systems:
            (1) B-52H bomber aircraft.
            (2) Trident ballistic missile submarines.
            (3) Minuteman III intercontinental ballistic missiles.
            (4) Peacekeeper intercontinental ballistic missiles.
        (b) Waiver Authority.--If the START II Treaty enters into force
    during fiscal year 1996 or fiscal year 1997, the Secretary of Defense
    may waive the application of the limitation under paragraphs (2), (3),
    and (4) of subsection (a) to Trident ballistic missile submarines,
    Minuteman III intercontinental ballistic missiles, and Peacekeeper
    intercontinental ballistic missiles, respectively, to the extent that
    the Secretary determines necessary in order to implement the treaty.
        (c) Funding Limitation on Early Deactivation.--(1) If the
    limitation under paragraphs (2), (3), and (4) of subsection (a) ceases
    to apply by reason of a waiver under subsection (b), funds available to
    the Department of Defense may nevertheless not be obligated or expended
    during fiscal year 1997 to implement any agreement or understanding to
    undertake substantial early deactivation of a strategic nuclear
    delivery system specified in subsection (b) until 30 days after the
    date on which the President submits to Congress a report concerning
    such actions.
        (2) For purposes of this subsection, a substantial early
    deactivation is an action during fiscal year 1997 to deactivate a
    substantial number of strategic nuclear delivery systems specified in
    subsection (b) by--
            (A) removing nuclear warheads from those systems; or
            (B) taking other steps to remove those systems from combat
        status.
        (3) A report under this subsection shall include the following:
            (A) The text of any understanding or agreement between the
        United States and the Russian Federation concerning substantial
        early deactivation of strategic nuclear delivery systems under the
        START II Treaty.
            (B) The plan of the Department of Defense for implementing the
        agreement.
            (C) An assessment of the Secretary of Defense of the adequacy
        of the provisions contained in the agreement for monitoring and
        verifying compliance of Russia with the terms of the agreement.
            (D) A determination by the President as to whether the
        deactivations to occur under the agreement will be carried out in a
        symmetrical, reciprocal, or equivalent manner.
            (E) An assessment by the President of the effect of the
        proposed early deactivation on the stability of the strategic
        balance and relative strategic nuclear capabilities of the United
        States and the Russian Federation at various stages during
        deactivation and upon completion.
        (d) START II Treaty Defined.--For purposes of this section, the
    term ``START II Treaty'' means the Treaty Between the United States of
    America and the Russian Federation on Further Reduction and Limitation
    of Strategic Offensive Arms, signed at Moscow on January 3, 1993,
    including the following protocols and memorandum of understanding, all
    such documents being integral parts of and collectively referred to as
    the ``START II Treaty'' (contained in Treaty Document 103-1):
            (1) The Protocol on Procedures Governing Elimination of Heavy
        ICBMs and on Procedures Governing Conversion of Silo Launchers of
        Heavy ICBMs Relating to the Treaty Between the United States of
        America and the Russian Federation on Further Reduction and
        Limitation of Strategic Offensive Arms (also known as the
        ``Elimination and Conversion Protocol'').
            (2) The Protocol on Exhibitions and Inspections of Heavy
        Bombers Relating to the Treaty Between the United States and the
        Russian Federation on Further Reduction and Limitation of Strategic
        Offensive Arms (also known as the ``Exhibitions and Inspections
        Protocol'').
            (3) The Memorandum of Understanding on Warhead Attribution and
        Heavy Bomber Data Relating to the Treaty Between the United States
        of America and the Russian Federation on Further Reduction and
        Limitation of Strategic Offensive Arms (also known as the
        ``Memorandum on Attribution'').
        (e) Retention of B-52H Aircraft on Active Status.--(1) The
    Secretary of the Air Force shall maintain in active status (including
    the performance of standard maintenance and upgrades) the current fleet
    of B-52H bomber aircraft.
        (2) For purposes of carrying out upgrades of B-52H bomber aircraft
    during fiscal year 1997, the Secretary shall treat the entire current
    fleet of such aircraft as aircraft expected to be maintained in active
    status during the six-year period beginning on October 1, 1996.
    SEC. 1303. STRENGTHENING CERTAIN SANCTIONS AGAINST NUCLEAR
    PROLIFERATION ACTIVITIES.
        (a) Sanctions.--Section 2(b)(4) of the Export-Import Bank Act of
    1945 (12 U.S.C. 635(b)(4)) is amended to read as follows:
            ``(4)(A) If the Secretary of State determines that--
                ``(i) any country that has agreed to International Atomic
            Energy Agency nuclear safeguards materially violates,
            abrogates, or terminates, after October 26, 1977, such
            safeguards;
                ``(ii) any country that has entered into an agreement for
            cooperation concerning the civil use of nuclear energy with the
            United States materially violates, abrogates, or terminates,
            after October 26, 1977, any guarantee or other undertaking to
            the United States made in such agreement;
                ``(iii) any country that is not a nuclear-weapon state
            detonates, after October 26, 1977, a nuclear explosive device;
                ``(iv) any country willfully aids or abets, after June 29,
            1994, any non-nuclear-weapon state to acquire any such nuclear
            explosive device or to acquire unsafeguarded special nuclear
            material; or
                ``(v) any person knowingly aids or abets, after the date of
            enactment of the National Defense Authorization Act for Fiscal
            Year 1997, any non-nuclear-weapon state to acquire any such
            nuclear explosive device or to acquire unsafeguarded special
            nuclear material,
        then the Secretary of State shall submit a report to the
        appropriate committees of the Congress and to the Board of
        Directors of the Bank stating such determination and identifying
        each country or person the Secretary determines has so acted.
            ``(B)(i) If the Secretary of State makes a determination under
        subparagraph (A)(v) with respect to a foreign person, the Congress
        urges the Secretary to initiate consultations immediately with the
        government with primary jurisdiction over that person with respect
        to the imposition of the prohibition contained in subparagraph (C).
            ``(ii) In order that consultations with that government may be
        pursued, the Board of Directors of the Bank shall delay imposition
        of the prohibition contained in subparagraph (C) for up to 90 days
        if the Secretary of State requests the Board to make such delay.
        Following these consultations, the prohibition contained in
        subparagraph (C) shall apply immediately unless the Secretary
        determines and certifies to the Congress that that government has
        taken specific and effective actions, including appropriate
        penalties, to terminate the involvement of the foreign person in
        the activities described in subparagraph (A)(v). The Board of
        Directors of the Bank shall delay the imposition of the prohibition
        contained in subparagraph (C) for up to an additional 90 days if
        the Secretary requests the Board to make such additional delay and
        if the Secretary determines and certifies to the Congress that that
        government is in the process of taking the actions described in the
        preceding sentence.
            ``(iii) Not later than 90 days after making a determination
        under subparagraph (A)(v), the Secretary of State shall submit to
        the appropriate committees of the Congress a report on the status
        of consultations with the appropriate government under this
        subparagraph, and thebasis for any determination under clause (ii)
    that such government has taken specific corrective actions.
            ``(C) The Board of Directors of the Bank shall not give
        approval to guarantee, insure, or extend credit, or participate in
        the extension of credit in support of United States exports to any
        country, or to or by any person, identified in the report described
        in subparagraph (A).
            ``(D) The prohibition in subparagraph (C) shall not apply to
        approvals to guarantee, insure, or extend credit, or participate in
        the extension of credit in support of United States exports to a
        country with respect to which a determination is made under clause
        (i), (ii), (iii), or (iv) of subparagraph (A) regarding any
        specific event described in such clause if the President determines
        and certifies in writing to the Congress not less than 45 days
        prior to the date of the first approval following the determination
        that it is in the national interest for the Bank to give such
        approvals.
            ``(E) The prohibition in subparagraph (C) shall not apply to
        approvals to guarantee, insure, or extend credit, or participate in
        the extension of credit in support of United States exports to or
        by a person with respect to whom a determination is made under
        clause (v) of subparagraph (A) regarding any specific event
        described in such clause if--
                ``(i) the Secretary of State determines and certifies to
            the Congress that the appropriate government has taken the
            corrective actions described in subparagraph (B)(ii); or
                ``(ii) the President determines and certifies in writing to
            the Congress not less than 45 days prior to the date of the
            first approval following the determination that--
                    ``(I) reliable information indicates that--

                        ``(aa) such person has ceased to aid or abet any
                    non-nuclear-weapon state to acquire any nuclear
                    explosive device or to acquire unsafeguarded special
                    nuclear material; and
                        ``(bb) steps have been taken to ensure that the
                    activities described in item (aa) will not resume; or

                    ``(II) the prohibition would have a serious adverse
                effect on vital United States interests.
            ``(F) For purposes of this paragraph:
                ``(i) The term `country' has the meaning given to `foreign
            state' in section 1603(a) of title 28, United States Code.
                ``(ii) The term `knowingly' is used within the meaning of
            the term `knowing' in section 104(h)(3) of the Foreign Corrupt
            Practices Act (15 U.S.C. 78dd-2(h)(3)).
                ``(iii) The term `person' means a natural person as well as
            a corporation, business association, partnership, society,
            trust, any other nongovernmental entity, organization, or
            group, and any governmental entity operating as a business
            enterprise, and any successor of any such entity.
                ``(iv) The term `nuclear-weapon state' has the meaning
            given the term in Article IX(3) of the Treaty on the Non-
            Proliferation of Nuclear Weapons, signed at Washington, London,
            and Moscow on July 1, 1968.
                ``(v) The term `non-nuclear-weapon state' has the meaning
            given the term in section 830(5) of the Nuclear Proliferation
            Prevention Act of 1994 (Public Law 103-236; 108 Stat. 521).
                ``(vi) The term `nuclear explosive device' has the meaning
            given the term in section 830(4) of the Nuclear Proliferation
            Prevention Act of 1994 (Public Law 103-236; 108 Stat. 521).
                ``(vii) The term `unsafeguarded special nuclear material'
            has the meaning given the term in section 830(8) of the Nuclear
            Proliferation Prevention Act of 1994.''.
        (b) Recommendations To Make Nonproliferation Laws More Effective.--
    Not later than 180 days after the date of the enactment of this Act,
    the President shall submit to the Congress his recommendations on ways
    to make the laws of the United States more effective in controlling and
    preventing the proliferation of weapons of mass destruction and
    missiles. The report shall identify all sources of Government funds
    used for such nonproliferation activities.
    SEC. 1304. AUTHORITY TO PAY CERTAIN EXPENSES RELATING TO HUMANITARIAN
    AND CIVIC ASSISTANCE FOR CLEARANCE OF LANDMINES.
        (a) Authority To Pay Expenses.--Section 401(c) of title 10, United
    States Code, is amended--
            (1) by redesignating paragraph (2) as paragraph (4); and
            (2) by inserting after paragraph (1) the following new
        paragraphs:
        ``(2) Expenses covered by paragraph (1) include the following
    expenses incurred in providing assistance described in subsection
    (e)(5):
            ``(A) Travel, transportation, and subsistence expenses of
        Department of Defense personnel providing such assistance.
            ``(B) The cost of any equipment, services, or supplies acquired
        for the purpose of carrying out or supporting the activities
        described in subsection (e)(5), including any nonlethal,
        individual, or small-team landmine clearing equipment or supplies
        that are to be transferred or otherwise furnished to a foreign
        country in furtherance of the provision of assistance under this
        section.
        ``(3) The cost of equipment, services, and supplies provided in any
    fiscal year under paragraph (2)(B) may not exceed $5,000,000.''.
        (b) Coordination With Other Laws.--Section 401(b) of such title is
    amended--
            (1) by inserting ``(1)'' after ``(b)''; and
            (2) by adding at the end the following:
        ``(2) Any authority provided under any other provision of law to
    provide assistance that is described in subsection (e)(5) to a foreign
    country shall be carried out in accordance with, and subject to, the
    limitations prescribed in this section. Any such provision may be
    construed as superseding a provision of this section only if, and to
    the extent that, such provision specifically refers to this section and
    specifically identifies the provision of this section that is to be
    considered superseded or otherwise inapplicable under such
    provision.''.
    SEC. 1305. REPORT ON MILITARY CAPABILITIES OF PEOPLE'S REPUBLIC OF
    CHINA.
        (a) Report.--The Secretary of Defense shall prepare a report, in
    both classified and unclassified form, on the future pattern of
    military modernization of the People's Republic of China. The report
    shall address both the probable course of military-technological
    development in the People's Liberation Army and the development of
    Chinese military strategy and operational concepts.
        (b) Matters To Be Included.--The report shall include analyses and
    forecasts of the following:
            (1) Trends that would lead the People's Republic of China
        toward advanced intelligence, surveillance, and reconnaissance
        capabilities, either through a development program or by gaining
        access to commercial or third-party systems with militarily
        significant capabilities.
            (2) Efforts by the People's Republic of China to develop highly
        accurate and low-observable ballistic and cruise missiles, and the
        investments in infrastructure that would allow for production of
        such weapons in militarily significant quantities, particularly in
        numbers sufficient to conduct attacks capable of overwhelming
        projected defense capabilities in the region.
            (3) Development by the People's Republic of China of enhanced
        command and control networks, particularly those capable of battle
        management that would include long-range precision strikes.
            (4) Programs of the People's Republic of China involving
        unmanned aerial vehicles, particularly those with extended ranges
        or loitering times.
            (5) Exploitation by the People's Republic of China of the
        Global Positioning System or other similar systems, including
        commercial land surveillance satellites, for significant military
        purposes, including particularly for increasing the accuracy of
        weapons or the situational awareness of operating forces.
            (6) Development by the People's Republic of China of
        capabilities for denial of sea control, such as advanced sea mines
        or improved submarine capabilities.
            (7) Continued development by the People's Republic of China of
        follow-on forces, particularly those capable of rapid air or
        amphibious assault.
        (c) Submission of Report.--The report shall be submitted to
    Congress not later than February 1, 1997.
    SEC. 1306. PRESIDENTIAL REPORT REGARDING WEAPONS PROLIFERATION AND
    POLICIES OF THE PEOPLE'S REPUBLIC OF CHINA.
        (a) Findings.--The Congress finds that--
            (1) the People's Republic of China acceded to the Treaty on the
        Non-Proliferation of Nuclear Weapons (hereafter in this section
        referred to as the ``NPT'') on March 9, 1992;
            (2) the People's Republic of China is not a member of the
        Nuclear Suppliers Group and remains the only major nuclear supplier
        that continues to transfer nuclear technology, equipment, and
        materials to countries that have not agreed to the application of
        safeguards of the International Atomic Energy Agency (hereafter in
        this section referred to as the ``IAEA'') over all of their nuclear
        materials;
            (3) on June 30, 1995, the United States and 29 other members of
        the Nuclear Suppliers Group notified the Director General of the
        IAEA that the Government of each respective country has decided
        that the controls of thatGroup should not be defeated by the
    transfer of component parts;
            (4) a state-owned entity in the People's Republic of China, the
        China Nuclear Energy Industry Corporation, has knowingly
        transferred specially designed ring magnets to an unsafeguarded
        uranium enrichment facility in the Islamic Republic of Pakistan;
            (5) ring magnets are identified on the Trigger List of the
        Nuclear Suppliers Group as a component of magnetic suspension
        bearings which are to be exported only to countries that have
        safeguards of the IAEA over all of their nuclear materials;
            (6) these ring magnets could contribute significantly to the
        ability of the Islamic Republic of Pakistan to produce additional
        unsafeguarded enriched uranium, a nuclear explosive material;
            (7) the Government of the People's Republic of China has
        transferred nuclear equipment and technology to the Islamic
        Republic of Iran, despite repeated claims by the Government of the
        United States that the Islamic Republic of Iran is engaged in
        clandestine efforts to acquire a nuclear explosive device;
            (8) representatives of the Government of the People's Republic
        of China have repeatedly assured the Government of the United
        States that the People's Republic of China would abide by the
        guidelines of the Missile Technology Control Regime (hereafter in
        this section referred to as the ``MTCR'');
            (9) the Government of China has transferred M-11 missiles to
        the Islamic Republic of Pakistan; and
            (10) the M-11 missile conforms to the definition of a nuclear-
        capable missile under the MTCR.
        (b) Sense of the Congress.--It is the sense of the Congress that--
            (1) the assistance that the People's Republic of China has
        provided to the Islamic Republic of Iran and to the Islamic
        Republic of Pakistan could contribute to the ability of such
        countries to manufacture nuclear weapons;
            (2) the recent transfer by the People's Republic of China of
        ring magnets to an unsafeguarded uranium enrichment facility in the
        Islamic Republic of Pakistan conflicts with China's obligations
        under Articles I and III of the NPT, as well as the official
        nonproliferation policies and assurances by the People's Republic
        of China and the Islamic Republic of Pakistan with respect to the
        nonproliferation of nuclear weapons and nuclear-capable missiles;
            (3) the transfer of M-11 missiles from the People's Republic of
        China to the Islamic Republic of Pakistan is inconsistent with
        longstanding United States Government interpretations of assurances
        from the Government of the People's Republic of China with respect
        to that country's intent to abide by the guidelines of the MTCR;
            (4) violations by the People's Republic of China of the
        standards and objectives of the MTCR and global nuclear
        nonproliferation regimes have jeopardized the credibility of the
        MTCR and such regimes;
            (5) the MTCR and global nuclear nonproliferation regimes
        require collective international action to impose costs against and
        to withhold benefits from any country, including the People's
        Republic of China, that engages in activities that are contrary to
        the objectives of those regimes;
            (6) the President should explore with the governments of other
        countries new opportunities for collective action in response to
        activities of any country, including the People's Republic of
        China, that aid or abet the global proliferation of weapons of mass
        destruction or their means of delivery; and
            (7) the President should communicate to the Government of the
        People's Republic of China the sense of the Congress that the
        stability and growth of future relations between the people, the
        economies, and the Governments of the United States and the
        People's Republic of China willsignificantly depend upon
    substantive evidence of cooperation by the Government of the People's
    Republic of China in efforts to halt the global proliferation of
    weapons of mass destruction and their means of delivery.
        (c) Report.--Not later than 60 days after the date of the enactment
    of this Act, the President shall submit to the Congress a report, in
    both classified and unclassified form, concerning the transfer from the
    People's Republic of China to the Islamic Republic of Pakistan of
    technology, equipment, or materials important to the production of
    nuclear weapons and their means of delivery. The President shall
    include in the report the following:
            (1) The specific justification of the Secretary of State for
        determining that there was not a sufficient basis for imposing
        sanctions under section 2(b)(4) of the Export-Import Bank Act of
        1945, as amended by section 825 of the Nuclear Proliferation
        Prevention Act of 1994, by reason of the transfer of ring magnets
        and other technology, equipment, or materials from the People's
        Republic of China to the Islamic Republic of Pakistan.
            (2) What commitment the United States Government is seeking
        from the People's Republic of China to ensure that the People's
        Republic of China establishes a fully effective export control
        system that will prevent transfers (such as the Pakistan sale) from
        taking place in the future.
            (3) A description of the pledges, assurances, and other
        commitments made by representatives of the Governments of the
        People's Republic of China and the Islamic Republic of Pakistan to
        the Government of the United States since January 1, 1991, with
        respect to the nonproliferation of nuclear weapons or nuclear-
        capable missiles, and an assessment of the record of compliance
        with such undertakings.
            (4) Whether, in light of the recent assurances provided by the
        People's Republic of China, the President intends to make the
        certification and submit the report required by section
        902(a)(6)(B) of the Foreign Relations Authorization Act, Fiscal
        Years 1990 and 1991 (22 U.S.C. 2151 note), and make the
        certification and submit the report required by Public Law 99-183,
        relating to the approval and implementation of the agreement for
        nuclear cooperation between the United States and the People's
        Republic of China, and, if not, why not.
            (5) Whether the Secretary of State considers the recent
        assurances and clarifications provided by the People's Republic of
        China to have provided sufficient information to allow the United
        States to determine that the People's Republic of China is not in
        violation of paragraph (2) of section 129 of the Atomic Energy Act
        of 1954, as required by Public Law 99-183.
            (6) If the President is unable or unwilling to make the
        certifications and reports referred to in paragraph (4), a
        description of what the President considers to be the significance
        of the clarifications and assurances provided by the People's
        Republic of China in the course of the recent discussions regarding
        the transfer by the People's Republic of China of nuclear-weapon-
        related equipment to the Islamic Republic of Pakistan.
            (7) A description of the laws, regulations, and procedures
        currently used by the People's Republic of China to regulate
        exports of nuclear technology, equipment, or materials, including
        dual-use goods, and an assessment of the effectiveness of such
        arrangements.
            (8) A description of the current policies and practices of
        other countries in response to the transfer of nuclear and missile
        technology by the People's Republic of China to the Islamic
        Republic of Pakistan and the Islamic Republic of Iran.
    SEC. 1307. UNITED STATES-PEOPLE'S REPUBLIC OF CHINA JOINT DEFENSE
    CONVERSION COMMISSION.
        None of the funds appropriated or otherwise available for the
    Department of Defense for fiscal year 1997 or any prior fiscal year may
    be obligated or expended for any activity associated with the United
    States-People's Republic of China JointDefense Conversion Commission
    until 15 days after the date on which the first semiannual report
    required by section 1343 of the National Defense Authorization Act for
    Fiscal Year 1996 (Public Law 104-106; 110 Stat. 487) is received by
    Congress.

    SEC. 1308. SENSE OF CONGRESS CONCERNING EXPORT CONTROLS.

        (a) Findings.--The Congress makes the following findings:
            (1) Export controls are a part of a comprehensive response to
        national security threats. The export of a United States commodity
        or technology should be restricted in cases in which the export of
        the commodity or technology would increase the threat to the
        national security of the United States or would be contrary to the
        nonproliferation goals or foreign policy interests of the United
        States.
            (2) The export of certain commodities and technology may
        adversely affect the national security and foreign policy of the
        United States by making a significant contribution to the military
        potential of countries or by enhancing the capability of countries
        to design, develop, test, produce, stockpile, or use weapons of
        mass destruction and missile delivery systems, and other
        significant military capabilities. Therefore, the administration of
        export controls should emphasize the control of these exports.
            (3) The acquisition of sensitive commodities and technologies
        by those countries and end users whose actions or policies run
        counter to United States national security or foreign policy
        interests may enhance the military capabilities of those countries,
        particularly their ability to design, develop, test, produce,
        stockpile, use, and deliver nuclear, chemical, and biological
        weapons and missile delivery systems, and other significant
        military capabilities. This enhancement threatens the security of
        the United States and its allies. The availability to countries and
        end users of items that contribute to military capabilities or the
        proliferation of weapons of mass destruction is a fundamental
        concern of the United States and should be eliminated through
        deterrence, negotiations, and other appropriate means whenever
        possible.
            (4) The national security of the United States depends not only
        on wise foreign policies and a strong defense, but also a vibrant
        national economy. To be truly effective, export controls should be
        applied uniformly by all suppliers.
            (5) On November 8, 1995, the President continued the national
        emergency declared in Executive Order No. 12938 of November 14,
        1994, ``with respect to the unusual and extraordinary threat to the
        national security, foreign policy, and economy of the United States
        posed by the proliferation of nuclear, biological, and chemical
        weapons and the means of delivering such weapons''.
            (6) A successor regime to COCOM (the Coordinating Committee for
        Multilateral Export Controls) has not been established. Currently,
        each nation is determining independently which dual-use military
        items, if any, will be controlled for export.
            (7) The United States should play a leading role in promoting
        transparency and responsibility with regard to the transfers of
        sensitive dual-use goods and technologies.
        (b) Sense of Congress.--It is the sense of the Congress that--
            (1) establishing an international export control regime,
        empowered to control exports of dual-use technology, is critically
        important and should be a top priority for the United States; and
            (2) the United States should strongly encourage its allies and
        other friendly countries to--
                (A) adopt export controls that are the same or similar to
            the export controls imposed by the United States on items on
            the Commerce Control List;
                (B) strengthen enforcement of their export controls; and
                (C) explore the use of unilateral export controls where the
            possibility exists that an export could contribute to the
            enhancement of military capabilities orproliferation described
    in paragraphs (3) and (5) of subsection (a).

    SEC. 1309. COUNTERPROLIFERATION PROGRAM REVIEW COMMITTEE.

        (a) Composition of the Committee.--Subsection (a) of section 1605
    of the National Defense Authorization Act for Fiscal Year 1994 (22
    U.S.C. 2751 note) is amended by adding at the end the following new
    paragraph:
        ``(5) The Assistant to the Secretary of Defense for Nuclear and
    Chemical and Biological Defense Programs shall serve as executive
    secretary to the committee.''.
        (b) Additional Purpose of the Committee.--Subsection (b)(1)(A) of
    such section is amended by inserting ``and efforts, including efforts
    to stem the proliferation of weapons of mass destruction and to negate
    paramilitary and terrorist threats involving weapons of mass
    destruction'' after ``counterproliferation policy''.
        (c) Four-Year Extension of the Committee.--Subsection (f) of such
    section is amended by striking out ``September 30, 1996'' and inserting
    in lieu thereof ``September 30, 2000''.
        (d) Reports on Counterproliferation Activities and Programs.--
    Section 1503 of the National Defense Authorization Act for Fiscal Year
    1995 (22 U.S.C. 2751 note) is amended--
            (1) in subsection (a)--
                (A) by striking out ``Report Required.--(1) Not later than
            May 1, 1995 and May 1, 1996, the Secretary'' and inserting in
            lieu thereof ``Annual Report Required.--Not later than May 1 of
            each year, the Secretary''; and
                (B) by striking out paragraph (2); and
            (2) by adding at the end the following new subsections:
        ``(d) Review Committee Charter Defined.--For purposes of this
    section, the term `Review Committee charter' means section 1605 of the
    National Defense Authorization Act for Fiscal Year 1994 (22 U.S.C. 2751
    note).
        ``(e) Termination of Requirement.--The final report required under
    subsection (a) is the report for the year following the year in which
    the Counterproliferation Program Review Committee established under the
    Review Committee Charter ceases to exist.''.
    SEC. 1310. SENSE OF CONGRESS CONCERNING ASSISTING OTHER COUNTRIES TO
    IMPROVE SECURITY OF FISSILE MATERIAL.
        (a) Findings.--Congress finds the following:
            (1) With the end of the Cold War, the world is faced with the
        need to manage the dismantling of vast numbers of nuclear weapons
        and the disposition of the fissile materials that they contain.
            (2) If recently agreed reductions in nuclear weapons are fully
        implemented, tens of thousands of nuclear weapons, containing a
        hundred tons or more of plutonium and many hundreds of tons of
        highly enriched uranium, will no longer be needed for military
        purposes.
            (3) Plutonium and highly enriched uranium are the essential
        ingredients of nuclear weapons.
            (4) Limits on access to plutonium and highly enriched uranium
        are the primary technical barrier to acquiring nuclear weapons
        capability in the world today.
            (5) Several kilograms of plutonium, or several times that
        amount of highly enriched uranium, are sufficient to make a nuclear
        weapon.
            (6) Plutonium and highly enriched uranium will continue to pose
        a potential threat for as long as they exist.
            (7) Action is required to secure and account for plutonium and
        highly enriched uranium.
            (8) It is in the national interest of the United States to--
                (A) minimize the risk that fissile materials could be
            obtained by unauthorized parties;
                (B) minimize the risk that fissile materials could be
            reintroduced into the arsenals from which they came, halting or
            reversing the arms reduction process; and
                (C) strengthen the national and international control
            mechanisms and incentives designed to ensure continued arms
            reductions and prevent the spread of nuclear weapons.
        (b) Sense of Congress.--In light of the findings contained in
    subsection (a), it is the sense of Congress that the United States has
    a national security interest in assisting other countries to improve
    the security of their stocks of fissile material.
    SEC. 1311. REVIEW BY DIRECTOR OF CENTRAL INTELLIGENCE OF NATIONAL
    INTELLIGENCE ESTIMATE 95-19.
        (a) Review.--The Director of Central Intelligence shall conduct a
    review of the underlying assumptions and conclusions of the National
    Intelligence Estimate designated as NIE 95-19 and entitled ``Emerging
    Missile Threats to North America During the Next 15 Years'', released
    by the Director in November 1995.
        (b) Methodology for Review.--The Director shall carry out the
    review under subsection (a) through a panel of independent,
    nongovernmental individuals with appropriate expertise and experience.
    Such a panel shall be convened by the Director not later than 45 days
    after the date of the enactment of this Act.
        (c) Report.--The Director shall submit the findings resulting from
    the review under subsection (a), together with any comments of the
    Director on the review and the findings, to Congress not later than
    three months after the appointment of the Commission under section
    1321.

     Subtitle B--Commission To Assess the Ballistic Missile Threat to the
                                 United States

    SEC. 1321. ESTABLISHMENT OF COMMISSION.

        (a) Establishment.--There is hereby established a commission to be
    known as the ``Commission To Assess the Ballistic Missile Threat to the
    United States'' (hereafter in this subtitle referred to as the
    ``Commission'').
        (b) Composition.--The Commission shall be composed of nine members
    appointed by the Director of Central Intelligence. In selecting
    individuals for appointment to the Commission, the Director should
    consult with--
            (1) the Speaker of the House of Representatives concerning the
        appointment of three of the members of the Commission;
            (2) the majority leader of the Senate concerning the
        appointment of three of the members of the Commission; and
            (3) the minority leader of the House of Representatives and the
        minority leader of the Senate concerning the appointment of three
        of the members of the Commission.
        (c) Qualifications.--Members of the Commission shall be appointed
    from among private United States citizens with knowledge and expertise
    in the political and military aspects of proliferation of ballistic
    missiles and the ballistic missile threat to the United States.
        (d) Chairman.--The Speaker of the House of Representatives, after
    consultation with the majority leader of the Senate and the minority
    leaders of the House of Representatives and the Senate, shall designate
    one of the members of the Commission to serve as chairman of the
    Commission.
        (e) Period of Appointment; Vacancies.--Members shall be appointed
    for the life of the Commission. Any vacancy in the Commission shall be
    filled in the same manner as the original appointment.
        (f) Security Clearances.--All members of the Commission shall hold
    appropriate security clearances.
        (g) Initial Organization Requirements.--(1) All appointments to the
    Commission shall be made not later than 45 days after the date of the
    enactment of this Act.
        (2) The Commission shall convene its first meeting not later than
    30 days after the date as of which all members of the Commission have
    been appointed, but not earlier than October 15, 1996.

    SEC. 1322. DUTIES OF COMMISSION.

        (a) Review of Ballistic Missile Threat.--The Commission shall
    assess the nature and magnitude of the existing and emerging ballistic
    missile threat to the United States.
        (b) Cooperation From Government Officials.--In carrying out its
    duties, the Commission should receive the full and timely cooperation
    of the Secretary of Defense, the Director of Central Intelligence, and
    any other United States Government official responsible for providing
    the Commission with analyses, briefings, and other information
    necessary for the fulfillment of its respon- sibilities.

    SEC. 1323. REPORT.

        The Commission shall, not later than six months after the date of
    its first meeting, submit to the Congress a report on its findings and
    conclusions.

    SEC. 1324. POWERS.

        (a) Hearings.--The Commission or, at its direction, any panel or
    member of the Commission, may, for the purpose of carrying out the
    provisions of this subtitle, hold hearings, sit and act at times and
    places, take testimony, receive evidence, and administer oaths to the
    extent that the Commission or any panel or member considers advisable.
        (b) Information.--The Commission may secure directly from the
    Department of Defense, the Central Intelligence Agency, and any other
    Federal department or agency information that the Commission considers
    necessary to enable the Commission to carry out its responsibilities
    under this subtitle.

    SEC. 1325. COMMISSION PROCEDURES.

        (a) Meetings.--The Commission shall meet at the call of the
    Chairman.
        (b) Quorum.--(1) Five members of the Commission shall constitute a
    quorum other than for the purpose of holding hearings.
        (2) The Commission shall act by resolution agreed to by a majority
    of the members of the Commission.
        (c) Commission.--The Commission may establish panels composed of
    less than full membership of the Commission for the purpose of carrying
    out the Commission's duties. The actions of each such panel shall be
    subject to the review and control of the Commission. Any findings and
    determinations made by such a panel shall not be considered the
    findings and determinations of the Commission unless approved by the
    Commission.
        (d) Authority of Individuals To Act for Commission.--Any member or
    agent of the Commission may, if authorized by the Commission, take any
    action which the Commission is authorized to take under this subtitle.

    SEC. 1326. PERSONNEL MATTERS.

        (a) Pay of Members.--Members of the Commission shall serve without
    pay by reason of their work on the Commission.
        (b) Travel Expenses.--The members of the Commission shall be
    allowed travel expenses, including per diem in lieu of subsistence, at
    rates authorized for employees of agencies under subchapter I of
    chapter 57 of title 5, United States Code, while away from their homes
    or regular places of business in the performance of services for the
    Commission.
        (c) Staff.--(1) The chairman of the Commission may, without regard
    to the provisions of title 5, United States Code, governing
    appointments in the competitive service, appoint a staff director and
    such additional personnel as may be necessary to enable the Commission
    to perform its duties. The appointment of a staff director shall be
    subject to the approval of the Commission.
        (2) The chairman of the Commission may fix the pay of the staff
    director and other personnel without regard to the provisions of
    chapter 51 and subchapter III of chapter 53 of title 5, United States
    Code, relating to classification of positions and General Schedule pay
    rates, except that the rate of pay fixed under this paragraph for the
    staff director may not exceed the rate payable for level V of the
    Executive Schedule under section 5316 of such title and the rate of pay
    for other personnel may not exceed the maximum rate payable for grade
    GS-15 of the General Schedule.
        (d) Detail of Government Employees.--Upon request of the chairman
    of the Commission, the head of any Federal department or agency may
    detail, on a nonreimbursable basis, any personnel of that department or
    agency to the Commission to assist it in carrying out its duties.
        (e) Procurement of Temporary and Intermittent Services.--The
    chairman of the Commission may procure temporary and intermittent
    services under section 3109(b) of title 5, United States Code, at rates
    for individuals which do not exceed the daily equivalent of the annual
    rate of basic pay payable for level V of the Executive Schedule under
    section 5316 of such title.

    SEC. 1327. MISCELLANEOUS ADMINISTRATIVE PROVISIONS.

        (a) Postal and Printing Services.--The Commission may use the
    United States mails and obtain printing and binding services in the
    same manner and under the same conditions as other departments and
    agencies of the Federal Government.
        (b) Miscellaneous Administrative and Support Services.--The
    Director of Central Intelligence shall furnish the Commission, on a
    reimbursable basis, any administrative and support services requested
    by the Commission.

    SEC. 1328. FUNDING.

        Funds for activities of the Commission shall be provided from
    amounts appropriated for the Department of Defense for operation and
    maintenance for Defense-wide activities for fiscal year 1997. Upon
    receipt of a written certification from the Chairman of the Commission
    specifying the funds required for the activities of the Commission, the
    Secretary of Defense shall promptly disburse to the Commission, from
    such amounts, the funds required by the Commission as stated in such
    certification.

    SEC. 1329. TERMINATION OF THE COMMISSION.

        The Commission shall terminate 60 days after the date of the
    submission of its report under section 1323.

             TITLE XIV--DEFENSE AGAINST WEAPONS OF MASS DESTRUCTION

    Sec. 1401. Short title.
    Sec. 1402. Findings.
    Sec. 1403. Definitions.

                        Subtitle A--Domestic Preparedness

    Sec. 1411. Response to threats of terrorist use of weapons of mass
              destruction.
    Sec. 1412. Emergency response assistance program.
    Sec. 1413. Nuclear, chemical, and biological emergency response.
    Sec. 1414. Chemical-biological emergency response team.
    Sec. 1415. Testing of preparedness for emergencies involving nuclear,
              radiological, chemical, and biological weapons.
    Sec. 1416. Military assistance to civilian law enforcement officials in
              emergency situations involving biological or chemical weapons.
    Sec. 1417. Rapid response information system.

      Subtitle B--Interdiction of Weapons of Mass Destruction and Related
                                    Materials

    Sec. 1421. Procurement of detection equipment United States border
              security.
    Sec. 1422. Extension of coverage of International Emergency Economic
              Powers Act.
    Sec. 1423. Sense of Congress concerning criminal penalties.
    Sec. 1424. International border security.

     Subtitle C--Control and Disposition of Weapons of Mass Destruction and
                 Related Materials Threatening the United States

    Sec. 1431. Coverage of weapons-usable fissile materials in Cooperative
              Threat Reduction programs on elimination or transportation of
              nuclear weapons.
    Sec. 1432. Elimination of plutonium production.

         Subtitle D--Coordination of Policy and Countermeasures Against
                  Proliferation of Weapons of Mass Destruction

    Sec. 1441. National Coordinator on Nonproliferation.
    Sec. 1442. National Security Council Committee on Nonproliferation.
    Sec. 1443. Comprehensive preparedness program.
    Sec. 1444. Termination.

                            Subtitle E--Miscellaneous

    Sec. 1451. Sense of Congress concerning contracting policy.
    Sec. 1452. Transfers of allocations among Cooperative Threat Reduction
              programs.
    Sec. 1453. Sense of Congress concerning assistance to states of former
              Soviet Union.
    Sec. 1454. Purchase of low-enriched uranium derived from Russian highly
              enriched uranium.
    Sec. 1455. Sense of Congress concerning purchase, packaging, and
              transportation of fissile materials at risk of theft.

    SEC. 1401. SHORT TITLE.

        This title may be cited as the ``Defense Against Weapons of Mass
    Destruction Act of 1996''.

    SEC. 1402. FINDINGS.

        Congress makes the following findings:
            (1) Weapons of mass destruction and related materials and
        technologies are increasingly available from worldwide sources.
        Technical information relating to such weapons is readily available
        on the Internet, and raw materials for chemical, biological, and
        radiological weapons are widely available for legitimate commercial
        purposes.
            (2) The former Soviet Union produced and maintained a vast
        array of nuclear, biological, and chemical weapons of mass
        destruction.
            (3) Many of the states of the former Soviet Union retain the
        facilities, materials, and technologies capable of producing
        additional quantities of weapons of mass destruction.
            (4) The disintegration of the former Soviet Union was
        accompanied by disruptions of command and control systems,
        deficiencies in accountability for weapons, weapons-related
        materials and technologies, economic hardships, and significant
        gaps in border control among the states of the former Soviet Union.
        The problems of organized crime and corruption in the states of the
        former Soviet Union increase the potential for proliferation of
        nuclear, radiological, biological, and chemical weapons and related
        materials.
            (5) The conditions described in paragraph (4) have
        substantially increased the ability of potentially hostile nations,
        terrorist groups, and individuals to acquire weapons of mass
        destruction and related materials and technologies from within the
        states of the former Soviet Union and from unemployed scientists
        who worked on those programs.
            (6) As a result of such conditions, the capability of
        potentially hostile nations and terrorist groups to acquire
        nuclear, radiological, biological, and chemical weapons is greater
        than at any time in history.
            (7) The President has identified North Korea, Iraq, Iran, and
        Libya as hostile states which already possess some weapons of mass
        destruction and are developing others.
            (8) The acquisition or the development and use of weapons of
        mass destruction is well within the capability of many extremist
        and terrorist movements, acting independently or as proxies for
        foreign states.
            (9) Foreign states can transfer weapons to or otherwise aid
        extremist and terrorist movements indirectly and with plausible
        deniability.
            (10) Terrorist groups have already conducted chemical attacks
        against civilian targets in the United States and Japan, and a
        radiological attack in Russia.
            (11) The potential for the national security of the United
        States to be threatened by nuclear, radiological, chemical, or
        biological terrorism must be taken seriously.
            (12) There is a significant and growing threat of attack by
        weapons of mass destruction on targets that are not military
        targets in the usual sense of the term.
            (13) Concomitantly, the threat posed to the citizens of the
        United States by nuclear, radiological, biological, and chemical
        weapons delivered by unconventional means is significant and
        growing.
            (14) Mass terror may result from terrorist incidents involving
        nuclear, radiological, biological, or chemical materials.
            (15) Facilities required for production of radiological,
        biological, and chemical weapons are much smaller and harder to
        detect than nuclear weapons facilities, and biological and chemical
        weapons can be deployed by alternative delivery means other than
        long-range ballistic missiles.
            (16) Covert or unconventional means of delivery of nuclear,
        radiological, biological, and chemical weapons include cargo ships,
        passenger aircraft, commercial and private vehicles and vessels,
        and commercial cargo shipments routed through multiple
        destinations.
            (17) Traditional arms control efforts assume large state
        efforts with detectable manufacturing programs and weapons
        production programs, but are ineffective in monitoring and
        controlling smaller, though potentially more dangerous,
        unconventional proliferation efforts.
            (18) Conventional counterproliferation efforts would do little
        to detect or prevent the rapid development of a capability to
        suddenly manufacture several hundred chemical or biological weapons
        with nothing but commercial supplies and equipment.
            (19) The United States lacks adequate planning and
        countermeasures to address the threat of nuclear, radiological,
        biological, and chemical terrorism.
            (20) The Department of Energy has established a Nuclear
        Emergency Response Team which is available in case of nuclear or
        radiological emergencies, but no comparable units exist to deal
        with emergencies involving biological or chemical weapons or
        related materials.
            (21) State and local emergency response personnel are not
        adequately prepared or trained for incidents involving nuclear,
        radiological, biological, or chemical materials.
            (22) Exercises of the Federal, State, and local response to
        nuclear, radiological, biological, or chemical terrorism have
        revealed serious deficiencies in preparedness and severe problems
        of coordination.
            (23) The development of, and allocation of responsibilities
        for, effective countermeasures to nuclear, radiological,
        biological, or chemical terrorism in the United States requires
        well-coordinated participation of many Federal agencies, and
        careful planning by the Federal Government and State and local
        governments.
            (24) Training and exercises can significantly improve the
        preparedness of State and local emergency response personnel for
        emergencies involving nuclear, radiological, biological, or
        chemical weapons or related materials.
            (25) Sharing of the expertise and capabilities of the
        Department of Defense, which traditionally has provided assistance
        to Federal, State, and local officials in neutralizing, dis-
        mantling, and disposing of explosive ordnance, as well as
        radiological, biological, and chemical materials, can be a vital
        contribution to the development and deployment of countermeasures
        against nuclear, biological, and chemical weapons of mass
        destruction.
            (26) The United States lacks effective policy coordination
        regarding the threat posed by the proliferation of weapons of mass
        destruction.

    SEC. 1403. DEFINITIONS.

        In this title:
            (1) The term ``weapon of mass destruction'' means any weapon or
        device that is intended, or has the capability, to cause death or
        serious bodily injury to a significant number of people through the
        release, dissemination, or impact of--
                (A) toxic or poisonous chemicals or their precursors;
                (B) a disease organism; or
                (C) radiation or radioactivity.
            (2) The term ``independent states of the former Soviet Union''
        has the meaning given that term in section 3 of the FREEDOM Support
        Act (22 U.S.C. 5801).
            (3) The term ``highly enriched uranium'' means uranium enriched
        to 20 percent or more in the isotope U-235.

                       Subtitle A--Domestic Preparedness

    SEC. 1411. RESPONSE TO THREATS OF TERRORIST USE OF WEAPONS OF MASS
    DESTRUCTION.
        (a) Enhanced Response Capability.--In light of the potential for
    terrorist use of weapons of mass destruction against the United States,
    the President shall take immediate action--
            (1) to enhance the capability of the Federal Government to
        prevent and respond to terrorist incidents involving weapons of
        mass destruction; and
            (2) to provide enhanced support to improve the capabilities of
        State and local emergency response agencies to prevent and respond
        to such incidents at both the national and the local level.
        (b) Report Required.--Not later than January 31, 1997, the
    President shall transmit to Congress a report containing--
            (1) an assessment of the capabilities of the Federal Government
        to prevent and respond to terrorist incidents involving weapons of
        mass destruction and to support State and local prevention and
        response efforts;
            (2) requirements for improvements in those cap- abilities; and
            (3) the measures that should be taken to achieve such
        improvements, including additional resources and legislative
        authorities that would be required.

    SEC. 1412. EMERGENCY RESPONSE ASSISTANCE PROGRAM.

        (a) Program Required.--(1) The Secretary of Defense shall carry out
    a program to provide civilian personnel of Federal, State, and local
    agencies with training and expert advice regarding emergency responses
    to a use or threatened use of a weapon of mass destruction or related
    materials.
        (2) The President may designate the head of an agency other than
    the Department of Defense to assume the responsibility for carrying out
    the program on or after October 1, 1999, and relieve the Secretary of
    Defense of that responsibility upon the assumption of the
    responsibility by the designated official.
        (3) In this section, the official responsible for carrying out the
    program is referred to as the ``lead official''.
        (b) Coordination.--In carrying out the program, the lead official
    shall coordinate with each of the following officials who is not
    serving as the lead official:
            (1) The Director of the Federal Emergency Management Agency.
            (2) The Secretary of Energy.
            (3) The Secretary of Defense.
            (4) The heads of any other Federal, State, and local government
        agencies that have an expertise or responsibilities relevant to
        emergency responses described in subsection (a)(1).
        (c) Eligible Participants.--The civilian personnel eligible to
    receive assistance under the program are civilian personnel of Federal,
    State, and local agencies who have emergency preparedness
    responsibilities.
        (d) Involvement of Other Federal Agencies.--(1) The lead official
    may use personnel and capabilities of Federal agencies outside the
    agency of the lead official to provide training and expert advice under
    the program.
        (2)(A) Personnel used under paragraph (1) shall be personnel who
    have special skills relevant to the particular assistance that the
    personnel are to provide.
        (B) Capabilities used under paragraph (1) shall be capabilities
    that are especially relevant to the particular assistance for which the
    capabilities are used.
        (3) If the lead official is not the Secretary of Defense, and
    requests assistance from the Department of Defense that, in the
    judgment of the Secretary of Defense would affect military readiness or
    adversely affect national security, the Secretary of Defense may appeal
    the request for Department of Defense assistance by the lead official
    to the President.
        (e) Available Assistance.--Assistance available under this program
    shall include the following:
            (1) Training in the use, operation, and maintenance of
        equipment for--
                (A) detecting a chemical or biological agent or nuclear
            radiation;
                (B) monitoring the presence of such an agent or radiation;
                (C) protecting emergency personnel and the public; and
                (D) decontamination.
            (2) Establishment of a designated telephonic link (commonly
        referred to as a ``hot line'') to a designated source of relevant
        data and expert advice for the use of State or local officials
        responding to emergencies involving a weapon of mass destruction or
        related materials.
            (3) Use of the National Guard and other reserve components for
        purposes authorized under this section that are specified by the
        lead official (with the concurrence of the Secretary of Defense if
        the Secretary is not the lead official).
            (4) Loan of appropriate equipment.
        (f) Limitations on Department of Defense Assistance to Law
    Enforcement Agencies.--Assistance provided by the Department of Defense
    to law enforcement agencies under this section shall be provided under
    the authority of, and subject to the restrictions provided in, chapter
    18 of title 10, United States Code.
        (g) Administration of Department of Defense Assistance.--The
    Secretary of Defense shall designate an official within the Department
    of Defense to serve as the executive agent of the Secretary for the
    coordination of the provision of Department of Defense assistance under
    this section.
        (h) Funding.--(1) Of the total amount authorized to be appropriated
    under section 301, $35,000,000 is available for the program required
    under this section.
        (2) Of the amount available for the program pursuant to paragraph
    (1), $10,500,000 is available for use by the Secretary of Defense to
    assist the Secretary of Health and Human Services in the establishment
    of metropolitan emergency medical response teams (commonly referred to
    as ``Metropolitan Medical Strike Force Teams'') to provide medical
    services that are necessary or potentially necessary by reason of a use
    or threatened use of a weapon of mass destruction.
        (3) The amount available for the program under paragraph (1) is in
    addition to any other amounts authorized to be appropriated for the
    program under section 301.
    SEC. 1413. NUCLEAR, CHEMICAL, AND BIOLOGICAL EMERGENCY RESPONSE.
        (a) Department of Defense.--The Secretary of Defense shall
    designate an official within the Department of Defense as the executive
    agent for--
            (1) the coordination of Department of Defense assistance to
        Federal, State, and local officials in responding to threats
        involving biological or chemical weapons or related materials or
        technologies, including assistance in identifying, neutralizing,
        dismantling, and disposing of biological and chemical weapons and
        related materials and technologies; and
            (2) the coordination of Department of Defense assistance to the
        Department of Energy in carrying out that department's
        responsibilities under subsection (b).
        (b) Department of Energy.--The Secretary of Energy shall designate
    an official within the Department of Energy as the executive agent
    for--
            (1) the coordination of Department of Energy assistance to
        Federal, State, and local officials in responding to threats
        involving nuclear, chemical, and biological weapons or related
        materials or technologies, including assistance in identifying,
        neutralizing, dismantling, and disposing of nuclear weapons and
        related materials and technologies; and
            (2) the coordination of Department of Energy assistance to the
        Department of Defense in carrying out that department's
        responsibilities under subsection (a).
        (c) Funding.--Of the total amount authorized to be appropriated
    under section 301, $15,000,000 is available for providing assistance
    described in subsection (a).
    SEC. 1414. CHEMICAL-BIOLOGICAL EMERGENCY RESPONSE TEAM.
        (a) Department of Defense Rapid Response Team.--The Secretary of
    Defense shall develop and maintain at least one domestic terrorism
    rapid response team composed of members of the Armed Forces and
    employees of the Department of Defense who are capable of aiding
    Federal, State, and local officials in the detection, neutralization,
    containment, dismantlement, and disposal of weapons of mass destruction
    containing chemical, biological, or related materials.
        (b) Addition to Federal Response Plan.--Not later than December 31,
    1997, the Director of the Federal Emergency Management Agency shall
    develop and incorporate into existing Federal emergency response plans
    and programs prepared under section 611(b) of the Robert T. Stafford
    Disaster Relief and Emergency Assistance Act (42 U.S.C. 5196(b))
    guidance on the use and deployment of the rapid response teams
    established under this section to respond to emergencies involving
    weapons of mass destruction. The Director shall carry out this
    subsection in consultation with the Secretary of Defense and the heads
    of other Federal agencies involved with the emergency response plans.
    SEC. 1415. TESTING OF PREPAREDNESS FOR EMERGENCIES INVOLVING NUCLEAR,
    RADIOLOGICAL, CHEMICAL, AND BIOLOGICAL WEAPONS.
        (a) Emergencies Involving Chemical or Biological Weapons.--(1) The
    Secretary of Defense shall develop and carry out a program for testing
    and improving the responses of Federal, State, and local agencies to
    emergencies involving biological weapons and related materials and
    emergencies involving chemical weapons and related materials.
        (2) The program shall include exercises to be carried out during
    each of five successive fiscal years beginning with fiscal year 1997.
        (3) In developing and carrying out the program, the Secretary shall
    coordinate with the Director of the Federal Bureau of Investigation,
    the Director of the Federal Emergency Management Agency, the Secretary
    of Energy, and the heads of any other Federal, State, and local
    government agencies that have an expertise or responsibilities relevant
    to emergencies described in paragraph (1).
        (b) Emergencies Involving Nuclear and Radiological Weapons.--(1)
    The Secretary of Energy shall develop and carry out a program for
    testing and improving the responses of Federal, State, and local
    agencies to emergencies involving nuclear and radiological weapons and
    related materials.
        (2) The program shall include exercises to be carried out during
    each of five successive fiscal years beginning with fiscal year 1997.
        (3) In developing and carrying out the program, the Secretary shall
    coordinate with the Director of the Federal Bureau of Investigation,
    the Director of the Federal Emergency Management Agency, the Secretary
    of Defense, and the heads of any other Federal, State, and local
    government agencies that have an expertise or responsibilities relevant
    to emergencies described in paragraph (1).
        (c) Annual Revisions of Programs.--The official responsible for
    carrying out a program developed under subsection (a) or (b) shall
    revise the program not later than June 1 in each fiscal year covered by
    the program. The revisions shall include adjustments that the official
    determines necessary or appropriate on the basis of the lessons learned
    from the exercise or exercises carried out under the program in the
    fiscal year, including lessons learned regarding coordination problems
    and equipment deficiencies.
        (d) Option To Transfer Responsibility.--(1) The President may
    designate the head of an agency outside the Department of Defense to
    assume the responsibility for carrying out the program developed under
    subsection (a) beginning on or after October 1, 1999, and relieve the
    Secretary of Defense of that responsibility upon the assumption of the
    responsibility by the designated official.
        (2) The President may designate the head of an agency outside the
    Department of Energy to assume the responsibility for carrying out the
    program developed under subsection (b) beginning on or after October 1,
    1999, and relieve the Secretary of Energy of that responsibility upon
    the assumption of the responsibility by the designated official.
        (e) Funding.--Of the total amount authorized to be appropriated
    under section 301, $15,000,000 is available for thedevelopment and
    execution of the programs required by this section, including the
    participation of State and local agencies in exercises carried out
    under the programs.
    SEC. 1416. MILITARY ASSISTANCE TO CIVILIAN LAW ENFORCEMENT OFFICIALS IN
    EMERGENCY SITUATIONS INVOLVING BIOLOGICAL OR CHEMICAL WEAPONS.
        (a) Assistance Authorized.--(1) Chapter 18 of title 10, United
    States Code, is amended by adding at the end the following new section:
    ``Sec. 382. Emergency situations involving chemical or biological
        weapons of mass destruction
        ``(a) In General.--The Secretary of Defense, upon the request of
    the Attorney General, may provide assistance in support of Department
    of Justice activities relating to the enforcement of section 175 or
    2332c of title 18 during an emergency situation involving a biological
    or chemical weapon of mass destruction. Department of Defense
    resources, including personnel of the Department of Defense, may be
    used to provide such assistance if--
            ``(1) the Secretary of Defense and the Attorney General jointly
        determine that an emergency situation exists; and
            ``(2) the Secretary of Defense determines that the provision of
        such assistance will not adversely affect the military preparedness
        of the United States.
        ``(b) Emergency Situations Covered.--In this section, the term
    `emergency situation involving a biological or chemical weapon of mass
    destruction' means a circumstance involving a biological or chemical
    weapon of mass destruction--
            ``(1) that poses a serious threat to the interests of the
        United States; and
            ``(2) in which--
                ``(A) civilian expertise and capabilities are not readily
            available to provide the required assistance to counter the
            threat immediately posed by the weapon involved;
                ``(B) special capabilities and expertise of the Department
            of Defense are necessary and critical to counter the threat
            posed by the weapon involved; and
                ``(C) enforcement of section 175 or 2332c of title 18 would
            be seriously impaired if the Department of Defense assistance
            were not provided.
        ``(c) Forms of Assistance.--The assistance referred to in
    subsection (a) includes the operation of equipment (including equipment
    made available under section 372 of this title) to monitor, contain,
    disable, or dispose of the weapon involved or elements of the weapon.
        ``(d) Regulations.--(1) The Secretary of Defense and the Attorney
    General shall jointly prescribe regulations concerning the types of
    assistance that may be provided under this section. Such regulations
    shall also describe the actions that Department of Defense personnel
    may take in circumstances incident to the provision of assistance under
    this section.
        ``(2)(A) Except as provided in subparagraph (B), the regulations
    may not authorize the following actions:
            ``(i) Arrest.
            ``(ii) Any direct participation in conducting a search for or
        seizure of evidence related to a violation of section 175 or 2332c
        of title 18.
            ``(iii) Any direct participation in the collection of
        intelligence for law enforcement purposes.
        ``(B) The regulations may authorize an action described in
    subparagraph (A) to be taken under the following conditions:
            ``(i) The action is considered necessary for the immediate
        protection of human life, and civilian law enforcement officials
        are not capable of taking the action.
            ``(ii) The action is otherwise authorized under subsection (c)
        or under otherwise applicable law.
        ``(e) Reimbursements.--The Secretary of Defense shall require
    reimbursement as a condition for providing assistance under this
    section to the extent required under section 377 of this title.
        ``(f) Delegations of Authority.--(1) Except to the extent otherwise
    provided by the Secretary of Defense, the Deputy Secretary of Defense
    may exercise the authority of the Secretary of Defense under this
    section. The Secretary of Defense may delegate the Secretary's
    authority under this section only to an Under Secretary of Defense or
    an Assistant Secretary of Defense and only if the Under Secretary or
    Assistant Secretary to whom delegated has been designated by the
    Secretary to act for, and to exercise the general powers of, the
    Secretary.
        ``(2) Except to the extent otherwise provided by the Attorney
    General, the Deputy Attorney General may exercise the authority of the
    Attorney General under this section. The Attorney General may delegate
    that authority only to the Associate Attorney General or an Assistant
    Attorney General and only if the Associate Attorney General or
    Assistant Attorney General to whom delegated has been designated by the
    Attorney General to act for, and to exercise the general powers of, the
    Attorney General.
        ``(g) Relationship to Other Authority.--Nothing in this section
    shall be construed to restrict any executive branch authority regarding
    use of members of the armed forces or equipment of the Department of
    Defense that was in effect before the date of the enactment of the
    National Defense Authorization Act for Fiscal Year 1997.''.
        (2) The table of sections at the beginning of such chapter is
    amended by adding at the end the following new item:

    ``382. Emergency situations involving chemical or biological weapons of
    mass destruction.''.

        (b) Conforming Amendment to Condition for Providing Equipment and
    Facilities.--Section 372(b)(1) of title 10, United States Code, is
    amended by adding at the end the following new sentence: ``The
    requirement for a determination that an item is not reasonably
    available from another source does not apply to assistance provided
    under section 382 of this title pursuant to a request of the Attorney
    General for the assistance.''.
        (c) Conforming Amendments Relating to Authority To Request
    Assistance.--(1)(A) Chapter 10 of title 18, United States Code, is
    amended by inserting after section 175 the following new section:
    ``Sec. 175a. Requests for military assistance to enforce prohibition in
         certain emergencies
        ``The Attorney General may request the Secretary of Defense to
    provide assistance under section 382 of title 10 in support of
    Department of Justice activities relating to the enforcement of section
    175 of this title in an emergency situation involving a biological
    weapon of mass destruction. The authority to make such a request may be
    exercised by another official of the Department of Justice in
    accordance with section 382(f)(2) of title 10.''.
        (B) The table of sections at the beginning of such chapter is
    amended by inserting after the item relating to section 175 the
    following new item:

    ``175a. Requests for military assistance to enforce prohibition in
              certain emergencies.''.

        (2)(A) The chapter 133B of title 18, United States Code, that
    relates to terrorism is amended by inserting after section 2332c the
    following new section:
    ``Sec. 2332d. Requests for military assistance to enforce prohibition
          in certain emergencies
        ``The Attorney General may request the Secretary of Defense to
    provide assistance under section 382 of title 10 in support of
    Department of Justice activities relating to the enforcement of section
    2332c of this title during an emergency situation involving a chemical
    weapon of mass destruction. The authority to make such a request may be
    exercised by another official of the Department of Justice in
    accordance with section 382(f)(2) of title 10.''.
        (B) The table of sections at the beginning of such chapter is
    amended by inserting after the item relating to section 2332c the
    following new item:

    ``2332d. Requests for military assistance to enforce prohibition in
    certain emergencies.''.

        (d) Civilian Expertise.--The President shall take reasonable
    measures to reduce the reliance of civilian law enforcement officials
    on Department of Defense resources to counter the threat posed by the
    use or potential use of biological and chemical weapons of mass
    destruction within the United States. The measures shall include--
            (1) actions to increase civilian law enforcement expertise to
        counter such a threat; and
            (2) actions to improve coordination between civilian law
        enforcement officials and other civilian sources of expertise,
        within and outside the Federal Government, to counter such a
        threat.
        (e) Reports.--The President shall submit to Congress the following
    reports:
            (1) Not later than 90 days after the date of the enactment of
        this Act, a report describing the respective policy functions and
        operational roles of Federal agencies in countering the threat
        posed by the use or potential use of biological and chemical
        weapons of mass destruction within the United States.
            (2) Not later than one year after such date, a report
        describing--
                (A) the actions planned to be taken to carry out subsection
            (d); and
                (B) the costs of such actions.
            (3) Not later than three years after such date, a report
        updating the information provided in the reports submitted pursuant
        to paragraphs (1) and (2), including the measures taken pursuant to
        subsection (d).

    SEC. 1417. RAPID RESPONSE INFORMATION SYSTEM.

        (a) Inventory of Rapid Response Assets.--(1) The head of each
    Federal Response Plan agency shall develop and maintain an inventory of
    physical equipment and assets under the jurisdiction of that agency
    that could be made available to aid State and local officials in search
    and rescue and other disaster management and mitigation efforts
    associated with an emergency involving weapons of mass destruction. The
    agency head shall submit a copy of the inventory, and any updates of
    the inventory, to the Director of the Federal Emergency Management
    Agency for inclusion in the master inventory required under subsection
    (b).
        (2) Each inventory shall include a separate listing of any
    equipment that is excess to the needs of that agency and could be
    considered for disposal as excess or surplus property for use for
    response and training with regard to emergencies involving weapons of
    mass destruction.
        (b) Master Inventory.--The Director of the Federal Emergency
    Management Agency shall compile and maintain a comprehensive listing of
    all inventories prepared under subsection (a). The first such master
    list shall be completed not later than December 31, 1997, and shall be
    updated annually thereafter.
        (c) Addition to Federal Response Plan.--Not later than December 31,
    1997, the Director of the Federal Emergency Management Agency shall
    develop and incorporate into existing Federal emergency response plans
    and programs prepared under section 611(b) of the Robert T. Stafford
    Disaster Relief and Emergency Assistance Act (42 U.S.C. 5196(b))
    guidance on accessing and using the physical equipment and assets
    included in the master list developed under subsection to respond to
    emergencies involving weapons of mass destruction.
        (d) Database on Chemical and Biological Materials.--The Director of
    the Federal Emergency Management Agency, in consultation with the
    Secretary of Defense, shall prepare a database on chemical and
    biological agents and munitions characteristics and safety precautions
    for civilian use. The initial design and compilation of the database
    shall be completed not later than December 31, 1997.
        (e) Access to Inventory and Database.--The Director of the Federal
    Emergency Management Agency shall design and maintain a system to give
    Federal, State, and local officials access to the inventory listing and
    database maintained under this section in the event of an emergency
    involving weapons of mass destruction or to prepare and train to
    respond to suchan emergency. The system shall include a secure but
    accessible emergency response hotline to access information and request
    assistance.

      Subtitle B--Interdiction of Weapons of Mass Destruction and Related
                                   Materials

    SEC. 1421. PROCUREMENT OF DETECTION EQUIPMENT UNITED STATES BORDER
    SECURITY.
        Of the amount authorized to be appropriated by section 301,
    $15,000,000 is available for the procurement of--
            (1) equipment capable of detecting the movement of weapons of
        mass destruction and related materials into the United States;
            (2) equipment capable of interdicting the movement of weapons
        of mass destruction and related materials into the United States;
        and
            (3) materials and technologies related to use of equipment
        described in paragraph (1) or (2).
    SEC. 1422. EXTENSION OF COVERAGE OF INTERNATIONAL EMERGENCY ECONOMIC
    POWERS ACT.
        Section 206 of the International Emergency Economic Powers Act (50
    U.S.C. 1705) is amended--
            (1) in subsection (a), by inserting ``, or attempts to
        violate,'' after ``violates''; and
            (2) in subsection (b), by inserting ``, or willfully attempts
        to violate,'' after ``violates''.

    SEC. 1423. SENSE OF CONGRESS CONCERNING CRIMINAL PENALTIES.

        (a) Sense of Congress Concerning Inadequacy of Sentencing
    Guidelines.--It is the sense of Congress that the sentencing guidelines
    prescribed by the United States Sentencing Commission for the offenses
    of importation, attempted importation, exportation, and attempted
    exportation of nuclear, biological, and chemical weapons materials
    constitute inadequate punishment for such offenses.
        (b) Urging of Revison to Guidelines.--Congress urges the United
    States Sentencing Commission to revise the relevant sentencing
    guidelines to provide for increased penalties for offenses relating to
    importation, attempted importation, exportation, and attempted
    exportation of nuclear, biological, or chemical weapons or related
    materials or technologies under the following provisions of law:
            (1) Section 11 of the Export Administration Act of 1979 (50
        U.S.C. App. 2410).
            (2) Sections 38 and 40 of the Arms Export Control Act (22
        U.S.C. 2778 and 2780).
            (3) The International Emergency Economic Powers Act (50 U.S.C.
        1701 et seq.).
            (4) Section 309(c) of the Nuclear Non-Proliferation Act of 1978
        (22 U.S.C. 2156a(c)).

    SEC. 1424. INTERNATIONAL BORDER SECURITY.

        (a) Secretary of Defense Responsibility.--The Secretary of Defense,
    in consultation and cooperation with the Commissioner of Customs, shall
    carry out programs for assisting customs officials and border guard
    officials in the independent states of the former Soviet Union, the
    Baltic states, and other countries of Eastern Europe in preventing
    unauthorized transfer and transportation of nuclear, biological, and
    chemical weapons and related materials. Training, expert advice,
    maintenance of equipment, loan of equipment, and audits may be provided
    under or in connection with the programs.
        (b) Funding.--Of the total amount authorized to be appropriated by
    section 301, $15,000,000 is available for carrying out the programs
    referred to in subsection (a).
        (c) Assistance to States of the Former Soviet Union.--Assistance
    under programs referred to in subsection (a) may (notwithstanding any
    provision of law prohibiting the extension of foreign assistance to any
    of the newly independent states of the former Soviet Union) be extended
    to include an independent state of the former Soviet Union if the
    President certifies to Congress that it is in the national interest of
    the United States to extend assistance under this section to that
    state.

    Subtitle C--Control and Disposition of Weapons of Mass Destruction and
                Related Materials Threatening the United States

    SEC. 1431. COVERAGE OF WEAPONS-USABLE FISSILE MATERIALS IN COOPERATIVE
    THREAT REDUCTION PROGRAMS ON ELIMINATION OR TRANSPORTATION OF NUCLEAR
    WEAPONS.
        Section 1201(b)(1) of the National Defense Authorization Act for
    Fiscal Year 1996 (Public Law 104-106; 110 Stat. 469; 22 U.S.C. 5955
    note) is amended by inserting ``, fissile material suitable for use in
    nuclear weapons,'' after ``other weapons''.

    SEC. 1432. ELIMINATION OF PLUTONIUM PRODUCTION.

        (a) Replacement Program.--The Secretary of Energy, in consultation
    with the Secretary of Defense, shall develop a cooperative program with
    the Government of Russia to eliminate the production of weapons grade
    plutonium by modifying or replacing the reactor cores at Tomsk-7 and
    Krasnoyarsk-26 with reactor cores that are less suitable for the
    production of weapons-grade plutonium.
        (b) Program Requirements.--(1) The program shall be designed to
    achieve completion of the modifications or replacements of the reactor
    cores within three years after the modification or replacement
    activities under the program are begun.
        (2) The plan for the program shall--
            (A) specify--
                (i) successive steps for the modification or replacement of
            the reactor cores; and
                (ii) clearly defined milestones to be achieved; and
            (B) include estimates of the costs of the program.
        (c) Submission of Program Plan to Congress.--Not later than 180
    days after the date of the enactment of this Act, the Secretary of
    Defense shall submit to Congress--
            (1) a plan for the program under subsection (a);
            (2) an estimate of the United States funding that is necessary
        for carrying out the activities under the program for each fiscal
        year covered by the program; and
            (3) a comparison of the benefits of the program with the
        benefits of other nonproliferation programs.

        Subtitle D--Coordination of Policy and Countermeasures Against
                  Proliferation of Weapons of Mass Destruction

    SEC. 1441. NATIONAL COORDINATOR ON NONPROLIFERATION.

        (a) Designation of Position.--The President shall designate an
    individual to serve in the Executive Office of the President as the
    National Coordinator for Nonproliferation Matters.
        (b) Duties.--The Coordinator, under the direction of the National
    Security Council, shall advise and assist the President by--
            (1) advising the President on nonproliferation of weapons of
        mass destruction, including issues related to terrorism, arms
        control, and international organized crime;
            (2) chairing the Committee on Nonproliferation established
        under section 1342; and
            (3) taking such actions as are necessary to ensure that there
        is appropriate emphasis in, cooperation on, and coordination of,
        nonproliferation research efforts of the United States, including
        activities of Federal agencies as well as activities of contractors
        funded by the Federal Government.
        (c) Allocation of Funds.--Of the total amount authorized to be
    appropriated under section 301, $2,000,000 is available to the
    Department of Defense for carrying out research referred to in
    subsection (b)(3).
    SEC. 1442. NATIONAL SECURITY COUNCIL COMMITTEE ON NONPROLIFERATION.
        (a) Establishment.--The Committee on Nonproliferation (in this
    section referred to as the ``Committee'') is established as a committee
    of the National Security Council.
        (b) Membership.--(1) The Committee shall be composed of
    representatives of the following:
            (A) The Secretary of State.
            (B) The Secretary of Defense.
            (C) The Director of Central Intelligence.
            (D) The Attorney General.
            (E) The Secretary of Energy.
            (F) The Administrator of the Federal Emergency Management
        Agency.
            (G) The Secretary of the Treasury.
            (H) The Secretary of Commerce.
            (I) Such other members as the President may designate.
        (2) The National Coordinator for Nonproliferation Matters shall
    chair the Committee on Nonproliferation.
        (c) Responsibilities.--The Committee has the following
    responsibilities:
            (1) To review and coordinate Federal programs, policies, and
        directives relating to the proliferation of weapons of mass
        destruction and related materials and technologies, including
        matters relating to terrorism and international organized crime.
            (2) To make recommendations through the National Security
        Council to the President regarding the following:
                (A) Integrated national policies for countering the threats
            posed by weapons of mass destruction.
                (B) Options for integrating Federal agency budgets for
            countering such threats.
                (C) Means to ensure that Federal, State, and local
            governments have adequate capabilities to manage crises
            involving nuclear, radiological, biological, or chemical
            weapons or related materials or technologies, and to manage the
            consequences of a use of such weapon or related materials or
            technologies, and that use of those capabilities is
            coordinated.
                (D) Means to ensure appropriate cooperation on, and
            coordination of, the following:
                    (i) Preventing the smuggling of weapons of mass
                destruction and related materials and technologies.
                    (ii) Promoting domestic and international law
                enforcement efforts against proliferation-related efforts.
                    (iii) Countering the involvement of organized crime
                groups in proliferation-related activities.
                    (iv) Safeguarding weapons of mass destruction materials
                and related technologies.
                    (v) Improving coordination and cooperation among
                intelligence activities, law enforcement, and the
                Departments of Defense, State, Commerce, and Energy in
                support of nonproliferation and counterproliferation
                efforts.
                    (vi) Improving export controls over materials and
                technologies that can contribute to the acquisition of
                weapons of mass destruction.
                    (vii) Reducing proliferation of weapons of mass
                destruction and related materials and technologies.

    SEC. 1443. COMPREHENSIVE PREPAREDNESS PROGRAM.

        (a) Program Required.--The President, acting through the Committee
    on Nonproliferation established under section 1442, shall develop a
    comprehensive program for carrying out this title.
        (b) Content of Program.--The program set forth in the report shall
    include specific plans as follows:
            (1) Plans for countering proliferation of weapons of mass
        destruction and related materials and technologies.
            (2) Plans for training and equipping Federal, State, and local
        officials for managing a crisis involving a use orthreatened use of
    a weapon of mass destruction, including the consequences of the use of
    such a weapon.
            (3) Plans for providing for regular sharing of information
        among intelligence, law enforcement, and customs agencies.
            (4) Plans for training and equipping law enforcement units,
        customs services, and border security personnel to counter the
        smuggling of weapons of mass destruction and related materials and
        technologies.
            (5) Plans for establishing appropriate centers for analyzing
        seized nuclear, radiological, biological, and chemical weapons, and
        related materials and technologies.
            (6) Plans for establishing in the United States appropriate
        legal controls and authorities relating to the exporting of
        nuclear, radiological, biological, and chemical weapons, and
        related materials and technologies.
            (7) Plans for encouraging and assisting governments of foreign
        countries to implement and enforce laws that set forth appropriate
        penalties for offenses regarding the smuggling of weapons of mass
        destruction and related materials and technologies.
            (8) Plans for building the confidence of the United States and
        Russia in each other's controls over United States and Russian
        nuclear weapons and fissile materials, including plans for
        verifying the dismantlement of nuclear weapons.
            (9) Plans for reducing United States and Russian stockpiles of
        excess plutonium, reflecting--
                (A) consideration of the desirability and feasibility of a
            United States-Russian agreement governing fissile material
            disposition and the specific technologies and approaches to be
            used for disposition of excess plutonium; and
                (B) an assessment of the options for United States
            cooperation with Russia in the disposition of Russian
            plutonium.
            (10) Plans for studying the merits and costs of establishing a
        global network of means for detecting and responding to terroristic
        or other criminal use of biological agents against people or other
        forms of life in the United States or any foreign country.
        (c) Report.--(1) At the same time that the President submits the
    budget for fiscal year 1998 to Congress pursuant to section 1105(a) of
    title 31, United States Code, the President shall submit to Congress a
    report that sets forth the comprehensive program developed under
    subsection (a).
        (2) The report shall include the following:
            (A) The specific plans for the program that are required under
        subsection (b).
            (B) Estimates of the funds necessary, by agency or department,
        for carrying out such plans in fiscal year 1998 and the following
        five fiscal years.
        (3) The report shall be in an unclassified form. If there is a
    classified version of the report, the President shall submit the
    classified version at the same time.

    SEC. 1444. TERMINATION.

        After September 30, 1999, the President--
            (1) is not required to maintain a National Coordinator for
        Nonproliferation Matters under section 1341; and
            (2) may terminate the Committee on Nonproliferation established
        under section 1342.

                           Subtitle E--Miscellaneous

    SEC. 1451. SENSE OF CONGRESS CONCERNING CONTRACTING POLICY.

        It is the sense of Congress that the Secretary of Defense, the
    Secretary of Energy, the Secretary of the Treasury, and the Secretary
    of State, to the extent authorized by law, should--
            (1) contract directly with suppliers in independent states of
        the former Soviet Union when such action would--
                (A) result in significant savings of the programs referred
            to in subtitle C; and
                (B) substantially expedite completion of the programs
            referred to in subtitle C; and
            (2) seek means to use innovative contracting approaches to
        avoid delay and increase the effectiveness of such programs and of
        the exercise of such authorities.
    SEC. 1452. TRANSFERS OF ALLOCATIONS AMONG COOPERATIVE THREAT REDUCTION
    PROGRAMS.
        Congress finds that--
            (1) the various Cooperative Threat Reduction programs are being
        carried out at different rates in the various countries covered by
        such programs; and
            (2) it is necessary to authorize transfers of funding
        allocations among the various programs in order to maximize the
        effectiveness of United States efforts under such programs.
    SEC. 1453. SENSE OF CONGRESS CONCERNING ASSISTANCE TO STATES OF FORMER
    SOVIET UNION.
        It is the sense of Congress that--
            (1) the Cooperative Threat Reduction programs and other United
        States programs authorized in the National Defense Authorization
        Act for Fiscal Years 1993 and 1994 should be expanded by offering
        assistance under those programs to other independent states of the
        former Soviet Union in addition to Russia, Ukraine, Kazakstan, and
        Belarus; and
            (2) the President should offer assistance to additional
        independent states of the former Soviet Union in each case in which
        the participation of such states would benefit national security
        interests of the United States by improving border controls and
        safeguards over materials and technology associated with weapons of
        mass destruction.
    SEC. 1454. PURCHASE OF LOW-ENRICHED URANIUM DERIVED FROM RUSSIAN HIGHLY
    ENRICHED URANIUM.
        (a) Sense of Congress.--It is the sense of Congress that the allies
    of the United States and other nations should participate in efforts to
    ensure that stockpiles of weapons-grade nuclear material are reduced.
        (b) Actions by the Secretary of State.--Congress urges the
    Secretary of State to encourage, in consultation with the Secretary of
    Energy, other countries to purchase low-enriched uranium that is
    derived from highly enriched uranium extracted from Russian nuclear
    weapons.
    SEC. 1455. SENSE OF CONGRESS CONCERNING PURCHASE, PACKAGING, AND
    TRANSPORTATION OF FISSILE MATERIALS AT RISK OF THEFT.
        It is the sense of Congress that--
            (1) the Secretary of Defense, the Secretary of Energy, the
        Secretary of the Treasury, and the Secretary of State should
        purchase, package, and transport to secure locations weapons-grade
        nuclear materials from a stockpile of such materials if such
        officials determine that--
                (A) there is a significant risk of theft of such materials;
            and
                (B) there is no reasonable and economically feasible
            alternative for securing such materials; and
            (2) if it is necessary to do so in order to secure the
        materials, the materials should be imported into the United States,
        subject to the laws and regulations that are applicable to the
        importation of such materials into the United States.

     TITLE XV--COOPERATIVE THREAT RE- DUCTION WITH STATES OF FORMER SOVIET
                                     UNION

    Sec. 1501. Specification of Cooperative Threat Reduction programs.
    Sec. 1502. Fiscal year 1997 funding allocations.
    Sec. 1503. Prohibition on use of funds for specified purposes.
    Sec. 1504. Limitation on use of funds until specified reports are
              submitted.
    Sec. 1505. Availability of funds.

    SEC. 1501. SPECIFICATION OF COOPERATIVE THREAT REDUCTION PROGRAMS.

        (a) In General.--For purposes of section 301 and other provisions
    of this Act, Cooperative Threat Reduction programs are the programs
    specified in subsection (b).
        (b) Specified Programs.--The programs referred to in subsection (a)
    are the following programs with respect to states of the former Soviet
    Union:
            (1) Programs to facilitate the elimination, and the safe and
        secure transportation and storage, of nuclear, chemical, and other
        weapons and their delivery vehicles.
            (2) Programs to facilitate the safe and secure storage of
        fissile materials derived from the elimination of nuclear weapons.
            (3) Programs to prevent the proliferation of weapons, weapons
        components, and weapons-related technology and expertise.
            (4) Programs to expand military-to-military and defense
        contacts.

    SEC. 1502. FISCAL YEAR 1997 FUNDING ALLOCATIONS.

        (a) In General.--Of the amount appropriated pursuant to the
    authorization of appropriations in section 301 for Cooperative Threat
    Reduction programs, not more than the following amounts may be
    obligated for the purposes specified:
            (1) For planning and design of a chemical weapons destruction
        facility in Russia, $78,500,000.
            (2) For elimination of strategic offensive arms in Russia,
        $52,000,000.
            (3) For strategic nuclear arms elimination in Ukraine,
        $47,000,000.
            (4) For planning and design of a storage facility for Russian
        fissile material, $66,000,000.
            (5) For fissile material containers in Russia, $38,500,000.
            (6) For weapons storage security in Russia, $15,000,000.
            (7) For activities designated as Defense and Military-to-
        Military Contacts in Russia, Ukraine, Belarus, and Kazakhstan,
        $10,000,000.
            (8) For activities designated as Other Assessments/
        Administrative Support, $20,900,000.
            (9) For materials protection, control, and accounting
        assistance or for destruction of nuclear, radiological, biological,
        or chemical weapons or related materials at any site within the
        former Soviet Union, $10,000,000.
            (10) For transfer to the Secretary of Energy to develop a
        cooperative program with the Government of Russia to eliminate the
        production of weapons grade plutonium at Russian reactors,
        $10,000,000.
            (11) For dismantlement of biological and chemical weapons
        facilities in the former Soviet Union, $15,000,000.
            (12) For expanding military-to-military programs of the United
        States that focus on countering the threat of proliferation of
        weapons of mass destruction to include the security forces of the
        independent states of the former Soviet Union, particularly states
        in the Caucasus region and Central Asia, $2,000,000.
        (b) Limited Authority To Vary Individual Amounts.--(1) If the
    Secretary of Defense determines that it is necessary to do so in the
    national interest, the Secretary may, subject to paragraph (2),
    obligate amounts for the purposes stated in any of the paragraphs of
    subsection (a) in excess of the amount specified for those purposes in
    that paragraph, but not in excess of 115 percent of that amount.
    However, the total amount obligated for the purposes stated in
    theparagraphs in subsection (a) may not by reason of the use of the
    authority provided in the preceding sentence exceed the sum of the
    amounts specified in those paragraphs.
        (2) An obligation for the purposes stated in any of the paragraphs
    in subsection (a) in excess of the amount specified in that paragraph
    may be made using the authority provided in paragraph (1) only after--
            (A) the Secretary submits to Congress a notification of the
        intent to do so together with a complete discussion of the
        justification for doing so; and
            (B) 15 days have elapsed following the date of the
        notification.

    SEC. 1503. PROHIBITION ON USE OF FUNDS FOR SPECIFIED PURPOSES.

        (a) In General.--None of the funds appropriated pursuant to the
    authorization in section 301 for Cooperative Threat Reduction programs,
    or appropriated for such programs for any prior fiscal year and
    remaining available for obligation, may be obligated or expended for
    any of the following purposes:
            (1) Conducting with Russia any peacekeeping exercise or other
        peacekeeping-related activity.
            (2) Provision of housing.
            (3) Provision of assistance to promote environmental
        restoration.
            (4) Provision of assistance to promote job retraining.
        (b) Limitation With Respect to Defense Conversion Assistance.--None
    of the funds appropriated to the Department of Defense for fiscal year
    1997 may be obligated or expended for defense conversion.
    SEC. 1504. LIMITATION ON USE OF FUNDS UNTIL SPECIFIED REPORTS ARE
    SUBMITTED.
        None of the funds appropriated pursuant to the authorization in
    section 301 for Cooperative Threat Reduction programs may be obligated
    or expended until 15 days after the date which is the latest of the
    following:
            (1) The date on which the President submits to Congress the
        determinations required under subsection (c) of section 211 of
        Public Law 102-228 (22 U.S.C. 2551 note) with respect to any
        certification transmitted to Congress under subsection (b) of that
        section before the date of the enactment of this Act.
            (2) The date on which the Secretary of Defense submits to
        Congress the first report under section 1206(a) of the National
        Defense Authorization Act for Fiscal Year 1996 (Public Law 104-106;
        110 Stat. 471).
            (3) The date on which the Secretary of Defense submits to
        Congress the report for fiscal year 1996 required under section
        1205(c) of the National Defense Authorization Act for Fiscal Year
        1995 (Public Law 103-337; 108 Stat. 2883).

    SEC. 1505. AVAILABILITY OF FUNDS.

        Funds appropriated pursuant to the authorization of appropriations
    in section 301 for Cooperative Threat Reduction programs shall be
    available for obligation for three fiscal years.

              TITLE XVI--DEPARTMENT OF DEFENSE CIVILIAN PERSONNEL

    Subtitle A--Miscellaneous Matters Relating to Personnel Management, Pay,
                                 and Allowances

    Sec. 1601. Modification of requirement for conversion of military
    positions to civilian positions.
    Sec. 1602. Retention of civilian employee positions at military training
    bases transferred to National Guard.
    Sec. 1603. Clarification of applicability of certain management
    constraints on major range and test facility base structure.
    Sec. 1604. Travel expenses and health care for civilian employees of the
    Department of Defense abroad.
    Sec. 1605. Travel, transportation, and relocation allowances for certain
    former nonappropriated fund employees.
    Sec. 1606. Employment and salary practices applicable to Department of
    Defense overseas teachers.
    Sec. 1607. Employment and compensation of civilian faculty members at
    certain Department of Defense schools.
    Sec. 1608. Reimbursement of Department of Defense domestic dependent
    school board members for certain expenses.
    Sec. 1609. Modification of authority for civilian employees of
    Department of Defense to participate voluntarily in reductions in force.
    Sec. 1610. Wage-board compensatory time off.
    Sec. 1611. Liquidation of restored annual leave that remains unused upon
    transfer of employee from installation being closed or realigned.
    Sec. 1612. Waiver of requirement for repayment of Voluntary Separation
    Incentive pay by former Department of Defense employees reemployed by
    the Government without pay.
    Sec. 1613. Simplification of rules relating to the observance of certain
    holidays.
    Sec. 1614. Revision of certain travel management authorities.
    Sec. 1615. Failure to comply with veterans' preference requirements to
    be treated as a prohibited personnel practice.
    Sec. 1616. Pilot programs for defense employees converted to contractor
    employees due to privatization at closed military installations.

         Subtitle B--Department of Defense Intelligence Personnel Policy

    Sec. 1631. Short title.
    Sec. 1632. Management of civilian intelligence personnel.

    Sec. 1633. Repeal of superseded sections and clerical and conforming
    amendments.
    Sec. 1634. Other personnel management authorities.
    Sec. 1635. Effective date.

      Subtitle A--Miscellaneous Matters Relating to Personnel Management,
                              Pay, and Allowances

    SEC. 1601. MODIFICATION OF REQUIREMENT FOR CONVERSION OF MILITARY
    POSITIONS TO CIVILIAN POSITIONS.
        (a) Elimination of Requirement for Fiscal Year 1997 Conversions.--
    Paragraph (1) of section 1032(a) of the National Defense Authorization
    Act for Fiscal Year 1996 (Public Law 104-106; 110 Stat. 429; 10 U.S.C.
    129a note) is amended--
            (1) by striking out ``September 30, 1997'' and inserting in
        lieu thereof ``September 30, 1996''; and
            (2) by striking out ``10,000'' and inserting in lieu thereof
        ``3,000''.
        (b) Conforming Amendments.--Such section is further amended--
            (1) by striking out paragraph (2); and
            (2) by redesignating paragraph (3) as paragraph (2).
        (c) Effective Date.--(1) The amendments made by this section shall
    take effect 30 days after the date on which the Secretary of Defense
    submits to Congress a certification that at least 3,000 military
    positions have been converted to civilian positions during fiscal year
    1996 as required by section 1032(a) of the National Defense
    Authorization Act for Fiscal Year 1996 (Public Law 104-106; 110 Stat.
    429).
        (2) The Secretary shall publish in the Federal Register a notice of
    the submission of any certification to Congress under paragraph (1),
    including the date on which the certification was submitted to
    Congress.
    SEC. 1602. RETENTION OF CIVILIAN EMPLOYEE POSITIONS AT MILITARY
    TRAINING BASES TRANSFERRED TO NATIONAL GUARD.
        (a) Retention of Employee Positions.--In the case of a military
    training installation described in subsection (b), the Secretary of
    Defense shall retain civilian employee positions of the Department of
    Defense at the installation after transfer to the National Guard to
    facilitate active and reserve component training at the installation.
    The Secretary shall determine the extent to which positions at the
    installation are to be retained as positions of the Department of
    Defense in consultation with the Adjutant General of the National Guard
    of the State in which the installation is located.
        (b) Military Training Installations Affected.--This section applies
    with respect to each military training installation that--
            (1) was approved for closure in 1995 under the Defense Base
        Closure and Realignment Act of 1990 (part A of title XXIX of Public
        Law 101-510; 10 U.S.C. 2687 note);
            (2) is scheduled for transfer to National Guard operation and
        control; and
            (3) will continue to be used, after such transfer, to provide
        training support to active and reserve components of the Armed
        Forces.
        (c) Maximum Positions Retained.--The number of civilian employee
    positions retained at an installation under this section may not exceed
    20 percent of the Federal civilian workforce employed at the
    installation as of September 8, 1995.
        (d) Removal of Position.--The requirement to maintain a civilian
    employee position at an installation under this section terminates upon
    the later of the following:
            (1) The date of the departure or retirement from that position
        by the civilian employee initially employed or retained in the
        position as a result of this section.
            (2) The date on which the Secretary certifies to Congress that
        the position is no longer required to ensure that effective support
        is provided at the installation for active and reserve component
        training.
    SEC. 1603. CLARIFICATION OF APPLICABILITY OF CERTAIN MANAGEMENT
    CONSTRAINTS ON MAJOR RANGE AND TEST FACILITY BASE STRUCTURE.
        Section 129 of title 10, United States Code, is amended--
            (1) in subsection (c)(1), by inserting ``, the Major Range and
        Test Facility Base,'' after ``industrial-type activities''; and
            (2) by adding at the end the following:
        ``(e) Subsections (a), (b), and (c) apply to the Major Range and
    Test Facility Base (MRTFB) at the installation level. With respect to
    the MRTFB structure, the term `funds made available' includes both
    direct appropriated funds and funds provided by MRTFB customers.''.
    SEC. 1604. TRAVEL EXPENSES AND HEALTH CARE FOR CIVILIAN EMPLOYEES OF
    THE DEPARTMENT OF DEFENSE ABROAD.
        (a) In General.--Chapter 81 of title 10, United States Code, is
    amended by adding at the end the following new section:

    ``Sec. 1599b. Employees abroad: travel expenses; health care

        ``(a) In General.--The Secretary of Defense may provide civilian
    employees, and members of their families, abroad with benefits that are
    comparable to certain benefits that are provided by the Secretary of
    State to members of the Foreign Service and their families abroad as
    described in subsections (b) and (c). The Secretary may designate the
    employees and members of families who are eligible to receive the
    benefits.
        ``(b) Travel and Related Expenses.--The Secretary of Defense may
    pay travel expenses and related expenses for purposes and in amounts
    that are comparable to the purposes for which, and the amounts in
    which, travel and related expenses are paid by the Secretary of State
    under section 901 of the Foreign Service Act of 1980 (22 U.S.C. 4081).
        ``(c) Health Care Program.--The Secretary of Defense may establish
    a health care program that is comparable to the health care program
    established by the Secretary of State under section 904 of the Foreign
    Service Act of 1980 (22 U.S.C. 4084).
        ``(d) Assistance.--The Secretary of Defense may enter into
    agreements with the heads of other departments and agencies of the
    Government in order to facilitate the payment of expenses authorized by
    subsection (b) and to carry out a health care pro- gram authorized by
    subsection (c).
        ``(e) Abroad Defined.--In this section, the term `abroad' means
    outside--
            ``(1) the United States; and
            ``(2) the territories and possessions of the United States.''.
        (b) Clerical Amendment.--The table of sections at the beginning of
    such chapter is amended by adding at the end the following new item:
    ``1599b. Employees abroad: travel expenses; health care.''.
    SEC. 1605. TRAVEL, TRANSPORTATION, AND RELOCATION ALLOWANCES FOR
    CERTAIN FORMER NONAPPROPRIATED FUND EMPLOYEES.
        (a) In General.--(1) Subchapter II of chapter 57 of title 5, United
    States Code, is amended by adding at the end the following new section:
    ``Sec. 5736. Travel, transportation, and relocation expenses of certain
        nonappropriated fund employees
        ``An employee of a nonappropriated fund instrumentality of the
    Department of Defense or the Coast Guard described in section 2105(c)
    of this title who moves, without a break in service of more than 3
    days, to a position in the Department of Defense or the Coast Guard,
    respectively, may be authorized travel, transportation, and relocation
    expenses and allowances under the same conditions and to the same
    extent authorized by this subchapter for transferred employees.''.
        (2) The table of sections at the beginning of chapter 57 of such
    title is amended by inserting after the item relating to section 5735
    the following new item:
    ``5736. Travel, transportation, and relocation expenses of certain
              nonappropriated fund employees.''.

        (b) Applicability.--Section 5736 of title 5, United States Code (as
    added by subsection (a)(1)), shall apply to moves between positions as
    described in such section that are effective on or after October 1,
    1996.

    SEC. 1606. EMPLOYMENT AND SALARY PRACTICES APPLICABLE TO DEPARTMENT OF
                  DEFENSE OVERSEAS TEACHERS.

        (a) Expansion of Scope of Educators Covered.--Section 2 of the
    Defense Department Overseas Teachers Pay and Personnel Practices Act
    (20 U.S.C. 901) is amended--
            (1) in subparagraph (A) of paragraph (1), by inserting ``, or
        are performed by an individual who carried out certain teaching
        activities identified in regulations prescribed by the Secretary of
        Defense'' after ``Defense,''; and
            (2) by striking out subparagraph (C) of paragraph (2) and
        inserting in lieu thereof the following:
                ``(C) who is employed in a teaching position described in
            paragraph (1).''.
        (b) Transfer of Responsibility for Employment and Salary
    Practices.--Section 5 of such Act (20 U.S.C. 903) is amended--
            (1) in subsection (a)--
                (A) by striking out ``Secretary of each military department
            in the Department of Defense'' and inserting in lieu thereof
            ``Secretary of Defense''; and
                (B) by striking out ``his military department'' and
            inserting in lieu thereof ``the Department of Defense'';
            (2) in subsection (b)--
                (A) in the matter preceding paragraph (1), by striking out
            ``secretary of each military department--'' and inserting in
            lieu thereof ``Secretary of Defense--''; and
                (B) in paragraph (1), by striking out ``his military
            department,'' and inserting in lieu thereof ``the Department of
            Defense'';
            (3) in subsection (c)--
                (A) by striking out ``Secretary of each military
            department'' and inserting in lieu thereof ``Secretary of
            Defense''; and
                (B) by striking out ``his military department'' and
            inserting in lieu thereof ``the Department of Defense''; and
            (4) in subsection (d), by striking out ``Secretary of each
        military department'' and inserting in lieu thereof ``Secretary of
        Defense''.
    SEC. 1607. EMPLOYMENT AND COMPENSATION OF CIVILIAN FACULTY MEMBERS AT
    CERTAIN DEPARTMENT OF DEFENSE SCHOOLS.
        (a) Faculties.--Subsection (c) of section 1595 of title 10, United
    States Code, is amended by adding at the end the following new
    paragraphs:
            ``(4) The English Language Center of the Defense Language
        Institute.
            ``(5) The Asia-Pacific Center for Security Studies.''.
        (b) Certain Administrators.--Such section is further amended by
    adding at the end the following new subsection:
        ``(f) Application to Director and Deputy Director at Asia-Pacific
    Center for Security Studies.--In the case of the Asia-Pacific Center
    for Security Studies, this section also applies with respect to the
    Director and the Deputy Director.''.
    SEC. 1608. REIMBURSEMENT OF DEPARTMENT OF DEFENSE DOMESTIC DEPENDENT
    SCHOOL BOARD MEMBERS FOR CERTAIN EXPENSES.
        Section 2164(d) of title 10, United States Code, is amended by
    adding at the end the following new paragraph:
        ``(7) The Secretary may provide for reimbursement of a school board
    member for expenses incurred by the member for travel, transportation,
    lodging, meals, program fees, activity fees, and other appropriate
    expenses that the Secretary determines are reasonable and necessary for
    the performance of school board duties by the member.''.
    SEC. 1609. MODIFICATION OF AUTHORITY FOR CIVILIAN EMPLOYEES OF
    DEPARTMENT OF DEFENSE TO PARTICIPATE VOLUNTARILY IN REDUCTIONS IN
    FORCE.
        Subsection (f) of section 3502 of title 5, United States Code, is
    amended to read as follows:
        ``(f)(1) The Secretary of Defense or the Secretary of a military
    department may--
            ``(A) separate from service any employee who volunteers to be
        separated under this subparagraph even though the employee is not
        otherwise subject to separation due to a reduction in force; and
            ``(B) for each employee voluntarily separated under
        subparagraph (A), retain an employee in a similar position who
        would otherwise be separated due to a reduction in force.
        ``(2) The separation of an employee under paragraph (1)(A) shall be
    treated as an involuntary separation due to a reduction in force.
        ``(3) An employee with critical knowledge and skills (as defined by
    the Secretary concerned) may not participate in a voluntary separation
    under paragraph (1)(A) if the Secretary concerned determines that such
    participation would impair the performance of the mission of the
    Department of Defense or the military department concerned.
        ``(4) The regulations prescribed under this section shall
    incorporate the authority provided in this subsection.
        ``(5) No authority under paragraph (1) may be exercised after
    September 30, 2001.''.

    SEC. 1610. WAGE-BOARD COMPENSATORY TIME OFF.

        (a) In General.--Section 5543 of title 5, United States Code, is
    amended--
            (1) by redesignating subsection (b) as subsection (c); and
            (2) by inserting after subsection (a) the following new
        subsection (b):
        ``(b) The head of an agency may, on request of an employee, grant
    the employee compensatory time off from the employee's scheduled tour
    of duty instead of payment under section 5544 or section 7 of the Fair
    Labor Standards Act of 1938 for an equal amount of time spent in
    irregular or occasional overtime work. An agency head may not require
    an employee to be compensated for overtime work with an equivalent
    amount of compensatory time-off from the employee's tour of duty.''.
        (b) Conforming Amendment.--Section 5544(c) of title 5, United
    States Code, is amended by inserting ``and the provisions of section
    5543(b)'' after ``the last two sentences of subsection (a)''.
    SEC. 1611. LIQUIDATION OF RESTORED ANNUAL LEAVE THAT REMAINS UNUSED
    UPON TRANSFER OF EMPLOYEE FROM INSTALLATION BEING CLOSED OR REALIGNED.
        (a) Lump-Sum Payment Required.--Section 5551 of title 5, United
    States Code, is amended by adding at the end the following:
        ``(c)(1) Annual leave that is restored to an employee of the
    Department of Defense under section 6304(d) of this title by reason of
    the operation of paragraph (3) of such section and remains unused upon
    the transfer of the employee to a position described in paragraph (2)
    shall be liquidated by payment of a lump-sum for such leave to the
    employee upon the transfer.
        ``(2) A position referred to in paragraph (1) is a position in a
    department or agency of the Federal Government outside the Department
    of Defense or a Department of Defense position that is not located at a
    Department of Defense installation being closed or realigned as
    described in section 6304(d)(3) of this title.''.
        (b) Applicability.--Subsection (c) of section 5551 of title 5,
    United States Code (as added by subsection (a)), shall apply with
    respect to transfers described in such subsection (c) that take effect
    on or after the date of the enactment of this Act.
    SEC. 1612. WAIVER OF REQUIREMENT FOR REPAYMENT OF VOLUNTARY SEPARATION
    INCENTIVE PAY BY FORMER DEPARTMENT OF DEFENSE EMPLOYEES REEMPLOYED BY
    THE GOVERNMENT WITHOUT PAY.
        (a) In General.--Section 5597(g) of title 5, United States Code, is
    amended by adding at the end the following new paragraph:
        ``(5) If the employment is without compensation, the appointing
    official may waive the repayment.''.
        (b) Applicability.--The amendment made by subsection (a) shall
    apply with respect to employment accepted on or after the date of the
    enactment of this Act.
    SEC. 1613. SIMPLIFICATION OF RULES RELATING TO THE OBSERVANCE OF
    CERTAIN HOLIDAYS.
        Section 6103 of title 5, United States Code, is amended by adding
    at the end the following new subsection:
        ``(d)(1) For purposes of this subsection--
            ``(A) the term `compressed schedule' has the meaning given such
        term by section 6121(5); and
            ``(B) the term `adverse agency impact' has the meaning given
        such term by section 6131(b).
        ``(2) An agency may prescribe rules under which employees on a
    compressed schedule may, in the case of a holiday that occurs on a
    regularly scheduled non-workday for such employees, and notwithstanding
    any other provision of law or the terms of any collective bargaining
    agreement, be required to observe such holiday on a workday other than
    as provided by subsection (b), if the agency head determines that it is
    necessary to do so in order to prevent an adverse agency impact.''.
    SEC. 1614. REVISION OF CERTAIN TRAVEL MANAGEMENT AUTHORITIES.
        (a) Repeal of Requirements Relating to Fire-Safe Accommodations.--
    (1) Section 5707 of title 5, United States Code, is amended by striking
    out subsection (d).
        (2) Subsection (b) of section 5 of the Hotel and Motel Fire Safety
    Act of 1990 (Public Law 101-391; 104 Stat. 751; 5 U.S.C. 5707 note) is
    repealed.
        (b) Repeal of Prohibition on Payment of Lodging Expenses of
    Department of Defense Employees and Other Civilians When Adequate
    Government Quarters Are Available.--(1) Section 1589 of title 10,
    United States Code, is repealed.
        (2) The table of sections at the beginning of chapter 81 of such
    title is amended by striking out the item relating to such section.
    SEC. 1615. FAILURE TO COMPLY WITH VETERANS' PREFERENCE REQUIREMENTS TO
    BE TREATED AS A PROHIBITED PERSONNEL PRACTICE.
        (a) In General.--(1) Chapter 81 of title 10, United States Code, as
    amended by section 1604, is further amended by adding at the end the
    following new section:
    ``Sec. 1599c. Veterans' preference requirements: Department of Defense
         failure to comply treated as a prohibited personnel practice
        ``(a) Prohibited Personnel Practice.--It is a prohibited personnel
    practice for a person referred to in subsection (b) who has authority
    described in that subsection--
            ``(1) knowingly to take, recommend, or approve any personnel
        action with respect to such authority if the taking of such action
        violates a veterans' preference; or
            ``(2) knowingly to fail to take, recommend, or approve any
        personnel action with respect to such authority, if the failure to
        take such action violates a veterans' preference.
        ``(b) Persons Covered.--Subsection (a) applies with respect to--
            ``(1) an officer or employee of the Department of Defense who
        has authority to take, direct others to take, recommend, or approve
        a personnel action with respect to an employee of the Department of
        Defense; and
            ``(2) a member of the armed forces who has such authority.
        ``(c) Veterans' Preference Defined.--(1) In this section, the term
    `veterans' preference' means any of the following provisions of law:
            ``(A) Sections 2108, 3305(b), 3309, 3310, 3311, 3312, 3313,
        3314, 3315, 3316, 3317(b), 3318, 3320, 3351, 3352, 3363, 3501,
        3502(b), 3504, and 4303(e) of title 5 and (with respect to a
        preference eligible referred to in section 7511(a)(1)(B) of such
        title) subchapter II of chapter 75 and section 7701 of such title.
            ``(B) Sections 943(c)(2) and 1784(c) of this title.
            ``(C) Section 1308(b) of the Alaska National Interest Lands
        Conservation Act (16 U.S.C. 3198(b)).
            ``(D) Section 301(c) of the Foreign Service Act of 1980 (22
        U.S.C. 3941(c)).
            ``(E) Section 3(a)(11) of the Administrative Office of the
        United States Courts Personnel Act of 1990 (28 U.S.C. 602 note).
            ``(F) Sections 106(f), 7281(e), and 7802(5) of title 38.
            ``(G) Section 1005(a) of title 39.
            ``(H) Any other provision of law that the Director of the
        Office of Personnel Management designates in regulations as being a
        veterans' preference for the purposes of this section.
        ``(2) For the purposes of this section, such term includes any
    regulation prescribed under subsection (b) or (c) of section 1302 of
    title 5 and any other regulation that implements a provision of law
    referred to in paragraph (1).
        ``(d) Personnel Action Defined.--In this section, the term
    `personnel action' has the meaning given that term in section 2302 of
    title 5.''.
        (2) The table of sections at the beginning of such chapter is
    amended by adding at the end the following new item:

    ``1599c. Veterans' preference requirements: Department of Defense
              failure to comply treated as a prohibited personnel
              practice.''.

        (b) Applicability of Title 5 Procedures and Sanctions.--Paragraph
    (1) of section 2302(a) of title 5, United States Code, is amended to
    read as follows:
        ``(1) For purposes of this title, `prohibited personnel practice'
    means the following:
            ``(A) Any action described in subsection (b) of this section.
            ``(B) Any action or failure to act that is designated as a
        prohibited personnel action under section 1599c(a) of title 10.''.
        (c) Reporting Requirement.--Not later than six months after the
    date of the enactment of this Act, the Secretary of Defense shall
    submit to Congress a written report on--
            (1) the implementation of--
                (A) section 1599c of title 10, United States Code, as added
            by subsection (a); and
                (B) subparagraph (B) of section 2302(a)(1) of title 5,
            United States Code, as added by subsection (b); and
            (2) the administration of veterans' preference requirements by
        the Department of Defense generally.
    SEC. 1616. PILOT PROGRAMS FOR DEFENSE EMPLOYEES CONVERTED TO CONTRACTOR
    EMPLOYEES DUE TO PRIVATIZATION AT CLOSED MILITARY INSTALLATIONS.
        (a) Pilot Programs Authorized.--(1) The Secretary of Defense, after
    consultation with the Director of the Office of Personnel Management,
    may establish one or more pilot programs under which Federal retirement
    benefits are provided in accordance with this section to persons who
    convert from Federal employment to employment by a Department of
    Defense contractor in connection with the privatization of the
    performance of functions at selected military installations being
    closed under the base closure and realignment process.
        (2) The Secretary of Defense shall select the military
    installations to be covered by a pilot program under this section.
        (b) Eligible Converted Employees.--(1) A person is a converted
    employee eligible for Federal retirement benefits under this section if
    the person is a former employee of the Department of Defense (other
    than a temporary employee) who--
            (A) while employed by the Department of Defense at a military
        installation selected to participate in a pilot program, performed
        a function that was recommended, in a report of the Defense Base
        Closure and Realignment Commission submitted to the President under
        the Defense Base Closure and Realignment Act of 1990 (title XXIX of
        Public Law 101-510; 10 U.S.C. 2687 note), to be privatized for
        performance by a defense contractor at the same installation or in
        the vicinity of the installation;
            (B) while so employed, separated from Federal service after
        being notified that the employee would be separated in a reduction
        in force resulting from such privatization;
            (C) at the time separated from Federal service, was covered
        under the Civil Service Retirement System, but was not eligible for
        an immediate annuity under the Civil Service Retirement System;
            (D) does not withdraw retirement contributions under section
        8342 of title 5, United States Code;
            (E) within 60 days following such separation, is employed by
        the defense contractor selected to privatize the function to
        perform substantially the same function performed by the person
        before the separation; and
            (F) remains employed by the defense contractor (or a successor
        defense contractor) or subcontractor of the defense contractor (or
        successor defense contractor) until attaining early deferred
        retirement age (unless the employment is sooner involuntarily
        terminated for reasons other than performance or conduct of the
        employee).
        (2) A person who, under paragraph (1), would otherwise be eligible
    for an early deferred annuity under this section shall not be eligible
    for such benefits if the person received separation pay or severance
    pay due to a separation described in subparagraph (B) of that paragraph
    unless the person repays the full amount of such pay with interest
    (computed at a rate determined appropriate by the Director of the
    Office of Personnel Management) to the Department of Defense before
    attaining early deferred retirement age.
        (c) Retirement Benefits of Converted Employees.--In the case of a
    converted employee covered by a pilot program, payment of a deferred
    annuity for which the converted employee is eligible under section
    8338(a) of title 5, United States Code, shall commence on the first day
    of the first month that begins after the date on which the converted
    employee attains early deferred retirement age, notwithstanding the age
    requirement under that section. If the employment of a converted
    employee is involuntarily terminated by the defense contractor or
    subcontractor as described in subsection (b)(1)(F) and the converted
    employee resumes Federal service before the converted employee attains
    early deferred retirement age, the converted employee shall once again
    be covered under the Civil Service Retirement System instead of the
    pilot program.
        (d) Computation of Average Pay.--(1)(A) This paragraph applies to a
    converted employee who was employed in a position classified under the
    General Schedule immediately before the employee's covered separation
    from Federal service.
        (B) Subject to subparagraph (C), for purposes of computing the
    deferred annuity for a converted employee referred to in subparagraph
    (A), the average pay of the converted employee, computed under section
    8331(4) of title 5, United States Code, as of the date of the
    employee's covered separation from Federal service, shall be adjusted
    at the same time and by the same percentage that rates of basic pay are
    increased under section 5303 of such title during the period beginning
    on that date and ending on the date on which the converted employee
    attains early deferred retirement age.
        (C) The average pay of a converted employee, as adjusted under
    subparagraph (B), may not exceed the amount to which an annuity of the
    converted employee could be increased under section 8340 of title 5,
    United States Code, in accordance with the limitation in subsection
    (g)(1) of such section (relating to maximum pay, final pay, or average
    pay).
        (2)(A) This paragraph applies to a converted employee who was a
    prevailing rate employee (as defined under section5342(2) of title 5,
    United States Code) immediately before the employee's covered
    separation from Federal service.
        (B) For purposes of computing the deferred annuity for a converted
    employee referred to in subparagraph (A), the average pay of the
    converted employee, computed under section 8331(4) of title 5, United
    States Code, as of the date of the employee's covered separation from
    Federal service, shall be adjusted at the same time and by the same
    percentage that pay rates for positions that are in the same area as,
    and are comparable to, the last position the converted employee held as
    a prevailing rate employee, are increased under section 5343(a) of such
    title during the period beginning on that date and ending on the date
    on which the converted employee attains early deferred retirement age.
        (e) Payment of Unfunded Liability.--(1) The military department
    concerned shall be liable for that portion of any estimated increase in
    the unfunded liability of the Civil Service Retirement and Disability
    Fund established under section 8348 of title 5, United States Code,
    which is attributable to any benefits payable from such Fund to a
    converted employee, and any survivor of a converted employee, when the
    increase results from--
            (A) an increase in the average pay of the converted employee
        under subsection (d) upon which such benefits are computed; and
            (B) the commencement of an early deferred annuity in accordance
        with this section before the attainment of 62 years of age by the
        converted employee.
        (2) The estimated increase in the unfunded liability for each
    department referred to in paragraph (1) shall be determined by the
    Director of the Office of Personnel Management. In making the
    determination, the Director shall consider any savings to the Fund as a
    result of a pilot program established under this section. The Secretary
    of the military department concerned shall pay the amount so determined
    to the Director in 10 equal annual installments with interest computed
    at the rate used in the most recent valuation of the Civil Service
    Retirement System, with the first payment thereof due at the end of the
    fiscal year in which an increase in average pay under subsection (d)
    becomes effective.
        (f) Contractor Service Not Creditable.--Service performed by a
    converted employee for a defense contractor after the employee's
    covered separation from Federal service is not creditable service for
    purposes of subchapter III of chapter 83 of title 5, United States
    Code.
        (g) Receipt of Benefits While Employed by a Defense Contractor.--A
    converted employee may commence receipt of an early deferred annuity in
    accordance with this section while continuing to work for a defense
    contractor.
        (h) Lump-Sum Credit Payment.--If a converted employee dies before
    attaining early deferred retirement age, such employee shall be treated
    as a former employee who dies not retired for purposes of payment of
    the lump-sum credit under section 8342(d) of title 5, United States
    Code.
        (i) Continued Federal Health Benefits Coverage.--Notwithstanding
    section 8905a(e)(1)(A) of title 5, United States Code, the continued
    coverage of a converted employee for health benefits under chapter 89
    of such title by reason of the application of section 8905a of such
    title to such employee shall terminate 90 days after the date of the
    employee's covered separation from Federal employment. For the purposes
    of the preceding sentence, a person who, except for subsection (b)(2),
    would be a converted employee shall be considered a converted employee.
        (j) Report by General Accounting Office.--The Comptroller General
    shall conduct a study of each pilot program, if any, established under
    this section and submit a report on the pilot program to Congress not
    later than two years after the date on which the program is
    established. The report shall contain the following:
            (1) A review and evaluation of the program, including--
                (A) an evaluation of the success of the privatization
            outcomes of the program;
                (B) a comparison and evaluation of such privatization
            outcomes with the privatization outcomes with respect to
            facilities at other military installations closed or realigned
            under the base closure laws;
                (C) an evaluation of the impact of the program on the
            Federal workforce and whether the program results in the
            maintenance of a skilled workforce for defense contractors at
            an acceptable cost to the military department concerned; and
                (D) an assessment of the extent to which the program is a
            cost-effective means of facilitating privatization of the
            performance of Federal activities.
            (2) Recommendations relating to the expansion of the program to
        other installations and employees.
            (3) Any other recommendation relating to the program.
        (k) Implementing Regulations.--Not later than 30 days after the
    Secretary of Defense notifies the Director of the Office of Personnel
    Management of a decision to establish a pilot program under this
    section, the Director shall prescribe regulations to carry out the
    provisions of this section with respect to that pilot program. Before
    prescribing the regulations, the Director shall consult with the
    Secretary.
        (l) Definitions.--In this section:
            (1) The term ``converted employee'' means a person who,
        pursuant to subsection (b), is eligible for benefits under this
        section.
            (2) The term ``covered separation from Federal service'' means
        a separation from Federal service as described under subsection
        (b)(1)(B).
            (3) The term ``Civil Service Retirement System'' means the
        retirement system under subchapter III of chapter 83 of title 5,
        United States Code.
            (4) The term ``defense contractor'' means any entity that--
                (A) contracts with the Department of Defense to perform a
            function previously performed by Department of Defense
            employees;
                (B) performs that function at the same installation at
            which such function was previously performed by Department of
            Defense employees or in the vicinity of that installation; and
                (C) is the employer of one or more converted employees.
            (5) The term ``early deferred retirement age'' means the first
        age at which a converted employee would have been eligible for
        immediate retirement under subsection (a) or (b) of section 8336 of
        title 5, United States Code, if such converted employee had
        remained an employee within the meaning of section 8331(1) of such
        title continuously until attaining such age.
            (6) The term ``severance pay'' means severance pay payable
        under section 5595 of title 5, United States Code.
            (7) The term ``separation pay'' means separation pay payable
        under section 5597 of title 5, United States Code.
        (m) Application of Pilot Program.--In the event that a pilot
    program is established for a military installation, the pilot program
    shall apply to a covered separation from Federal service by an employee
    of the Department of Defense at the installation occurring on or after
    August 1, 1996.

        Subtitle B--Department of Defense Intelligence Personnel Policy

    SEC. 1631. SHORT TITLE.

        This subtitle may be cited as the ``Department of Defense Civilian
    Intelligence Personnel Policy Act of 1996''.

    SEC. 1632. MANAGEMENT OF CIVILIAN INTELLIGENCE PERSONNEL.

        (a) Consolidation and Standardization of Civilian Personnel
    Policy.--Chapter 83 of title 10, United States Code, is amended--
            (1) by redesignating section 1602 as section 1621 and
        transferring that section so as to appear after section 1605;
            (2) by redesignating sections 1606 and 1608 as section 1622 and
        1623, respectively; and
            (3) by striking out the chapter heading, the table of sections,
        and sections 1601, 1603, and 1604 and inserting in lieu thereof the
        following:

             ``CHAPTER 83--CIVILIAN DEFENSE INTELLIGENCE EMPLOYEES

    ``Subchapter
                                                                        Sec.
    ``I. Defense-Wide Intelligence Personnel Policy...................  1601

    ``II. Defense Intelligence Agency Personnel.......................  1621

           ``SUBCHAPTER I--DEFENSE-WIDE INTELLIGENCE PERSONNEL POLICY

    ``Sec.
    ``1601. Civilian intelligence personnel: general authority to establish
              excepted positions, appoint personnel, and fix rates of pay.
    ``1602. Basic pay.
    ``1603. Additional compensation, incentives, and allowances.
    ``1605. Benefits for certain employees assigned outside the United
              States.
    ``1606. Defense Intelligence Senior Executive Service.
    ``1607. Intelligence Senior Level positions.
    ``1608. Time-limited appointments.
    ``1609. Termination of defense intelligence employees.
    ``1610. Reductions and other adjustments in force.
    ``1611. Postemployment assistance: certain terminated intelligence
              employees.
    ``1612. Merit system principles and civil service protections:
              applicability.
    ``1613. Miscellaneous provisions.
    ``1614. Definitions.
    ``Sec. 1601. Civilian intelligence personnel: general authority to
        establish excepted positions, appoint personnel, and fix rates of
        pay
        ``(a) General Authority.--The Secretary of Defense may--
            ``(1) establish, as positions in the excepted service, such
        defense intelligence positions in the intelligence components of
        the Department of Defense and the military departments as the
        Secretary determines necessary to carry out the intelligence
        functions of those components and departments, including--
                ``(A) Intelligence Senior Level positions designated under
            section 1607 of this title; and
                ``(B) positions in the Defense Intelligence Senior
            Executive Service;
            ``(2) appoint individuals to those positions (after taking into
        consideration the availability of preference eligibles for
        appointment to those positions); and
            ``(3) fix the compensation of such individuals for service in
        those positions.
        ``(b) Construction With Other Laws.--The authority of the Secretary
    of Defense under subsection (a) applies without regard to the
    provisions of any other law relating to the appointment, number,
    classification, or compensation of employees.

    ``Sec. 1602. Basic pay

        ``(a) Authority To Fix Rates of Basic Pay.--The Secretary of
    Defense (subject to the provisions of this section) shall fix the rates
    of basic pay for positions established under section 1601 of this title
    in relation to the rates of basic pay provided in subpart D of part III
    of title 5 for positions subject to that subpart which have
    corresponding levels of duties and responsibilities.
        ``(b) Maximum Rates.--A rate of basic pay fixed under subsection
    (a) for a position established under section 1601 of this title may not
    (except as otherwise provided by law) exceed--
            ``(1) in the case of a Defense Intelligence Senior Executive
        Service position, the maximum rate provided in section 5382 of
        title 5;
            ``(2) in the case of an Intelligence Senior Level position, the
        maximum rate provided in section 5382 of title 5; and
            ``(3) in the case of any other position, the maximum rate
        provided in section 5306(e) of title 5.
        ``(c) Prevailing Rate Systems.--The Secretary of Defense may,
    consistent with section 5341 of title 5, adopt such provisions of that
    title as provide for prevailing rate systems ofbasic pay and may apply
    those provisions to positions for civilian employees in or under which
    the Department of Defense may employ individuals described by section
    5342(a)(2)(A) of that title.

    ``Sec. 1603. Additional compensation, incentives, and allowances

        ``(a) Additional Compensation Based on Title 5 Authorities.--The
    Secretary of Defense may provide employees in defense intelligence
    positions compensation (in addition to basic pay), including benefits,
    incentives, and allowances, consistent with, and not in excess of the
    level authorized for, comparable positions authorized by title 5.
        ``(b) Allowances Based on Living Costs and Environment.--(1) In
    addition to basic pay, employees in defense intelligence positions who
    are citizens or nationals of the United States and are stationed
    outside the continental United States or in Alaska may be paid an
    allowance, in accordance with regulations prescribed by the Secretary
    of Defense, while they are so stationed.
        ``(2) An allowance under this subsection shall be based on--
            ``(A) living costs substantially higher than in the District of
        Columbia;
            ``(B) conditions of environment which (i) differ substantially
        from conditions of environment in the continental United States,
        and (ii) warrant an allowance as a recruitment incentive; or
            ``(C) both of the factors specified in subparagraphs (A) and
        (B).
        ``(3) An allowance under this subsection may not exceed the
    allowance authorized to be paid by section 5941(a) of title 5 for
    employees whose rates of basic pay are fixed by statute.''.
        (b) Matters Other Than Pay and Benefits.--Such chapter is further
    amended by inserting after section 1605 the following new sections:

    ``Sec. 1606. Defense Intelligence Senior Executive Service

        ``(a) Establishment.--The Secretary of Defense may establish a
    Defense Intelligence Senior Executive Service for defense intelligence
    positions established pursuant to section 1601(a) of this title that
    are equivalent to Senior Executive Service positions. The number of
    positions in the Defense Intelligence Senior Executive Service may not
    exceed 492.
        ``(b) Regulations Consistent With Title 5 Provisions.--The
    Secretary of Defense shall prescribe regulations for the Defense
    Intelligence Senior Executive Service which are consistent with the
    requirements set forth in sections 3131, 3132(a)(2), 3396(c), 3592,
    3595(a), 5384, and 6304 of title 5, subsections (a), (b), and (c) of
    section 7543 of such title (except that any hearing or appeal to which
    a member of the Defense Intelligence Senior Executive Service is
    entitled shall be held or decided pursuant to those regulations), and
    subchapter II of chapter 43 of such title. To the extent that the
    Secretary determines it practicable to apply to members of, or
    applicants for, the Defense Intelligence Senior Executive Service other
    provisions of title 5 that apply to members of, or applicants for, the
    Senior Executive Service, the Secretary shall also prescribe
    regulations to implement those provisions with respect to the Defense
    Intelligence Senior Executive Service.
        ``(c) Award of Rank to Members of the Defense Intelligence Senior
    Executive Service.--The President, based on the recommendations of the
    Secretary of Defense, may award a rank referred to in section 4507 of
    title 5 to members of the Defense Intelligence Senior Executive
    Service. The award of such rank shall be made in a manner consistent
    with the provisions of that section.

    ``Sec. 1607. Intelligence Senior Level positions

        ``(a) Designation of Positions.--The Secretary of Defense may
    designate as an Intelligence Senior Level position any defense
    intelligence position that, as determined by the Secretary--
            ``(1) is classifiable above grade GS-15 of the General
        Schedule;
            ``(2) does not satisfy functional or program management
        criteria for being designated a Defense Intelligence Senior
        Executive Service position; and
            ``(3) has no more than minimal supervisory responsibilities.
        ``(b) Regulations.--Subsection (a) shall be carried out in
    accordance with regulations prescribed by the Secretary of Defense.

    ``Sec. 1608. Time-limited appointments

        ``(a) Authority for Time-Limited Appointments.--The Secretary of
    Defense may by regulation authorize appointing officials to make time-
    limited appointments to defense intelligence positions specified in the
    regulations.
        ``(b) Review of Use of Authority.--The Secretary of Defense shall
    review each time-limited appointment in a defense intelligence position
    at the end of the first year of the period of the appointment and
    determine whether the appointment should be continued for the remainder
    of the period. The continuation of a time-limited appointment after the
    first year shall be subject to the approval of the Secretary.
        ``(c) Condition on Permanent Appointment to Defense Intelligence
    Senior Executive Service.--An employee serving in a defense
    intelligence position pursuant to a time-limited appointment is not
    eligible for a permanent appointment to a Defense Intelligence Senior
    Executive Service position (including a position in which the employee
    is serving) unless the employee is selected for the permanent
    appointment on a competitive basis.
        ``(d) Time-Limited Appointment Defined.--In this section, the term
    `time-limited appointment' means an appointment (subject to the
    condition in subsection (b)) for a period not to exceed two years.

    ``Sec. 1609. Termination of defense intelligence employees

        ``(a) Termination Authority.--Notwithstanding any other provision
    of law, the Secretary of Defense may terminate the employment of any
    employee in a defense intelligence position if the Secretary--
            ``(1) considers that action to be in the interests of the
        United States; and
            ``(2) determines that the procedures prescribed in other
        provisions of law that authorize the termination of the employment
        of such employee cannot be invoked in a manner consistent with the
        national security.
        ``(b) Finality.--A decision by the Secretary of Defense to
    terminate the employment of an employee under this section is final and
    may not be appealed or reviewed outside the Department of Defense.
        ``(c) Notification to Congressional Committees.--Whenever the
    Secretary of Defense terminates the employment of an employee under the
    authority of this section, the Secretary shall promptly notify the
    congressional oversight committees of such termination.
        ``(d) Preservation of Right To Seek Other Employment.--Any
    termination of employment under this section does not affect the right
    of the employee involved to seek or accept employment with any other
    department or agency of the United States if that employee is declared
    eligible for such employment by the Director of the Office of Personnel
    Management.
        ``(e) Limitation on Delegation.--The authority of the Secretary of
    Defense under this section may be delegated only to the Deputy
    Secretary of Defense, the head of an intelligence component of the
    Department of Defense (with respect to employees of that component), or
    the Secretary of a military department (with respect to employees of
    that department). An action to terminate employment of such an employee
    by any such official may be appealed to the Secretary of Defense.

    ``Sec. 1610. Reductions and other adjustments in force

        ``(a) In General.--The Secretary of Defense shall prescribe
    regulations for the separation of employees in defense intelligence
    positions, including members of the Defense Intelligence Senior
    Executive Service and employees in Intelligence Senior Level positions,
    during a reduction in force or other adjustment in force. The
    regulations shall apply to such a reduction in force or other
    adjustment in force notwithstanding sections 3501(b) and 3502 of title
    5.
        ``(b) Matters To Be Given Effect.--The regulations shall give
    effect to the following:
            ``(1) Tenure of employment.
            ``(2) Military preference, subject to sections 3501(a)(3) and
        3502(b) of title 5.
            ``(3) The veteran's preference under section 3502(b) of title
        5.
            ``(4) Performance.
            ``(5) Length of service computed in accordance with the second
        sentence of section 3502(a) of title 5.
        ``(c) Regulations Relating to Defense Intelligence SES.--The
    regulations relating to removal from the Defense Intelligence Senior
    Executive Service in a reduction in force or other adjustment in force
    shall be consistent with section 3595(a) of title 5.
        ``(d) Right of Appeal.--(1) The regulations shall provide a right
    of appeal regarding a personnel action under the regulations. The
    appeal shall be determined within the Department of Defense. An appeal
    determined at the highest level provided in the regulations shall be
    final and not subject to review outside the Department of Defense. A
    personnel action covered by the regulations is not subject to any other
    provision of law that provides appellate rights or procedures.
        ``(2) Notwithstanding paragraph (1), a preference eligible referred
    to in section 7511(a)(1)(B) of title 5 may elect to have an appeal of a
    personnel action taken against the preference eligible under the
    regulation determined by the Merit Systems Protection Board instead of
    having the appeal determined within the Department of Defense. Section
    7701 of title 5 shall apply to any such appeal to the Merit Systems
    Protection Board.
        ``(e) Consultation With OPM.--Regulations under this section shall
    be prescribed in consultation with the Director of the Office of
    Personnel Management.''.
        (c) Transfer of Section 1599.--Subtitle A of title 10, United
    States Code, is amended by transferring section 1599 to chapter 83 of
    such title, inserting such section after section 1610 (as added by
    subsection (b)), redesignating such section as section 1611, and in
    subsection (f) striking out ``means'' and all that follows and
    inserting in lieu thereof ``includes the National Reconnaissance Office
    and any intelligence component of a military department.''.
        (d) Additional Provisions.--Such chapter is further amended by
    inserting after section 1611 (as so transferred and redesignated) the
    following new sections:
    ``Sec. 1612. Merit system principles and civil service protections:
        applicability
        ``(a) Applicability of Merit System Principles.--Section 2301 of
    title 5 shall apply to the exercise of authority under this subchapter
    (other than sections 1605 and 1611).
        ``(b) Civil Service Protections.--(1) If, in the case of a position
    established under authority other than section 1601(a)(1) of this title
    that is reestablished as an excepted service position under that
    section, the provisions of law referred to in paragraph (2) applied to
    the person serving in that position immediately before the position is
    so reestablished and such provisions of law would not otherwise apply
    to the person while serving in the position as so reestablished, then
    such provisions of law shall, subject to paragraph (3), continue to
    apply to the person with respect to service in that position for as
    long as the person continues to serve in the position without a break
    in service.
        ``(2) The provisions of law referred to in paragraph (1) are the
    following provisions of title 5:
            ``(A) Section 2302, relating to prohibited personnel practices.
            ``(B) Chapter 75, relating to adverse actions.
        ``(3)(A) Notwithstanding any provision of chapter 75 of title 5, an
    appeal of an adverse action by an individual employee covered by
    paragraph (1) shall be determined within the Department of Defense if
    the employee so elects.
        ``(B) The Secretary of Defense shall prescribe the procedures for
    initiating and determining appeals of adverse actions pursuant to
    elections made under subparagraph (A).

    ``Sec. 1613. Miscellaneous provisions

        ``(a) Collective Bargaining Agreements.--Nothing in sections 1601
    through 1604 and 1606 through 1610 may be construed to impair the
    continued effectiveness of a collective bargaining agreement with
    respect to an agency or office that is a successor to an agency or
    office covered by the agreement before the succession.
        ``(b) Notice to Congress of Regulations.--The Secretary of Defense
    shall notify Congress of any regulations prescribed to carry out this
    subchapter (other than sections 1605 and 1611). Such notice shall be
    provided by submitting a copy of the regulations to the congressional
    oversight committees not less than 60 days before such regulations take
    effect.

    ``Sec. 1614. Definitions

        ``In this subchapter:
            ``(1) The term `defense intelligence position' means a civilian
        position as an intelligence officer or intelligence employee of an
        intelligence component of the Department of Defense or of a
        military department.
            ``(2) The term `intelligence component of the Department of
        Defense' means any of the following:
                ``(A) The National Security Agency.
                ``(B) The Defense Intelligence Agency.
                ``(C) The National Imagery and Mapping Agency.
                ``(D) Any other component of the Department of Defense that
            performs intelligence functions and is designated by the
            Secretary of Defense as an intelligence component of the
            Department of Defense.
                ``(E) Any successor to a component specified in, or
            designated pursuant to, this paragraph.
            ``(3) The term `congressional oversight committees' means--
                ``(A) the Committee on Armed Services and the Select
            Committee on Intelligence of the Senate; and
                ``(B) the Committee on National Security and the Permanent
            Select Committee on Intelligence of the House of
            Representatives.
            ``(4) The term `excepted service' has the meaning given such
        term in section 2103 of title 5.
            ``(5) The term `preference eligible' has the meaning given such
        term in section 2108(3) of title 5.
            ``(6) The term `Senior Executive Service position' has the
        meaning given such term in section 3132(a)(2) of title 5.
            ``(7) The term `collective bargaining agreement' has the
        meaning given such term in section 7103(8) of title 5.''.
        (e) Designation of New Subchapter II.--Chapter 83 of such title is
    further amended by inserting after section 1614 (as added by subsection
    (d)) the following:

             ``SUBCHAPTER II--DEFENSE INTELLIGENCE AGENCY PERSONNEL

    ``Sec.
    ``1621. Defense Intelligence Agency merit pay system.
    ``1622. Uniform allowance: civilian employees.
    ``1623. Financial assistance to certain employees in acquisition of
              critical skills.''.
    SEC. 1633. REPEAL OF SUPERSEDED SECTIONS AND CLERICAL AND CONFORMING
    AMENDMENTS.
        (a) Repeal of Separate Military Department Authorities.--Section
    1590 of title 10, United States Code, is repealed.
        (b) Repeal of Separate National Security Agency Authorities.--The
    following provisions of law are repealed:
            (1) Sections 2 and 4 of the National Security Agency Act of
        1959 (50 U.S.C. 402 note).
            (2) Section 303 of the Internal Security Act of 1950 (50 U.S.C.
        833).
        (c) Clerical Amendments.--Title 10, United States Code, is amended
    as follows:
            (1) The heading for section 1605 is amended to read as follows:
    ``Sec. 1605. Benefits for certain employees assigned outside the United
        States''.
            (2) The table of sections at the beginning of chapter 81 is
        amended by striking out the items relating to sections 1590 and
        1599.
            (3) The tables of chapters at the beginning of subtitle A, and
        at the beginning of part II of subtitle A, are amended by striking
        out the item relating to chapter 83 and inserting in lieu thereof
        the following:

    ``83. Civilian Defense Intelligence Employees....................1601''.

        (d) Conforming Amendment.--Section 1621 of such title, as
    transferred and redesignated by section 1632(a)(1), is amended by
    striking out ``and Central Imagery Office''.
        (e) Cross Reference Amendments.--Chapter 81 of title 10, United
    States Code, is amended as follows:
            (1) Section 1593(a)(3) is amended by striking out ``section
        1606'' and inserting in lieu thereof ``section 1622''.
            (2) Section 1596(c) is amended by striking out ``section
        1604(b)'' and inserting in lieu thereof ``section 1602''.

    SEC. 1634. OTHER PERSONNEL MANAGEMENT AUTHORITIES.

        (a) Applicability of Federal Labor-Management Relations System.--
    Section 7103(a)(3) of title 5, United States Code, is amended--
            (1) by inserting ``or'' at the end of subparagraph (F);
            (2) by striking out ``; or'' at the end of subparagraph (G) and
        inserting in lieu thereof a period; and
            (3) by striking out subparagraph (H).
        (b) Applicability of Authority and Procedures for Imposing Certain
    Adverse Actions.--Section 7511(b)(8) of such title is amended by
    striking out ``the National Security Agency'' and all that follows
    through ``title 10'' and inserting in lieu thereof ``an intelligence
    component of the Department of Defense (as defined in section 1614 of
    title 10), or an intelligence activity of a military department covered
    under subchapter I of chapter 83 of title 10''.

    SEC. 1635. EFFECTIVE DATE.

        This subtitle and the amendments made by this subtitle shall take
    effect on October 1, 1996.

                   TITLE XVII--FEDERAL EMPLOYEE TRAVEL REFORM

    Sec. 1701. Short title.

                         Subtitle A--Relocation Benefits

    Sec. 1711. Allowance for seeking permanent residence quarters.
    Sec. 1712. Temporary quarters subsistence expenses allowance.
    Sec. 1713. Modification of residence transaction expenses allowance.
    Sec. 1714. Authority to pay for property management services.
    Sec. 1715. Authority to transport a privately owned motor vehicle within
              the continental United States.
    Sec. 1716. Authority to pay limited relocation allowances to an employee
              who is performing an extended assignment.
    Sec. 1717. Authority to pay a home marketing incentive.
    Sec. 1718. Revision and reenactment of additional provisions relating to
              relocation expenses.

                      Subtitle B--Miscellaneous Provisions

    Sec. 1721. Repeal of the long-distance telephone call certification
              requirement.
    Sec. 1722. Transfer of authority to prescribe regulations.
    Sec. 1723. Conforming and clerical amendments.
    Sec. 1724. Assessment of cost savings.
    Sec. 1725. Effective date and issuance of regulations.

    SEC. 1701. SHORT TITLE.

        This title may be cited as the ``Federal Employee Travel Reform Act
    of 1996''.

                        Subtitle A--Relocation Benefits

    SEC. 1711. ALLOWANCE FOR SEEKING PERMANENT RESIDENCE QUARTERS.
        Section 5724a of title 5, United States Code, is amended to read as
    follows:
    ``Sec. 5724a. Relocation expenses of employees transferred or
         reemployed
        ``(a) An agency shall pay to or on behalf of an employee who
    transfers in the interest of the Government, a per diem allowance or
    the actual subsistence expenses, or a combination thereof, of the
    immediate family of the employee for en route travel of the immediate
    family between the employee's old and new official stations.
        ``(b)(1) An agency may pay to or on behalf of an employee who
    transfers in the interest of the Government between official stations
    located within the United States--
            ``(A) the expenses of transportation of the employee and the
        employee's spouse for travel to seek permanent residence quarters
        at a new official station; and
            ``(B) either--
                ``(i) a per diem allowance or the actual subsistence
            expenses (or a combination of both); or
                ``(ii) an amount for subsistence expenses.
        ``(2) Expenses may be allowed under paragraph (1) only for one
    round trip in connection with each change of station of the
    employee.''.
    SEC. 1712. TEMPORARY QUARTERS SUBSISTENCE EXPENSES ALLOWANCE.
        Section 5724a of title 5, United States Code, as amended by section
    1712, is further amended by adding at the end the following new
    subsection:
        ``(c)(1) An agency may pay to or on behalf of an employee who
    transfers in the interest of the Government--
            ``(A) actual subsistence expenses of the employee and the
        employee's immediate family for a period of up to 60 days while the
        employee or family is occupying temporary quarters when the new
        official station is located within the United States; or
            ``(B) an amount for subsistence expenses instead of the actual
        subsistence expenses authorized in subparagraph (A) of this
        paragraph.
        ``(2) The period authorized in paragraph (1) of this subsection for
    payment of expenses for residence in temporary quarters may be extended
    up to an additional 60 days if the head of the agency concerned or the
    designee of such head of the agency determines that there are
    compelling reasons for the continued occupancy of temporary quarters.
        ``(3) The regulations implementing paragraph (1)(A) shall prescribe
    daily rates and amounts for subsistence expenses per individual.''.
    SEC. 1713. MODIFICATION OF RESIDENCE TRANSACTION EXPENSES ALLOWANCE.
        (a) Expenses of Sale.--Section 5724a of title 5, United States
    Code, as amended by section 1712, is further amended by adding at the
    end the following new subsection:
        ``(d)(1) An agency shall pay to or on behalf of an employee who
    transfers in the interest of the Government, expenses of the sale of
    the residence (or the settlement of an unexpired lease) of the employee
    at the old official station and purchase of a residence at the new
    official station that are required to be paid by the employee, when the
    old and new official stations are located within the United States.
        ``(2) An agency shall pay to or on behalf of an employee who
    transfers in the interest of the Government from a post of duty located
    outside the United States to an official station within the United
    States (other than the official station within the United States from
    which the employee was transferred when assigned to the foreign tour of
    duty)--
            ``(A) expenses required to be paid by the employee for the sale
        of the residence (or the settlement of an unexpired lease) of the
        employee at the old official station from which the employee was
        transferred when the employee was assigned to the post of duty
        located outside the United States; and
            ``(B) expenses required to be paid by the employee for the
        purchase of a residence at the new official station within the
        United States.
        ``(3) Reimbursement of expenses under paragraph (2) of this
    subsection shall not be allowed for any sale (or settlement of an
    unexpired lease) or purchase transaction that occurs prior to official
    notification that the employee's return to the United States would be
    to an official station other than the official station from which the
    employee was transferred when assigned to the post of duty outside the
    United States.
        ``(4) Reimbursement for brokerage fees on the sale of the residence
    and other expenses under this subsection may not exceed those
    customarily charged in the locality where the residence is located.
        ``(5) Reimbursement may not be made under this subsection for
    losses incurred by the employee on the sale of the residence.
        ``(6) This subsection applies regardless of whether title to the
    residence or the unexpired lease is--
            ``(A) in the name of the employee alone;
            ``(B) in the joint names of the employee and a member of the
        employee's immediate family; or
            ``(C) in the name of a member of the employee's immediate
        family alone.
        ``(7)(A) In connection with the sale of the residence at the old
    official station, reimbursement under this subsection shall not exceed
    10 percent of the sale price.
        ``(B) In connection with the purchase of a residence at the new
    official station, reimbursement under this subsection shall not exceed
    5 percent of the purchase price.''.
        (b) Relocation Services.--Section 5724c of title 5, United State
    Code, is amended to read as follows:

    ``Sec. 5724c. Relocation services

        ``Under regulations prescribed under section 5738 of this title,
    each agency may enter into contracts to provide relocation services to
    agencies and employees for the purpose of carrying out this subchapter.
    An agency may pay a fee for such services. Such services include
    arranging for the purchase of a transferred employee's residence.''.
    SEC. 1714. AUTHORITY TO PAY FOR PROPERTY MANAGEMENT SERVICES.
        Section 5724a of title 5, United States Code, as amended by section
    1713, is further amended--
            (1) in subsection (d), by adding at the end the following:
        ``(8) An agency may pay to or on behalf of an employee who
    transfers in the interest of the Government expenses of property
    management services, instead of expenses under paragraph (2) or (3) of
    this subsection for sale of the employee's residence, when the agency
    determines that such transfer is advantageous and cost-effective for
    the Government.''; and
            (2) by adding at the end the following new subsection:
        ``(e) An agency may pay to or on behalf of an employee who
    transfers in the interest of the Government, the expenses of property
    management services when the employee transfers to a post of duty
    outside the United States. Such payment shall terminate upon return of
    the employee to an official station within the United States.''.
    SEC. 1715. AUTHORITY TO TRANSPORT A PRIVATELY OWNED MOTOR VEHICLE
    WITHIN THE CONTINENTAL UNITED STATES.
        (a) In General.--Section 5727 of title 5, United States Code, is
    amended--
            (1) by redesignating subsections (c) through (e) as subsections
        (d) through (f), respectively;
            (2) by inserting after subsection (b) the following new
        subsection:
        ``(c) Under regulations prescribed under section 5738 of this
    title, the privately owned motor vehicle or vehicles of an employee,
    including a new appointee or a student trainee for whom travel and
    transportation expenses are authorized under section 5723 of this
    title, may be transported at Government expense to a new official
    station of the employee when the agency determines that such transport
    is advantageous and cost-effective to the Government.''; and
            (3) in subsection (e) (as so redesignated), by inserting ``or
        (c)'' after ``subsection (b)''.
        (b) Availability of Appropriations.--(1) Section 5722(a) of title
    5, United States Code, is amended--
            (A) by striking out ``and'' at the end of paragraph (1);
            (B) by striking out the period at the end of paragraph (2) and
        inserting in lieu thereof ``; and''; and
            (C) by adding at the end the following:
            ``(3) the expenses of transporting a privately owned motor
        vehicle as authorized under section 5727(c) of this title.''.
        (2) Section 5723(a) of title 5, United States Code, is amended--
            (A) by striking out ``and'' at the end of paragraph (1);
            (B) by inserting ``and'' after the semicolon at the end of
        paragraph (2); and
            (C) by adding at the end the following:
            ``(3) the expenses of transporting a privately owned motor
        vehicle as authorized under section 5727(c) of this title;''.
    SEC. 1716. AUTHORITY TO PAY LIMITED RELOCATION ALLOWANCES TO AN
    EMPLOYEE WHO IS PERFORMING AN EXTENDED ASSIGNMENT.
        Subchapter II of chapter 57 of title 5, United States Code, as
    amended by section 1605, is further amended by adding at the end the
    following new section:
    ``Sec. 5737. Relocation expenses of an employee who is performing an
        extended assignment
        ``(a) Under regulations prescribed under section 5738 of this
    title, an agency may pay to or on behalf of an employee assigned from
    the employee's official station to a duty station for a period of not
    less than six months and not greater than 30 months, the following
    expenses in lieu of payment of expenses authorized under subchapter I
    of this chapter:
            ``(1) Travel expenses to and from the assignment location in
        accordance with section 5724 of this title.
            ``(2) Transportation expenses of the immediate family and
        household goods and personal effects to and from the assignment
        location in accordance with section 5724 of this title.
            ``(3) A per diem allowance for en route travel of the
        employee's immediate family to and from the assignment location in
        accordance with section 5724a(a) of this title.
            ``(4) Travel and transportation expenses of the employee and
        spouse to seek new residence quarters at the assignment location in
        accordance with section 5724a(b) of this title.
            ``(5) Subsistence expenses of the employee and the employee's
        immediate family while occupying temporary quarters upon
        commencement and termination of the assignment in accordance with
        section 5724a(c) of this title.
            ``(6) An amount, in accordance with section 5724a(f), to be
        used by the employee for miscellaneous expenses of this title.
            ``(7) The expenses of transporting a privately owned motor
        vehicle or vehicles to the assignment location in accordance with
        section 5727 of this title.
            ``(8) An allowance as authorized under section 5724b of this
        title for Federal, State, and local income taxes incurred on
        reimbursement of expenses paid under this section or on services
        provided in kind under this section.
            ``(9) Expenses of nontemporary storage of household goods and
        personal effects as defined in section 5726(a) of this title,
        subject to the limitation that the weight of the household goods
        and personal effects stored, together with the weight of property
        transported under section 5724(a) of this title, may not exceed the
        total maximum weight which could be transported in accordance with
        section 5724(a) of this title.
            ``(10) Expenses of property management services.
        ``(b) An agency shall not make payment under this section to or on
    behalf of the employee for expenses incurred after termination of the
    temporary assignment.''.

    SEC. 1717. AUTHORITY TO PAY A HOME MARKETING INCENTIVE.

        Subchapter IV of chapter 57 of title 5, United States Code, is
    amended by adding at the end the following new section:

    ``Sec. 5756. Home marketing incentive payment

        ``(a) Under regulations prescribed under subsection (b), an agency
    may pay to an employee who transfers in the interest of the Government
    an amount to encourage the employee to aggressively market the
    employee's residence at the official station from which transferred
    when--
            ``(1) the residence is entered into a relocation services
        program established under a contract in accordance with section
        5724c of this title to arrange for the purchase of the residence;
            ``(2) the employee finds a buyer who completes the purchase of
        the residence through the program; and
            ``(3) the sale of the residence results in a reduced cost to
        the Government.
        ``(b)(1) The Administrator of General Services shall prescribe
    regulations to carry out this section.
        ``(2) The regulations shall include a limitation on the maximum
    amount payable with respect to an employee's residence. The
    Administrator shall establish the limitation in consultation with the
    Director of the Office of Management and Budget. For fiscal years 1997
    and 1998, the maximum amount shall be the amount equal to five percent
    of the sale price of the residence.''.
    SEC. 1718. REVISION AND REENACTMENT OF ADDITIONAL PROVISIONS RELATING
    TO RELOCATION EXPENSES.
        Section 5724a of title 5, United States Code, as amended by section
    1714, is further amended by adding at the end the following new
    subsections:
        ``(f)(1) Subject to paragraph (2), an employee who is reimbursed
    under subsections (a) through (e) of this section or section 5724(a) of
    this title is entitled to an amount for miscellaneous expenses--
            ``(A) not to exceed two weeks' basic pay, if such employee has
        an immediate family; or
            ``(B) not to exceed one week's basic pay, if such employee does
        not have an immediate family.
        ``(2) Amounts paid under paragraph (1) may not exceed amounts
    determined at the maximum rate payable for a position at GS-13 of the
    General Schedule.
        ``(g) A former employee separated by reason of reduction in force
    or transfer of function who within one year after the separation is
    reemployed by a nontemporary appointment at a different geographical
    location from that where the separation occurred, may be allowed and
    paid the expenses authorized by sections 5724, 5725, 5726(b), and 5727
    of this title, and may receive the benefits authorized by subsections
    (a) through (f) of this section, in the same manner as though the
    employee had been transferred in the interest of the Government without
    a break in service to the location of reemployment from the location
    where separated.
        ``(h) Payments for subsistence expenses, including amounts in lieu
    of per diem or actual subsistence expenses or a combination thereof,
    authorized under this section may not exceed the maximum payment
    allowed under regulations which implement section 5702 of this title.
        ``(i) Subsections (a), (b), and (c) shall be implemented under
    regulations issued under section 5738 of this title.
        ``(j) For purposes of subsections (c), (d), and (e), the term
    `United States' includes the District of Columbia, the Commonwealth of
    Puerto Rico, the Commonwealth of the Northern Mariana Islands, the
    territories and possessions of the United States, and the areas and
    installations in the Republic of Panama that are made available to the
    United States pursuant to the Panama Canal Treaty of 1977 and related
    agreements (as described in section 3(a) of the Panama Canal Act of
    1979 (22 U.S.C. 3602(a))).''.

                      Subtitle B--Miscellaneous Provisions

    SEC. 1721. REPEAL OF THE LONG-DISTANCE TELEPHONE CALL CERTIFICATION
    REQUIREMENT.
        Section 1348 of title 31, United States Code, is amended--
            (1) by striking the last sentence of subsection (a)(2);
            (2) by striking subsection (b); and
            (3) by redesignating subsections (c) and (d) as subsections (b)
        and (c), respectively.

    SEC. 1722. TRANSFER OF AUTHORITY TO PRESCRIBE REGULATIONS.

        Subchapter II of chapter 57 of title 5, United States Code, as
    amended by section 1716, is further amended by adding at the end the
    following new section:

    ``Sec. 5738. Regulations

        ``(a)(1) Except as specifically provided in this subchapter, the
    Administrator of General Services shall prescribe regulations necessary
    for the administration of this subchapter.
        ``(2) The Administrator of General Services shall include in the
    regulations authority for the head of an agency or his designee to
    waive any limitation of this subchapter or in any implementing
    regulation for any employee relocating to or from a remote or isolated
    location who would suffer hardship if the limitation were not waived. A
    waiver of a limitation under authority provided in the regulations
    pursuant to this paragraph shall be effective notwithstanding any other
    provision of this subchapter.
        ``(b) In prescribing regulations for the implementation of section
    5724b of this title, the Administrator of General Services shall
    consult with the Secretary of the Treasury.
        ``(c) The Secretary of Defense shall prescribe regulations
    necessary for the implementation of section 5735 of this title.''.

    SEC. 1723. CONFORMING AND CLERICAL AMENDMENTS.

        (a) Cross References.--(1) Title 5, United States Code, is amended
    as follows:
            (A) Section 3375 is amended--
                (i) in subsection (a)(3), by striking out ``section
            5724a(a)(1)'' and inserting in lieu thereof ``section
            5724a(a)'';
                (ii) in subsection (a)(4), by striking out ``section
            5724a(a)(3)'' and inserting in lieu thereof ``section
            5724a(c)''; and
                (iii) in subsection (a)(5), by striking out ``section
            5724a(b)'' and inserting in lieu thereof ``section 5724a(g)'';
            and
            (B) Section 5724(e) is amended by striking out ``section
        5724a(a), (b)'' and inserting in lieu thereof ``section 5724a (a)
        through (f)''.
        (2) Section 707 of title 38, United States Code, is amended--
            (A) in subsection (a)(6), by striking out ``Section
        5724a(a)(3)'' and inserting in lieu thereof ``Section 5724a(c)'';
        and
            (B) in subsection (a)(7), by striking out ``Section
        5724a(a)(4)'' and inserting in lieu thereof ``Section 5724a(d)''.
        (3) The Public Health Service Act is amended as follows:
            (A) Section 501(g)(2)(A) (42 U.S.C. 290aa(g)(2)(A)) is amended
        by striking out ``5724a(a)(1), 5724a(a)(3)'' and inserting in lieu
        thereof ``5724a(a), 5724a(c)''.
            (B) Section 925(f)(2)(A) (42 U.S.C. 299c-4(f)(2)(A)) is amended
        by striking out ``5724a(a)(1), 5724a(a)(3)'' and inserting in lieu
        thereof ``5724a(a), 5724a(c)''.
        (b) Regulations.--Title 5, United States Code, is amended as
    follows:
            (1) Sections 5722, 5723, 5724, (in subsections (a), (b), and
        (c)), 5724b, 5726 (in subsections (b) and (c)), 5727(b), 5728 (in
        subsections (a), (b), and (c)(1)), and 5729 (in subsections (a) and
        (b)) of title 5, United States Code, are amended by striking out
        ``Under such regulations as the President may prescribe'', and
        inserting in lieu thereof ``Under regulations prescribed under
        section 5738 of this title''.
            (2) Section 5724 of title 5, United States Code, is amended--
                (A) by striking out ``under regulations prescribed by the
            President'' each place it appears in subsections (c) and (e)
            and inserting in lieu thereof ``under regulations prescribed
            under section 5738 of this title''; and
                (B) in subsection (f), by striking out ``under the
            regulations of the President'' and inserting in lieu thereof
            ``under regulations prescribed under section 5738 of this
            title''.
            (3) Section 5726(a) of title 5, United States Code, is amended
        by striking out ``as the President may by regulation authorize''
        and inserting in lieu thereof ``as authorized under regulations
        prescribed under section 5738 of this title''.
            (4) Section 5731(a) of title 5, United States Code, is amended
        by striking out ``in accordance with regulations prescribed by the
        President'' and inserting in lieu thereof ``in accordance with
        regulations prescribed under section 5738 of this title''.
        (c) Clerical Amendments.--The table of sections at the beginning of
    chapter 57 of title 5, United States Code, as amended by section 1605,
    is further amended--
            (1) by inserting after the item relating to section 5736 the
        following:
    ``5737. Relocation expenses of an employee who is performing an extended
              assignment.
    ``5738. Regulations.'';

        and
            (2) by inserting at the end the following:
    ``5756. Home marketing incentive payment.''.

    SEC. 1724. ASSESSMENT OF COST SAVINGS.

        No later than one year after the effective date set forth in
    section 1725(a), the Comptroller General shall submit to the Committee
    on Governmental Affairs of the Senate and the Committee on Government
    Reform and Oversight of the House of Representatives an assessment of
    the costs of Federal travel administration that are saved as a result
    of the amendments made by this title and the regulations prescribed to
    carry out the amendments.

    SEC. 1725. EFFECTIVE DATE AND ISSUANCE OF REGULATIONS.

        (a) Effective Date.--The amendments made by this title shall take
    effect 180 days after the date of the enactment of this Act.
        (b) Regulations.--The Administrator of General Services shall, not
    later than the effective date set forth under subsection (a), issue
    final regulations implementing the amendments made by this title.

         TITLE XVIII--FEDERAL CHARTER FOR THE FLEET RESERVE ASSOCIATION

    Sec. 1801. Recognition and grant of Federal charter.
    Sec. 1802. Powers.
    Sec. 1803. Purposes.
    Sec. 1804. Service of process.
    Sec. 1805. Membership.
    Sec. 1806. Board of directors.
    Sec. 1807. Officers.
    Sec. 1808. Restrictions.
    Sec. 1809. Liability.
    Sec. 1810. Maintenance and inspection of books and records.
    Sec. 1811. Audit of financial transactions.
    Sec. 1812. Annual report.
    Sec. 1813. Reservation of right to alter, amend, or repeal charter.
    Sec. 1814. Tax-exempt status required as condition of charter.
    Sec. 1815. Termination.
    Sec. 1816. Definition of State.

    SEC. 1801. RECOGNITION AND GRANT OF FEDERAL CHARTER.

        The Fleet Reserve Association, a nonprofit corporation organized
    under the laws of the State of Delaware, is recognized as such and
    granted a Federal charter.

    SEC. 1802. POWERS.

        The Fleet Reserve Association (in this title referred to as the
    ``association'') shall have only those powers granted to it through its
    bylaws and articles of incorporation filed in the State of Delaware and
    subject to the laws of that State.

    SEC. 1803. PURPOSES.

        The purposes of the association are those provided in its bylaws
    and articles of incorporation and shall include the following:
            (1) Upholding and defending the Constitution of the United
        States.
            (2) Aiding and maintaining an adequate naval defense for the
        United States.
            (3) Assisting the recruitment of the best personnel available
        for the United States Navy, United States Marine Corps, and United
        States Coast Guard.
            (4) Providing for the welfare of the personnel who serve in the
        United States Navy, United States Marine Corps, and United States
        Coast Guard.
            (5) Continuing to serve loyally the United States Navy, United
        States Marine Corps, and United States Coast Guard.
            (6) Preserving the spirit of shipmanship by providing
        assistance to shipmates and their families.
            (7) Instilling love of the United States and the flag and
        promoting soundness of mind and body in the youth of the United
        States.

    SEC. 1804. SERVICE OF PROCESS.

        With respect to service of process, the association shall comply
    with the laws of the State of Delaware and those States in which it
    carries on its activities in furtherance of its corporate purposes.

    SEC. 1805. MEMBERSHIP.

        Except as provided in section 1808(g), eligibility for membership
    in the association and the rights and privileges of members shall be as
    provided in the bylaws and articles of incorporation of the
    association.

    SEC. 1806. BOARD OF DIRECTORS.

        Except as provided in section 1808(g), the composition of the board
    of directors of the association and the responsibilities of the board
    shall be as provided in the bylaws and articles of incorporation of the
    association and in conformity with the laws of the State of Delaware.

    SEC. 1807. OFFICERS.

        Except as provided in section 1808(g), the positions of officers of
    the association and the election of members to such positions shall be
    as provided in the bylaws and articles of incorporation of the
    association and in conformity with the laws of the State of Delaware.

    SEC. 1808. RESTRICTIONS.

        (a) Income and Compensation.--No part of the income or assets of
    the association may inure to the benefit of any member, officer, or
    director of the association or be distributed to any such individual
    during the life of this charter. Nothing in this subsection may be
    construed to prevent the payment of reasonable compensation to the
    officers and employees of the association or reimbursement for actual
    and necessary expenses in amounts approved by the board of directors.
        (b) Loans.--The association may not make any loan to any member,
    officer, director, or employee of the association.
        (c) Issuance of Stock and Payment of Dividends.--The association
    may not issue any shares of stock or declare or pay any dividends.
        (d) Disclaimer of Congressional or Federal Approval.--The
    association may not claim the approval of the Congress or the
    authorization of the Federal Government for any of its activities by
    virtue of this title.
        (e) Corporate Status.--The association shall maintain its status as
    a corporation organized and incorporated under the laws of the State of
    Delaware.
        (f) Corporate Function.--The association shall function as an
    educational, patriotic, civic, historical, and research organization
    under the laws of the State of Delaware.
        (g) Nondiscrimination.--In establishing the conditions of
    membership in the association and in determining the requirements for
    serving on the board of directors or as an officer of the association,
    the association may not discriminate on the basis of race, color,
    religion, sex, handicap, age, or national origin.

    SEC. 1809. LIABILITY.

        The association shall be liable for the acts of its officers,
    directors, employees, and agents whenever such individuals act within
    the scope of their authority.

    SEC. 1810. MAINTENANCE AND INSPECTION OF BOOKS AND RECORDS.

        (a) Books and Records of Account.--The association shall keep
    correct and complete books and records of account and minutes of any
    proceeding of the association involving any of its members, the board
    of directors, or any committee having authority under the board of
    directors.
        (b) Names and Addresses of Members.--The association shall keep at
    its principal office a record of the names and addresses of all members
    having the right to vote in any proceeding of the association.
        (c) Right to Inspect Books and Records.--All books and records of
    the association may be inspected by any member having the right to vote
    in any proceeding of the association, or by any agent or attorney of
    such member, for any proper purpose at any reasonable time.
        (d) Application of State Law.--This section may not be construed to
    contravene any applicable State law.

    SEC. 1811. AUDIT OF FINANCIAL TRANSACTIONS.

        The first section of the Act entitled ``An Act to provide for audit
    of accounts of private corporations established under Federal law'',
    approved August 30, 1964 (36 U.S.C. 1101), is amended by adding at the
    end the following:
            ``(77) Fleet Reserve Association.''.

    SEC. 1812. ANNUAL REPORT.

        The association shall annually submit to Congress a report
    concerning the activities of the association during the preceding
    fiscal year. The annual report shall be submitted on the same date as
    the report of the audit required by reason of the amendment made in
    section 1811. The annual report shall not be printed as a public
    document.
    SEC. 1813. RESERVATION OF RIGHT TO ALTER, AMEND, OR REPEAL CHARTER.
        The right to alter, amend, or repeal this title is expressly
    reserved to Congress.
    SEC. 1814. TAX-EXEMPT STATUS REQUIRED AS CONDITION OF CHARTER.
        If the association fails to maintain its status as an organization
    exempt from taxation as provided in the Internal Revenue Code of 1986
    the charter granted in this title shall terminate.

    SEC. 1815. TERMINATION.

        The charter granted in this title shall expire if the association
    fails to comply with any of the provisions of this title.

    SEC. 1816. DEFINITION OF STATE.

        For purposes of this title, the term ``State'' includes the
    District of Columbia, the Commonwealth of Puerto Rico, the Commonwealth
    of the Northern Mariana Islands, and the territories and possessions of
    the United States.

                DIVISION B--MILITARY CONSTRUCTION AUTHORIZATIONS

    SEC. 2001. SHORT TITLE.

        This division may be cited as the ``Military Construction
    Authorization Act for Fiscal Year 1997''.

                                TITLE XXI--ARMY

    Sec. 2101. Authorized Army construction and land acquisition projects.
    Sec. 2102. Family housing.
    Sec. 2103. Improvements to military family housing units.
    Sec. 2104. Authorization of appropriations, Army.
    Sec. 2105. Land acquisition, National Ground Intelligence Center,
    Charlottesville, Virginia.

    SEC. 2101. AUTHORIZED ARMY CONSTRUCTION AND LAND ACQUISITION PROJECTS.
        (a) Inside the United States.--Using amounts appropriated pursuant
    to the authorization of appropriations in section 2104(a)(1), and, in
    the case of the projects described in paragraphs (2) and (3) of section
    2104(b), other amounts appropriated pursuant to authorizations enacted
    after this Act for the projects, the Secretary of the Army may acquire
    real property and carry out military construction projects for the
    installations and locations inside the United States, and in the
    amounts set forth in the following table:

                         Army: Inside the United States
    ------------------------------------------------------------------------
                State               Installation or location       Total
    ------------------------------------------------------------------------
    Alabama......................  Fort Rucker..............      $3,250,000
    California...................  Army project, Naval
                                    Weapons Station, Concord     $27,000,000
                                   Camp Roberts.............      $5,500,000
    Colorado.....................  Fort Carson..............     $17,550,000
    District of Columbia.........  Fort McNair..............      $6,900,000
    Georgia......................  Fort Benning.............     $53,400,000
                                   Fort McPherson...........      $3,500,000
                                   Fort Stewart, Hunter Army      $6,000,000
                                    Air Field.
    Hawaii.......................  Schofield Barracks.......     $16,500,000
    Kansas.......................  Fort Riley...............     $26,000,000
    Kentucky.....................  Fort Campbell............     $51,100,000
                                   Fort Knox................     $45,000,000
    New Jersey...................  Picatinny Arsenal........      $5,000,000
    New Mexico...................  White Sands Missile Range     $41,000,000
    New York.....................  Fort Drum................     $11,400,000
    North Carolina...............  Fort Bragg...............     $14,000,000
    Texas........................  Fort Hood................     $47,300,000
                                   Fort Sam Houston.........      $3,100,000
    Virginia.....................  Fort Eustis..............      $3,550,000
                                   National Ground
                                    Intelligence Center,
                                    Charlottesville.........      $1,000,000
    Washington...................  Fort Lewis...............     $54,600,000
    CONUS Classified.............  Classified Locations.....      $4,600,000
                                                             ---------------
                                       Total:...............    $447,250,000
    ------------------------------------------------------------------------

        (b) Outside the United States.--Using amounts appropriated pursuant
    to the authorization of appropriations in section 2104(a)(2), the
    Secretary of the Army may acquire real property and carry out military
    construction projects for the locations outside the United States, and
    in the amounts set forth in the following table:

                         Army: Outside the United States
    ------------------------------------------------------------------------
                                         Installation or
                Country                      location              Total
    ------------------------------------------------------------------------
    Germany........................  Lincoln Village,             $7,300,000
                                      Darmstadt.
                                     Spinelli Barracks,           $8,100,000
                                      Mannheim.
                                     Taylor Barracks,             $9,300,000
                                      Mannheim.
    Italy..........................  Camp Ederle............      $3,100,000
    Korea..........................  Camp Casey.............     $16,000,000
                                     Camp Red Cloud.........     $14,000,000
    Overseas Classified............  Classified Locations...     $64,000,000
                                                             ---------------
                                         Total:.............    $121,800,000
    ------------------------------------------------------------------------

    SEC. 2102. FAMILY HOUSING.

        (a) Construction and Acquisition.--Using amounts appropriated
    pursuant to the authorization of appropriations in section
    2104(a)(5)(A), the Secretary of the Army may construct or acquire
    family housing units (including land acquisition) at the installations,
    for the purposes, and in the amounts set forth in the following table:

                                                  Army: Family Housing
    ----------------------------------------------------------------------------------------------------------------
                      State                          Installation                   Purpose                Total
    ----------------------------------------------------------------------------------------------------------------
    Hawaii..................................  Schofield Barracks........  54 Units..................     $10,000,000
    North Carolina..........................  Fort Bragg................  88 Units..................      $9,800,000
    Pennsylvania............................  Tobyhanna Army Depot......  200 Units.................        $890,000
    Texas...................................  Fort Bliss................  64 Units..................     $11,000,000
                                              Fort Hood.................  140 Units.................     $18,500,000
                                                                                                     ---------------
                                                                              Total:................     $50,190,000
    ----------------------------------------------------------------------------------------------------------------

        (b) Planning and Design.--Using amounts appropriated pursuant to
    the authorization of appropriations in section 2104(a)(5)(A), the
    Secretary of the Army may carry out architectural and engineering
    services and construction designactivities with respect to the
    construction or improvement of family housing units in an amount not to
    exceed $2,963,000.

    SEC. 2103. IMPROVEMENTS TO MILITARY FAMILY HOUSING UNITS.

        Subject to section 2825 of title 10, United States Code, and using
    amounts appropriated pursuant to the authorization of appropriations in
    section 2104(a)(5)(A), the Secretary of the Army may improve existing
    military family housing units in an amount not to exceed $105,350,000.

    SEC. 2104. AUTHORIZATION OF APPROPRIATIONS, ARMY.

        (a) In General.--Funds are hereby authorized to be appropriated for
    fiscal years beginning after September 30, 1996, for military
    construction, land acquisition, and military family housing functions
    of the Department of the Army in the total amount of $1,942,557,000 as
    follows:
            (1) For military construction projects inside the United States
        authorized by section 2101(a), $394,250,000.
            (2) For military construction projects outside the United
        States authorized by section 2101(b), $121,800,000.
            (3) For unspecified minor military construction projects
        authorized by section 2805 of title 10, United States Code,
        $5,000,000.
            (4) For architectural and engineering services and construction
        design under section 2807 of title 10, United States Code,
        $50,538,000.
            (5) For military family housing functions:
                (A) For construction and acquisition, planning and design,
            and improvement of military family housing and facilities,
            $158,503,000.
                (B) For support of military family housing (including the
            functions described in section 2833 of title 10, United States
            Code), $1,212,466,000.
        (b) Limitation on Total Cost of Construction Projects.--
    Notwithstanding the cost variations authorized by section 2853 of title
    10, United States Code, and any other cost variation authorized by law,
    the total cost of all projects carried out under section 2101 of this
    Act may not exceed--
            (1) the total amount authorized to be appropriated under
        paragraphs (1) and (2) of subsection (a);
            (2) $31,000,000 (the balance of the amount authorized under
        section 2101(a) for the construction of the National Range Control
        Center at White Sands Missile Range, New Mexico); and
            (3) $22,000,000 (the balance of the amount authorized under
        section 2101(a) for the whole barracks complex renewal at Fort
        Knox, Kentucky).
    SEC. 2105. LAND ACQUISITION, NATIONAL GROUND INTELLIGENCE CENTER,
    CHARLOTTESVILLE, VIRGINIA.
        (a) Acquisition Authorized.--Subject to subsection (b), the
    Secretary of the Army may acquire real property for the National Ground
    Intelligence Center, Charlottesville, Virginia.
        (b) Requirement Relating to Acquisition.--The Secretary may not
    acquire real property pursuant to the authorization in subsection (a)
    until the Secretary certifies to the congressional defense committees,
    based on the results of an assessment of property currently owned or
    operated by the Federal Government in the vicinity of Charlottesville,
    Virginia, that the acquisition of the property would provide the most
    cost-effective means of securing a location for the National Ground
    Intelligence Center that satisfies the mission requirements of the
    center.
        (c) Funding.--Of the amounts authorized to be appropriated by
    section 2104(a)(1), $1,000,000 shall be available for the acquisition
    of real property pursuant to the authorization in subsection (a).

                                TITLE XXII--NAVY

    Sec. 2201.  Authorized Navy construction and land acquisition projects.
    Sec. 2202.  Family housing.
    Sec. 2203.  Improvements to military family housing units.
    Sec. 2204.  Authorization of appropriations, Navy.
    Sec. 2205.  Beach replenishment, Naval Air Station, North Island,
              California.

    SEC. 2201. AUTHORIZED NAVY CONSTRUCTION AND LAND ACQUISITION PROJECTS.
        (a) Inside the United States.--Using amounts appropriated pursuant
    to the authorization of appropriations in section 2204(a)(1), and, in
    the case of the projects described in paragraphs (2) and (3) of section
    2204(b), other amounts appropriated pursuant to authorizations enacted
    after this Act for the projects, the Secretary of the Navy may acquire
    real property and carry out military construction projects for the
    installations and locations inside the United States, and in the
    amounts, set forth in the following table:

                         Navy: Inside the United States
    ------------------------------------------------------------------------
                                         Installation or
                 State                       location             Amount
    ------------------------------------------------------------------------
    Arizona........................  Navy Detachment, Camp        $3,920,000
                                      Navajo.
    California.....................  Marine Corps Air-Ground
                                      Combat Center,
                                      Twentynine Palms......      $4,020,000
                                     Marine Corps Air
                                      Station, Camp
                                      Pendleton.............      $6,240,000
                                     Marine Corps Base, Camp
                                      Pendleton.............     $51,630,000
                                     Marine Corps Recruit
                                      Detachment, San Diego.      $8,150,000
                                     Naval Air Station,          $86,502,000
                                      North Island.
                                     Naval Command Control &
                                      Ocean Surveillance
                                      Center, San Diego.....      $1,960,000
                                     Naval Facility, San         $17,000,000
                                      Clemente Island.
                                     Naval Station, San           $7,050,000
                                      Diego.
    Connecticut....................  Naval Submarine Base,       $13,830,000
                                      New London.
    District of Columbia...........  Naval District,             $19,300,000
                                      Washington.
    Florida........................  Naval Air Station, Key       $2,250,000
                                      West.
                                     Naval Station, Mayport.      $2,800,000
    Georgia........................  Naval Submarine Base,        $1,550,000
                                      Kings Bay.
    Hawaii.........................  Marine Corps, Air           $20,080,000
                                      Station, Kaneohe Bay.
                                     Naval Station, Pearl        $19,600,000
                                      Harbor.
                                     Naval Submarine Base,       $35,890,000
                                      Pearl Harbor.
    Idaho..........................  Naval Surface Warfare        $7,150,000
                                      Center, Bayview.
    Illinois.......................  Naval Hospital, Great       $15,200,000
                                      Lakes.
                                     Naval Training Center,      $22,900,000
                                      Great Lakes.
    Indiana........................  Naval Surface Warfare        $5,000,000
                                      Center, Crane.
    Maryland.......................  Naval Air Warfare
                                      Center, Patuxent River      $1,270,000
                                     United States Naval         $10,480,000
                                      Academy.
    Mississippi....................  Navy Project, Stennis        $7,960,000
                                      Space Center.
    Nevada.........................  Naval Air Station,          $21,630,000
                                      Fallon.
    North Carolina.................  Marine Corps Air             $1,630,000
                                      Station, Cherry Point.
                                     Marine Corps Air            $20,290,000
                                      Station, New River.
                                     Marine Corps Base, Camp     $20,750,000
                                      Lejeune.
    Pennsylvania...................  Philadelphia Naval           $8,300,000
                                      Shipyard.
    South Carolina.................  Marine Corps Recruit
                                      Depot, Parris Island..      $2,540,000
    Texas..........................  Naval Air Station,           $1,810,000
                                      Kingsville.
                                     Naval Station,              $16,850,000
                                      Ingleside.
    Virginia.......................  Armed Forces Staff
                                      College, Norfolk......     $12,900,000
                                     Marine Corps Combat
                                      Development Command,
                                      Quantico..............     $14,570,000
                                     Naval Station, Norfolk.     $56,120,000
                                     Naval Surface Warfare        $8,030,000
                                      Center, Dahlgren.
    Washington.....................  Naval Station, Everett.     $25,740,000
                                     Naval Undersea Warfare
                                      Center, Keyport.......      $6,800,000
    CONUS Various..................  Defense access roads...        $300,000
                                                             ---------------
                                         Total:.............    $589,992,000
    ------------------------------------------------------------------------

        (b) Outside the United States.--Using amounts appropriated pursuant
    to the authorization of appropriations in section 2204(a)(2), and, in
    the case of the project described in section 2204(b)(4), other amounts
    appropriated pursuant to authorizations enacted after this Act for the
    project, the Secretary of the Navy may acquire real property and carry
    out military construction projects for the installations and locations
    outside the United States, and in the amounts, set forth in the
    following table:

                         Navy: Outside the United States
    ------------------------------------------------------------------------
                                         Installation or
                Country                      location             Amount
    ------------------------------------------------------------------------
    Bahrain........................  Administrative Support       $5,980,000
                                      Unit, Bahrain.
    Greece.........................  Naval Support Activity,      $7,050,000
                                      Souda Bay.
    Italy..........................  Naval Air Station,          $15,700,000
                                      Sigonella.
                                     Naval Support Activity,      $8,620,000
                                      Naples.
    Puerto Rico....................  Naval Station,              $23,600,000
                                      Roosevelt Roads.
    United Kingdom.................  Joint Maritime
                                      Communications Center,
                                      St. Mawgan............      $4,700,000
                                                             ---------------
                                         Total:.............     $65,650,000
    ------------------------------------------------------------------------

    SEC. 2202. FAMILY HOUSING.

        (a) Construction and Acquisition.--Using amounts appropriated
    pursuant to the authorization of appropriations in section
    2204(a)(5)(A), the Secretary of the Navy may construct or acquire
    family housing units (including land acquisition) at the installations,
    for the purposes, and in the amounts set forth in the following table:

                                                  Navy: Family Housing
    ----------------------------------------------------------------------------------------------------------------
                      State                          Installation                   Purpose               Amount
    ----------------------------------------------------------------------------------------------------------------
    Arizona.................................  Marine Corps Air Station,
                                               Yuma.....................  Ancillary Facility........        $709,000
    California..............................  Marine Corps Air-Ground
                                               Combat Center, Twentynine
                                               Palms....................  Ancillary Facilities......      $2,938,000
                                              Marine Corps Base, Camp
                                               Pendleton................  202 Units.................     $29,483,000
                                              Naval Air Station, Lemoore  276 Units.................     $39,837,000
                                              Navy Public Works Center,
                                               San Diego................  366 Units.................     $48,719,000
    Florida.................................  Naval Station, Mayport....  100 Units.................     $10,000,000
    Hawaii..................................  Marine Corps Air Station,
                                               Kaneohe Bay..............  54 Units..................     $11,676,000
                                              Navy Public Works Center,
                                               Pearl Harbor.............  264 Units.................     $52,586,000
    Maine...................................  Naval Air Station
                                               Brunswick................  92 Units..................     $10,925,000
    Maryland................................  Naval Air Warfare Center,
                                               Patuxent River...........  Ancillary Facility........      $1,233,000
    North Carolina..........................  Marine Corps Base, Camp
                                               Lejeune..................  Ancillary Facility........        $845,000
                                              Marine Corps Base, Camp
                                               Lejeune..................  94 Units..................     $10,110,000
    South Carolina..........................  Marine Corps Air Station,
                                               Beaufort.................  140 Units.................     $14,000,000
    Texas...................................  Corpus Christi Naval
                                               Complex..................  104 Units.................     $11,675,000
                                              Naval Air Station,
                                               Kingsville...............  48 Units..................      $7,550,000
    Virginia................................  AEGIS Combat Systems
                                               Center, Wallops Island...  20 Units..................      $2,975,000
                                              Naval Security Group
                                               Activity, Northwest......  Ancillary Facility........        $741,000
    Washington..............................  Naval Station, Everett....  100 Units.................     $15,015,000
                                              Naval Submarine Base,
                                               Bangor...................  Ancillary Facility........        $934,000
                                                                                                     ---------------
                                                                              Total:................    $281,951,000
    ----------------------------------------------------------------------------------------------------------------

        (b) Planning and Design.--Using amounts appropriated pursuant to
    the authorization of appropriations in section 2204(a)(5)(A), the
    Secretary of the Navy may carry out architectural and engineering
    services and construction design activities with respect to the
    construction or improvement of military family housing units in an
    amount not to exceed $22,552,000.

    SEC. 2203. IMPROVEMENTS TO MILITARY FAMILY HOUSING UNITS.

        Subject to section 2825 of title 10, United States Code, and using
    amounts appropriated pursuant to the authorization of appropriations in
    section 2204(a)(5)(A), the Secretary of the Navy may improve existing
    military family housing units in an amount not to exceed $205,383,000.

    SEC. 2204. AUTHORIZATION OF APPROPRIATIONS, NAVY.

        (a) In General.--Funds are hereby authorized to be appropriated for
    fiscal years beginning after September 30, 1996, for military
    construction, land acquisition, and military family housing functions
    of the Department of the Navy in the total amount of $2,213,731,000 as
    follows:
            (1) For military construction projects inside the United States
        authorized by section 2201(a), $579,312,000.
            (2) For military construction projects outside the United
        States authorized by section 2201(b), $51,550,000.
            (3) For unspecified minor construction projects authorized by
        section 2805 of title 10, United States Code, $5,115,000.
            (4) For architectural and engineering services and construction
        design under section 2807 of title 10, United States Code,
        $49,927,000.
            (5) For military family housing functions:
                (A) For construction and acquisition, planning and design,
            and improvement of military family housing and facilities,
            $499,886,000.
                (B) For support of military housing (including functions
            described in section 2833 of title 10, United States Code),
            $1,014,241,000.
            (6) For the construction of a bachelor enlisted quarters at the
        Naval Construction Battalion Center, Port Hueneme, California,
        authorized by section 2201(a) of the Military Construction
        Authorization Act for Fiscal Year 1996 (division B of Public Law
        104-106; 110 Stat. 525), $7,700,000.
            (7) For the construction of a Strategic Maritime Research
        Center at the Naval War College, Newport, Rhode Island, authorized
        by section 2201(a) of the Military Construction Authorization Act
        for Fiscal Year 1995 (division B of Public Law 103-337; 108 Stat.
        3031), $8,000,000.
            (8) For the construction of the large anachoic chamber facility
        at the Patuxent River Naval Warfare Center, Aircraft Division,
        Maryland, authorized by section 2201(a) of the Military
        Construction Authorization Act for Fiscal Year 1993 (division B of
        Public Law 102-484; 106 Stat. 2590), $10,000,000.
        (b) Limitation on Total Cost of Construction Projects.--
    Notwithstanding the cost variations authorized by section 2853 of title
    10, United States Code, and any other cost variation authorized by law,
    the total cost of all projects carried out under section 2201 of this
    Act may not exceed--
            (1) the total amount authorized to be appropriated under
        paragraphs (1) and (2) of subsection (a);
            (2) $5,200,000 (the balance of the amount authorized under
        section 2201(a) for the construction of a bachelors enlisted
        quarters at Naval Hospital, Great Lakes, Illinois);
            (3) $5,480,000 (the balance of the amount authorized under
        section 2201(a) for the construction of a chiller system upgrade at
        the United States Naval Academy, Maryland); and
            (4) $14,100,000 (the balance of the amount authorized under
        section 2201(b) for the construction of a bachelor enlisted
        quarters at Naval Station, Roosevelt Roads, Puerto Rico).
        (c) Adjustment.--The total amount authorized to be appropriated
    pursuant to paragraphs (1) through (8) of subsection (a) is the sum of
    the amounts authorized to be appropriated in such paragraphs, reduced
    by $12,000,000, which represents the combination of project savings
    resulting from favorable bids, reduced overhead costs, and
    cancellations due to force structure changes.
    SEC. 2205. BEACH REPLENISHMENT, NAVAL AIR STATION, NORTH ISLAND,
    CALIFORNIA.
        (a) Cost-Sharing Agreement.--With regard to the portion of the
    military construction project for Naval Air Station, North Island,
    California, authorized by section 2201(a) and involving on-shore and
    near-shore beach replenishment, the Secretary of the Navy shall enter
    into an agreement with the State of California and local governments in
    the vicinity of the project, under which the State and local
    governments agree to cover not less than 50 percent of the cost
    incurred by the Secretary to carry out the beach replenishment portion
    of the project. Within amounts appropriated for the project, Federal
    expenditures may not exceed $9,630,000 for beach replenishment.
        (b) Activities Pending Agreement.--The Secretary shall not delay
    commencement of, or activities under, the construction project
    described in subsection (a), including the beach replenishment portion
    of the project, pending the execution of the cost-sharing agreement.

                             TITLE XXIII--AIR FORCE

    Sec. 2301. Authorized Air Force construction and land acquisition
    projects.
    Sec. 2302. Family housing.
    Sec. 2303. Improvements to military family housing units.
    Sec. 2304. Authorization of appropriations, Air Force.
    Sec. 2305. Elimination of authority to carry out fiscal year 1995
    project, Spangdahlem Air Force Base, Germany.

    SEC. 2301. AUTHORIZED AIR FORCE CONSTRUCTION AND LAND ACQUISITION
                  PROJECTS.

        (a) Inside the United States.--Using amounts appropriated pursuant
    to the authorization of appropriations in section 2304(a)(1), the
    Secretary of the Air Force may acquire real property and carry out
    military construction projects for the installations and locations
    inside the United States, and in the amounts, set forth in the
    following table:

                       Air Force: Inside the United States
    ------------------------------------------------------------------------
                                         Installation or
                 State                       location             Amount
    ------------------------------------------------------------------------
    Alabama........................  Maxwell Air Force Base.      $7,875,000
    Alaska.........................  Elmendorf Air Force         $21,530,000
                                      Base.
                                     Eielson Air Force Base.      $3,900,000
                                     King Salmon Air Force        $5,700,000
                                      Base.
    Arizona........................  Davis-Monthan Air Force      $9,920,000
                                      Base.
                                     Luke Air Force Base....      $6,700,000
    Arkansas.......................  Little Rock Air Force       $18,105,000
                                      Base.
    California.....................  Beale Air Force Base...     $14,425,000
                                     Edwards Air Force Base.     $20,080,000
                                     Travis Air Force Base..     $14,980,000
                                     Vandenberg Air Force         $3,290,000
                                      Base.
    Colorado.......................  Buckley Air National        $17,960,000
                                      Guard Base.
                                     Falcon Air Force             $2,095,000
                                      Station.
                                     Peterson Air Force Base     $20,720,000
                                     United States Air Force     $12,165,000
                                      Academy.
    Delaware.......................  Dover Air Force Base...     $19,980,000
    Florida........................  Eglin Air Force Base...      $4,590,000
                                     Eglin Auxiliary Field 9      $6,825,000
                                     Patrick Air Force Base.      $2,595,000
                                     Tyndall Air Force Base.      $3,600,000
    Georgia........................  Moody Air Force Base...      $3,350,000
                                     Robins Air Force Base..     $25,045,000
    Idaho..........................  Mountain Home Air Force     $15,945,000
                                      Base.
    Kansas.........................  McConnell Air Force         $19,130,000
                                      Base.
    Louisiana......................  Barksdale Air Force          $4,890,000
                                      Base.
    Maryland.......................  Andrews Air Force Base.      $8,140,000
    Mississippi....................  Keesler Air Force Base.     $14,465,000
    Montana........................  Malstrom Air Force Base      $6,300,000
    Nevada.........................  Indian Springs Air
                                      Force Auxiliary Air
                                      Field.................      $4,690,000
                                     Nellis Air Force Base..      $9,900,000
    New Mexico.....................  Cannon Air Force Base..      $7,100,000
                                     Kirtland Air Force Base     $10,000,000
    New Jersey.....................  McGuire Air Force Base.      $8,080,000
    North Carolina.................  Pope Air Force Base....      $5,915,000
                                     Seymour Johnson Air         $11,280,000
                                      Force Base.
    North Dakota...................  Grand Forks Air Force       $12,470,000
                                      Base.
                                     Minot Air Force Base...      $3,940,000
    Ohio...........................  Wright-Patterson Air         $7,400,000
                                      Force Base.
    Oklahoma.......................  Tinker Air Force Base..      $9,880,000
    South Carolina.................  Charleston Air Force        $37,410,000
                                      Base.
                                     Shaw Air Force Base....     $14,465,000
    South Dakota...................  Ellsworth Air Force          $4,150,000
                                      Base.
    Tennessee......................  Arnold Engineering
                                      Development Center....     $12,481,000
    Texas..........................  Brooks Air Force Base..      $5,400,000
                                     Dyess Air Force Base...     $12,295,000
                                     Kelly Air Force Base...      $3,250,000
                                     Lackland Air Force Base      $9,413,000
                                     Sheppard Air Force Base      $9,400,000
    Utah...........................  Hill Air Force Base....      $3,690,000
    Virginia.......................  Langley Air Force Base.      $8,005,000
    Washington.....................  Fairchild Air Force         $18,155,000
                                      Base.
                                     McChord Air Force Base.     $57,065,000
    Wyoming........................  F.E. Warren Air Force        $3,700,000
                                      Base.
                                                             ---------------
                                         Total:.............    $603,834,000
    ------------------------------------------------------------------------

        (b) Outside the United States.--Using amounts appropriated pursuant
    to the authorization of appropriations in section 2304(a)(2), the
    Secretary of the Air Force may acquire real property and carry out
    military construction projects for the installations and locations
    outside the United States, and in the amounts, set forth in the
    following table:

                      Air Force: Outside the United States
    ------------------------------------------------------------------------
                                         Installation or
                Country                      location             Amount
    ------------------------------------------------------------------------
    Germany........................  Ramstein Air Force Base      $5,370,000
                                     Spangdahlem Air Base...      $1,890,000
    Italy..........................  Aviano Air Base........     $10,060,000
    Korea..........................  Osan Air Base..........      $9,780,000
    Turkey.........................  Incirlik Air Base......      $7,160,000
    United Kingdom.................  Croughton Royal Air          $1,740,000
                                      Force Base.
                                     Lakenheath Royal Air        $17,525,000
                                      Force Base.
                                     Mildenhall Royal Air         $6,195,000
                                      Force Base.
    Overseas Classified............  Classified Locations...     $18,395,000
                                                             ---------------
                                         Total:.............     $78,115,000
    ------------------------------------------------------------------------

    SEC. 2302. FAMILY HOUSING.

        (a) Construction and Acquisition.--Using amounts appropriated
    pursuant to the authorization of appropriations in section
    2304(a)(5)(A), the Secretary of the Air Force may construct or acquire
    family housing units (including land acquisition) at the installations,
    for the purposes, and in the amounts set forth in the following table:

                                                Air Force: Family Housing
    ----------------------------------------------------------------------------------------------------------------
                      State                          Installation                   Purpose               Amount
    ----------------------------------------------------------------------------------------------------------------
    Alaska..................................  Eielson Air Force Base....  72 Units..................     $21,127,000
                                              Eielson Air Force Base....  Ancillary Facility........      $2,950,000
    California..............................  Beale Air Force Base......  56 Units..................      $8,893,000
                                              Los Angeles Air Force Base  25 Units..................      $6,425,000
                                              Travis Air Force Base.....  70 Units..................      $8,631,000
                                              Vandenberg Air Force Base.  112 Units.................     $20,891,000
    District of Columbia....................  Bolling Air Force Base....  40 Units..................      $5,000,000
    Florida.................................  Eglin Auxiliary Field 9...  1 Unit....................        $249,000
                                              MacDill Air Force Base....  56 Units..................      $8,822,000
                                              Patrick Air Force Base....  Ancillary Facility........      $2,430,000
                                              Tyndall Air Force Base....  42 Units..................      $6,000,000
    Georgia.................................  Robins Air Force Base.....  46 Units..................      $5,252,000
    Louisiana...............................  Barksdale Air Force Base..  80 Units..................      $9,570,000
    Massachusetts...........................  Hanscom Air Force Base....  32 Units..................      $5,100,000
    Missouri................................  Whiteman Air Force Base...  68 Units..................      $9,600,000
    Montana.................................  Malstrom Air Force Base...  98 Units..................     $15,688,000
    Nevada..................................  Nellis Air Force Base.....  50 Units..................      $7,955,000
    New Mexico..............................  Kirtland Air Force Base...  50 Units..................      $5,450,000
    North Dakota............................  Grand Forks Air Force Base  66 Units..................      $7,784,000
                                              Minot Air Force Base......  46 Units..................      $8,740,000
    Texas...................................  Lackland Air Force Base...  82 Units..................     $11,500,000
                                              Lackland Air Force Base...  Ancillary Facility........        $800,000
    Washington..............................  McChord Air Force Base....  50 Units..................      $5,659,000
                                                                                                     ---------------
                                                                              Total:................    $184,516,000
    ----------------------------------------------------------------------------------------------------------------

        (b) Planning and Design.--Using amounts appropriated pursuant to
    the authorization of appropriations in section 2304(a)(5)(A), the
    Secretary of the Air Force may carry out architectural and engineering
    services and construction design activities with respect to the
    construction or improvement of military family housing units in an
    amount not to exceed $9,590,000.

    SEC. 2303. IMPROVEMENTS TO MILITARY FAMILY HOUSING UNITS.

        Subject to section 2825 of title 10, United States Code, and using
    amounts appropriated pursuant to the authorization of appropriations in
    section 2304(a)(5)(A), the Secretary of the Air Force may improve
    existing military family housing units in an amount not to exceed
    $123,650,000.

    SEC. 2304. AUTHORIZATION OF APPROPRIATIONS, AIR FORCE.

        (a) In General.--Funds are hereby authorized to be appropriated for
    fiscal years beginning after September 30, 1996, for military
    construction, land acquisition, and military family housing functions
    of the Department of the Air Force in the total amount of
    $1,894,594,000 as follows:
            (1) For military construction projects inside the United States
        authorized by section 2301(a), $603,834,000.
            (2) For military construction projects outside the United
        States authorized by section 2301(b), $78,115,000.
            (3) For unspecified minor construction projects authorized by
        section 2805 of title 10, United States Code, $9,328,000.
            (4) For architectural and engineering services and construction
        design under section 2807 of title 10, United States Code,
        $50,687,000.
            (5) For military housing functions:
                (A) For construction and acquisition, planning and design,
            and improvement of military family housing and facilities,
            $317,756,000.
                (B) For support of military family housing (including the
            functions described in section 2833 of title 10, United States
            Code), $829,474,000.
            (6) For the construction of a corrosion control facility at
        Tinker Air Force Base, Oklahoma, authorized by section 2301(a) of
        the Military Construction Authorization Act for Fiscal Year 1996
        (division B of Public Law 104-106; 110 Stat. 530), $5,400,000.
        (b) Limitation on Total Cost of Construction Projects.--
    Notwithstanding the cost variations authorized by section 2853 of title
    10, United States Code, and any other cost variation authorized by law,
    the total cost of all projects carried out under section 2301 of this
    Act may not exceed the total amount authorized to be appropriated under
    paragraphs (1) and (2) of subsection (a).
    SEC. 2305. ELIMINATION OF AUTHORITY TO CARRY OUT FISCAL YEAR 1995
    PROJECT, SPANGDAHLEM AIR FORCE BASE, GERMANY.
        (a) Elimination of Project.--The table in section 2301(b) of the
    Military Construction Authorization Act for Fiscal Year 1995 (division
    B of Public Law 103-337; 108 Stat. 3037) is amended in the item
    relating to Spangdahlem Air Base, Germany, by striking out
    ``$9,473,000'' in the amount column and inserting in lieu thereof
    ``$7,373,000'', such reduction corresponding to the project to upgrade
    the sewage and storm water system at the installation.
        (b) Conforming Amendment to Authorization of Appropriations.--
    Section 2304(a) of the Military Construction Authorization Act for
    Fiscal Year 1995 (division B of Public Law 103-337; 108 Stat. 3038) is
    amended--
            (1) in the matter preceding paragraph (1), by striking out
        ``$1,601,602,000'' and inserting in lieu thereof
        ``$1,599,502,000''; and
            (2) in paragraph (2), by striking out ``$38,273,000'' and
        inserting in lieu thereof ``$36,173,000''.

                          TITLE XXIV--DEFENSE AGENCIES

    Sec. 2401. Authorized Defense Agencies construction and land acquisition
    projects.
    Sec. 2402. Military housing planning and design.
    Sec. 2403. Improvements to military family housing units.
    Sec. 2404. Military housing improvement program.
    Sec. 2405. Energy conservation projects.
    Sec. 2406. Authorization of appropriations, Defense Agencies.
    Sec. 2407. Reduction in amounts authorized to be appropriated for fiscal
    year 1996 Defense Agencies military construction, land acquisition, and
    military family housing functions.

    SEC. 2401. AUTHORIZED DEFENSE AGENCIES CONSTRUCTION AND LAND
                  ACQUISITION PROJECTS.

        (a) Inside the United States.--Using amounts appropriated pursuant
    to the authorization of appropriations in section 2406(a)(1), and, in
    the case of the projects described in paragraphs (2) and (3) of section
    2406(b), other amounts appropriated pursuant to authorizations enacted
    after this Act for the projects, the Secretary of Defense may acquire
    real property and carry out military construction projects for the
    installations and locations inside the United States, and in the
    amounts, set forth in the following table:

                   Defense Agencies: Inside the United States
    ------------------------------------------------------------------------
                                         Installation or
                 Agency                      location             Amount
    ------------------------------------------------------------------------
    Chemical Demilitarization
     Program.......................  Pueblo Chemical
                                      Activity, Colorado....    $179,000,000
    Defense Finance & Accounting
     Service.......................  Charleston, South
                                      Carolina..............      $6,200,000
                                     Fort Sill, Oklahoma....     $12,864,000
                                     Gentile Air Force
                                      Station, Ohio.........     $11,400,000
                                     Griffiss Air Force
                                      Base, New York........     $10,200,000
                                     Loring Air Force Base,
                                      Maine.................      $6,900,000
                                     Naval Training Center,
                                      Orlando, Florida......      $2,600,000
                                     Norton Air Force Base,
                                      California............     $13,800,000
                                     Offutt Air Force Base,
                                      Nebraska..............      $7,000,000
                                     Rock Island Arsenal,
                                      Illinois..............     $14,400,000
    Defense Intelligence Agency....  Bolling Air Force Base,
                                      District of Columbia..      $6,790,000
    Defense Logistics Agency.......  Altus Air Force Base,
                                      Oklahoma..............      $3,200,000
                                     Andrews Air Force Base,
                                      Maryland..............     $12,100,000
                                     Barksdale Air Force
                                      Base, Louisiana.......      $4,300,000
                                     Defense Construction
                                      Supply Center,
                                      Columbus, Ohio........        $600,000
                                     Defense Distribution,
                                      San Diego, California.     $15,700,000
                                     Elmendorf Air Force
                                      Base, Alaska..........     $21,000,000
                                     McConnell Air Force
                                      Base, Kansas..........      $2,200,000
                                     Naval Air Facility, El
                                      Centro, California....      $5,700,000
                                     Naval Air Station,
                                      Fallon, Nevada........      $2,100,000
                                     Naval Air Station,
                                      Oceana, Virginia......      $1,500,000
                                     Shaw Air Force Base,
                                      South Carolina........      $2,900,000
                                     Travis Air Force Base,
                                      California............     $15,200,000
    Defense Medical Facility Office  Andrews Air Force Base,
                                      Maryland..............     $15,500,000
                                     Charleston Air Force
                                      Base, South Carolina..      $1,800,000
                                     Fort Bliss, Texas......      $6,600,000
                                     Fort Bragg, North
                                      Carolina..............     $11,400,000
                                     Fort Hood, Texas.......      $1,950,000
                                     Marine Corps Base, Camp
                                      Pendleton, California.      $3,300,000
                                     Maxwell Air Force Base,
                                      Alabama...............     $25,000,000
                                     Naval Air Station, Key
                                      West, Florida.........     $15,200,000
                                     Naval Air Station,
                                      Norfolk, Virginia.....      $1,250,000
                                     Naval Air Station,
                                      Lemoore, California...     $38,000,000
    Special Operations Command.....  Fort Bragg, North
                                      Carolina..............     $14,000,000
                                     Fort Campbell, Kentucky      $4,200,000
                                     MacDill Air Force Base,
                                      Florida...............      $9,600,000
                                     Naval Amphibious Base,
                                      Coronado, California..      $7,700,000
                                     Naval Station, Ford
                                      Island, Pearl Harbor,
                                      Hawaii................     $12,800,000
                                                             ---------------
                                         Total:.............    $525,454,000
    ------------------------------------------------------------------------

        (b) Outside the United States.--Using amounts appropriated pursuant
    to the authorization of appropriations in section 2406(a)(2), the
    Secretary of Defense may acquire real property and carry out military
    construction projects for the installations and locations outside the
    United States, and in the amounts, set forth in the following table:

                   Defense Agencies: Outside the United States
    ------------------------------------------------------------------------
                                         Installation or
                 Agency                      location             Amount
    ------------------------------------------------------------------------
    Defense Logistics Agency.......  Moron Air Base, Spain..     $12,958,000
                                     Naval Air Station,
                                      Sigonella, Italy......      $6,100,000
    Defense Medical Facility Office  Administrative Support
                                      Unit, Bahrain, Bahrain      $4,600,000
                                                             ---------------
                                         Total:.............     $23,658,000
    ------------------------------------------------------------------------

    SEC. 2402. MILITARY HOUSING PLANNING AND DESIGN.

        Using amounts appropriated pursuant to the authorization of
    appropriation in section 2406(a)(14)(A), the Secretary of Defense may
    carry out architectural and engineering services and construction
    design activities with respect to the construction or improvement of
    military family housing units in an amount not to exceed $500,000.

    SEC. 2403. IMPROVEMENTS TO MILITARY FAMILY HOUSING UNITS.

        Subject to section 2825 of title 10, United States Code, and using
    amounts appropriated pursuant to the authorization of appropriation in
    section 2406(a)(14)(A), the Secretary of Defense may improve existing
    military family housing units in an amount not to exceed $3,871,000.

    SEC. 2404. MILITARY HOUSING IMPROVEMENT PROGRAM.

        (a) Availability of Funds for Credit to Family Housing Improvement
    Fund.--(1) Of the amount authorized to be appropriated pursuant to
    section 2406(a)(14)(C), $25,000,000 shall be available for credit to
    the Department of Defense Family Housing Improvement Fund established
    by section 2883(a)(1) of title 10, United States Code.
        (2) Of the amount authorized to be appropriated pursuant to section
    2406(a)(14)(D), $5,000,000 shall be available for credit to the
    Department of Defense Military Unaccompanied Housing Improvement Fund
    established by section 2883(a)(2) of such title.
        (b) Use of Funds.--(1) The Secretary of Defense may use funds
    credited to the Department of Defense Family Housing Improvement Fund
    under subsection (a)(1) to carry outany activities authorized by
    subchapter IV of chapter 169 of such title with respect to military
    family housing.
        (2) The Secretary of Defense may use funds credited to the
    Department of Defense Military Unaccompanied Housing Improvement Fund
    under subsection (a)(2) to carry out any activities authorized by
    subchapter IV of chapter 169 of such title with respect to military
    unaccompanied housing.

    SEC. 2405. ENERGY CONSERVATION PROJECTS.

        Using amounts appropriated pursuant to the authorization of
    appropriations in section 2406(a)(12), the Secretary of Defense may
    carry out energy conservation projects under section 2865 of title 10,
    United States Code.

    SEC. 2406. AUTHORIZATION OF APPROPRIATIONS, DEFENSE AGENCIES.

        (a) In General.--Funds are hereby authorized to be appropriated for
    fiscal years beginning after September 30, 1996, for military
    construction, land acquisition, and military family housing functions
    of the Department of Defense (other than the military departments), in
    the total amount of $3,379,703,000 as follows:
            (1) For military construction projects inside the United States
        authorized by section 2401(a), $344,854,000.
            (2) For military construction projects outside the United
        States authorized by section 2401(b), $23,658,000.
            (3) For military construction projects at Naval Hospital,
        Portsmouth, Virginia, hospital replacement, authorized by section
        2401(a) of the Military Construction Authorization Act for Fiscal
        Years 1990 and 1991 (division B of Public Law 101-189; 103 Stat.
        1640), $24,000,000.
            (4) For military construction projects at Walter Reed Army
        Institute of Research, Maryland, hospital replacement, authorized
        by section 2401(a) of the Military Construction Authorization Act
        for Fiscal Year 1993 (division B of Public Law 102-484; 106 Stat.
        2599), $72,000,000.
            (5) For military construction projects at Fort Bragg, North
        Carolina, hospital replacement, authorized by section 2401(a) of
        the Military Construction Authorization Act for Fiscal Year 1993
        (106 Stat. 2599), $89,000,000.
            (6) For military construction projects at Pine Bluff Arsenal,
        Arkansas, authorized by section 2401(a) of the Military
        Construction Authorization Act for Fiscal Year 1995 (division B of
        the Public Law 103-337; 108 Stat. 3040), $46,000,000.
            (7) For military construction projects at Umatilla Army Depot,
        Oregon, authorized by section 2401(a) of the Military Construction
        Authorization Act for Fiscal Year 1995 (108 Stat. 3040),
        $64,000,000.
            (8) For military construction projects at the Defense Finance
        and Accounting Service, Columbus, Ohio, authorized by section
        2401(a) of the Military Construction Authorization Act of Fiscal
        Year 1996 (division B of Public Law 104-106; 110 Stat. 535),
        $20,822,000.
            (9) For contingency construction projects of the Secretary of
        Defense under section 2804 of title 10, United States Code,
        $4,500,000.
            (10) For unspecified minor construction projects under section
        2805 of title 10, United States Code, $21,874,000.
            (11) For architectural and engineering services and
        construction design under section 2807 of title 10, United States
        Code, $12,239,000.
            (12) For energy conservation projects under section 2865 of
        title 10, United States Code, $47,765,000.
            (13) For base closure and realignment activities as authorized
        by the Defense Base Closure and Realignment Act of 1990 (part A of
        title XXIX of Public Law 101-510; 10 U.S.C. 2687 note),
        $2,507,476,000.
            (14) For military family housing functions:
                (A) For improvement and planning of military family housing
            and facilities, $4,371,000.
                (B) For support of military housing (including functions
            described in section 2833 of title 10, United States Code),
            $30,963,000, of which not more than$25,637,000 may be obligated
    or expended for the leasing of military family housing units worldwide.
                (C) For credit to the Department of Defense Family Housing
            Improvement Fund as authorized by section 2404(a)(1) of this
            Act, $25,000,000.
                (D) For credit to the Department of Defense Military
            Unaccompanied Housing Improvement Fund as authorized by section
            2404(a)(2) of this Act, $5,000,000.
                (E) For the Homeowners Assistance Program as authorized by
            section 2832 of title 10, United States Code, $36,181,000, to
            remain available until expended.
        (b) Limitation on Total Cost of Construction Projects.--
    Notwithstanding the cost variation authorized by section 2853 of title
    10, United States Code, and any other cost variations authorized by
    law, the total cost of all projects carried out under section 2401 of
    this Act may not exceed--
            (1) the total amount authorized to be appropriated under
        paragraphs (1) and (2) of subsection (a);
            (2) $179,000,000 (the balance of the amount authorized under
        section 2401(a) of this Act for the construction of a chemical
        demilitarization facility at Pueblo Army Depot, Colorado); and
            (3) $1,600,000 (the balance of the amount authorized under
        section 2401(a) of this Act for the construction of a replacement
        facility for the medical and dental clinic, Key West Naval Air
        Station, Florida).
    SEC. 2407. REDUCTION IN AMOUNTS AUTHORIZED TO BE APPROPRIATED FOR
    FISCAL YEAR 1996 DEFENSE AGENCIES MILITARY CONSTRUCTION, LAND
    ACQUISITION, AND MILITARY FAMILY HOUSING FUNCTIONS.
        Section 2405 of the Military Construction Authorization Act for
    Fiscal Year 1996 (division B of Public Law 104-106; 110 Stat. 537) is
    amended by adding at the end the following new subsection:
        ``(c) Adjustment.--The total amount authorized to be appropriated
    pursuant to paragraphs (1) through (11) of subsection (a) is the sum of
    the amounts authorized to be appropriated in such paragraphs, reduced
    by $7,000,000, which represents the combination of project savings
    resulting from favorable bids, reduced overhead costs, and
    cancellations due to force structure changes.''.

       TITLE XXV--NORTH ATLANTIC TREATY ORGANIZATION SECURITY INVESTMENT
                                    PROGRAM

    Sec. 2501. Authorized NATO construction and land acquisition projects.
    Sec. 2502. Authorization of appropriations, NATO.
    SEC. 2501. AUTHORIZED NATO CONSTRUCTION AND LAND ACQUISITION PROJECTS.
        The Secretary of Defense may make contributions for the North
    Atlantic Treaty Organization Security Investment program as provided in
    section 2806 of title 10, United States Code, in an amount not to
    exceed the sum of the amount authorized to be appropriated for this
    purpose in section 2502 and the amount collected from the North
    Atlantic Treaty Organization as a result of construction previously
    financed by the United States.

    SEC. 2502. AUTHORIZATION OF APPROPRIATIONS, NATO.

        Funds are hereby authorized to be appropriated for fiscal years
    beginning after September 30, 1996, for contributions by the Secretary
    of Defense under section 2806 of title 10, United States Code, for the
    share of the United States of the cost of projects for the North
    Atlantic Treaty Security Investment program as authorized by section
    2501, in the amount of $172,000,000.

                TITLE XXVI--GUARD AND RESERVE FORCES FACILITIES

    Sec. 2601. Authorized Guard and Reserve construction and land
              acquisition projects.
    Sec. 2602. Authorization and funding for construction and improvement of
              Naval Reserve Centers.
    Sec. 2603. Upgrade Air National Guard facilities, Bangor International
              Airport, Maine.
    SEC. 2601. AUTHORIZED GUARD AND RESERVE CONSTRUCTION AND LAND
    ACQUISITION PROJECTS.
        There are authorized to be appropriated for fiscal years beginning
    after September 30, 1996, for the costs of acquisition, architectural
    and engineering services, and construction of facilities for the Guard
    and Reserve Forces, and for contributions therefor, under chapter 1803
    of title 10, United States Code (including the cost of acquisition of
    land for those facilities), the following amounts:
            (1) For the Department of the Army--
                (A) for the Army National Guard of the United States,
            $59,194,000; and
                (B) for the Army Reserve, $55,543,000.
            (2) For the Department of the Navy, for the Naval and Marine
        Corps Reserve, $32,779,000.
            (3) For the Department of the Air Force--
                (A) for the Air National Guard of the United States,
            $188,505,000; and
                (B) for the Air Force Reserve, $52,805,000.
    SEC. 2602. AUTHORIZATION AND FUNDING FOR CONSTRUCTION AND IMPROVEMENT
    OF NAVAL RESERVE CENTERS.
        (a) Army Reserve Centers.--Using amounts appropriated under the
    heading ``Military Construction, Naval Reserve'' in the Military
    Construction Appropriations Act, 1995 (Public Law 103-307; 108 Stat.
    1661), for the construction of a Naval Reserve Center in Seattle,
    Washington, the Secretary of the Army may carry out a military
    construction project for the construction of an Army Reserve Center at
    Fort Lawton, Washington, in the total amount of $5,200,000, of which
    $700,000 may be used for program and design activities relating to such
    construction.
        (b) Naval Reserve Facilities.--Using amounts appropriated under the
    heading ``Military Construction, Naval Reserve'' in the Military
    Construction Appropriations Act, 1995 (Public Law 103-307; 108 Stat.
    1661), for the construction of a Naval Reserve Center in Seattle,
    Washington, the Secretary of the Navy may carry out--
            (1) a military construction project for the construction of an
        addition to the Naval Reserve Center in Tacoma, Washington, in the
        total amount of $4,200,000;
            (2) unspecified minor construction at Naval Reserve facilities
        in the total amount of $500,000; and
            (3) planning and design activities with respect to improvements
        at Naval Reserve facilities in the total amount of $500,000.
    SEC. 2603. UPGRADE AIR NATIONAL GUARD FACILITIES, BANGOR INTERNATIONAL
    AIRPORT, MAINE.
        (a) Project Authorized.--Using amounts appropriated pursuant to the
    authorization of appropriations in section 2601(3)(A) and amounts
    appropriated pursuant to authorizations of appropriations enacted after
    the date of the enactment of this Act, the Secretary of the Air Force
    may carry out a construction project to upgrade Air National Guard base
    and support facilities at Bangor International Airport, Maine. The
    Secretary may contract for architectural and engineering services and
    construction design services in connection with the construction
    project.
        (b) Limitation on Total Cost of Project.--The total cost of the
    construction project authorized by subsection (a) may not exceed
    $13,000,000.
        (c) Fiscal Year 1997 Funding.--Of the amount authorized to be
    appropriated in section 2601(3)(A), $7,000,000 shall be available to
    carry out the construction project authorized by subsection (a).

            TITLE XXVII--EXPIRATION AND EXTENSION OF AUTHORIZATIONS

    Sec. 2701. Expiration of authorizations and amounts required to be
              specified by law.
    Sec. 2702. Extension of authorizations of certain fiscal year 1994
              projects.
    Sec. 2703. Extension of authorizations of certain fiscal year 1993
              projects.
    Sec. 2704. Extension of authorizations of certain fiscal year 1992
              projects.
    Sec. 2705. Effective date.

    SEC. 2701. EXPIRATION OF AUTHORIZATIONS AND AMOUNTS REQUIRED TO BE
                  SPECIFIED BY LAW.

        (a) Expiration of Authorizations After Three Years.--Except as
    provided in subsection (b), all authorizations contained in titles XXI
    through XXVI for military construction projects, land acquisition,
    family housing projects and facilities, and contributions to the North
    Atlantic Treaty Organization Security Investment program (and
    authorizations of appropriations therefor) shall expire on the later
    of--
            (1) October 1, 1999; or
            (2) the date of the enactment of an Act authorizing funds for
        military construction for fiscal year 2000.
        (b) Exception.--Subsection (a) shall not apply to authorizations
    for military construction projects, land acquisition, family housing
    projects and facilities, and contributions to the North Atlantic Treaty
    Organization Security Investment program (and authorizations of
    appropriations therefor), for which appropriated funds have been
    obligated before the later of--
            (1) October 1, 1999; or
            (2) the date of the enactment of an Act authorizing funds for
        fiscal year 2000 for military construction projects, land
        acquisition, family housing projects and facilities, or
        contributions to the North Atlantic Treaty Organization Security
        Investment program.

    SEC. 2702. EXTENSION OF AUTHORIZATIONS OF CERTAIN FISCAL YEAR 1994
                  PROJECTS.

        (a) Extensions.--Notwithstanding section 2701 of the Military
    Construction Authorization Act for Fiscal Year 1994 (division B of
    Public Law 103-160; 107 Stat. 1880), authorizations for the projects
    set forth in the tables in subsection (b), as provided in section 2101,
    2102, 2201, 2301, or 2601 of that Act, shall remain in effect until
    October 1, 1997, or the date of the enactment of an Act authorizing
    funds for military construction for fiscal year 1998, whichever is
    later.
        (b) Tables.--The tables referred to in subsection (a) are as
    follows:

                                     Army: Extension of 1994 Project Authorizations
    ----------------------------------------------------------------------------------------------------------------
                      State                    Installation or location             Project               Amount
    ----------------------------------------------------------------------------------------------------------------
    New Jersey..............................  Picatinny Arsenal.........  Advance Warhead
                                                                           Development Facility.....      $4,400,000
    North Carolina..........................  Fort Bragg................  Land Acquisition..........     $15,000,000
    Wisconsin...............................  Fort McCoy................  Family Housing
                                                                           Construction (16 units)..      $2,950,000
    ----------------------------------------------------------------------------------------------------------------

                                     Navy: Extension of 1994 Project Authorizations
    ----------------------------------------------------------------------------------------------------------------
                State or location              Installation or location             Project               Amount
    ----------------------------------------------------------------------------------------------------------------
    California..............................  Camp Pendleton Marine
                                               Corps Base...............  Sewage Facility...........      $7,930,000
    Connecticut.............................  New London Naval Submarine
                                               Base.....................  Hazardous Waste Transfer
                                                                           Facility.................      $1,450,000
    New Jersey..............................  Earle Naval Weapons
                                               Station..................  Explosives Holding Yard...      $1,290,000
    Virginia................................  Oceana Naval Air Station..  Jet Engine Test Cell
                                                                           Replacement..............      $5,300,000
    Various Locations.......................  Various Locations.........  Land Acquisition Inside
                                                                           the United States........        $540,000
    Various Locations.......................  Various Locations.........  Land Acquisition Outside
                                                                           the United States........        $800,000
    ----------------------------------------------------------------------------------------------------------------

                                   Air Force: Extension of 1994 Project Authorizations
    ----------------------------------------------------------------------------------------------------------------
                      State                    Installation or location             Project               Amount
    ----------------------------------------------------------------------------------------------------------------
    Alaska..................................  Eielson Air Force Base....  Upgrade Water Treatment
                                                                           Plant....................      $3,750,000
                                              Elmendorf Air Force Base..  Corrosion Control Facility      $5,975,000
    California..............................  Beale Air Force Base......  Educational Center........      $3,150,000
    Florida.................................  Tyndall Air Force Base....  Base Supply Logistics
                                                                           Center...................      $2,600,000
    Mississippi.............................  Keesler Air Force Base....  Upgrade Student Dormitory.      $4,500,000
    North Carolina..........................  Pope Air Force Base.......  Add To and Alter
                                                                           Dormitories..............      $4,300,000
    Virginia................................  Langley Air Force Base....  Fire Station..............      $3,850,000
    ----------------------------------------------------------------------------------------------------------------

                              Army National Guard: Extension of 1994 Project Authorizations
    ----------------------------------------------------------------------------------------------------------------
                      State                    Installation or location             Project               Amount
    ----------------------------------------------------------------------------------------------------------------
    Alabama.................................  Birmingham................  Aviation Support Facility.      $4,907,000
    Arizona.................................  Marana....................  Organizational Maintenance
                                                                           Shop.....................        $553,000
                                              Marana....................  Dormitory/Dining Facility.      $2,919,000
    California..............................  Fresno....................  Organizational Maintenance
                                                                           Shop Modification........        $905,000
                                              Van Nuys..................  Armory Addition...........      $6,518,000
    New Mexico..............................  White Sands Missile Range.  Organizational Maintenance
                                                                           Shop.....................      $2,940,000
                                                                          Tactical Site.............      $1,995,000
                                                                          MATES.....................      $3,570,000
    Pennsylvania............................  Indiantown Gap............  State Military Building...      $9,200,000
                                              Johnstown.................  Armory Addition/Flight
                                                                           Facility.................      $5,004,000
                                              Johnstown.................  Armory....................      $3,000,000
    South Carolina..........................  Summerville...............  Organizational Maintenance
                                                                           Shop.....................        $834,000
    ----------------------------------------------------------------------------------------------------------------

    SEC. 2703. EXTENSION OF AUTHORIZATIONS OF CERTAIN FISCAL YEAR 1993
                  PROJECTS.

        (a) Extensions.--Notwithstanding section 2701 of the Military
    Construction Authorization Act for Fiscal Year 1993 (division B of
    Public Law 102-484; 106 Stat. 2602), authorizations for the projects
    set forth in the tables in subsection (b), as provided in section 2101,
    2301, or 1601 of that Act and extended by section 2702 of the Military
    Construction Authorization Act for Fiscal Year 1996 (division B of
    Public Law 104-106; 110 Stat. 541), shall remain in effect until
    October 1, 1997, or the date of the enactment of an Act authorizing
    funds for military construction for fiscal year 1998, whichever is
    later.
        (b) Tables.--The tables referred to in subsection (a) are as
    follows:

                                      Army: Extension of 1993 Project Authorization
    ----------------------------------------------------------------------------------------------------------------
                      State                    Installation or location             Project               Amount
    ----------------------------------------------------------------------------------------------------------------
    Arkansas................................  Pine Bluff Arsenal........  Ammunition
                                                                           Demilitarization Support
                                                                           Facility.................     $15,000,000
    ----------------------------------------------------------------------------------------------------------------

                                   Air Force: Extension of 1993 Project Authorization
    ----------------------------------------------------------------------------------------------------------------
                     Country                   Installation or location             Project               Amount
    ----------------------------------------------------------------------------------------------------------------
    Portugal................................  Lajes Field...............  Water Wells...............        $865,000
    ----------------------------------------------------------------------------------------------------------------

                              Army National Guard: Extension of 1993 Project Authorizations
    ----------------------------------------------------------------------------------------------------------------
                      State                    Installation or location             Project               Amount
    ----------------------------------------------------------------------------------------------------------------
    Alabama.................................  Tuscaloosa................  Armory....................      $2,273,000
                                              Union Springs.............  Armory....................        $813,000
    New Mexico..............................  Clayton...................  Armory....................      $1,400,000
    ----------------------------------------------------------------------------------------------------------------

    SEC. 2704. EXTENSION OF AUTHORIZATIONS OF CERTAIN FISCAL YEAR 1992
    PROJECTS.
        (a) Extensions.--Notwithstanding section 2701 of the Military
    Construction Authorization Act for Fiscal Year 1992 (division B of
    Public Law 102-190; 105 Stat. 1535), authorizations for the projects
    set forth in the table in subsection (b), as provided in section 2201
    of that Act and extended by section 2702(a) of the Military
    Construction Authorization Act for Fiscal Year 1995 (division B of
    Public Law 103-337; 108 Stat. 3047) and section 2703(a) of the Military
    Construction Authorization Act for Fiscal Year 1996 (division B of
    Public Law 104-106; 110 Stat. 543), shall remain in effect until
    October 1, 1997, or the date of the enactment of an Act authorizing
    funds for military construction for fiscal year 1998, whichever is
    later.
        (b) Table.--The table referred to in subsection (a) is as follows:

                                     Army: Extension of 1992 Project Authorizations
    ----------------------------------------------------------------------------------------------------------------
                      State                    Installation or location             Project               Amount
    ----------------------------------------------------------------------------------------------------------------
    Oregon..................................  Umatilla Army Depot.......  Ammunition
                                                                           Demilitarization Support
                                                                           Facility.................      $3,600,000
                                              Umatilla Army Depot.......  Ammunition
                                                                           Demilitarization
                                                                           Utilities................      $7,500,000
    ----------------------------------------------------------------------------------------------------------------

    SEC. 2705. EFFECTIVE DATE.

        Titles XXI, XXII, XXIII, XXIV, XXV, and XXVI shall take effect on
    the later of--
            (1) October 1, 1996; or
            (2) the date of the enactment of this Act.

                        TITLE XXVIII--GENERAL PROVISIONS

     Subtitle A--Military Construction Program and Military Family Housing
                                     Changes

    Sec. 2801. Increase in certain thresholds for unspecified minor
    construction projects.
    Sec. 2802. Redesignation of North Atlantic Treaty Organization
    Infrastructure program.
    Sec. 2803. Improvements to family housing units.
    Sec. 2804. Availability of funds for planning, execution, and
    administration of contracts for family housing and unaccompanied
    housing.

                Subtitle B--Defense Base Closure and Realignment

    Sec. 2811. Restoration of authority for certain intragovernment
    transfers under 1988 base closure law.
    Sec. 2812. Contracting for certain services at facilities remaining on
    closed installations.
    Sec. 2813. Authority to compensate owners of manufactured housing.
    Sec. 2814. Additional purpose for which adjustment and diversification
    assistance is authorized.
    Sec. 2815. Payment of stipulated penalties assessed under CERCLA in
    connection with Loring Air Force Base, Maine.
    Sec. 2816. Plan for utilization, reutilization, or disposal of
    Mississippi Army Ammunition Plant.

                          Subtitle C--Land Conveyances

                            Part I--Army Conveyances

    Sec. 2821. Transfer of lands, Arlington National Cemetery, Arlington,
    Virginia.
    Sec. 2822. Land transfer, Fort Sill, Oklahoma.
    Sec. 2823. Land conveyance, Army Reserve Center, Rushville, Indiana.
    Sec. 2824. Land conveyance, Army Reserve Center, Anderson, South
    Carolina.
    Sec. 2825. Land conveyance, Army Reserve Center, Montpelier, Vermont.
    Sec. 2826. Land conveyance, Crafts Brothers Reserve Training Center,
    Manchester, New Hampshire.
    Sec. 2827. Land conveyance, Pine Bluff Arsenal, Arkansas.
    Sec. 2828. Reaffirmation of land conveyances, Fort Sheridan, Illinois.

                            Part II--Navy Conveyances

    Sec. 2831. Land transfer, Potomac Annex, District of Columbia.
    Sec. 2832. Land exchange, St. Helena Annex, Norfolk Naval Shipyard,
    Virginia.
    Sec. 2833. Land conveyance, Calverton Pine Barrens, Naval Weapons
    Industrial Reserve Plant, Calverton, New York.
    Sec. 2834. Land conveyance, former naval reserve facility, Lewes,
    Delaware.
    Sec. 2835. Modification of land conveyance authority, Naval Reserve
    Center, Seattle, Washington.
    Sec. 2836. Release of condition on reconveyance of transferred land,
    Guam.
    Sec. 2837. Lease to facilitate construction of reserve center, Naval Air
    Station, Meridian, Mississippi.

                         Part III--Air Force Conveyances

    Sec. 2841. Land conveyance, Radar Bomb Scoring Site, Belle Fourche,
    South Dakota.
    Sec. 2842. Conveyance of primate research complex and Air Force-owned
    chimpanzees, Holloman Air Force Base, New Mexico.

                           Part IV--Other Conveyances

    Sec. 2851. Land conveyance, Tatum Salt Dome Test Site, Mississippi.
    Sec. 2852. Land conveyance, William Langer Jewel Bearing Plant, Rolla,
    North Dakota.
    Sec. 2853. Land conveyance, Air Force Plant No. 85, Columbus, Ohio.
    Sec. 2854. Modification of boundaries of White Sands National Monument
    and White Sands Missile Range.

                            Subtitle D--Other Matters

    Sec. 2861. Authority to grant easements for rights-of-way.
    Sec. 2862. Authority to enter into cooperative agreements for the
    management of cultural resources on military installations.
    Sec. 2863. Demonstration project for installation and operation of
    electric power distribution system at Youngstown Air Reserve Station,
    Ohio.
    Sec. 2864. Renovation of the Pentagon reservation.
    Sec. 2865. Plan for repairs and stabilization of the historic district
    at the Forest Glen Annex of Walter Reed Medical Center, Maryland.
    Sec. 2866. Naming of range at Camp Shelby, Mississippi.
    Sec. 2867. Designation of Michael O'Callaghan military hospital.
    Sec. 2868. Naming of building at the Uniformed Services University of
    the Health Sciences.

     Subtitle A--Military Construction Program and Military Family Housing
                                    Changes

    SEC. 2801. INCREASE IN CERTAIN THRESHOLDS FOR UNSPECIFIED MINOR
    CONSTRUCTION PROJECTS.
        (a) O&M Funding for Projects.--Section 2805(c)(1)(B) of title 10,
    United States Code, is amended by striking out ``$300,000'' and
    inserting in lieu thereof ``$500,000''.
        (b) O&M Funding for Reserve Component Facilities.--Subsection (b)
    of section 18233a of such title is amended by striking out ``$300,000''
    and inserting in lieu thereof ``$500,000''.
        (c) Notification for Expenditures and Contributions for Reserve
    Component Facilities.--Subsection (a)(1) of such section 18233a is
    amended by striking out ``$400,000'' and inserting in lieu thereof
    ``$1,500,000''.
    SEC. 2802. REDESIGNATION OF NORTH ATLANTIC TREATY ORGANIZATION
    INFRASTRUCTURE PROGRAM.
        (a) Redesignation.--Subsection (b) of section 2806 of title 10,
    United States Code, is amended by striking out ``North Atlantic Treaty
    Organization Infrastructure program'' and inserting in lieu thereof
    ``North Atlantic Treaty Organization Security Investment program''.
        (b) References.--Any reference to the North Atlantic Treaty
    Organization Infrastructure program in any Federal law, Executive
    order, regulation, delegation of authority, or document of or
    pertaining to the Department of Defense shall be deemed to refer to the
    North Atlantic Treaty Organization Security Investment program.
        (c) Clerical Amendments.--(1) The section heading of such section
    is amended to read as follows:
    ``Sec. 2806. Contributions for North Atlantic Treaty Organizations
        Security Investment''.
        (2) The table of sections at the beginning of subchapter I of
    chapter 169 of title 10, United States Code, is amended by striking out
    the item relating to section 2806 and inserting in lieu thereof the
    following new item:

    ``2806. Contributions for North Atlantic Treaty Organizations Security
    Investment.''.

        (d) Conforming Amendments.--(1) Section 2861(b)(3) of title 10,
    United States Code, is amended by striking out ``North Atlantic Treaty
    Organization Infrastructure program'' and inserting in lieu thereof
    ``North Atlantic Treaty Organization Security Investment program''.
        (2) Section 21(h)(1)(B) of the Arms Export Control Act (22 U.S.C.
    2761(h)(1)(B)) is amended by striking out ``North Atlantic Treaty
    Organization Infrastructure Program'' and inserting in lieu thereof
    ``North Atlantic Treaty Organization Security Investment program''.

    SEC. 2803. IMPROVEMENTS TO FAMILY HOUSING UNITS.

        (a) Authorized Improvements.--Subsection (a)(2) of section 2825 of
    title 10, United States Code, is amended--
            (1) by inserting ``major'' before ``maintenance''; and
            (2) by adding at the end the following: ``Such term does not
        include day-to-day maintenance and repair work.''.
        (b) Limitation.--Subsection (b) of such section is amended by
    striking out paragraph (2) and inserting in lieu thereof the following
    new paragraph:
        ``(2) In determining the applicability of the limitation contained
    in paragraph (1), the Secretary concerned shall include as part of the
    cost of the improvement of the unit or units concerned the following:
            ``(A) The cost of major maintenance or repair work undertaken
        in connection with the improvement.
            ``(B) Any cost, other than the cost of activities undertaken
        beyond a distance of five feet from the unit or units concerned, in
        connection with--
                ``(i) the furnishing of electricity, gas, water, and sewage
            disposal;
                ``(ii) the construction or repair of roads, drives, and
            walks; and
                ``(iii) grading and drainage work.''.
    SEC. 2804. AVAILABILITY OF FUNDS FOR PLANNING, EXECUTION, AND
    ADMINISTRATION OF CONTRACTS FOR FAMILY HOUSING AND UNACCOMPANIED
    HOUSING.
        (a) Contracts for Family Housing.--Paragraph (1) of section 2883(d)
    of title 10, United States Code, is amended by adding at the end the
    following: ``The Secretary may also use for expenses of activities
    required in connection with the planning, execution, and administration
    of such contracts funds that are otherwise available to the Department
    of Defense for such types of expenses.''.
        (b) Contracts for Unaccompanied Housing.--Paragraph (2) of such
    section is amended by adding at the end the following: ``The Secretary
    may also use for expenses of activities required in connection with the
    planning, execution, and administration of such contracts funds that
    are otherwise available to the Department of Defense for such types of
    expenses.''.

                Subtitle B--Defense Base Closure and Realignment

    SEC. 2811. RESTORATION OF AUTHORITY FOR CERTAIN INTRA- GOVERNMENT
    TRANSFERS UNDER 1988 BASE CLOSURE LAW.
        Section 204(b)(2) of the Defense Authorization Amendments and Base
    Closure and Realignment Act (Public Law 100-526; 10 U.S.C. 2687 note),
    is amended--
            (1) by redesignating subparagraphs (D) and (E) as subparagraphs
        (E) and (F), respectively; and
            (2) by inserting after subparagraph (C) the following new
        subparagraph (D):
        ``(D) The Secretary of Defense may transfer real property or
    facilities located at a military installation to be closed or realigned
    under this title, with or without reimbursement, to a military
    department or other entity (including a nonappropriated fund
    instrumentality) within the Department of Defense or the Coast
    Guard.''.
    SEC. 2812. CONTRACTING FOR CERTAIN SERVICES AT FACILITIES REMAINING ON
    CLOSED INSTALLATIONS.
        (a) 1988 Law.--Section 204(b)(8)(A) of the Defense Authorization
    Amendments and Base Closure and Realignment Act (Public Law 100-526; 10
    U.S.C. 2687 note) is amended by inserting ``, or at facilities not yet
    transferred or otherwise disposed of in the case of installations
    closed under this title,'' after ``under this title''.
        (b) 1990 Law.--Section 2905(b)(8)(A) of the Defense Base Closure
    and Realignment Act of 1990 (part A of title XXIX of Public Law 101-
    510; 10 U.S.C. 2687 note) is amended by inserting ``, or at facilities
    not yet transferred or otherwise disposed of in the case of
    installations closed under this part,'' after ``under this part''.
    SEC. 2813. AUTHORITY TO COMPENSATE OWNERS OF MANUFACTURED HOUSING.
        (a) 1988 Law.--Section 204 of the Defense Authorization Amendments
    and Base Closure and Realignment Act (PublicLaw 100-526; 10 U.S.C. 2687
    note), is amended by adding at the end the following new subsection:
        ``(f) Acquisition of Manufactured Housing.--(1) In closing or
    realigning any military installation under this title, the Secretary
    may purchase any or all right, title, and interest of a member of the
    Armed Forces and any spouse of the member in manufactured housing
    located at a manufactured housing park established at an installation
    closed or realigned under this title, or make a payment to the member
    to relocate the manufactured housing to a suitable new site, if the
    Secretary determines that--
            ``(A) it is in the best interests of the Federal Government to
        eliminate or relocate the manufactured housing park; and
            ``(B) the elimination or relocation of the manufactured housing
        park would result in an unreasonable financial hardship to the
        owners of the manufactured housing.
        ``(2) Any payment made under this subsection shall not exceed 90
    percent of the purchase price of the manufactured housing, as paid by
    the member or any spouse of the member, plus the cost of any permanent
    improvements subsequently made to the manufactured housing by the
    member or spouse of the member.
        ``(3) The Secretary shall dispose of manufactured housing acquired
    under this subsection through resale, donation, trade or otherwise
    within one year of acquisition.''.
        (b) 1990 Law.--Section 2905 of the Defense Base Closure and
    Realignment Act of 1990 (part A of title XXIX of Public Law 101-510; 10
    U.S.C. 2687 note), is amended by adding at the end the following new
    subsection:
        ``(g) Acquisition of Manufactured Housing.--(1) In closing or
    realigning any military installation under this part, the Secretary may
    purchase any or all right, title, and interest of a member of the Armed
    Forces and any spouse of the member in manufactured housing located at
    a manufactured housing park established at an installation closed or
    realigned under this part, or make a payment to the member to relocate
    the manufactured housing to a suitable new site, if the Secretary
    determines that--
            ``(A) it is in the best interests of the Federal Government to
        eliminate or relocate the manufactured housing park; and
            ``(B) the elimination or relocation of the manufactured housing
        park would result in an unreasonable financial hardship to the
        owners of the manufactured housing.
        ``(2) Any payment made under this subsection shall not exceed 90
    percent of the purchase price of the manufactured housing, as paid by
    the member or any spouse of the member, plus the cost of any permanent
    improvements subsequently made to the manufactured housing by the
    member or spouse of the member.
        ``(3) The Secretary shall dispose of manufactured housing acquired
    under this subsection through resale, donation, trade or otherwise
    within one year of acquisition.''.
    SEC. 2814. ADDITIONAL PURPOSE FOR WHICH ADJUSTMENT AND DIVERSIFICATION
    ASSISTANCE IS AUTHORIZED.
        Section 2391(b)(5) of title 10, United States Code, is amended--
            (1) by inserting ``(A)'' after ``(5)''; and
            (2) by adding at the end the following new subparagraph:
        ``(B) The Secretary of Defense may also make grants, conclude
    cooperative agreements, and supplement other Federal funds in order to
    assist a State in enhancing its capacities--
            ``(i) to assist communities, businesses, and workers adversely
        affected by an action described in paragraph (1);
            ``(ii) to support local adjustment and diversification
        initiatives; and
            ``(iii) to stimulate cooperation between statewide and local
        adjustment and diversification efforts.''.
    SEC. 2815. PAYMENT OF STIPULATED PENALTIES ASSESSED UNDER CERCLA IN
    CONNECTION WITH LORING AIR FORCE BASE, MAINE.
        From amounts in the Department of Defense Base Closure Account 1990
    established by section 2906(a)(1) of the Defense Base Closure and
    Realignment Act of 1990 (part A of title XXIX of Public Law 101-510; 10
    U.S.C. 2687 note), the Secretary of Defense may expend not more than
    $50,000 to pay stipulated civil penalties assessed under the
    Comprehensive Environmental Response, Compensation, and Liability Act
    of 1980 (42 U.S.C. 9601 et seq.) against Loring Air Force Base, Maine.
    SEC. 2816. PLAN FOR UTILIZATION, REUTILIZATION, OR DISPOSAL OF
    MISSISSIPPI ARMY AMMUNITION PLANT.
        Not later than 180 days after the date of the enactment of this
    Act, the Secretary of the Army shall submit to the congressional
    defense committees a plan for the utilization, reutilization, or
    disposal of the Mississippi Army Ammunition Plant, Hancock County,
    Mississippi.

                          Subtitle C--Land Conveyances

                            PART I--ARMY CONVEYANCES

    SEC. 2821. TRANSFER OF LANDS, ARLINGTON NATIONAL CEMETERY, ARLINGTON,
    VIRGINIA.
        (a) Requirement for Secretary of Interior To Transfer Certain
    Section  29 Lands.--(1) Subject to paragraph (2), the Secretary of the
    Interior shall transfer to the Secretary of the Army administrative
    jurisdiction over the following lands located in section 29 of the
    National Park System at Arlington National Cemetery, Virginia:
            (A) The lands known as the Arlington National Cemetery
        Interment Zone.
            (B) All lands in the Robert E. Lee Memorial Preservation Zone,
        other than those lands in the Preservation Zone that the Secretary
        of the Interior determines must be retained because of the
        historical significance of such lands or for the maintenance of
        nearby lands or facilities.
        (2)(A) The Secretary of the Interior may not make the transfer
    referred to in paragraph (1)(B) until 60 days after the date on which
    the Secretary submits to the Committee on Armed Services of the Senate
    and the Committee on National Security of the House of
    Representatives--
            (i) a summary of the document entitled ``Cultural Landscape and
        Archaeological Study, Section 29, Arlington House, The Robert E.
        Lee Memorial'';
            (ii) a summary of any environmental analysis required with
        respect to the transfer under the National Environmental Policy Act
        of 1969 (42 U.S.C. 4321 et seq.);
            (iii) an accounting of the effect of the transfer that
        satisfies the requirements of section 106 of the National Historic
        Preservation Act (16 U.S.C. 470f); and
            (iv) the proposal of the Secretary and the Secretary of the
        Army setting forth the lands to be transferred and the general
        manner in which the Secretary of the Army will develop such lands
        after transfer.
        (B) The Secretary of the Interior shall submit the information
    required under subparagraph (A) not later than October 31, 1997.
        (3) The transfer of lands under paragraph (1) shall be carried out
    in accordance with the Interagency Agreement Between the Department of
    the Interior, the National Park Service, and the Department of the
    Army, dated February 22, 1995.
        (4) The exact acreage and legal descriptions of the lands to be
    transferred under paragraph (1) shall be determined by surveys
    satisfactory to the Secretary of the Interior and the Secretary of the
    Army.
        (b) Requirement for Additional Transfers.--(1) The Secretary of the
    Interior shall transfer to the Secretary of the Army administrative
    jurisdiction over a parcel of land, including any improvements thereon,
    consisting of approximately 2.43 acres, located in the Memorial Drive
    entrance area to Arlington National Cemetery.
        (2)(A) The Secretary of the Army shall transfer to the Secretary of
    the Interior administrative jurisdiction over a parcel of land,
    including any improvements thereon, consisting of approximately 0.17
    acres, located at Arlington National Cemetery, and known as the Old
    Administrative Building site. The site is part of the original
    reservation of Arlington National Cemetery.
        (B) In connection with the transfer under subparagraph (A), the
    Secretary of the Army shall grant to the Secretary of the Interior a
    perpetual right of ingress and egress to the parcel transferred under
    that subparagraph.
        (3) The exact acreage and legal descriptions of the lands to be
    transferred pursuant to this subsection shall be determined by surveys
    satisfactory to the Secretary of the Interior and the Secretary of the
    Army. The costs of such surveys shall be borne by the Secretary of the
    Army.

    SEC. 2822. LAND TRANSFER, FORT SILL, OKLAHOMA.

        (a) Transfer of Land for National Cemetery.--The Secretary of the
    Army may transfer, without reimbursement, tothe administrative
    jurisdiction of the Secretary of Veterans Affairs a parcel of real
    property, including any improvements thereon, consisting of
    approximately 400 acres and comprising a portion of Fort Sill,
    Oklahoma.
        (b) Use of Property.--The Secretary of Veterans Affairs shall use
    the real property transferred under subsection (a) as a national
    cemetery under chapter 24 of title 38, United States Code.
        (c) Return of Unused Portion.--If the Secretary of Veterans Affairs
    determines that any portion of the real property transferred under
    subsection (a) is not needed for use as a national cemetery, the
    Secretary shall return such portion to the administrative jurisdiction
    of the Secretary of the Army.
        (d) Legal Description.--The exact acreage and legal description of
    the real property to be transferred under this section shall be
    determined by a survey satisfactory to the Secretary of the Army. The
    cost of the survey shall be borne by the Secretary of Veterans Affairs.
    SEC. 2823. LAND CONVEYANCE, ARMY RESERVE CENTER, RUSHVILLE, INDIANA.
        (a) Conveyance Authorized.--The Secretary of the Army may convey,
    without consideration, to the City of Rushville, Indiana (in this
    section referred to as the ``City''), all right, title, and interest of
    the United States in and to a parcel of excess real property, including
    improvements thereon, that is located in Rushville, Indiana, and
    contains the Rushville Army Reserve Center.
        (b) Condition of Conveyance.--The conveyance authorized under
    subsection (a) shall be subject to the condition that the City retain
    the conveyed property for the use and benefit of the Rushville Police
    Department.
        (c) Description of Property.--The exact acreage and legal
    description of the real property to be conveyed under subsection (a)
    shall be determined by a survey satisfactory to the Secretary. The cost
    of the survey shall be borne by the City.
        (d) Additional Terms and Conditions.--The Secretary may require
    such additional terms and conditions in connection with the conveyance
    under subsection (a) as the Secretary considers appropriate to protect
    the interests of the United States.
    SEC. 2824. LAND CONVEYANCE, ARMY RESERVE CENTER, ANDERSON, SOUTH
    CAROLINA.
        (a) Conveyance Authorized.--The Secretary of the Army may convey,
    without consideration, to the County of Anderson, South Carolina (in
    this section referred to as the ``County''), all right, title, and
    interest of the United States in and to a parcel of real property,
    including improvements thereon, that is located at 805 East Whitner
    Street in Anderson, South Carolina, and contains an Army Reserve
    Center.
        (b) Condition of Conveyance.--The conveyance authorized under
    subsection (a) shall be subject to the condition that the County retain
    the conveyed property for the use and benefit of the Anderson County
    Department of Education.
        (c) Description of Property.--The exact acreage and legal
    description of the real property to be conveyed under subsection (a)
    shall be determined by a survey satisfactory to the Secretary. The cost
    of the survey shall be borne by the County.
        (d) Additional Terms and Conditions.--The Secretary may require
    such additional terms and conditions in connection with the conveyance
    under subsection (a) as the Secretary considers appropriate to protect
    the interests of the United States.
    SEC. 2825. LAND CONVEYANCE, ARMY RESERVE CENTER, MONTPELIER, VERMONT.
        (a) Conveyance Authorized.--The Secretary of the Army may convey,
    without consideration, to the City of Montpelier, Vermont (in this
    section referred to as the ``City''), all right, title, and interest of
    the United States in and to a parcel of real property, including
    improvements thereon, consisting of approximately 4.3 acres and located
    on Route 2 in Montpelier, Vermont, the site of the Army Reserve Center,
    Montpelier, Vermont.
        (b) Condition.--The conveyance authorized under subsection (a)
    shall be subject to the condition that the City agree to lease to the
    Civil Air Patrol, at no rental charge to the Civil Air Patrol, the
    portion of the real property and improvements located on the parcel to
    be conveyed that the Civil Air Patrol leases from the Secretary as of
    the date of the enactment of this Act.
        (c) Description of Property.--The exact acreage and legal
    description of the real property to be conveyed under subsection (a)
    shall be determined by a survey satisfactory to the Secretary. The cost
    of the survey shall be borne by the City.
        (d) Additional Terms and Conditions.--The Secretary may require
    such additional terms and conditions in connection with the conveyance
    under this section as the Secretary considers appropriate to protect
    the interests of the United States.
    SEC. 2826. LAND CONVEYANCE, CRAFTS BROTHERS RESERVE TRAINING CENTER,
    MANCHESTER, NEW HAMPSHIRE.
        (a) Conveyance Authorized.--The Secretary of the Army may convey,
    without consideration, to Saint Anselm College, Manchester, New
    Hampshire, all right, title, and interest of the United States in and
    to a parcel of real property, including improvements thereon,
    consisting of approximately 3.5 acres and located on Rockland Avenue in
    Manchester, New Hampshire, the site of the Crafts Brothers Reserve
    Training Center.
        (b) Requirement Relating to Conveyance.--The Secretary may not make
    the conveyance authorized by subsection (a) until the Army Reserve
    units currently housed at the Crafts Brothers Reserve Training Center
    are relocated to the Joint Service Reserve Center to be constructed at
    the Manchester Airport, New Hampshire.
        (c) Requirement for Federal Screening of Property.--The Secretary
    may not carry out the conveyance of property authorized by subsection
    (a) unless the Secretary determines that no department or agency of the
    Federal Government will accept the transfer of the property.
        (d) Description of Property.--The exact acreage and legal
    description of the real property to be conveyed under subsection (a)
    shall be determined by a survey satisfactory to the Secretary.
        (e) Additional Terms and Conditions.--The Secretary may require
    such additional terms and conditions in connection with the conveyance
    under this section as the Secretary considers appropriate to protect
    the interests of the United States.
    SEC. 2827. LAND CONVEYANCE, PINE BLUFF ARSENAL, ARKANSAS.
        (a) Conveyance Authorized.--The Secretary of the Army may convey,
    without consideration, to the Economic Development Alliance of
    Jefferson County, Arkansas (in this section referred to as the
    ``Alliance''), all right, title, and interest of the United States in
    and to a parcel of real property, together with any improvements
    thereon, consisting of approximately 1,500 acres and comprising a
    portion of the Pine Bluff Arsenal, Arkansas.
        (b) Requirements Relating to Conveyance.--The Secretary may not
    carry out the conveyance of property authorized under subsection (a)
    until--
            (1) the completion by the Secretary of any environmental
        restoration and remediation that is required with respect to the
        property under applicable law;
            (2) the Secretary secures all permits required under law
        applicable regarding the conduct of the proposed chemical
        demilitarization mission at the arsenal; and
            (3) the Secretary of Defense submits to the Committee on Armed
        Services of the Senate and the Committee on National Security of
        the House of Representatives a certification that the conveyance
        will not adversely affect the ability of the Department of Defense
        to conduct that chemical demilitarization mission.
        (c) Conditions of Conveyance.--The conveyance authorized under
    subsection (a) shall be subject to the following conditions:
            (1) That the Alliance agree not to carry out any activities on
        the property to be conveyed that interfere with the construction,
        operation, and decommissioning of the chemical demilitarization
        facility to be constructed at Pine Bluff Arsenal. If the Alliance
        fails to comply with its agreement in paragraph (1) the property
        conveyed under this section, all rights, title, and interest in and
        to the property shall revert to the United States, and the United
        States shall have immediate rights of entry thereon.
            (2) That the property be used during the 25-year period
        beginning on the date of the conveyance only as the site of the
        facility known as the ``Bioplex'', and for activities related
        thereto.
        (d) Costs of Conveyance.--The Alliance shall be responsible for any
    costs of the Army associated with the conveyance of property under this
    section, including administrative costs, the costs of an environmental
    baseline survey with respect to the property, and the cost of any
    protection services required by the Secretary in order to secure
    operations of the chemical demilitarization facility from activities on
    the property after the conveyance.
        (e) Reversionary Interests.--If the Secretary determines at any
    time during the 25-year period referred to in subsection (c)(2) that
    the property conveyed under this section is not being used in
    accordance with that subsection, all right, title, and interest in and
    to the property shall revert to the United States, and the United
    States shall have immediate right of entry thereon.
        (f) Sale of Property by Alliance.--If at any time during the 25-
    year period referred to in subsection (c)(2) the Alliance sells all or
    a portion of the property conveyed under this section, the Alliance
    shall pay the United States an amount equal to the lesser of--
            (1) the amount of the sale of the property sold; or
            (2) the fair market value of the property sold at the time of
        the sale, excluding the value of any improvements to the property
        sold that have been made by the Alliance.
        (g) Description of Property.--The exact acreage and legal
    description of the property conveyed under this section shall be
    determined by a survey satisfactory to the Secretary. The cost of the
    survey shall be borne by the Alliance.
        (h) Additional Terms and Conditions.--The Secretary may require
    such additional terms and conditions in connection with conveyance
    under this section as the Secretary considers appropriate to protect
    the interests of the United States.
    SEC. 2828. REAFFIRMATION OF LAND CONVEYANCES, FORT SHERIDAN, ILLINOIS.
        As soon as practicable after the date of the enactment of this Act,
    the Secretary of the Army shall complete the land conveyances involving
    Fort Sheridan, Illinois, required or authorized under section 125 of
    the Military Construction Appropriations Act, 1996 (Public Law 104-32;
    109 Stat. 290).

                           PART II--NAVY CONVEYANCES

    SEC. 2831. LAND TRANSFER, POTOMAC ANNEX, DISTRICT OF COLUMBIA.
        (a) Transfer Authorized.--The Secretary of the Navy may transfer,
    without consideration other than the reimbursement provided for in
    subsection (d), to the United States Institute of Peace (in this
    section referred to as the ``Institute'') administrative jurisdiction
    over a parcel of real property, including any improvements thereon,
    consisting of approximately 3 acres, at the northwest corner of Twenty-
    third Street and Constitution Avenue, Northwest, District of Columbia,
    the site of the Potomac Annex.
        (b) Condition.--The Secretary may not make the transfer specified
    in subsection (a) unless the Institute agrees to provide the Navy a
    number of parking spaces at or in the vicinity of the headquarters to
    be constructed on the parcel transferred equal to the number of parking
    spaces available to the Navy on the parcel as of the date of the
    transfer.
        (c) Requirement Relating to Transfer.--The transfer specified in
    subsection (a) may not occur until the Institute obtains all permits,
    approvals, and site plan reviews required by law with respect to the
    construction on the parcel of a headquarters for operations of the
    Institute.
        (d) Costs.--The Institute shall reimburse the Secretary for the
    costs incurred by the Secretary in carrying out the transfer specified
    in subsection (a).
        (e) Description of Property.--The exact acreage and legal
    description of the property to be transferred under subsection (a)
    shall be determined by a survey that is satisfactory to the Secretary.
    The cost of the survey shall be borne by the Institute.
    SEC. 2832. LAND EXCHANGE, ST. HELENA ANNEX, NORFOLK NAVAL SHIPYARD,
    VIRGINIA.
        (a) Conveyance Authorized.--(1) The Secretary of the Navy may
    convey to such private person as the Secretary considers appropriate
    (in this section referred to as the ``transferee'') all right, title,
    and interest of the United States in and to a parcel of real property
    that is located at the Norfolk Naval Shipyard, Virginia, and, as of the
    date of the enactment of this Act, is a portion of the property leased
    to the Norfolk Shipbuilding and Drydock Company pursuant to the
    Department of the Navy lease N00024-84-L-0004, effective October 1,
    1984, as extended.
        (2) Pending completion of the conveyance authorized by paragraph
    (1), the Secretary may lease the real property to the transferee upon
    such terms as the Secretary considers appropriate.
        (b) Consideration.--As consideration for the conveyance under
    subsection (a), including any interim lease authorized by such
    subsection, the transferee shall--
            (1) convey to the United States all right, title, and interest
        to a parcel or parcels of real property, together with any
        improvements thereon, located in the area of Portsmouth, Virginia,
        which are determined to be acceptable to the Secretary; and
            (2) pay to the Secretary an amount equal to the amount, if any,
        by which the fair market value of the parcel conveyed by the
        Secretary under subsection (a) exceeds the fair market value of the
        parcel conveyed to the United States under paragraph (1).
        (c) Use of Rental Amounts.--The Secretary may use the amounts
    received as rent from any lease entered into under the authority of
    subsection (a)(2) to fund environmental studies of the parcels of real
    property to be conveyed under this section.
        (d) In-Kind Consideration.--The Secretary and the transferee may
    agree that, in lieu of all or any part of the consideration required by
    subsection (b)(2), the transferee may provide and the Secretary may
    accept the improvement, maintenance, protection, repair, or restoration
    of real property under the control of the Secretary in the area of
    Hampton Roads, Virginia.
        (e) Determination of Fair Market Value and Property Description.--
    The Secretary shall determine the fair market value of the parcels of
    real property to be conveyed under subsections (a) and (b)(1). The
    exact acreage and legal description of the parcels shall be determined
    by a survey satisfactory to the Secretary. The cost of the survey shall
    be borne by the transferee.
        (f) Additional Terms and Conditions.--The Secretary may require
    such additional terms and conditions in connection with the conveyances
    under this section as the Secretary considers appropriate to protect
    the interests of the United States.
    SEC. 2833. LAND CONVEYANCE, CALVERTON PINE BARRENS, NAVAL WEAPONS
    INDUSTRIAL RESERVE PLANT, CALVERTON, NEW YORK.
        (a) Conveyance Authorized.--The Secretary of the Navy may convey,
    without consideration, to the Department of Environmental Conservation
    of the State of New York (in this section referred to as the
    ``Department''), all right, title, and interest of the United States in
    and to the Calverton Pine Barrens located at the Naval Weapons
    Industrial Reserve Plant, Calverton, New York.
        (b) Effect on Other Conveyance Authority.--The conveyance
    authorized by this subsection shall not affect the transfer of
    jurisdiction of a portion of the Calverton Pine Barrens authorized by
    section 2865 of the Military Construction Authorization Act for Fiscal
    Year 1996 (division B of Public Law 104-106; 110 Stat. 576).
        (c) Condition of Conveyance.--The conveyance under subsection (a)
    shall be subject to the condition that the Department agrees--
            (1) to maintain the conveyed property as a nature preserve, as
        required by section 2854 of the Military Construction Authorization
        Act for Fiscal Year 1993 (division B of Public Law 102-484; 106
        Stat. 2626), as amended by section 2823 of the Military
        Construction Authorization Act for Fiscal Year 1995 (division B of
        Public Law 103-337; 108 Stat. 3058);
            (2) to designate the conveyed property as the ``Otis G. Pike
        Preserve''; and
            (3) to continue to allow the level of sporting activities on
        the conveyed property as permitted at the time of the conveyance.
        (d) Description of Property.--The exact acreage and legal
    description of the real property to be conveyed under subsection (a)
    shall be determined by a survey satisfactory to the Secretary. The cost
    of the survey shall be borne by the Department.
        (e) Additional Terms and Conditions.--The Secretary may require
    such additional terms and conditions in connection with the conveyance
    under subsection (a) as the Secretary considers appropriate to protect
    the interests of the United States.
        (f) Calverton Pine Barrens Defined.--In this section, the term
    ``Calverton Pine Barrens'' has the meaning given that term in section
    2854(d)(1) of the Military Construction Authorization Act for Fiscal
    Year 1993 (division B of Public Law 102-484; 106 Stat. 2626).
    SEC. 2834. LAND CONVEYANCE, FORMER NAVAL RESERVE FACILITY, LEWES,
    DELAWARE.
        (a) Conveyance Authorized.--The Secretary of the Navy may convey,
    without consideration, to the State of Delaware (in this section
    referred to as the ``State''), all right, title, and interest of the
    United States in and to a parcel of real property, including any
    improvements thereon, consisting of approximately 16.8 acres at the
    site of the former Naval Reserve Facility, Lewes, Delaware.
        (b) Condition of Conveyance.--The conveyance under subsection (a)
    shall be subject to the condition that the State use the real property
    conveyed under that subsection in perpetuity solely for public park or
    recreational purposes.
        (c) Reversion.--If the Secretary of the Navy determines at any time
    that the real property conveyed pursuant to this section is not being
    used for a purpose specified in subsection (b), all right, title, and
    interest in and to such real property, including any improvements
    thereon, shall revert to the United States, and the United States shall
    have the right of immediate entry thereon.
        (d) Description of Property.--The exact acreage and legal
    description of the real property to be conveyed pursuant to this
    section shall be determined by a survey satisfactory to the Secretary
    of the Navy. The cost of such survey shall be borne by the State.
        (e) Additional Terms and Conditions.--The Secretary of the Navy may
    require such additional terms and conditions in connection with the
    conveyance under this section as the Secretary considers appropriate to
    protect the interests of the United States.
    SEC. 2835. MODIFICATION OF LAND CONVEYANCE AUTHORITY, NAVAL RESERVE
    CENTER, SEATTLE, WASHINGTON.
        Paragraph (2) of section 127(d) of the Military Construction
    Appropriations Act, 1995 (Public Law 103-307; 108 Stat. 1666), is
    amended to read as follows:
        ``(2) Before commencing construction of a facility to be the
    replacement facility for the Naval Reserve Center under paragraph (1),
    the Secretary shall comply with the requirements of the National
    Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.) with respect
    to such facility.''.
    SEC. 2836. RELEASE OF CONDITION ON RECONVEYANCE OF TRANSFERRED LAND,
    GUAM.
        (a) In General.--Section 818(b)(2) of the Military Construction
    Authorization Act, 1981 (Public Law 96-418; 94 Stat. 1782), relating to
    a condition on disposal by Guam of lands conveyed to Guam by the United
    States, shall have no force or effect and is repealed.
        (b) Execution of Instruments.--The Secretary of the Navy and the
    Administrator of General Services shall execute all instruments
    necessary to implement this section.
    SEC. 2837. LEASE TO FACILITATE CONSTRUCTION OF RESERVE CENTER, NAVAL
    AIR STATION, MERIDIAN, MISSISSIPPI.
        (a) Lease of Property for Construction of Reserve Center.--(1) The
    Secretary of the Navy may lease, without reimbursement, to the State of
    Mississippi (in this section referred to as the ``State''),
    approximately five acres of real property located at Naval Air Station,
    Meridian, Mississippi. The State shall use the property to construct a
    reserve center of approximately 22,000 square feet and ancillary
    supporting facilities.
        (2) The term of the lease under this subsection shall expire on the
    same date that the lease authorized by subsection (b) expires.
        (b) Leaseback of Reserve Center.--(1) The Secretary may lease from
    the State the property and improvements constructed pursuant to
    subsection (a) for a five-year period. The term of the lease shall
    begin on the date on which the improvements are available for
    occupancy, as determined by the Secretary.
        (2) Rental payments under the lease under paragraph (1) may not
    exceed $200,000 per year, and the total amount of the rental payments
    for the entire period may not exceed 20 percent of the total cost of
    constructing the reserve center and ancillary supporting facilities.
        (3) Subject to the availability of appropriations for this purpose,
    the Secretary may use funds appropriated pursuant to an authorization
    of appropriations for the operation and maintenance of the Naval
    Reserve to make rental payments required under this subsection.
        (c) Effect of Termination of Leases.--At the end of the lease term
    under subsection (b), the State shall convey, without reimbursement, to
    the United States all right, title, and interest of the State in the
    reserve center and ancillary supporting facilities subject to the
    lease.
        (d) Additional Terms and Conditions.--The Secretary may require
    such additional terms and conditions in connection with the leases
    under this section as the Secretary considers appropriate to protect
    the interests of the United States.

                        PART III--AIR FORCE CONVEYANCES

    SEC. 2841. LAND CONVEYANCE, RADAR BOMB SCORING SITE, BELLE FOURCHE,
    SOUTH DAKOTA.
        (a) Conveyance Authorized.--The Secretary of the Air Force may
    convey, without consideration, to the Belle Fourche School District,
    Belle Fourche, South Dakota (in this section referred to as the
    ``District''), all right, title, and interest of the United States in
    and to a parcel of real property, together with any improvements
    thereon, consisting of approximately 37 acres located in Belle Fourche,
    South Dakota, which has served as the location of a support complex and
    housing facilities for Detachment 21 of the 554th Range Squadron, an
    Air Force Radar Bomb Scoring Site located in Belle Fourche, South
    Dakota. The conveyance may not include any portion of the radar bomb
    scoring site located in the State of Wyoming.
        (b) Condition of Conveyance.--The conveyance authorized under
    subsection (a) shall be subject to the condition that the District--
            (1) use the property and facilities conveyed under such
        subsection for education, economic development, and housing
        purposes; or
            (2) enter into an agreement with an appropriate public or
        private entity to sell or lease the property and facilities to such
        entity for such purposes.
        (c) Description of Property.--The exact acreage and legal
    description of the property conveyed under this section shall be
    determined by a survey satisfactory to the Secretary. The cost of the
    survey shall be borne by the District.
        (d) Additional Terms and Conditions.--The Secretary may require
    such additional terms and conditions in connection with the conveyance
    under this section as the Secretary considers appropriate to protect
    the interests of the United States.
    SEC. 2842. CONVEYANCE OF PRIMATE RESEARCH COMPLEX AND AIR FORCE-OWNED
    CHIMPANZEES, HOLLOMAN AIR FORCE BASE, NEW MEXICO.
        (a) Disposal Authorized.--Notwithstanding any provision of the
    Federal Property and Administrative Services Act of 1949 (40 U.S.C. 471
    et seq.), or any regulations prescribed thereunder, the Secretary of
    the Air Force may dispose of all right, title, and interest of the
    United States in and to the primate research complex at Holloman Air
    Force Base, New Mexico. The disposal may include the chimpanzees owned
    by the Air Force that are housed at or managed from the primate
    research complex. The disposal shall not include the underlying real
    property on which the primate research complex is located. The disposal
    of the primate research complex shall be at no cost to the Air Force.
        (b) Competitive, Negotiated Disposal Process Required.--The
    Secretary shall select the persons or entities to which the primate
    research complex and chimpanzees are to be disposed of under subsection
    (a) using a competitive, negotiated process.
        (c) Standards To Be Used in Solicitation of Bids.--The Secretary
    shall develop standards for the care and use of the primate research
    complex, and of the chimpanzees, to be used in soliciting bids for the
    disposal authorized by subsection (a). The Secretary shall develop such
    standards in consultation with the Secretary of Agriculture and the
    Director of the National Institutes of Health.
        (d) Conditions of Disposal.--The disposal authorized by subsection
    (a) shall be subject to the followings conditions:
            (1) That a recipient of any chimpanzees--
                (A) utilize such chimpanzees only for scientific research
            or medical research purposes; or
                (B) retire and provide adequate care for such chimpanzees.
            (2) That any recipient of chimpanzees, or the primate research
        complex, take such chimpanzees, or the primate research complex,
        subject to any existing leases or other encumbrances at the time of
        the disposal.
        (e) Description of Complex and Chimpanzees.--The exact legal
    description of the primate research complex and chimpanzees to be
    disposed of under subsection (a) shall be determined by a survey or
    other means satisfactory to the Secretary. The cost of any survey or
    other services performed at the direction of the Secretary under the
    authority in the preceding sentence shall be borne by the recipient of
    the property concerned.
        (f) Additional Terms and Conditions.--The Secretary may require
    such additional terms and conditions in connection with the disposal
    under subsection (a) as the Secretary considers appropriate to protect
    the interests of the United States.

                           PART IV--OTHER CONVEYANCES

    SEC. 2851. LAND CONVEYANCE, TATUM SALT DOME TEST SITE, MISSISSIPPI.
        (a) Conveyance Authorized.--The Secretary of Energy may convey,
    without compensation, to the State of Mississippi (in this section
    referred to as the ``State'') the property known as the Tatum Salt Dome
    Test Site, as generally depicted on the map of the Department of Energy
    numbered 301913.104.02 and dated June 25, 1993.
        (b) Condition on Conveyance.--The conveyance under this section
    shall be subject to the condition that the State use the conveyed
    property as a wildlife refuge and working demonstration forest.
        (c) Designation.--The property to be conveyed is hereby designated
    as the ``Jamie Whitten Forest Management Area''.
        (d) Retained Rights.--The conveyance under this section shall be
    subject to each of the following rights to be retained by the United
    States:
            (1) Retention by the United States of subsurface estates below
        the property conveyed.
            (2) Retention by the United States of rights of access, by
        easement or otherwise, for such purposes as the Secretary considers
        appropriate, including access to monitoring wells for sampling.
            (3) Retention by the United States of the right to install
        wells additional to those identified in the remediation plan for
        the property to the extent such additional wells are considered
        necessary by the Secretary to monitor potential pathways of
        contaminant migration. Such wells shall be in such locations as
        specified by the Secretary.
        (e) Additional Terms and Conditions.--The Secretary may require
    such additional terms and conditions in connection with the conveyance
    under this section as the Secretary considers appropriate to protect
    the interests of the United States.
    SEC. 2852. LAND CONVEYANCE, WILLIAM LANGER JEWEL BEARING PLANT, ROLLA,
    NORTH DAKOTA.
        (a) Conveyance Authorized.--The Administrator of General Services
    may convey, without consideration, to the Job Development Authority of
    the City of Rolla, North Dakota (in this section referred to as the
    ``Authority''), all right, title, and interest of the United States in
    and to a parcel of real property, with improvements thereon and all
    associated personal property, consisting of approximately 9.77 acres
    and comprising the William Langer Jewel Bearing Plant in Rolla, North
    Dakota.
        (b) Condition of Conveyance.--The conveyance authorized under
    subsection (a) shall be subject to the condition that the Authority--
            (1) use the real and personal property and improvements
        conveyed under that subsection for economic development relating to
        the jewel bearing plant;
            (2) enter into an agreement with an appropriate public or
        private entity or person to lease such property and improvements to
        that entity or person for such economic development; or
            (3) enter into an agreement with an appropriate public or
        private entity or person to sell such property and improvements to
        that entity or person for such economic development.
        (c) Preference for Domestic Disposal of Jewel Bearings.--(1) In
    offering to enter into agreements pursuant to any provision of law for
    the disposal of jewel bearings from the National Defense Stockpile, the
    President shall give a right of first refusal on all such offers to the
    Authority or to the appropriate public or private entity or person with
    which the Authority enters into an agreement under subsection (b).
        (2) For the purposes of this section, the term ``National Defense
    Stockpile'' means the stockpile provided for in section 4 of the
    Strategic and Critical Materials Stock Piling Act (50 U.S.C. 98(c)).
        (d) Availability of Funds for Maintenance and Conveyance of
    Plant.--Notwithstanding any other provision of law, funds available
    under the Department of Defense Appropriations Act, 1995 (Public Law
    103-335), in fiscal year 1995 for the maintenance of the William Langer
    Jewel Bearing Plant shall be available for the maintenance of the plant
    pending the conveyance of the plant and for the conveyance of the plant
    under this section.
        (e) Description of Property.--The exact acreage and legal
    description of the property conveyed under this section shall be
    determined by a survey satisfactory to the Administrator. The cost of
    the survey shall be borne by the Administrator.
        (f) Additional Terms and Conditions.--The Administrator may require
    such additional terms and conditions in connection with the conveyance
    under this section as the Administrator determines appropriate to
    protect the interests of the United States.
    SEC. 2853. LAND CONVEYANCE, AIR FORCE PLANT NO. 85, COLUMBUS, OHIO.
        (a) Conveyance Authorized.--Notwithstanding any other provision of
    law, the Secretary of the Air Force may instruct the Administrator of
    General Services to convey, without consideration, to the Columbus
    Municipal Airport Authority (in this section referred to as the
    ``Authority'') all right, title, and interest of the United States in
    and to a parcel of real property, together with improvements thereon,
    at Air Force Plant No. 85, Columbus, Ohio, consisting of approximately
    240 acres that--
            (1) contains the land and buildings referred to as the
        ``airport parcel'' in the correspondence from the General Services
        Administration to the Authority dated April 30, 1996; and
            (2) is located adjacent to the Port Columbus International
        Airport.
        (b) Effect of Change in Administrative Jurisdiction.--If, on the
    date of the enactment of this Act, the Secretary of the Air Force does
    not have administrative jurisdiction over the property to be conveyed,
    the conveyance shall be made by the Federal official who has
    administrative jurisdiction over the parcel as of that date.
        (c) Requirement for Federal Screening.--The Federal official
    responsible for making the conveyance authorized in subsection (a) may
    not convey the property unless the Federal official determines, in
    consultation with the Administrator of General Services, that no
    department or agency of the Federal Government will accept the transfer
    of the property.
        (d) Condition of Conveyance.--The conveyance authorized under
    subsection (a) shall be subject to the condition that the Authority use
    the conveyed property for public airport purposes.
        (e) Reversion.--If the Federal official making the conveyance under
    subsection (a) determines that any portion of the conveyed property is
    not being utilized in accordance with the condition in subsection (d),
    all right, title, and interest in and to such portion shall revert to
    the United States, and the United States shall have immediate right of
    entry thereon.
        (f) Description of Property.--The exact acreage and legal
    description of the real property to be conveyed under subsection (a)
    shall be determined by a survey satisfactory to the Federal official
    responsible for making the conveyance. The cost of the survey shall be
    borne by the Authority.
        (g) Additional Terms and Conditions.--The Federal official
    responsible for making the conveyance of property under subsection (a)
    may require such additional terms and conditions in connection with the
    conveyance as such official considers appropriate to protect the
    interests of the United States.
    SEC. 2854. MODIFICATION OF BOUNDARIES OF WHITE SANDS NATIONAL MONUMENT
    AND WHITE SANDS MISSILE RANGE.
        (a) Transfer of Lands by Secretary of Army.--The Secretary of the
    Army may transfer to the administrative jurisdiction of the Secretary
    of the Interior the following lands as generally depicted on the map
    entitled ``White Sands National Monument, Boundary Proposal'', numbered
    142/80,061, and dated January 1994:
            (1) Lands consisting of approximately 2,524 acres located
        within White Sands National Monument, New Mexico.
            (2) Lands consisting of approximately 5,758 acres located
        within White Sands Missile Range, New Mexico, and abutting White
        Sands National Monument.
        (b) Transfer of Lands by Secretary of Interior.--The Secretary of
    the Interior may transfer to the administrative jurisdiction of the
    Secretary of the Army lands consisting of approximately 4,277 acres
    located in White Sands National Monument, which lands are generally
    depicted on the map referred to in subsection (a).
        (c) Boundary Modifications.--(1) The Secretary of the Army and the
    Secretary of the Interior shall jointly modify the boundary of White
    Sands National Monument so as to include within the national monument
    the lands transferred under subsection (a) and to exclude from the
    national monument the lands transferred under subsection (b).
        (2) The Secretary of the Army and the Secretary of the Interior
    shall jointly modify the boundary of White Sands Missile Range as to
    include within the missile range the lands transferred under subsection
    (b) and exclude from the missile range the lands transferred under
    subsection (a).
        (d) Administration of Transferred Lands.--(1) The Secretary of the
    Interior shall administer the lands transferred to that Secretary under
    subsection (a) in accordance with the laws applicable to the White
    Sands National Monument.
        (2) The Secretary of the Army shall administer the lands
    transferred to that Secretary under subsection (b) as part of White
    Sands Missile Range.
        (3) The Secretary of the Army shall maintain control of the
    airspace above the lands transferred to that Secretary under subsection
    (b) and administer that airspace in a mannerconsistent with the use of
    such lands as part of White Sands Missile Range.
        (e) Public Availability of Map of Monument.--The Secretary of the
    Interior and the Secretary of the Army shall jointly prepare, and the
    Secretary of the Interior shall keep on file for public inspection in
    the headquarters of White Sands National Monument, a map showing the
    boundary of White Sands National Monument as modified by this section.
        (f) Waiver of Limitation Under Prior Law.--Notwithstanding section
    303(b)(1) of the National Parks and Recreation Act of 1978 (Public Law
    95-625; 92 Stat. 3476), land or an interest in land that was deleted
    from White Sands National Monument by section 301(19) of the Act (92
    Stat. 3475) may, at the election of the Secretary of the Interior, be--
            (1) exchanged for land owned by the State of New Mexico within
        the boundaries of any unit of the National Park System in the State
        of New Mexico;
            (2) transferred to the jurisdiction of any other Federal agency
        without monetary consideration; or
            (3) administered as public land.

                           Subtitle D--Other Matters

    SEC. 2861. AUTHORITY TO GRANT EASEMENTS FOR RIGHTS-OF-WAY.

        (a) Easements for Electric Poles and Lines and for Communications
    Lines and Facilities.--Section 2668(a) of title 10, United States Code,
    is amended--
            (1) by striking out ``and'' at the end of paragraph (9);
            (2) by redesignating paragraph (10) as paragraph (13); and
            (3) by inserting after paragraph (9) the following new
        paragraphs:
            ``(10) poles and lines for the transmission or distribution of
        electric power;
            ``(11) poles and lines for the transmission or distribution of
        communications signals (including telephone and telegraph signals);
            ``(12) structures and facilities for the transmission,
        reception, and relay of such signals; and''.
        (b) Conforming Amendments.--Such section is further amended--
            (1) in paragraph (3), by striking out ``, telephone lines, and
        telegraph lines,''; and
            (2) in paragraph (13), as redesignated by subsection (a)(2), by
        striking out ``or by the Act of March 4, 1911 (43 U.S.C. 961)''.
    SEC. 2862. AUTHORITY TO ENTER INTO COOPERATIVE AGREEMENTS FOR THE
    MANAGEMENT OF CULTURAL RESOURCES ON MILITARY INSTALLATIONS.
        (a) Agreements Authorized.--Chapter 159 of title 10, United States
    Code, is amended by inserting after section 2683 the following new
    section:
    ``Sec. 2684. Cooperative agreements for management of cultural
        resources
        ``(a) Authority.--The Secretary of Defense or the Secretary of a
    military department may enter into a cooperative agreement with a State
    or local government or other entity for the preservation, management,
    maintenance, and improvement of cultural resources on military
    installations and for the conduct of research regarding the cultural
    resources. Activities under the cooperative agreement shall be subject
    to the availability of funds to carry out the cooperative agreement.
        ``(b) Application of Other Laws.--Section 1535 and chapter 63 of
    title 31, United States Code, shall not apply to a cooperative
    agreement entered into under this section.
        ``(c) Cultural Resource Defined.--In this section, the term
    `cultural resource' means any of the following:
            ``(1) A building, structure, site, district, or object eligible
        for or included in the National Register of Historic Places
        maintained under section 101(a) of the National Historic
        Preservation Act (16 U.S.C. 470a(a)).
            ``(2) Cultural items, as that term is defined in section 2(3)
        of the Native American Graves Protection and Repatriation Act (25
        U.S.C. 3001(3)).
            ``(3) An archaeological resource, as that term is defined in
        section 3(1) of the Archaeological Resources Protection Act of 1979
        (16 U.S.C. 470bb(1)).
            ``(4) An archaeological artifact collection and associated
        records covered by section 79 of title 36, Code of Federal
        Regulations.''.
        (b) Clerical Amendment.--The table of sections at the beginning of
    such chapter is amended by inserting after the item relating to section
    2683 the following new item:
    ``2684. Cooperative agreements for management of cultural resources.''.
    SEC. 2863. DEMONSTRATION PROJECT FOR INSTALLATION AND OPERATION OF
    ELECTRIC POWER DISTRIBUTION SYSTEM AT YOUNGSTOWN AIR RESERVE STATION,
    OHIO.
        (a) Authority.--The Secretary of the Air Force may carry out a
    demonstration project to assess the feasibility and advisability of
    permitting private entities to install, operate, and maintain electric
    power distribution systems at military installations. The Secretary
    shall carry out the demonstration project through an agreement under
    subsection (b).
        (b) Agreement.--(1) In order to carry out the demonstration
    project, the Secretary shall enter into an agreement with an electric
    utility or other company in the Youngstown, Ohio, area, consistent with
    State law, under which the utility or company installs, operates, and
    maintains (in a manner satisfactory to the Secretary and the utility or
    company) an electric power distribution system at Youngstown Air
    Reserve Station, Ohio.
        (2) The Secretary may not enter into an agreement under this
    subsection until--
            (A) the Secretary submits to Congress a report on the agreement
        to be entered into, including the costs to be incurred by the
        United States under the agreement; and
            (B) a period of 30 days has elapsed from the date of the
        receipt of the report by the committees.
        (c) Licenses and Easements.--In order to facilitate the
    installation, operation, and maintenance of the electric power
    distribution system under the agreement under subsection (b), the
    Secretary may grant the utility or company with which the Secretary
    enters into the agreement such licenses, easements, and rights-of-way,
    consistent with State law, as the Secretary and the utility or company
    jointly determine necessary for such purposes.
        (d) Ownership of System.--The agreement between the Secretary and
    the utility or company under subsection (b) may provide that the
    utility or company shall own the electric power distribution system
    installed under the agreement.
        (e) Rate.--The rate charged by the utility or company for providing
    or distributing electric power at Youngstown Air Reserve Station
    through the electric power distribution system installed under the
    agreement under subsection (b) shall be the rate established by the
    appropriate Federal or State regulatory authority.
        (f) Reports.--Not later than February 1, 1997, and February 1 of
    each year following a year in which the Secretary carries out the
    demonstration project under this section, the Secretary shall submit to
    Congress a report on the project. The report shall include the
    Secretary's current assessment of the project and the recommendations,
    if any, of the Secretary of extending the authority with respect to the
    project to other facilities and installations of the Department of
    Defense.
        (g) Funding.--In order to pay the costs of the United States under
    the agreement under subsection (b), the Secretary may use funds
    authorized to be appropriated by section 2601(3)(B) of the Military
    Construction Authorization Act for Fiscal Year 1996 (division B of
    Public Law 104-106; 110 Stat. 540) for the purpose of rebuilding the
    electric power distribution system at the Youngstown Air Reserve
    Station that were appropriated for that purpose by the Military
    Construction Appropriations Act, 1996 (Public Law 104-32; 109 Stat.
    283), and that remain available for obligation for that purpose as of
    the date of the enactment of this Act.
        (h) Application of Other Law.--Nothing in this section shall
    authorize actions which are inconsistent with Federal or State law.
        (i) Additional Terms and Conditions.--The Secretary may require
    such additional terms and conditions in the agreement under subsection
    (b) as the Secretary considers appropriate to protect the interests of
    the United States.

    SEC. 2864. RENOVATION OF THE PENTAGON RESERVATION.

        The Secretary of Defense shall take such actions as are necessary
    to ensure that the total cost of the renovation of the Pentagon
    Reservation does not exceed $1,118,000,000.
    SEC. 2865. PLAN FOR REPAIRS AND STABILIZATION OF THE HISTORIC DISTRICT
    AT THE FOREST GLEN ANNEX OF WALTER REED MEDICAL CENTER, MARYLAND.
        Not later than 120 days after the date of the enactment of this
    Act, the Secretary of the Army shall submit to the congressional
    defense committees a comprehensive plan for basic repairs and
    stabilization measures throughout the historic district at the Forest
    Glen Annex of Walter Reed Army Medical Center, Maryland, together with
    funding options for the implementation of the plan.

    SEC. 2866. NAMING OF RANGE AT CAMP SHELBY, MISSISSIPPI.

        (a) Name.--The Multi Purpose Range Complex (Heavy) at Camp Shelby,
    Mississippi, shall after the date of the enactment of this Act be known
    and designated as the ``G.V. (Sonny) Montgomery Range''. Any reference
    to such range in any law, regulation, map, document, record, or other
    paper of the United States shall be considered to be a reference to the
    G. V. (Sonny) Montgomery Range.
        (b) Effective Date.--Subsection (a) shall take effect at noon on
    January 3, 1997, or the first day on which G. V. (Sonny) Montgomery
    otherwise ceases to be a Member of the House of Representatives.
    SEC. 2867. DESIGNATION OF MICHAEL O'CALLAGHAN MILITARY HOSPITAL.
        (a) Designation.--The Nellis Federal Hospital, a Federal building
    located at 4700 North Las Vegas Boulevard, Las Vegas, Nevada, shall be
    known and designated as the ``Michael O'Callaghan Military Hospital''.
        (b) References.--Any reference in a law, map, regulation, document,
    paper, or other record of the United States to the Federal building
    referred to in subsection (a) shall be deemed to be a reference to the
    ``Michael O'Callaghan Military Hospital''.
    SEC. 2868. NAMING OF BUILDING AT THE UNIFORMED SERVICES UNIVERSITY OF
    THE HEALTH SCIENCES.
        It is the sense of Congress that the Secretary of Defense should
    name Building A at the Uniformed Services University of the Health
    Sciences as the ``David Packard Building''.

                     TITLE XXIX--MILITARY LAND WITHDRAWALS

         Subtitle A--Fort Carson-Pinon Canyon Military Lands Withdrawal

    Sec. 2901. Short title.
    Sec. 2902. Withdrawal and reservation of lands at Fort Carson Military
              Reservation.
    Sec. 2903. Withdrawal and reservation of lands at Pinon Canyon Maneuver
              Site.
    Sec. 2904. Maps and legal descriptions.
    Sec. 2905. Management of withdrawn lands.
    Sec. 2906. Management of withdrawn and acquired mineral resources.
    Sec. 2907. Hunting, fishing, and trapping.
    Sec. 2908. Termination of withdrawal and reservation.
    Sec. 2909. Determination of presence of contamination and effect of
              contamination.
    Sec. 2910. Delegation.
    Sec. 2911. Hold harmless.
    Sec. 2912. Amendment to Military Lands Withdrawal Act of 1986.
    Sec. 2913. Authorization of appropriations.

           Subtitle B--El Centro Naval Air Facility Ranges Withdrawal

    Sec. 2921. Short title and definitions.
    Sec. 2922. Withdrawal and reservation of lands for El Centro.
    Sec. 2923. Maps and legal descriptions.
    Sec. 2924. Management of withdrawn lands.
    Sec. 2925. Duration of withdrawal and reservation.
    Sec. 2926. Continuation of ongoing decontamination activities.
    Sec. 2927. Requirements for extension.
    Sec. 2928. Early relinquishment of withdrawal.
    Sec. 2929. Delegation of authority.
    Sec. 2930. Hunting, fishing, and trapping.
    Sec. 2931. Hold harmless.

         Subtitle A--Fort Carson-Pinon Canyon Military Lands Withdrawal

    SEC. 2901. SHORT TITLE.

        This subtitle may be cited as the ``Fort Carson-Pinon Canyon
    Military Lands Withdrawal Act''.
    SEC. 2902. WITHDRAWAL AND RESERVATION OF LANDS AT FORT CARSON MILITARY
    RESERVATION.
        (a) Withdrawal.--Subject to valid existing rights and except as
    otherwise provided in this subtitle, the lands at the Fort Carson
    Military Reservation, Colorado, that are described in subsection (c)
    are hereby withdrawn from all forms of appropriation under the public
    land laws, including the mining laws, the mineral and geothermal
    leasing laws, and the mineral materials disposal laws.
        (b) Reservation.--The lands withdrawn under subsection (a) are
    reserved for use by the Secretary of the Army--
            (1) for military maneuvering, training and weapons firing; and
            (2) for other defense related purposes consistent with the uses
        specified in paragraph (1).
        (c) Land Description.--The lands referred to in subsection (a)
    comprise 3,133.02 acres of public land and 11,415.16 acres of
    federally-owned minerals in El Paso, Pueblo, and Fremont Counties,
    Colorado, as generally depicted on the map entitled ``Fort Carson
    Proposed Withdrawal--Fort Carson Base'', dated February 6, 1992, and
    published in accordance with section 2904.
    SEC. 2903. WITHDRAWAL AND RESERVATION OF LANDS AT PINON CANYON MANEUVER
    SITE.
        (a) Withdrawal.--Subject to valid existing rights and except as
    otherwise provided in this subtitle, the lands at the Pinon Canyon
    Maneuver Site, Colorado, that are described in subsection (c) are
    hereby withdrawn from all forms of appropriation under the public land
    laws, including the mining laws, the mineral and geothermal leasing
    laws, and the mineral materials disposal laws.
        (b) Reservation.--The lands withdrawn under subsection (a) are
    reserved for use by the Secretary of the Army--
            (1) for military maneuvering and training; and
            (2) for other defense related purposes consistent with the uses
        specified in paragraph (1).
        (c) Land Description.--The lands referred to in subsection (a)
    comprise 2,517.12 acres of public lands and 130,139 acres of federally-
    owned minerals in Las Animas County, Colorado, as generally depicted on
    the map entitled ``Fort Carson Proposed Withdrawal--Fort Carson
    Maneuver Area--Pinon Canyon site'', dated February 6, 1992, and
    published in accordance with section 2904.

    SEC. 2904. MAPS AND LEGAL DESCRIPTIONS.

        (a) Preparation of Maps and Legal Description.--As soon as
    practicable after the date of the enactment of this subtitle, the
    Secretary of the Interior shall prepare maps depicting the lands
    withdrawn and reserved by this subtitle and publish in the Federal
    Register a notice containing the legal description of such lands.
        (b) Legal Effect.--Such maps and legal descriptions shall have the
    same force and effect as if they were included in this subtitle, except
    that the Secretary of the Interior may correct clerical and
    typographical errors in such maps and legal descriptions.
        (c) Availability of Maps and Legal Description.--Copies of such
    maps and legal descriptions shall be available for public inspection in
    the offices of the Colorado State Director and the Canon City District
    Manager of the Bureau of Land Management and in the offices of the
    Commander of Fort Carson, Colorado.
        (d) Costs.--The Secretary of the Army shall reimburse the Secretary
    of the Interior for the costs of implementing this section.

    SEC. 2905. MANAGEMENT OF WITHDRAWN LANDS.

        (a) Management Guidelines.--
            (1) Management by secretary of the army.--Except as provided in
        section 2906, during the period of withdrawal, the Secretary of the
        Army shall manage for military pur- poses the lands covered by this
        subtitle and may authorize use of the lands by the other military
        departments and agencies of the Department of Defense, and the
        National Guard, as appropriate.
            (2) Access restrictions.--When military operations, public
        safety, or national security, as determined by the Secretary of the
        Army, require the closure of roads and trails on the lands
        withdrawn by this subtitle commonly in public use, the Secretary of
        the Army is authorized to take such action, except that such
        closures shall be limited to the minimum areas and periods required
        for the purposes specified in this subsection. Appropriate warning
        notices shall be kept posted during closures.
            (3) Suppression of fires.--The Secretary of the Army shall take
        necessary precautions to prevent and suppress brush and range fires
        occurring within and outside the lands as a result of military
        activities and may seek assistance from the Bureau of Land
        Management in suppressing such fires. The memorandum of
        understanding required by this section shall provide for Bureau of
        Land Management assistance in the suppression of such fires, and
        for a transfer of funds from the Department of the Army to the
        Bureau of Land Management as compensation for such assistance.
        (b) Management Plan.--
            (1) Development required.--The Secretary of the Army, with the
        concurrence of the Secretary of the Interior, shall develop a plan
        for the management of acquired lands and lands withdrawn under
        sections 2902 and 2903 for the period of withdrawal. The plan
        shall--
                (A) be consistent with applicable law;
                (B) include such provisions as may be necessary for proper
            resource management and protection of the natural, cultural,
            and other resources and values of such lands; and
                (C) identify those withdrawn and acquired lands, if any,
            which are to be open to mining or mineral and geothermal
            leasing, including mineral materials disposal.
            (2) Time for development.--The management plan required by this
        subsection shall be developed not later than 5 years after the date
        of the enactment of this subtitle.
        (c) Implementation of Management Plan.--
            (1) Memorandum of understanding required.--The Secretary of the
        Army and the Secretary of the Interior shall enter into a
        memorandum of understanding toimplement the management plan
    developed under subsection (b).
            (2) Duration.--The duration of any such memorandum of
        understanding shall be the same as the period of withdrawal
        specified in section 2908(a).
            (3) Amendment.--The memorandum of understanding may be amended
        by agreement of both Secretaries.
        (d) Use of Certain Resources.--The Secretary of the Army is
    authorized to utilize sand, gravel, or similar mineral or mineral
    material resources from the lands withdrawn by this subtitle when the
    use of such resources is required for construction needs of the Fort
    Carson Reservation or Pinon Canyon Maneuver Site.
    SEC. 2906. MANAGEMENT OF WITHDRAWN AND ACQUIRED MINERAL RESOURCES.
        Except as provided in section 2905(d), the Secretary of the
    Interior shall manage all withdrawn and acquired mineral resources
    within the boundaries of the Fort Carson Military Reservation and Pinon
    Canyon Maneuver Site in the same manner as provided in section 12 of
    the Military Lands Withdrawal Act of 1986 (Public Law 99-606; 100 Stat.
    3466) for mining and mineral leasing on certain lands withdrawn by that
    Act from all forms of appropriation under the public land laws.

    SEC. 2907. HUNTING, FISHING, AND TRAPPING.

        All hunting, fishing, and trapping on the lands withdrawn and
    reserved by this subtitle shall be conducted in accordance with section
    2671 of title 10, United States Code.

    SEC. 2908. TERMINATION OF WITHDRAWAL AND RESERVATION.

        (a) Termination Date.--The withdrawal and reservation made by this
    subtitle shall terminate 15 years after the date of the enactment of
    this subtitle.
        (b) Determination of Continuing Military Need.--
            (1) Determination required.--At least three years before the
        termination under subsection (a) of the withdrawal and reservation
        established by this subtitle, the Secretary of the Army shall
        advise the Secretary of the Interior as to whether or not the
        Department of the Army will have a continuing military need for any
        of the lands after the termination date.
            (2) Method of making determination.--If the Secretary of the
        Army concludes under paragraph (1) that there will be a continuing
        military need for any of the lands after the termination date
        established by subsection (a), the Secretary of the Army, in
        accordance with applicable law, shall--
                (A) evaluate the environmental effects of renewal of such
            withdrawal and reservation;
                (B) hold at least one public hearing in Colorado concerning
            such evaluation; and
                (C) file, after completing the requirements of
            subparagraphs (A) and (B), an application for extension of the
            withdrawal and reservation of such lands in accordance with the
            regulations and procedures of the Department of the Interior
            applicable to the extension of withdrawals for military uses.
            (3) Notification.--The Secretary of the Interior shall notify
        the Congress concerning a filing under paragraph (3)(C).
        (c) Early Relinquishment of Withdrawal.--If the Secretary of the
    Army concludes under subsection (b) that before the termination date
    established by subsection (a) there will be no military need for all or
    any part of the lands withdrawn and reserved by this subtitle, or if,
    during the period of withdrawal, the Secretary of the Army otherwise
    decides to relinquish any or all of the lands withdrawn and reserved
    under this subtitle, the Secretary of the Army shall file with the
    Secretary of the Interior a notice of intention to relinquish such
    lands.
        (d) Acceptance of Lands Proposed for Relinquishment.--
    Notwithstanding any other provision of law, the Secretary of the
    Interior, upon deciding that it is in the public interest to accept
    jurisdiction over the lands proposed for relinquishment, may revoke the
    withdrawal and reservation established by this subtitle as it applies
    to the lands proposed for relinquishment. Should the decision be made
    to revoke the withdrawal and reservation, the Secretary of the Interior
    shall publish in the Federal Register an appropriate order which
    shall--
            (1) terminate the withdrawal and reservation;
            (2) constitute official acceptance of full jurisdiction over
        the lands by the Secretary of the Interior; and
            (3) state the date upon which the lands will be opened to the
        operation of the public land laws, including the mining laws if
        appropriate.
    SEC. 2909. DETERMINATION OF PRESENCE OF CONTAMINATION AND EFFECT OF
    CONTAMINATION.
        (a) Determination of Presence of Contamination.--
            (1) Before relinquishment notice.--Before filing a
        relinquishment notice under section 2908(c), the Secretary of the
        Army shall prepare a written determination as to whether and to
        what extent the lands to be relinquished are contaminated with
        explosive, toxic, or other hazardous materials. A copy of the
        determination made by the Secretary of the Army shall be supplied
        with the relinquishment notice. Copies of both the relinquishment
        notice and the determination under this subsection shall be
        published in the Federal Register by the Secretary of the Interior.
            (2) Upon termination of withdrawal.--At the expiration of the
        withdrawal period made by this Act, the Secretary of the Interior
        shall determine whether and to what extent the lands withdrawn by
        this subtitle are contaminated to an extent which prevents opening
        such contaminated lands to operation of the public land laws.
        (b) Program of Decontamination.--
            (1) In general.--Throughout the duration of the withdrawal and
        reservation made by this subtitle, the Secretary of the Army, to
        the extent funds are made available, shall maintain a program of
        decontamination of the landswithdrawn by this subtitle at least at
    the level of effort carried out during fiscal year 1992.
            (2) Decontamination of lands to be relinquished.--In the case
        of lands subject to a relinquishment notice under section 2908(c)
        that are contaminated, the Secretary of the Army shall
        decontaminate the land to the extent that funds are appropriated
        for such purpose if the Secretary of the Interior, in consultation
        with the Secretary of the Army, determines that--
                (A) decontamination of the lands is practicable and
            economically feasible, taking into consideration the potential
            future use and value of the land; and
                (B) upon decontamination, the land could be opened to the
            operation of some or all of the public land laws, including the
            mining laws.
        (c) Authority of Secretary of the Interior To Refuse Contaminated
    Lands.--The Secretary of the Interior shall not be required to accept
    lands proposed for relinquishment if the Secretary of the Army and the
    Secretary of the Interior conclude that--
            (1) decontamination of any or all of the lands proposed for
        relinquishment is not practicable or economically feasible;
            (2) the lands cannot be decontaminated sufficiently to allow
        them to be opened to the operation of the public land laws; or
            (3) insufficient funds are appropriated for the purpose of
        decontaminating the lands.
        (d) Effect of Continued Contamination.--If the Secretary of the
    Interior declines under subsection (c) to accept jurisdiction of lands
    proposed for relinquishment or if the Secretary of the Interior
    determines under subsection (a)(2) that some of the lands withdrawn by
    this subtitle are contaminated to an extent that prevents opening the
    contaminated lands to operation of the public land laws--
            (1) the Secretary of the Army shall take appropriate steps to
        warn the public of the contaminated state of such lands and any
        risks associated with entry onto such lands;
            (2) after the expiration of the withdrawal, the Secretary of
        the Army shall undertake no activities on such lands except in
        connection with decontamination of such lands; and
            (3) the Secretary of the Army shall report to the Secretary of
        the Interior and to the Congress concerning the status of such
        lands and all actions taken under paragraphs (1) and (2).
        (e) Effect of Subsequent Decontamination.--If the lands described
    in subsection (d) are subsequently decontaminated, upon certification
    by the Secretary of the Army that the lands are safe for all
    nonmilitary uses, the Secretary of the Interior shall reconsider
    accepting jurisdiction over the lands.
        (f) Effect on Other Laws.--Nothing in this subtitle shall affect,
    or be construed to affect, the obligations of the Secretary of the
    Army, if any, to decontaminate lands withdrawn by this subtitle
    pursuant to applicable law, including the Comprehensive Environmental
    Response Compensation and Liability Act of 1980 (42 U.S.C. 9601 et
    seq.) and the Solid Waste Disposal Act (42 U.S.C. 6901 et seq.).

    SEC. 2910. DELEGATION.

        The functions of the Secretary of the Army under this subtitle may
    be delegated. The functions of the Secretary of the Interior under this
    subtitle may be delegated, except that the order referred to in section
    2908(d) may be approved and signed only by the Secretary of the
    Interior, the Deputy Secretary of the Interior, or an Assistant
    Secretary of the Department of the Interior.

    SEC. 2911. HOLD HARMLESS.

        Any party conducting any mining, mineral, or geothermal leasing
    activity on lands comprising the Fort Carson Reservation or Pinon
    Canyon Maneuver Site shall indemnify the United States against any
    costs, fees, damages, or other liabilities (including costs of
    litigation) incurred by the United States and arising from or relating
    to such mining activities, including costs of mineral materials
    disposal, whether arising under the Comprehensive Environmental
    Response Compensation and Liability Act of 1980, the Solid Waste
    Disposal Act, or otherwise.
    SEC. 2912. AMENDMENT TO MILITARY LANDS WITHDRAWAL ACT OF 1986.
        (a) Use of Certain Resources.--Section 3(f) of the Military Lands
    Withdrawal Act of 1986 (Public Law 99-606; 100 Stat. 3461) is amended
    by adding at the end the following new paragraph:
        ``(2) Subject to valid existing rights, the Secretary of the
    military department concerned may utilize sand, gravel, or similar
    mineral or material resources when the use of such resources is
    required for construction needs on the respective lands withdrawn by
    this Act.''.
        (b) Technical Correction.--Section 9(b) of the Military Lands
    Withdrawal Act of 1986 (Public Law 99-606; 100 Stat. 3466) is amended
    by striking ``section 7(f)'' and inserting in lieu thereof ``section
    8(f)''.

    SEC. 2913. AUTHORIZATION OF APPROPRIATIONS.

        There are hereby authorized to be appropriated such sums as may be
    necessary to carry out the purposes of this subtitle.

           Subtitle B--El Centro Naval Air Facility Ranges Withdrawal

    SEC. 2921. SHORT TITLE AND DEFINITIONS.

        (a) Short Title.--This subtitle may be cited as the ``El Centro
    Naval Air Facility Ranges Withdrawal Act''.
        (b) Definitions.--In this subtitle:
            (1) The term ``El Centro'' means the Naval Air Facility, El
        Centro, California.
            (2) The term ``cooperative agreement'' means the cooperative
        agreement entered into between the Bureau of Land Management, the
        Bureau of Reclamation, and the Department of the Navy, dated June
        29, 1987, with regard to the defense-related uses of Federal lands
        to further the mission of El Centro.
            (3) The term ``relinquishment notice'' means a notice of
        intention by the Secretary of the Navy under section 2928(a) to
        relinquish, before the termination date specified in section 2925,
        the withdrawal and reservation of certain lands withdrawn under
        this subtitle.
    SEC. 2922. WITHDRAWAL AND RESERVATION OF LANDS FOR EL CENTRO.
        (a) Withdrawals.--Subject to valid existing rights, and except as
    otherwise provided in this subtitle, the Federal lands utilized in the
    mission of the Naval Air Facility, El Centro, California, that are
    described in subsection (c) are hereby withdrawn from all forms of
    appropriation under the public land laws, including the mining laws,
    but not the mineral leasing or geothermal leasing laws or the mineral
    materials sales laws.
        (b) Reservation.--The lands withdrawn under subsection (a) are
    reserved for the use by the Secretary of the Navy--
            (1) for defense-related purposes in accordance with the
        cooperative agreement; and
            (2) subject to notice to the Secretary of the Interior under
        section 2924(e), for other defense-related purposes determined by
        the Secretary of the Navy.
        (c) Description of Withdrawn Lands.--The lands withdrawn and
    reserved under subsection (a) are--
            (1) the Federal lands comprising approximately 46,600 acres in
        Imperial County, California, as generally depicted in part on a map
        entitled ``Exhibit A, Naval Air Facility, El Centro, California,
        Land Acquisition Map, Range 2510 (West Mesa)'' and dated March 1993
        and in part on a map entitled ``Exhibit B, Naval Air Facility, El
        Centro, California, Land Acquisition Map Range 2512 (East Mesa)''
        and dated March 1993; and
            (2) and all other areas within the boundaries of such lands as
        depicted on such maps that may become subject to the operation of
        the public land laws.

    SEC. 2923. MAPS AND LEGAL DESCRIPTIONS.

        (a) Publication and Filing Requirements.--As soon as practicable
    after the date of the enactment of this subtitle, the Secretary of the
    Interior shall--
            (1) publish in the Federal Register a notice containing the
        legal description of the lands withdrawn and reserved under this
        subtitle; and
            (2) file maps and the legal description of the lands withdrawn
        and reserved under this subtitle with the Committee on Energy and
        Natural Resources of the Senate and with the Committee on Resources
        of the House of Representatives.
        (b) Legal Effect.--The maps and legal description prepared under
    subsection (a) shall have the same force and effect as if they were
    included in this subtitle, except that the Secretary of the Interior
    may correct clerical and typographical errors in the maps and legal
    description.
        (c) Availability for Public Inspection.--Copies of the maps and
    legal description prepared under subsection (a) shall be available for
    public inspection in--
            (1) the Office of the State Director, California State Office
        of the Bureau of Land Management, Sacramento, California;
            (2) the Office of the District Manager, California Desert
        District of the Bureau of Land Management, Riverside, California;
        and
            (3) the Office of the Commanding Officer, Marine Corps Air
        Station, Yuma, Arizona.
        (d) Reimbursement.--The Secretary of Navy shall reimburse the
    Secretary of the Interior for the cost of implementing this section.

    SEC. 2924. MANAGEMENT OF WITHDRAWN LANDS.

        (a) Management Consistent With Cooperative Agreement.--The lands
    and resources shall be managed in accordance with the cooperative
    agreement, revised as necessary to conform to the provisions of this
    subtitle. The parties to the cooperative agreement shall review the
    cooperative agreement for conformance with this subtitle and amend the
    cooperative agreement, if appropriate, within 120 days after the date
    of the enactment of this subtitle. The term of the cooperative
    agreement shall be amended so that its duration is at least equal to
    the duration of the withdrawal made by section 2925. The cooperative
    agreement may be reviewed and amended by the managing agencies as
    necessary.
        (b) Management by Secretary of the Interior.--
            (1) General management authority.--During the period of
        withdrawal, the Secretary of the Interior shall manage the lands
        withdrawn and reserved under this subtitle pursuant to the Federal
        Land Policy and Management Act of 1976 (43 U.S.C. 1701 et seq.) and
        other applicable laws, including this subtitle.
            (2) Specific authorities.--To the extent consistent with
        applicable laws, Executive orders, and the cooperative agreement,
        the lands withdrawn and reserved under this subtitle may be managed
        in a manner permitting--
                (A) protection of wildlife and wildlife habitat;
                (B) control of predatory and other animals;
                (C) the prevention and appropriate suppression of brush and
            range fires resulting from nonmilitary activities; and
                (D) geothermal leasing and development and related power
            production, mineral leasing and development, and mineral
            material sales.
            (3) Effect of withdrawal.--The Secretary of the Interior shall
        manage the lands withdrawn and reserved under this subtitle, in
        coordination with the Secretary of the Navy, such that all
        nonmilitary use of such lands, including the uses described in
        paragraph (2), shall be subject to such conditions and restrictions
        as may be necessary to permit the military use of such lands for
        the purposes specified in the cooperative agreement or authorized
        pursuant to this subtitle.
        (c) Certain Activities Subject to Concurrence of Navy.--The
    Secretary of the Interior may issue a lease, easement, right-of-way, or
    other authorization with respect to the nonmilitary use of the
    withdrawn lands only with the concurrence of the Secretary of the Navy
    and under the terms of the cooperative agreement.
        (d) Access Restrictions.--If the Secretary of the Navy determines
    that military operations, public safety, or national security require
    the closure to public use of any road, trail, or other portion of the
    lands withdrawn under this subtitle, the Secretary may take such action
    as the Secretary determines necessary or desirable to effect and
    maintain such closure. Any such closure shall be limited to the minimum
    areas and periods which the Secretary of the Navy determines are
    required to carry out this subsection. Before and during any closure
    under this subsection, the Secretary of the Navy shall keep appropriate
    warning notices posted and take appropriate steps to notify the public
    concerning such closures.
        (e) Additional Military Uses.--Lands withdrawn under this subtitle
    may be used for defense-related uses other than those specified in the
    cooperative agreement. The Secretary of the Navy shall promptly notify
    the Secretary of the Interior in the event that the lands withdrawn
    under this subtitle will be used for additional defense-related
    purposes. Such notification shall indicate the additional use or uses
    involved, the proposed duration of such uses, and the extent to which
    such additional military uses of the withdrawn lands will require that
    additional or more stringent conditions or restrictions be imposed on
    otherwise-permitted nonmilitary uses of all or any portion of the
    withdrawn lands.

    SEC. 2925. DURATION OF WITHDRAWAL AND RESERVATION.

        The withdrawal and reservation made under this subtitle shall
    terminate 25 years after the date of the enactment of this subtitle.
    SEC. 2926. CONTINUATION OF ONGOING DECONTAMINATION ACTIVITIES.
        Throughout the duration of the withdrawal and reservation made
    under this subtitle, and subject to the availability of funds, the
    Secretary of the Navy shall maintain a program of decontamination of
    the lands withdrawn under this subtitle at least at the level of
    decontamination activities performed on such lands in fiscal year 1995.
    Such activities shall be subject to applicable laws, such as the
    amendments made by the Federal Facility Compliance Act of 1992 (Public
    Law 102-386; 106 Stat. 1505) and the Defense Environmental Restoration
    Program established under section 2701 of title 10, United States Code.

    SEC. 2927. REQUIREMENTS FOR EXTENSION.

        (a) Notice of Continued Military Need.--Not later than five years
    before the termination date specified in section 2925, the Secretary of
    the Navy shall advise the Secretary of the Interior as to whether or
    not the Navy will have a continuing military need for any or all of the
    lands withdrawn and reserved under this subtitle after the termination
    date.
        (b) Application for Extension.--If the Secretary of the Navy
    determines that there will be a continuing military need for any or all
    of the withdrawn lands after the termination date specified in section
    2925, the Secretary of the Navy shall file an application for extension
    of the withdrawal and reservation of the lands in accordance with the
    then existing regulations and procedures of the Department of the
    Interior applicable to extension of withdrawal of lands for military
    purposes and that are consistent with this subtitle. Such application
    shall be filed with the Department of the Interior not later than four
    years before the termination date.
        (c) Extension Process.--The withdrawal and reservation established
    by this subtitle may not be extended except by an Act or Joint
    Resolution of Congress.

    SEC. 2928. EARLY RELINQUISHMENT OF WITHDRAWAL.

        (a) Filing of Relinquishment Notice.--If, during the period of
    withdrawal and reservation specified in section 2925, the Secretary of
    the Navy decides to relinquish all or any portion of the lands
    withdrawn and reserved under this subtitle, the Secretary of the Navy
    shall file a notice of intention to relinquish with the Secretary of
    the Interior.
        (b) Determination of Presence of Contamination.--Before
    transmitting a relinquishment notice under subsection (a), the
    Secretary of the Navy, in consultation with the Secretary of the
    Interior, shall prepare a written determination concerning whether and
    to what extent the lands to be relinquished are contaminated with
    explosive, toxic, or other hazardous wastes and substances. A copy of
    such determination shall be transmitted with the relinquishment notice.
        (c) Decontamination and Remediation.--In the case of contaminated
    lands which are the subject of a relinquishment notice, the Secretary
    of the Navy shall decontaminate or remediate the land to the extent
    that funds are appropriated for such purpose if the Secretary of the
    Interior, in consultation with the Secretary of the Navy, determines
    that--
            (1) decontamination or remediation of the lands is practicable
        and economically feasible, taking into consideration the potential
        future use and value of the land; and
            (2) upon decontamination or remediation, the land could be
        opened to the operation of some or all of the public land laws,
        including the mining laws.
        (d) Decontamination and Remediation Activities Subject to Other
    Laws.--The activities of the Secretary of the Navy under subsection (c)
    are subject to applicable lawsand regulations, including the Defense
    Environmental Restoration Program established under section 2701 of
    title 10, United States Code, the Comprehensive Environmental Response
    Compensation and Liability Act of 1980 (42 U.S.C. 9601 et seq.), and
    the Solid Waste Disposal Act (42 U.S.C. 6901 et seq.).
        (e) Authority of Secretary of the Interior To Refuse Contaminated
    Lands.--The Secretary of the Interior shall not be required to accept
    lands specified in a relinquishment notice if the Secretary of the
    Interior, after consultation with the Secretary of the Navy, concludes
    that--
            (1) decontamination or remediation of any land subject to the
        relinquishment notice is not practicable or economically feasible;
            (2) the land cannot be decontaminated or remediated
        sufficiently to be opened to operation of some or all of the public
        land laws; or
            (3) a sufficient amount of funds are not appropriated for the
        decontamination of the land.
        (f) Status of Contaminated Lands.--If, because of the condition of
    the lands, the Secretary of the Interior declines to accept
    jurisdiction of lands proposed for relinquishment or, if at the
    expiration of the withdrawal made under this subtitle, the Secretary of
    the Interior determines that some of the lands withdrawn under this
    subtitle are contaminated to an extent which prevents opening such
    contaminated lands to operation of the public land laws--
            (1) the Secretary of the Navy shall take appropriate steps to
        warn the public of the contaminated state of such lands and any
        risks associated with entry onto such lands;
            (2) after the expiration of the withdrawal, the Secretary of
        the Navy shall retain jurisdiction over the withdrawn lands, but
        shall undertake no activities on such lands except in connection
        with the decontamination or remediation of such lands; and
            (3) the Secretary of the Navy shall report to the Secretary of
        the Interior and to the Congress concerning the status of such
        lands and all actions taken under paragraphs (1) and (2).
        (g) Subsequent Decontamination or Remediation.--If lands covered by
    subsection (f) are subsequently decontaminated or remediated and the
    Secretary of the Navy certifies that the lands are safe for nonmilitary
    uses, the Secretary of the Interior shall reconsider accepting
    jurisdiction over the lands.
        (h) Revocation Authority.--Notwithstanding any other provision of
    law, upon deciding that it is in the public interest to accept
    jurisdiction over lands specified in a relinquishment notice, the
    Secretary of the Interior may revoke the withdrawal and reservation
    made under this subtitle as it applies to such lands. If the decision
    be made to accept the relinquishment and to revoke the withdrawal and
    reservation, the Secretary of the Interior shall publish in the Federal
    Register an appropriate order which shall--
            (1) terminate the withdrawal and reservation;
            (2) constitute official acceptance of full jurisdiction over
        the lands by the Secretary of the Interior; and
            (3) state the date upon which the lands will be opened to the
        operation of the public land laws, including the mining laws, if
        appropriate.

    SEC. 2929. DELEGATION OF AUTHORITY.

        (a) Department of the Navy.--The functions of the Secretary of the
    Navy under this subtitle may be delegated.
        (b) Department of the Interior.--The functions of the Secretary of
    the Interior under this subtitle may be delegated, except that an order
    described in section 2928(h) may be approved and signed only by the
    Secretary of the Interior, the Deputy Secretary of the Interior, or an
    Assistant Secretary of the Department of the Interior.

    SEC. 2930. HUNTING, FISHING, AND TRAPPING.

        All hunting, fishing, and trapping on the lands withdrawn under
    this subtitle shall be conducted in accordance with section 2671 of
    title 10, United States Code.

    SEC. 2931. HOLD HARMLESS.

        Any party conducting any mining, mineral, or geothermal leasing
    activity on lands withdrawn and reserved under this subtitle shall
    indemnify the United States against any costs, fees, damages, or other
    liabilities (including costs of litigation) incurred by the United
    States and arising from or relating to such mining activities,
    including costs of mineral materials disposal, whether arising under
    the Comprehensive Environmental Response Compensation and Liability Act
    of 1980, the Solid Waste Disposal Act, or otherwise.

                   DIVISION C--DEPARTMENT OF ENERGY NATIONAL
                SECURITY AUTHORIZATIONS AND OTHER AUTHORIZATIONS
          TITLE XXXI--DEPARTMENT OF ENERGY NATIONAL SECURITY PROGRAMS

              Subtitle A--National Security Programs Authorizations

    Sec. 3101. Weapons activities.
    Sec. 3102. Environmental restoration and waste management.
    Sec. 3103. Defense fixed asset acquisition/privatization.
    Sec. 3104. Other defense activities.
    Sec. 3105. Defense nuclear waste disposal.

                    Subtitle B--Recurring General Provisions

    Sec. 3121. Reprogramming.
    Sec. 3122. Limits on general plant projects.
    Sec. 3123. Limits on construction projects.
    Sec. 3124. Fund transfer authority.
    Sec. 3125. Authority for conceptual and construction design.
    Sec. 3126. Authority for emergency planning, design, and construction
    activities.
    Sec. 3127. Funds available for all national security programs of the
    Department of Energy.
    Sec. 3128. Availability of funds.

        Subtitle C--Program Authorizations, Restrictions, and Limitations

    Sec. 3131. Stockpile stewardship program.
    Sec. 3132. Manufacturing infrastructure for nuclear weapons stockpile.
    Sec. 3133. Tritium production.
    Sec. 3134. Modernization and consolidation of tritium recycling
    facilities.
    Sec. 3135. Production of high explosives.
    Sec. 3136. Limitation on use of funds for certain research and
    development purposes.
    Sec. 3137. Prohibition on funding nuclear weapons activities with
    People's Republic of China.
    Sec. 3138. International cooperative stockpile stewardship programs.
    Sec. 3139. Temporary authority relating to transfers of defense
    environmental management funds.
    Sec. 3140. Management structure for nuclear weapons production
    facilities and nuclear weapons laboratories.
    Sec. 3141. Accelerated schedule for isolating high-level nuclear waste
    at the defense waste processing facility, Savannah River Site.
    Sec. 3142. Processing and treatment of high-level nuclear waste and
    spent nuclear fuel rods.
    Sec. 3143. Projects to accelerate closure activities at defense nuclear
    facilities.
    Sec. 3144. Payment of costs of operation and maintenance of
    infrastructure at Nevada Test Site.

                            Subtitle D--Other Matters

    Sec. 3151. Report on plutonium pit production and remanufacturing plans.
    Sec. 3152. Amendments relating to baseline environmental management
    reports.
    Sec. 3153. Requirement to develop future use plans for environmental
    management program.
    Sec. 3154. Report on Department of Energy liability at Department
    superfund sites.
    Sec. 3155. Requirement for annual five-year budget for the national
    security programs of the Department of Energy.
    Sec. 3156. Requirements for Department of Energy weapons activities
    budgets for fiscal years after fiscal year 1997.
    Sec. 3157. Repeal of requirement relating to accounting procedures for
    Department of Energy funds.
    Sec. 3158. Update of report on nuclear test readiness postures.
    Sec. 3159. Reports on critical difficulties at nuclear weapons
    laboratories and nuclear weapons production plants.
    Sec. 3160. Extension of applicability of notice-and-wait requirement
    regarding proposed cooperation agreements.
    Sec. 3161. Sense of Senate relating to redesignation of defense
    environmental restoration and waste management program.
    Sec. 3162. Commission on maintaining United States nuclear weapons
    expertise.
    Sec. 3163. Sense of Congress regarding reliability and safety of
    remaining nuclear forces.
    Sec. 3164. Study on worker protection at the Mound facility.
    Sec. 3165. Fiscal year 1998 funding for Greenville Road Improvement
    Project, Livermore, California.
    Sec. 3166. Fellowship program for development of skills critical to
    Department of Energy nuclear weapons complex.

        Subtitle E--Defense Nuclear Environmental Cleanup and Management

    Sec. 3171. Purpose.
    Sec. 3172. Applicability.
    Sec. 3173. Site manager.
    Sec. 3174. Department of Energy orders.
    Sec. 3175. Deployment of technology for remediation of defense nuclear
    waste.
    Sec. 3176. Performance-based contracting.
    Sec. 3177. Designation of covered facilities as environmental cleanup
    demonstration areas.
    Sec. 3178. Definitions.
    Sec. 3179. Termination.
    Sec. 3180. Report.

     Subtitle F--Waste Isolation Pilot Plant Land Withdrawal Act Amendments

    Sec. 3181. Short title.
    Sec. 3182. Definitions.
    Sec. 3183. Management plan.
    Sec. 3184. Repeal of test phase and retrieval plans.
    Sec. 3185. Test phase activities.
    Sec. 3186. Disposal operations.
    Sec. 3187. Environmental Protection Agency disposal regulations.
    Sec. 3188. Compliance with environmental laws and regulations.
    Sec. 3189. Sense of Congress on commencement of emplacement of
    transuranic waste.
    Sec. 3190. Decommissioning of WIPP.
    Sec. 3191. Authorizations for economic assistance and miscellaneous
    payments.

             Subtitle A--National Security Programs Authorizations

    SEC. 3101. WEAPONS ACTIVITIES.

        (a) Stockpile Stewardship.--Subject to subsection (d), funds are
    hereby authorized to be appropriated to the Department of Energy for
    fiscal year 1997 for stockpile stewardship in carrying out weapons
    activities necessary for national security programs in the amount of
    $1,661,767,000, to be allocated as follows:
            (1) For core stockpile stewardship, $1,235,907,000, to be
        allocated as follows:
                (A) For operation and maintenance, $1,147,570,000.
                (B) For plant projects (including maintenance, restoration,
            planning, construction, acquisition, modification of
            facilities, and the continuation of projects authorized in
            prior years, and land acquisition related thereto),
            $88,337,000, to be allocated as follows:
                    Project 96-D-102, stockpile stewardship facilities
                revitalization, Phase VI, various locations, $19,250,000.
                    Project 96-D-103, ATLAS, Los Alamos National
                Laboratory, Los Alamos, New Mexico, $15,100,000.
                    Project 96-D-104, processing and environmental
                technology laboratory (PETL), Sandia National Laboratories,
                Albuquerque, New Mexico, $14,100,000.
                    Project 96-D-105, contained firing facility addition,
                Lawrence Livermore National Laboratory, Livermore,
                California, $17,100,000.
                    Project 95-D-102, Chemical and Metallurgy Research
                Building upgrades project, Los AlamosNational Laboratory,
    Los Alamos, New Mexico, $15,000,000.
                    Project 94-D-102, nuclear weapons research,
                development, and testing facilities revitalization, Phase
                V, various locations, $7,787,000.
            (2) For inertial fusion, $366,460,000, to be allocated as
        follows:
                (A) For operation and maintenance, $234,560,000.
                (B) For the following plant project (including maintenance,
            restoration, planning, construction, acquisition, and
            modification of facilities, and land acquisition related
            thereto), $131,900,000 to be allocated as follows:
                    Project 96-D-111, national ignition facility, location
                to be determined, $131,900,000.
            (3) For technology transfer and education, $59,400,000.
        (b) Stockpile Management.--Subject to subsection (d), funds are
    hereby authorized to be appropriated to the Department of Energy for
    fiscal year 1997 for stockpile management in carrying out weapons
    activities necessary for national security programs in the amount of
    $1,962,831,000, to be allocated as follows:
            (1) For operation and maintenance, $1,868,470,000.
            (2) For plant projects (including maintenance, restoration,
        planning, construction, acquisition, modification of facilities,
        and the continuation of projects authorized in prior years, and
        land acquisition related thereto), $94,361,000, to be allocated as
        follows:
                Project 97-D-121, consolidated pit packaging system, Pantex
            Plant, Amarillo, Texas, $870,000.
                Project 97-D-122, nuclear materials storage facility
            renovation, Los Alamos National Laboratory, Los Alamos, New
            Mexico, $4,000,000.
                Project 97-D-123, structural upgrades, Kansas City Plant,
            Kansas City, Missouri, $1,400,000.
                Project 97-D-124, steam plant wastewater treatment facility
            upgrade, Y-12 Plant, Oak Ridge, Tennessee, $600,000.
                Project 96-D-122, sewage treatment quality upgrade (STQU),
            Pantex Plant, Amarillo, Texas, $100,000.
                Project 96-D-123, retrofit heating, ventilation, and air
            conditioning and chillers for ozone protection, Y-12 Plant, Oak
            Ridge, Tennessee, $7,000,000.
                Project 96-D-125, Washington measurements operations
            facility, Andrews Air Force Base, Camp Springs, Maryland,
            $3,825,000.
                Project 95-D-122, sanitary sewer upgrade, Y-12 Plant, Oak
            Ridge, Tennessee, $10,900,000.
                Project 94-D-124, hydrogen fluoride supply system, Y-12
            Plant, Oak Ridge, Tennessee, $4,900,000.
                Project 94-D-125, upgrade life safety, Kansas City Plant,
            Kansas City, Missouri, $5,200,000.
                Project 94-D-127, emergency notification system, Pantex
            Plant, Amarillo, Texas, $2,200,000.
                Project 93-D-122, life safety upgrades, Y-12 Plant, Oak
            Ridge, Tennessee, $7,200,000.
                Project 93-D-123, complex-21, various locations,
            $14,487,000.
                Project 88-D-122, facilities capability assurance program,
            various locations, $21,940,000.
                Project 88-D-123, security enhancement, Pantex Plant,
            Amarillo, Texas, $9,739,000.
        (c) Program Direction.--Subject to subsection (d), funds are hereby
    authorized to be appropriated to the Department of Energy for fiscal
    year 1997 for program direction in carrying out weapons activities
    necessary for national security programs in the amount of $313,404,000.
        (d) Adjustment.--The total amount authorized to be appropriated
    pursuant to this section is the sum of the amounts authorized to be
    appropriated in subsections (a) through (c) reduced by $20,000,000 for
    use of prior year balances.
    SEC. 3102. ENVIRONMENTAL RESTORATION AND WASTE MANAGEMENT.
        (a) Environmental Restoration.--Subject to subsection (j), funds
    are hereby authorized to be appropriated to the Department of Energy
    for fiscal year 1997 for environmental restoration in carrying out
    environmental restoration and waste management activities necessary for
    national security programs in the amount of $1,762,194,000, of which
    $376,648,000 shall be allocated to the uranium enrichment
    decontamination and decommissioning fund.
        (b) Waste Management.--Subject to subsection (j), funds are hereby
    authorized to be appropriated to the Department of Energy for fiscal
    year 1997 for waste management in carrying out environmental
    restoration and waste management activities necessary for national
    security programs in the amount of $1,578,653,000, to be allocated as
    follows:
            (1) For operation and maintenance, $1,490,326,000.
            (2) For plant projects (including maintenance, restoration,
        planning, construction, acquisition, modification of facilities,
        and the continuation of projects authorized in prior years, and
        land acquisition related thereto), $88,327,000, to be allocated as
        follows:
                Project 97-D-402, tank farm restoration and safe
            operations, Richland, Washington, $7,584,000.
                Project 96-D-408, waste management upgrades, various
            locations, $11,246,000.
                Project 95-D-402, install permanent electrical service,
            Waste Isolation Pilot Plant, Carlsbad, New Mexico, $752,000.
                Project 95-D-405, industrial landfill V and construction/
            demolition landfill VII, Y-12 Plant, Oak Ridge, Tennessee,
            $200,000.
                Project 94-D-404, Melton Valley storage tank capacity
            increase, Oak Ridge National Laboratory, Oak Ridge, Tennessee,
            $6,345,000.
                Project 94-D-407, initial tank retrieval systems, Richland,
            Washington, $12,600,000.
                Project 93-D-182, replacement of cross-site transfer
            system, Richland, Washington, $8,100,000.
                Project 93-D-187, high-level waste removal from filled
            waste tanks, Savannah River Site, Aiken, South Carolina,
            $20,000,000.
                Project 89-D-174, replacement high-level waste evaporator,
            Savannah River Site, Aiken, South Carolina, $11,500,000.
                Project 86-D-103, decontamination and waste treatment
            facility, Lawrence Livermore National Laboratory, Livermore,
            California, $10,000,000.
        (c) Nuclear Materials and Facilities Stabilization.--Subject to
    subsection (j), funds are hereby authorized to be appropriated to the
    Department of Energy for fiscal year 1997 for nuclear materials and
    facilities stabilization in carrying out environmental restoration and
    waste management activities necessary for national security programs in
    the amount of $1,291,290,000 to be allocated as follows:
            (1) For operation and maintenance, $1,173,718,000.
            (2) For plant projects (including maintenance, restoration,
        planning, construction, acquisition, modification of facilities,
        and the continuation of projects authorized in prior years, and
        land acquisition related thereto), $117,572,000, to be allocated as
        follows:
                Project 97-D-450, Actinide packaging and storage facility,
            Savannah River Site, Aiken, South Carolina, $7,900,000.
                Project 97-D-451, B-Plant safety class ventilation
            upgrades, Richland, Washington, $1,500,000.
                Project 97-D-470, environmental monitoring laboratory,
            Savannah River Site, Aiken, South Carolina, $2,500,000.
                Project 97-D-473, health physics site support facility,
            Savannah River Site, Aiken, South Carolina, $2,000,000.
                Project 96-D-406, spent nuclear fuels canister storage and
            stabilization facility, Richland, Washington, $60,672,000.
                Project 96-D-461, electrical distribution upgrade, Idaho
            National Engineering Laboratory, Idaho, $6,790,000.
                Project 96-D-464, electrical and utility systems upgrade,
            Idaho Chemical Processing Plant, Idaho National Engineering
            Laboratory, Idaho, $10,440,000.
                Project 96-D-471, chlorofluorocarbon heating, ventilation,
            and air conditioning and chiller retrofit, Savannah River Site,
            Aiken, South Carolina, $8,541,000.
                Project 95-E-600, hazardous materials management and
            emergency response training center, Richland, Washington,
            $7,900,000.
                Project 95-D-155, upgrade site road infrastructure,
            Savannah River Site, South Carolina, $4,137,000.
                Project 95-D-456, security facilities consolidation, Idaho
            Chemical Processing Plant, Idaho National Engineering
            Laboratory, Idaho, $4,645,000.
                Project 94-D-401, emergency response facility, Idaho
            National Engineering Laboratory, Idaho, $547,000.
        (d) Program Direction.--Subject to subsection (j), funds are hereby
    authorized to be appropriated to the Department of Energy for fiscal
    year 1997 for program direction in carrying out environmental
    restoration and waste management activities necessary for national
    security programs in the amount of $411,511,000.
        (e) Technology Development.--Subject to subsection (j), funds are
    hereby authorized to be appropriated to the Department of Energy for
    fiscal year 1997 for technology development in carrying out
    environmental restoration and waste management activities necessary for
    national security programs in the amount of $303,771,000.
        (f) Policy and Management.--Subject to subsection (j), funds are
    hereby authorized to be appropriated to the Department of Energy for
    fiscal year 1997 for policy and management in carrying out
    environmental restoration and waste management activities necessary for
    national security programs in the amount of $23,155,000.
        (g) Environmental Science Program.--Subject to subsection (j),
    funds are hereby authorized to be appropriated to the Department of
    Energy for fiscal year 1997 for the environmental science program in
    carrying out environmental restoration and waste management activities
    necessary for national security programs in the amount of $62,136,000.
        (h) Environmental Management Privatization.--Subject to subsection
    (j), funds are hereby authorized to be appropriated to the Department
    of Energy for fiscal year 1997 for environmental management
    privatization in carrying out environmental restoration and waste
    management activities necessary for national security programs in the
    amount of $185,000,000.
        (i) Closure Projects.--Subject to subsection (j), funds are hereby
    authorized to be appropriated to the Department of Energy for fiscal
    year 1997 for closure projects selected under section 3143 in the
    amount of $50,000,000.
        (j) Adjustments.--The total amount authorized to be appropriated
    pursuant to this section is the sum of the amounts authorized to be
    appropriated in subsections (a) through (i) reduced by the sum of--
            (1) $150,400,000, for use of prior year balances; and
            (2) $8,000,000, for Savannah River Pension Refund.

    SEC. 3103. DEFENSE FIXED ASSET ACQUISITION/PRIVATIZATION.

        Funds are hereby authorized to be appropriated to the Department of
    Energy for fiscal year 1997 for the defense fixed asset acquisition/
    privatization program in the amount of $182,000,000.

    SEC. 3104. OTHER DEFENSE ACTIVITIES.

        (a) In General.--Subject to subsection (b), funds are hereby
    authorized to be appropriated to the Department of Energy for fiscal
    year 1997 for other defense activities in carryingout programs
    necessary for national security in the amount of $1,590,231,000, to be
    allocated as follows:
            (1) For verification and control technology, $456,348,000, to
        be allocated as follows:
                (A) For nonproliferation and verification research and
            development, $204,919,000.
                (B) For arms control, $216,244,000.
                (C) For intelligence, $35,185,000.
            (2) For nuclear safeguards and security, $47,208,000.
            (3) For security investigations, $22,000,000.
            (4) For emergency management, $16,794,000.
            (5) For program direction, $88,122,000.
            (6) For international nuclear safety, $15,200,000.
            (7) For environment, safety, and health, defense, $63,800,000.
            (8) For worker and community transition assistance,
        $67,000,000.
            (9) For fissile materials disposition, $93,796,000, to be
        allocated as follows:
                (A) For operation and maintenance, $76,796,000.
                (B) For the following plant project (including maintenance,
            restoration, planning, construction, acquisition, and
            modification of facilities, and land acquisition related
            thereto):
                    Project 97-D-140, consolidated special nuclear
                materials storage facility, site to be determined,
                $17,000,000.
            (10) For nuclear security/Russian production reactor shutdown,
        $6,000,000.
            (11) For naval reactors development, $681,932,000, to be
        allocated as follows:
                (A) For operation and infrastructure, $649,330,000.
                (B) For program direction, $18,902,000.
                (C) For plant projects (including maintenance, restoration,
            planning, construction, acquisition, modification of
            facilities, and the continuation of projects authorized in
            prior years, and land acquisition related thereto),
            $13,700,000, to be allocated as follows:
                    Project 97-D-201, advanced test reactor secondary
                coolant refurbishment, Idaho National Engineering
                Laboratory, Idaho, $400,000.
                    Project 95-D-200, laboratory systems and hot cell
                upgrades, various locations, $4,800,000.
                    Project 95-D-201, advanced test reactor radioactive
                waste system upgrades, Idaho National Engineering
                Laboratory, Idaho, $500,000.
                    Project 90-N-102, expended core facility dry cell
                project, Naval Reactors Facility, Idaho, $8,000,000.
        (b) Adjustment.--The total amount authorized to be appropriated
    pursuant to this section is the sum of the amounts authorized to be
    appropriated in paragraphs (1) through (10) of subsection (a) reduced
    by $25,500,000 for use of prior year balances.

    SEC. 3105. DEFENSE NUCLEAR WASTE DISPOSAL.

        Funds are hereby authorized to be appropriated to the Department of
    Energy for fiscal year 1997 for payment to the Nuclear Waste Fund
    established in section 302(c) of the Nuclear Waste Policy Act of 1982
    (42 U.S.C. 10222(c)) in the amount of $200,000,000.

                    Subtitle B--Recurring General Provisions

    SEC. 3121. REPROGRAMMING.

        (a) In General.--Until the Secretary of Energy submits to the
    congressional defense committees the report referred to in subsection
    (b) and a period of 30 days has elapsed after the date on which such
    committees receive the report, the Secretary may not use amounts
    appropriated pursuant to this title for any program--
            (1) in amounts that exceed, in a fiscal year--
                (A) 110 percent of the amount authorized for that program
            by this title; or
                (B) $1,000,000 more than the amount authorized for that
            program by this title; or
            (2) which has not been presented to, or requested of, Congress.
        (b) Report.--(1) The report referred to in subsection (a) is a
    report containing a full and complete statement of the action proposed
    to be taken and the facts and circumstances relied upon in support of
    such proposed action.
        (2) In the computation of the 30-day period under subsection (a),
    there shall be excluded any day on which either House of Congress is
    not in session because of an adjournment of more than 3 days to a day
    certain.
        (c) Limitations.--(1) In no event may the total amount of funds
    obligated pursuant to this title exceed the total amount authorized to
    be appropriated by this title.
        (2) Funds appropriated pursuant to this title may not be used for
    an item for which Congress has specifically denied funds.

    SEC. 3122. LIMITS ON GENERAL PLANT PROJECTS.

        (a) In General.--The Secretary of Energy may carry out any
    construction project under the general plant projects authorized by
    this title if the total estimated cost of the construction project does
    not exceed $2,000,000.
        (b) Report to Congress.--If, at any time during the construction of
    any general plant project authorized by this title, the estimated cost
    of the project is revised because of unforeseen cost variations and the
    revised cost of the project exceeds $2,000,000, the Secretary shall
    immediately furnish a complete report to the congressional defense
    committees explaining the reasons for the cost variation.
        (c) Report on Permanent Authorization of Appropriations for General
    Plant Projects.--(1) Not later than February 1, 1997, the Secretary of
    Energy shall submit to the congressional defense committees a report on
    the desirability of a permanent authorization of appropriations for the
    defense general plant projects and civilian general plant projects of
    the Department of Energy.
        (2) If the Secretary determines for purposes of the report under
    paragraph (1) that a permanent authorization of appropriations is
    desirable, the report shall include--
            (A) recommendations for legislation to provide for a permanent
        authorization of appropriations, including a formula for adjusting
        for inflation the amount authorized to be appropriated for the
        projects to be covered by such authorization of appropriations; and
            (B) a description of the actions to be undertaken by the
        Secretary to control costs with respect to such projects, including
        any actions that may depend on the size, nature, or scope of the
        project concerned.

    SEC. 3123. LIMITS ON CONSTRUCTION PROJECTS.

        (a) In General.--(1) Except as provided in paragraph (2),
    construction on a construction project may not be started or additional
    obligations incurred in connection with the project above the total
    estimated cost, whenever the current estimated cost of the construction
    project, which is authorized by section 3101, 3102, or 3103, or which
    is in support of national security programs of the Department of Energy
    and was authorized by any previous Act, exceeds by more than 25 percent
    the higher of--
            (A) the amount authorized for the project; or
            (B) the amount of the total estimated cost for the project as
        shown in the most recent budget justification data submitted to
        Congress.
        (2) An action described in paragraph (1) may be taken if--
            (A) the Secretary of Energy has submitted to the congressional
        defense committees a report on the actions and the circumstances
        making such action necessary; and
            (B) a period of 30 days has elapsed after the date on which the
        report is received by the committees.
        (3) In the computation of the 30-day period under paragraph (2),
    there shall be excluded any day on which either House of Congress is
    not in session because of an adjournment of more than 3 days to a day
    certain.
        (b) Exception.--Subsection (a) shall not apply to any construction
    project which has a current estimated cost of less than $5,000,000.

    SEC. 3124. FUND TRANSFER AUTHORITY.

        (a) Transfer to Other Federal Agencies.--The Secretary of Energy
    may transfer funds authorized to be appropriated to the Department of
    Energy pursuant to this title to other Federal agencies for the
    performance of work for which the funds were authorized. Funds so
    transferred may be merged with and be available for the same purposes
    and for the same period as the authorizations of the Federal agency to
    which the amounts are transferred.
        (b) Transfer Within Department of Energy; Limitations.--(1) Subject
    to paragraph (2), the Secretary of Energy may transfer funds authorized
    to be appropriated to the Department of Energy pursuant to this title
    between any such authorizations. Amounts of authorizations so
    transferred may be merged with and be available for the same purposes
    and for the same period as the authorization to which the amounts are
    transferred.
        (2) Not more than five percent of any such authorization may be
    transferred between authorizations under paragraph (1). No such
    authorization may be increased or decreased by more than five percent
    by a transfer under such paragraph.
        (3) The authority provided by this section to transfer
    authorizations--
            (A) may only be used to provide funds for items relating to
        weapons activities necessary for national security programs that
        have a higher priority than the items from which the funds are
        transferred; and
            (B) may not be used to provide authority for an item that has
        been denied funds by Congress.
        (c) Notice to Congress.--The Secretary of Energy shall promptly
    notify the Committee on Armed Services of the Senate and the Committee
    on National Security of the House of Representatives of any transfer of
    funds to or from authorizations under this title.
    SEC. 3125. AUTHORITY FOR CONCEPTUAL AND CONSTRUCTION DESIGN.
        (a) Requirement for Conceptual Design.--(1) Subject to paragraph
    (2) and except as provided in paragraph (3), before submitting to
    Congress a request for funds for a construction project that is in
    support of a national security program of the Department of Energy, the
    Secretary of Energy shall complete a conceptual design for that
    project. The Secretary shall submit to Congress a report on each
    conceptual design completed under this paragraph.
        (2) If the estimated cost of completing a conceptual design for a
    construction project exceeds $3,000,000, the Secretary shall submit to
    Congress a request for funds for the conceptual design before
    submitting a request for funds for the construction project.
        (3) The requirement in paragraph (1) does not apply to a request
    for funds--
            (A) for a construction project the total estimated cost of
        which is less than $2,000,000; or
            (B) for emergency planning, design, and construction activities
        under section 3126.
        (b) Authority for Construction Design.--(1) Within the amounts
    authorized by this title, the Secretary of Energy may carry out
    construction design (including architectural and engineering services)
    in connection with any proposed construction project if the total
    estimated cost for such design does not exceed $600,000.
        (2) If the total estimated cost for construction design in
    connection with any construction project exceeds $600,000, funds for
    such design must be specifically authorized by law.
    SEC. 3126. AUTHORITY FOR EMERGENCY PLANNING, DESIGN, AND CONSTRUCTION
    ACTIVITIES.
        (a) Authority.--The Secretary of Energy may use any funds available
    to the Department of Energy pursuant to an authorization in this title,
    including those funds authorized to be appropriated for advance
    planning and construction design under sections 3101, 3102, and 3103,
    to perform planning, design, and construction activities for any
    Department of Energy national security program construction project
    that, as determined by the Secretary, must proceed expeditiously in
    order to protect public health and safety, to meet the needs of
    national defense, or to protect property.
        (b) Limitation.--The Secretary may not exercise the authority under
    subsection (a) in the case of any construction project until the
    Secretary has submitted to the congressional defense committees a
    report on the activities that the Secretary intends to carry out under
    this section and the circumstances making such activities necessary.
        (c) Specific Authority.--The requirement of section 3125(b)(2) does
    not apply to emergency planning, design, and construction activities
    conducted under this section.
    SEC. 3127. FUNDS AVAILABLE FOR ALL NATIONAL SECURITY PROGRAMS OF THE
    DEPARTMENT OF ENERGY.
        Subject to the provisions of appropriations Acts and section 3121,
    amounts appropriated pursuant to this title for management and support
    activities and for general plant projects are available for use, when
    necessary, in connection with all national security programs of the
    Department of Energy.

    SEC. 3128. AVAILABILITY OF FUNDS.

        When so specified in an appropriations Act, amounts appropriated
    for operation and maintenance or for plant projects may remain
    available until expended.

       Subtitle C--Program Authorizations, Restrictions, and Limitations

    SEC. 3131. STOCKPILE STEWARDSHIP PROGRAM.

        (a) Purpose.--The purpose of this section is to provide for the
    enhanced implementation of the Department of Energy stockpile
    stewardship and management program, in order to provide greater
    confidence in the safety and continuing reliability of the nuclear
    weapons stockpile.
        (b) Funding.--Of the funds authorized to be appropriated to the
    Department of Energy pursuant to section 3101, $85,000,000 shall be
    available to enhance the Department's stockpile stewardship and
    management program for activities determined appropriate by the
    Secretary of Energy, including the following:
            (1) Enhanced surveillance of the nuclear weapons stockpile.
            (2) Dual revalidation of the warheads in the nuclear weapons
        stockpile.
            (3) Stockpile life extension programs.
            (4) Production capability assurance programs for critical non-
        nuclear components.
            (5) Accelerating capability to produce prototype war reserve-
        quality plutonium pits.
            (6) Conducting subcritical tests.
        (c) Report.--Not later than 60 days after the date of the enactment
    of this Act, the Secretary of Energy shall submit to the congressional
    defense committees a report on the obligations the Secretary has
    incurred, and plans to incur, during fiscal year 1997 for the funds
    made available by subsection (b).
    SEC. 3132. MANUFACTURING INFRASTRUCTURE FOR NUCLEAR WEAPONS STOCKPILE.
        (a) General Program Requirements.--Subsection (a) of section 3137
    of the National Defense Authorization Act for Fiscal Year 1996 (Public
    Law 104-106; 110 Stat. 620; 42 U.S.C. 2121 note) is amended--
            (1) by inserting ``(1)'' before ``The Secretary of Energy'';
            (2) by redesignating paragraphs (1) through (5) as
        subparagraphs (A) through (E), respectively; and
            (3) by adding at the end the following:
        ``(2) The purpose of the program carried out under paragraph (1)
    shall also be to develop manufacturing capabilities and capacities
    necessary to meet the requirements specified in the annual Nuclear
    Weapons Stockpile Review.''.
        (b) Required Capabilities.--Subsection (b)(3) of such section is
    amended to read as follows:
            ``(3) The capabilities of the Savannah River Site relating to
        tritium recycling and fissile materials components processing and
        fabrication.''.
        (c) Plan and Report.--Not later than March 1, 1997, the Secretary
    of Energy shall submit to Congress a report containing a plan for
    carrying out the program established under section 3137(a) of the
    National Defense Authorization Act for Fiscal Year 1996, as amended by
    this section. The report shall set forth the obligations that the
    Secretary has incurred, and proposes to incur, during fiscal year 1997
    in carrying out the program.
        (d) Funding.--Of the funds authorized to be appropriated pursuant
    to section 3101, $90,000,000 shall be available for carrying out the
    program established under section 3137(a) of the National Defense
    Authorization Act for Fiscal Year 1996, as so amended.

    SEC. 3133. TRITIUM PRODUCTION.

        (a) Acceleration of Tritium Production.--(1) The Secretary of
    Energy shall, during fiscal year 1997, make a final decision on the
    technologies to be utilized, and the accelerated schedule to be
    adopted, for tritium production in order to meet the requirements of
    the Nuclear Weapons Stockpile Memorandum relating to tritium
    production, including the new tritium production date of 2005 specified
    in the Nuclear Weapons Stockpile Memorandum.
        (2) In making the final decision, the Secretary shall take into
    account the following:
            (A) The requirements for tritium production specified in the
        Nuclear Weapons Stockpile Memorandum, including, in particular, the
        requirements for the ``upload hedge'' component of the nuclear
        weapons stockpile.
            (B) The ongoing activities of the Department of Energy relating
        to the evaluation and demonstration of technologies under the
        accelerator reactor program and the commercial light water reactor
        program.
        (b) Report.--(1) Not later than April 15, 1997, the Secretary shall
    submit to Congress a report that sets forth the final decision of the
    Secretary under subsection (a)(1). The report shall set forth in
    detail--
            (A) the technologies decided on under that subsection; and
            (B) the accelerated schedule for the production of tritium
        decided on under that subsection.
        (2) If the Secretary determines that it is not possible to make the
    final decision by the date specified in paragraph (1), the Secretary
    shall submit to Congress on that date a report that explains in detail
    why the final decision cannot be made by that date.
        (c) New Tritium Production Facility.--The Secretary shall commence
    planning and design activities and infrastructure development for a new
    tritium production facility.
        (d) In-Reactor Tests.--The Secretary may perform in-reactor tests
    of tritium target rods as part of the activities carried out under the
    commercial light water reactor program.
        (e) Funding.--Of the funds authorized to be appropriated to the
    Department of Energy pursuant to section 3101(b)(1), $160,000,000 shall
    be available for activities related to tritium production.
    SEC. 3134. MODERNIZATION AND CONSOLIDATION OF TRITIUM RECYCLING
    FACILITIES.
        (a) In General.--The Secretary of Energy shall carry out activities
    at the Savannah River Site, South Carolina, to--
            (1) modernize and consolidate the facilities for recycling
        tritium from weapons; and
            (2) provide a modern tritium extraction facility so as to
        ensure that such facilities have a capacity to recycle tritium from
        weapons that is adequate to meet the requirements for tritium for
        weapons specified in the Nuclear Weapons Stockpile Memorandum.
        (b) Funding.--Of the funds authorized to be appropriated to the
    Department of Energy pursuant to section 3101, not more than $9,000,000
    shall be available for activities under subsection (a).

    SEC. 3135. PRODUCTION OF HIGH EXPLOSIVES.

        No funds appropriated or otherwise made available to the Department
    of Energy for fiscal year 1997 or any prior fiscal year may be used to
    move, or prepare to move, the manufacture and fabrication of high
    explosives and energetic materials for use as components in nuclear
    weapons systems from the Pantex Plant, Amarillo, Texas, to any other
    site or facility.
    SEC. 3136. LIMITATION ON USE OF FUNDS FOR CERTAIN RESEARCH AND
    DEVELOPMENT PURPOSES.
        (a) Limitation.--No funds authorized to be appropriated or
    otherwise made available to the Department of Energy for fiscal year
    1997 under section 3101 may be obligated or expended for activities
    under the Department of Energy Laboratory Directed Research and
    Development Program, or under any Department of Energy technology
    transfer program or cooperative research and development agreement,
    unless such activities support the national security mission of the
    Department of Energy.
        (b) Annual Report.--(1) The Secretary of Energy shall annually
    submit to the congressional defense committees a report on the funds
    expended during the preceding fiscal year on activities under the
    Department of Energy Laboratory Directed Research and Development
    Program. The purpose of the report is to permit an assessment of the
    extent to which such activities support the national security mission
    of the Department of Energy.
        (2) Each report shall be prepared by the officials responsible for
    Federal oversight of the funds expended on activities under the
    program.
        (3) Each report shall set forth the criteria utilized by the
    officials preparing the report in determining whether or not the
    activities reviewed by such officials support the national security
    mission of the Department.
    SEC. 3137. PROHIBITION ON FUNDING NUCLEAR WEAPONS ACTIVITIES WITH
    PEOPLE'S REPUBLIC OF CHINA.
        (a) Funding Prohibition.--No funds authorized to be appropriated or
    otherwise available to the Department of Energy for fiscal year 1997
    may be obligated or expended for any activity associated with the
    conduct of cooperative programs relating to nuclear weapons or nuclear
    weapons technology, including stockpile stewardship, safety, and use
    control, with the People's Republic of China.
        (b) Report.--(1) The Secretary of Energy shall prepare, in
    consultation with the Secretary of Defense, a report containing a
    description of all discussions and activities between the United States
    and the People's Republic of China regarding nuclear weapons matters
    that have occurred before the date of the enactment of this Act and
    that are planned to occur after such date. For each such discussion or
    activity, the report shall include--
            (A) the authority under which the discussion or activity took
        or will take place;
            (B) the subject of the discussion or activity;
            (C) participants or likely participants;
            (D) the source and amount of funds used or to be used to pay
        for the discussion or activity; and
            (E) a description of the actions taken or to be taken to ensure
        that no classified information or unclassified controlled
        information was or will be revealed, and a determination of whether
        classified information or unclassified controlled information was
        revealed in previous discussions.
        (2) The report shall be submitted to the Committee on Armed
    Services of the Senate and the Committee on National Security of the
    House of Representatives not later than January 15, 1997.
    SEC. 3138. INTERNATIONAL COOPERATIVE STOCKPILE STEWARDSHIP PROGRAMS.
        (a) Funding Prohibition.--No funds authorized to be appropriated or
    otherwise available to the Department of Energy for fiscal year 1997
    may be obligated or expended to conduct any activities associated with
    international cooperative stockpile stewardship.
        (b) Exception.--Subsection (a) does not apply--
            (1) with respect to such activities conducted between the
        United States and the United Kingdom and between the United States
        and France; and
            (2) to activities carried out under title XV of this Act
        (relating to cooperative threat reduction with states of the former
        Soviet Union).
    SEC. 3139. TEMPORARY AUTHORITY RELATING TO TRANSFERS OF DEFENSE
    ENVIRONMENTAL MANAGEMENT FUNDS.
        (a) Transfer Authority for Defense Environmental Management
    Funds.--The Secretary of Energy shall provide the manager of each field
    office of the Department of Energy with the authority to transfer
    defense environmental management funds from a program or project under
    the jurisdiction of the office to another such program or project. Any
    such transfer may be made only once in a fiscal year to or from a
    program or project, and the amount transferred to or from a program or
    project may not exceed $5,000,000 in a fiscal year.
        (b) Determination.--A transfer may not be carried out by a manager
    of a field office pursuant to the authority provided under subsection
    (a) unless the manager determines that such transfer is necessary to
    address a riskto health, safety, or the environment or to assure the
    most efficient use of defense environmental management funds at that
    field office.
        (c) Exemption From Reprogramming Requirements.--The requirements of
    section 3121 shall not apply to transfers of funds pursuant to
    subsection (a).
        (d) Notification.--The Secretary of Energy, acting through the
    Assistant Secretary of Energy for Environmental Management, shall
    notify Congress of any transfer of funds pursuant to subsection (a) not
    later than 30 days after such a transfer occurs.
        (e) Limitation.--Funds transferred pursuant to subsection (a) may
    not be used for an item for which Congress has specifically denied
    funds or for a new program or project that has not been authorized by
    Congress.
        (f) Definitions.--In this section:
            (1) The term ``program or project'' means, with respect to a
        field office of the Department of Energy, any of the following:
                (A) A project listed in subsection (b) or (c) of section
            3102 being carried out by the office.
                (B) A program referred to in subsection (a), (b), (c), (e),
            (g), or (h) of section 3102 being carried out by the office.
                (C) A project or program not described in subparagraph (A)
            or (B) that is for environmental restoration or waste
            management activities necessary for national security programs
            of the Department of Energy, that is being carried out by the
            office, and for which defense environmental management funds
            have been authorized and appropriated before the date of the
            enactment of this Act.
            (2) The term ``defense environmental management funds'' means
        funds appropriated to the Department of Energy pursuant to an
        authorization for carrying out environmental restoration and waste
        management activities necessary for national security programs.
        (g) Duration of Authority.--The authority provided under subsection
    (a) to a manager of a field office shall be in effect from the date of
    the enactment of this Act to September 30, 1997.
        (h) Report.--Not later than September 1, 1997, the Secretary of
    Energy shall submit to the congressional defense committees a report on
    the effectiveness of the authority provided under subsection (a) in
    meeting an objective specified in subsection (b). The report shall
    include recommendations on whether the duration of the authority, as
    provided in subsection (g), should be extended.
    SEC. 3140. MANAGEMENT STRUCTURE FOR NUCLEAR WEAPONS PRODUCTION
    FACILITIES AND NUCLEAR WEAPONS LABORATORIES.
        (a) Limitation on Delegation of Authority.--(1) The Secretary of
    Energy, in carrying out national security programs, may delegate
    specific management and planning authority over matters relating to
    site operation of the facilities and laboratories covered by this
    section only to the Assistant Secretary of Energy for Defense Programs.
    Such Assistant Secretary may redelegate such authority only to managers
    of area offices of the Department of Energy located at such facilities
    and laboratories.
        (2) Nothing in this section may be construed as affecting the
    delegation by the Secretary of Energy of authority relating to
    reporting, management, and oversight of matters relating to the
    Department of Energy generally, or safety, environment, and health at
    such facilities and laboratories.
        (b) Requirement To Consult With Area Offices.--The Assistant
    Secretary of Energy for Defense Programs, in exercising any delegated
    authority to oversee management of matters relating to site operation
    of a facility or laboratory, shall exercise such authority only after
    direct consultation with the manager of the area office of the
    Department of Energy located at the facility or laboratory.
        (c) Requirement for Direct Communication From Area Offices.--The
    Secretary of Energy, acting through the Assistant Secretary of Energy
    for Defense Programs, shall require the head of each area office of the
    Department of Energy located at each facility and laboratory covered by
    this section to report on matters relating to site operation other than
    those matters set forth in subsection (a)(2) directly to the Assistant
    Secretary of Energy for Defense Programs, without obtaining the
    approval or concurrence of any other official within the Department of
    Energy.
        (d) Defense Programs Reorganization Plan and Report.--(1) The
    Secretary of Energy shall develop a plan to reorganize the field
    activities and management of the national security functions of the
    Department of Energy.
        (2) Not later than 120 days after the date of the enactment of this
    Act, the Secretary shall submit to Congress a report on the plan
    developed under paragraph (1). The report shall specifically identify
    all significant functions performed by the operations offices relating
    to any of the facilities and laboratories covered by this section and
    which of those functions could be performed--
            (A) by the area offices of the Department of Energy located at
        the facilities and laboratories covered by this section; or
            (B) by the Assistant Secretary of Energy for Defense Programs.
        (3) The report also shall address and make recommendations with
    respect to other internal streamlining and reorganization initiatives
    that the Department could pursue with respect to military or national
    security programs.
        (e) Defense Programs Management Council.--The Secretary of Energy
    shall establish a council to be known as the ``Defense Programs
    Management Council''. The Council shall advise the Secretary on policy
    matters, operational concerns, strategic planning, and development of
    priorities relating to the national security functions of the
    Department of Energy. The Council shall be composed of the directors of
    the facilities and laboratories covered by this section and shall
    report directly to the Assistant Secretary of Energy for Defense
    Programs.
        (f) Covered Site Operations.--For purposes of this section, matters
    relating to site operation of a facility or laboratory include matters
    relating to personnel, budget, and procurement in national security
    programs.
        (g) Covered Facilities and Laboratories.--This section applies to
    the following facilities and laboratories of the Department of Energy:
            (1) The Kansas City Plant, Kansas City, Missouri.
            (2) The Pantex Plant, Amarillo, Texas.
            (3) The Y-12 Plant, Oak Ridge, Tennessee.
            (4) The Savannah River Site, Aiken, South Carolina.
            (5) Los Alamos National Laboratory, Los Alamos, New Mexico.
            (6) Sandia National Laboratories, Albuquerque, New Mexico.
            (7) Lawrence Livermore National Laboratory, Livermore,
        California.
            (8) The Nevada Test Site, Nevada.
    SEC. 3141. ACCELERATED SCHEDULE FOR ISOLATING HIGH-LEVEL NUCLEAR WASTE
    AT THE DEFENSE WASTE PROCESSING FACILITY, SAVANNAH RIVER SITE.
        The Secretary of Energy shall accelerate the schedule for the
    isolation of high-level nuclear waste in glass canisters at the Defense
    Waste Processing Facility at the Savannah River Site, South Carolina,
    if the Secretary determines that the acceleration of such schedule--
            (1) will achieve long-term cost savings to the Federal
        Government; and
            (2) could accelerate the removal and isolation of high-level
        nuclear waste from long-term storage tanks at the site.
    SEC. 3142. PROCESSING AND TREATMENT OF HIGH-LEVEL NUCLEAR WASTE AND
    SPENT NUCLEAR FUEL RODS.
        (a) In General.--(1) In order to provide for an effective response
    to requirements for managing the spent nuclear fuel described in
    paragraph (2), there shall be available to the Secretary of Energy,
    from amounts authorized to be appropriated pursuant to section 3102(c),
    the following amounts for the purposes stated:
            (A) Not more than $43,000,000 for the development and
        implementation of a program to accelerate the receipt, processing
        (including the H-canyon restart operations), reprocessing,
        separation, reduction, deactivation, stabilization, isolation, and
        interim storage of high-level nuclear waste associated with
        Department of Energy aluminum clad spent fuel rods, foreign spent
        fuel rods, and other nuclear materials.
            (B) Not more than $15,000,000 for the development and
        implementation of a program for the receipt, treatment,
        preparation, conditioning, interim storage, and final disposition
        of high-level nuclear waste and spent nuclear fuel (including naval
        spent nuclear fuel), non-aluminum clad fuel rods, and foreign fuel
        rods.
        (2) The spent nuclear fuel referred to in paragraph (1) is the
    following:
            (A) Spent nuclear fuel that is sent to Department of Energy
        consolidation sites pursuant to the Department of Energy
        Programmatic Spent Nuclear Fuel Management and Idaho National
        Engineering Laboratory Environmental Restoration and Waste
        Management Programs Final Environmental Impact Statement, dated
        April 1995.
            (B) Spent nuclear fuel described in the Interim Management of
        Nuclear Materials Environmental Impact Statement, dated October
        1995.
            (C) Other spent nuclear fuel located at the Savannah River Site
        as of the date of the enactment of this Act.
        (3) The amounts made available under paragraph (1) are in addition
    to other amounts authorized to be appropriated by section 3102(c) for
    the purposes stated in subparagraphs (A) and (B) of that paragraph.
        (b) Use of Funds for Settlement Agreement.--Funds made available
    pursuant to subsection (a)(1)(B) for the Idaho National Engineering
    Laboratory shall be considered to be funds made available in partial
    fulfillment of the terms and obligations set forth in the settlement
    agreement entered into by the United States with the State of Idaho in
    the actions captioned Public Service Co. of Colorado v. Batt, Civil No.
    91-0035-S-EJL, and United States v. Batt, Civil No. 91-0054-S-EJL, in
    the United States District Court for the District of Idaho and the
    consent order of the United States District Court for the District of
    Idaho, dated October 17, 1995, that effectuates the settlement
    agreement.
        (c) Amendments to Implementation Plan for Managing Spent Nuclear
    Fuel at Certain Sites.--Section 3142(b) of the National Defense
    Authorization Act for Fiscal Year 1996 (Public Law 104-106; 110 Stat.
    622) is amended--
            (1) by striking out ``April 30, 1996'' and inserting in lieu
        thereof ``September 30, 1996'';
            (2) by striking out ``and'' at the end of paragraph (3);
            (3) by striking out the period at the end of paragraph (4) and
        inserting in lieu thereof ``; and''; and
            (4) by adding at the end the following new paragraph:
            ``(5) an assessment of the progress made in implementing the
        programs.''.
        (d) Near-Term Plan for Processing Spent Fuel Rods at Savannah River
    Site.--(1) Not later than March 15, 1997, the Secretary of Energy shall
    submit to Congress a plan for a near-term program to process, treat,
    package, and dispose of spent nuclear fuel rods described in paragraph
    (2) at the Savannah River Site. The plan shall include cost projections
    and resource requirements for the program and identify program
    milestones for the program.
        (2) The spent nuclear fuel rods to be included in the program
    referred to in paragraph (1) are the following:
            (A) Spent nuclear fuel rods produced at the Savannah River
        Site.
            (B) Spent nuclear fuel rods being sent to the site from other
        Department of Energy facilities for processing, interim storage,
        and other treatment.
            (C) Foreign spent nuclear fuel rods being sent to the site for
        processing, interim storage, and other treatment.
        (e) Multi-Year Plan for Clean-Up at Savannah River Site.--The
    Secretary shall develop and implement a multi-year plan for the clean-
    up of nuclear waste at the Savannah River Site that results, or has
    resulted, from the following:
            (1) Nuclear weapons activities carried out at the site.
            (2) The processing, treating, packaging, and disposal of
        Department of Energy domestic and foreign spent nuclear fuel rods
        at the site.
        (f) Requirement for Continuing Operations at Savannah River Site.--
    The Secretary shall continue operations and maintain a high state of
    readiness at the H-canyon facility and the F-canyon facility at the
    Savannah River Site, and shall provide technical staff necessary to
    operate and so maintain such facilities, pending the development and
    implementation of the plan referred to in subsection (e).
    SEC. 3143. PROJECTS TO ACCELERATE CLOSURE ACTIVITIES AT DEFENSE NUCLEAR
    FACILITIES.
        (a) In General.--The Secretary of Energy shall select and carry out
    closure-acceleration projects in accordance with this section.
        (b) Purpose.--The purpose of a closure-acceleration project shall
    be, within a fixed period of time, to clean up or decommission a
    Department of Energy defense nuclear facility or portion thereof and to
    make the facility safe by stabilizing, consolidating, treating, or
    removing nuclear materials from the facility in order to reduce
    significantly or eliminate future costs at the facility.
        (c) Eligible Projects.--(1) The Secretary of Energy may establish a
    closure-acceleration project as eligible for selection under subsection
    (e) by--
            (A) developing a plan for the project that meets the criteria
        under paragraph (2); and
            (B) determining that the project will achieve significant long-
        term cost savings to the Federal Government from the baseline cost
        estimate made by the Department of Energy for the project.
        (2) A plan for a closure-acceleration project under this section
    shall--
            (A) define a clear, delineated scope of work for completion of
        the project;
            (B) demonstrate that, with respect to the site of the proposed
        project, there is a regulatory agreement between the Department of
        Energy and other appropriate authorities for the implementation of
        environmental remediation requirements that would allow for
        successful completion of the project;
            (C) demonstrate, to the maximum extent possible, the support of
        State and local elected officials and the public for the project;
            (D) contain performance-based provisions to be included in the
        contract for the project, including--
                (i) clearly stated and results-oriented performance
            criteria and measures;
                (ii) appropriate incentives for the contractor to meet and
            exceed the performance criteria effectively and efficiently;
                (iii) appropriate criteria and incentives for the con-
            tractor to seek and engage subcontractors who may more
            effectively and efficiently perform either unique and
            technologically challenging tasks or routine and
            interchangeable services;
                (iv) specific incentives for cost savings;
                (v) financial accountability; and
                (vi) when appropriate, reduction of fee for failure to meet
            minimum performance criteria and standards;
            (E) demonstrate that the project will use new and innovative
        cleanup and waste management technology with potential for
        application to other locations and facilities without requiring the
        development of new technologies; and
            (F) demonstrate that the project can be completed within 10
        years from the date of its selection.
        (d) Program Administration.--The Secretary of Energy, acting
    through the Assistant Secretary for Environmental Management, shall
    implement a program to carry out the provisions of this section.
        (e) Selection of Projects.--(1) The Secretary of Energy shall
    select closure-acceleration projects to be carried out under this
    section from among those projects established as eligible under
    subsection (c) that will result in the most significant long-term cost
    savings to the Government and the most significant reduction of
    imminent risk.
        (2) For each project selected, the Secretary shall submit to
    Congress a report setting forth the reasons why the project was
    selected, based on the criteria under subsection (c)(2) and paragraph
    (1) of this subsection.
        (f) Multiyear Contracts.--Notwithstanding section 304B(d) of the
    Federal Property and Administrative Services Act of 1949 (41 U.S.C.
    254c(d)), the Secretary of Energy may enter into multi- year contracts
    to carry out projects selected under this section for up to 10 program
    years.
        (g) Funding.--(1) In the budget submitted to Congress under section
    1105(a) of title 31, United States Code, each year, the President shall
    set forth funds for carrying out closure-acceleration projects under
    this section as a separate item in the environmental restoration and
    waste management account of the Department of Energy budget.
        (2) Funds appropriated for purposes of carrying out projects under
    this section shall remain available until expended.
        (3) If a closure-acceleration project is being carried out at a
    defense nuclear facility with funds appropriated for such projects, the
    Secretary of Energy may not reduce the funds otherwise allocated to
    that defense nuclear facility for environmental restoration and waste
    management by reason of the funds being used for the project at that
    facility.
        (4) Funds appropriated for purposes of carrying out projects under
    this section may not be used for an item for which Congress has
    specifically denied funds or for a new program or project that has not
    been authorized by Congress.
        (h) Annual Report.--The Secretary of Energy shall submit each year
    to Congress a report on the status of each closure-acceleration project
    being carried out under this section. The report shall include, for
    each such project, the following:
            (1) A description of the funding already provided for the
        project.
            (2) A description of the extent of the cleanup,
        decommissioning, stabilization, consolidation, treatment, or
        removal activities completed.
            (3) A comparison of the actual results of the project to the
        original proposal and the actual cost of the project to the
        originally proposed cost.
            (4) A description of the funding needed in future fiscal years
        for completion of the project.
        (i) Duration of Program.--No closure-acceleration project selected
    under this section may be carried out after the expiration of the 15-
    year period beginning on the date of the enactment of this Act.
        (j) Savings Provision.--Nothing in this section may be construed to
    affect statutory requirements for an environmental restoration or waste
    management activity or project or to modify or otherwise affect
    applicable statutory or regulatory environmental restoration and waste
    management requirements, including substantive standards intended to
    protect public health and the environment, nor shall anything in this
    section be construed to preempt or impair any local land use planning
    or zoning authority or State authority.
    SEC. 3144. PAYMENT OF COSTS OF OPERATION AND MAINTENANCE OF
    INFRASTRUCTURE AT NEVADA TEST SITE.
        Notwithstanding any other provision of law and effective as of
    September 30, 1996, the costs associated with operating and maintaining
    the infrastructure at the Nevada Test Site, Nevada, with respect to any
    activities initiated at the site after that date by the Department of
    Defense pursuant to a work-for-others agreement may be paid for from
    funds authorized to be appropriated to the Department of Energy for
    activities at the Nevada Test Site.

                           Subtitle D--Other Matters

    SEC. 3151. REPORT ON PLUTONIUM PIT PRODUCTION AND RE- MANUFACTURING
    PLANS.
        (a) Report Requirement.--The Secretary of Energy shall submit to
    the congressional defense committees a report on plans for achieving
    the capability to produce and remanufacture plutonium pits. The report
    shall include a description of the baseline plan of the Department of
    Energy for achieving such capability, including the following:
            (1) The funding necessary, by fiscal year, to achieve the
        capability.
            (2) The schedule necessary to achieve the capability, including
        important technical and programmatic milestones.
            (3) Siting, capacity for expansion, and other issues included
        in the baseline plan.
        (b) Deadline.--The report required by subsection (a) shall be
    submitted not later than 60 days after the date of the enactment of
    this Act.
    SEC. 3152. AMENDMENTS RELATING TO BASELINE ENVIRONMENTAL MANAGEMENT
    REPORTS.
        Section 3153 of the National Defense Authorization Act for Fiscal
    Year 1994 (42 U.S.C. 7274k) is amended--
            (1) in subsection (b)--
                (A) by striking out the first word in the heading and
            inserting in lieu thereof ``Biennial''; and
                (B) in paragraph (2)(B), by inserting before ``year after
            1995'' the following: ``odd-numbered''; and
            (2) in subsection (d)--
                (A) by striking out the first word in the heading and
            inserting in lieu thereof ``Biennial'';
                (B) in paragraph (1)(B), by striking out ``in each year
            thereafter'' and inserting in lieu thereof ``in each odd-
            numbered year thereafter''; and
                (C) in paragraph (2)(A)--
                    (i) in the matter preceding clause (i), by striking out
                ``fiscal year immediately'' and inserting in lieu thereof
                ``two fiscal years immediately''; and
                    (ii) in clause (ii), by striking out ``prior fiscal
                year'' and inserting in lieu thereof ``prior fiscal
                years''.
    SEC. 3153. REQUIREMENT TO DEVELOP FUTURE USE PLANS FOR ENVIRONMENTAL
    MANAGEMENT PROGRAM.
        (a) Authority To Develop Future Use Plans.--The Secretary of Energy
    may develop future use plans for any defense nuclear facility at which
    environmental restoration and waste management activities are
    occurring.
        (b) Requirement To Develop Future Use Plans.--The Secretary shall
    develop a future use plan for each of the following defense nuclear
    facilities:
            (1) Hanford Site, Richland, Washington.
            (2) Rocky Flats Plant, Golden, Colorado.
            (3) Savannah River Site, Aiken, South Carolina.
            (4) Idaho National Engineering Laboratory, Idaho.
        (c) Citizen Advisory Board.--(1) At each defense nuclear facility
    for which the Secretary of Energy intends or is required to develop a
    future use plan under this section and for which no citizen advisory
    board has been established, the Secretary shall establish a citizen
    advisory board.
        (2) The Secretary may authorize the manager of a defense nuclear
    facility for which a future use plan is developed under this section
    (or, if there is no such manager, an appropriate official of the
    Department of Energy designated by the Secretary) to pay routine
    administrative expenses of a citizen advisory board established for
    that facility. Such payments shall be made from funds available to the
    Secretary for program direction in carrying out environmental
    restoration and waste management activities necessary for national
    security programs.
        (d) Requirement To Consult With Citizen Advisory Board.--In
    developing a future use plan under this section with respect to a
    defense nuclear facility, the Secretary of Energy shall consult with a
    citizen advisory board established pursuant to subsection (c) or a
    similar advisory board already in existence as of the date of the
    enactment of this Act for such facility, affected local governments
    (including any local future use redevelopment authorities), and other
    appropriate State agencies.
        (e) 50-Year Planning Period.--A future use plan developed under
    this section shall cover a period of at least 50 years.
        (f) Deadlines.--For each facility listed in subsection (b), the
    Secretary of Energy shall develop a draft future use plan by October 1,
    1997, and a final future use plan by March 15, 1998.
        (g) Report.--Not later than 60 days after completing development of
    a final plan for a site listed in subsection (b), the Secretary of
    Energy shall submit to Congress a report on the plan. The report shall
    describe the plan and contain such findings and recommendations with
    respect to the site as the Secretary considers appropriate.
        (h)  Savings Provisions.--(1) Nothing in this section, or in a
    future use plan developed under this section with respect to a defense
    nuclear facility, shall be construed as requiring any modification to a
    future use plan with respect to a defense nuclear facility that was
    developed before the date of the enactment of this Act.
        (2) Nothing in this section may be construed to affect statutory
    requirements for an environmental restoration or waste management
    activity or project or to modify or otherwise affect applicable
    statutory or regulatory environmental restoration and waste management
    requirements, including substantive standards intended to protect
    public health and the environment, nor shall anything in this section
    be construed to preempt or impair any local land use planning or zoning
    authority or State authority.
    SEC. 3154. REPORT ON DEPARTMENT OF ENERGY LIABILITY AT DEPARTMENT
    SUPERFUND SITES.
        (a) Study.--The Secretary of Energy shall, using funds authorized
    to be appropriated to the Department of Energy by section 3102, carry
    out a study to determine the extent and valuation of the injury to,
    destruction of, or loss of natural resources under section 107(a)(4)(C)
    of the Comprehensive Environmental Response, Compensation, and
    Liability Act of 1980 (42 U.S.C. 9607(a)(4)(C)) at each site controlled
    or operated by the Department that is or is anticipated to become
    subject to the provisions of that Act.
        (b) Conduct of Study.--(1) The Secretary shall carry out the study
    using personnel of the Department or by contract with an appropriate
    private entity.
        (2) In determining the extent and valuation of the injury to,
    destruction of, or loss of natural resources for purposes of the study,
    the Secretary shall--
            (A) treat the Department as a private person liable for
        response, removal, and remediation costs and damages under section
        107(a)(4) of that Act (42 U.S.C. 9607(a)(4)) and subject to an
        action for damages by public trustees of natural resources under
        section 107(f) of that Act (42 U.S.C. 9607(f)) or by any other
        person pursuant to section 107(e) or 113(f) of that Act (42 U.S.C.
        9607(e) and 9613(f)); and
            (B) determine the value of natural resource damages associated
        with each site in accordance with all regulations promulgated under
        section 301(c) of that Act (42 U.S.C. 9651(c)).
        (c) Report.--Not later than 90 days after the date of the enactment
    of this Act, the Secretary shall submit a report on the study carried
    out under subsection (a) to the following committees:
            (1) The Committees on Environment and Public Works, Armed
        Services, and Energy and Natural Resources of the Senate.
            (2) The Committees on Commerce, National Security,
        Transportation and Infrastructure, and Resources of the House of
        Representatives.
    SEC. 3155. REQUIREMENT FOR ANNUAL FIVE-YEAR BUDGET FOR THE NATIONAL
    SECURITY PROGRAMS OF THE DEPARTMENT OF ENERGY.
        (a) Requirement.--The Secretary of Energy shall prepare each year a
    budget for the national security programs of the Department of Energy
    for the five-year period beginning in the year the budget is prepared.
    Each budget shall contain the estimated expenditures and proposed
    appropriations necessary to support the programs, projects, and
    activities of the national security programs during the five-year
    period covered by the budget and shall be at a level of detail
    comparable to that contained in the budget submitted by the President
    to Congress under section 1105 of title 31, United States Code.
        (b) Submittal.--The Secretary shall submit each year to the
    congressional defense committees the budget required under subsection
    (a) in that year at the same time as the President submits to Congress
    the budget for the coming fiscal year pursuant to such section 1105.
    SEC. 3156. REQUIREMENTS FOR DEPARTMENT OF ENERGY WEAPONS ACTIVITIES
    BUDGETS FOR FISCAL YEARS AFTER FISCAL YEAR 1997.
        (a) In General.--The weapons activities budget of the Department of
    Energy for any fiscal year after fiscal year 1997 shall--
            (1) set forth with respect to each of the activities under the
        budget (including stockpile stewardship, stockpile management, and
        program direction) the funding requested to carry out each project
        or activity that is necessary to meet the requirements of the
        Nuclear Weapons Stockpile Memorandum; and
            (2) identify specific infrastructure requirements arising from
        the Nuclear Posture Review, the Nuclear Weapons Stockpile
        Memorandum, and the programmatic and technical requirements
        associated with the review and memorandum.
        (b) Required Detail.--The Secretary of Energy shall include in the
    materials that the Secretary submits to Congress in support of the
    budget for any fiscal year after fiscal year 1997 that is submitted by
    the President pursuant to section 1105 of title 31, United States Code,
    the following:
            (1) A long-term program plan, and a near-term program plan, for
        the certification and stewardship of the nuclear weapons stockpile.
            (2) An assessment of the effects of the plans referred to in
        paragraph (1) on each nuclear weapons laboratory and each nuclear
        weapons production plant.
        (c) Definitions.--In this section:
            (1) The term ``Nuclear Posture Review'' means the Department of
        Defense Nuclear Posture Review as contained in the report of the
        Secretary of Defense to the President and Congress dated February
        19, 1995, or in subsequent such reports.
            (2) The term ``nuclear weapons laboratory'' means the
        following:
                (A) Lawrence Livermore National Laboratory, California.
                (B) Los Alamos National Laboratory, New Mexico.
                (C) Sandia National Laboratories.
            (3) The term ``nuclear weapons production plant'' means the
        following:
                (A) The Pantex Plant, Texas.
                (B) The Savannah River Site, South Carolina.
                (C) The Kansas City Plant, Missouri.
                (D) The Y-12 Plant, Oak Ridge, Tennessee.
    SEC. 3157. REPEAL OF REQUIREMENT RELATING TO ACCOUNTING PROCEDURES FOR
    DEPARTMENT OF ENERGY FUNDS.
        Section 3151 of the National Defense Authorization Act for Fiscal
    Year 1995 (Public Law 103-337; 108 Stat. 3089) is repealed.
    SEC. 3158. UPDATE OF REPORT ON NUCLEAR TEST READINESS POSTURES.
        Not later than June 1, 1997, the Secretary of Energy shall submit
    to Congress a report which updates the report submitted by the
    Secretary under section 3152 of the National Defense Authorization Act
    for Fiscal Year 1996 (Public Law 104-106; 110 Stat. 623). The updated
    report shall include the matters specified under such section, current
    as of the date of the updated report.
    SEC. 3159. REPORTS ON CRITICAL DIFFICULTIES AT NUCLEAR WEAPONS
    LABORATORIES AND NUCLEAR WEAPONS PRODUCTION PLANTS.
        (a) Reports by Heads of Laboratories and Plants.--In the event of a
    difficulty at a nuclear weapons laboratory or a nuclear weapons
    production plant that has a significant bearing on confidence in the
    safety or reliability of a nuclear weapon or nuclear weapon type, the
    head of the laboratory or plant, as the case may be, shall submit to
    the Assistant Secretary of Energy for Defense Programs a report on the
    difficulty. The head of the laboratory or plant shall submit the report
    as soon as practicable after discovery of the difficulty.
        (b) Transmittal by Assistant Secretary.--As soon as practicable
    after receipt of a report under subsection (a), the Assistant Secretary
    shall transmit the report (together with the comments of the Assistant
    Secretary) to the congressional defense committees and to the Secretary
    of Energy and the Secretary of Defense.
        (c) Reports by Nuclear Weapons Council.--Section 179 of title 10,
    United States Code, is amended--
            (1) by redesignating subsection (e) as subsection (f); and
            (2) by inserting after subsection (d) the following new
        subsection (e):
        ``(e) In addition to the responsibilities set forth in subsection
    (d), the Council shall also submit to Congress a report on any analysis
    conducted by the Council with respect to difficulties at nuclear
    weapons laboratories or nuclear weapons production plants that have
    significant bearing on confidence in the safety or reliability of
    nuclear weapons or nuclear weapon types.''.
        (d) Definitions.--In this section:
            (1) The term ``nuclear weapons laboratory'' means the
        following:
                (A) Lawrence Livermore National Laboratory, California.
                (B) Los Alamos National Laboratory, New Mexico.
                (C) Sandia National Laboratories.
            (2) The term ``nuclear weapons production plant'' means the
        following:
                (A) The Pantex Plant, Texas.
                (B) The Savannah River Site, South Carolina.
                (C) The Kansas City Plant, Missouri.
                (D) The Y-12 Plant, Oak Ridge, Tennessee.
    SEC. 3160. EXTENSION OF APPLICABILITY OF NOTICE-AND-WAIT REQUIREMENT
    REGARDING PROPOSED COOPERATION AGREEMENTS.
        Section 3155(b) of the National Defense Authorization Act for
    Fiscal Year 1995 (42 U.S.C. 2153 note) is amended by striking out
    ``October 1, 1996'' and inserting in lieu thereof ``October 1, 1997''.
    SEC. 3161. SENSE OF SENATE RELATING TO REDESIGNATION OF DEFENSE
    ENVIRONMENTAL RESTORATION AND WASTE MANAGEMENT PROGRAM.
        (a) Sense of Senate.--It is the sense of the Senate that the
    program of the Department of Energy known as the Defense Environmental
    Restoration and Waste Management Program, and also known as the
    Environmental Management Program, be redesignated as the Defense
    Nuclear Waste Management Program of the Department of Energy.
        (b) Report on Redesignation.--Not later than January 31, 1997, the
    Secretary of Energy shall submit to the congressional defense
    committees a report on the costs and other difficulties, if any,
    associated with the following:
            (1) The redesignation of the program known as the Defense
        Environmental Restoration and Waste Management Program, and also
        known as the Environmental Management Program, as the Defense
        Nuclear Waste Management Program of the Department of Energy.
            (2) The redesignation of the Defense Environmental Restoration
        and Waste Management Account as the Defense Nuclear Waste
        Management Account.
    SEC. 3162. COMMISSION ON MAINTAINING UNITED STATES NUCLEAR WEAPONS
    EXPERTISE.
        (a) Establishment.--There is hereby established a commission to be
    known as the ``Commission on Maintaining United States Nuclear Weapons
    Expertise'' (in this section referred to as the ``Commission'').
        (b) Organizational Matters.--(1)(A) The Commission shall be
    composed of eight members appointed from among individuals in the
    public and private sectors who have significant experience in matters
    relating to nuclear weapons, as follows:
            (i) Two shall be appointed by the majority leader of the Senate
        (in consultation with the minority leader of the Senate).
            (ii) One shall be appointed by the minority leader of the
        Senate (in consultation with the majority leader of the Senate).
            (iii) Two shall be appointed by the Speaker of the House of
        Representatives (in consultation with the minority leader of the
        House of Representatives).
            (iv) One shall be appointed by the minority leader of the House
        of Representatives (in consultation with the Speaker of the House
        of Representatives).
            (v) Two shall be appointed by the Secretary of Energy.
        (B) Members shall be appointed for the life of the Commission. Any
    vacancy in the Commission shall not affect its powers, but shall be
    filled in the same manner as the original appointment.
        (C) The chairman of the Commission shall be designated from among
    the members of the Commission appointed under subparagraph (A) by the
    majority leader of the Senate, in consultation with the Speaker of the
    House of Representatives, the minority leader of the Senate, and the
    minority leader of the House of Representatives.
        (D) Members shall be appointed not later than 60 days after the
    date of the enactment of this Act.
        (2) The members of the Commission shall establish procedures for
    the activities of the Commission, including procedures for calling
    meetings, requirements for quorums, and the manner of taking votes.
        (c) Duties.--(1) The Commission shall develop a plan for recruiting
    and retaining within the Department of Energy nuclear weapons complex
    such scientific, engineering, and technical personnel as the Commission
    determines appropriate in order to permit the Department to maintain
    over the long term a safe and reliable nuclear weapons stockpile
    without engaging in underground testing.
        (2) In developing the plan, the Commission shall--
            (A) identify actions that the Secretary may undertake to
        attract qualified scientific, engineering, and technical personnel
        to the nuclear weapons complex of the Department; and
            (B) review and recommend improvements to the on-going efforts
        of the Department to attract such personnel to the nuclear weapons
        complex.
        (d) Report.--Not later than March 15, 1998, the Commission shall
    submit to the Secretary and to Congress a report containing the plan
    developed under subsection (c). The report may include recommendations
    for legislation and administrative action.
        (e) Commission Personnel Matters.--(1) Each member of the
    Commission who is not an officer or employee of the Federal Government
    shall be compensated at a rate equal to the daily equivalent of the
    annual rate of basic pay prescribed for level IV of the Executive
    Schedule under section 5315 of title 5, United States Code, for each
    day (including travel time) during which such member is engaged in the
    performance of the duties of the Commission. All members of the
    Commission who are officers or employees of the United States shall
    serve without compensation in addition to that received for their
    services as officers or employees of the United States.
        (2) The members of the Commission shall be allowed travel expenses,
    including per diem in lieu of subsistence, at rates authorized for
    employees of agencies under subchapter I of chapter 57 of title 5,
    United States Code, while away from their homes or regular places of
    business in the performance of services for the Commission.
        (3) The Commission may, without regard to the civil service laws
    and regulations, appoint and terminate such personnel as may be
    necessary to enable the Commission to perform its duties. The
    Commission may fix the compensation of the personnel of the Commission
    without regard to the provisions of chapter 51 and subchapter III of
    chapter 53 of title 5, United States Code, relating to classification
    of positions and General Schedule pay rates.
        (4) Any Federal Government employee may be detailed to the
    Commission without reimbursement, and such detail shall be without
    interruption or loss of civil service status or privilege.
        (f) Termination.--The Commission shall terminate 30 days after the
    date on which the Commission submits its report under subsection (d).
        (g) Applicability of FACA.--The provisions of the Federal Advisory
    Committee Act (5 U.S.C. App.) shall not apply to the activities of the
    Commission.
        (h) Funding.--Of the amounts authorized to be appropriated pursuant
    to section 3101, not more than $1,000,000 shall be available for the
    activities of the Commission under this section. Funds made available
    to the Commission under this section shall remain available until
    expended.
    SEC. 3163. SENSE OF CONGRESS REGARDING RELIABILITY AND SAFETY OF
    REMAINING NUCLEAR FORCES.
        (a) Findings.--Congress makes the following findings:
            (1) The United States is committed to proceeding with a robust,
        science-based stockpile stewardship program with respect to
        production of nuclear weapons, and to maintaining nuclear weapons
        production capabilities and capacities, that are adequate--
                (A) to ensure the safety, reliability, and performance of
            the United States nuclear arsenal; and
                (B) to meet such changing national security requirements as
            may result from international developments or technical
            problems with nuclear warheads.
            (2) The United States is committed to reestablishing and
        maintaining production facilities for nuclear weapons components at
        levels that are sufficient--
                (A) to satisfy requirements for the safety, reliability,
            and performance of United States nuclear weapons; and
                (B) to demonstrate and sustain production capabilities and
            capacities.
            (3) The United States is committed to maintaining the nuclear
        weapons laboratories and protecting core nuclear weapons
        competencies.
            (4) The United States is committed to ensuring rapid access to
        a new production source of tritium within the next decade, as it
        currently has no meaningful capability to produce tritium, a
        component that is essential to the performance of modern nuclear
        weapons.
            (5) The United States reserves the right, consistent with
        United States law, to resume underground nuclear testing to
        maintain confidence in the United States stockpile of nuclear
        weapons if warhead design flaws or aging of nuclear weapons result
        in problems that a robust stockpile stewardship program cannot
        solve.
            (6) The United States is committed to funding the Nevada Test
        Site at a level that maintains the ability of the United States to
        resume underground nuclear testing within one year after a national
        decision to do so is made.
            (7) The United States reserves the right to invoke the supreme
        national interest of the United States and withdraw from any future
        arms control agreement to limit underground nuclear testing.
        (b) Sense of Congress Regarding Presidential Con- sultation With
    Congress.--It is the sense of Congress that the President should
    consult closely with Congress regarding United States policy and
    practices to ensure confidence in the safety, reliability, and
    performance of the nuclear stockpile of the United States.
        (c) Sense of Congress Regarding Notification and Consultation.--It
    is the sense of Congress that, upon a determination by the President
    that a problem with the safety, reliability, or performance of the
    nuclear stockpile has occurred and that the problem cannot be corrected
    within the stockpile stewardship program, the President shall--
            (1) immediately notify Congress of the problem; and
            (2) submit to Congress in a timely manner a plan for corrective
        action with respect to the problem, including--
                (A) a technical description of the activities required
            under the plan; and
                (B) if underground testing of nuclear weapons would assist
            in such corrective action, an assessment of the advisability of
            withdrawing from any treaty that prohibits underground testing
            of nuclear weapons.

    SEC. 3164. STUDY ON WORKER PROTECTION AT THE MOUND FACILITY.

        (a) Report.--Not later than March 15, 1997, the Secretary of Energy
    shall submit to the congressional defense committees a report regarding
    the status of projects and programs to improve worker safety and health
    at the Mound Facility in Miamisburg, Ohio.
        (b) Matters Covered.--The report shall include the following:
            (1) The status of actions completed in fiscal year 1996.
            (2) The status of actions completed or proposed to be completed
        in fiscal years 1997 and 1998.
            (3) A description of the fiscal year 1998 budget request for
        worker safety and health at the Mound Facility.
            (4) An accounting of expenditures for worker safety and health
        at the Mound Facility by fiscal year from fiscal year 1994 through
        and including fiscal year 1996.
    SEC. 3165. FISCAL YEAR 1998 FUNDING FOR GREENVILLE ROAD IMPROVEMENT
    PROJECT, LIVERMORE, CALIFORNIA.
        (a) Funding.--The Secretary of Energy shall include in the budget
    for fiscal year 1998 submitted by the Secretary of Energy to the Office
    of Management and Budget a request for sufficient funds to pay the
    United States portion of the cost of transportation improvements under
    the Greenville Road Improvement Project, Livermore, California.
        (b) Cooperation With Livermore, California.--The Secretary shall
    work with the city of Livermore, California, to determine the cost of
    the transportation improvements referred to in subsection (a).
    SEC. 3166. FELLOWSHIP PROGRAM FOR DEVELOPMENT OF SKILLS CRITICAL TO
    DEPARTMENT OF ENERGY NUCLEAR WEAPONS COMPLEX.
        (a) Funding.--Subject to subsection (b), of the funds authorized to
    be appropriated pursuant to section 3101(b), $5,000,000 may be used for
    conducting the fellowship program for the development of skills
    critical to the ongoing mission of the Department of Energy nuclear
    weapons complex required by section 3140 of the National Defense
    Authorization Act for Fiscal Year 1996 (Public Law 104-106; 110 Stat.
    621; 42 U.S.C. 2121 note).
        (b) Notice and Wait.--The Secretary of Energy may not obligate or
    expend funds under subsection (a) for the fellowship program referred
    to in that subsection until--
            (1) the Secretary submits to Congress a report setting forth--
                (A) the actions the Department has taken to implement the
            fellowship program;
                (B) the amount the Secretary proposes to obligate;
                (C) the purposes for which such amount will be obligated;
            and
            (2) a period of 21 days elapses from the date of the receipt of
        the report by Congress.

        Subtitle E--Defense Nuclear Environmental Cleanup and Management

    SEC. 3171. PURPOSE.
        The purpose of this subtitle is to provide for the expedited
    environmental restoration and waste management of defense nuclear
    facilities through the use of cost-effective management mechanisms and
    innovative technologies.
    SEC. 3172. APPLICABILITY.
        (a) In General.--The provisions of this subtitle shall apply to the
    following defense nuclear facilities:
            (1) Any defense nuclear facility for which the fiscal year 1996
        environmental management budget was $350,000,000 or more.
            (2) Any other defense nuclear facility if--
                (A) the chief executive officer of the State in which the
            facility is located submits to the Secretary a request that the
            facility be covered by the provisions of this sub- title; and
                (B) the Secretary approves the request.
        (b) Limitation.--The Secretary may not approve a request under
    subsection (a)(2) until 60 days after the date on which the Secretary
    notifies Congress of the Secretary's receipt of the request.
    SEC. 3173. SITE MANAGER.
        (a) Appointment.--(1) Subject to paragraph (2), the Secretary shall
    expeditiously appoint a Site Manager for each defense nuclear facility
    (in this subtitle referred to as the ``Site Manager'').
        (2) In the case of a defense nuclear facility at which another
    program, in addition to environmental management operations, is carried
    out, and such other program is subject to management by a site manager,
    field office manager, or operations office manager, the Secretary shall
    appoint such manager to be the Site Manager for such facility for
    purposes of this subtitle.
        (b) Authority.--(1) In addition to other authorities provided for
    in this Act, the Secretary may delegate to the Site Manager of a
    defense nuclear facility authority to oversee and direct environmental
    management operations at the facility, including the authority to--
            (A) enter into and modify contractual agreements to enhance
        environmental restoration and waste management at the facility;
            (B) request that the Department headquarters submit to Congress
        a reprogramming package shifting funds among accounts in order to
        facilitate the most efficient and timely environmental restoration
        and waste management of the facility, and, in the event that the
        Department headquarters does not act upon the request within 60
        days, submit such request to the appropriate congressional
        committees for review;
            (C) subject to paragraph (2), negotiate amendments to
        environmental agreements for the Department;
            (D) manage Department personnel at the facility;
            (E) consider the costs, risk reduction benefits, and other
        benefits for the purposes of ensuring protection of human health
        and the environment or safety, with respect to any environmental
        remediation activity the cost of which exceeds $25,000,000; and
            (F) have assessments prepared for environmental restoration
        activities (in several documents or a single document, as
        determined by the Site Manager).
        (2) In using the authority described in paragraph (1)(C), a Site
    Manager may not negotiate an amendment that is expected to result in
    additional life cycle costs to the Department without the approval of
    the Secretary.
        (3) In using any authority described in paragraph (1), a Site
    Manager of a facility shall consult with the State where the facility
    is located and the advisory board for the facility.
        (4) The delegation of any authority pursuant to this subsection
    shall not be construed as restricting the Secretary's authority to
    delegate other authorities as necessary.
        (c) Information to Secretary.--The Site Manager of a defense
    nuclear facility shall regularly inform the Secretary, Congress, and
    the advisory board for the facility of the progress made by the Site
    Manager to achieve the expedited environmental restoration and waste
    management of the facility.
    SEC. 3174. DEPARTMENT OF ENERGY ORDERS.
        An order imposed after the date of the enactment of this Act
    relating to the execution of environmental restoration, waste
    management, or technology development activities at a defense nuclear
    facility under the Atomic Energy Act of 1954 (42 U.S.C. 2011 et seq.)
    may be imposed by the Secretary at the defense nuclear facility only if
    the Secretary finds that the order is necessary for the protection of
    human health and the environment or safety, the fulfillment of current
    legal requirements, or the conduct of critical administrative
    functions.
    SEC. 3175. DEPLOYMENT OF TECHNOLOGY FOR REMEDIATION OF DEFENSE NUCLEAR
    WASTE.
        (a) In General.--The Site Manager of each defense nuclear facility
    shall promote the deployment of innovative environmental technologies
    for remediation of defense nuclear waste at the facility.
        (b) Criteria.--To carry out subsection (a), the Site Manager of a
    defense nuclear facility shall establish a program at the facility for
    the testing and deployment of innovative environmental technologies for
    the remediation of defense nuclear waste at the facility. In
    establishing such a program, the Site Manager may--
            (1) establish a simplified, standardized, and timely process
        for the testing, verification, certification, and deployment of
        environmental technologies;
            (2) solicit applications to test and deploy environmental
        technologies suitable for environmental restoration and waste
        management activities at the facility, including prevention,
        control, characterization, treatment, and remediation of
        contamination;
            (3) consult and cooperate with the heads of existing programs
        at the facility for the verification and certification of
        environmental technologies at the facility;
            (4) pay the costs of the demonstration of such technologies;
            (5) enter into contracts and other agreements with other public
        and private entities to deploy environmental technologies at the
        facility; and
            (6) include incentives, such as product performance
        specifications, in contracts to encourage the implementation of
        innovative environmental technologies.
        (c) Follow-On Contracts.--(1) If the Secretary and a person
    demonstrating a technology under the program enter into a contract for
    remediation of nuclear waste at a defense nuclear facility covered by
    this subtitle, or at any other Department facility, as a follow-on to
    the demonstration of the technology, the Secretary shall ensure that
    the contract provides for the Secretary to recoup from the contractor
    the costs incurred by the Secretary pursuant to subsection (b)(6) for
    the demonstration.
        (2) No contract between the Department and a contractor for the
    demonstration of technology under subsection (b) may provide for
    reimbursement of the costs of the contractor on a cost plus fee basis.
        (d) Safe Harbors.--In the case of an environmental technology
    tested, verified, certified, and deployed at a defense nuclear facility
    under a program established under subsection (b), the Site Manager of
    another defense nuclear facility may request the Secretary to waive or
    limit contractual or Department regulatory requirements that would
    otherwise apply in implementing the same environmental technology at
    such other facility.

    SEC. 3176. PERFORMANCE-BASED CONTRACTING.

        (a) Program.--The Secretary shall develop and implement a program
    for performance-based contracting for contracts entered into for
    environmental remediation at defense nuclear facilities. The program
    shall ensure that, to the maximum extent practicable and appropriate,
    such contracts include the following:
            (1) Clearly stated and results oriented performance criteria
        and measures.
            (2) Appropriate incentives for contractors to meet or exceed
        the performance criteria effectively and efficiently.
            (3) Appropriate criteria and incentives for contractors to seek
        and engage subcontractors who may more effectively and efficiently
        perform either unique and technologically challenging tasks or
        routine and interchangeable services.
            (4) Specific incentives for cost savings.
            (5) Financial accountability.
            (6) When appropriate, reduction of fee for failure to meet
        minimum performance criteria and standards.
        (b) Criteria and Measures.--Performance criteria and measures
    should take into consideration, at a minimum, the following: managerial
    control; elimination or reduction of risk to public health and the
    environment; workplace safety; financial control; goal-oriented work
    scope; use of innovative and alternative technologies and techniques
    that result in cleanups being performed less expensively, more quickly,
    and within quality parameters; and performing within benchmark cost
    estimates.
        (c) Consultation.--In implementing this section, the Secretary
    shall consult with interested parties.
        (d) Deadline.--The Secretary shall implement this section not later
    than October 1, 1997, unless the Secretary submits to Congress before
    that date a report with a schedule for completion of action under this
    section.
    SEC. 3177. DESIGNATION OF COVERED FACILITIES AS ENVIRONMENTAL CLEANUP
    DEMONSTRATION AREAS.
        (a) Designation.--Each defense nuclear facility is hereby
    designated as an environmental cleanup demonstration area to carry out
    the purposes of this subtitle, including the utilizationand evaluation
    of new technologies to be used in environmental restoration and
    remediation at other defense nuclear facilities.
        (b) Sense of Congress.--It is the sense of Congress that Federal
    and State regulatory agencies, members of the communities surrounding
    any defense nuclear facility, and other affected parties with respect
    to the facility should continue to--
            (1) develop expedited and streamlined processes and systems for
        cleaning up such facility;
            (2) eliminate unnecessary administrative complexity and
        unnecessary duplication of regulation with respect to the cleanup
        of such facility;
            (3) proceed expeditiously and cost-effectively with
        environmental restoration and remediation activities at such
        facility;
            (4) consider future land use in selecting environmental cleanup
        remedies at such facility; and
            (5) identify and recommend to Congress changes in law needed to
        expedite the cleanup of such facility.

    SEC. 3178. DEFINITIONS.

        In this subtitle:
            (1) The term ``Secretary'' means the Secretary of Energy.
            (2) The term ``Department'' means the Department of Energy.
            (3) The term ``defense nuclear facility'' has the meaning given
        the term ``Department of Energy defense nuclear facility'' in
        section 318 of the Atomic Energy Act of 1954 (42 U.S.C. 2286g).

    SEC. 3179. TERMINATION.

        This subtitle is repealed effective September 30, 2001.

    SEC. 3180. REPORT.

        Not later than September 30, 2000, the Secretary shall submit to
    Congress a report on the effectiveness of this subtitle in expediting
    environmental restoration and waste management of defense nuclear
    facilities. The report shall include recommendations on whether this
    subtitle should remain in effect beyond September 30, 2001.

     Subtitle F--Waste Isolation Pilot Plant Land Withdrawal Act Amendments

    SEC. 3181. SHORT TITLE.

        This subtitle may be cited as the ``Waste Isolation Pilot Plant
    Land Withdrawal Amendment Act''.

    SEC. 3182. DEFINITIONS.

        Section 2 of the Waste Isolation Pilot Plant Land Withdrawal Act
    (Public Law 102-579; 106 Stat. 4777) is amended--
            (1) by striking paragraphs (18) and (19); and
            (2) by redesignating paragraphs (20), (21), and (22), as
        paragraphs (18), (19), and (20), respectively.

    SEC. 3183. MANAGEMENT PLAN.

        Section 4(b)(5)(B) of the Waste Isolation Pilot Plant Land
    Withdrawal Act (106 Stat. 4781) is amended by striking ``or with the
    Solid Waste Disposal Act (42 U.S.C. 6901 et seq.)''.

    SEC. 3184. REPEAL OF TEST PHASE AND RETRIEVAL PLANS.

        (a) Repeal.--Section 5 of the Waste Isolation Pilot Plant Land
    Withdrawal Act (106 Stat. 4782) is repealed.
        (b) Clerical Amendment.--The table of contents in section 1(b) of
    such Act (106 Stat. 4777) is amended by striking out the item relating
    to section 5.

    SEC. 3185. TEST PHASE ACTIVITIES.

        Section 6 of the Waste Isolation Pilot Plant Land Withdrawal Act
    (106 Stat. 4783) is amended--
            (1) by repealing subsections (a) and (b);
            (2) by repealing paragraph (1) of subsection (c);
            (3) by redesignating subsection (c) as subsection (a) and in
        that subsection--
                (A) by repealing subparagraph (A) of paragraph (2);
                (B) by striking the subsection heading and the matter
            immediately following the subsection heading and inserting
            ``Study.--The following study shall be conducted:'';
                (C) by striking ``(2) Remote-handled waste.--'';
                (D) by striking ``(B) Study.--'';
                (E) by redesignating clauses (i), (ii), and (iii) as
            paragraphs (1), (2), and (3), respectively; and
                (F) by realigning the margins of such clauses to be margins
            of paragraphs;
            (4) in subsection (d), by striking ``, during the test phase, a
        biennial'' and inserting ``a'' and by striking ``, consisting of a
        documented analysis of'' and inserting ``as necessary to
        demonstrate''; and
            (5) by redesignating subsection (d) as subsection (b).

    SEC. 3186. DISPOSAL OPERATIONS.

        Subsection (b) of section 7 of the Waste Isolation Pilot Plant Land
    Withdrawal Act (106 Stat. 4785) is amended to read as follows:
        ``(b) Requirements for Commencement of Disposal Operations.--The
    Secretary may commence emplacement of transuranic waste underground for
    disposal at WIPP only upon com- pletion of--
            ``(1) the Administrator's certification under section 8(d)(1)
        that the WIPP facility will comply with the final disposal
        regulations;
            ``(2) the acquisition by the Secretary (whether by purchase,
        condemnation, or otherwise) of Federal Oil and Gas Leases No. NMNM
        02953 and No. NMNM 02953C, unless the Administrator determines
        under section 4(b)(5) that such acquisition is not required; and
            ``(3) the 30-day period beginning on the date on which the
        Secretary notifies Congress that the requirements of section
        9(a)(1) have been met.''.
    SEC. 3187. ENVIRONMENTAL PROTECTION AGENCY DISPOSAL REGULATIONS.
        (a) Section 8(d)(1).--Section 8(d)(1) of the Waste Isolation Pilot
    Plant Land Withdrawal Act (106 Stat. 4786) is amended--
            (1) by amending subparagraph (A) to read as follows:
                ``(A) Application for compliance.--Within 30 days after the
            date of the enactment of the Waste Isolation Pilot Plant Land
            Withdrawal Amendment Act, the Secretary shall provide to
            Congress a schedule for the incremental submission of chapters
            of the application to the Administrator beginning no later than
            30 days after the date of the submittal of the schedule. The
            Administrator shall review the submitted chapters and provide
            requests for additional information from the Secretary as
            needed for completeness within 45 days of the receipt of each
            chapter. The Administrator shall notify Congress of such
            requests. The schedule shall call for the Secretary to submit
            all chapters to the Administrator no later than October 31,
            1996. The Administrator may at any time request additional
            information from the Secretary as needed to certify, pursuant
            to subparagraph (B), whether the WIPP facility will comply with
            the final disposal regulations.''; and
            (2) in subparagraph (D), by striking ``after the application
        is'' and inserting ``after the full application has been''.
        (b) Section 8(d) (2) and (3).--Section 8(d) of such Act is amended
    by striking paragraphs (2) and (3), by striking ``(1) Compliance with
    disposal regulations.--'' and by redesignating subparagraphs (A), (B),
    (C), and (D) of paragraph (1) as paragraphs (1), (2), (3), and (4),
    respectively.
        (c) Section 8(g).--Section 8(g) of such Act is amended to read as
    follows:
        ``(g) Engineered and Natural Barriers, Etc.--The Secretary shall
    use both engineered and natural barriers and any other measures
    (including waste form modifications) to the extent necessary at WIPP to
    comply with the final disposal regulations.''.
    SEC. 3188. COMPLIANCE WITH ENVIRONMENTAL LAWS AND REGULATIONS.
        (a) Section 9(a)(1).--Section 9(a)(1) of the Waste Isolation Pilot
    Plant Land Withdrawal Act (106 Stat. 4788) is amended by adding after
    and below subparagraph (H) the following: ``With respect to transuranic
    mixed waste designated by the Secretary for disposal at WIPP, such
    waste is exempt from treatment standards promulgated pursuant to
    section 3004(m) of the Solid Waste Disposal Act (42 U.S.C. 6924(m)) and
    shall not be subject to the land disposal prohibitions in section
    3004(d), (e), (f), and (g) of the Solid Waste Disposal Act.''.
        (b) Section 9(b).--Subsection (b) of section 9 of such Act is
    repealed.
        (c) Section 9(c)(2).--Subsection (c)(2) of section 9 of such Act is
    repealed.
        (d) Section 14.--Section 14 of such Act (106 Stat. 4791) is
    amended--
            (1) in subsection (a), by striking ``No provision'' and
        inserting ``Except for the exemption from the land disposal
        restrictions described in section 9(a)(1), no provision''; and
            (2) in subsection (b)(2), by striking ``including all terms and
        conditions of the No-Migration Determination'' and inserting
        ``except that the transuranic mixed waste designated by the
        Secretary for disposal at WIPP is exempt from the land disposal
        restrictions described in section 9(a)(1)''.
    SEC. 3189. SENSE OF CONGRESS ON COMMENCEMENT OF EMPLACEMENT OF
    TRANSURANIC WASTE.
        (a) In General.--Section 10 of the Waste Isolation Pilot Plant Land
    Withdrawal Act (106 Stat. 4789) is amended to read as follows:
        ``SEC. 10. SENSE OF CONGRESS ON COMMENCEMENT OF EMPLACEMENT OF
          TRANSURANIC WASTE.
        ``It is the sense of Congress that the Secretary should complete
    all actions required under section 7(b) to commence emplacement of
    transuranic waste underground for disposal at WIPP not later than
    November 30, 1997, provided that before that date all applicable health
    and safety standards have been met and all applicable laws have been
    complied with.''.
        (b) Clerical Amendment.--The item relating to section 10 in the
    table of contents in section 1 is amended to read as follows:
    ``Sec. 10. Sense of Congress on commencement of emplacement of
    transuranic waste.''.

    SEC. 3190. DECOMMISSIONING OF WIPP.

        Section 13 of the Waste Isolation Pilot Plant Land Withdrawal Act
    (106 Stat. 4791) is amended--
            (1) by striking subsection (a); and
            (2) by striking ``(b) Management Plan for the Withdrawal After
        Decommissioning.--Within 5 years after the date of the enactment of
        this Act, the'' and inserting ``The''.
    SEC. 3191. AUTHORIZATIONS FOR ECONOMIC ASSISTANCE AND MISCELLANEOUS
    PAYMENTS.
        (a) Authorization Amendment.--Section 15(a) of the Waste Isolation
    Pilot Plant Land Withdrawal Act (106 Stat. 4791) is amended--
            (1) in the subsection caption, by striking ``15-Year'' and
        inserting ``14-Year''; and
            (2) by striking ``15 fiscal years beginning with the fiscal
        year in which the transport of transuranic waste to WIPP is
        initiated'' and inserting ``14 fiscal years beginning with fiscal
        year 1998''.
        (b) Requirement for Separate Authorizations.--Such section 15(a) is
    further amended by adding at the end the following: ``The authorization
    of appropriations for funds for payments to the State under the
    preceding sentence shall be separate from any authorization of
    appropriations of funds for WIPP.''.
        (c) Fiscal Year 1997 Funding.--Of the amount authorized to be
    appropriated for the Department of Energy by section 3102(b),
    $20,000,000 shall be available for the purpose of a payment by the
    Secretary of Energy to the State of New Mexico for road improvements in
    connection with the Waste Isolation Pilot Plant.

              TITLE XXXII--DEFENSE NUCLEAR FACILITIES SAFETY BOARD

    Sec. 3201. Authorization.

    SEC. 3201. AUTHORIZATION.

        There are authorized to be appropriated for fiscal year 1997,
    $17,000,000 for the operation of the Defense Nuclear Facilities Safety
    Board under chapter 21 of the Atomic Energy Act of 1954 (42 U.S.C. 2286
    et seq.).

                    TITLE XXXIII--NATIONAL DEFENSE STOCKPILE

             Subtitle A--Authorization of Disposals and Use of Funds

    Sec. 3301. Definitions.
    Sec. 3302. Authorized uses of stockpile funds.
    Sec. 3303. Disposal of certain materials in National Defense Stockpile.

                         Subtitle B--Programmatic Change

    Sec. 3311. Biennial report on stockpile requirements.
    Sec. 3312. Notification requirements.
    Sec. 3313. Importation of strategic and critical materials.

            Subtitle A--Authorization of Disposals and Use of Funds

    SEC. 3301. DEFINITIONS.

        In this title:
            (1) The term ``National Defense Stockpile'' means the stockpile
        provided for in section 4 of the Strategic and Critical Materials
        Stock Piling Act (50 U.S.C. 98c).
            (2) The term ``National Defense Stockpile Transaction Fund''
        means the fund in the Treasury of the United States established
        under section 9(a) of the Strategic and Critical Materials Stock
        Piling Act (50 U.S.C. 98h(a)).

    SEC. 3302. AUTHORIZED USES OF STOCKPILE FUNDS.

        (a) Obligation of Stockpile Funds.--During fiscal year 1997, the
    National Defense Stockpile Manager may obligate up to $60,000,000 of
    the funds in the National Defense Stockpile Transaction Fund for the
    authorized uses of such funds under section 9(b)(2) of the Strategic
    and Critical Materials Stock Piling Act (50 U.S.C. 98h(b)(2)).
        (b) Additional Obligations.--The National Defense Stockpile Manager
    may obligate amounts in excess of the amount specified in subsection
    (a) if the National Defense Stockpile Manager notifies Congress that
    extraordinary or emergency conditions necessitate the additional
    obligations. The National Defense Stockpile Manager may make the
    additional obligations described in the notification after the end of
    the 45-day period beginning on the date Congress receives the
    notification.
        (c) Limitations.--The authorities provided by this section shall be
    subject to such limitations as may be provided in appropriations Acts.
    SEC. 3303. DISPOSAL OF CERTAIN MATERIALS IN NATIONAL DEFENSE STOCKPILE.
        (a) Disposal Required.--Subject to subsection (c), the President
    shall dispose of materials contained in the National Defense Stockpile
    and specified in the table in subsection (b) so as to result in
    receipts to the United States in amounts equal to--
            (1) $81,000,000 during fiscal year 1997; and
            (2) $612,000,000 during the ten-fiscal year period ending
        September 30, 2006.
        (b) Limitation on Disposal Quantity.--The total quantities of
    materials authorized for disposal by the President under subsection (a)
    may not exceed the amounts set forth in the following table:

                         Authorized Stockpile Disposals
    ------------------------------------------------------------------------
       Material for disposal                              Quantity
    ------------------------------------------------------------------------
    Aluminum..................................  62,881 short tons
    Cobalt....................................  26,000,000 pounds contained
    Columbium Ferro...........................  930,911 pounds contained
    Germanium Metal...........................  40,000 kilograms
    Indium....................................  35,000 troy ounces
    Palladium.................................  15,000 troy ounces
    Platinum..................................  10,000 troy ounces
    Rubber, Natural...........................  125,138 long tons
    Tantalum, Carbide Powder..................  6,000 pounds contained
    Tantalum, Minerals........................  750,000 pounds contained
    Tantalum, Oxide...........................  40,000 pounds contained
    ------------------------------------------------------------------------

        (c) Minimization of Disruption and Loss.--The President may not
    dispose of materials under subsection (a) to the extent that the
    disposal will result in--
            (1) undue disruption of the usual markets of producers,
        processors, and consumers of the materials proposed for disposal;
        or
            (2) avoidable loss to the United States.
        (d) Treatment of Receipts.--Notwithstanding section 9 of the
    Strategic and Critical Materials Stock Piling Act (50 U.S.C. 98h),
    funds received as a result of the disposal of materials under
    subsection (a) shall be--
            (1) deposited into the general fund of the Treasury; and
            (2) to the extent necessary, used to offset the revenues that
        will be lost as a result of execution of the amendments made by
        section 4303(a) of the National Defense Authorization Act for
        Fiscal Year 1996 (Public Law 104-106; 110 Stat. 658).
        (e) Qualifying Offsetting Legislation.--This section is
    specifically enacted as qualifying offsetting legislation for the
    purpose of offsetting fully the estimated revenues lost as a result of
    the amendments made by subsection (a) of section 4303 of the National
    Defense Authorization Act for Fiscal Year 1996 (Public Law 104-106; 110
    Stat. 658), and as such is deemed to satisfy the conditions in
    subsection (b) of such section.
        (f) Relationship to Other Disposal Authority.--The disposal
    authority provided in subsection (a) is new disposal authority and is
    in addition to, and shall not affect, any other disposal authority
    provided by law regarding the materials specified in such subsection.

                        Subtitle B--Programmatic Change

    SEC. 3311. BIENNIAL REPORT ON STOCKPILE REQUIREMENTS.

        (a) National Emergency Planning Assumptions.--Section 14 of the
    Strategic and Critical Materials Stock Piling Act (50 U.S.C. 98h-5) is
    amended--
            (1) by redesignating subsection (c) as subsection (e); and
            (2) by striking out subsection (b) and inserting in lieu
        thereof the following new subsection:
        ``(b) Each report under this section shall set forth the national
    emergency planning assumptions used by the Secretary in making the
    Secretary's recommendations under subsection (a)(1) with respect to
    stockpile requirements. The Secretary shall base the national emergency
    planning assumptions on a military conflict scenario consistent with
    the scenario used by the Secretary in budgeting and defense planning
    purposes. The assumptions to be set forth include assumptions relating
    to each of the following:
            ``(1) The length and intensity of the assumed military
        conflict.
            ``(2) The military force structure to be mobilized.
            ``(3) The losses anticipated from enemy action.
            ``(4) The military, industrial, and essential civilian
        requirements to support the national emergency.
            ``(5) The availability of supplies of strategic and critical
        materials from foreign sources during the mobilization period, the
        military conflict, and the subsequent period of replenishment,
        taking into consideration possible shipping losses.
            ``(6) The domestic production of strategic and critical
        materials during the mobilization period, the military conflict,
        and the subsequent period of replenishment, taking into
        consideration possible shipping losses.
            ``(7) Civilian austerity measures required during the
        mobilization period and military conflict.
        ``(c) The stockpile requirements shall be based on those strategic
    and critical materials necessary for the United States to replenish or
    replace, within three years of the end of the military conflict
    scenario required under subsection (b), all munitions, combat support
    items, and weapons systems that would be required after such a military
    conflict.
        ``(d) The Secretary shall also include in each report under this
    section an examination of the effect that alternative mobilization
    periods under the military conflict scenario required under subsection
    (b), as well as a range of other military conflict scenarios addressing
    potentially more serious threats to national security, would have on
    the Secretary's recommendations under subsection (a)(1) with respect to
    stockpile requirements.''.
        (b) Conforming Amendment.--Section 2 of such Act (50 U.S.C. 98a) is
    amended by striking out subsection (c) and inserting in lieu thereof
    the following new subsection:
        ``(c) The purpose of the National Defense Stockpile is to serve the
    interest of national defense only. The National Defense Stockpile is
    not to be used for economic or budgetary purposes.''.
        (c) Effective Date.--The amendments made by this section shall take
    effect on October 1, 1996.

    SEC. 3312. NOTIFICATION REQUIREMENTS.

        (a) Proposed Changes in Stockpile Quantities.--Section 3(c)(2) of
    the Strategic and Critical Materials Stock Piling Act (50 U.S.C.
    98b(c)(2)) is amended--
            (1) by striking out ``effective on or after the 30th
        legislative day following'' and inserting in lieu thereof ``after
        the end of the 45-day period beginning on''; and
            (2) by striking out the last sentence.
        (b) Waiver of Acquisition and Disposal Requirements.--Section
    6(d)(1) of such Act (50 U.S.C. 98e(d)(1)) is amended by striking out
    ``thirty days'' and inserting in lieu thereof ``45 days''.
        (c) Time To Begin Disposal.--Section 6(d)(2) of such Act (50 U.S.C.
    98e(d)(2)) is amended by striking out ``thirty days'' and inserting in
    lieu thereof ``45 days''.

    SEC. 3313. IMPORTATION OF STRATEGIC AND CRITICAL MATERIALS.

        Section 13 of the Strategic and Critical Materials Stock Piling Act
    (50 U.S.C. 98h-4) is amended--
            (1) by striking out ``as a Communist-dominated country or
        area''; and
            (2) by striking out ``such Communist-dominated countries or
        areas'' and inserting in lieu thereof ``a country or area listed in
        such general note''.

                     TITLE XXXIV--NAVAL PETROLEUM RESERVES

    Sec. 3401. Authorization of appropriations.
    Sec. 3402. Price requirement on sale of certain petroleum during fiscal
              year 1997.

    SEC. 3401. AUTHORIZATION OF APPROPRIATIONS.

        There is hereby authorized to be appropriated to the Secretary of
    Energy $149,500,000 for fiscal year 1997 for the purpose of carrying
    out activities under chapter 641 of title 10, United States Code,
    relating to the naval petroleum reserves (as defined in section 7420(2)
    of such title). Funds appropriated pursuant to such authorization shall
    remain available until expended.
    SEC. 3402. PRICE REQUIREMENT ON SALE OF CERTAIN PETROLEUM DURING FISCAL
    YEAR 1997.
        Notwithstanding section 7430(b)(2) of title 10, United States Code,
    during fiscal year 1997, any sale of any part of the United States
    share of petroleum produced from Naval Petroleum Reserves Numbered 1,
    2, and 3 shall be made at a price not less than 90 percent of the
    current sales price, as estimated by the Secretary of Energy, of
    comparable petroleum in the same area.

                      TITLE XXXV--PANAMA CANAL COMMISSION

                   Subtitle A--Authorization of Appropriations

    Sec. 3501. Short title.
    Sec. 3502. Authorization of expenditures.
    Sec. 3503. Purchase of vehicles.
    Sec. 3504. Expenditures only in accordance with treaties.

               Subtitle B--Amendments to Panama Canal Act of 1979

    Sec. 3521. Short title; references.
    Sec. 3522. Definitions and recommendation for legislation.
    Sec. 3523. Administrator.
    Sec. 3524. Deputy Administrator and Chief Engineer.
    Sec. 3525. Office of Ombudsman.
    Sec. 3526. Appointment and compensation; duties.
    Sec. 3527. Applicability of certain benefits.
    Sec. 3528. Travel and transportation.
    Sec. 3529. Clarification of definition of agency.
    Sec. 3530. Panama Canal Employment System; merit and other employment
              requirements.
    Sec. 3531. Employment standards.
    Sec. 3532. Repeal of obsolete provision regarding interim application of
              Canal Zone Merit System.
    Sec. 3533. Repeal of provision relating to recruitment and retention
              remuneration.
    Sec. 3534. Benefits based on basic pay.
    Sec. 3535. Vesting of general administrative authority of commission.
    Sec. 3536. Applicability of certain laws.
    Sec. 3537. Repeal of provision relating to transferred or reemployed
              employees.
    Sec. 3538. Administration of special disability benefits.
    Sec. 3539. Panama Canal Revolving Fund.
    Sec. 3540. Printing.
    Sec. 3541. Accounting policies.
    Sec. 3542. Interagency services; reimbursements.
    Sec. 3543. Postal service.
    Sec. 3544. Investigation of accidents or injury giving rise to claim.
    Sec. 3545. Operations regulations.
    Sec. 3546. Miscellaneous repeals.
    Sec. 3547. Exemption from Metric Conversion Act of 1975.
    Sec. 3548. Conforming and clerical amendments.
    Sec. 3549. Repeal of Panama Canal Code.

                  Subtitle A--Authorization of Appropriations

    SEC. 3501. SHORT TITLE.

        This subtitle may be cited as the ``Panama Canal Commission
    Authorization Act for Fiscal Year 1997''.

    SEC. 3502. AUTHORIZATION OF EXPENDITURES.

        (a) In General.--Subject to subsection (b), the Panama Canal
    Commission is authorized to use amounts in the Panama Canal Revolving
    Fund to make such expenditures within the limits of funds and borrowing
    authority available to it in accordance with law, and to make such
    contracts and commitments, as may be necessary under the Panama Canal
    Act of 1979 (22 U.S.C. 3601 et seq.) for the operation, maintenance,
    improvement, and administration of the Panama Canal for fiscal year
    1997.
        (b) Limitations.--For fiscal year 1997, the Panama Canal Commission
    may expend from funds in the Panama Canal Revolving Fund not more than
    $73,000 for reception and representation expenses, of which--
            (1) not more than $18,000 may be used for official reception
        and representation expenses of the Supervisory Board of the
        Commission;
            (2) not more than $10,000 may be used for official reception
        and representation expenses of the Secretary of the Commission; and
            (3) not more than $45,000 may be used for official reception
        and representation expenses of the Administrator of the Commission.

    SEC. 3503. PURCHASE OF VEHICLES.

        Notwithstanding any other provisions of law, the funds available to
    the Commission shall be available for the purchase and transportation
    to the Republic of Panama of passenger motor vehicles, including large,
    heavy-duty vehicles.

    SEC. 3504. EXPENDITURES ONLY IN ACCORDANCE WITH TREATIES.

        Expenditures authorized under this subtitle may be made only in
    accordance with the Panama Canal Treaties of 1977 and any law of the
    United States implementing those treaties.

               Subtitle B--Amendments to Panama Canal Act of 1979

    SEC. 3521. SHORT TITLE; REFERENCES.

        (a) Short Title.--This subtitle may be cited as the ``Panama Canal
    Act Amendments of 1996''.
        (b) References.--Except as otherwise expressly provided, whenever
    in this subtitle an amendment or repeal is expressed in terms of an
    amendment to, or repeal of, a section or other provision, the reference
    shall be considered to be made to a section or other provision of the
    Panama Canal Act of 1979 (22 U.S.C. 3601 et seq.).

    SEC. 3522. DEFINITIONS AND RECOMMENDATION FOR LEGISLATION.

        Section 3 (22 U.S.C. 3602) is amended--
            (1) in subsection (b), by inserting ``and'' after the semicolon
        at the end of paragraph (4), by striking the semicolon at the end
        of paragraph (5) and inserting a period, and striking paragraphs
        (6) and (7); and
            (2) by striking subsection (d).

    SEC. 3523. ADMINISTRATOR.

        (a) In General.--Section 1103 (22 U.S.C. 3613) is amended to read
    as follows:

                                 ``administrator

        ``Sec. 1103. (a) There shall be an Administrator of the Commission
    who shall be appointed by the President, by and with the advice and
    consent of the Senate, and shall hold office at the pleasure of the
    President.
        ``(b) The Administrator shall be paid compensation in an amount,
    established by the Board, not to exceed level III of the Executive
    Schedule.''.
        (b) Savings Provisions.--Nothing in this section (or section
    3549(3)) shall be considered to affect--
            (1) the tenure of the individual serving as Administrator of
        the Commission on the day before subsection (a) takes effect; or
            (2) until modified under section 1103(b) of the Panama Canal
        Act of 1979, as amended by subsection (a), the compensation of the
        individual so serving.

    SEC. 3524. DEPUTY ADMINISTRATOR AND CHIEF ENGINEER.

        (a) In General.--Section 1104 (22 U.S.C. 3614) is amended to read
    as follows:

                              ``deputy administrator

        ``Sec. 1104. (a) There shall be a Deputy Administrator of the
    Commission who shall be appointed by the President. The Deputy
    Administrator shall perform such duties as may be prescribed by the
    Board.
        ``(b) The Deputy Administrator shall be paid compensation at a rate
    of pay, established by the Board, which does not exceed the rate of
    basic pay in effect for level IV of the Executive Schedule, and, if
    eligible, shall be paid the overseas recruitment and retention
    differential provided for in section 1217 of this Act.''.
        (b) Savings Provisions.--Nothing in this section shall be
    considered to affect--
            (1) the tenure of the individual serving as Deputy
        Administrator of the Commission on the day before subsection (a)
        takes effect; or
            (2) until modified under section 1104(b) of the Panama Canal
        Act of 1979, as amended by subsection (a), the compensation of the
        individual so serving.

    SEC. 3525. OFFICE OF OMBUDSMAN.

        Section 1113 (22 U.S.C. 3623) is amended by striking subsection (d)
    and redesignating subsection (e) as subsection (d).

    SEC. 3526. APPOINTMENT AND COMPENSATION; DUTIES.

        Section 1202 (22 U.S.C. 3642) is amended to read as follows:

                      ``appointment and compensation; duties

        ``Sec. 1202. (a) In accordance with this chapter, the Commission
    may appoint, fix the compensation of, and define the authority and
    duties of officers and employees (other than the Administrator and
    Deputy Administrator) necessary for the management, operation, and
    maintenance of the Panama Canal and its complementary works,
    installations, and equipment.
        ``(b) Individuals serving in any Executive agency (other than the
    Commission) or the Smithsonian Institution, including individuals in
    the uniformed services, may, if appointed under this section or section
    1104 of this Act, serve as officers or employees of the Commission.''.

    SEC. 3527. APPLICABILITY OF CERTAIN BENEFITS.

        Section 1209 (22 U.S.C. 3649) is amended to read as follows:

                       ``applicability of certain benefits

        ``Sec. 1209. Chapter 81 of title 5, United States Code, relating to
    compensation for work injuries, chapters 83 and 84 of such title 5,
    relating to retirement, chapter 87 of such title 5, relating to life
    insurance, and chapter 89 of such title 5, relating to health
    insurance, are applicable to Commission employees, except any
    individual--
            ``(1) who is not a citizen of the United States;
            ``(2) whose initial appointment by the Commission occurs after
        October 1, 1979; and
            ``(3) who is covered by the Social Security System of the
        Republic of Panama pursuant to any provision of the Panama Canal
        Treaty of 1977 and related agreements.''.

    SEC. 3528. TRAVEL AND TRANSPORTATION.

        Section 1210 (22 U.S.C. 3650) is amended to read as follows:

                           ``travel and transportation

        ``Sec. 1210. (a) Subject to subsections (b) and (c), the Commission
    may pay travel and transportation expenses for employees in accordance
    with subchapter II of chapter 57 of title 5, United States Code.
        ``(b) For an employee to whom section 1206 applies, the Commission
    may pay travel and transportation expenses associated with vacation
    leave for the employee and the immediate family of the employee
    notwithstanding requirements regarding periods of service established
    by subchapter II of chapter 57 oftitle 5, United States Code, or the
    regulations promulgated thereunder.
        ``(c) For an employee to whom section 1206 does not apply, the
    Commission may pay travel and transportation expenses associated with
    vacation leave for the employee and the immediate family of the
    employee notwithstanding requirements regarding a written agreement
    concerning the duration of a continuing service obligation established
    by subchapter II of chapter 57 of title 5, United States Code, or the
    regulations promulgated thereunder.
        ``(d)(1) Notwithstanding any other provision of law (except
    paragraph (2)), the Commission may contract with Panamanian carriers
    registered under the laws of the Republic of Panama to provide air
    transportation to officials and employees of the Commission who are
    citizens of the Republic of Panama.
        ``(2) Notwithstanding paragraph (1), an official or employee of the
    Commission referred to in paragraph (1) may elect, for security or
    other reasons, to travel by an air carrier holding a certificate under
    section 41102 of title 49, United States Code.''.

    SEC. 3529. CLARIFICATION OF DEFINITION OF AGENCY.

        Subparagraph (B) of section 1211(1) (22 U.S.C. 3651(1)(B)) is
    amended to read as follows:
                ``(B) any other Executive agency or the Smithsonian
            Institution, to the extent of any election in effect under
            section 1212(b) of this Act;''.
    SEC. 3530. PANAMA CANAL EMPLOYMENT SYSTEM; MERIT AND OTHER EMPLOYMENT
    REQUIREMENTS.
        (a) In General.--Section 1212 (22 U.S.C. 3652) is amended to read
    as follows:

          ``panama canal employment system; merit and other employment
                                  requirements

        ``Sec. 1212. (a) The Commission shall establish a Panama Canal
    Employment System and prescribe the regulations necessary for its
    administration. The Panama Canal Employment System shall--
            ``(1) be established in accordance with and be subject to the
        provisions of the Panama Canal Treaty of 1977 and related
        agreements, the provisions of this chapter, and any other
        applicable provision of law;
            ``(2) be based on the consideration of the merit of each
        employee or candidate for employment and the qualifications and
        fitness of the employee to hold the position concerned;
            ``(3) conform, to the extent practicable and consistent with
        the provisions of this Act, to the policies, principles, and
        standards applicable to the competitive service;
            ``(4) in the case of employees who are citizens of the United
        States, provide for the appropriate interchange of those employees
        between positions under the Panama Canal Employment System and
        positions in the competitive service; and
            ``(5) not be subject to the provisions of title 5, United
        States Code, unless specifically made applicable by this Act.
        ``(b)(1) The head of any Executive agency (other than the
    Commission) and the Smithsonian Institution may elect to have the
    Panama Canal Employment System made applicable in whole or in part to
    personnel of that agency in the Republic of Panama.
        ``(2) Any Executive agency (other than the Commission) and the
    Smithsonian Institution, to the extent of any election under paragraph
    (1), shall conduct its employment and pay practices relating to
    employees in accordance with the Panama Canal Employment System.
        ``(3) Notwithstanding any other provision of this Act or the Panama
    Canal Act Amendments of 1996, this subchapter, as last in effect before
    the effective date of section 3530 of the Panama Canal Act Amendments
    of 1996, shall continue to apply to an Executive agency or the
    Smithsonian Institution to the extent of an election under paragraph
    (1) by the head of agency or the Institution, respectively.
        ``(c) The Commission may exclude any employee or position from
    coverage under any provision of this subchapter, other than the
    interchange rights extended under subsection (a)(4).''.
        (b) Savings Provisions.--The Panama Canal Employment System and all
    elections, rules, regulations, and orders relating thereto, as last in
    effect before the amendment made by subsection (a) takes effect, shall
    continue in effect, according to their terms, until modified,
    terminated, or superseded under section 1212 of the Panama Canal Act of
    1979, as amended by subsection (a).
    SEC. 3531. EMPLOYMENT STANDARDS.
        Section 1213 (22 U.S.C. 3653) is amended in the first sentence by
    striking ``The head of each agency'' and inserting ``The Commission''.
    SEC. 3532. REPEAL OF OBSOLETE PROVISION REGARDING INTERIM APPLICATION
    OF CANAL ZONE MERIT SYSTEM.
        Section 1214 (22 U.S.C. 3654) is repealed.
    SEC. 3533. REPEAL OF PROVISION RELATING TO RECRUITMENT AND RETENTION
    REMUNERATION.
        Section 1217(d) (22 U.S.C. 3657(d)) is repealed.
    SEC. 3534. BENEFITS BASED ON BASIC PAY.
        Section 1218(2) (22 U.S.C. 3658(2)) is amended to read as follows:
            ``(2) benefits under subchapter III of chapter 83 or chapter 84
        of title 5, United States Code, relating to retirement;''.
    SEC. 3535. VESTING OF GENERAL ADMINISTRATIVE AUTHORITY OF COMMISSION.
        Section 1223 (22 U.S.C. 3663) is amended to read as follows:

                            ``central examining office

        ``Sec. 1223. The Commission shall establish a Central Examining
    Office. The purpose of the office shall be to implement the provisions
    of the Panama Canal Treaty of 1977 and related agreements with respect
    to recruitment, examination, determination of qualification standards,
    and similar matters relating to employment of the Commission.''.
    SEC. 3536. APPLICABILITY OF CERTAIN LAWS.
        Section 1224 (22 U.S.C. 3664) is amended to read as follows:

                  ``applicability of title 5, united states code

        ``Sec. 1224. The following provisions of title 5, United States
    Code, apply to the Panama Canal Commission:
            ``(1) Part I of title 5 (relating to agencies generally).
            ``(2) Chapter 21 (relating to employee definitions).
            ``(3) Section 2302(b)(8) (relating to whistleblower protection)
        and all provisions of title 5 relating to the administration or
        enforcement or any other aspect thereof, as identified in
        regulations prescribed by the Commission in consultation with the
        Office of Personnel Management.
            ``(4) All provisions relating to preference eligibles.
            ``(5) Section 5514 (relating to offset from salary).
            ``(6) Section 5520a (relating to garnishments).
            ``(7) Sections 5531-5535 (relating to dual pay and employment).
            ``(8) Subchapter VI of chapter 55 (relating to accumulated and
        accrued leave).
            ``(9) Subchapter IX of chapter 55 (relating to severance and
        back pay).
            ``(10) Chapter 57 (relating to travel, transportation, and
        subsistence).
            ``(11) Chapter 59 (relating to allowances).
            ``(12) Chapter 63 (relating to leave for CONUS employees).
            ``(13) Section 6323 (relating to military leave; Reserves and
        National Guardsmen).
            ``(14) Chapter 71 (relating to labor relations).
            ``(15) Subchapters II and III of chapter 73 (relating to
        employment limitations and political activities, respectively) and
        all provisions of title 5 relating to the administration or
        enforcement or any other aspect thereof, as identified in
        regulations prescribed by the Commission in consultation with the
        Office of Personnel Management.
            ``(16) Chapter 81 (relating to compensation for work injuries).
            ``(17) Chapters 83 and 84 (relating to retirement).
            ``(18) Chapter 85 (relating to unemployment compensation).
            ``(19) Chapter 87 (relating to life insurance).
            ``(20) Chapter 89 (relating to health insurance).''.
    SEC. 3537. REPEAL OF PROVISION RELATING TO TRANSFERRED OR REEMPLOYED
    EMPLOYEES.
        Section 1231(a)(3) (22 U.S.C. 3671(a)(3)) is repealed.
    SEC. 3538. ADMINISTRATION OF SPECIAL DISABILITY BENEFITS.
        Section 1245 (22 U.S.C. 3682) is amended by striking so much as
    precedes subsection (b) and inserting the following:

                 ``administration of certain disability benefits

        ``Sec. 1245. (a)(1) The Commission, or any other United States
    Government agency or private entity acting pursuant to an agreement
    with the Commission, under the Act entitled `An Act authorizing cash
    relief for certain employees of the Panama Canal not coming within the
    provisions of the Canal Zone Retirement Act', approved July 8, 1937 (50
    Stat. 478; 68 Stat. 17), may continue the payments of cash relief to
    those individual former employees of the Canal Zone Government or
    Panama Canal Company or their predecessor agencies not coming within
    the scope of the former Canal Zone Retirement Act whose services were
    terminated prior to October 5, 1958, because of unfitness for further
    useful service by reason of mental or physical disability resulting
    from age or disease.
        ``(2) Subject to subsection (b), cash relief under this subsection
    may not exceed $1.50 per month for each year of service of the
    employees so furnished relief, with a maximum of $45 per month, plus
    the amount of any cost-of-living increases in such cash relief granted
    before October 1, 1979, pursuant to section 181 of title 2 of the Canal
    Zone Code (as in effect on September 30, 1979), nor be paid to any
    employee who, at the time of termination for disability prior to
    October 5, 1958, had less than 10 years' service with the Canal Zone
    Government, the Panama Canal Company, or their predecessor agencies on
    the Isthmus of Panama.''.
    SEC. 3539. PANAMA CANAL REVOLVING FUND.
        Section 1302 of the Panama Canal Act of 1979 (22 U.S.C. 3712) is
    amended to read as follows:

                          ``panama canal revolving fund

        ``Sec. 1302. (a) There is established in the Treasury of the United
    States a revolving fund to be known as `Panama Canal Revolving Fund'.
    The Panama Canal Revolving Fund shall, subject to subsection (b), be
    available to the Commission to carry out the purposes, functions, and
    powers authorized by this Act, including for--
            ``(1) the hire of passenger motor vehicles and aircraft;
            ``(2) uniforms or allowances therefor;
            ``(3) official receptions and representation expenses of the
        Board, the Secretary of the Commission, and the Administrator;
            ``(4) the operation of guide services;
            ``(5) a residence for the Administrator;
            ``(6) disbursements by the Administrator for employee and
        community projects;
            ``(7) the procurement of expert and consultant services;
            ``(8) promotional activities, including the preparation,
        distribution, or use of any kit, pamphlet, booklet, publication,
        radio, television, film, or other media presentation designed to
        promote the Panama Canal as a resource of the world shipping
        industry; and
            ``(9) the purchase and transportation to the Republic of Panama
        of passenger motor vehicles, including large, heavy-duty vehicles.
        ``(b)(1) There shall be deposited in the Panama Canal Revolving
    Fund, on a continuing basis, toll receipts (other than amounts of toll
    receipts deposited into the Panama Canal Commission Dissolution Fund
    under section 1305) and all other receipts of the Commission. Except as
    provided in section 1303, no funds may be obligated or expended by the
    Commission inany fiscal year unless such obligation or expenditure has
    been specifically authorized by law.
        ``(2) No funds may be authorized for the use of the Commission, or
    obligated or expended by the Commission in any fiscal year; in excess
    of--
            ``(A) the amount of revenues deposited in the Panama Canal
        Revolving Fund and the Panama Canal Commission Dissolution Fund
        during such fiscal year; plus
            ``(B) the amount of revenues deposited in the Panama Canal
        Revolving Fund before such fiscal year and remaining unobligated at
        the beginning of such fiscal year; plus
            ``(C) the $100,000,000 borrowing authority provided for in
        section 1304 of this Act.
    Not later than 30 days after the end of each fiscal year, the Secretary
    of the Treasury shall report to the Congress the amount of revenues
    deposited in the Panama Canal Revolving Fund during such fiscal year.
        ``(c) With the approval of the Secretary of the Treasury, the
    Commission may deposit amounts in the Panama Canal Revolving Fund in
    any Federal Reserve bank, any depositary for public funds, or such
    other place and in such manner as the Commission and the Secretary may
    agree.
        ``(d)(1) It is the sense of the Congress that the additional costs
    resulting from the implementation of the Panama Canal Treaty of 1977
    and related agreements should be kept to the absolute minimum level. To
    this end, the Congress declares appropriated costs of implementation to
    be borne by the taxpayers over the life of such Treaty should be kept
    to a level no greater than the March 1979 estimate of those costs
    ($870,700,000) presented to the Congress by the executive branch during
    consideration of this Act by the Congress, less personnel retirement
    costs of $205,000,000, which were subtracted and charged to tolls,
    therefore resulting in net taxpayer cost of approximately $665,700,000,
    plus appropriate adjustments for inflation.
        ``(2) It is further the sense of the Congress that the actual costs
    of implementation be consistent with the obligations of the United
    States to operate the Panama Canal safely and efficiently and keep it
    secure.''.

    SEC. 3540. PRINTING.

        Title I is amended in chapter 3 (22 U.S.C. 3711 et seq.) by adding
    at the end of subchapter I the following new section:

                                    ``printing

        ``Sec. 1306. (a) Section 501 of title 44, United States Code, shall
    not apply to direct purchase by the Commission for its use of printing,
    binding, and blank-book work in the Republic of Panama when the
    Commission determines that such direct purchase is in the best interest
    of the Government.
        ``(b) This section shall not affect the Commission's authority,
    under chapter 5 of title 44, United States Code, to operate a field
    printing plant.''.

    SEC. 3541. ACCOUNTING POLICIES.

        (a) Section 1311.--Section 1311(a) (22 U.S.C. 3721(a)) is amended
    by striking out ``the Accounting and Auditing Act of 1950 (31 U.S.C. 65
    et seq.)'' in the first sentence and inserting in lieu thereof
    ``chapter 91 of title 31, United States Code,''.
        (b) Section 1313.--Section 1313 (22 U.S.C. 3723) is amended by
    striking out ``the Accounting and Auditing Act of 1950 (31 U.S.C. 65 et
    seq.)'' in subsections (a) and (c) and inserting in lieu thereof
    ``chapter 91 of title 31, United States Code,''.

    SEC. 3542. INTERAGENCY SERVICES; REIMBURSEMENTS.

        Section 1321(e) (22 U.S.C. 3731(e)) is amended by adding at the end
    the following sentence:
    ``Notwithstanding the provisions relating to the availability of
    adequate schools contained in section 5924(4)(A) of title 5, United
    States Code, the Commission shall by regulation determine the extent to
    which costs of educational services may be defrayed under this
    subsection.''.

    SEC. 3543. POSTAL SERVICE.

        Section 1331 (22 U.S.C. 3741) is amended to read as follows:

                                 ``postal service

        ``Sec. 1331. (a) The Commission shall take possession of and
    administer the funds of the Canal Zone postal service and shall assume
    its obligations.
        ``(b) Effective December 1, 1999, neither the Commission nor the
    United States Government shall be responsible for the distribution of
    any accumulated unpaid balances relating to Canal Zone postal-savings
    deposits, postal-savings certificates, and postal money orders.
        ``(c) Mail addressed to the Canal Zone from or through the
    continental United States may be routed by the United States Postal
    Service to the military post offices of the United States Armed Forces
    in the Republic of Panama. Such military post offices shall provide the
    required directory services and shall accept such mail to the extent
    permitted under the Panama Canal Treaty of 1977 and related agreements.
    The Commission shall furnish personnel, records, and other services to
    such military post offices to assure wherever appropriate the
    distribution, rerouting, or return of such mail.''.
    SEC. 3544. INVESTIGATION OF ACCIDENTS OR INJURY GIVING RISE TO CLAIM.
        Section 1417(1) (22 U.S.C. 3777(1)) is amended to read as follows:
            ``(1) an investigation of the accident or injury giving rise to
        the claim has been completed, which shall include a hearing by the
        Board of Local Inspectors of the Commission; and''.

    SEC. 3545. OPERATIONS REGULATIONS.

        Section 1801 (22 U.S.C. 3811) is amended by striking ``President''
    and inserting ``Commission''.

    SEC. 3546. MISCELLANEOUS REPEALS.

        (a) Repeals.--The following provisions are repealed:
            (1) Section 1605 (22 U.S.C. 3795), relating to interim toll
        adjustment.
            (2) Section 1701 (22 U.S.C. 3801), relating to the authority of
        the President to prescribe certain regulations.
            (3) Section 1702 (22 U.S.C. 3802), relating to the authority of
        the Panama Canal Commission to prescribe certain regulations.
            (4) Title II (22 U.S.C. 3841-3852), relating to the Treaty
        transition period.
            (5) Chapter 1 of title III (22 U.S.C. 3861), relating to
        cemeteries.
            (6) Section 1246, relating to appliances for certain injured
        employees.
            (7) Section 1251, relating to leave for jury or witness
        service.
            (8) Section 1301, relating to Canal Zone Government funds.
            (9) Section 1313(c), relating to audits.
        (b) Conforming Amendments.--Section 1313 is further amended by
    redesignating subsections (d) and (e) as subsections (c) and (d),
    respectively.

    SEC. 3547. EXEMPTION FROM METRIC CONVERSION ACT OF 1975.

        Section 3302 is amended to read as follows:

                  ``exemption from metric conversion act of 1975

        ``Sec. 3302. The Commission is exempt from the provisions of the
    Metric Conversion Act of 1975 (15 U.S.C. 205a et seq.).''.

    SEC. 3548. CONFORMING AND CLERICAL AMENDMENTS.

        (a) Title 5 Employment Law.--Title 5, United States Code, is
    amended as follows:
            (1) Section 3401(1) is amended--
                (A) by striking out clause (v); and
                (B) by redesignating clauses (vi), (vii), and (viii) as
            clauses (v), (vi), and (vii), respectively.
            (2) Section 5102 is amended--
                (A) in subsection (a)(1)--
                    (i) by striking out clause (vi); and
                    (ii) by redesignating clauses (vii), (viii), (ix), (x),
                and (xi) as clauses (vi), (vii), (viii), (ix), and (x),
                respectively; and
                (B) in subsection (c), by striking out paragraph (12).
            (3) Subchapter IV of chapter 53 is amended--
                (A) in section 5342(a)(1)--
                    (i) by striking out subparagraph (G); and
                    (ii) by redesignating subparagraphs (H), (I), (J), (K),
                and (L) as subparagraphs (G), (H), (I), (J), and (K)
                respectively;
                (B) in section 5343(a)(5), by striking out ``the areas and
            installations in the Republic of Panama'' and all that follows
            through ``Panama Canal Act of 1979),''; and
                (C) in section 5348--
                    (i) by striking out subsection (b);
                    (ii) by redesignating subsection (c) as subsection (b);
                and
                    (iii) in subsection (a), by striking out ``subsections
                (b) and (c)'' and inserting in lieu thereof ``sub- section
                (b)''.
            (4) Section 5373 is amended--
                (A) by striking out paragraph (1); and
                (B) by redesignating paragraphs (2), (3), and (4) as
            paragraphs (1), (2), and (3) respectively.
            (5) Section 5537(c) is amended by striking out ``the United
        States District Court for the District of the Canal Zone, the
        District Court of Guam, and the District Court of the Virgin
        Islands.'' and inserting in lieu thereof ``the District Court of
        Guam and the District Court of the Virgin Islands.''.
            (6) Section 5541(2)(xii) is amended--
                (A) by inserting ``or'' after ``Services Admini-
            stration,''; and
                (B) by striking out ``, or a vessel employee of the Panama
            Canal Commission'';
            (7) Section 5924(3) is amended by striking out the last
        sentence.
            (8) Section 6322(a) is amended--
                (A) by striking out ``Puerto Rico,'' and inserting in lieu
            thereof ``Puerto Rico or''; and
                (B) by striking out ``, or the Republic of Panama''.
            (9) Section 7901(f) is amended to read as follows:
        ``(f) The health programs conducted by the Tennessee Valley
    Authority are not affected by this section.''.
        (b) Cross References in Panama Canal Act.--
            (1) Section 1211(1)(B) (22 U.S.C. 3651(1)(B)) is amended by
        striking out ``section 1212(B)(2)'' and inserting in lieu thereof
        ``section 1212(b)''.
            (2) Section 1303 (22 U.S.C. 3713) is amended by striking out
        ``section 1302(c)(1)'' both places it appears and inserting in lieu
        thereof ``section 1302(b)(1)''.
            (3) Section 1341(f) (22 U.S.C. 3751(f)) is amended by striking
        out ``section 1302(c)'' and inserting in lieu thereof ``section
        1302(b)''.
        (c) Section Headings.--
            (1) The heading of section 3 (22 U.S.C. 3602) is amended to
        read as follows:

                                 ``definitions''.

            (2) The heading of section 1245 (22 U.S.C. 3682) is amended to
        read as follows:

                ``administration of certain disability benefits''.

        (d) Table of Contents.--The table of contents in section 1 is
    amended as follows:
            (1) The items relating to sections 1101, 1102a, 1102b, and 1313
        are amended by inserting ``Sec.'' before the section number.
            (2) The item relating to section 3 is amended to read as
        follows:
    ``Sec. 3. Definitions.''.

            (3) The item relating to section 1104 is amended to read as
        follows:
    ``Sec. 1104. Deputy Administrator.''.

            (4) The items relating to sections 1209 and 1210 are amended to
        read as follows:
    ``Sec. 1209. Applicability of certain benefits.
    ``Sec. 1210. Travel and transportation.''.

            (5) The items relating to sections 1223 and 1224 are amended to
        read as follows:
    ``Sec. 1223. Central Examining Office.
    ``Sec. 1224. Applicability of title 5, United States Code.''.

            (6) The item relating to section 1245 is amended to read as
        follows:
    ``Sec. 1245. Administration of certain disability benefits.''.

            (7) The item relating to section 3302 is amended to read as
        follows:
    ``Sec. 3302. Exemption from Metric Conversion Act of 1975.''.

            (8) Such table of contents is further amended by inserting
        after the item relating to section 1305 the following new item:
    ``Sec. 1306. Printing.''.

            (9) Such table of contents is further amended--
                (A) by striking out the items relating to sections 1214,
            1246, 1251, 1301, 1605, 1701, 1702, 2101, 2201, 2202, 2203,
            2204, 2205, 2206, 2301, 2401, 2402, and 3101; and
                (B) by striking out the items relating to the heading of
            title II, the headings of chapters 1, 2, 3, and 4 of such
            title, and the heading of chapter 1 of title III.

    SEC. 3549. REPEAL OF PANAMA CANAL CODE.

        The Panama Canal Code is repealed.

                                   Speaker of the House of Representatives.

                                Vice President of the United States and
                                                   President of the Senate.